CYBERARK SOFTWARE LTD., 20-F filed on 3/12/2025
Annual and Transition Report (foreign private issuer)
v3.25.0.1
Document and Entity Information
 12 Months Ended
Dec. 31, 2024
shares
Entity Registrant Name CYBERARK SOFTWARE LTD.
Document Type 20-F
Amendment Flag false
Document Registration Statement false
Document Annual Report true
Document Transition Report false
Document Shell Company Report false
Document Period End Date Dec. 31, 2024
Current Fiscal Year End Date --12-31
Entity Filer Category Large Accelerated Filer
Entity File Number 001-36625
Entity Incorporation, State or Country Code IL
Entity Address, Address Line One 9 Hapsagot St.
Entity Address, Address Line Two Park Ofer B
Entity Address, Address Line Three P.O. BOX 3143
Entity Address, City or Town Petach-Tikva
Entity Address Country IL
Entity Address, Postal Zip Code 4951040
Title of 12(b) Security Ordinary shares, par value NIS 0.01 per share
Trading Symbol CYBR
Name of Exchange on which Security is Registered NASDAQ
Entity Common Stock, Shares Outstanding 49,426,711
Entity Well-known Seasoned Issuer Yes
Entity Voluntary Filers No
Entity Current Reporting Status Yes
Entity Interactive Data Current Yes
Entity Emerging Growth Company false
ICFR Auditor Attestation Flag true
Document Accounting Standard U.S. GAAP
Entity Shell Company false
Entity Central Index Key 0001598110
Document Fiscal Year Focus 2024
Document Fiscal Period Focus FY
Auditor Name KOST FORER GABBAY & KASIERER
Auditor Firm ID 1281
Auditor Location Tel-Aviv, Israel
Document Financial Statement Error Correction [Flag] false
Business Contact [Member]  
Entity Registrant Name CyberArk Software Ltd.
Contact Personnel Name Donna Rahav
Entity Address, Address Line One 9 Hapsagot St.
Entity Address, Address Line Two Park Ofer B
Entity Address, Address Line Three P.O. BOX 3143
Entity Address, City or Town Petach-Tikva
Entity Address Country IL
Entity Address, Postal Zip Code 4951040
City Area Code 972 (3)
Local Phone Number 918-0000
v3.25.0.1
CONSOLIDATED BALANCE SHEETS - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
CURRENT ASSETS:    
Cash and cash equivalents $ 526,467 $ 355,933
Short-term bank deposits 256,953 354,472
Marketable securities 36,356 283,016
Trade receivables (net of allowance for credit losses of $6 and $0 at December 31, 2023 and 2024, respectively) 328,465 186,472
Prepaid expenses and other current assets 45,292 31,550
Total current assets 1,193,533 1,211,443
LONG-TERM ASSETS:    
Marketable securities 21,345 324,548
Property and equipment, net 19,581 16,494
Intangible assets, net 534,726 20,202
Goodwill 1,317,374 153,241
Other long-term assets 258,531 214,816
Deferred tax assets 3,305 81,464
Total long-term assets 2,154,862 810,765
TOTAL ASSETS 3,348,395 2,022,208
CURRENT LIABILITIES:    
Trade payables 23,671 10,971
Employees and payroll accruals 133,400 95,538
Accrued expenses and other current liabilities 53,486 36,562
Convertible senior notes, net 0 572,340
Deferred revenues 596,874 409,219
Total current liabilities 807,431 1,124,630
LONG-TERM LIABILITIES:    
Deferred revenues 95,190 71,413
Other long-term liabilities 75,970 33,839
Total long-term liabilities 171,160 105,252
TOTAL LIABILITIES 978,591 1,229,882
COMMITMENTS AND CONTINGENCIES
SHAREHOLDERS' EQUITY:    
Ordinary shares of NIS 0.01 par value – Authorized: 250,000,000 shares at December 31, 2023 and 2024; Issued and outstanding: 42,255,336 shares and 49,426,711 shares at December 31, 2023 and 2024, respectively 130 111
Additional paid-in capital 2,494,158 827,260
Accumulated other comprehensive income (loss) 2,173 (1,849)
Accumulated deficit (126,657) (33,196)
Total shareholders' equity 2,369,804 792,326
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY $ 3,348,395 $ 2,022,208
v3.25.0.1
CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Common Stock, Shares Authorized 250,000,000 250,000,000
Common Stock, Shares, Issued 49,426,711 42,255,336
Ordinary shares, outstanding 49,426,711 42,255,336
Net of allowance for credit losses $ 0 $ 6
v3.25.0.1
CONSOLIDATED BALANCE SHEETS (Parenthetical 1) - ₪ / shares
Dec. 31, 2024
Dec. 31, 2023
Statement of Financial Position [Abstract]    
Ordinary shares, par value ₪ 0.01 ₪ 0.01
v3.25.0.1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenues:      
Subscription $ 733,275 $ 472,023 $ 280,649
Perpetual license 14,449 21,037 49,964
Maintenance and professional services 253,018 258,828 261,097
Total revenues 1,000,742 751,888 591,710
Cost of revenues:      
Subscription 115,852 74,623 46,249
Perpetual license 1,594 1,873 2,893
Maintenance and professional services 90,931 79,635 76,904
Total cost of revenues 208,377 156,131 126,046
Gross profit 792,365 595,757 465,664
Operating expenses:      
Research and development 243,058 211,445 190,321
Sales and marketing 480,977 405,983 345,273
General and administrative 141,134 94,801 82,520
Total operating expenses 865,169 712,229 618,114
Operating loss (72,804) (116,472) (152,450)
Financial income, net 56,838 53,214 15,432
Loss before taxes on income (15,966) (63,258) (137,018)
Tax benefit (taxes on income) (77,495) (3,246) 6,650
Net loss $ (93,461) $ (66,504) $ (130,368)
Basic net loss per ordinary share $ (2.12) $ (1.6) $ (3.21)
Diluted net loss per ordinary share $ (2.12) $ (1.6) $ (3.21)
Change in net unrealized gains (losses) on marketable securities:      
Net unrealized gains (losses) arising during the year $ 3,098 $ 7,920 $ (11,889)
Net (gains) losses reclassified into net loss 556 (17) 156
Change in unrealized losses on marketable securities, total 3,654 7,903 (11,733)
Change in unrealized net gain (loss) on cash flow hedges:      
Net unrealized gains (losses) arising during the year 2,373 (2,898) (11,418)
Net (gains) losses reclassified into net loss (2,005) 8,706 7,194
Change in unrealized gain (loss) on cash flow hedges, Total 368 5,808 (4,224)
Other comprehensive income (loss), net of taxes of $(2,176), $1,870 and $(252) for 2022, 2023 and 2024, respectively 4,022 13,711 (15,957)
Total comprehensive loss $ (89,439) $ (52,793) $ (146,325)
v3.25.0.1
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS (Parenthetical) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Statement [Abstract]      
Other comprehensive income (loss), net of taxes $ 252 $ (1,870) $ (2,176)
v3.25.0.1
STATEMENTS OF SHAREHOLDERS' EQUITY - USD ($)
$ in Thousands
Ordinary Shares [Member]
Additional paid-in capital [Member]
Accumulated other comprehensive income (loss) [Member]
Retained earnings (accumulated deficit) [Member]
Total
Balance at Dec. 31, 2021 $ 104 $ 588,937 $ 397 $ 137,074 $ 726,512
Balance, shares at Dec. 31, 2021 40,041,870        
Exercise of options and vested RSUs granted to employees $ 3 1,838 0 0 1,841
Exercise of options and vested RSUs granted to employees, shares 868,599        
Other comprehensive income (loss), net of tax $ 0 0 (15,957) 0 (15,957)
Share-based compensation 0 121,579 0 0 121,579
Issuance of ordinary shares under employee stock purchase plan $ 0 [1] 13,867 0 0 13,867
Issuance of ordinary shares under employee stock purchase plan, shares 118,102        
Adjustments from adoption of ASU 2020-06 $ 0 (65,932) 0 26,602 (39,330)
Net loss 0 0 0 (130,368) (130,368)
Balance at Dec. 31, 2022 $ 107 660,289 (15,560) 33,308 678,144
Balance, shares at Dec. 31, 2022 41,028,571        
Exercise of options and vested RSUs granted to employees $ 3 11,062 0 0 11,065
Exercise of options and vested RSUs granted to employees, shares 1,107,869        
Other comprehensive income (loss), net of tax $ 0 0 13,711 0 13,711
Share-based compensation 0 140,404 0 0 140,404
Issuance of ordinary shares under employee stock purchase plan $ 1 15,505 0 0 15,506
Issuance of ordinary shares under employee stock purchase plan, shares 118,896        
Net loss $ 0 0 0 (66,504) (66,504)
Balance at Dec. 31, 2023 $ 111 827,260 (1,849) (33,196) 792,326
Balance, shares at Dec. 31, 2023 42,255,336        
Exercise of options and vested RSUs granted to employees $ 3 8,306 0 0 8,309
Exercise of options and vested RSUs granted to employees, shares 1,134,607        
Other comprehensive income (loss), net of tax $ 0 0 4,022 0 4,022
Share-based compensation 0 169,280 0 0 169,280
Issuance of ordinary shares under employee stock purchase plan $ 0 [1] 19,185 0 0 19,185
Issuance of ordinary shares under employee stock purchase plan, shares 105,098        
Conversion of Convertible Senior Notes $ 10 574,448 0 0 574,458
Conversion of Convertible Senior Notes, Shares 3,646,594        
Reclassification Of Capped Call Transactions $ 0 256,740 0 0 256,740
Shares issued related to Venafi acquisition, net of issuance costs $ 6 638,939 0 0 638,945
Shares issued related to Venafi acquisition, net of issuance costs, shares 2,285,076        
Net loss $ 0 0 0 (93,461) (93,461)
Balance at Dec. 31, 2024 $ 130 $ 2,494,158 $ 2,173 $ (126,657) $ 2,369,804
Balance, shares at Dec. 31, 2024 49,426,711        
[1] Represents an amount lower than $1
v3.25.0.1
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Cash flows from operating activities:      
Net loss $ (93,461) $ (66,504) $ (130,368)
Adjustments to reconcile net loss to net cash provided by operating activities:      
Depreciation and amortization 41,983 19,250 16,203
Share-based compensation 168,766 140,101 120,821
Amortization of premium and accretion of discount on marketable securities, net and other (3,537) (4,570) 3,894
Deferred income taxes, net 66,293 (7,879) (15,630)
Amortization of debt issuance costs 2,660 2,996 2,980
Increase in trade receivables (93,303) (65,655) (7,606)
Change in fair value of derivative assets (4,618) 0 0
Increase in prepaid expenses, other current and long-term assets and others (47,456) (45,016) (37,141)
Changes in operating lease right-of-use assets 8,544 6,566 4,558
Increase (decrease) in trade payables 11,000 (2,669) 4,053
Increase in short-term and long-term deferred revenue 150,780 72,190 91,167
Increase in employees and payroll accruals 22,001 6,981 714
Increase in accrued expenses and other current and long-term liabilities 10,965 7,507 4,801
Changes in operating lease liabilities (8,730) (7,094) (8,738)
Net cash provided by operating activities 231,887 56,204 49,708
Cash flows from investing activities:      
Investment in short-term and long-term deposits (368,577) (337,835) (496,894)
Proceeds from short-term and long-term deposits 460,077 319,542 532,563
Investment in marketable securities and other (143,391) (406,633) (375,731)
Proceeds from maturities of marketable securities 218,061 340,657 319,105
Proceeds from sales of marketable securities and other 483,296 3,389 6,367
Purchase of property and equipment and other assets (11,059) (4,948) (12,517)
Payments for business acquisitions, net of cash acquired (984,669) 0 (41,285)
Net cash used in investing activities (346,262) (85,828) (68,392)
Cash flows from financing activities:      
Payment of equity issuance costs (190) 0 0
Proceeds from (payments of) withholding tax related to employee stock plans 273 11,188 (184)
Proceeds from exercise of stock options 8,309 11,065 1,968
Proceeds in connection with employee stock purchase plan 19,598 15,831 15,143
Payment of convertible notes (542) 0 0
Proceeds from settlement of Capped Call Transactions 261,358 0 0
Payments of contingent consideration related to acquisitions 0 0 (4,702)
Net cash provided by financing activities 288,806 38,084 12,225
Increase (decrease) in cash and cash equivalents 174,431 8,460 (6,459)
Effect of exchange rate differences on cash and cash equivalents (3,897) 135 (3,053)
Cash and cash equivalents at the beginning of the year 355,933 347,338 356,850
Cash and cash equivalents at the end of the year 526,467 355,933 347,338
Non-cash activities:      
Lease liabilities arising from obtaining right-of-use-assets 4,853 896 28,256
Non-cash purchases of property and equipment 1,657 1,022 1,769
Non-cash purchases of intangible assets $ 3,661 $ 0 $ 0
Issuance of ordinary shares for conversions of convertible senior notes 574,458 0 0
Supplemental disclosure of cash flow activities:      
Cash paid during the year for taxes, net $ 14,835 $ 11,435 $ 9,302
v3.25.0.1
GENERAL
 12 Months Ended
Dec. 31, 2024
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
GENERAL
NOTE 1:-
GENERAL
 
CyberArk Software Ltd. (together with its subsidiaries, the “Company”) is an Israeli company that develops, markets and sells software-based identity security solutions and services. The Company's solutions and services secure access for any identity – human or machine – to help organizations secure critical business assets, protect their distributed workforce and customers, and accelerate business in the cloud. CyberArk’s AI-powered Identity Security Platform applies intelligent privilege controls to every identity with continuous threat prevention, detection and response across the identity lifecycle. With CyberArk, organizations can minimize operational and security risks by enabling zero trust and least privilege with complete visibility, empowering all users and identities, including workforce, IT, developers and machines, to securely access any resource, located anywhere, from everywhere.
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES
 12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
SIGNIFICANT ACCOUNTING POLICIES
NOTE 2:-
SIGNIFICANT ACCOUNTING POLICIES
 
The consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles ("U.S. GAAP").
 
  a.
Use of estimates:
 
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Such management estimates and assumptions are related, but not limited to contingent liabilities, income tax uncertainties, deferred taxes, share-based compensation, fair value of assets acquired and liabilities assumed in business combinations, fair value of the Capped Call Transactions (as defined in Note 12), as well as the determination of standalone selling prices in revenue transactions with multiple performance obligations and the estimated period of benefit for deferred contract costs. The Company's management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.
 
  b.
Principles of consolidation:
 
The consolidated financial statements include the financial statements of CyberArk Software Ltd. and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated upon consolidation.

 

  c.
Financial statements in U.S. dollars:
 
A majority of the Company's revenues are generated in U.S. dollars. In addition, the equity investments were in U.S. dollars and a substantial portion of the Company's costs are incurred in U.S. dollars. The Company's management believes that the U.S. dollar is the currency of the primary economic environment in which the Company and each of its subsidiaries operates. Thus, the functional and reporting currency of the Company is the U.S. dollar.
 
Accordingly, monetary accounts maintained in currencies other than the U.S. dollar are re-measured into U.S. dollars in accordance with Accounting Standard Codification ("ASC") No. 830 "Foreign Currency Matters." All transaction gains and losses of the re-measured monetary balance sheet items are reflected in the statement of comprehensive loss as financial income or expenses, as appropriate.
 
  d.
Cash and cash equivalents:
 
Cash and cash equivalents consist of cash on hand and highly liquid investments with original maturities of three months or less, at the date of purchase.

 

  e.
Short-term bank deposits:
 
Short-term bank deposits are deposits with maturities of greater than three months and remaining maturities of less than one year. As of December 31, 2023 and 2024, the Company's bank deposits are denominated in U.S. dollars (“USD”) and New Israeli Shekels ("NIS"). The USD deposits bear yearly interest at weighted average rates of 6.4% and 5.5%, respectively. The NIS deposits bear yearly interest at weighted average rates of 4.7% and 4.5%, respectively. Short-term bank deposits are presented at their cost, including accrued interest.
 
  f.
Investments in marketable securities:
 
The Company accounts for investments in marketable debt securities in accordance with ASC No. 320, "Investments - Debt Securities". The Company determines the appropriate classification of its investments at the time of purchase and reevaluates such designation at each balance sheet date. The Company classifies all of its marketable securities as available-for-sale as the Company may sell these securities at any time for use in its current operations or for other purposes, even prior to maturity. Available-for-sale securities are carried at fair value, with the unrealized gains and losses, net of tax, reported in accumulated other comprehensive income (loss) in shareholders' equity. Gains and losses are determined using the specific identification method and recognized when realized in the consolidated statements of comprehensive loss.
 
The Company periodically evaluates its available-for-sale debt securities for impairment in accordance with ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. If the amortized cost of an individual security exceeds its fair value, the Company considers its intent to sell the security or whether it is more likely than not that it will be required to sell the security before recovery of its amortized basis. If either of these criteria are met, the Company writes down the security to its fair value and records the impairment charge in the Consolidated Statements of Comprehensive Loss. If neither of these criteria are met, the Company assesses whether credit loss exists. In making this assessment, the Company considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and any adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss may exist, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses will be recorded, limited by the amount that the fair value is less than the amortized cost basis. Any additional impairment not recorded through an allowance for credit losses is recognized in other comprehensive income (loss).
 
During the years ended December 31, 2022, 2023 and 2024, credit losses were immaterial.
 
  g.
Property and equipment:
 
Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets at the following annual rates:
 
   
%
  
       
Computers, software and related equipment
  
20 – 33
  
Office furniture and equipment
  
15 – 20
  
Leasehold improvements
  
Over the shorter of the related lease period or the life of the asset
  
 
  h.
Long-lived assets impairment:
 
The long-lived assets of the Company, including finite-lived intangible assets, are reviewed for impairment in accordance with ASC No. 360, "Property, Plant and Equipment", whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets.
 
If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. During the years ended December 31, 2022, 2023 and 2024, no impairment losses have been recognized.
 
  i.
Business combinations:
 
The Company accounts for its business acquisitions in accordance with ASC No. 805, "Business Combinations." While the Company uses its best estimates and assumptions as part of the purchase price allocation process to value assets acquired and liabilities assumed at the business combination date, these estimates and assumptions are subject to refinement. The total purchase price allocated to the tangible and intangible assets acquired is assigned based on the fair values as of the date of the acquisition. During the measurement period, which does not exceed one year from the acquisition date, the Company may record adjustments to the assets acquired and liabilities assumed, with the corresponding offset to goodwill. Goodwill generated from the business combinations is primarily attributable to synergies between the Company and acquired companies` respective solutions. Acquisition-related expenses are recognized separately from the business combination and are expensed as incurred.

 

  j.
Goodwill and other intangible assets:
 
Goodwill and certain other purchased intangible assets have been recorded in the Company's financial statements as a result of acquisitions. Goodwill represents excess of the purchase price in a business combination over the fair value of identifiable tangible and intangible assets acquired. Goodwill is not amortized, but rather is subject to an impairment test.
 
ASC No. 350, "Intangible-Goodwill and other" requires goodwill to be tested for impairment at least annually and, in certain circumstances, between annual tests. The accounting guidance gives the option to perform a qualitative assessment to determine whether further impairment testing is necessary. The qualitative assessment considers events and circumstances that might indicate that a reporting unit's fair value is less than its carrying amount. If it is determined, as a result of the qualitative assessment, that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, a quantitative test is performed. The Company operates as one reporting unit. The Company elects to perform an annual impairment test of goodwill as of October 1 of each year, or more frequently if impairment indicators are present.
 
For the years ended December 31, 2022, 2023 and 2024, no impairment losses were identified.
 
Purchased intangible assets with finite lives are carried at cost, less accumulated amortization. Amortization is computed over the estimated useful lives of the respective assets, which range from one to 12 years. Intangible assets, consisting primarily of technology and customer relationships, are amortized over their estimated useful lives on a straight-line basis or in proportion to their economic benefits realized.
 
Amortization is calculated using the straight-line method over the estimated useful lives of the assets at the following annual rates:
 
   
%
  
       
Technology
  
20
  
Customer relationships
  
8-12.5
  
Other
  
25-100
  
 
  k.
Derivative instruments:
 
ASC No. 815, "Derivative and Hedging," requires companies to recognize all of their derivative instruments as either assets or liabilities on the balance sheet at fair value.
 
For those derivative instruments that are designated and qualify as hedging instruments, a company must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge, cash flow hedge or a hedge of a net investment in a foreign operation.
 
Gains and losses on the derivatives instruments that are designated and qualify as a cash flow hedge are recorded in accumulated other comprehensive income (loss) and reclassified into earnings in the same accounting period in which the designated forecasted transaction or hedged item affects earnings.

 

To hedge against the risk of changes in cash flows mainly resulting from foreign currency salary payments during the year, the Company instituted a foreign currency cash flow hedging program. The Company hedges portions of its forecasted expenses denominated in NIS. These forward and swap contracts are designated as cash flow hedges, as defined by ASC No. 815, and are all effective, as their critical terms match underlying transactions being hedged.
 
As of December 31, 2023 and 2024, the amount recorded in accumulated other comprehensive income (loss) from the Company's currency forward and swap transactions was $2,670 and $3,038, respectively.
 
As of December 31, 2024, the notional amounts of foreign exchange forward and swap contracts into which the Company entered were $129,250. The foreign exchange contracts will expire by December 2025. The fair value of derivative instruments assets balances as of December 31, 2023 and 2024, totaled $3,074 and $3,137, respectively. The fair value of derivative instruments liabilities balances as of December 31, 2023 and 2024, totaled $40 and $98, respectively.
 
The following table presents gains (losses) reclassified from accumulated other comprehensive income (loss) to the statements of comprehensive loss per line item:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Cost of revenues
  
$
509
    
$
590
    
$
(127
)
Research and development
    
5,381
      
6,486
      
(1,507
)
Sales and marketing
    
927
      
1,104
      
(251
)
General and administrative
    
1,358
      
1,713
      
(393
)
                         
Total gains (losses), before tax benefit (taxes on income)
    
8,175
      
9,893
      
(2,278
)
Tax benefit (taxes on income)
    
(981
)
    
(1,187
)
    
273
  
                         
Total gains (losses), net of tax benefit (taxes on income)
  
$
7,194
    
$
8,706
    
$
(2,005
)
 
In addition to the derivatives that are designated as hedges as discussed above, the Company enters into certain foreign exchange forward and swap transactions and holds foreign exchange deposits to economically hedge certain net asset balances in Euros and British Pounds Sterling. Gains and losses related to such derivative instruments are recorded in financial income, net. As of December 31, 2024, with respect to these transactions, the notional amounts of foreign exchange forward contracts into which the Company entered were $94,592. The foreign exchange forward contracts will expire by January 2029. The fair value of derivative instruments assets balances as of December 31, 2023 and 2024, totaled $6 and $3,477, respectively. The fair value of derivative instruments liabilities balances as of December 31, 2023 and 2024 totaled $996 and $26, respectively.
 
For the years ended December 31, 2022, 2023 and 2024, the Company recorded financial income (expense), net from hedging transactions of $2,281, $(1,051), and $4,494, respectively.
 
As further described in Note 12, Convertible Senior Notes, net, on September 17, 2024, the Company recognized a derivative asset of $259.3 million related to the Capped Call Transactions which were settled in cash on November 15, 2024.
 
  l.
Severance pay:
 
The Israeli Severance Pay Law, 1963 ("Severance Pay Law"), specifies that employees are entitled to severance payment, following the termination of their employment. Under the Severance Pay Law, the severance payment is calculated as one month salary for each year of employment, or a portion thereof.
 
The majority of the Company's liability for severance pay is covered by the provisions of Section 14 of the Severance Pay Law ("Section 14"). Under Section 14, employees are entitled to monthly deposits, at a rate of 8.33% of their monthly salary, made on behalf of the employee with insurance companies. Payments in accordance with Section 14 release the Company from any future severance payments in respect of those employees.
 
As a result, the Company does not recognize any liability for severance pay due to these employees and the deposits under Section 14 are not recorded as an asset in the Company's balance sheet.
 
