UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
 
FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER PURSUANT TO RULE 13a-16
OR 15d-16 UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of November 2018

Commission file number: 001-20892

ATTUNITY LTD.
(Name of registrant)

16 Atir Yeda Street, Atir Yeda Industrial Park, Kfar Saba, 4464321, Israel
 (Address of principal executive office)
_____________________

        Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.  
 
Form 20-F ☒ Form 40-F ☐

        Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐

        Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐

____________________
 
The GAAP financial statements included in the press release attached hereto as Exhibit 99.1 are hereby incorporated by reference into: Form F-3 Registration Statements File Nos. 333-227969, 333-205799, 333-173205, 333-138044, 333-122937 and 333-119157 and Form S-8 Registration Statements File Nos. 333-122302, 333-142284, 333-164656, 333-184136, 333-193783, 333-219792 and 333-224648.


 
CONTENTS
 
Exhibits
 
 

 
SIGNATURES
 
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.
 
 
ATTUNITY LTD.
 
 
By: /s/ Dror Harel-Elkayam
 
Dror Harel-Elkayam
Chief Financial Officer and Secretary
 
Date: November 1, 2018
 


Exhibit 99.1
 

Attunity Reports Record Third Quarter 2018 Results;
50% License Growth
--- 
Record Operating Income of $3.5 million
Increases Outlook for Full Year 2018
---
Burlington, MA – November 1, 2018 – Attunity Ltd. (NasdaqCM: ATTU), a leading provider of data integration and big data management software solutions, today reported its unaudited financial results for the three-month period ended September 30, 2018.

"The third quarter of 2018 was another great quarter for Attunity. We are pleased to report strong performance including license revenue growth of 50% year-over-year and total revenue growth of 35% year-over-year, as well as increased profits and cash flow from operations,” stated Shimon Alon, Chairman and CEO of Attunity.

"Our record performance comes from a healthy mix of new customer deals, existing customer expansion, growth across all territories, our expanded product suite and contribution from new and existing partners. With positive momentum across our entire business and three strong quarters behind us this year, we determined to raise our guidance for the full year," concluded Mr. Alon.

Recent Operational Highlights
·
Number of term-based license deals grew by 40% sequentially, with over 60% of the number of Replicate direct license deals being term-based
·
Closed $1.0 million deal with existing multi-million dollar customer in the manufacturing industry, expanding their initial deployment by adding more sources, more capacity, and licensing more products
·
Closed $1.0 million term-based deal with new customer in the education sector
·
Expanded Attunity Data Integration platform to include comprehensive support for Google Cloud Platform
·
Achieved SAP-certified integration with SAP HANA® for Attunity Replicate

Financial Highlights for the Third Quarter of 2018 compared with the Third Quarter of 2017
·
Total revenue was $22.2 million, compared with $16.5 million*
·
Operating profit was $3.5 million, compared with $0.1 million*
·
Non-GAAP operating profit was $4.8 million, compared with $1.5 million**
·
Net income was $3.1 million, compared with a net loss of $0.4 million*
·
Non-GAAP net income was $4.5 million, compared with non-GAAP net income of $0.8 million**
·
Cash flow from operations was $2.5 million, compared with cash used in operations of $2.8 million

Financial Results for Third Quarter of 2018
Total revenue for the third quarter of 2018 increased 35% to $22.2 million, compared with $16.5 million for the same period in 2017. This includes license revenue of $13.8 million, which grew 50% compared with $9.2 million for the same period in 2017, and maintenance and service revenue, which grew 16% to $8.4 million, compared with $7.3 million for the same period in 2017. License revenue includes approximately $2.7 million, recognized from a previously announced strategic OEM licensing agreement with a top information technology company.*


Operating expenses for the third quarter of 2018 increased 14% to $18.7 million, compared with $16.4 million for the same period in 2017.*

Non-GAAP operating expenses for the third quarter of 2018 increased 16% to $17.4 million, compared with $15.0 million for the same period in 2017. Non-GAAP operating expenses exclude approximately $1.3 million in equity-based compensation expenses and amortization associated with acquisitions, similar to the same period in 2017.**

Operating profit for the third quarter of 2018 was $3.5 million, compared with $0.1 million for the same period in 2017.*

Non-GAAP operating profit was $4.8 million for the third quarter of 2018, compared with $1.5 million for the same period in 2017. Non-GAAP operating profit excludes approximately $1.3 million in equity-based compensation expenses and amortization associated with acquisitions, similar to the same period in 2017.**

