SEGMENTS REPORTING

12 Months Ended

Dec. 31, 2024

Segment Reporting [Abstract]

SEGMENTS REPORTING

NOTE 15:- SEGMENTS REPORTING

The Company reports segment information based on a management approach. The management approach designates the internal reporting used by management for making decisions and assessing performance as the source of the Company’s reportable segments. The chief operating decision maker ("The CODM") is our Chief Executive officer (CEO). The CODM assesses the performance of each operating segment using information about revenue and segment operating income that is defined as operating income generated at the segment level, excluding unallocated corporate income or expense.

Commencing January 1, 2023, management has determined that the Company operates in two reportable segments.

The Company’s reportable segments are:

• Radware’s Core Business – this segment consists of our core business operations, including our cloud security as-a-service products, application and data centers security products and our application availability products; and

• The Hawks’ Business – this segment consists of the operations of our two subsidiaries: SkyHawk, a spinoff of our former cloud native protector business. which now provides an agentless Cloud-native threat Detection and Response (CDR), combined with Cloud Infrastructure Entitlement Manage (CIEM), Cloud Security Posture Management (CSPM) and Autonomous Purple Team for AWS Google Cloud and Azure, and EdgeHawk, which is engaged in transforming routers and network nodes into security platforms.

While the Company transitioned into two reportable segments, it remains focused on the consolidated results as an important measure of performance, particularly given the high level of cooperation among these two segments.

The Company’s CODM does not regularly review assets and liabilities information by reportable segments. Therefore, the Company does not report assets and liabilities information by segment.

The following tables present information about the Company’s reported segment revenues and operating income (loss) for the periods indicated:

	Year ended December 31, 2024
	Radware Core		Hawks			Total
Revenues	$	274,384	$	496		$	274,880
Other segment items *		264,635		14,132			278,767
Operating income (loss)	$	9,749	$	(13,636	)	$	(3,887	)
Financial income, net						$	16,552
Income before taxes on income						$	12,665

	Year ended December 31, 2023
	Radware Core			Hawks			Total
Revenues	$	260,322		$	970		$	261,292
Other segment items *		277,124			15,848			292,972
Operating loss	$	(16,802	)	$	(14,878	)	$	(31,680	)
Financial income, net							$	13,927
Loss before taxes on income							$	(17,753	)

	Year ended December 31, 2022
	Radware Core		Hawks			Total
Revenues	$	290,408	$	3,018		$	293,426
Other segment items *		281,992		14,773			296,765
Operating income (loss)	$	8,416	$	(11,755	)	$	(3,339	)
Financial income, net						$	8,052
Income before taxes on income						$	4,713

* Radware Core consists of cost of revenues, G&A, S&M, and R&D, with the Hawks primarily consisting of R&D.

Depreciation expenses of the Hawks’ business segment for the years ended December 31, 2024, 2023 and 2022 were $97, $85 and $45, respectively.

Depreciation expenses of Radware’s core business segment for the years ended December 31, 2024, 2023 and 2022 were $7,771, $8,191 and $7,941, respectively.