For the Company's employees in Israel who are not subject to Section 14, the Company calculated the liability for severance pay pursuant to the Severance Pay Law based on the most recent salary of these employees multiplied by the number of years of employment as of the balance sheet date. The Company's liability for these employees is fully provided for via monthly deposits with severance pay funds, insurance policies and accruals. The value of these deposits recorded as an asset on the Company's balance sheet under other long-term assets as of December 31, 2023 and 2024 is $5,131 and $5,960, respectively. The amount of accrued severance payable recorded as a liability on the Company's balance sheet under long-term liabilities as of December 31, 2023 and 2024 is $8,337 and $9,115, respectively.
 
Severance expenses for the years ended December 31, 2022, 2023 and 2024 amounted to $7,836, $8,447 and $9,526, respectively.

 

  m.
U.S. defined contribution plan:
 
The U.S. subsidiaries have a 401(k) defined contribution plan covering certain full time and part time employees in the U.S. who meet certain eligibility requirements, excluding leased employees and contractors. All eligible employees may elect to contribute up to an annual maximum of 100% of their annual compensation to the plan through salary deferrals, subject to Internal Revenue Service limits, but not greater than $23.0 per year (for certain employees over 50 years of age the maximum contribution is $30.5 per year).
 
The U.S. subsidiaries match amounts equal to 100% of the first 3% of the employee's compensation that they contribute to the defined contribution plan and 50% of the next 2% of their compensation that they contribute to the defined contribution plan with a limit of $13.8 per year per employee. For the years ended December 31, 2022, 2023 and 2024, the U.S. subsidiary recorded expenses for matching contributions of $5,629, $6,575 and $7,181, respectively.
 
  n.

Convertible senior notes:
 
The Company accounts for convertible debt instruments pursuant to ASC 470 as a single liability measured at its amortized cost as long as it was not issued at a substantial premium and no other features require bifurcation and recognition as derivatives pursuant to ASC 815. The debt host is then measured at its amortized cost using the effective interest method.
 
  o.
Revenue recognition:
 
The Company generates substantially all of its revenues from providing the right to access its SaaS solutions and licensing the rights to use its software solutions, maintenance and professional services. Subscription revenues include Software as a Service ("SaaS") offerings and on-premises subscriptions (“Self-hosted Subscriptions”). The Company sells its solutions through its direct sales force and indirectly through resellers. Payment is typically due within 30 to 90 calendar days of the invoice date.

 

The Company recognizes revenues in accordance with ASC No. 606, "Revenue from Contracts with Customers" ("ASC No. 606"). As such, the Company identifies a contract with a customer, identifies the performance obligations in the contract, determines the transaction price, allocates the transaction price to each performance obligation in the contract and recognizes revenues when (or as) the Company satisfies a performance obligation.
 
The Company enters into contracts that can include combinations of products and services, which are generally capable of being distinct and accounted for as separate performance obligations and may include an option to provide additional solutions or services. SaaS subscriptions, Self-hosted Subscriptions, Perpetual license, professional services, updates and technical support are generally distinct since the customer can benefit from the services either on its own or together with other resources that are readily available and the Company's promise to transfer these products and services is separately identifiable from other promises in the contract. For options to provide additional services, the Company determines whether the option provides a material right to the customer.
 
The transaction price is determined based on the consideration to which the Company will be entitled in exchange for transferring goods or services to the customer. The Company does not grant a right of return to its customers.
 
In instances of contracts where revenue recognition differs from the timing of invoicing, the Company generally determined that those contracts do not include a significant financing component. The primary purpose of the invoicing terms is to provide customers with simplified and predictable ways of purchasing the Company's solutions, not to receive or provide financing. The Company uses the practical expedient and does not assess the existence of a significant financing component when the difference between payment and revenue recognition is a year or less. Revenue is recognized net of any taxes collected from customers which are subsequently remitted to the tax authorities.

 

Trade Receivables are recorded when the right to consideration becomes unconditional.
 
The Company records unbilled receivables from contracts when the revenue recognized exceeds the amount billed to the customer. As of December 31, 2023 and 2024, $20,194 and $37,495 short-term unbilled receivables are included in trade receivables, respectively, and $1,000 and $5,580 long-term unbilled receivables are included in other long-term assets, respectively.
 
The Company allocates the transaction price to each performance obligation based on its relative standalone selling price. For maintenance and support, the Company determines the standalone selling price based on the price at which the Company separately sells a renewal contracts. For professional services, the Company determines the standalone selling prices based on the prices at which the Company separately sells those services. For SaaS, Self-hosted Subscriptions and perpetual license, the Company substantially determines the standalone selling prices by taking into account available information such as historical selling prices, contract value, geographic location, and the Company's price list and discount policy.
 
The license portion of Self-hosted Subscriptions and perpetual license are recognized at the point of time when the license is made available for download by the customer. Maintenance and Support revenue related to perpetual license contracts and the maintenance component of the Self-hosted Subscriptions offering as well as SaaS revenues are recognized ratably, on a straight-line basis over the term of the related contract, which is generally one to three years, as the services have a consistent continuous pattern of transfer to a customer during the contract period. Professional services revenues are substantially recognized as the services are performed, using the method that best depicts the transfer of services to the customer.
 
The following table presents the Company's revenue by category:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
SaaS
  
$
166,361
    
$
298,331
    
$
468,680
  
Self-hosted subscription*
    
114,288
      
173,692
      
264,595
  
Perpetual license
    
49,964
      
21,037
      
14,449
  
Maintenance and support
    
217,695
      
207,561
      
196,982
  
Professional services
    
43,402
      
51,267
      
56,036
  
                         
   
$
591,710
    
$
751,888
    
$
1,000,742
  
 
* Self-hosted subscription also includes maintenance associated with Self-hosted Subscriptions.
 
For additional information regarding disaggregated revenues, please refer to Note 18 below.
 
Deferred revenue consists of unrecognized amounts billed under SaaS, Self-hosted Subscriptions, and maintenance and support contracts, as well as professional services which have not yet been performed as of the balance sheet date, for which the Company has an unconditional right for a consideration or has collected the amounts. Deferred revenues are recognized as (or when) the Company performs under the contract. During the year ended December 31, 2024, the Company recognized $397,998 that were included in the deferred revenues balance as of December 31, 2023.
 
Remaining Performance Obligations:
 
Transaction price allocated to remaining performance obligations represents non-cancellable contracts that have not yet been recognized, which includes deferred revenues and amounts not yet received that will be recognized as revenue in future periods.
 
The aggregate amount of the transaction price allocated to remaining performance obligations was $1,386 million as of December 31, 2024, out of which, the Company expects to recognize approximately 60% in 2025 and the remainder thereafter.
 
  p.
Deferred contract costs:
 
The Company pays sales commissions primarily to sales and certain management personnel based on their attainment of certain predetermined sales goals. Sales commissions are considered incremental and recoverable costs of obtaining a contract with a customer. Sales commissions paid for initial contracts, which are not commensurate with sales commissions paid for renewal contracts, are capitalized and amortized proportionately to revenue over an expected benefit period which is 5 years. The benefit period is determined by taking into consideration the technology life and other factors. Sales commissions for renewal contracts are capitalized and amortized over the related contractual renewal period and aligned with the revenue recognized from these contracts.
 
For the year ended December 31, 2023 and 2024, the amortization of deferred contract costs was $56,071 and $64,740, respectively. Amortization expense of these costs is substantially included in sales and marketing expenses.
 
As of December 31, 2023 and 2024, the Company presented deferred contract costs from contracts which are for periods of less than 12 months of $696 and $1,043, respectively, in prepaid expenses and other current assets, and deferred contract costs in respect of contracts which are greater than 12 months of $166,733 and $197,807, respectively, in other long-term assets, respectively.

 

  q.
Trade Receivables and Allowances:
 
Trade receivables include original invoiced amounts less an allowance for any potential uncollectible amounts and less invoiced amounts from maintenance and professional services contracts which haven't been recognized yet. Trade receivables also include unbilled receivables amounts that will be paid in the following year. The Company makes estimates of expected credit losses for the allowance for credit losses based upon its assessment of various factors, including historical experience, the age of the trade receivable balances, credit quality of its customers, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from customers. The estimated credit loss allowance is recorded as general and administrative expenses on the Company's consolidated statements of comprehensive loss.
 
  r.
Leases:
 
In accordance with (ASU) No. 2016-02, "Leases" (Topic 842)", the Company determines if an arrangement is a lease and the classification of that lease at inception based on: (1) whether the contract involves the use of a distinct identified asset, (2) whether the Company obtains the right to substantially all the economic benefits from the use of the asset throughout the period, and (3) whether the Company has a right to direct the use of the asset. The Company elected to not recognize a lease liability and a right-of-use ("ROU") asset for leases with a term of 12 months or less. The Company also elected the practical expedient to not separate lease and non-lease components for its leases.
 
ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make minimum lease payments arising from the lease. ROU assets are initially measured at amounts, which represents the discounted present value of the lease payments over the lease, plus any initial direct costs incurred. The lease liability is initially measured at lease commencement date based on the discounted present value of minimum lease payments over the lease term. The implicit rate within the operating leases is generally not determinable, therefore the Company uses its Incremental Borrowing Rate ("IBR") based on the information available at commencement date in determining the present value of lease payments. The Company's IBR is estimated to approximate the interest rate for collateralized borrowing with similar terms and payments and in economic environments where the leased asset is located. Certain leases include options to extend or terminate the lease. An option to extend the lease is considered in connection with determining the ROU asset and lease liability when it is reasonably certain that the Company will exercise that option. An option to terminate is considered unless it is reasonably certain that the Company will not exercise the option.
 
Payments under the Company's lease arrangements are primarily fixed, however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease right-of-use assets and liabilities. Variable lease payments are primarily comprised of payments affected by common area maintenance and utility charges.

 

  s.
Research and development costs:
 
Research and development costs are charged to the statements of comprehensive loss as incurred except to the extent that such costs are associated with internal-use software that qualifies for capitalization.
 
ASC No. 985-20, "Software - Costs of Software to Be Sold, Leased, or Marketed" requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. Based on the Company's solution development process, technological feasibility is established upon completion of a working model. Costs incurred by the Company between completion of the working model and the point at which the solution is ready for general release, have been insignificant.
 
  t.
Internal use software and website development cost:
 
The Company capitalizes qualifying costs associated with the development of its website and incurred during the application development stage related to software developed for internal-use in accordance with ASC No. 350-40 "Internal-use Software" ("ASC No. 350-40"). These costs are capitalized based on qualifying criteria. Such costs are amortized over the software's estimated life of five years. Costs incurred to develop software applications consist of (a) certain external direct costs of materials and services incurred in developing or obtaining internal-use computer software, and (b) payroll and payroll-related costs for employees who are directly associated with, and who devote time to, the development or implementation of the software. Capitalized internal-use software and website costs are included in property and equipment, net in the consolidated balance sheets.
 
The Company also capitalizes implementation costs incurred in a cloud computing arrangement that is a service contract. The capitalized implementation costs and their related amortization and cash flows are presented on the financial statements in consistent with the prepaid amounts and fees related to the associated cloud computing arrangement. Capitalized implementation costs are amortized over the term of the arrangement, beginning when the module or component of the cloud computing arrangement that is a service contract is ready for its intended use.
 
The Company recognized an impairment of internal use software in the amount of $2,067 during the year ended December 31, 2023. The impairment is presented under cost of subscriptions revenues. During the years ended December 31, 2022 and December 31, 2024, no impairments were recognized.
 
  u.
Advertising and marketing expenses:
 
Advertising and marketing expenses consist primarily of marketing campaigns and tradeshows. Advertising and marketing expenses are charged to the statement of comprehensive loss, as incurred. Advertising and marketing expenses for the years ended December 31, 2022, 2023 and 2024, amounted to $34,438, $35,625 and $46,877, respectively.

 

  v.
Share-based compensation:
 
The Company accounts for share-based compensation in accordance with ASC No. 718, "Compensation - Stock Compensation" ("ASC No. 718"). ASC No. 718 requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the award is recognized as an expense over the requisite service periods, which is generally the vesting period of the respective award, on a straight-line basis when the only condition to vesting is continued services. If vesting is subject to a performance condition, recognition is based on the implicit service period of the award. Expense for awards with performance conditions is estimated and adjusted on a quarterly basis based upon the assessment of the probability that the performance condition will be met.
 
The Company has selected the Black-Scholes-Merton option pricing model as the most appropriate fair value method for its option awards and Employee Share Purchase Plan ("ESPP"). The fair value of restricted share units ("RSUs") and performance share units ("PSUs") without market conditions, is based on the closing market value of the underlying shares at the date of grant. For PSUs subject to market conditions, the Company uses a Monte Carlo simulation model, which utilizes multiple inputs to estimate payout level and the probability that market conditions will be achieved.
 
The Black-Scholes-Merton and Monte Carlo models require a number of assumptions, of which the most significant are the expected share price volatility and the expected option term.
 
The Company recognizes forfeitures of equity-based awards as they occur. For graded vesting awards subject to service conditions, the Company recognizes compensation cost using the straight-line attribution method. For graded vesting awards subject to market or performance conditions, the Company recognizes compensation cost using the accelerated attribution method
 
  w.
Income taxes:
 
The Company accounts for income taxes in accordance with ASC No. 740-10, "Income Taxes" ("ASC No. 740-10"). ASC No. 740-10 prescribes the use of the asset and liability method whereby deferred tax asset and liability account balances are determined based on temporary differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company establishes a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value if it is more likely than not that some portion or all of the deferred tax assets will not be realized. As of December 31, 2024, the company established full valuation allowance on deferred tax assets in Israel and the US as further describe in Note 15, Income Taxes.
 
The Company established reserves for uncertain tax positions based on the evaluation of whether or not the Company's uncertain tax position is "more likely than not" to be sustained upon examination based on its technical merits. The Company records interest and penalties pertaining to its uncertain tax positions in the financial statements as income tax expense.

 

  x.
Basic and diluted net loss per share:
 
Basic net loss per ordinary share is computed by dividing net loss for each reporting period by the weighted-average number of ordinary shares outstanding during each year. Diluted net loss per ordinary share is computed by dividing net loss for each reporting period by the weighted average number of ordinary shares outstanding during the period, plus dilutive potential ordinary shares considered outstanding during the period, in accordance with ASC No. 260-10 "Earnings Per Share". The Company experienced a loss in the years ended December 31, 2022, 2023 and 2024; hence all potentially dilutive ordinary shares were excluded due to their anti-dilutive effect.
 
  y.
Comprehensive income (loss):
 
The Company accounts for comprehensive income (loss) in accordance with ASC No. 220, "Comprehensive Income." This statement establishes standards for the reporting and display of comprehensive income (loss) and its components in a full set of general purpose financial statements.
 
  z.
Concentration of credit risks:
 
Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, short-term bank deposits, marketable securities, trade receivables, severance pay funds and derivative instruments.
 
The majority of the Company's cash and cash equivalents and short-term bank deposits are invested with major banks in Israel and the United States. Such investments in the United States are in excess of insured limits and are not insured in other jurisdictions. Generally, these investments may be redeemed upon demand and the Company believes that the financial institutions that hold the Company's cash deposits are financially sound and, accordingly, bear minimal risk.
 
The Company's marketable securities consist of investments, which are highly rated by credit agencies, in government, corporate and government sponsored enterprises debentures. The Company's investment policy limits the amount that the Company may invest in any one type of investment or issuer, in order to reduce credit risk concentrations.
 
The trade receivables of the Company are mainly derived from sales to a diverse set of customers located primarily in the United States, Europe and Asia. The Company performs ongoing credit evaluations of its customers and, to date, has not experienced any significant losses.
 
The Company has entered into forward contracts with major banks in Israel to protect against the risk of changes in exchange rates. The derivative instruments hedge a portion of the Company's non-dollar currency exposure.

 

  aa.
Fair value of financial instruments:
 
The estimated fair value of financial instruments has been determined by the Company using available market information and valuation methodologies. Considerable judgment is required in estimating fair values. Accordingly, the estimates may not be indicative of the amounts the Company could realize in a current market exchange.
 
The following methods and assumptions were used by the Company in estimating the fair value of their financial instruments:
 
The carrying values of cash and cash equivalents, short-term bank deposits, trade receivables, prepaid expenses and other long-term and current assets, trade payables, employees and payroll accruals and accrued expenses and other current liabilities approximate their fair values due to the short-term maturities of these instruments.
 
The Company applies ASC No. 820, "Fair Value Measurements and Disclosures" ("ASC No. 820"), with respect to fair value measurements of all financial assets and liabilities.
 
The fair value of foreign currency contracts (used for hedging purposes) is estimated by obtaining current quotes from banks.
 
Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. A three-tier fair value hierarchy is established as a basis for considering such assumptions and for inputs used in the valuation methodologies in measuring fair value:
 
  Level 1 -
Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that can be accessed at the measurement date.
 
  Level 2 -
Inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration, for substantially the full term of the financial instruments.
 
  Level 3 -
Inputs are unobservable inputs based on the Company's own assumptions used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation.
 
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

 

In accordance with ASC No. 820, the Company measures its foreign currency derivative instruments, at fair value using the market approach valuation technique. Foreign currency derivative contracts as detailed in Note 2(k) are classified within Level 2 value hierarchy, as the valuation inputs are based on quoted prices and market observable data of similar instruments.
 
As of December 31, 2023, the estimated fair value of the Company’s convertible senior notes, net as further described in Note 12, was determined based on the closing quoted price of the convertible senior note, net as of the last day of trading for the period, and is considered Level 2 measurement. The fair value of the convertible senior notes is primarily affected by the trading price of the Company`s common stock and market interest rates.
 
The Capped Call Transactions (as defined in Note 12) are considered Level 3 measurement as the Company applies the Black-Scholes-Merton option pricing model and uses historical volatility to determine expected share price volatility, which is an unobservable input that is significant to the valuation.
 
Money Market Funds are classified within Level 1 as these assets are valued using quoted market prices for identical assets in active markets.
 
Marketable securities are classified within Level 2 as these assets are valued using alternative pricing sources utilizing market observable inputs.
 
  ab.
Investments in privately held companies:
 
The Company holds equity investments, in which it does not have control or significant influence, in private companies without readily determinable fair values. These investments are measured using the measurement alternative, which is cost, less any impairment, adjusted for changes in fair value are resulted from observable transactions for identical or similar investments of the same issuer. The investments are reviewed periodically to determine if impairments or adjustments to the fair value are needed. Adjustments and impairments are recorded in financial income, net on the consolidated statements of comprehensive loss.
 
The investments in privately held companies are included in other long-term assets on the consolidated balance sheets.
 
The carrying amounts of the Company’s investments in privately held companies without readily determinable market values as of December 31, 2023 and 2024, were $3,566 and $3,546, respectively.
 
During 2023 and 2024, the Company recorded in financial income, net unrealized gains (losses) of $1,313 and $(16), respectively, related to revaluation of its investments in privately held companies based on observable price changes.
 
During 2023 and 2024, the Company recorded in financial income, net realized gains of $1,444 and $0, respectively, related to selling of its investments in privately held companies.

 

  ac.
Recently adopted accounting standards:
 
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures, which expands annual and interim disclosure requirements for reportable segments, primarily through enhanced disclosures about significant segment expenses. In addition, it provides new segment disclosure requirements for entities with a single reportable segment. This ASU is effective for the Company’s fiscal year 2024. The Company adopted this standard for its annual period beginning January 1, 2024. See Note 18 - Segment Reporting for further information.
 
  ad.
Recently issued accounting standards:
 
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740), Improvements to Income Tax Disclosures, which requires disaggregated information about the effective tax rate reconciliation as well as information on income taxes paid. The guidance will be effective for the Company for annual periods beginning January 1, 2025, with early adoption permitted. The Company is currently evaluating the impact on its financial statement disclosures.
 
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Topic 220): Disaggregation of Income Statement Expenses, which requires disaggregated disclosure in the notes to the financial statements of prescribed categories of expenses within relevant income statement captions. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026 and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact on its financial statement disclosures.
 
  ae.
Reclassification:
 
Certain comparative figures have been reclassified to conform to the current year presentation. 
v3.25.0.1
BUSINESS COMBINATIONS
 12 Months Ended
Dec. 31, 2024
Business Combinations [Abstract]  
BUSINESS COMBINATIONS
NOTE 3:-
BUSINESS COMBINATIONS
 
Acquisition of Venafi
 
On October 1, 2024, the Company completed the acquisition of all outstanding shares of Venafi. The Company expects to combine Venafi’s machine identity management capabilities with the Company’s leading identity security capabilities including its Secret Management offerings, to establish a unified platform for end-to-end machine identity security at enterprise scale. The acquisition date fair value of the consideration transferred amounted to $1.66 billion in a combination of $1.02 billion in cash and 2,285,076 of the Company ordinary shares with an aggregate value of $639.1 million. Issuance costs amounted to $190 and were classified to Additional Paid in Capital.
 
Acquisition related expenses of $21.8 million were expensed by the Company in general and administrative expenses in its consolidated statements of comprehensive loss for the year ended December 31, 2024.
 
The consolidated statements of comprehensive loss include $47.1 million of revenue and $13.8 million of operating loss attributable to Venafi for the year ended December 31, 2024.
 
The transaction was accounted for as a business combination in accordance with ASC No. 805, “Business Combinations.” The total purchase price was preliminarily allocated using information currently available to the Company and may be subject to change as additional information is received during the respective measurement period, up to one year from the acquisition date. Preliminary allocation of the purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed based on their estimated fair values as of the acquisition date is as follows:
 
   
Fair Value
  
Cash and Cash Equivalents
  
$
35,940
  
Accounts Receivable, net
    
48,690
  
Other Assets
    
8,910
  
Intangible Assets, net
    
543,575
  
Goodwill
    
1,164,133
  
Deferred Revenue
    
(60,652
)
Other Liabilities
    
(25,486
)
Deferred Tax Liability
    
(55,366
)
Total Purchase Consideration
  
$
1,659,744
  
 
The excess of the purchase price over the tangible assets acquired, the identifiable intangible asset acquired and assumed liabilities was recorded as goodwill. We believe that the amount of goodwill reflects the expected synergistic benefits of being able to leverage the technology acquired with our existing solutions offerings and being able to successfully market and sell to our customer base. Goodwill is not expected to be deductible for income tax purposes.
 
The following table presents the identified intangible asset acquired:
 
   
Fair Value
    
Estimated useful life (in years)
  
Technology (1)
    
377,076
      
5
  
Customer Relationship (2)
    
154,962
      
8
  
Trademark (1)
    
7,029
      
1
  
 
  (1)
The income approach, specifically the relief from royalty method, was used to evaluate the fair value of the technology and trademark assets identified in the transaction.
 
  (2)
The income approach, specifically the multi-period excess earnings method (MEEM), was used to evaluate the fair value of the customer relationships identified in the transaction.
 
Unaudited Pro Forma Financial Information
 
The following pro forma financial information presents the combined results of operations of CyberArk and Venafi as if the acquisition had occurred on January 1, 2023, after giving effect to certain pro forma adjustments.
 
The pro forma financial information does not reflect any adjustments for anticipated expense savings or revenue generating synergies resulting from the acquisition and is not necessarily indicative of the operating results that would have actually occurred had the transaction been consummated on January 1, 2023.
 
   
Year Ended December 31,
  
   
2023
    
2024
  
Revenues
  
$
905,859
    
$
1,125,356
  
Net loss
  
$
(104,808
)
  
$
(133,939
)
 
The unaudited pro forma financial information presented is for informational purposes only and is not necessarily indicative of the results of operations that would have been achieved if the Venafi acquisition was completed at the beginning of fiscal year 2023 and is not indicative of the future operating results of the combined company. The pro forma results include adjustments related to purchase accounting, primarily amortization of acquisition-related intangible assets.
 
