The Company applies the first-in, first-out method for raw materials and components inventory. Work-in-progress and finished goods inventories include raw materials, subcontracting costs based on direct subcontractors' expenses, and direct overhead costs. Inventory is evaluated each reporting period and reported at the lower of cost or net realizable value in accordance with ASC No. 330-10-35. Charges for obsolete and slow-moving inventory are recorded based on specific identification and quantification. If the anticipated utility of goods is less than their historical cost, the Company recognizes a current period charge to earnings and carries the inventory at the reduced cost basis until sold or disposed of. Costs incurred to implement cloud computing arrangements hosted by third-party vendors are capitalized during the application development phase and amortized over the contractual term. As of December 31, 2025 and 2024, capitalized implementation costs related to a new ERP system were $2,345 and $2,350, respectively.
Radware Ltd's Comment on Supply Chain
The Company applies the first-in, first-out method for raw materials and components inventory. Work-in-progress and finished goods inventories include raw materials, subcontracting costs based on direct subcontractors' expenses, and direct overhead costs. Inventory is evaluated each reporting period and reported at the lower of cost or net realizable value in accordance with ASC No. 330-10-35. Charges for obsolete and slow-moving inventory are recorded based on specific identification and quantification. If the anticipated utility of goods is less than their historical cost, the Company recognizes a current period charge to earnings and carries the inventory at the reduced cost basis until sold or disposed of. Costs incurred to implement cloud computing arrangements hosted by third-party vendors are capitalized during the application development phase and amortized over the contractual term. As of December 31, 2025 and 2024, capitalized implementation costs related to a new ERP system were $2,345 and $2,350, respectively.
Sources:
Radware Ltd 's official press releases and regulatory filings; CSIMarket.com's supply-chain research; and the financial filings and press releases of other companies cited in this report.
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