Exhibit 99.2
ALARUM TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
JUNE 30, 2025
ALARUM TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
JUNE 30, 2025
TABLE OF CONTENTS
i
ALARUM TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
(UNAUDITED)
| June 30, 2025 | December 31, 2024 | |||||||
| U.S. dollars in thousands | ||||||||
| Assets | ||||||||
| Current assets: | ||||||||
| Cash and cash equivalents | ||||||||
| Accounts receivable: | ||||||||
| Trade, net | ||||||||
| Other | ||||||||
| Non-current assets: | ||||||||
| Long-term deposits | ||||||||
| Long-term restricted deposit | ||||||||
| Other non-current assets | ||||||||
| Property and equipment, net | ||||||||
| Right-of-use assets | ||||||||
| Deferred tax assets | ||||||||
| Debt investments at fair value through other comprehensive income | ||||||||
| Debt investments at fair value through profit or loss | ||||||||
| Intangible assets, net | ||||||||
| Goodwill | ||||||||
| Total assets | ||||||||
| Liabilities and equity | ||||||||
| Current liabilities: | ||||||||
| Accounts payable and accruals: | ||||||||
| Trade | ||||||||
| Other | ||||||||
| Current maturities of long-term loan | ||||||||
| Contract liabilities | ||||||||
| Derivative financial instruments | ||||||||
| Short-term lease liabilities | ||||||||
| Non-current liabilities: | ||||||||
| Long-term lease liabilities | ||||||||
| Long-term loan, net of current maturities | ||||||||
| Total liabilities | ||||||||
| Equity: | ||||||||
| Ordinary shares | ||||||||
| Share premium | ||||||||
| Other equity reserves | ||||||||
| Accumulated deficit | ( | ) | ( | ) | ||||
| Total equity | ||||||||
| Total liabilities and equity | ||||||||
The accompanying notes are an integral part of these condensed consolidated financial statements.
1
ALARUM TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF PROFIT OR LOSS AND OTHER COMPREHENSIVE INCOME
(UNAUDITED)
| Six months ended June 30 | ||||||||
| 2025 | 2024 | |||||||
| U.S. dollars in thousands (except per share amounts) | ||||||||
| Revenue | ||||||||
| Cost of revenue | ||||||||
| Gross profit | ||||||||
| Operating expenses: | ||||||||
| Research and development | ||||||||
| Selling and marketing | ||||||||
| General and administrative | ||||||||
| Total operating expenses | ||||||||
| Operating profit | ||||||||
| Financial expense | ||||||||
| Financial income | ( | ) | ( | ) | ||||
| Financial expense (income), net | ( | ) | ||||||
| Profit before income tax | ||||||||
| Tax expense | ||||||||
| Net profit for the period | ||||||||
| Other comprehensive income for the period | ||||||||
| Change in the fair value of debt investments at fair value through other comprehensive income | ||||||||
| Total comprehensive income for the period | ||||||||
| Basic and diluted profit per share: | ||||||||
| Basic profit per share | ||||||||
| Diluted profit per share | ||||||||
The accompanying notes are an integral part of these condensed consolidated financial statements.
2
ALARUM TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY
(UNAUDITED)
| Ordinary shares | Other | |||||||||||||||||||||||
| Number of shares | Amount | Share premium | equity reserves | Accumulated deficit | Total | |||||||||||||||||||
| U.S. dollars in thousands (except share data) | ||||||||||||||||||||||||
| Balance at January 1, 2025 | ( | ) | ||||||||||||||||||||||
| Changes during the six months ended June 30, 2025: | ||||||||||||||||||||||||
| Issuance of ordinary shares upon exercise of options and vesting of RSUs | ( | ) | ||||||||||||||||||||||
| Long-term loan settled by issuance of ordinary shares | ||||||||||||||||||||||||
| Expiration of options | - | ( | ) | |||||||||||||||||||||
| Share-based payments | - | |||||||||||||||||||||||
| Net profit for the period | - | |||||||||||||||||||||||
| Other comprehensive income for the period | - | |||||||||||||||||||||||
| Balance at June 30, 2025 | ( | ) | ||||||||||||||||||||||
| Balance at January 1, 2024 | ( | ) | ||||||||||||||||||||||
| Changes during the six months ended June 30, 2024: | ||||||||||||||||||||||||
| Issuance of ordinary shares upon exercise of options and vesting of RSUs | ( | ) | ||||||||||||||||||||||
| Issuance of ordinary shares upon exercise of warrants | ( | ) | ||||||||||||||||||||||
| Expiration of options | - | ( | ) | |||||||||||||||||||||
| Share-based payments | - | |||||||||||||||||||||||
| Net profit for the period | - | |||||||||||||||||||||||
| Balance at June 30, 2024 | ( | ) | ||||||||||||||||||||||
The accompanying notes are an integral part of these condensed consolidated financial statements.