2022 Acquisitions
 
In March 2022, the Company acquired all of the share capital of AAPI1, Inc., a Delaware corporation ("Aapi"), for total gross consideration of $17,689. The Company acquired Aapi to bolster Identity Lifecycle Management capabilities and broaden Identity Automation and Orchestration capabilities across its Identity Security Platform. Aapi specializes in the field of automation of identity. With identity automation, embedded App functions and micro access control, Aapi develops an identity, communications and incident response platform. The Company expensed the related acquisition costs of $252 in General and Administrative. The Company accounted for the acquisition as business combination in accordance with ASC No. 805, "Business Combinations." Goodwill generated from this business combination is primarily attributable to the assembled workforce and expected post-acquisition synergies from integrating Aapi`s technology into the Company`s portfolio. Pro forma results of operations have not been presented because the acquisition was not material to the Company's results of operations.
 
In July 2022, the Company acquired all of the share capital of C3M, LLC ("C3M") for total gross consideration of $28,298. CyberArk acquired C3M to strengthen the Company’s platform by offering cloud privilege security offerings and further expand the Company’s capabilities. C3M specializes in multi-cloud security and compliance solutions. The Company expensed the related acquisition costs of $1,992. The Company accounted for the acquisition as business combination in accordance with ASC No. 805, "Business Combinations." Goodwill generated from this business combination is primarily attributable to the assembled workforce and expected post-acquisition synergies from integrating C3M`s technology into the Company`s portfolio. Pro forma results of operations have not been presented because the acquisition was not material to the Company's results of operations.
v3.25.0.1
MARKETABLE SECURITIES
 12 Months Ended
Dec. 31, 2024
Investments, Debt and Equity Securities [Abstract]  
MARKETABLE SECURITIES
NOTE 4:-
MARKETABLE SECURITIES
 
The following tables summarize the amortized cost, unrealized gains and losses, and fair value of available-for-sale marketable securities as of December 31, 2023 and 2024:

 

   
December 31, 2023
  
   
Amortized cost
    
Gross unrealized losses
    
Gross unrealized gains
    
Fair value
  
                         
Corporate debentures
  
$
324,485
    
$
(4,998
)
  
$
357
    
$
319,844
  
Government debentures
    
288,214
      
(828
)
    
334
      
287,720
  
                                 
Total
  
$
612,699
    
$
(5,826
)
  
$
691
    
$
607,564
  
 
   
December 31, 2024
  
   
Amortized cost
    
Gross unrealized losses
    
Gross unrealized gains
    
Fair value
  
                         
Corporate debentures
  
$
58,265
    
$
(871
)
  
$
6
    
$
57,400
  
Government debentures
    
301
      
-
      
-
      
301
  
                                 
Total
  
$
58,566
    
$
(871
)
  
$
6
    
$
57,701
  
 
The following table summarizes the continuous unrealized loss position and fair value of available-for-sale marketable securities as of December 31, 2023 and 2024, by duration of continuous unrealized loss:

 

   
December 31,
  
   
2023
    
2024
  
   
Gross unrealized losses
    
Fair value
    
Gross unrealized losses
    
Fair value
  
                         
Continuous unrealized loss position for less than 12 months
  
$
(590
 )  
$
186,910
    
$
(31
 )  
$
10,266
  
Continuous unrealized loss position for more than 12 months
    
(5,236
 )    
190,560
      
(840
 )    
40,842
  
                                 
   
$
(5,826
 )  
$
377,470
    
$
(871
 )  
$
51,108
  
 
During 2023 and 2024, the Company recorded in financial income, net, gross realized gains of $23 and $775, respectively.
 
During 2023 and 2024, the Company recorded in financial income, net, gross realized losses of $(3) and $(1,407), respectively.
 
The following table summarizes the amortized cost and fair value of available-for-sale marketable securities as of December 31, 2023 and 2024, by contractual years-to maturity:

 

   
December 31,
  
   
2023
    
2024
  
   
Amortized cost
    
Fair value
    
Amortized cost
    
Fair value
  
                         
Due within one year
  
$
285,012
    
$
283,016
    
$
36,775
    
$
36,356
  
Due between one and four years
    
327,687
      
324,548
      
21,791
      
21,345
  
                                 
   
$
612,699
    
$
607,564
    
$
58,566
    
$
57,701
  
v3.25.0.1
PREPAID EXPENSES AND OTHER CURRENT ASSETS
 12 Months Ended
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
PREPAID EXPENSES AND OTHER CURRENT ASSETS
NOTE 5:-
PREPAID EXPENSES AND OTHER CURRENT ASSETS

 
   
December 31,
  
   
2023
    
2024
  
             
Prepaid expenses
  
$
19,133
    
$
25,826
  
Hedging transaction assets
    
3,080
      
5,818
  
Government authorities
    
7,513
      
10,462
  
Deferred contract costs
    
696
      
1,043
  
Other current assets
    
1,128
      
2,143
  
                 
   
$
31,550
    
$
45,292
  
v3.25.0.1
PROPERTY AND EQUIPMENT, NET
 12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
PROPERTY AND EQUIPMENT, NET
NOTE 6:-
PROPERTY AND EQUIPMENT, NET
 
The composition of property and equipment, net is as follows:
 
   
December 31,
  
   
2023
    
2024
  
             
Cost:
            
Computers, software and related equipment *)
  
$
42,570
    
$
51,230
  
Leasehold improvements
    
10,600
      
14,239
  
Office furniture and equipment
    
4,352
      
5,976
  
                 
     
57,522
      
71,445
  
                 
Less - accumulated depreciation
    
41,028
      
51,864
  
                 
Depreciated cost
  
$
16,494
    
$
19,581
  
 
*) For the years ended December 31, 2023 and 2024, the Company capitalized $1,686 and $2,359 including $303 and $514 of share-based compensation costs, relating to its internal use software and website development, respectively.
 
Depreciation expense amounted to $9,548, $9,809 and $8,751 for the years ended December 31, 2022, 2023, and 2024, respectively, including $2,137, $2,576 and $2,039, respectively, relating to its internal use software and website development.
v3.25.0.1
GOODWILL AND OTHER INTANGIBLE ASSETS, NET
 12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
GOODWILL AND OTHER INTANGIBLE ASSETS, NET
NOTE 7:-
GOODWILL AND OTHER INTANGIBLE ASSETS, NET
 
Changes in the carrying amount of goodwill:

 

   
December 31,
  
   
2023
    
2024
  
             
Balance as of beginning of the year
  
$
153,241
    
$
153,241
  
Goodwill acquired
    
-
      
1,164,133
  
                 
Closing balance
  
$
153,241
    
$
1,317,374
  

 

The composition of intangible assets is as follows:

 

 
  
December 31,
  
   
2023
    
2024
  
             
Original amount:
            
             
Technology
  
$
55,922
    
$
432,998
  
Customer relationships
    
9,586
      
164,548
  
Other
    
732
      
16,450
  
                 
     
66,240
      
613,996
  
                 
Less - accumulated amortization
    
46,038
      
79,270
  
                 
Intangible assets, net
  
$
20,202
    
$
534,726
  
 
Amortization expense amounted to $6,655, $7,374 and $33,232 for the years ended December 31, 2022, 2023, and 2024, respectively.
 
As of December 31, 2024, the weighted-average remaining useful lives (in years) of Technology, and Customer relationships was 4.7 and 7.7, respectively.
 
The estimated future amortization expense of intangible assets as of December 31, 2024 is as follows:

 

2025
    
107,345
  
2026
    
100,785
  
2027
    
99,710
  
2028
    
95,404
  
2029
    
77,311
  
Thereafter
    
54,171
  
         
   
$
534,726
  
v3.25.0.1
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
 12 Months Ended
Dec. 31, 2024
Payables and Accruals [Abstract]  
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES
NOTE 8:-
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES

 
   
December 31,
  
   
2023
    
2024
  
             
Government authorities
  
$
8,464
    
$
10,923
  
Accrued expenses
    
12,879
      
20,723
  
Unrecognized tax benefits
    
5,960
      
10,609
  
Lease liabilities, current
    
8,240
      
11,107
  
Hedging transaction liabilities
    
1,019
      
124
  
                 
   
$
36,562
    
$
53,486
  
v3.25.0.1
COMMITMENTS AND CONTINGENT LIABILITIES
 12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
COMMITMENTS AND CONTINGENT LIABILITIES
NOTE 9:-
COMMITMENTS AND CONTINGENT LIABILITIES
 
  a.
Legal contingencies:
 
From time to time, the Company becomes involved in legal proceedings or is subject to claims arising in its ordinary course of business. Such matters are generally subject to many uncertainties and outcomes are not predictable with assurance. The Company accrues for contingencies when the loss is probable and it can reasonably estimate the amount of any such loss. The Company is currently not a party to any material legal or administrative proceedings and is not aware of any material pending or threatened material legal or administrative proceedings against the Company.
 
  b.
Bank guarantees:
 
The Company obtained bank guarantees of $2,782 primarily in connection with office lease agreements.
 
  c.
Non-cancellable purchase obligations:
 
The Company entered into non-cancellable agreements for the receipt of cloud infrastructure services and subscription-based cloud services. Future payments under non-cancellable purchase obligations as of December 31, 2024 are as follows:
 
2025
    
58,035
  
2026
    
64,488
  
2027
    
52,913
  
         
   
$
175,436
  
v3.25.0.1
LEASES
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
LEASES
NOTE 10:-
LEASES
 
The Company entered into operating leases primarily for offices. The leases have remaining lease terms of up to 5 years, some of which may include options to extend the leases for up to an additional 5 years.
 
The components of operating lease costs were as follows:

 

   
Year ended
December 31,
  
   
2023
    
2024
  
             
Operating lease cost
  
$
8,888
    
$
10,195
  
Short-term lease cost
    
1,858
      
1,483
  
Variable lease cost
    
1,491
      
1,534
  
                 
Total net lease costs
  
$
12,237
    
$
13,212
  
 
Supplemental balance sheet information related to operating leases is as follows:
 
   
December 31,
  
   
2023
    
2024
  
             
Operating lease ROU assets (under other long-term assets in the balance sheets)
  
$
32,186
    
$
31,154
  
Operating lease liabilities, current
  
$
8,240
    
$
11,107
  
Operating lease liabilities, long-term (under other long-term liabilities in the balance sheets)
  
$
22,293
    
$
18,208
  
Weighted average remaining lease term (in years)
    
4.8
      
3.7
  
Weighted average discount rate
    
2.9
%
    
3.3
%
 
Maturities of the Company’s operating lease liabilities as of December 31, 2024 are as follows:
 
   
December 31, 2024
  
       
2025
    
11,240
  
2026
    
7,136
  
2027
    
5,541
  
2028
    
4,055
  
2029
    
2,895
  
Thereafter
    
7
  
         
Total undiscounted lease payments
    
30,874
  
Less: imputed interest
    
(1,559
)
         
Present value of lease liabilities
  
$
29,315
  
v3.25.0.1
FAIR VALUE MEASUREMENTS
 12 Months Ended
Dec. 31, 2024
Fair Value Disclosures [Abstract]  
FAIR VALUE MEASUREMENTS
NOTE 11:
FAIR VALUE MEASUREMENTS
 
The following tables present the fair value of money market funds and marketable securities as of December 31, 2023 and 2024:

 

   
December 31,
  
   
2023
    
2024
  
   
Level 1
    
Level 2
    
Total
    
Level 1
    
Level 2
    
Total
  
Cash equivalents:
                                    
Money market funds
  
$
315,784
    
$
-
    
$
315,784
    
$
455,712
    
$
-
    
$
455,712
  
Corporate debentures and commercial paper
    
-
      
1,001
      
1,001
      
-
      
-
      
-
  
Government debentures
    
-
      
1,194
      
1,194
      
-
      
-
      
-
  
                                                 
Marketable securities:
                                                
Corporate debentures and commercial paper
    
-
      
319,844
      
319,844
      
-
      
57,400
      
57,400
  
Government debentures
    
-
      
287,720
      
287,720
      
-
      
301
      
301
  
                                                 
Total money market funds and marketable securities measured at fair value
  
$
315,784
    
$
609,759
    
$
925,543
    
$
455,712
    
$
57,701
    
$
513,413
  
v3.25.0.1
CONVERTIBLE SENIOR NOTES, NET
 12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
CONVERTIBLE SENIOR NOTES, NET
NOTE 12:
CONVERTIBLE SENIOR NOTES, NET
 
  a.
Convertible senior notes, net:
 
In November 2019, the Company issued $500 million aggregate principal amount, 0% coupon rate, of convertible senior notes due 2024 and an additional $75 million aggregate principal amount of such notes pursuant to the exercise in full of the over-allotment option of the initial purchasers (collectively, "Convertible Notes").
 
The Convertible Notes were convertible based upon an initial conversion rate of 6.3478 of the Company's ordinary shares, par value NIS 0.01 per share, per $1 principal amount of Convertible Notes (equivalent to a conversion price of approximately $157.53 per ordinary share). The Convertible Notes were senior unsecured obligations of the Company.
 
During the year ended December 31, 2024, the conditions allowing holders of the Convertible Notes to convert were met, and $574.5 million in aggregate principal amount of the Convertible Notes were converted for physical settlement prior to November 15, 2024 (the "Maturity Date"), and $0.5 million were repaid in cash at par at the Maturity Date.
 
Prior to May 15, 2024, a holder was able to convert all or a portion of its Convertible Notes only under the following circumstances:
 
  (1)
During any calendar quarter commencing after the calendar quarter ending on March 31, 2020 (and only during such calendar quarter), if the last reported sale price of the Company's ordinary shares for at least 20 trading days (whether or not consecutive) during a period of 30 consecutive trading days ending on, and including, the last trading day of the immediately preceding calendar quarter was greater than or equal to 130% of the conversion price on each applicable trading day;

 

  (2)
During the five business day period after any 10 consecutive trading day period ("measurement period") in which the trading price, determined pursuant to the terms of the Convertible Notes, per $1 principal amount of Convertible Notes for each trading day of the measurement period was less than 98% of the product of the last reported sale price of the ordinary shares and the conversion rate on each such trading day;
 
  (3)
If the Company called the Convertible Notes for redemption in certain circumstances, at any time prior to the close of business on the third scheduled trading day immediately preceding the redemption date; or
 
  (4)
Upon the occurrence of specified corporate events.
 
On or after May 15, 2024 until the close of business on the third scheduled trading day immediately preceding the Maturity Date, a holder was able to convert its Convertible Notes at any time, regardless of the foregoing circumstances.
 
Upon conversion, the Company could pay or deliver cash, ordinary shares or a combination of cash and ordinary shares, at the Company's election.
 
   
The Company could not redeem the notes prior to November 15, 2022, except in the event of certain tax law changes. The Company could, at any time and from time to time, redeem for cash all or any portion of the notes, at the Company's option, on or after November 15, 2022, if the last reported sale price of the Company`s ordinary shares had been at least 130% of the conversion price then in effect for at least 20 trading days (whether or not consecutive) during any 30 consecutive trading day period (including the last trading day of such period) ending on, and including, the trading day immediately preceding the date on which it delivered notice of redemption at a redemption price equal to 100% of the principal amount of the notes to be redeemed.
 
Upon the occurrence of a Fundamental Change as defined in the Indenture, holders could require the Company to repurchase for cash all or any portion of their Convertible Notes at a fundamental change repurchase price equal to 100% of the principal amount of the Convertible Notes to be repurchased (plus accrued and unpaid special interest payable under certain circumstances set forth in the terms of the Convertible Notes (if any) to, but excluding, the fundamental change repurchase date). In addition, in connection with a make-whole fundamental change (as defined in the Indenture), or following the Company's delivery of a notice of redemption, the Company would, in certain circumstances, increase the conversion rate for a holder who elected to convert its notes in connection with such a corporate event or redemption, as the case may be.
 
On March 2024, the Company and the Convertible Notes trustee, entered into a supplemental indenture to change the Settlement Method (as defined in the Indenture) elected, or deemed elected, if it does not timely elect a Settlement Method applicable to a conversion of Convertible Notes, to Physical Settlement (as defined in the Indenture).

 

As of December 31, 2023, the Convertible Notes were classified as a current liability.
 
The net carrying amount of the liability of the Convertible Notes as of December 31, 2023 and 2024 was as follows:
 
   
December 31,
  
   
2023
    
2024
  
Liability component:
            
             
Remaining principal amount
  
$
575,000
    
$
-
  
Unamortized issuance costs
    
(2,660
)
    
-
  
                 
Net carrying amount
  
$
572,340
    
$
-
  
 
Interest expense related to the Convertible Notes was as follows:
 
 
Year ended
  
   
December 31,
  
   
2022
    
2023
    
2024
  
                   
Amortization of debt issuance costs
  
$
2,980
    
$
2,996
    
$
2,660
  
                         
Total interest expense recognized
  
$
2,980
    
$
2,996
    
$
2,660
  
 
  b.
Capped Call Transactions:
 
In connection with the pricing of the Convertible Notes and the exercise by the Initial Purchasers of the over-allotment option, the Company entered into privately negotiated capped call transactions ("Capped Call Transactions") with certain financial institutions ("Option Counterparties"). The Capped Call Transactions covered, collectively, the number of the Company's ordinary shares underlying the Convertible Notes, subject to anti-dilution adjustments substantially similar to those applicable to the Convertible Notes.
 
The Capped Call Transactions had an initial strike price of approximately $157.53 per share, subject to certain adjustments, which corresponded to the approximate initial conversion price of the Convertible Notes.
 
The cap price of the Capped Call Transactions was initially $229.14 per share and was subject to certain adjustments under the terms of the Capped Call Transactions. The Capped Call Transactions were separate transactions, in each case, entered into by the Company with the Option Counterparties, and were not part of the terms of the Convertible Notes and would not have changed the holders' rights under the Convertible Notes.

 

During the year ended December 31, 2024, the Company reclassified the Capped Call Transactions from equity at fair value. The Capped Call Transactions were previously recorded as part of equity since the Company could have elected the settlement method and equity classification was not precluded under ASC 815. When the Company could no longer change the settlement method, cash settlement became mandatory and therefore the Capped Call Transactions were required to be reclassified and measured at fair value through earnings.
 
As such, $256.7 million was reclassified from additional paid-in capital to derivative assets. The change in fair value of the derivative asset from the reclassification date to December 31, 2024, was $4.6 million and was recorded to financial income, net on the consolidated statements of comprehensive loss.
 
On November 15, 2024, the Company received $261.4 million in cash from the Option Counterparties as final settlement of the Capped Call Transactions.
v3.25.0.1
REVOLVING CREDIT FACILITY
 12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
REVOLVING CREDIT FACILITY
NOTE 13:-
REVOLVING CREDIT FACILITY

 
On June 25, 2024, the Company entered into a revolving credit facility agreement (“Credit Facility”) with Bank Leumi le-Israel B.M. (“Lender”). The Credit Facility enables the Company to borrow up to $250 million and matures on June 24, 2026.
 
The borrowings under the Credit Facility bear interest at a base rate plus a spread of 0.8% to 1.8%, or a three-month Secured Overnight Financing Rate plus a spread of 2.45% to 4%. The ongoing fee on undrawn amounts is 0.7%.

 

The Credit Facility requires the Company to maintain at all times a minimum amount of $150 million unrestricted Cash and Cash equivalents, of which a minimum amount of $60 million is in a specified bank account of the Lender. In addition, the Company is required to maintain a maximum quarterly net debt to adjusted EBITDA ratio of 4.5, stepping down to 2.5 over time. Non-compliance with a financial covenant may be cured by the next consecutive quarter. In addition, the Credit Facility requires the consent of the Lender in relation to change in control, merger, consolidation or incurrence of pledges.

 

As of December 31, 2024, the Company has no outstanding amounts under the Credit Facility and was in compliance with all financial covenants.
v3.25.0.1
SHAREHOLDERS' EQUITY
 12 Months Ended
Dec. 31, 2024
Stockholders' Equity Note [Abstract]  
SHAREHOLDERS' EQUITY
NOTE 14:-
SHAREHOLDERS' EQUITY
 
  a.
Composition of share capital of the Company:
 
   
December 31,
   
2023
  
2024
   
Authorized
  
Issued and outstanding
  
Authorized
  
Issued and outstanding
   
Number of shares
  
                 
Ordinary shares of NIS 0.01  par value each
  
250,000,000
  
42,255,336
  
250,000,000
  
49,426,711
 
  b.
Ordinary shares:
 
The ordinary shares of the Company confer upon the holders the right to receive notices of and to participate and vote in general meetings of the Company, rights to receive dividends and rights to participate in distribution of assets upon liquidation.
 
  c.
Share-based compensation:
 
The 2024 Share Incentive Plan (the “2024 Plan”) was adopted by our board of directors and became effective on June 1, 2024. 1,787,022 ordinary shares reserved for issuance were transferred from the 2014 Share Incentive Plan to the 2024 Plan.
 
The maximum aggregate number of shares that may be issued pursuant to awards under this 2024 Plan is the sum of (a) 1,786,992 ordinary shares, plus (b) on January 1 of each calendar year commencing in 2025, a number of ordinary shares equal to the lesser of: (i) an amount determined by the Board, if so determined prior to the January 1 of the calendar year in which the increase will occur, (ii) 4% of the total number of ordinary shares of the Company outstanding on December 31 of the immediately preceding calendar year, and (iii) 4,000,000 ordinary shares.
 
On January 1, 2021, the Company’s ESPP became effective. The ESPP enables eligible employees of the Company and its designated subsidiaries to elect to have payroll deductions made during a six-month offering period in an amount not exceeding 15% of the gross base compensation which the employees receive. The applicable purchase price will be no less than 85% of the lesser of the fair market value of the Company’s ordinary shares on the first day or the last day of the purchase period. The total number of ordinary shares initially reserved under the ESPP as of January 1, 2021 was 125,000 shares (the “ESPP Share Pool”). On January 1 of each year between 2022 and 2026, the ESPP Share Pool will be increased by a number of ordinary shares equal to the lower of (i) 1,000,000 ordinary shares, (ii) 1% of the Company’s outstanding ordinary shares on December 31 of the immediately preceding calendar year, and (iii) a lesser number of ordinary shares determined by the Company’s board of directors.
 
Under the 2024 Plan, options, restricted stock units (“RSUs”), performance share units (“PSUs”) and other share-based awards may be granted to employees, officers, non-employee consultants and directors of the Company.
 
Under the 2024 Plan and ESPP, as of December 31, 2024, an aggregate number of 1,650,364 ordinary shares were reserved for future grant. Any share under the 2024 Plan underlying an award that is cancelled, terminated or forfeited for any reason without having been exercised will automatically be available for grant under the 2024 Plan.
 
The total share-based compensation expense related to all of the Company's equity-based awards, recognized for the years ended December 31, 2022, 2023 and 2024 is comprised as follows:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Cost of revenues
  
$
15,060
    
$
17,612
    
$
21,724
  
Research and development
    
27,102
      
29,458
      
34,953
  
Sales and marketing
    
51,099
      
58,790
      
67,924
  
General and administrative
    
27,560
      
34,241
      
44,165
  
                         
Total share-based compensation expense
  
$
120,821
    
$
140,101
    
$
168,766
  
 
The total unrecognized compensation cost amounted to $352,891 as of December 31, 2024 and is expected to be recognized over a weighted average period of 2.59 years.
 
  d.
Options granted to employees:
 
There were no options granted during the year ended December 31, 2024.
 
A summary of the activity in options granted to employees for the year ended December 31, 2024 is as follows:
 
   
Amount
of
options
    
Weighted
average
exercise
price
    
Weighted average remaining contractual term
(in years)
    
Aggregate
intrinsic value
  
                         
Balance as of December 31, 2023
    
244,787
    
$
78.85
      
4.24
    
$
34,320
  
                                 
Exercised
    
119,120
    
$
69.76
            
$
25,031
  
Forfeited
    
2,249
    
$
147.9
            
$
319
  
Expired
    
34
    
$
51.86
            
$
7
  
                                 
Balance as of December 31, 2024
    
123,384
    
$
86.37
      
3.69
    
$
30,449
  
                                 
Exercisable as of December 31, 2024
    
117,648
    
$
83.23
      
3.5
    
$
29,403
  
 
The expected volatility of the Company's ordinary shares is based on the Company's historical volatility. The expected option term represents the period of time that options granted are expected to be outstanding, based upon historical experience.
 
