DERIVATIVE INSTRUMENTS

12 Months Ended

Dec. 31, 2023

Derivative Instruments and Hedging Activities Disclosure [Abstract]

NOTE 10:-

DERIVATIVE INSTRUMENTS

The Company has entered into several foreign currency hedging contracts to protect against changes in value of forecasted foreign currency cash flows resulting from salaries and related payments that are denominated in NIS. These contracts were designated as cash flow hedges, as defined by ASC 815, as amended, are considered highly effective as hedges of these expenses and generally mature within twelve months.

The Company recognized losses related to derivative instruments, within payroll expenses, included under Cost of revenues and Operating expenses in the consolidated statements of income (loss) of $2,605, $2,162 and $125 for the years ended December 31, 2023, 2022 and 2021, respectively. The notional amounts of hedging contracts were $24,267 and $32,227 as of December 31, 2023 and December 31, 2022, respectively.

The fair value of derivative instruments in the consolidated balance sheets, which are presented under Other current assets and Other current liabilities, amounted to $680 and ($635) as of December 31, 2023 and December 31, 2022, respectively.

The estimated net amount of the existing profit that is reported in accumulated other comprehensive income as of December 31, 2023 that is expected to be reclassified into consolidated statement of income (loss) within the next twelve months is $680.