Net income for the third quarter of 2018 was $3.1 million, or $0.14 per diluted share, compared with a net loss of $0.4 million, or ($0.03) per diluted share, in the same period in 2017.*

Non-GAAP net income for the third quarter of 2018 was $4.5 million, or $0.20 per diluted share, compared with $0.8 million, or $0.04 per diluted share, for the same period in 2017. Non-GAAP net income excludes approximately $1.4 million primarily in equity-based compensation expenses and amortization associated with acquisitions, compared with approximately $1.2 million of similar expenses for the same period in 2017.**

Cash flow from operations in the third quarter of 2018 was $2.5 million, compared with cash used in operations of $2.8 million in the same period in 2017.

Cash and cash equivalents and short-term deposits were $38.1 million as of September 30, 2018, compared with $33.1 million as of June 30, 2018.

Updated Outlook for Full Year 2018
The Company increased its outlook for the full year 2018 as follows:

·
Total revenue is estimated to grow to between $83 and $85 million, compared with prior (updated) guidance of $78 to $81 million.
·
Non-GAAP operating margin is estimated to be between 13% and 15%, compared with prior (updated) guidance of 7% to 10%.

Financial Reconciliation to non-GAAP figures for the updated 2018 outlook:

   
From
   
To
 
GAAP Operating Profit Margin
   
7
%
   
9
%
Equity-based compensation
   
(5
)%
   
(5
)%
Amortization associated with acquisitions
   
(1
)%
   
(1
)%
Non-GAAP Operating Profit Margin (1)
   
13
%
   
15
%

(1) Non-GAAP Operating Profit Margin is calculated by dividing the non-GAAP Operating Profit by the total non-GAAP revenues for the period.


These estimates for 2018 reflect the Company's current and preliminary views, which are subject to change (see below under "Safe Harbor Statement") and are based on various assumptions, including the continued expanded adoption of the Cloud as a leading data platform, the continued adoption of modern analytics and the improved execution capabilities of our expanded sales team.

** See "Use of Non-GAAP Financial Information" below for more information regarding Attunity's use of Non-GAAP financial measures.

Conference Call and Webcast Information
The Company will host a conference call with the investment community on Thursday, November 1st at 8:30 a.m. Eastern Time featuring remarks by Shimon Alon, Chairman and CEO,
Dror Harel-Elkayam, CFO, and Itamar Ankorion, CMO of Attunity. The dial-in numbers for the conference call are +1-877-407-9039 (U.S. Toll Free), +1 809 406 247 (Israel), or +1-201-689-8470 (International). All dial-in participants must use the following code to access the call: 13683765.

Please call at least five minutes before the scheduled start time.  The conference call will also be available via webcast, which can be accessed through the Investor Relations section of Attunity's website, ir.attunity.com.  Please allow extra time prior to the call to visit the site and download any necessary software to listen to the live broadcast.

For interested individuals unable to join the conference call, a replay of the call will be available through November 15, 2018, at +1-844-512-2921 (U.S. Toll Free) or +1-412-317-6671 (International). Participants must use the following code to access the replay of the call: 13683765. The online archive of the webcast will be available on ir.attunity.com/events-and-presentations for 30 days following the call.

About Attunity
Attunity is a leading provider of data integration and big data management software solutions that enable availability, delivery and management of data across heterogeneous enterprise platforms, organizations and the cloud. Our software solutions include data replication and distribution, test data management, change data capture (CDC), data connectivity, enterprise file replication (EFR), managed file transfer (MFT), data warehouse automation, data usage analytics and cloud data delivery.

Attunity has supplied innovative software solutions to its enterprise-class customers for over 20 years and has successful deployments at thousands of organizations worldwide. Attunity provides software directly and indirectly through a number of partners such as Microsoft, Oracle, IBM and Hewlett Packard Enterprise. Headquartered in Boston, Attunity serves its customers via offices in North America, Europe, and Asia Pacific and through a network of local partners. For more information, visit www.attunity.com or our blog and join our community on Twitter, Facebook, LinkedIn and YouTube.