The Company has historically not paid dividends and has no foreseeable plans to pay dividends and, therefore, uses an expected dividend yield of zero in the option pricing model. The risk-free interest rate is based on the yield of U.S. treasury bonds with equivalent terms.
 
The following tables sets forth the parameters used in computation of the options and ESPP compensation to employees for the years ended December 31, 2022, 2023 and 2024:
 
   
Year ended
December 31,
  
Options
  
2022
    
2023
    
2024
  
                   
Expected volatility
  
46%-50%
 
  
51%
 
  
-
  
Expected dividends
  
0%
 
  
0%
 
  
-
  
Expected term (in years)
  
3.73-3.76
    
3.77-3.78
    
-
  
Risk free rate
  
1.67%-4.40%
 
  
3.58%-3.97%
 
  
-
  
 
   
Year ended
December 31,
  
ESPP
  
2022
    
2023
    
2024
  
                   
Expected volatility
  
55.67%-64.20%
    
39.46%-44.12%
    
28.23%-29.27%
  
Expected dividends
  
0%
    
0%
    
0%
  
Expected term (in years)
  
0.5
    
0.5
    
0.5
  
Risk free rate
  
2.15%-4.65%
    
5.33%-5.44%
    
4.43%-5.39%
  
 
A summary of options data for the years ended December 31, 2022, 2023 and 2024, is as follows:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Weighted-average grant date fair value of options granted
  
$
39.69
    
$
62.25
    
$
-
  
Total intrinsic value of the options exercised
  
$
30,031
    
$
22,935
    
$
25, 031
  
 
The aggregate intrinsic value is calculated as the difference between the per-share exercise price and the fair value of an ordinary share for each share subject to an option multiplied by the number of shares subject to options at the date of exercise.
 
  e.
A summary of RSU and PSU activity for the year ended December 31, 2024 is as follows:
 
   
Amount
of
RSUs and PSUs
    
Weighted
average
grant date fair value
  
             
Unvested as of December 31, 2023
    
2,639,337
    
$
136.15
  
                 
Granted
    
1,122,240
      
246.78
  
Vested
    
1,015,487
      
130.44
  
Forfeited
    
117,308
      
152.82
  
                 
Unvested as of December 31, 2024
    
2,628,782
    
$
184.84
  
 
The total fair value of RSUs and PSUs vested (based on fair value of the Company's ordinary shares at vesting date) during the years ended December 31, 2022, 2023 and 2024 was $117,812, $135,873 and $257,379, respectively.
 
The amount of unvested PSU as of December 31, 2024 is 382,140.
v3.25.0.1
INCOME TAXES
 12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
INCOME TAXES
NOTE 15:-
INCOME TAXES
 
CyberArk Software Ltd.'s subsidiaries are separately taxed under the domestic tax laws of the jurisdiction of incorporation of each entity.
 
a.         Corporate tax in Israel:
 
Ordinary taxable income is subject to a corporate tax rate of 23% for the years 2022-2024. Refer to Note 15g for tax benefits in Israel.
 
  b.
Loss before taxes on Income is comprised as follows:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Domestic loss
  
$
(167,606
)
  
$
(116,661
)
  
$
(27,469
)
Foreign income
    
30,588
      
53,403
      
11,503
  
                         
   
$
(137,018
)
  
$
(63,258
)
  
$
(15,966
)
 
  c.
Deferred income taxes:
 
Deferred taxes reflect the net tax effect of temporary differences between the carrying amounts of assets and liabilities for financial reporting purposes and the amounts recorded for tax purposes. Significant components of the Company's deferred tax assets and liabilities are as follows:
 
   
December 31,
  
   
2023
    
2024
  
Deferred tax assets:
            
             
Carry-forwards losses and credits
  
$
59,911
    
$
117,493
  
Capitalized research and development
    
22,859
      
40,324
  
Deferred revenues
    
12,841
      
19,749
  
Intangible assets
    
8,267
      
7,727
  
Share-based compensation
    
26,897
      
29,123
  
Operating lease liability
    
4,737
      
4,971
  
Accruals and others
    
4,276
      
9,680
  
                 
Gross deferred tax assets before valuation allowance
    
139,788
      
229,067
  
                 
Less: Valuation allowance
    
24,569
      
94,663
  
                 
Total deferred tax assets
  
$
115,219
    
$
134,404
  
                 
Deferred tax liabilities:
                
                 
Intangible assets
  
$
(3,527
)
  
$
(133,928
)
Deferred commissions
    
(24,999
)
    
(31,133
)
Operating lease ROU asset
    
(4,696
)
    
(4,948
)
Property and equipment and other
    
(700
)
    
(655
)
                 
Gross deferred tax liabilities
  
$
(33,922
)
  
$
(170,664
)
                 
Net deferred tax assets (liabilities)
  
$
81,297
    
$
(36,260
)
 
In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. During the year ended December 31, 2024, the Company concluded that, based on its evaluation of available evidence, it was no longer more likely than not that some of the Company's deferred tax assets were recoverable, primarily in Israel. As a result, the Company recorded a valuation allowance of $65.4 million against its deferred tax assets.
 
As of December 31, 2024, $117,301 of undistributed earnings held by the Company's foreign subsidiaries are designated as indefinitely reinvested. If these earnings were repatriated to Israel, it would be subject to Israeli income taxes and to foreign withholding taxes and an adjustment for foreign tax credits. Determination of the amount of unrecognized deferred tax liability on undistributed earnings is not practicable.
 
  d.
Income taxes are comprised as follows:

 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Current
  
$
8,980
    
$
11,125
    
$
11,202
  
Deferred
    
(15,630
)
    
(7,879
 )    
66,293
  
                         
   
$
(6,650
)
  
$
3,246
    
$
77,495
  
 
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Domestic
  
$
(19,716
)
  
$
(14,105
)
  
$
3,766
  
Foreign
    
13,066
      
17,351
      
73,729
  
                         
   
$
(6,650
)
  
$
3,246
    
$
77,495
  
 
  e.
A reconciliation of the Company's theoretical income tax benefit to actual income tax expense (benefit) is as follows:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Loss before income taxes
  
$
(137,018
)
  
$
(63,258
)
  
$
(15,966
)
                         
Statutory tax rate
    
23.0
%
    
23.0
%
    
23.0
%
                         
Theoretical tax benefit
    
(31,514
)
    
(14,549
)
    
(3,672
)
                         
Excess tax benefits related to share-based compensation
    
(1,817
)
    
(3,817
)
    
(12,788
)
 Non-deductible expenses
    
6,325
      
2,963
      
6,560
  
                         
Changes in valuation allowance
    
1,538
      
3,320
      
70,758
  
Changes in unrecognized tax benefits
    
(1,914
)
    
3,155
      
10,550
  
Foreign and preferred enterprise tax rates differential
    
18,450
      
12,826
      
4,726
  
                         
Prior years and others
    
2,282
      
(652
)
    
1,361
  
                         
Income tax expense (tax benefit)
  
$
(6,650
)
  
$
3,246
    
$
77,495
  
 
  f.
Net operating loss and tax credits carry-forwards:
 
As of December 31, 2024, the Company has aggregate federal and state net operating loss carryforwards of $273,127 and $201,600, respectively, attributed to the U.S. subsidiaries. The federal net operating losses, if not utilized, can be carried forward indefinitely, but are subject to the 80% taxable income limitation upon utilization. $95,052 of the state net operating loss carryforwards, can be carried forward indefinitely. The remaining amount will begin to expire in 2025 through 2044. Utilization of some of these U.S. net operating losses are subject to annual limitation due to the "change in ownership" provisions of the U.S. Internal Revenue Code and similar state provisions. The annual limitation may result in the expiration of net operating losses before utilization.
 
The Company has federal and state research and development credits carryforwards of $19,939. If not utilized, the research and development credits carryforwards will begin to expire in 2026 through 2044. Additionally, foreign tax credits carryforwards in U.S. totaled $15,496. If not utilized, the foreign tax credits carryforwards will begin to expire in 2025 through 2034.
 
As of December 31, 2024, net operating loss carryforwards in Israel totaled $193,583 and can be carried forward indefinitely. Additionally, foreign tax credits carryforwards in Israel totaled $1,444 and will begin to expire in 2027 through 2030.
 
  g.
Tax benefits under the Law for the Encouragement of Capital Investments, 1959:
 
As of December 31, 2024, approximately $13,945 was derived from tax exempt profits earned by the Company's "Approved Enterprises" and "Beneficiary Enterprise". The Company and its Board of Directors have determined that such tax-exempt income will not be distributed as dividends and intends to reinvest the amount of its tax-exempt income earned by the Company. Accordingly, no provision for deferred income taxes has been provided on income attributable to the Company's "Approved Enterprises" and "Beneficiary Enterprises" as such income is essentially permanently reinvested.
 
If the Company's retained tax-exempt income is distributed, the income would be taxed at the applicable corporate tax rate as if it had not elected the alternative tax benefits under the Law for the Encouragement of Capital Investments ("Investment Law") and an income tax liability of up to $3,424 would have been incurred as of December 31, 2024.
 
In December 2016, the Israeli Knesset passed Amendment 73 to the Investment Law which included a number of changes to the Investment Law regimes through regulations approved on May 1, 2017 and that have come into effect from January 1, 2017.

 

Applicable benefits under the new regime include:
 
  -
Introduction of a benefit regime for "Preferred Technology Enterprises" ("PTE") granting a 12% tax rate in central Israel – on qualified income deriving from Benefited Intellectual Property, subject to a number of conditions being fulfilled, including a minimal amount or ratio of annual R&D expenditure and R&D employees, as well as having at least 25% of annual income derived from exports to large markets.
 
  -
A 12% capital gains tax rate on the sale of a preferred intangible asset to a foreign affiliated enterprise, provided that the asset was initially purchased from a foreign resident at an amount of NIS 200 million or more.
 
  -
A withholding tax rate of 20% for dividends paid from PTE income (with an exemption from such withholding tax applying to dividends paid to an Israeli company). Such rate may be reduced to 4% on dividends paid to a foreign resident company, subject to certain conditions regarding percentage of foreign ownership of the distributing entity.
 
The Company adopted the PTE since 2017 and it is generally eligible for its benefits.
 
In addition, the Company received a comprehensive ruling from the Israeli tax authorities for tax years 2018 through 2023 which approves the Company’s PTE status and derived PTE's benefits. The Company believes that its eligibility for the PTE tax benefits continues and accordingly operates to obtain an extension approval for this ruling from the Israeli tax authorities for future tax years.
 
  h.
Tax benefits under the Law for the Encouragement of Industry (Taxation), 1969:
 
Management believes that the Company currently qualifies as an "industrial company" under the above law and as such, is entitled to certain tax benefits including accelerated depreciation, deduction of public offering expenses in three equal annual installments and amortization of other intangible property rights for tax purposes.
 
  i.
Tax assessments:
 
As of December 31, 2024, the Company has open tax years, which can be subject to tax examination in Israel for the tax years 2021 through 2024 and in the UK for the tax years 2022 through 2024.
 
For the U.S. subsidiary’s tax years ended December 31, 2021 through 2024, the statue of limitations has not yet expired expect to the extent of unused operating losses or net operating losses used during this period
 
  j.
Unrecognized tax benefits:
 
A reconciliation of the opening and closing amounts of total unrecognized tax benefits related to uncertain tax positions is as follows:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Opening balance
  
$
3,870
    
$
2,805
    
$
5,960
  
Decrease related to settlements with taxing authorities
    
(2,353
)
    
-
      
-
  
Increase related to prior year tax positions
    
429
      
743
      
702
  
Increase related to current year tax positions
    
859
      
2,412
      
9,848
  
Increase related to current year business acquisitions
    
-
      
-
      
3,463
  
                         
Closing balance
  
$
2,805
    
$
5,960
    
$
19,973
  
 
During the years ended December 31, 2022, 2023 and 2024, the Company recorded $(87), $44 and $298, respectively, for interest expense (income) related to uncertain tax positions. As of December 31, 2023 and 2024, accrued interest was $69 and $367, respectively.
 
As of December 31, 2024 the Company had $8.5 million of unrecognized tax benefits, which, if recognized, would affect the Company’s effective tax rate.
 
Although the Company believes that it has adequately provided for any reasonably foreseeable outcomes related to tax audits and settlement, there is no assurance that the final tax outcome of its tax audits will not be different from that which is reflected in the Company's income tax provisions. Such differences could have a material effect on the Company's income tax provision, cash flow from operating activities and net loss in the period in which such determination is made.
v3.25.0.1
FINANCIAL INCOME, NET
 12 Months Ended
Dec. 31, 2024
Other Income and Expenses [Abstract]  
FINANCIAL INCOME, NET
NOTE 16:-
FINANCIAL INCOME, NET
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Bank charges and other
  
$
(269
)
  
$
(359
)
  
$
(1,407
)
Exchange rate income (loss), net
    
1,564
      
1,567
      
(2,131
)
Interest income and gains (losses) from investment in privately held companies
    
17,117
      
55,002
      
58,418
  
Amortization of debt issuance costs
    
(2,980
)
    
(2,996
)
    
(2,660
)
Change in fair value of derivative assets
    
-
      
-
      
4,618
  
                         
Financial income, net
  
$
15,432
    
$
53,214
    
$
56,838
  
v3.25.0.1
BASIC AND DILUTED NET LOSS PER SHARE
 12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
BASIC AND DILUTED NET LOSS PER SHARE
NOTE 17:-
BASIC AND DILUTED NET LOSS PER SHARE

 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
Numerator:
                  
                   
Net loss available to shareholders of ordinary shares
  
$
(130,368
)
  
$
(66,504
)
  
$
(93,461
)
                         
Denominator:
                        
Weighted-average shares used in computing basic and diluted net loss per ordinary shares
    
40,583,002
      
41,658,424
      
44,182,071
  
                       
Net loss per share, basic and diluted
  
$
(3.21
)
  
$
(1.60
)
  
$
(2.12
)
 
The total weighted average number of shares related to outstanding options, RSUs and PSUs that have been excluded from the computation of diluted net loss per ordinary share due to their antidilutive effect was 2,839,883, 3,013,220 and 2,781,892 for the years ended December 31, 2022, 2023 and 2024, respectively.
 
Additionally, 3,649,985 shares underlying the Convertible Notes have been excluded from the computation of diluted net loss per share for the years ended December 31, 2022 and 2023 as the effect would be anti-dilutive.

3,021,323 shares have been excluded for the same anti-dilutive effect for the year ended December 31, 2024,
v3.25.0.1
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION
NOTE 18:-
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION
 
  a.
The Company identifies its operating segments in accordance with ASC Topic 280, "Segment Reporting." Operating segments are defined as components of an entity for which separate financial information is available and it is regularly reviewed by the Chief Operating Decision Maker (“CODM”) in making decisions regarding resource allocation and evaluating financial performance. The Company determined it operates in one reportable segment as the Company's CODM is the Chief Executive Officer who makes operating decisions, assess performance and allocates resources on a consolidated basis. The Company’s CODM uses consolidated net loss to review actual results and decide where to allocate additional resources within the business to continue growth. Since the Company operates as one operating segment, financial segment information, including profit or loss and asset information, can be found in the consolidated financial statements.
 
  b.
The total revenues are attributed to geographic areas based on the location of the Company's channel partners, which are considered as end customers, as well as direct customers of the Company.
 
The following tables present total revenues for the years ended December 31, 2022, 2023 and 2024 and long-lived assets as of December 31, 2023 and 2024:
 
Revenues:

 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
United States
  
$
312,816
    
$
393,355
    
$
503,359
  
Israel
    
6,302
      
6,784
      
8,257
  
United Kingdom
    
41,297
      
45,751
      
60,238
  
Europe, the Middle East and Africa *)
    
130,745
      
173,203
      
243,100
  
Other
    
100,550
      
132,795
      
185,788
  
                         
   
$
591,710
    
$
751,888
    
$
1,000,742
  
 
For the years ended December 31, 2022, 2023 and 2024, no single customer contributed more than 10% to the Company's total revenues.
 
Long-lived assets, including property and equipment, net and operating lease right-of-use assets:

 

   
December 31,
  
   
2023
    
2024
  
             
United States
  
$
4,635
    
$
8,405
  
Israel
    
33,898
      
31,327
  
United Kingdom
    
3,118
      
2,880
  
Europe, the Middle East and Africa *)
    
747
      
1,521
  
Other
    
6,282
      
6,602
  
                 
   
$
48,680
    
$
50,735
 
*)          Excluding United Kingdom and Israel
v3.25.0.1
SUBSEQUENT EVENTS
 12 Months Ended
Dec. 31, 2024
Subsequent Events [Abstract]  
SUBSEQUENT EVENTS
NOTE 19:-
SUBSEQUENT EVENTS
 
On February 12, 2025, the Company completed the acquisition of Zilla Security, Inc. (“Zilla”), a leader in modern Identity Governance and Administration (IGA) solutions. Zilla’s innovative, AI-powered IGA capabilities will expand CyberArk’s industry-leading Identity Security Platform with scalable automation that enables accelerated identity compliance and provisioning across digital environments, while maximizing security and operational efficiency.
 
The Company will account for the acquisition as a business combination in accordance with ASC No. 805, “Business Combinations.” The purchase consideration transferred amounted to approximately $165 million in cash, and up to $6 million earn-out tied to the achievement of certain contingent milestones. An additional $4 million earn-out is tied to retention of key employees. Goodwill generated from this business combination is primarily attributable to the expected post-acquisition synergies from integrating Zilla`s technology into the Company’s portfolio.
v3.25.0.1
Pay vs Performance Disclosure - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Pay vs Performance Disclosure      
Net Income (Loss) $ (93,461) $ (66,504) $ (130,368)
v3.25.0.1
Insider Trading Policies and Procedures
 12 Months Ended
Dec. 31, 2024
Insider Trading Policies and Procedures [Line Items]  
Insider Trading Policies and Procedures Adopted true
v3.25.0.1
Cybersecurity Risk Management and Strategy Disclosure
 12 Months Ended
Dec. 31, 2024
Cybersecurity Risk Management, Strategy, and Governance [Line Items]  
Cybersecurity Risk Management Processes for Assessing, Identifying, and Managing Threats [Text Block]
Cybersecurity Risk Management and Strategy
 
We have developed and implemented a cybersecurity risk management program intended to protect the confidentiality, integrity, and availability of our critical systems and information.
 
Our cybersecurity risk management program is centered on management of risks related to our network, product and cloud security, including security measures and controls designed to identify, protect, detect, respond to, and recover from cybersecurity risks. We use the NIST Cybersecurity Framework (NIST CSF) as a guide. This does not imply that we meet any particular technical standards, specifications, or requirements of NIST CSF, only that we use the NIST CSF as a framework to help us identify, assess, and manage cybersecurity risks relevant to our business.
 
Our cybersecurity risk management program is integrated into our overall risk management process and shares common methodologies, reporting channels and governance processes that apply across the risk management process to other risk areas, such as compliance and business continuity risks.
 
Key aspects of our cybersecurity risk management program include:
 
  •
risk assessments designed to help identify material cybersecurity risks to our critical systems and information;
 
  •
security teams principally responsible for managing (1) our cybersecurity risk assessment processes, (2) our security controls, and (3) our response to cybersecurity incidents;
 
  •
the use of external service providers, where appropriate, to assess, test or otherwise assist with aspects of our security processes;
 
  •
cybersecurity and data privacy training and awareness for employees, contractors, incident response personnel, and senior management;
 
  •
a cybersecurity incident response plan and policy that includes procedures for responding to cybersecurity incidents and defines how security incidents are identified, classified, reported, remediated and mitigated; and
 
  •
a risk management process for key third-party providers based on our assessment of their respective risk profiles and function.
 
We have not identified risks from known cybersecurity threats, including as a result of any prior cybersecurity incidents, that have materially affected us, including our operations, business strategy, results of operations, or financial condition. We face certain ongoing risks from cybersecurity threats that, if realized, are reasonably likely to materially affect us, including our operations, business strategy, results of operations, or financial condition. See “Item 3.D. Risk Factors— If our IT network systems, or those of our third-party providers, are compromised by cyberattacks or other security incidents, or by a critical system disruption or failure, then our reputation, financial condition and operating results could be materially adversely affected,” “—We increasingly rely on third-party providers of cloud infrastructure services to deliver our SaaS solutions to customers, and any disruption of or interference with our use of these services, including any specifications limitations, could adversely affect our business” and “—Real or perceived security vulnerabilities and gaps in our solutions or services or the failure of our customers or third parties to correctly implement, manage and maintain our solutions, may result in significant reputational, financial, and legal adverse impact.”
Cybersecurity Risk Management Processes Integrated [Flag] true
Cybersecurity Risk Management Processes Integrated [Text Block] We have developed and implemented a cybersecurity risk management program intended to protect the confidentiality, integrity, and availability of our critical systems and information.
Cybersecurity Risk Management Third Party Engaged [Flag] true
Cybersecurity Risk Third Party Oversight and Identification Processes [Flag] true
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Flag] false
Cybersecurity Risk Materially Affected or Reasonably Likely to Materially Affect Registrant [Text Block] We have not identified risks from known cybersecurity threats, including as a result of any prior cybersecurity incidents, that have materially affected us, including our operations, business strategy, results of operations, or financial condition. We face certain ongoing risks from cybersecurity threats that, if realized, are reasonably likely to materially affect us, including our operations, business strategy, results of operations, or financial condition. See “Item 3.D. Risk Factors— If our IT network systems, or those of our third-party providers, are compromised by cyberattacks or other security incidents, or by a critical system disruption or failure, then our reputation, financial condition and operating results could be materially adversely affected,” “—We increasingly rely on third-party providers of cloud infrastructure services to deliver our SaaS solutions to customers, and any disruption of or interference with our use of these services, including any specifications limitations, could adversely affect our business” and “—Real or perceived security vulnerabilities and gaps in our solutions or services or the failure of our customers or third parties to correctly implement, manage and maintain our solutions, may result in significant reputational, financial, and legal adverse impact.”
Cybersecurity Risk Board of Directors Oversight [Text Block]
Cybersecurity Governance
 
Our Board of directors considers cybersecurity risk as a critical part of its risk oversight function and has delegated to our audit committee oversight of cybersecurity and other information technology risks. Our audit committee oversees management’s implementation of our cybersecurity risk management program, including product and information security.
 
Our audit committee receives periodic updates of our cybersecurity risks and controls from our management members, including the CIO, who is currently acting as CISO, and along with our Senior Vice President of R&D, as relevant. In addition, the CIO along with other relevant managers, update the audit committee, as necessary, regarding cybersecurity incidents they consider significant. Our audit committee also monitors our annual mitigation plan, which includes the results of our annual cybersecurity risk assessment on our information technology. Our audit committee reports to the full Board of directors regarding its activities, including our cyber risk management program.
 
In addition, we have two steering committees, each assigned with overseeing and managing different aspects of cybersecurity risks: the Information Security Steering Committee (ISSC) and a Service and Product Security Steering Committee (SPSSC). The ISSC is comprised of our CEO, CIO, Chief Product Officer (CPO), and Chief Legal Officer, as well as leaders from our Information Security, R&D and Security Services teams and typically meets monthly to discuss key security matters, mitigation plans and progress. The SPSSC includes our CPO, Senior Vice President of R&D, Senior Vice President of Product Management, CISO, Managing Counsel and other service and product security leaders in our Information Security, Product Management and R&D departments.
On the management team, our CIO has overall responsibility for assessing and managing our material risks from cybersecurity threats, and is assisted in this regard by the information and product security teams. As applicable, the teams will also involve our CPO for assessing and managing the relevant risks. Our CIO has extensive experience in cyber risk management. Prior to joining CyberArk, our CIO served as Head of the Cyber Defense Operations Center of the IDF and Head of the Center for Computing and Information Systems of the IDF. He holds a Bachelor of Science degree in physics and electrical engineering from Tel Aviv University and a Master of Science in Government Information Leadership from the National Defense University, College of Information and Cyberspace in Washington, D.C. Our CPO has an extensive experience in Fraud Detection. Prior to joining CyberArk, our CPO served as Head of Global Data Science and Engineering at PayPal. He holds a Bachelor of Science Degree in Computer Science and a Master in Business Management.
 