3
ALARUM TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
| Six months ended June 30 | ||||||||
| 2025 | 2024 | |||||||
| U.S. dollars in thousands | ||||||||
| Cash flows from operating activities | ||||||||
| Net profit for the period | ||||||||
| Adjustments for: | ||||||||
| Effect of exchange rate differences on cash and cash equivalents and restricted deposits balances | ||||||||
| Change in fair value of derivative financial instruments | ( | ) | ||||||
| Interest income related to debt investments at fair value through other comprehensive income | ( | ) | ||||||
| Change in fair value of debt investments at fair value through profit or loss | ( | ) | ||||||
| Depreciation and amortization | ||||||||
| Interest income related to short-term bank deposits | ( | ) | ( | ) | ||||
| Interest portion of lease payments | ||||||||
| Interest and other financial expense related to long-term loan | ||||||||
| Share-based payments | ||||||||
| Changes in asset and liability items: | ||||||||
| Trade receivables | ( | ) | ( | ) | ||||
| Other receivables | ( | ) | ( | ) | ||||
| Trade payables | ||||||||
| Other payables | ||||||||
| Deferred taxes | ( | ) | ( | ) | ||||
| Contract liabilities | ||||||||
| ( | ) | |||||||
| Cash generated from operations | ||||||||
| Income taxes paid | ( | ) | ( | ) | ||||
| Net cash provided by operating activities | ||||||||
| Cash flows from investing activities | ||||||||
| Interest income related to debt investments at fair value through other comprehensive income | ||||||||
| Withdrawal of long-term deposits | ||||||||
| Investment in long-term deposits | ( | ) | ||||||
| Interest related to short-term bank deposits | ||||||||
| Investment in long-term restricted deposits | ( | ) | ||||||
| Purchase of property and equipment | ( | ) | ( | ) | ||||
| Net cash provided by investing activities | ||||||||
| Cash flows from financing activities | ||||||||
| Long-term loans interest payments | ( | ) | ( | ) | ||||
| Long-term loans principal payments | ( | ) | ( | ) | ||||
| Principal portion of lease payments | ( | ) | ( | ) | ||||
| Interest portion of lease payments | ( | ) | ( | ) | ||||
| Proceeds from exercise of options and warrants | ||||||||
| Issuance costs in connection with offerings | ( | ) | ||||||
| Net cash provided by (used in) financing activities | ( | ) | ||||||
The accompanying notes are an integral part of these condensed consolidated financial statements.
4
ALARUM TECHNOLOGIES LTD.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(UNAUDITED)
| Six months ended June 30 | ||||||||
| 2025 | 2024 | |||||||
| U.S. dollars in thousands | ||||||||
| Changes in cash and cash equivalents | ||||||||
| Cash and cash equivalents at beginning of the period | ||||||||
| Effect of exchange rate changes on cash and cash equivalents | ( | ) | ( | ) | ||||
| Cash and cash equivalents at end of the period | ||||||||
| Supplemental disclosure of non-cash investing and financing activities: | ||||||||
| Addition of right-of-use assets | ||||||||
| Decrease of right-of-use assets and lease liabilities | ||||||||
| Long-term loan settled by share issuance | ||||||||
| Receivables due to exercise of options | ||||||||
The accompanying notes are an integral part of these condensed consolidated financial statements.
5
ALARUM TECHNOLOGIES LTD.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS
(UNAUDITED)
NOTE 1 - GENERAL:
Background
Alarum Technologies Ltd. (Nasdaq, TASE: ALAR) (“Alarum”, and collectively referred to with its wholly-owned subsidiaries as the “Company”) is a global Software as a Service (“SaaS”) provider operating primarily in the web data collection market through its wholly-owned subsidiary, NetNut Ltd. (“NetNut”).
The Company primarily offers Internet Protocol Proxy Network solutions (“IPPN solutions”) that enable customers to collect data anonymously at any scale from any public sources over the web, as well as data collection solutions (“Data Collection solutions”) that include tools that allow customers to collect real-time structured data from global search engines as well as to collect public web data from websites that have implemented anti-bot technologies and more.