(*) New Revenue Accounting Standard
Effective January 1, 2018, Attunity adopted the FASB-issued ASU, No. 2014-09, "Revenue from Contracts with Customers (Topic 606)", or ASC 606, a new accounting standard related to revenue recognition. Attunity adopted ASC 606 using the modified retrospective method, which means that the comparative financial information for the three and nine month periods ended September 30, 2017 has not been restated in the current financial statements under the new accounting standard. Accordingly, the percentage changes from the 2017 to 2018 periods differ from what they would have been had the same accounting standards been in effect for both periods. In the interest of comparability during the transition year to ASC 606, the company has provided revenue, operating expenses, operating income (loss), financial income, taxes on income, net income (loss) and earnings per share information in accordance with both ASC 606 and revenue recognition rules in effect prior to the adoption of ASC 606 (ASC No. 985-605, or ASC 605). For further details, see the Impact of the Adoption of ASC 606 table later in this press release and the note thereto. 

(**) Use of Non-GAAP Financial Information
In addition to reporting financial results in accordance with U.S. generally accepted accounting principles, or GAAP, Attunity uses Non-GAAP measures of net income (loss), operating expenses, operating profit (loss), and diluted net income (loss) per share, which are adjusted from results based on GAAP to exclude amortization associated with acquisitions, equity-based compensation expenses, non-cash financial expenses, such as the effect of a revaluation of liabilities presented at fair value, and the effect of changes in deferred taxes related to non-GAAP adjustments. Attunity's management believes the non-GAAP financial information provided in this release is useful to investors' understanding and assessment of Attunity's on-going core operations and prospects for the future. Management uses both GAAP and non-GAAP information in evaluating and operating its business internally and as such has determined that it is important to provide this information to investors. The presentation of this non-GAAP financial information is not intended to be considered in isolation or as a substitute for results prepared in accordance with GAAP. For further details, see the Reconciliation of Supplemental Non-GAAP Financial Information table later in this press release.

Safe Harbor Statement
This press release contains forward-looking statements within the meaning of the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995 and other applicable securities laws. Statements preceded by, followed by, or that otherwise include the words "believes", "expects", "anticipates", "intends", "estimates", "plans", and similar expressions or future or conditional verbs such as "will", "should", "would", "may" and "could" are generally forward-looking in nature and not historical facts. For example, when we discuss the momentum across our entire business, the continued trend of demand for our recurring revenue pricing model and our updated outlook for 2018, we are using forward-looking statements. In addition, announced results for the third quarter of 2018 are preliminary, unaudited and subject to year-end audit adjustment. Because such statements deal with future events, they are subject to various risks and uncertainties and actual results, expressed or implied by such forward-looking statements, could differ materially from Attunity's current expectations. Factors that could cause or contribute to such differences include, but are not limited to, risks and uncertainties relating to: our history of operating losses and ability to sustain profitability; our business and operating results dependency on the successful and timely implementation of our third party partner solutions; the lengthy sales cycle of our products; competition; acquisitions, including costs and difficulties related to integration of acquired businesses and impairment charges; global economic conditions; timely availability and customer acceptance of Attunity's new and existing products; risks relating to proprietary rights and risks of infringement; the potential loss of one or more of our significant customers or a decline in demand from one or more of these customers; our ability to retain and attract qualified personnel;  and other factors and risks on which Attunity may have little or no control. This list is intended to identify only certain of the principal factors that could cause actual results to differ. For a more detailed description of the risks and uncertainties affecting Attunity, reference is made to Attunity's latest Annual Report on Form 20-F which is on file with the Securities and Exchange Commission (SEC) and the other risk factors discussed from time to time by Attunity in reports filed with, or furnished to, the SEC. Except as otherwise required by law, Attunity undertakes no obligation to publicly release any revisions to these forward-looking statements to reflect events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.


The contents of any website or hyperlinks mentioned in this press release are for informational purposes and the contents thereof are not part of this press release.

© Attunity 2018. All Rights Reserved. Attunity is a registered trademark of Attunity Inc. All other product and company names herein may be trademarks of their respective owners.

For more information, please contact:

Investor Contact:
Todd Fromer / Allison Soss
KCSA Strategic Communications
Tel. +1-212-896-1267
Attunity@kcsa.com    

Company Contact:
Dror Harel-Elkayam, CFO
Attunity Ltd.
Tel. +972-9-899-3000
Dror.elkayam@attunity.com
 

 
CONSOLIDATED FINANCIAL STATEMENTS
 
As of September 30, 2018
 
UNAUDITED
 
U.S. DOLLARS IN THOUSANDS
 
INDEX
   
 
Page
   
2-3
   
4
   
5
   
6-7
   
8


 
ATTUNITY LTD. AND ITS SUBSIDIARIES
 
CONDENSED CONSOLIDATED BALANCE SHEETS
U.S. dollars in thousands
 
   
September 30,
   
December 31,
 
   
2018
   
2017
 
   
Unaudited
   
Audited
 
ASSETS
           
             
CURRENT ASSETS:
           