Our CIO takes steps to stay informed about and monitor the identification, prevention, detection, protection, mitigation, and remediation of key cybersecurity risks and incidents through various means, which may include briefings with the internal cybersecurity team members and external consultants, threat intelligence and other information obtained from governmental, public or private sources, and alerts and reports that are generated by security tools deployed in the information systems’ environments.
Cybersecurity Risk Board Committee or Subcommittee Responsible for Oversight [Text Block] Our Board of directors considers cybersecurity risk as a critical part of its risk oversight function and has delegated to our audit committee oversight of cybersecurity and other information technology risks. Our audit committee oversees management’s implementation of our cybersecurity risk management program, including product and information security.
Cybersecurity Risk Process for Informing Board Committee or Subcommittee Responsible for Oversight [Text Block] Our audit committee receives periodic updates of our cybersecurity risks and controls from our management members, including the CIO, who is currently acting as CISO, and along with our Senior Vice President of R&D, as relevant. In addition, the CIO along with other relevant managers, update the audit committee, as necessary, regarding cybersecurity incidents they consider significant. Our audit committee also monitors our annual mitigation plan, which includes the results of our annual cybersecurity risk assessment on our information technology. Our audit committee reports to the full Board of directors regarding its activities, including our cyber risk management program.
Cybersecurity Risk Role of Management [Text Block]
On the management team, our CIO has overall responsibility for assessing and managing our material risks from cybersecurity threats, and is assisted in this regard by the information and product security teams. As applicable, the teams will also involve our CPO for assessing and managing the relevant risks. Our CIO has extensive experience in cyber risk management. Prior to joining CyberArk, our CIO served as Head of the Cyber Defense Operations Center of the IDF and Head of the Center for Computing and Information Systems of the IDF. He holds a Bachelor of Science degree in physics and electrical engineering from Tel Aviv University and a Master of Science in Government Information Leadership from the National Defense University, College of Information and Cyberspace in Washington, D.C. Our CPO has an extensive experience in Fraud Detection. Prior to joining CyberArk, our CPO served as Head of Global Data Science and Engineering at PayPal. He holds a Bachelor of Science Degree in Computer Science and a Master in Business Management.
 
Our CIO takes steps to stay informed about and monitor the identification, prevention, detection, protection, mitigation, and remediation of key cybersecurity risks and incidents through various means, which may include briefings with the internal cybersecurity team members and external consultants, threat intelligence and other information obtained from governmental, public or private sources, and alerts and reports that are generated by security tools deployed in the information systems’ environments.
Cybersecurity Risk Management Positions or Committees Responsible [Flag] true
Cybersecurity Risk Management Positions or Committees Responsible [Text Block] On the management team, our CIO has overall responsibility for assessing and managing our material risks from cybersecurity threats, and is assisted in this regard by the information and product security teams
Cybersecurity Risk Management Expertise of Management Responsible [Text Block] Our CIO has extensive experience in cyber risk management. Prior to joining CyberArk, our CIO served as Head of the Cyber Defense Operations Center of the IDF and Head of the Center for Computing and Information Systems of the IDF. He holds a Bachelor of Science degree in physics and electrical engineering from Tel Aviv University and a Master of Science in Government Information Leadership from the National Defense University, College of Information and Cyberspace in Washington, D.C. Our CPO has an extensive experience in Fraud Detection. Prior to joining CyberArk, our CPO served as Head of Global Data Science and Engineering at PayPal. He holds a Bachelor of Science Degree in Computer Science and a Master in Business Management.
Cybersecurity Risk Process for Informing Management or Committees Responsible [Text Block] Our CIO takes steps to stay informed about and monitor the identification, prevention, detection, protection, mitigation, and remediation of key cybersecurity risks and incidents through various means, which may include briefings with the internal cybersecurity team members and external consultants, threat intelligence and other information obtained from governmental, public or private sources, and alerts and reports that are generated by security tools deployed in the information systems’ environments.
Cybersecurity Risk Management Positions or Committees Responsible Report to Board [Flag] true
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES (Policies)
 12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Use of estimates
  a.
Use of estimates:
 
The preparation of financial statements in conformity with U.S. GAAP requires management to make estimates, judgments and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Such management estimates and assumptions are related, but not limited to contingent liabilities, income tax uncertainties, deferred taxes, share-based compensation, fair value of assets acquired and liabilities assumed in business combinations, fair value of the Capped Call Transactions (as defined in Note 12), as well as the determination of standalone selling prices in revenue transactions with multiple performance obligations and the estimated period of benefit for deferred contract costs. The Company's management believes that the estimates, judgments and assumptions used are reasonable based upon information available at the time they are made. These estimates, judgments and assumptions can affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the dates of the consolidated financial statements, and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from those estimates.
Principles of consolidation
  b.
Principles of consolidation:
 
The consolidated financial statements include the financial statements of CyberArk Software Ltd. and its wholly owned subsidiaries. All intercompany transactions and balances have been eliminated upon consolidation.
Financial statements in U.S. dollars
  c.
Financial statements in U.S. dollars:
 
A majority of the Company's revenues are generated in U.S. dollars. In addition, the equity investments were in U.S. dollars and a substantial portion of the Company's costs are incurred in U.S. dollars. The Company's management believes that the U.S. dollar is the currency of the primary economic environment in which the Company and each of its subsidiaries operates. Thus, the functional and reporting currency of the Company is the U.S. dollar.
 
Accordingly, monetary accounts maintained in currencies other than the U.S. dollar are re-measured into U.S. dollars in accordance with Accounting Standard Codification ("ASC") No. 830 "Foreign Currency Matters." All transaction gains and losses of the re-measured monetary balance sheet items are reflected in the statement of comprehensive loss as financial income or expenses, as appropriate.
Cash and cash equivalents
  d.
Cash and cash equivalents:
 
Cash and cash equivalents consist of cash on hand and highly liquid investments with original maturities of three months or less, at the date of purchase.
Short-term bank deposits
  e.
Short-term bank deposits:
 
Short-term bank deposits are deposits with maturities of greater than three months and remaining maturities of less than one year. As of December 31, 2023 and 2024, the Company's bank deposits are denominated in U.S. dollars (“USD”) and New Israeli Shekels ("NIS"). The USD deposits bear yearly interest at weighted average rates of 6.4% and 5.5%, respectively. The NIS deposits bear yearly interest at weighted average rates of 4.7% and 4.5%, respectively. Short-term bank deposits are presented at their cost, including accrued interest.
Investments in marketable securities
  f.
Investments in marketable securities:
 
The Company accounts for investments in marketable debt securities in accordance with ASC No. 320, "Investments - Debt Securities". The Company determines the appropriate classification of its investments at the time of purchase and reevaluates such designation at each balance sheet date. The Company classifies all of its marketable securities as available-for-sale as the Company may sell these securities at any time for use in its current operations or for other purposes, even prior to maturity. Available-for-sale securities are carried at fair value, with the unrealized gains and losses, net of tax, reported in accumulated other comprehensive income (loss) in shareholders' equity. Gains and losses are determined using the specific identification method and recognized when realized in the consolidated statements of comprehensive loss.
 
The Company periodically evaluates its available-for-sale debt securities for impairment in accordance with ASU 2016-13, Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments. If the amortized cost of an individual security exceeds its fair value, the Company considers its intent to sell the security or whether it is more likely than not that it will be required to sell the security before recovery of its amortized basis. If either of these criteria are met, the Company writes down the security to its fair value and records the impairment charge in the Consolidated Statements of Comprehensive Loss. If neither of these criteria are met, the Company assesses whether credit loss exists. In making this assessment, the Company considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and any adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss may exist, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss exists and an allowance for credit losses will be recorded, limited by the amount that the fair value is less than the amortized cost basis. Any additional impairment not recorded through an allowance for credit losses is recognized in other comprehensive income (loss).
 
During the years ended December 31, 2022, 2023 and 2024, credit losses were immaterial.
Property and equipment
  g.
Property and equipment:
 
Property and equipment are stated at cost, net of accumulated depreciation. Depreciation is calculated using the straight-line method over the estimated useful lives of the assets at the following annual rates:
 
   
%
  
       
Computers, software and related equipment
  
20 – 33
  
Office furniture and equipment
  
15 – 20
  
Leasehold improvements
  
Over the shorter of the related lease period or the life of the asset
  
Long-lived assets impairment
  h.
Long-lived assets impairment:
 
The long-lived assets of the Company, including finite-lived intangible assets, are reviewed for impairment in accordance with ASC No. 360, "Property, Plant and Equipment", whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. The recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to the future undiscounted cash flows expected to be generated by the assets.
 
If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. During the years ended December 31, 2022, 2023 and 2024, no impairment losses have been recognized.
Business combinations
  i.
Business combinations:
 
The Company accounts for its business acquisitions in accordance with ASC No. 805, "Business Combinations." While the Company uses its best estimates and assumptions as part of the purchase price allocation process to value assets acquired and liabilities assumed at the business combination date, these estimates and assumptions are subject to refinement. The total purchase price allocated to the tangible and intangible assets acquired is assigned based on the fair values as of the date of the acquisition. During the measurement period, which does not exceed one year from the acquisition date, the Company may record adjustments to the assets acquired and liabilities assumed, with the corresponding offset to goodwill. Goodwill generated from the business combinations is primarily attributable to synergies between the Company and acquired companies` respective solutions. Acquisition-related expenses are recognized separately from the business combination and are expensed as incurred.
Goodwill and other intangible assets
  j.
Goodwill and other intangible assets:
 
Goodwill and certain other purchased intangible assets have been recorded in the Company's financial statements as a result of acquisitions. Goodwill represents excess of the purchase price in a business combination over the fair value of identifiable tangible and intangible assets acquired. Goodwill is not amortized, but rather is subject to an impairment test.
 
ASC No. 350, "Intangible-Goodwill and other" requires goodwill to be tested for impairment at least annually and, in certain circumstances, between annual tests. The accounting guidance gives the option to perform a qualitative assessment to determine whether further impairment testing is necessary. The qualitative assessment considers events and circumstances that might indicate that a reporting unit's fair value is less than its carrying amount. If it is determined, as a result of the qualitative assessment, that it is more likely than not that the fair value of a reporting unit is less than its carrying amount, a quantitative test is performed. The Company operates as one reporting unit. The Company elects to perform an annual impairment test of goodwill as of October 1 of each year, or more frequently if impairment indicators are present.
 
For the years ended December 31, 2022, 2023 and 2024, no impairment losses were identified.
 
Purchased intangible assets with finite lives are carried at cost, less accumulated amortization. Amortization is computed over the estimated useful lives of the respective assets, which range from one to 12 years. Intangible assets, consisting primarily of technology and customer relationships, are amortized over their estimated useful lives on a straight-line basis or in proportion to their economic benefits realized.
 
Amortization is calculated using the straight-line method over the estimated useful lives of the assets at the following annual rates:
 
   
%
  
       
Technology
  
20
  
Customer relationships
  
8-12.5
  
Other
  
25-100
  
Derivative instruments
  k.
Derivative instruments:
 
ASC No. 815, "Derivative and Hedging," requires companies to recognize all of their derivative instruments as either assets or liabilities on the balance sheet at fair value.
 
For those derivative instruments that are designated and qualify as hedging instruments, a company must designate the hedging instrument, based upon the exposure being hedged, as a fair value hedge, cash flow hedge or a hedge of a net investment in a foreign operation.
 
Gains and losses on the derivatives instruments that are designated and qualify as a cash flow hedge are recorded in accumulated other comprehensive income (loss) and reclassified into earnings in the same accounting period in which the designated forecasted transaction or hedged item affects earnings.

 

To hedge against the risk of changes in cash flows mainly resulting from foreign currency salary payments during the year, the Company instituted a foreign currency cash flow hedging program. The Company hedges portions of its forecasted expenses denominated in NIS. These forward and swap contracts are designated as cash flow hedges, as defined by ASC No. 815, and are all effective, as their critical terms match underlying transactions being hedged.
 
As of December 31, 2023 and 2024, the amount recorded in accumulated other comprehensive income (loss) from the Company's currency forward and swap transactions was $2,670 and $3,038, respectively.
 
As of December 31, 2024, the notional amounts of foreign exchange forward and swap contracts into which the Company entered were $129,250. The foreign exchange contracts will expire by December 2025. The fair value of derivative instruments assets balances as of December 31, 2023 and 2024, totaled $3,074 and $3,137, respectively. The fair value of derivative instruments liabilities balances as of December 31, 2023 and 2024, totaled $40 and $98, respectively.
 
The following table presents gains (losses) reclassified from accumulated other comprehensive income (loss) to the statements of comprehensive loss per line item:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Cost of revenues
  
$
509
    
$
590
    
$
(127
)
Research and development
    
5,381
      
6,486
      
(1,507
)
Sales and marketing
    
927
      
1,104
      
(251
)
General and administrative
    
1,358
      
1,713
      
(393
)
                         
Total gains (losses), before tax benefit (taxes on income)
    
8,175
      
9,893
      
(2,278
)
Tax benefit (taxes on income)
    
(981
)
    
(1,187
)
    
273
  
                         
Total gains (losses), net of tax benefit (taxes on income)
  
$
7,194
    
$
8,706
    
$
(2,005
)
 
In addition to the derivatives that are designated as hedges as discussed above, the Company enters into certain foreign exchange forward and swap transactions and holds foreign exchange deposits to economically hedge certain net asset balances in Euros and British Pounds Sterling. Gains and losses related to such derivative instruments are recorded in financial income, net. As of December 31, 2024, with respect to these transactions, the notional amounts of foreign exchange forward contracts into which the Company entered were $94,592. The foreign exchange forward contracts will expire by January 2029. The fair value of derivative instruments assets balances as of December 31, 2023 and 2024, totaled $6 and $3,477, respectively. The fair value of derivative instruments liabilities balances as of December 31, 2023 and 2024 totaled $996 and $26, respectively.
 
For the years ended December 31, 2022, 2023 and 2024, the Company recorded financial income (expense), net from hedging transactions of $2,281, $(1,051), and $4,494, respectively.
 
As further described in Note 12, Convertible Senior Notes, net, on September 17, 2024, the Company recognized a derivative asset of $259.3 million related to the Capped Call Transactions which were settled in cash on November 15, 2024.
Severance pay
  l.
Severance pay:
 
The Israeli Severance Pay Law, 1963 ("Severance Pay Law"), specifies that employees are entitled to severance payment, following the termination of their employment. Under the Severance Pay Law, the severance payment is calculated as one month salary for each year of employment, or a portion thereof.
 
The majority of the Company's liability for severance pay is covered by the provisions of Section 14 of the Severance Pay Law ("Section 14"). Under Section 14, employees are entitled to monthly deposits, at a rate of 8.33% of their monthly salary, made on behalf of the employee with insurance companies. Payments in accordance with Section 14 release the Company from any future severance payments in respect of those employees.
 
As a result, the Company does not recognize any liability for severance pay due to these employees and the deposits under Section 14 are not recorded as an asset in the Company's balance sheet.
 
For the Company's employees in Israel who are not subject to Section 14, the Company calculated the liability for severance pay pursuant to the Severance Pay Law based on the most recent salary of these employees multiplied by the number of years of employment as of the balance sheet date. The Company's liability for these employees is fully provided for via monthly deposits with severance pay funds, insurance policies and accruals. The value of these deposits recorded as an asset on the Company's balance sheet under other long-term assets as of December 31, 2023 and 2024 is $5,131 and $5,960, respectively. The amount of accrued severance payable recorded as a liability on the Company's balance sheet under long-term liabilities as of December 31, 2023 and 2024 is $8,337 and $9,115, respectively.
 
Severance expenses for the years ended December 31, 2022, 2023 and 2024 amounted to $7,836, $8,447 and $9,526, respectively.
U.S. defined contribution plan
  m.
U.S. defined contribution plan:
 
The U.S. subsidiaries have a 401(k) defined contribution plan covering certain full time and part time employees in the U.S. who meet certain eligibility requirements, excluding leased employees and contractors. All eligible employees may elect to contribute up to an annual maximum of 100% of their annual compensation to the plan through salary deferrals, subject to Internal Revenue Service limits, but not greater than $23.0 per year (for certain employees over 50 years of age the maximum contribution is $30.5 per year).
 
The U.S. subsidiaries match amounts equal to 100% of the first 3% of the employee's compensation that they contribute to the defined contribution plan and 50% of the next 2% of their compensation that they contribute to the defined contribution plan with a limit of $13.8 per year per employee. For the years ended December 31, 2022, 2023 and 2024, the U.S. subsidiary recorded expenses for matching contributions of $5,629, $6,575 and $7,181, respectively.
Convertible senior notes
  n.

Convertible senior notes:
 
The Company accounts for convertible debt instruments pursuant to ASC 470 as a single liability measured at its amortized cost as long as it was not issued at a substantial premium and no other features require bifurcation and recognition as derivatives pursuant to ASC 815. The debt host is then measured at its amortized cost using the effective interest method.
Revenue recognition
  o.
Revenue recognition:
 
The Company generates substantially all of its revenues from providing the right to access its SaaS solutions and licensing the rights to use its software solutions, maintenance and professional services. Subscription revenues include Software as a Service ("SaaS") offerings and on-premises subscriptions (“Self-hosted Subscriptions”). The Company sells its solutions through its direct sales force and indirectly through resellers. Payment is typically due within 30 to 90 calendar days of the invoice date.

 

The Company recognizes revenues in accordance with ASC No. 606, "Revenue from Contracts with Customers" ("ASC No. 606"). As such, the Company identifies a contract with a customer, identifies the performance obligations in the contract, determines the transaction price, allocates the transaction price to each performance obligation in the contract and recognizes revenues when (or as) the Company satisfies a performance obligation.
 
The Company enters into contracts that can include combinations of products and services, which are generally capable of being distinct and accounted for as separate performance obligations and may include an option to provide additional solutions or services. SaaS subscriptions, Self-hosted Subscriptions, Perpetual license, professional services, updates and technical support are generally distinct since the customer can benefit from the services either on its own or together with other resources that are readily available and the Company's promise to transfer these products and services is separately identifiable from other promises in the contract. For options to provide additional services, the Company determines whether the option provides a material right to the customer.
 
The transaction price is determined based on the consideration to which the Company will be entitled in exchange for transferring goods or services to the customer. The Company does not grant a right of return to its customers.
 
In instances of contracts where revenue recognition differs from the timing of invoicing, the Company generally determined that those contracts do not include a significant financing component. The primary purpose of the invoicing terms is to provide customers with simplified and predictable ways of purchasing the Company's solutions, not to receive or provide financing. The Company uses the practical expedient and does not assess the existence of a significant financing component when the difference between payment and revenue recognition is a year or less. Revenue is recognized net of any taxes collected from customers which are subsequently remitted to the tax authorities.

 

Trade Receivables are recorded when the right to consideration becomes unconditional.
 
The Company records unbilled receivables from contracts when the revenue recognized exceeds the amount billed to the customer. As of December 31, 2023 and 2024, $20,194 and $37,495 short-term unbilled receivables are included in trade receivables, respectively, and $1,000 and $5,580 long-term unbilled receivables are included in other long-term assets, respectively.
 
The Company allocates the transaction price to each performance obligation based on its relative standalone selling price. For maintenance and support, the Company determines the standalone selling price based on the price at which the Company separately sells a renewal contracts. For professional services, the Company determines the standalone selling prices based on the prices at which the Company separately sells those services. For SaaS, Self-hosted Subscriptions and perpetual license, the Company substantially determines the standalone selling prices by taking into account available information such as historical selling prices, contract value, geographic location, and the Company's price list and discount policy.
 
The license portion of Self-hosted Subscriptions and perpetual license are recognized at the point of time when the license is made available for download by the customer. Maintenance and Support revenue related to perpetual license contracts and the maintenance component of the Self-hosted Subscriptions offering as well as SaaS revenues are recognized ratably, on a straight-line basis over the term of the related contract, which is generally one to three years, as the services have a consistent continuous pattern of transfer to a customer during the contract period. Professional services revenues are substantially recognized as the services are performed, using the method that best depicts the transfer of services to the customer.
 
The following table presents the Company's revenue by category:
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
SaaS
  
$
166,361
    
$
298,331
    
$
468,680
  
Self-hosted subscription*
    
114,288
      
173,692
      
264,595
  
Perpetual license
    
49,964
      
21,037
      
14,449
  
Maintenance and support
    
217,695
      
207,561
      
196,982
  
Professional services
    
43,402
      
51,267
      
56,036
  
                         
   
$
591,710
    
$
751,888
    
$
1,000,742
  
 
* Self-hosted subscription also includes maintenance associated with Self-hosted Subscriptions.
 
For additional information regarding disaggregated revenues, please refer to Note 18 below.
 
Deferred revenue consists of unrecognized amounts billed under SaaS, Self-hosted Subscriptions, and maintenance and support contracts, as well as professional services which have not yet been performed as of the balance sheet date, for which the Company has an unconditional right for a consideration or has collected the amounts. Deferred revenues are recognized as (or when) the Company performs under the contract. During the year ended December 31, 2024, the Company recognized $397,998 that were included in the deferred revenues balance as of December 31, 2023.
 
Remaining Performance Obligations:
 
Transaction price allocated to remaining performance obligations represents non-cancellable contracts that have not yet been recognized, which includes deferred revenues and amounts not yet received that will be recognized as revenue in future periods.
 
The aggregate amount of the transaction price allocated to remaining performance obligations was $1,386 million as of December 31, 2024, out of which, the Company expects to recognize approximately 60% in 2025 and the remainder thereafter.
Deferred contract costs
  p.
Deferred contract costs:
 
The Company pays sales commissions primarily to sales and certain management personnel based on their attainment of certain predetermined sales goals. Sales commissions are considered incremental and recoverable costs of obtaining a contract with a customer. Sales commissions paid for initial contracts, which are not commensurate with sales commissions paid for renewal contracts, are capitalized and amortized proportionately to revenue over an expected benefit period which is 5 years. The benefit period is determined by taking into consideration the technology life and other factors. Sales commissions for renewal contracts are capitalized and amortized over the related contractual renewal period and aligned with the revenue recognized from these contracts.
 
For the year ended December 31, 2023 and 2024, the amortization of deferred contract costs was $56,071 and $64,740, respectively. Amortization expense of these costs is substantially included in sales and marketing expenses.
 
As of December 31, 2023 and 2024, the Company presented deferred contract costs from contracts which are for periods of less than 12 months of $696 and $1,043, respectively, in prepaid expenses and other current assets, and deferred contract costs in respect of contracts which are greater than 12 months of $166,733 and $197,807, respectively, in other long-term assets, respectively.
Trade Receivables and Allowances
  q.
Trade Receivables and Allowances:
 
Trade receivables include original invoiced amounts less an allowance for any potential uncollectible amounts and less invoiced amounts from maintenance and professional services contracts which haven't been recognized yet. Trade receivables also include unbilled receivables amounts that will be paid in the following year. The Company makes estimates of expected credit losses for the allowance for credit losses based upon its assessment of various factors, including historical experience, the age of the trade receivable balances, credit quality of its customers, current economic conditions, reasonable and supportable forecasts of future economic conditions, and other factors that may affect its ability to collect from customers. The estimated credit loss allowance is recorded as general and administrative expenses on the Company's consolidated statements of comprehensive loss.
Leases
  r.
Leases:
 
In accordance with (ASU) No. 2016-02, "Leases" (Topic 842)", the Company determines if an arrangement is a lease and the classification of that lease at inception based on: (1) whether the contract involves the use of a distinct identified asset, (2) whether the Company obtains the right to substantially all the economic benefits from the use of the asset throughout the period, and (3) whether the Company has a right to direct the use of the asset. The Company elected to not recognize a lease liability and a right-of-use ("ROU") asset for leases with a term of 12 months or less. The Company also elected the practical expedient to not separate lease and non-lease components for its leases.
 
