Employee benefit obligations

12 Months Ended

Dec. 31, 2024

The Company's liability in respect of the Swiss Plan (see Note 2(u)) is the projected benefit obligation calculated using the projected unit credit method. The projected benefit obligation as of December 31, 2024 represents the actuarial present value of the estimated future payments required to settle the obligation that is attributable to employee service rendered before that date. Swiss Plan assets are recorded at fair value. Pension expense is presented in the payroll expenses in the various functions in which the employees are engaged. Actuarial gains and losses arising from differences between the actual and the expected return on the Swiss Plan assets are recognized in accumulated other comprehensive income (loss) and amortized over the requisite service period. The Swiss Plan is part of a collective pension foundation of pooled investments managed by a top tier insurance company. The Company and the employees pay retirement contributions, which are defined as a percentage of the employees’ covered salaries.The basis for the determination of the interest on employee’s savings account is the return on plan assets, considering legal minimum requirements. The targeted allocation for these funds is as follows:


Asset Allocation by Category as of December 31, 2024:						Asset allocation (%)
Asset Category:
Debt Securities						29%
Real Estate						24%
Equity Securities						35%
Others						12%
Total						100%

The following table sets forth the Swiss Plan’s funded status and amounts recognized in the consolidated financial statements for the year ended December 31, 2024 and 2023:


	December 31,
	2024		2023
Change in Benefit Obligation
Projected benefit obligation at beginning of year	$	51,057	$	29,435
Interest cost	703		850
Company service cost	4,202		2,992
Employee contributions	2,683		2,517
Prior service cost	—		(768)
Benefits paid	2,772		6,726
Actuarial loss	(62)		9,305
Projected benefit obligation at end of year	$	61,355	$	51,057
Change in Plan Assets
Fair value of plan assets at beginning of year	$	43,250	$	25,531
Actual return on plan assets	2,120		4,699
Employer contributions	3,991		3,776
Employee contributions	2,683		2,518
Benefits paid	2,772		6,726
Fair value of plan assets at end of year	$	54,816	$	43,250
Funded Status at End of year
Excess of obligation over assets	$	6,539	$	7,807
Change in Accrued Benefit Liability
Accrued benefit liability at beginning of year	$	(7,807)	$	(3,904)
Company contributions made during year	3,991		3,776
Net periodic benefit cost for year	(3,308)		(3,058)
Net decrease (increase) in accumulated other comprehensive loss	585		(4,621)
Accrued benefit liability at end of year	$	(6,539)	$	(7,807)


	December 31,
	2024		2023
Non-current plan assets	$	54,816	$	43,250
Non-current liability	61,355		51,057
Accrued benefit liability at end of year	$	(6,539)	$	(7,807)
Projected Benefit Payments
Projected year 1	$	1,204	$	1,138
Projected year 2	1,540		1,102
Projected year 3	1,849		1,546
Projected year 4	966		1,577
Projected year 5	1,748		958
Projected years 6-10	24,374		20,127

The fair value of the plan assets is the estimated cash surrender value of the insurance contract at December 31, 2024. The level of inputs used to measure fair value was Level 2.


	Year ended December 31,
	2024		2023
Net Periodic Benefit Cost
Service cost	$	4,202	$	2,992
Interest cost (income)	703		850
Expected return on plan assets	(1,348)		(1,210)
Amortization of actuarial (gain) loss	426		94
Amortization of prior service costs	(126)		(54)
Total net periodic benefit cost	$	3,857	$	2,672

Weighted average assumptions:
Discount rate as of December 31	0.90%		1.40%
Expected long-term rate of return on assets	2.60%		3.00%
Rate of compensation increase	1.00%		1.50%
Mortality and disability assumptions (*)	BVG 2020 GT		BVG 2020 GT

(*) Mortality data used for actuarial calculation.