Cash and cash equivalents
 
$
14,329
   
$
29,087
 
Short term deposits
   
23,768
     
-
 
Trade receivables (net of allowance for doubtful accounts of $15 at September 30, 2018 and December 31, 2017)
   
14,347
     
10,609
 
Deferred commissions costs
   
1,354
     
-
 
Other accounts receivable and prepaid expenses
   
2,415
     
1,074
 
Total current assets
   
56,213
     
40,770
 
                 
LONG-TERM ASSETS:
               
Other assets
   
183
     
1,361
 
Deferred commissions costs
   
5,080
     
-
 
Severance pay fund
   
4,618
     
4,378
 
Property and equipment, net
   
1,427
     
1,287
 
Goodwill and other intangible assets, net
   
31,653
     
32,360
 
Total long-term assets
   
42,961
     
39,386
 
                 
Total assets
 
$
99,174
   
$
80,156
 

2

ATTUNITY LTD. AND ITS SUBSIDIARIES
CONDENSED CONSOLIDATED BALANCE SHEETS
U.S. dollars in thousands, except share and per share data
 
   
September 30,
   
December 31,
 
   
2018
   
2017
 
   
Unaudited
   
Audited
 
LIABILITIES AND SHAREHOLDERS' EQUITY
           
             
CURRENT LIABILITIES:
           
             
Trade payables
 
$
871
   
$
666
 
Deferred revenues
   
13,045
     
11,066
 
Employees and payroll accruals
   
6,068
     
5,730
 
Accrued expenses and other current liabilities
   
1,785
     
3,066
 
                 
Total current liabilities
   
21,769
     
20,528
 
                 
LONG-TERM LIABILITIES:
               
Other liabilities
   
704
     
321
 
Deferred revenues
   
3,277
     
2,163
 
Accrued severance pay
   
6,157
     
5,941
 
                 
Total long-term liabilities
   
10,138
     
8,425
 
                 
SHAREHOLDERS' EQUITY:
               
Share capital – Ordinary shares of NIS 0.4 par value - Authorized: 32,500,000 shares at September 30, 2018 and December 31, 2017 ; Issued and outstanding: 21,336,852 shares at September 30, 2018 and 20,718,468 shares at December 31, 2017
   
2,430
     
2,361
 
Additional paid-in capital
   
180,673
     
174,693
 
Accumulated other comprehensive loss
   
(1,377
)
   
(1,222
)
Accumulated deficit
   
(114,459
)
   
(124,629
)
                 
Total shareholders' equity
   
67,267
     
51,203
 
Total liabilities and shareholders' equity
 
$
99,174
   
$
80,156
 

3

ATTUNITY LTD. AND ITS SUBSIDIARIES
 
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
U.S. dollars and shares in thousands, except per share data
 
   
Three months ended
   
Nine months ended
 
   
September 30,
   
September 30,
 
   
2018
   
2017
   
2018
   
2017
 
   
Unaudited
   
Unaudited
 
Revenues:
                       
Software licenses
 
$
13,772
   
$
9,189
   
$
35,396
   
$
22,353
 
Maintenance and services 
   
8,448
     
7,290
     
24,872
     
21,470
 
Total revenues
   
22,220
     
16,479
     
60,268
     
43,823
 
Operating expenses:
                               
Cost of revenues 
   
2,527
     
2,703
     
7,933
     
7,228
 
Research and development
   
4,091
     
3,674
     
12,022
     
10,473
 
Selling and marketing
   
10,437
     
8,527
     
30,514
     
25,182
 
General and administrative
   
1,636
     
1,464
     
4,601
     
3,965
 
Total operating expenses
   
18,691
     
16,368
     
55,070
     
46,848
 
                                 
Operating profit (loss)
   
3,529
     
111
     
5,198
     
(3,025
)
                                 
Financial income (expenses), net
   
122
     
20
     
208
     
(37
)
                                 
Income (loss) before taxes on income
   
3,651
     
131
     
5,406
     
(3,062
)
                                 
Taxes on income
   
(566
)
   
(559
)
   
(1,863
)
   
(2,031
)
                                 
Net profit (loss)
 
$
3,085
   
$
(428
)
 
$
3,543
   
$
(5,093
)
 
                               
Basic net income (loss) per share
 
$
0.15
   
$
(0.03
)
 
$
0.17
   
$
(0.30
)
Weighted average number of shares used in computing basic net income (loss) per share
   
