NOTE 12 – BASIC AND DILUTED LOSS PER SHARE (*):

Basic net loss per share is computed using the weighted average number of shares of common stock and fully vested RSUs outstanding during the period, net of treasury shares. In computing diluted loss per share, basic loss per share is adjusted to take into account the potential dilution that could occur upon: (i) the exercise of options and non-vested RSUs granted under employee stock compensation plans, and the exercise of warrants using the treasury stock method; and (ii) the conversion of the convertible redeemable preferred stock, and convertible loan using the “if-converted” method, by adding to net loss the change in the fair value of the convertible loan, net of tax benefits, and by adding the weighted average number of shares issuable upon assumed conversion of these instruments. For further details on the effects on the instruments described below, please see note 2 above.

Options to purchase 96,023 and 87,317 shares of common stock at an average exercise price of $4.7 and $1.516 per share were outstanding as of March 31, 2023, and March 31, 2022, respectively, but were not included in the computation of diluted EPS because to do so would have had antidilutive effect on the basic loss per share.

RSU’s to purchase 59,200 shares of common stock at an average grant date fair value of $16.2 per share were outstanding as of March 31, 2023 but were not included in the computation of diluted EPS because to do so would have had antidilutive effect on the basic loss per share.

Redeemable convertible Preferred stock, which was convertible into 773,108 shares of common stock was outstanding as of March 31, 2022, but was not included in the computation of diluted EPS because to do so would have had antidilutive effect on the basic loss per share.

The convertible loan was not included in the calculation of the diluted loss per share as the loan was convertible into shares of common stock only upon the occurrence of a contingent event which had yet to occur as of March 31, 2022. For more details see note 8.

Warrants convertible into 25,624 of the Company’s Redeemable convertible preferred stock were outstanding as of March 31, 2022, but were not included in the computation of diluted EPS because to do so would have had an antidilutive effect on the basic loss per share.

Warrants convertible into 7,305 and 7,736 of the Company’s common stock were outstanding as of March 31, 2023, and 2022, respectively, but were not included in the computation of diluted EPS because to do so would have had an antidilutive effect on the basic loss per share.

Warrants convertible into 29,487 of the Company’s common stock were outstanding as of March 31, 2023, and December 31, 2022, but were not included in the computation of diluted EPS because to do so would have had an antidilutive effect on the basic loss per share.