ROU assets represent the right to use an underlying asset for the lease term and lease liabilities represent the obligation to make minimum lease payments arising from the lease. ROU assets are initially measured at amounts, which represents the discounted present value of the lease payments over the lease, plus any initial direct costs incurred. The lease liability is initially measured at lease commencement date based on the discounted present value of minimum lease payments over the lease term. The implicit rate within the operating leases is generally not determinable, therefore the Company uses its Incremental Borrowing Rate ("IBR") based on the information available at commencement date in determining the present value of lease payments. The Company's IBR is estimated to approximate the interest rate for collateralized borrowing with similar terms and payments and in economic environments where the leased asset is located. Certain leases include options to extend or terminate the lease. An option to extend the lease is considered in connection with determining the ROU asset and lease liability when it is reasonably certain that the Company will exercise that option. An option to terminate is considered unless it is reasonably certain that the Company will not exercise the option.
 
Payments under the Company's lease arrangements are primarily fixed, however, certain lease agreements contain variable payments, which are expensed as incurred and not included in the operating lease right-of-use assets and liabilities. Variable lease payments are primarily comprised of payments affected by common area maintenance and utility charges.
Research and development costs
  s.
Research and development costs:
 
Research and development costs are charged to the statements of comprehensive loss as incurred except to the extent that such costs are associated with internal-use software that qualifies for capitalization.
 
ASC No. 985-20, "Software - Costs of Software to Be Sold, Leased, or Marketed" requires capitalization of certain software development costs subsequent to the establishment of technological feasibility. Based on the Company's solution development process, technological feasibility is established upon completion of a working model. Costs incurred by the Company between completion of the working model and the point at which the solution is ready for general release, have been insignificant.
Internal use software and website development cost
  t.
Internal use software and website development cost:
 
The Company capitalizes qualifying costs associated with the development of its website and incurred during the application development stage related to software developed for internal-use in accordance with ASC No. 350-40 "Internal-use Software" ("ASC No. 350-40"). These costs are capitalized based on qualifying criteria. Such costs are amortized over the software's estimated life of five years. Costs incurred to develop software applications consist of (a) certain external direct costs of materials and services incurred in developing or obtaining internal-use computer software, and (b) payroll and payroll-related costs for employees who are directly associated with, and who devote time to, the development or implementation of the software. Capitalized internal-use software and website costs are included in property and equipment, net in the consolidated balance sheets.
 
The Company also capitalizes implementation costs incurred in a cloud computing arrangement that is a service contract. The capitalized implementation costs and their related amortization and cash flows are presented on the financial statements in consistent with the prepaid amounts and fees related to the associated cloud computing arrangement. Capitalized implementation costs are amortized over the term of the arrangement, beginning when the module or component of the cloud computing arrangement that is a service contract is ready for its intended use.
 
The Company recognized an impairment of internal use software in the amount of $2,067 during the year ended December 31, 2023. The impairment is presented under cost of subscriptions revenues. During the years ended December 31, 2022 and December 31, 2024, no impairments were recognized.
Advertising and marketing expenses
  u.
Advertising and marketing expenses:
 
Advertising and marketing expenses consist primarily of marketing campaigns and tradeshows. Advertising and marketing expenses are charged to the statement of comprehensive loss, as incurred. Advertising and marketing expenses for the years ended December 31, 2022, 2023 and 2024, amounted to $34,438, $35,625 and $46,877, respectively.
Share-based compensation
  v.
Share-based compensation:
 
The Company accounts for share-based compensation in accordance with ASC No. 718, "Compensation - Stock Compensation" ("ASC No. 718"). ASC No. 718 requires companies to estimate the fair value of equity-based payment awards on the date of grant using an option-pricing model. The value of the award is recognized as an expense over the requisite service periods, which is generally the vesting period of the respective award, on a straight-line basis when the only condition to vesting is continued services. If vesting is subject to a performance condition, recognition is based on the implicit service period of the award. Expense for awards with performance conditions is estimated and adjusted on a quarterly basis based upon the assessment of the probability that the performance condition will be met.
 
The Company has selected the Black-Scholes-Merton option pricing model as the most appropriate fair value method for its option awards and Employee Share Purchase Plan ("ESPP"). The fair value of restricted share units ("RSUs") and performance share units ("PSUs") without market conditions, is based on the closing market value of the underlying shares at the date of grant. For PSUs subject to market conditions, the Company uses a Monte Carlo simulation model, which utilizes multiple inputs to estimate payout level and the probability that market conditions will be achieved.
 
The Black-Scholes-Merton and Monte Carlo models require a number of assumptions, of which the most significant are the expected share price volatility and the expected option term.
 
The Company recognizes forfeitures of equity-based awards as they occur. For graded vesting awards subject to service conditions, the Company recognizes compensation cost using the straight-line attribution method. For graded vesting awards subject to market or performance conditions, the Company recognizes compensation cost using the accelerated attribution method
Income taxes
  w.
Income taxes:
 
The Company accounts for income taxes in accordance with ASC No. 740-10, "Income Taxes" ("ASC No. 740-10"). ASC No. 740-10 prescribes the use of the asset and liability method whereby deferred tax asset and liability account balances are determined based on temporary differences between financial reporting and tax bases of assets and liabilities and are measured using the enacted tax rates and laws that will be in effect when the differences are expected to reverse. The Company establishes a valuation allowance, if necessary, to reduce deferred tax assets to their estimated realizable value if it is more likely than not that some portion or all of the deferred tax assets will not be realized. As of December 31, 2024, the company established full valuation allowance on deferred tax assets in Israel and the US as further describe in Note 15, Income Taxes.
 
The Company established reserves for uncertain tax positions based on the evaluation of whether or not the Company's uncertain tax position is "more likely than not" to be sustained upon examination based on its technical merits. The Company records interest and penalties pertaining to its uncertain tax positions in the financial statements as income tax expense.
Basic and diluted net loss per share:
  x.
Basic and diluted net loss per share:
 
Basic net loss per ordinary share is computed by dividing net loss for each reporting period by the weighted-average number of ordinary shares outstanding during each year. Diluted net loss per ordinary share is computed by dividing net loss for each reporting period by the weighted average number of ordinary shares outstanding during the period, plus dilutive potential ordinary shares considered outstanding during the period, in accordance with ASC No. 260-10 "Earnings Per Share". The Company experienced a loss in the years ended December 31, 2022, 2023 and 2024; hence all potentially dilutive ordinary shares were excluded due to their anti-dilutive effect.
Comprehensive income (loss)
  y.
Comprehensive income (loss):
 
The Company accounts for comprehensive income (loss) in accordance with ASC No. 220, "Comprehensive Income." This statement establishes standards for the reporting and display of comprehensive income (loss) and its components in a full set of general purpose financial statements.
Concentration of credit risks
  z.
Concentration of credit risks:
 
Financial instruments that potentially subject the Company to concentrations of credit risk consist principally of cash and cash equivalents, short-term bank deposits, marketable securities, trade receivables, severance pay funds and derivative instruments.
 
The majority of the Company's cash and cash equivalents and short-term bank deposits are invested with major banks in Israel and the United States. Such investments in the United States are in excess of insured limits and are not insured in other jurisdictions. Generally, these investments may be redeemed upon demand and the Company believes that the financial institutions that hold the Company's cash deposits are financially sound and, accordingly, bear minimal risk.
 
The Company's marketable securities consist of investments, which are highly rated by credit agencies, in government, corporate and government sponsored enterprises debentures. The Company's investment policy limits the amount that the Company may invest in any one type of investment or issuer, in order to reduce credit risk concentrations.
 
The trade receivables of the Company are mainly derived from sales to a diverse set of customers located primarily in the United States, Europe and Asia. The Company performs ongoing credit evaluations of its customers and, to date, has not experienced any significant losses.
 
The Company has entered into forward contracts with major banks in Israel to protect against the risk of changes in exchange rates. The derivative instruments hedge a portion of the Company's non-dollar currency exposure.
Fair value of financial instruments
  aa.
Fair value of financial instruments:
 
The estimated fair value of financial instruments has been determined by the Company using available market information and valuation methodologies. Considerable judgment is required in estimating fair values. Accordingly, the estimates may not be indicative of the amounts the Company could realize in a current market exchange.
 
The following methods and assumptions were used by the Company in estimating the fair value of their financial instruments:
 
The carrying values of cash and cash equivalents, short-term bank deposits, trade receivables, prepaid expenses and other long-term and current assets, trade payables, employees and payroll accruals and accrued expenses and other current liabilities approximate their fair values due to the short-term maturities of these instruments.
 
The Company applies ASC No. 820, "Fair Value Measurements and Disclosures" ("ASC No. 820"), with respect to fair value measurements of all financial assets and liabilities.
 
The fair value of foreign currency contracts (used for hedging purposes) is estimated by obtaining current quotes from banks.
 
Fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or a liability. A three-tier fair value hierarchy is established as a basis for considering such assumptions and for inputs used in the valuation methodologies in measuring fair value:
 
  Level 1 -
Inputs are unadjusted quoted prices in active markets for identical assets or liabilities that can be accessed at the measurement date.
 
  Level 2 -
Inputs are quoted prices for similar assets and liabilities in active markets or inputs that are observable for the assets or liabilities, either directly or indirectly through market corroboration, for substantially the full term of the financial instruments.
 
  Level 3 -
Inputs are unobservable inputs based on the Company's own assumptions used to measure assets and liabilities at fair value. The inputs require significant management judgment or estimation.
 
The fair value hierarchy also requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value.

 

In accordance with ASC No. 820, the Company measures its foreign currency derivative instruments, at fair value using the market approach valuation technique. Foreign currency derivative contracts as detailed in Note 2(k) are classified within Level 2 value hierarchy, as the valuation inputs are based on quoted prices and market observable data of similar instruments.
 
As of December 31, 2023, the estimated fair value of the Company’s convertible senior notes, net as further described in Note 12, was determined based on the closing quoted price of the convertible senior note, net as of the last day of trading for the period, and is considered Level 2 measurement. The fair value of the convertible senior notes is primarily affected by the trading price of the Company`s common stock and market interest rates.
 
The Capped Call Transactions (as defined in Note 12) are considered Level 3 measurement as the Company applies the Black-Scholes-Merton option pricing model and uses historical volatility to determine expected share price volatility, which is an unobservable input that is significant to the valuation.
 
Money Market Funds are classified within Level 1 as these assets are valued using quoted market prices for identical assets in active markets.
 
Marketable securities are classified within Level 2 as these assets are valued using alternative pricing sources utilizing market observable inputs.
Investments in privately held companies
  ab.
Investments in privately held companies:
 
The Company holds equity investments, in which it does not have control or significant influence, in private companies without readily determinable fair values. These investments are measured using the measurement alternative, which is cost, less any impairment, adjusted for changes in fair value are resulted from observable transactions for identical or similar investments of the same issuer. The investments are reviewed periodically to determine if impairments or adjustments to the fair value are needed. Adjustments and impairments are recorded in financial income, net on the consolidated statements of comprehensive loss.
 
The investments in privately held companies are included in other long-term assets on the consolidated balance sheets.
 
The carrying amounts of the Company’s investments in privately held companies without readily determinable market values as of December 31, 2023 and 2024, were $3,566 and $3,546, respectively.
 
During 2023 and 2024, the Company recorded in financial income, net unrealized gains (losses) of $1,313 and $(16), respectively, related to revaluation of its investments in privately held companies based on observable price changes.
 
During 2023 and 2024, the Company recorded in financial income, net realized gains of $1,444 and $0, respectively, related to selling of its investments in privately held companies.
Recently adopted accounting standards
  ac.
Recently adopted accounting standards:
 
In November 2023, the FASB issued ASU 2023-07, Segment Reporting (Topic 280), Improvements to Reportable Segment Disclosures, which expands annual and interim disclosure requirements for reportable segments, primarily through enhanced disclosures about significant segment expenses. In addition, it provides new segment disclosure requirements for entities with a single reportable segment. This ASU is effective for the Company’s fiscal year 2024. The Company adopted this standard for its annual period beginning January 1, 2024. See Note 18 - Segment Reporting for further information.
Recently issued accounting standards
  ad.
Recently issued accounting standards:
 
In December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740), Improvements to Income Tax Disclosures, which requires disaggregated information about the effective tax rate reconciliation as well as information on income taxes paid. The guidance will be effective for the Company for annual periods beginning January 1, 2025, with early adoption permitted. The Company is currently evaluating the impact on its financial statement disclosures.
 
In November 2024, the FASB issued ASU 2024-03, Income Statement - Reporting Comprehensive Income - Expense Disaggregation Disclosures (Topic 220): Disaggregation of Income Statement Expenses, which requires disaggregated disclosure in the notes to the financial statements of prescribed categories of expenses within relevant income statement captions. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026 and interim periods within fiscal years beginning after December 15, 2027. Early adoption is permitted. The Company is currently evaluating the impact on its financial statement disclosures.
Reclassification
  ae.
Reclassification:
 
Certain comparative figures have been reclassified to conform to the current year presentation. 
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES (Tables)
 12 Months Ended
Dec. 31, 2024
Accounting Policies [Abstract]  
Schedule of Property and Equipment Estimated Useful Life
   
%
  
       
Computers, software and related equipment
  
20 – 33
  
Office furniture and equipment
  
15 – 20
  
Leasehold improvements
  
Over the shorter of the related lease period or the life of the asset
  
Schedule of Estimated Useful Lives Annual Rates of Intangible Assets
   
%
  
       
Technology
  
20
  
Customer relationships
  
8-12.5
  
Other
  
25-100
  
Schedule of Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) to the Statements of Comprehensive Loss
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Cost of revenues
  
$
509
    
$
590
    
$
(127
)
Research and development
    
5,381
      
6,486
      
(1,507
)
Sales and marketing
    
927
      
1,104
      
(251
)
General and administrative
    
1,358
      
1,713
      
(393
)
                         
Total gains (losses), before tax benefit (taxes on income)
    
8,175
      
9,893
      
(2,278
)
Tax benefit (taxes on income)
    
(981
)
    
(1,187
)
    
273
  
                         
Total gains (losses), net of tax benefit (taxes on income)
  
$
7,194
    
$
8,706
    
$
(2,005
)
Schedule of Company's Revenue by Category
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
SaaS
  
$
166,361
    
$
298,331
    
$
468,680
  
Self-hosted subscription*
    
114,288
      
173,692
      
264,595
  
Perpetual license
    
49,964
      
21,037
      
14,449
  
Maintenance and support
    
217,695
      
207,561
      
196,982
  
Professional services
    
43,402
      
51,267
      
56,036
  
                         
   
$
591,710
    
$
751,888
    
$
1,000,742
  
 
* Self-hosted subscription also includes maintenance associated with Self-hosted Subscriptions.
v3.25.0.1
BUSINESS COMBINATIONS (Tables)
 12 Months Ended
Dec. 31, 2024
Business Combinations [Abstract]  
Schedule of Preliminary Fair Value of Assets Acquired and Liabilities
   
Fair Value
  
Cash and Cash Equivalents
  
$
35,940
  
Accounts Receivable, net
    
48,690
  
Other Assets
    
8,910
  
Intangible Assets, net
    
543,575
  
Goodwill
    
1,164,133
  
Deferred Revenue
    
(60,652
)
Other Liabilities
    
(25,486
)
Deferred Tax Liability
    
(55,366
)
Total Purchase Consideration
  
$
1,659,744
  
Schedule of Intangible Assets Acquired
   
Fair Value
    
Estimated useful life (in years)
  
Technology (1)
    
377,076
      
5
  
Customer Relationship (2)
    
154,962
      
8
  
Trademark (1)
    
7,029
      
1
  
 
  (1)
The income approach, specifically the relief from royalty method, was used to evaluate the fair value of the technology and trademark assets identified in the transaction.
 
  (2)
The income approach, specifically the multi-period excess earnings method (MEEM), was used to evaluate the fair value of the customer relationships identified in the transaction.
Schedule of Pro Forma Revenue and Earnings
   
Year Ended December 31,
  
   
2023
    
2024
  
Revenues
  
$
905,859
    
$
1,125,356
  
Net loss
  
$
(104,808
)
  
$
(133,939
)
v3.25.0.1
MARKETABLE SECURITIES (Tables)
 12 Months Ended
Dec. 31, 2024
Investments, Debt and Equity Securities [Abstract]  
Schedule of Summarizes the Amortized Cost, Unrealized Gains and Losses, and Fair Value of Available-For-Sale Marketable Securities
   
December 31, 2023
  
   
Amortized cost
    
Gross unrealized losses
    
Gross unrealized gains
    
Fair value
  
                         
Corporate debentures
  
$
324,485
    
$
(4,998
)
  
$
357
    
$
319,844
  
Government debentures
    
288,214
      
(828
)
    
334
      
287,720
  
                                 
Total
  
$
612,699
    
$
(5,826
)
  
$
691
    
$
607,564
  
 
   
December 31, 2024
  
   
Amortized cost
    
Gross unrealized losses
    
Gross unrealized gains
    
Fair value
  
                         
Corporate debentures
  
$
58,265
    
$
(871
)
  
$
6
    
$
57,400
  
Government debentures
    
301
      
-
      
-
      
301
  
                                 
Total
  
$
58,566
    
$
(871
)
  
$
6
    
$
57,701
  
Schedule of Summarizes the Continuous Unrealized Loss Position and Fair Value of Available-For-Sale Marketable Securities
   
December 31,
  
   
2023
    
2024
  
   
Gross unrealized losses
    
Fair value
    
Gross unrealized losses
    
Fair value
  
                         
Continuous unrealized loss position for less than 12 months
  
$
(590
 )  
$
186,910
    
$
(31
 )  
$
10,266
  
Continuous unrealized loss position for more than 12 months
    
(5,236
 )    
190,560
      
(840
 )    
40,842
  
                                 
   
$
(5,826
 )  
$
377,470
    
$
(871
 )  
$
51,108
  
Schedule of Summarizes the Amortized Cost and Fair Value of Available-For-Sale Marketable Securities
   
December 31,
  
   
2023
    
2024
  
   
Amortized cost
    
Fair value
    
Amortized cost
    
Fair value
  
                         
Due within one year
  
$
285,012
    
$
283,016
    
$
36,775
    
$
36,356
  
Due between one and four years
    
327,687
      
324,548
      
21,791
      
21,345
  
                                 
   
$
612,699
    
$
607,564
    
$
58,566
    
$
57,701
  
v3.25.0.1
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Tables)
 12 Months Ended
Dec. 31, 2024
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]  
Schedule of Prepaid Expenses and Other Current Assets
   
December 31,
  
   
2023
    
2024
  
             
Prepaid expenses
  
$
19,133
    
$
25,826
  
Hedging transaction assets
    
3,080
      
5,818
  
Government authorities
    
7,513
      
10,462
  
Deferred contract costs
    
696
      
1,043
  
Other current assets
    
1,128
      
2,143
  
                 
   
$
31,550
    
$
45,292
  
v3.25.0.1
PROPERTY AND EQUIPMENT, NET (Tables)
 12 Months Ended
Dec. 31, 2024
Property, Plant and Equipment [Abstract]  
Schedule of Property and Equipment
   
December 31,
  
   
2023
    
2024
  
             
Cost:
            
Computers, software and related equipment *)
  
$
42,570
    
$
51,230
  
Leasehold improvements
    
10,600
      
14,239
  
Office furniture and equipment
    
4,352
      
5,976
  
                 
     
57,522
      
71,445
  
                 
Less - accumulated depreciation
    
41,028
      
51,864
  
                 
Depreciated cost
  
$
16,494
    
$
19,581
  
 
*) For the years ended December 31, 2023 and 2024, the Company capitalized $1,686 and $2,359 including $303 and $514 of share-based compensation costs, relating to its internal use software and website development, respectively.
v3.25.0.1
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Tables)
 12 Months Ended
Dec. 31, 2024
Goodwill and Intangible Assets Disclosure [Abstract]  
Schedule of Carrying Amount of Goodwill
   
December 31,
  
   
2023
    
2024
  
             
Balance as of beginning of the year
  
$
153,241
    
$
153,241
  
Goodwill acquired
    
-
      
1,164,133
  
                 
Closing balance
  
$
153,241
    
$
1,317,374
  
Schedule of Intangible Assets
 
  
December 31,
  
   
2023
    
2024
  
             
Original amount:
            
             
Technology
  
$
55,922
    
$
432,998
  
Customer relationships
    
9,586
      
164,548
  
Other
    
732
      
16,450
  
                 
     
66,240
      
613,996
  
                 
Less - accumulated amortization
    
46,038
      
79,270
  
                 
Intangible assets, net
  
$
20,202
    
$
534,726
  
Schedule of Future Amortization Expense
2025
    
107,345
  
2026
    
100,785
  
2027
    
99,710
  
2028
    
95,404
  
2029
    
77,311
  
Thereafter
    
54,171
  
         
   
$
534,726
  
v3.25.0.1
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Tables)
 12 Months Ended
Dec. 31, 2024
Payables and Accruals [Abstract]  
Schedule of Accrued Expenses and other Current Liabilities
   
December 31,
  
   
2023
    
2024
  
             
Government authorities
  
$
8,464
    
$
10,923
  
Accrued expenses
    
12,879
      
20,723
  
Unrecognized tax benefits
    
5,960
      
10,609
  
Lease liabilities, current
    
8,240
      
11,107
  
Hedging transaction liabilities
    
1,019
      
124
  
                 
   
$
36,562
    
$
53,486
  
v3.25.0.1
COMMITMENTS AND CONTINGENT LIABILITIES (Tables)
 12 Months Ended
Dec. 31, 2024
Commitments and Contingencies Disclosure [Abstract]  
Schedule of Future Payments Under Non-Cancelable Material Purchase Obligations
2025
    
58,035
  
2026
    
64,488
  
2027
    
52,913
  
         
   
$
175,436
  
v3.25.0.1
LEASES (Tables)
 12 Months Ended
Dec. 31, 2024
Leases [Abstract]  
Schedule of Components of Lease Costs
   
Year ended
December 31,
  
   
2023
    
2024
  
             
Operating lease cost
  
$
8,888
    
$
10,195
  
Short-term lease cost
    
1,858
      
1,483
  
Variable lease cost
    
1,491
      
1,534
  
                 
Total net lease costs
  
$
12,237
    
$
13,212
  
Schedule of Supplemental Balance Sheet Information Related to Operating Leases
   
December 31,
  
   
2023
    
2024
  
             
Operating lease ROU assets (under other long-term assets in the balance sheets)
  
$
32,186
    
$
31,154
  
Operating lease liabilities, current
  
$
8,240
    
$
11,107
  
Operating lease liabilities, long-term (under other long-term liabilities in the balance sheets)
  
$
22,293
    
$
18,208
  
Weighted average remaining lease term (in years)
    
4.8
      
3.7
  
Weighted average discount rate
    
2.9
%
    
3.3
%
Schedule of Minimum Lease Payments for Company's ROU Assets Over Remaining Lease Periods
   
December 31, 2024
  
       
2025
    
11,240
  
2026
    
7,136
  
2027
    
5,541
  
2028
    
4,055
  
2029
    
2,895
  
Thereafter
    
7
  
         
Total undiscounted lease payments
    
30,874
  
Less: imputed interest
    
(1,559
)
         
Present value of lease liabilities
  
$
29,315
  
v3.25.0.1
FAIR VALUE MEASUREMENTS (Tables)
 12 Months Ended
Dec. 31, 2024
Fair Value Disclosures [Abstract]  
Schedule of Fair Value of Financial Assets and Liabilities
   
December 31,
  
   
2023
    
2024
  
   
Level 1
    
Level 2
    
Total
    
Level 1
    
Level 2
    
Total
  
Cash equivalents:
                                    
Money market funds
  
$
315,784
    
$
-
    
$
315,784
    
$
455,712
    
$
-
    
$
455,712
  
Corporate debentures and commercial paper
    
-
      
1,001
      
1,001
      
-
      
-
      
-
  
Government debentures
    
-
      
1,194
      
1,194
      
-
      
-
      
-
  
                                                 
Marketable securities:
                                                