21,214
     
17,090
     
20,979
     
17,060
 
Diluted net income (loss) per share
 
$
0.14
   
$
(0.03
)
 
$
0.16
   
$
(0.30
)
Weighted average number of shares used in computing diluted net income (loss) per share
   
22,406
     
17,090
     
21,589
     
17,060
 

4

 
ATTUNITY LTD. AND ITS SUBSIDIARIES
 
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
U.S. dollars in thousands
 
 
 
Nine months ended September 30,
 
 
 
2018
   
2017
 
 
 
Unaudited
 
Operating activities:
           
Net profit (loss)
 
$
3,543
   
$
(5,093
)
Adjustments required to reconcile net profit (loss) to net cash provided by (used in) operating activities:
               
Depreciation
   
405
     
363
 
Stock based compensation
   
3,039
     
2,654
 
Amortization of intangible assets
   
707
     
1,010
 
Accrued interest on short term deposits
   
(268
)
   
-
 
Change in:
               
   Accrued severance pay, net
   
(24
)
   
289
 
   Trade receivables
   
(1,526
)
   
(1,472
)
   Other accounts receivable and prepaid expenses
   
(1,379
)
   
(596
)
   Other long-term assets
   
43
     
394
 
   Trade payables
   
213
     
555
 
   Deferred revenues
   
3,809
     
783
 
   Employees and payroll accruals
   
329
     
(309
)
   Accrued expenses and other liabilities
   
(528
)
   
(15
)
   Deferred commissions costs
   
(1,960
)
   
-
 
Liabilities presented at fair value
   
-
     
(212
)
Net cash provided by (used in) operating activities
   
6,403
     
(1,649
)
 
               
Investing activities:
               
Short term deposits
   
(23,500
)
   
-
 
Purchase of property and equipment
   
(547
)
   
(409
)
Net cash used in investing activities
   
(24,047
)
   
(409
)
 
               
Financing activities:
               
Proceeds from exercise of options
   
3,008
     
421
 
Payment of contingent consideration
   
-
     
(271
)
Net cash provided by financing activities
   
3,008
     
150
 
Foreign currency translation adjustments on cash and cash equivalents
   
(122
)
   
35
 
 
               
Decrease in cash and cash equivalents
   
(14,758
)
   
(1,873
)
Cash and cash equivalents at the beginning of the year
   
29,087
     
9,166
 
 
               
Cash and cash equivalents at the end of the period
 
$
14,329
   
$
7,293
 
                 
Supplemental disclosure of cash flow activities:
               
Cash paid during the year for taxes
 
$
3,053
   
$
1,619
 
Supplemental disclosure of non-cash financing activities:
               
Receivables on account of shares
 
$
240
   
$
-
 

5

ATTUNITY LTD. AND ITS SUBSIDIARIES
 
RECONCILIATION OF SUPPLEMENTAL NON-GAAP FINANCIAL INFORMATION
U.S. dollars  in thousands, except per share data
 
   
Three months ended
   
Nine months ended
 
   
September 30,
   
September 30,
 
   
2018
   
2017
   
2018
   
2017
 
   
Unaudited
   
Unaudited
 
                         
GAAP and Non-GAAP revenues
 
$
22,220
   
$
16,479
   
$
60,268
   
$
43,823
 
GAAP operating expenses
   
18,691
     
16,368
     
55,070
     
46,848
 
Cost of revenues (1)
   
(50
)
   
(51
)
   
(151
)
   
(115
)
Research and development (1)
   
(138
)
   
(213
)
   
(473
)
   
(578
)
Sales and marketing (1)
   
(637
)
   
(497
)
   
(1,734
)
   
(1,279
)
General and administrative (1)
   
(226
)
   
(243
)
   
(681
)
   
(682
)
Amortization of acquired intangible assets
   
(236
)
   
(337
)
   
(707
)
   
(1,010
)
Non-GAAP operating expenses
   
17,404
     
15,027
     
51,324
     
43,184
 
                                 
GAAP operating income (loss)
   
3,529
     
111
     
5,198
     
(3,025
)
Operating adjustments
   
(1,287
)
   
(1,341
)
   
(3,746
)
   
(3,664
)
Non-GAAP operating income
   
4,816
     
1,452
     
8,944
     
639
 
                                 
GAAP financial income (expenses), net
   
122
     
20
     
208
     
(37
)
Revaluation of liabilities presented at fair value
   
-
     
-
     
-
     
(212
)
Non -GAAP financial  income (expenses), net
   
122
     
20
     
208
     
(249
)
     