War in Israel
Since October 7, 2023, Israel has been in a state of war on multiple fronts involving the Gaza Strip and other countries and regions in the Middle East, including most recently the Islamic Republic of Iran. To date, the situation remains ongoing. During the six months ended June 30, 2025, there was no material adverse impact on Company’s operations and financial condition due to this war. However, since these are events beyond the Company’s control, their continuation or cessation may affect the Company’s expectations. The Company continues to monitor political and military developments closely and examine the consequences for its operations and assets. For further information, see Note 1 to the Company’s annual financial statements for the year ended December 31, 2024.
NOTE 2 - ACCOUNTING POLICIES:
Basis of presentation
The Company’s condensed consolidated financial statements for the six months ended June 30, 2025, have been prepared in accordance with International Accounting Standard (“IAS”) 34, “Interim Financial Reporting”. These condensed consolidated financial statements, which are unaudited, do not include all of the information and disclosures that would otherwise be required in a complete set of annual financial statements and should be read in conjunction with the annual financial statements for the year ended December 31, 2024 and their accompanying notes, which have been prepared in accordance with IFRS Accounting Standards as published by the International Accounting Standards Board.
The results of operations for the six months ended June 30, 2025, are not necessarily indicative of the results that may be expected for the entire fiscal year ending December 31, 2025, or for any other interim period.
Estimates
The preparation of interim financial statements requires the Company’s management to exercise its judgment and to use significant accounting estimates and assumptions that affect the application of the Company’s accounting policies and the amounts of reported assets, liabilities, income and expenses. Actual results may materially differ from those estimates.
In preparation of these condensed consolidated financial statements, the significant judgments that were exercised by the management in applying the Company’s accounting policies and the key sources of estimation uncertainty were similar to those applied in the Company’s annual financial statements for the year ended December 31, 2024.
Accounting policies
The accounting policies applied in the preparation of these condensed consolidated financial statements are consistent with those applied in the preparation of the annual financial statements for the year ended December 31, 2024.
6
ALARUM TECHNOLOGIES LTD.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)
(UNAUDITED)
Income tax
Income tax expense for interim periods is recognized at an amount determined by multiplying the profit before income tax for the interim period of each individual jurisdiction by management’s best estimate of the expected effective annual income tax rate of each jurisdiction, adjusted for the tax effects of certain items recognized in full in the interim period.
New standards and amendments not yet adopted
IFRS 18, “Presentation and Disclosure in Financial Statements” (“IFRS 18”)
IFRS 18 replaces IAS 1, “Presentation of Financial Statements”. As part of the new disclosure requirements, companies will be required to present new defined subtotals in the statement of profit or loss, as follows: (i) operating profit and (ii) profit before financing and tax. In addition, items in the statement of profit or loss will be classified into three defined categories: operating, investment and financing. The standard also includes a requirement to provide a separate disclosure in the financial statements regarding the use of management-defined performance measures (“non-GAAP measures”), and specific instructions were added for the grouping and splitting of items in the financial statements and their accompanying notes. IFRS 18 is effective for annual reporting periods beginning on or after January 1, 2027, with an option for early adoption. The Company is currently in a preliminary stage of assessing the expected effect of this new standard.
NOTE 3 - SIGNIFICANT CHANGES IN THE CURRENT REPORTING PERIOD:
O.R.B. agreement
Further to the described in Note 9 to the Company’s
annual financial statements for the year ended December 31, 2024, during the six months ended June 30, 2025, the Company repaid to O.R.B.
Spring Ltd. (“O.R.B.”) a total amount of $
For the six months ended June 30, 2025, interest
expenses related to the loan totaled $
As of June 30, 2025, long-term loan amounted to
$
Options and RSUs grants
During the six months
ended June 30, 2025, the Company granted
Also, on June 19,
2025, the Company’s board of directors approved a grant of
Shares issuance
During the six months ended June 30, 2025,
7
ALARUM TECHNOLOGIES LTD.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)
(UNAUDITED)
A motion to certify a claim as a class action
On February 16, 2025, the Company, along with its CEO, Mr. Shachar Daniel, and its Chief Financial Officer, Mr. Shai Avnit, were served with a motion to certify a claim as a class action in the Economic Department at the District Court in Tel Aviv, Israel (the “Motion”). The Motion refers to statements made between March 14, 2024, and August 26, 2024. In the Motion, one shareholder alleges that based on the Company’s announcement dated August 26, 2024, which included financial outlook for third quarter of 2024, the Company allegedly made various untrue and misleading statements regarding the Company’s business, operations and prospects. The Company has also been served with a complaint of similar nature filed in the United States District Court for the District of New Jersey against the Company, Mr. Daniel, Mr. Avnit, and the Company’s chairman, Mr. Chen Katz (the “U.S. Complaint”). On May 6, 2025, the District Court in Tel Aviv granted a stay of the Israeli proceedings, pending further developments in the U.S. Complaint. On July 3, 2025, following further investigation, plaintiffs’ counsel informed the Company of their intention to voluntarily dismiss the U.S. Complaint. A notice of voluntary dismissal was formally approved by the United States District Court on July 8, 2025. On July 20, 2025, the Company notified the Tel Aviv District Court of the dismissal of the U.S. Complaint and requested the removal of the Israeli proceedings. On July 21, 2025, the Israeli Court instructed the Israeli plaintiff to respond whether he agrees to the proceedings’ removal request, by September 25, 2025. The Company believes that the above legal action is unfounded, relying on false chronological and factual basis and without legitimate grounds. The Company intends to defend itself vigorously against these proceedings.