Corporate debentures and commercial paper
    
-
      
319,844
      
319,844
      
-
      
57,400
      
57,400
  
Government debentures
    
-
      
287,720
      
287,720
      
-
      
301
      
301
  
                                                 
Total money market funds and marketable securities measured at fair value
  
$
315,784
    
$
609,759
    
$
925,543
    
$
455,712
    
$
57,701
    
$
513,413
  
v3.25.0.1
CONVERTIBLE SENIOR NOTES, NET (Tables)
 12 Months Ended
Dec. 31, 2024
Debt Disclosure [Abstract]  
Schedule of Net Carrying Amount of Liability and Equity Components of Notes
   
December 31,
  
   
2023
    
2024
  
Liability component:
            
             
Remaining principal amount
  
$
575,000
    
$
-
  
Unamortized issuance costs
    
(2,660
)
    
-
  
                 
Net carrying amount
  
$
572,340
    
$
-
  
Schedule of Interest Expense Related to Notes
 
Year ended
  
   
December 31,
  
   
2022
    
2023
    
2024
  
                   
Amortization of debt issuance costs
  
$
2,980
    
$
2,996
    
$
2,660
  
                         
Total interest expense recognized
  
$
2,980
    
$
2,996
    
$
2,660
  
v3.25.0.1
SHAREHOLDERS' EQUITY (Tables)
 12 Months Ended
Dec. 31, 2024
Stockholders' Equity Note [Abstract]  
Schedule of Shares Capital
   
December 31,
   
2023
  
2024
   
Authorized
  
Issued and outstanding
  
Authorized
  
Issued and outstanding
   
Number of shares
  
                 
Ordinary shares of NIS 0.01  par value each
  
250,000,000
  
42,255,336
  
250,000,000
  
49,426,711
Schedule of Share Based Compensation Expense
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Cost of revenues
  
$
15,060
    
$
17,612
    
$
21,724
  
Research and development
    
27,102
      
29,458
      
34,953
  
Sales and marketing
    
51,099
      
58,790
      
67,924
  
General and administrative
    
27,560
      
34,241
      
44,165
  
                         
Total share-based compensation expense
  
$
120,821
    
$
140,101
    
$
168,766
  
Schedule of Stock Option Activity
   
Amount
of
options
    
Weighted
average
exercise
price
    
Weighted average remaining contractual term
(in years)
    
Aggregate
intrinsic value
  
                         
Balance as of December 31, 2023
    
244,787
    
$
78.85
      
4.24
    
$
34,320
  
                                 
Exercised
    
119,120
    
$
69.76
            
$
25,031
  
Forfeited
    
2,249
    
$
147.9
            
$
319
  
Expired
    
34
    
$
51.86
            
$
7
  
                                 
Balance as of December 31, 2024
    
123,384
    
$
86.37
      
3.69
    
$
30,449
  
                                 
Exercisable as of December 31, 2024
    
117,648
    
$
83.23
      
3.5
    
$
29,403
  
Schedule of Fair Value Assumptions
   
Year ended
December 31,
  
Options
  
2022
    
2023
    
2024
  
                   
Expected volatility
  
46%-50%
 
  
51%
 
  
-
  
Expected dividends
  
0%
 
  
0%
 
  
-
  
Expected term (in years)
  
3.73-3.76
    
3.77-3.78
    
-
  
Risk free rate
  
1.67%-4.40%
 
  
3.58%-3.97%
 
  
-
  
 
   
Year ended
December 31,
  
ESPP
  
2022
    
2023
    
2024
  
                   
Expected volatility
  
55.67%-64.20%
    
39.46%-44.12%
    
28.23%-29.27%
  
Expected dividends
  
0%
    
0%
    
0%
  
Expected term (in years)
  
0.5
    
0.5
    
0.5
  
Risk free rate
  
2.15%-4.65%
    
5.33%-5.44%
    
4.43%-5.39%
  
Schedule of Options Data
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Weighted-average grant date fair value of options granted
  
$
39.69
    
$
62.25
    
$
-
  
Total intrinsic value of the options exercised
  
$
30,031
    
$
22,935
    
$
25, 031
  
Schedule of RSUs and PSUs Activity
   
Amount
of
RSUs and PSUs
    
Weighted
average
grant date fair value
  
             
Unvested as of December 31, 2023
    
2,639,337
    
$
136.15
  
                 
Granted
    
1,122,240
      
246.78
  
Vested
    
1,015,487
      
130.44
  
Forfeited
    
117,308
      
152.82
  
                 
Unvested as of December 31, 2024
    
2,628,782
    
$
184.84
  
v3.25.0.1
INCOME TAXES (Tables)
 12 Months Ended
Dec. 31, 2024
Income Tax Disclosure [Abstract]  
Schedule of Income Before Income Taxes
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Domestic loss
  
$
(167,606
)
  
$
(116,661
)
  
$
(27,469
)
Foreign income
    
30,588
      
53,403
      
11,503
  
                         
   
$
(137,018
)
  
$
(63,258
)
  
$
(15,966
)
Schedule of Deferred Tax Assets and Liabilities
   
December 31,
  
   
2023
    
2024
  
Deferred tax assets:
            
             
Carry-forwards losses and credits
  
$
59,911
    
$
117,493
  
Capitalized research and development
    
22,859
      
40,324
  
Deferred revenues
    
12,841
      
19,749
  
Intangible assets
    
8,267
      
7,727
  
Share-based compensation
    
26,897
      
29,123
  
Operating lease liability
    
4,737
      
4,971
  
Accruals and others
    
4,276
      
9,680
  
                 
Gross deferred tax assets before valuation allowance
    
139,788
      
229,067
  
                 
Less: Valuation allowance
    
24,569
      
94,663
  
                 
Total deferred tax assets
  
$
115,219
    
$
134,404
  
                 
Deferred tax liabilities:
                
                 
Intangible assets
  
$
(3,527
)
  
$
(133,928
)
Deferred commissions
    
(24,999
)
    
(31,133
)
Operating lease ROU asset
    
(4,696
)
    
(4,948
)
Property and equipment and other
    
(700
)
    
(655
)
                 
Gross deferred tax liabilities
  
$
(33,922
)
  
$
(170,664
)
                 
Net deferred tax assets (liabilities)
  
$
81,297
    
$
(36,260
)
Schedule of Income Taxes
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Current
  
$
8,980
    
$
11,125
    
$
11,202
  
Deferred
    
(15,630
)
    
(7,879
 )    
66,293
  
                         
   
$
(6,650
)
  
$
3,246
    
$
77,495
  
 
 
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Domestic
  
$
(19,716
)
  
$
(14,105
)
  
$
3,766
  
Foreign
    
13,066
      
17,351
      
73,729
  
                         
   
$
(6,650
)
  
$
3,246
    
$
77,495
  
Schedule of Reconciliation of Income Taxes
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Loss before income taxes
  
$
(137,018
)
  
$
(63,258
)
  
$
(15,966
)
                         
Statutory tax rate
    
23.0
%
    
23.0
%
    
23.0
%
                         
Theoretical tax benefit
    
(31,514
)
    
(14,549
)
    
(3,672
)
                         
Excess tax benefits related to share-based compensation
    
(1,817
)
    
(3,817
)
    
(12,788
)
 Non-deductible expenses
    
6,325
      
2,963
      
6,560
  
                         
Changes in valuation allowance
    
1,538
      
3,320
      
70,758
  
Changes in unrecognized tax benefits
    
(1,914
)
    
3,155
      
10,550
  
Foreign and preferred enterprise tax rates differential
    
18,450
      
12,826
      
4,726
  
                         
Prior years and others
    
2,282
      
(652
)
    
1,361
  
                         
Income tax expense (tax benefit)
  
$
(6,650
)
  
$
3,246
    
$
77,495
  
Schedule of Unrecognized Tax Benefits
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Opening balance
  
$
3,870
    
$
2,805
    
$
5,960
  
Decrease related to settlements with taxing authorities
    
(2,353
)
    
-
      
-
  
Increase related to prior year tax positions
    
429
      
743
      
702
  
Increase related to current year tax positions
    
859
      
2,412
      
9,848
  
Increase related to current year business acquisitions
    
-
      
-
      
3,463
  
                         
Closing balance
  
$
2,805
    
$
5,960
    
$
19,973
  
v3.25.0.1
FINANCIAL INCOME, NET (Tables)
 12 Months Ended
Dec. 31, 2024
Other Income and Expenses [Abstract]  
Schedule of Financial Income, Net
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
Bank charges and other
  
$
(269
)
  
$
(359
)
  
$
(1,407
)
Exchange rate income (loss), net
    
1,564
      
1,567
      
(2,131
)
Interest income and gains (losses) from investment in privately held companies
    
17,117
      
55,002
      
58,418
  
Amortization of debt issuance costs
    
(2,980
)
    
(2,996
)
    
(2,660
)
Change in fair value of derivative assets
    
-
      
-
      
4,618
  
                         
Financial income, net
  
$
15,432
    
$
53,214
    
$
56,838
  
v3.25.0.1
BASIC AND DILUTED NET LOSS PER SHARE (Tables)
 12 Months Ended
Dec. 31, 2024
Earnings Per Share [Abstract]  
Schedule of Basic and Diluted Net Loss per Share
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
Numerator:
                  
                   
Net loss available to shareholders of ordinary shares
  
$
(130,368
)
  
$
(66,504
)
  
$
(93,461
)
                         
Denominator:
                        
Weighted-average shares used in computing basic and diluted net loss per ordinary shares
    
40,583,002
      
41,658,424
      
44,182,071
  
                       
Net loss per share, basic and diluted
  
$
(3.21
)
  
$
(1.60
)
  
$
(2.12
)
v3.25.0.1
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Tables)
 12 Months Ended
Dec. 31, 2024
Segment Reporting [Abstract]  
Schedule of Revenue by Geographic Location
   
Year ended
December 31,
  
   
2022
    
2023
    
2024
  
                   
United States
  
$
312,816
    
$
393,355
    
$
503,359
  
Israel
    
6,302
      
6,784
      
8,257
  
United Kingdom
    
41,297
      
45,751
      
60,238
  
Europe, the Middle East and Africa *)
    
130,745
      
173,203
      
243,100
  
Other
    
100,550
      
132,795
      
185,788
  
                         
   
$
591,710
    
$
751,888
    
$
1,000,742
  
Schedule of Long-Lived Assets by Geographic Location
   
December 31,
  
   
2023
    
2024
  
             
United States
  
$
4,635
    
$
8,405
  
Israel
    
33,898
      
31,327
  
United Kingdom
    
3,118
      
2,880
  
Europe, the Middle East and Africa *)
    
747
      
1,521
  
Other
    
6,282
      
6,602
  
                 
   