 
     
 
     
 
     
 
 
Taxes on income
   
(566
)
   
(559
)
   
(1,863
)
   
(2,031
)
Income taxes (tax benefits) related to non-GAAP adjustments
   
156
     
(161
)
   
402
     
22
 
Non-GAAP taxes on income
   
(410
)
   
(720
)
   
(1,461
)
   
(2,009
)
                                 
GAAP net income (loss)
   
3,085
     
(428
)
   
3,543
     
(5,093
)
Amortization of acquired intangible assets
   
236
     
337
     
707
     
1,010
 
Stock-based compensation (1)
   
1,051
     
1,004
     
3,039
     
2,654
 
Revaluation of liabilities presented at fair value
   
-
     
-
     
-
     
(212
)
Income taxes (tax benefits) related to non-GAAP adjustments
   
156
     
(161
)
   
402
     
22
 
Non-GAAP net income (loss)
 
$
4,528
   
$
752
   
$
7,691
   
$
(1,619
)
           
 
     
 
     
 
 
Non-GAAP basic net income (loss) per share
 
$
0.21
   
$
0.04
   
$
0.37
   
$
(0.09
)
Non-GAAP diluted net income (loss) per share
 
$
0.20
   
$
0.04
   
$
0.35
   
$
(0.09
)

6

ATTUNITY LTD. AND ITS SUBSIDIARIES
 
(1) Stock-based compensation expenses:
             
 
   
Three months ended
   
Nine months ended
 
   
September 30,
   
September 30,
 
   
2018
   
2017
   
2018
   
2017
 
Cost of revenues
 
$
50
   
$
51
   
$
151
   
$
115
 
Research and development
   
138
     
213
     
473
     
578
 
Sales and marketing
   
637
     
497
     
1,734
     
1,279
 
General and administrative
   
226
     
243
     
681
     
682
 
   
$
1,051
   
$
1,004
   
$
3,039
   
$
2,654
 
 
7

ATTUNITY LTD. AND ITS SUBSIDIARIES
 
IMPACT OF THE ADOPTION OF ASC 606
U.S. dollars in thousands, except per share data

   
Three months ended September 30, 2018
(Unaudited)
   
Nine months ended September 30, 2018
(Unaudited)
 
   
As reported
(ASC 606)
   
Adjustments
   
ASC 605
(excluding
impact of
ASC 606) *
   
As reported
(ASC 606)
   
Adjustments
   
ASC 605
(excluding
impact of
ASC 606) *
 
Revenues
 
$
22,220
   
$
(2,951
)
 
$
19,269
   
$
60,268
   
$
(9,765
)
 
$
50,503
 
Operating expenses
   
18,691
     
706
     
19,397
     
55,070
     
1,960
     
57,030
 
                                                 
Operating income (loss)
   
3,529
     
(3,657
)
   
(128
)
   
5,198
     
(11,725
)
   
(6,527
)
Financial income
   
122
     
-
     
122
     
208
     
-
     
208
 
Taxes on income
   
(566
)
   
96
     
(470
)
   
(1,863
)
   
296
     
(1,567
)
Net income (loss)
 
$
3,085
   
$
(3,561
)
 
$
( 476
)
 
$
3,543
   
$
(11,429
)
 
$
(7,886
)
                                                 
Basic  net income (loss) per share
 
$
0.15
   
$
(0.17
)
 
$
(0.02
)
 
$
0.17
   
$
(0.54
)
 
$
(0.37
)
                                                 
Diluted net income (loss) per share
 
$
0.14
   
$
(0.16
)
 
$
(0.02
)
 
$
0.16
   
$
(0.53
)
 
$
(0.37
)
 
(*) Effective January 1, 2018, the Company adopted the Financial Accounting Standard Board-issued Accounting Standards Update No. 2014-09, "Revenue from Contracts with Customers (Topic 606)", or ASC 606, a new accounting standard related to revenue recognition, using the modified retrospective method. In order to provide comparable figures during 2018, the transition year to ASC 606, the Company has provided the above summary of adjustments in financial information for the three and the nine months ended September 30, 2018 in accordance with both ASC 606 and previous accounting literature, ASC No. 985-605, or ASC 605. The table above also shows the adjustments made to reconcile the ASC 606 presentation to ASC 605. The ASC 605 information should be considered in addition to, not as a substitute for, nor superior to or in isolation from, the financial information prepared and reported in accordance with ASC 606.
 
8