Leases
On May 18, 2025, the Company notified its office
lessor of its intention not to exercise its option to renew the current lease contract, which expires on October 20, 2025, for an additional
year. The financial effect of revising the lease term, which originally included the extension of the option, was a decrease in lease
liabilities and right-of-use assets of $
In June 2025, the Company signed a new lease
contract for its offices. The lease will commence on September 1, 2025, and end on August 31, 2029, in exchange for an approximate
monthly fee of $
NOTE 4 - REVENUE:
The Company generates
revenue primarily from SaaS subscriptions in the web data collection market.
| Six months ended June 30 | ||||||||
| 2025 | 2024 | |||||||
| U.S. dollars in thousands | ||||||||
| Web data collection | ||||||||
| SaaS revenue: | ||||||||
| IPPN solutions | ||||||||
| Data Collection solutions | ||||||||
| Total SaaS revenue | ||||||||
| Total web data collection revenue | ||||||||
| Other revenue | ||||||||
| Total revenue | ||||||||
8
ALARUM TECHNOLOGIES LTD.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)
(UNAUDITED)
NOTE 5 - FINANCIAL INSTRUMENTS AND FINANCIAL RISK MANAGEMENT:
Fair value estimation
The following table presents the Company’s financial instruments measured at fair value for the periods presented:
| Level 1 | Level 2 | Level 3 | Total | |||||||||||||
| U.S. dollars in thousands | ||||||||||||||||
| As of June 30, 2025 | ||||||||||||||||
| Financial assets | ||||||||||||||||
| Debt investments at fair value through profit or loss | ||||||||||||||||
| Mutual Fund | ||||||||||||||||
| Unlisted equity securities | ||||||||||||||||
| Debt investments at fair value through other comprehensive income | ||||||||||||||||
| Corporate bonds | ||||||||||||||||
| Government bonds | ||||||||||||||||
| Total financial assets | ||||||||||||||||
| Financial liabilities | ||||||||||||||||
| Derivative financial instruments | ||||||||||||||||
| Total financial liabilities | ||||||||||||||||
| As of December 31, 2024 | ||||||||||||||||
| Financial assets | ||||||||||||||||
| Debt investments at fair value through profit or loss | ||||||||||||||||
| Mutual Fund | ||||||||||||||||
| Unlisted equity securities | ||||||||||||||||
| Debt investments at fair value through other comprehensive income | ||||||||||||||||
| Corporate bonds | ||||||||||||||||
| Government bonds | ||||||||||||||||
| Total financial assets | ||||||||||||||||
| Financial liabilities | ||||||||||||||||
| Derivative financial instruments | ||||||||||||||||
| Total financial liabilities | ||||||||||||||||
9
ALARUM TECHNOLOGIES LTD.
NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS (continued)
(UNAUDITED)
Level 3 financial instruments
The following table presents the changes in level 3 financial liabilities for the periods presented:
| Derivative financial instruments | ||||
| U.S. dollars in thousands | ||||
| Balance as of December 31, 2023 | ||||
| Changes within profit or loss | ||||
| Balance as of December 31, 2024 | ||||
| Changes within profit or loss | ( | ) | ||
| Balance as of June 30, 2025 | ||||
Valuation processes of the Company
The fair value of derivative financial instruments
as of June 30, 2025, was estimated using the Black-Scholes model with the following principal assumptions: share price of $
NOTE 6 - SUBSEQUENT EVENTS:
On August 7, 2025,
the Company’s board of directors approved a grant of
10