$
48,680
    
$
50,735
 
*)          Excluding United Kingdom and Israel
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2024
USD ($)
₪ / shares
Dec. 31, 2024
USD ($)
$ / shares
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Sep. 17, 2024
USD ($)
Nov. 30, 2019
Significant Accounting Policies [Line Items]            
Intangible assets, amortization method   straight-line method        
Accumulated other comprehensive income (loss), currency forward and option, net of tax $ 3,038 $ 3,038 $ (2,670)      
Derivative asset         $ 259,300  
Percentage Of Severance Benefits Covered By Contributory Funded Contract Type Corporate Pension Plans   8.33%        
Severance expenses   $ 9,526 8,447 $ 7,836    
Deposits in other long-term assets 5,960 5,960 5,131      
Accrued severance payable liability $ 9,115 $ 9,115 8,337      
Maximum annual contribution per employee   not greater than $23.0 per year        
Defined contribution plan per year | ₪ / shares $ 13.8          
Defined contribution plan, employer matching contribution, percent of employees' gross pay   100.00%        
Matching contribution expense   $ 7,181 6,575 5,629    
Marketing expenses   46,877 35,625 34,438    
Retained earnings $ (126,657) (126,657) (33,196)      
Aggregate amount of the transaction price allocated to remaining performance obligation $ 1,386,000 $ 1,386,000        
Revenue remaining performance obligations percentage 60.00% 60.00%        
Prepaid expenses and other current assets $ 45,292 $ 45,292 31,550      
Other long-term assets 258,531 258,531 214,816      
Amortization of deferred contract costs   64,740 56,071      
Payments of Stock Issuance Costs   190 0 0    
Unbilled Contracts Receivable Non Current 5,580 5,580 1,000      
Unbilled receivables 37,495 37,495 20,194      
Recognized deferred revenues   397,998        
Additional paid-in capital 2,494,158 2,494,158 827,260      
Equity securities without readily determinable fair value, Amount $ 3,546 3,546 3,566      
Net unrealized gains, related to revaluation of investments in privately held companies   (16) 1,313      
Net realized gains, related to selling of investments in privately held companies   $ 0 1,444      
Impairment     $ 2,067      
Convertible Senior Note [Member]            
Significant Accounting Policies [Line Items]            
Effective interest rate           0.00%
USD deposits [Member]            
Significant Accounting Policies [Line Items]            
Weighted average rate, deposit short term 5.50% 5.50% 6.40%      
NIS deposits [Member]            
Significant Accounting Policies [Line Items]            
Weighted average rate, deposit short term 4.50% 4.50% 4.70%      
Deferred contract costs [Member]            
Significant Accounting Policies [Line Items]            
Prepaid expenses and other current assets $ 1,043 $ 1,043 $ 696      
Other long-term assets 197,807 $ 197,807 166,733      
Software [Member]            
Significant Accounting Policies [Line Items]            
Useful Life Of Finite Lived Intangible Asset   5 years        
First Three Percent Pay Contribution [Member]            
Significant Accounting Policies [Line Items]            
Defined contribution plan, employer matching contribution, percent of match   100.00%        
Defined contribution plan, employer matching contribution, percent of employees' gross pay   3.00%        
Next Two Percent Contribution [Member]            
Significant Accounting Policies [Line Items]            
Defined contribution plan, employer matching contribution, percent of match   50.00%        
Defined contribution plan, employer matching contribution, percent of employees' gross pay   2.00%        
Employees Over Fifty Years [Member]            
Significant Accounting Policies [Line Items]            
Defined contribution plan per year | $ / shares   $ 30.5        
Minimum [Member]            
Significant Accounting Policies [Line Items]            
Useful Life Of Finite Lived Intangible Asset   2 years        
Maximum [Member]            
Significant Accounting Policies [Line Items]            
Useful Life Of Finite Lived Intangible Asset   12 years        
Foreign Exchange Forward and Option [Member]            
Significant Accounting Policies [Line Items]            
Notional amounts 94,592 $ 94,592        
Fair value of derivative asset 3,477 3,477 6      
Foreign Exchange Forward and Option [Member] | Derivative Liabilities [Member]            
Significant Accounting Policies [Line Items]            
Fair value of derivative liability 26 26 996      
Foreign Exchange Forward [Member]            
Significant Accounting Policies [Line Items]            
Financial Income Expenses Hedging Transaction   4,494 (1,051) $ 2,281    
Foreign Exchange Forward [Member] | Derivative Assets [Member]            
Significant Accounting Policies [Line Items]            
Fair value of derivative asset 3,137 3,137 3,074      
fair value of derivative instruments liabilities 98 98 $ 40      
Foreign Exchange Forward [Member] | Derivative Liabilities [Member]            
Significant Accounting Policies [Line Items]            
Notional amounts $ 129,250 $ 129,250        
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES (Schedule of Depreciation Rates) (Details)
Dec. 31, 2024
Computers, software and related equipment [Member] | Minimum [Member]  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful lives 20 years
Computers, software and related equipment [Member] | Maximum [Member]  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful lives 33 years
Office furniture and equipment [Member] | Minimum [Member]  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful lives 15 years
Office furniture and equipment [Member] | Maximum [Member]  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, useful lives 20 years
Leasehold improvements [Member]  
Property, Plant and Equipment [Line Items]  
Property, plant and equipment, estimated useful lives us-gaap:UsefulLifeTermOfLeaseMember
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES (Schedule of estimated useful lives of intangible assets) (Details)
 12 Months Ended
Dec. 31, 2024
Technology [Member]  
Finite-Lived Intangible Assets [Line Items]  
Intangible assets, annual amortization rate 20.00%
Customer relationships [Member] | Minimum [Member]  
Finite-Lived Intangible Assets [Line Items]  
Intangible assets, annual amortization rate 8.00%
Customer relationships [Member] | Maximum [Member]  
Finite-Lived Intangible Assets [Line Items]  
Intangible assets, annual amortization rate 12.50%
Other [Member] | Minimum [Member]  
Finite-Lived Intangible Assets [Line Items]  
Intangible assets, annual amortization rate 25.00%
Other [Member] | Maximum [Member]  
Finite-Lived Intangible Assets [Line Items]  
Intangible assets, annual amortization rate 100.00%
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES (Schedule of gains (losses) reclassified from accumulated other comprehensive income (loss) to the statements of comprehensive loss) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Significant Accounting Policies [Line Items]      
Cost of revenues $ 208,377 $ 156,131 $ 126,046
Research and development 243,058 211,445 190,321
Sales and marketing 480,977 405,983 345,273
General and administrative 141,134 94,801 82,520
Total gains (losses), net of tax benefit (taxes on income) 2,005 (8,706) (7,194)
Derivative instruments [Member]      
Significant Accounting Policies [Line Items]      
Cost of revenues (127) 590 509
Research and development (1,507) 6,486 5,381
Sales and marketing (251) 1,104 927
General and administrative (393) 1,713 1,358
Total gains (losses), before tax benefit (taxes on income) (2,278) 9,893 8,175
Tax benefit (taxes on income) 273 (1,187) (981)
Total gains (losses), net of tax benefit (taxes on income) $ (2,005) $ 8,706 $ 7,194
v3.25.0.1
SIGNIFICANT ACCOUNTING POLICIES (Schedule of Company's Revenue by Category) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Disaggregation of Revenue [Line Items]      
Revenue $ 1,000,742 $ 751,888 $ 591,710
Saas [Member]      
Disaggregation of Revenue [Line Items]      
Revenue 468,680 298,331 166,361
Self-hosted subscription (Member)      
Disaggregation of Revenue [Line Items]      
Revenue [1] 264,595 173,692 114,288
Perpetual license [Member]      
Disaggregation of Revenue [Line Items]      
Revenue 14,449 21,037 49,964
Maintenance and support [Member]      
Disaggregation of Revenue [Line Items]      
Revenue 196,982 207,561 217,695
Professional services [Member]      
Disaggregation of Revenue [Line Items]      
Revenue $ 56,036 $ 51,267 $ 43,402
[1] Self-hosted subscription also includes maintenance associated with self-hosted subscriptions.
v3.25.0.1
BUSINESS COMBINATIONS (Narrative) (Details) - USD ($)
$ in Thousands
 1 Months Ended 12 Months Ended
Oct. 01, 2024
Jul. 22, 2022
Mar. 31, 2022
Dec. 31, 2024
Venafi Holdings, Inc. [Member]        
Business Acquisition [Line Items]        
Fair value of consideration transferred $ 1,660,000      
Total Consideration in cash $ 1,020,000      
Number of ordinary shares issued 2,285,076      
Ordinary shares with aggregate value of business combination $ 639,100      
Issuance costs additional paid in capital 190      
Acquisition expenses $ 21,800      
Revenue of business combination       $ 47,100
Operating loss       $ 13,800
AAPI1, Inc. [Member]        
Business Acquisition [Line Items]        
Total Consideration in cash     $ 17,689  
Acquisition expenses     $ 252  
C3M, LLC [Member]        
Business Acquisition [Line Items]        
Total Consideration in cash   $ 28,298    
Acquisition expenses   $ 1,992    
v3.25.0.1
BUSINESS COMBINATIONS (Schedule of preliminary fair value of assets acquired and liabilities) (Details) - Venafi Holdings Inc [Member]
$ in Thousands
Oct. 01, 2024
USD ($)
Business Acquisition [Line Items]  
Cash and Cash Equivalents $ 35,940
Accounts Receivable, net 48,690
Other Assets 8,910
Intangible Assets, net 543,575
Goodwill 1,164,133
Deferred Revenue (60,652)
Other Liabilities (25,486)
Deferred Tax Liability (55,366)
Total Purchase Consideration $ 1,659,744
v3.25.0.1
BUSINESS COMBINATIONS ( Schedule of intangible asses acquired) (Details) - Venafi Holdings, Inc. [Member]
$ in Thousands
Oct. 01, 2024
USD ($)
Technology [Member]  
Business Acquisition [Line Items]  
Fair Value $ 377,076 [1]
Estimated useful life (in years) 5 years [1]
Customer Relationships [Member]  
Business Acquisition [Line Items]  
Fair Value $ 154,962 [2]
Estimated useful life (in years) 8 years [2]
Trademark [Member]  
Business Acquisition [Line Items]  
Fair Value $ 7,029 [1]
Estimated useful life (in years) 1 year [1]
[1] The income approach, specifically the relief from royalty method, was used to evaluate the fairl value of the technology and trademark assets identified in the transaction.
[2] The income approach, specifically the multi-period excess earnings method (MEEM), was used to evaluate the fair value of the customer relationships identified in the transaction.
v3.25.0.1
BUSINESS COMBINATIONS ( Schedule of pro forma revenue and earnings) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Business Combinations [Abstract]    
Revenues $ 1,125,356 $ 905,859
Net loss $ (133,939) $ (104,808)
v3.25.0.1
MARKETABLE SECURITIES (Narrative) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]    
Financial income (expense), net, gross realized gains $ 775 $ 23
Financial income (expense), net, gross realized losses $ (1,407) $ (3)
v3.25.0.1
MARKETABLE SECURITIES (Schedule of amortized cost, unrealized gains and losses, and fair value of available-for-sale) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Marketable Securities [Line Items]    
Amortized cost $ 58,566 $ 612,699
Gross unrealized losses (871) (5,826)
Gross unrealized gains 6 691
Fair value 57,701 607,564
Corporate debentures [Member]    
Marketable Securities [Line Items]    
Amortized cost 58,265 324,485
Gross unrealized losses (871) (4,998)
Gross unrealized gains 6 357
Fair value 57,400 319,844
Government debentures [Member]    
Marketable Securities [Line Items]    
Amortized cost 301 288,214
Gross unrealized losses 0 (828)
Gross unrealized gains 0 334
Fair value $ 301 $ 287,720
v3.25.0.1
MARKETABLE SECURITIES - (Schedule of continuous unrealized loss position and fair value) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Investments, Debt and Equity Securities [Abstract]    
Gross unrealized losses Continuous unrealized loss position for less than 12 months $ (31) $ (590)
Gross unrealized losses continuous unrealized loss position for more than 12 months (840) (5,236)
Gross unrealized losses (871) (5,826)
Fair value of continuous unrealized loss position for less than 12 months 10,266 186,910
Fair value of continuous unrealized loss position for more than 12 months 40,842 190,560
Fair value $ 51,108 $ 377,470
v3.25.0.1
MARKETABLE SECURITIES (Schedule of amortized cost and fair value of available-for-sale marketable securities) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Amortized cost    
Due within one year $ 36,775 $ 285,012
Due between one and four years 21,791 327,687
Amortized cost 58,566 612,699
Fair value    
Due within one year 36,356 283,016
Due between one and four years 21,345 324,548
Fair value $ 57,701 $ 607,564
v3.25.0.1
PREPAID EXPENSES AND OTHER CURRENT ASSETS (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract]    
Prepaid expenses $ 25,826 $ 19,133
Hedging transaction assets 5,818 3,080
Government authorities 10,462 7,513
Deferred contract costs 1,043 696
Other current assets 2,143 1,128
Prepaid expenses and other current assets $ 45,292 $ 31,550
v3.25.0.1
PROPERTY AND EQUIPMENT, NET (Narrative) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Property, Plant and Equipment [Line Items]      
Property and equipment capitalized costs $ 2,359 $ 1,686  
Depreciation expense 8,751 9,809 $ 9,548
Internal use software and website development [Member]      
Property, Plant and Equipment [Line Items]      
Share-based compensation costs capitalized during the period 514 303  
Depreciation expense $ 2,039 $ 2,576 $ 2,137
v3.25.0.1
PROPERTY AND EQUIPMENT, NET (Schedule of Property and Equipment) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross $ 71,445 $ 57,522
Less - accumulated depreciation 51,864 41,028
Depreciated cost 19,581 16,494
Computers, software and related equipment [Member]    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross [1] 51,230 42,570
Leasehold improvements [Member]    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross 14,239 10,600
Office furniture and equipment [Member]    
Property, Plant and Equipment [Line Items]    
Property, plant and equipment, gross $ 5,976 $ 4,352
[1] For the years ended December 31, 2022 and 2023, the Company capitalized $4,929 and $1,686 including $758 and $303 of share-based compensation costs, relating to its internal use software and website development, respectively.
v3.25.0.1
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Narrative) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Finite-Lived Intangible Assets [Line Items]      
Amortization expense $ 33,232 $ 7,374 $ 6,655
Technology [Member]      
Finite-Lived Intangible Assets [Line Items]      
Weighted-average remaining useful lives 4 years 8 months 12 days    
Customer Relationships [Member]      
Finite-Lived Intangible Assets [Line Items]      
Weighted-average remaining useful lives 7 years 8 months 12 days    
v3.25.0.1
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Schedule of carrying amount of goodwill) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]    
Balance as of beginning of the year $ 153,241 $ 153,241
Goodwill acquired 1,164,133 0
Closing balance $ 1,317,374 $ 153,241
v3.25.0.1
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Schedule of Intangible Assets) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Finite-Lived Intangible Assets [Line Items]    
Original amount $ 613,996 $ 66,240
Less - accumulated amortization 79,270 46,038
Intangible assets, net 534,726 20,202
Technology [Member]    
Finite-Lived Intangible Assets [Line Items]    
Original amount 432,998 55,922
Customer Relationships [Member]    
Finite-Lived Intangible Assets [Line Items]    
Original amount 164,548 9,586
Other [Member]    
Finite-Lived Intangible Assets [Line Items]    
Original amount $ 16,450 $ 732
v3.25.0.1
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Schedule of Future Amortization Expense) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Goodwill and Intangible Assets Disclosure [Abstract]    
2025 $ 107,345  
2026 100,785  
2027 99,710  
2028 95,404  
2029 77,311  
Thereafter 54,171  
Intangible assets, net $ 534,726 $ 20,202
v3.25.0.1
ACCRUED EXPENSES AND OTHER CURRENT LIABILITIES (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Lease liabilities, current $ 11,107 $ 8,240
Accrued expenses and other current liabilities 53,486 36,562
Accrued Expenses and Other Current Liabilities [Member]    
Government authorities 10,923 8,464
Accrued expenses 20,723 12,879
Unrecognized tax benefits 10,609 5,960
Lease liabilities, current 11,107 8,240
Hedging transaction liabilities $ 124 $ 1,019
v3.25.0.1
COMMITMENTS AND CONTINGENT LIABILITIES (Narrative) (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
Bank guarantee $ 2,782
v3.25.0.1
COMMITMENTS AND CONTINGENT LIABILITIES (Schedule of future payments under non-cancelable material purchase obligations) (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
Commitments and Contingencies Disclosure [Abstract]  
2025 $ 58,035
2026 64,488
2027 52,913
Non-cancelable material purchase obligations $ 175,436
v3.25.0.1
LEASES (Narrative) (Details)
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Lessee, Lease, Description [Line Items]    
Weighted average remaining lease term (in years) 3 years 8 months 12 days 4 years 9 months 18 days
Number of years in which lease term can be extended 5 years  
Maximum [Member]    
Lessee, Lease, Description [Line Items]    
Weighted average remaining lease term (in years) 5 years  
v3.25.0.1
LEASES (Schedule of Components of Operating Lease Costs) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Leases [Abstract]    
Operating lease cost $ 10,195 $ 8,888
Short-term lease cost 1,483 1,858
Variable lease cost 1,534 1,491
Total net lease costs $ 13,212 $ 12,237
v3.25.0.1
LEASES (Schedule of Supplemental Balance Sheet Information Related to Operating Leases) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Lessee, Lease, Description [Line Items]    
Operating lease ROU assets (under other long-term assets in the balance sheets) $ 31,154 $ 32,186
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] us-gaap:OtherAssets us-gaap:OtherAssets
Operating lease liabilities, current $ 11,107 $ 8,240
Operating Lease, Liability, Current, Statement of Financial Position [Extensible Enumeration] us-gaap:OtherLiabilitiesCurrent us-gaap:OtherLiabilitiesCurrent
Operating lease liabilities, long-term (under other long-term liabilities in the balance sheets) $ 18,208 $ 22,293
Operating Lease, Liability, Noncurrent, Statement of Financial Position [Extensible Enumeration] Other long-term liabilities Other long-term liabilities
Weighted average remaining lease term (in years) 3 years 8 months 12 days 4 years 9 months 18 days
Weighted average discount rate 3.30% 2.90%
v3.25.0.1
LEASES (Schedule of Minimum Lease Payments for Company's ROU Assets Over Remaining Lease Periods) (Details)
$ in Thousands
Dec. 31, 2024
USD ($)
2025 $ 11,240
2026 7,136
2027 5,541
2028 4,055
2029 2,895
Thereafter 7
Total undiscounted lease payments 30,874
Less: imputed interest (1,559)
Liabilities [Member]  
Present value of lease liabilities $ 29,315
v3.25.0.1
FAIR VALUE MEASUREMENTS (Schedule of fair value of financial assets and liabilities) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair Value Money Market And Marketable Securities $ 513,413 $ 925,543
Money market funds [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 455,712 315,784
Corporate debentures and commercial paper [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 0 1,001
Available For Sale Marketable Securities 57,400 319,844
Government debentures [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 0 1,194
Available For Sale Marketable Securities 301 287,720
Level 1 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair Value Money Market And Marketable Securities 455,712 315,784
Level 1 [Member] | Money market funds [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 455,712 315,784
Level 1 [Member] | Corporate debentures and commercial paper [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 0 0
Available For Sale Marketable Securities 0 0
Level 1 [Member] | Government debentures [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 0 0
Available For Sale Marketable Securities 0 0
Level 2 [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Fair Value Money Market And Marketable Securities 57,701 609,759
Level 2 [Member] | Money market funds [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 0 0
Level 2 [Member] | Corporate debentures and commercial paper [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 0 1,001
Available For Sale Marketable Securities 57,400 319,844
Level 2 [Member] | Government debentures [Member]    
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]    
Cash equivalents 0 1,194
Available For Sale Marketable Securities $ 301 $ 287,720
v3.25.0.1
CONVERTIBLE SENIOR NOTES, NET (Narrative) (Details)
$ / shares in Units, $ in Thousands
 1 Months Ended 12 Months Ended
Nov. 30, 2019
USD ($)
$ / shares
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Dec. 31, 2024
₪ / shares
Dec. 31, 2024
USD ($)
$ / shares
Dec. 31, 2023
₪ / shares
Debt Instrument [Line Items]              
Common Stock, Par or Stated Value Per Share | ₪ / shares         ₪ 0.01   ₪ 0.01
Cost of capped call transactions $ 256,700            
Capped call initial strike price | $ / shares           $ 157.53  
Change in the fair value of the derivative asset from the reclassification   $ 4,600          
Proceeds from settlement of capped call transactions   261,358 $ 0 $ 0      
Convertible Senior Note [Member]              
Debt Instrument [Line Items]              
Principal amount $ 500,000         $ 574,500  
Debt repaid in cash   $ 500          
Coupon rate 0.00%            
Due date Nov. 15, 2024            
Additional Principal amount $ 75,000            
Conversion rate description The Convertible Notes were convertible based upon an initial conversion rate of 6.3478 of the Company's ordinary shares, par value NIS 0.01 per share, per $1 principal amount of Convertible Notes (equivalent to a conversion price of approximately $157.53 per ordinary share).            
Conversion rate percentage 130.00%            
Principal amount of convertible notes for each trading day $ 1,000            
Percentage of measurement period of product of last reported sale price 98.00%            
Percentage of repurchase price equal to principal amount of convertible notes 100.00%            
Cap price of the capped call transactions | $ / shares $ 229.14            
Maturity description senior notes due 2024            
v3.25.0.1
CONVERTIBLE SENIOR NOTES, NET (Schedule of Net Carrying Amount of Liability and Equity Components of Notes) (Details) - Convertible Senior Note [Member] - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Net carrying amount of the liability and equity components:    
Remaining principal amount $ 0 $ 575,000
Unamortized issuance costs 0 (2,660)
Net carrying amount $ 0 $ 572,340
v3.25.0.1
CONVERTIBLE SENIOR NOTES, NET (Schedule of Interest Expense Related to Notes) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Debt Disclosure [Abstract]      
Amortization of debt issuance costs $ 2,660 $ 2,996 $ 2,980
Total interest expense recognized $ 2,660 $ 2,996 $ 2,980
v3.25.0.1
REVOLVING CREDIT FACILITY (Narrative) (Details) - Revolving credit facility agreement (“Credit Facility”)
$ in Millions
 12 Months Ended
Dec. 31, 2024
USD ($)
Line of Credit Facility [Line Items]  
Credit facility maximum borrowing capacity $ 250
Interest rate description The borrowings under the Credit Facility bear interest at a base rate plus a spread of 0.8% to 1.8%, or a three-month Secured Overnight Financing Rate plus a spread of 2.45% to 4%. The ongoing fee on undrawn amounts is 0.7%.
Ongoing fee on undrawn amounts 0.70%
Minimum unrestricted cash and cash equivalents $ 150
Minimum loan account $ 60
Minimum  
Line of Credit Facility [Line Items]  
Ongoing fee on undrawn amounts 0.80%
Maximum  
Line of Credit Facility [Line Items]  
Ongoing fee on undrawn amounts 1.80%
v3.25.0.1
SHAREHOLDERS' EQUITY (Narrative) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Class of Stock [Line Items]      
Number of shares reserved for future grants 1,650,364    
Amount of unvested PSU $ 352,891    
Unrecognized share based compensation expense recognition period 2 years 7 months 2 days    
Total fair value of RSUs and PSUs vested $ 257,379 $ 135,873 $ 117,812
Employee Stock Purchase Plan ("ESPP")      
Class of Stock [Line Items]      
Percentage of amount not exceeding share based compensation employees receive. 15.00%    
Number of ordinary shares reserved 125,000    
Increase in number of ordinary shares 1,000,000    
Percentage of fair value of ordinary shares 85.00%    
PSU      
Class of Stock [Line Items]      
Amount of unvested PSU $ 382,140    
2024 Share Incentive Plan      
Class of Stock [Line Items]      
Number of shares reserved for future grants 1,787,022    
Maximum aggregate number of shares issued pursuant to awards 1,786,992    
Ordinary shares   4,000,000  
v3.25.0.1
SHAREHOLDERS' EQUITY (Schedule of Shares Capital) (Details) - ₪ / shares
Dec. 31, 2024
Dec. 31, 2023
Stockholders' Equity Note [Abstract]    
Ordinary shares, Authorized 250,000,000 250,000,000
Common Stock, Shares, Issued 49,426,711 42,255,336
Common Stock, Shares, Outstanding 49,426,711 42,255,336
Common Stock, Par or Stated Value Per Share ₪ 0.01 ₪ 0.01
v3.25.0.1
SHAREHOLDERS' EQUITY (Schedule of Share Based Compensation Expense) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense $ 168,766 $ 140,101 $ 120,821
Cost of revenues [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense 21,724 17,612 15,060
Research and development [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense 34,953 29,458 27,102
Sales and marketing [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense 67,924 58,790 51,099
General and administrative [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Share-based compensation expense $ 44,165 $ 34,241 $ 27,560
v3.25.0.1
SHAREHOLDERS' EQUITY (Schedule of Stock Option Activity) (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Amount of options      
Beginning balance 244,787    
Exercised 119,120    
Forfeited 2,249    
Expired 34    
Ending balance 123,384 244,787  
Exercisable 117,648    
Weighted average exercise price      
Beginning balance $ 78.85    
Exercised 69.76    
Forfeited 147.9    
Expired 51.86    
Ending balance 86.37 $ 78.85  
Exercisable $ 83.23    
Weighted average remaining contractual term (in years)      
Options outstanding 3 years 8 months 8 days 4 years 2 months 26 days  
Exercisable as of December 31, 2022 3 years 6 months    
Aggregate intrinsic value      
Options outstanding $ 30,449 $ 34,320  
Exercised 25,031 $ 22,935 $ 30,031
Forfeited 319    
Expired 7    
Exercisable $ 29,403    
v3.25.0.1
SHAREHOLDERS' EQUITY (Schedule of Fair Value Assumptions) (Details)
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
ESPP [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected dividends 0.00% 0.00% 0.00%
Expected term (in years) 6 months 6 months 6 months
Minimum [Member] | ESPP [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected volatility 28.23% 39.46% 55.67%
Risk free rate 4.43% 5.33% 2.15%
Maximum [Member] | ESPP [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected volatility 29.27% 44.12% 64.20%
Risk free rate 5.39% 5.44% 4.65%
Employee Stock Option      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected volatility 0.00% 51.00%  
Expected dividends 0.00% 0.00% 0.00%
Risk free rate 0.00%    
Employee Stock Option | Minimum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected volatility     46.00%
Expected term (in years)   3 years 9 months 7 days 3 years 8 months 23 days
Risk free rate   3.58% 1.67%
Employee Stock Option | Maximum [Member]      
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]      
Expected volatility     50.00%
Expected term (in years)   3 years 9 months 10 days 3 years 9 months 3 days
Risk free rate   3.97% 4.40%
v3.25.0.1
SHAREHOLDERS' EQUITY (Schedule of Options Data) (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Stockholders' Equity Note [Abstract]      
Weighted-average grant date fair value of options granted $ 0 $ 62.25 $ 39.69
Total intrinsic value of the options exercised $ 25,031 $ 22,935 $ 30,031
v3.25.0.1
SHAREHOLDERS' EQUITY (Schedule of RSUs and PSUs Activity) (Details)
 12 Months Ended
Dec. 31, 2024
$ / shares
shares
Amount of RSUs and PSUs  
Unvested beginning balance | shares 2,639,337
Granted | shares 1,122,240
Vested | shares 1,015,487
Forfeited | shares 117,308
Unvested ending balance | shares 2,628,782
Weighted average grant date fair value  
Unvested beginning balance | $ / shares $ 136.15
Granted | $ / shares 246.78
Vested | $ / shares 130.44
Forfeited | $ / shares 152.82
Unvested ending balance | $ / shares $ 184.84
v3.25.0.1
INCOME TAXES (Narrative) (Details)
$ in Thousands, ₪ in Millions
 12 Months Ended
Dec. 31, 2024
ILS (₪)
Dec. 31, 2024
USD ($)
Dec. 31, 2023
USD ($)
Dec. 31, 2022
USD ($)
Operating Loss Carryforwards [Line Items]        
Corporate tax rate in effect 23.00% 23.00% 23.00% 23.00%
Undistributed earnings   $ 117,301    
Federal net operating loss carryforwards   273,127    
State net operating loss carryforwards   $ 201,600    
Percentage of taxable income limitation 80.00% 80.00%    
Tax exempt profits   $ 13,945    
Income tax liability that would have been incurred if retained tax exempt income is distributed   $ 3,424    
Capital gains tax rate 12.00% 12.00%    
Percentage of annual income derived from exports 25.00% 25.00%    
Purchase of intangible assets from foreign resident | ₪ ₪ 200      
Foreign tax rate 4.00% 4.00%    
Withholding tax rate 20.00% 20.00%    
Interest expense (income) related to uncertain tax positions   $ 298 $ 44 $ (87)
Total accrual for interest   $ 367 69  
Operating loss carryforwards, expiration terms expire in 2025 through 2044 expire in 2025 through 2044    
Valuation allowance   $ 94,663 $ 24,569  
Unrecognized tax benefits that would impact effective tax rate   8,500    
State and Local Jurisdiction [Member]        
Operating Loss Carryforwards [Line Items]        
Operating loss carry-forwards   95,052    
Federal and state research and development credits carryforwards   $ 19,939    
Operating loss carryforwards, expiration terms expire in 2026 through 2044 expire in 2026 through 2044    
Israel Tax Authority [Member]        
Operating Loss Carryforwards [Line Items]        
Operating loss carry-forwards   $ 193,583    
Foreign tax credits carryforwards   $ 1,444    
Operating loss carryforwards, expiration terms expire in 2027 through 2030 expire in 2027 through 2030    
Valuation allowance   $ 65,400    
U.S. [Member]        
Operating Loss Carryforwards [Line Items]        
Foreign tax credits carryforwards   $ 15,496    
Israel [Member]        
Operating Loss Carryforwards [Line Items]        
Corporate tax rate in effect 12.00% 12.00%    
v3.25.0.1
INCOME TAXES (Schedule of Loss Before Taxes on Income ) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Domestic loss $ (27,469) $ (116,661) $ (167,606)
Foreign income 11,503 53,403 30,588
Loss before taxes on income $ (15,966) $ (63,258) $ (137,018)
v3.25.0.1
INCOME TAXES (Schedule of Deferred Tax Assets and Liabilities) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Deferred tax assets:    
Carry-forwards losses and credits $ 117,493 $ 59,911
Capitalized research and development 40,324 22,859
Deferred revenues 19,749 12,841
Intangible assets 7,727 8,267
Share-based compensation 29,123 26,897
Operating lease liability 4,971 4,737
Accruals and others 9,680 4,276
Gross deferred tax assets before valuation allowance 229,067 139,788
Less: Valuation allowance 94,663 24,569
Total deferred tax assets 134,404 115,219
Deferred tax liabilities:    
Intangible assets (133,928) (3,527)
Deferred commissions (31,133) (24,999)
Operating lease ROU asset (4,948) (4,696)
Property and equipment and other (655) (700)
Gross deferred tax liabilities (170,664) (33,922)
Net deferred tax assets (liabilities) $ (36,260) $ 81,297
v3.25.0.1
INCOME TAXES (Schedule of Income Taxes) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Current $ 11,202 $ 11,125 $ 8,980
Deferred 66,293 (7,879) (15,630)
Domestic 3,766 (14,105) (19,716)
Foreign 73,729 17,351 13,066
Income tax expense $ 77,495 $ 3,246 $ (6,650)
v3.25.0.1
INCOME TAXES (Schedule of Reconciliation of Income Taxes) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Loss before income taxes $ (15,966) $ (63,258) $ (137,018)
Statutory tax rate 23.00% 23.00% 23.00%
Theoretical tax benefit $ (3,672) $ (14,549) $ (31,514)
Excess tax benefits related to share-based compensation (12,788) (3,817) (1,817)
Non-deductible expenses 6,560 2,963 6,325
Changes in valuation allowance 70,758 3,320 1,538
Changes in unrecognized tax benefits 10,550 3,155 (1,914)
Foreign and preferred enterprise tax rates differential 4,726 12,826 18,450
Prior years and others 1,361 (652) 2,282
Income tax expense (tax benefit) $ 77,495 $ 3,246 $ (6,650)
v3.25.0.1
INCOME TAXES (Schedule of Unrecognized Tax Benefits) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Income Tax Disclosure [Abstract]      
Opening balance $ 5,960 $ 2,805 $ 3,870
Decrease related to settlements with taxing authorities 0 0 (2,353)
Increase related to prior year tax positions 702 743 429
Increase related to current year tax positions 9,848 2,412 859
Increase related to current year business acquisitions 3,463 0 0
Closing balance $ 19,973 $ 5,960 $ 2,805
v3.25.0.1
FINANCIAL INCOME, NET (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Other Income and Expenses [Abstract]      
Bank charges and other $ (1,407) $ (359) $ (269)
Exchange rate income (loss), net (2,131) 1,567 1,564
Interest income and gains (losses) from investment in privately held companies 58,418 55,002 17,117
Amortization of debt issuance costs (2,660) (2,996) (2,980)
Change in fair value of derivative assets 4,618 0 0
Financial income, net $ 56,838 $ 53,214 $ 15,432
v3.25.0.1
BASIC AND DILUTED NET LOSS PER SHARE (Narrative) (Details) - shares
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Antidilutive securities excluded from computation of earnings per share, amount 2,781,892 3,013,220 2,839,883
Number of additional antidilutive securities excluded from computation of earnings per share amount 3,021,323 3,649,985 3,649,985
v3.25.0.1
BASIC AND DILUTED NET LOSS PER SHARE (Schedule of Basic Income per Share) (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Numerator:      
Net loss available to shareholders of ordinary shares, basic $ (93,461) $ (66,504) $ (130,368)
Denominator:      
Shares used in computing basic net loss per ordinary shares 44,182,071 41,658,424 40,583,002
Earnings Per Share, Basic $ (2.12) $ (1.6) $ (3.21)
v3.25.0.1
BASIC AND DILUTED NET INCOME (LOSS) PER SHARE (Schedule of Diluted Income per Share) (Details) - USD ($)
$ / shares in Units, $ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Numerator:      
Net loss available to shareholders of ordinary shares, diluted $ (93,461) $ (66,504) $ (130,368)
Denominator:      
Shares used in computing diluted net loss per ordinary shares 44,182,071 41,658,424 40,583,002
Earnings Per Share, Diluted $ (2.12) $ (1.6) $ (3.21)
v3.25.0.1
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Narrative) (Details)
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Revenue Benchmark [Member] | Customer Concentration Risk [Member] | Single Customer [Member]      
Segment Reporting Information [Line Items]      
Revenue Percentage 10.00% 10.00% 10.00%
v3.25.0.1
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Schedule of Revenue by Geographic Location) (Details) - USD ($)
$ in Thousands
 12 Months Ended
Dec. 31, 2024
Dec. 31, 2023
Dec. 31, 2022
Segment Reporting Information [Line Items]      
Revenue $ 1,000,742 $ 751,888 $ 591,710
United States [Member]      
Segment Reporting Information [Line Items]      
Revenue 503,359 393,355 312,816
Israel [Member]      
Segment Reporting Information [Line Items]      
Revenue 8,257 6,784 6,302
United Kingdom [Member]      
Segment Reporting Information [Line Items]      
Revenue 60,238 45,751 41,297
Europe, the Middle East and Africa [Member]      
Segment Reporting Information [Line Items]      
Revenue [1] 243,100 173,203 130,745
Other [Member]      
Segment Reporting Information [Line Items]      
Revenue $ 185,788 $ 132,795 $ 100,550
[1] Excluding United Kingdom and Israel
v3.25.0.1
SEGMENTS, CUSTOMERS AND GEOGRAPHIC INFORMATION (Schedule of Long-Lived Assets by Geographic Location) (Details) - USD ($)
$ in Thousands
Dec. 31, 2024
Dec. 31, 2023
Segment Reporting Information [Line Items]    
Long Lived Assets $ 50,735 $ 48,680
United States [Member]    
Segment Reporting Information [Line Items]    
Long Lived Assets 8,405 4,635
Israel [Member]    
Segment Reporting Information [Line Items]    
Long Lived Assets 31,327 33,898
United Kingdom [Member]    
Segment Reporting Information [Line Items]    
Long Lived Assets 2,880 3,118
Europe, the Middle East and Africa [Member]    
Segment Reporting Information [Line Items]    
Long Lived Assets [1] 1,521 747
Other [Member]    
Segment Reporting Information [Line Items]    
Long Lived Assets $ 6,602 $ 6,282
[1] Excluding United Kingdom and Israel
v3.25.0.1
SUBSEQUENT EVENTS (Narrative) (Details) - Subsequent Event [Member] - Zilla Security, Inc. ("Zilla") [Member]
$ in Millions
Feb. 12, 2025
USD ($)
Subsequent Event [Line Items]  
Date of acquisition Feb. 12, 2025
Name of acquired entity acquisition of Zilla Security, Inc. (“Zilla”)
Description of acquired entity a leader in modern Identity Governance and Administration (IGA) solutions. Zilla’s innovative, AI-powered IGA capabilities
Cash consideration $ 165
Business combination, basis of consideration arrangements The purchase consideration transferred amounted to approximately $165 million in cash, and up to $6 million earn-out tied to the achievement of certain contingent milestones. An additional $4 million earn-out is tied to retention of key employees.
Earn-out tied to the achievement of certain contingent milestones $ 6
Earn-out tied to the retention of key employees $ 4