Allot Narrows Auditor Errors, Swings to Profit on Strong Service Growth

TL;DR

**Allot's minor audit date fixes confirm a strong financial rebound, making ALLT a buy on improved profitability and operational efficiency.**

AI Summary

Allot Ltd. filed an Amendment No. 1 to its 20-F annual report for the fiscal year ended December 31, 2025, primarily to correct two inadvertent errors in the auditor's opinions. The first correction changed the as-of date for the internal control over financial reporting audit from December 31, 2024, to December 31, 2025. The second corrected the audit report date mentioned in the Opinion on Internal Control Over Financial Reporting from March 25, 2026, to March 26, 2026. For the fiscal year 2025, Allot reported total revenues of $101,993 thousand, an increase of 10.6% from $92,195 thousand in 2024. Net income for 2025 was $3,705 thousand, a significant turnaround from a net loss of $5,869 thousand in 2024 and $62,804 thousand in 2023. This positive shift was driven by a 14.2% increase in service revenues to $70,981 thousand and a 3.1% increase in product revenues to $31,012 thousand. Operating expenses decreased by 1.1% to $68,948 thousand in 2025, contributing to an operating income of $3,604 thousand, compared to an operating loss of $6,014 thousand in 2024. The company also saw a substantial increase in available-for-sale marketable securities, rising to $48,663 thousand in 2025 from $26,470 thousand in 2024, and a reduction in trade receivables allowance for credit losses from $25,306 thousand to $9,611 thousand.

Why It Matters

This 20-F/A filing is crucial for investors as it clarifies the accuracy of Allot Ltd.'s financial reporting, specifically regarding the auditor's opinion dates for internal controls and financial statements. While the amendments are minor technical corrections, they underscore the importance of precise regulatory compliance and robust internal controls, which can impact investor confidence. The underlying financial performance, with a swing to a net income of $3,705 thousand in 2025 from a $5,869 thousand loss in 2024, demonstrates a significant operational improvement and potential competitive advantage in the network intelligence market. This positive financial trajectory could attract new investors and reassure existing shareholders about the company's stability and growth prospects against competitors.

Risk Assessment

Risk Level: low — The risk level is low because the filing is an amendment solely to correct inadvertent errors in audit report dates, specifically changing the internal control audit date from December 31, 2024, to December 31, 2025, and the audit report mention date from March 25, 2026, to March 26, 2026. These are clerical corrections and do not indicate any material misstatement in the financial results or a weakness in the underlying financial health of Allot Ltd.

Analyst Insight

Investors should view these minor corrections as a non-event, confirming the original filing's substance. Focus on Allot's strong financial performance, particularly the swing to a $3,705 thousand net income in 2025, and consider this a positive indicator for future growth and stability.

Financial Highlights

revenue

$101,993,000

operating Margin

3.5%

net Income

$3,705,000

eps

$0.08

revenue Growth

+10.6%

Revenue Breakdown

Key Numbers

• $101.99M — Total Revenues (Increased 10.6% from $92.20M in 2024, indicating strong top-line growth.)
• $3.71M — Net Income (Swung from a $5.87M loss in 2024, demonstrating a significant return to profitability.)
• $70.98M — Service Revenues (Increased 14.2% from 2024, highlighting growth in recurring revenue streams.)
• $31.01M — Product Revenues (Increased 3.1% from 2024, showing modest growth in hardware and software sales.)
• $68.95M — Total Operating Expenses (Decreased 1.1% from 2024, indicating improved cost management.)
• $3.60M — Operating Income (Turned positive from a $6.01M loss in 2024, reflecting operational efficiency.)
• $48.66M — Available-for-sale marketable securities (Increased 83.8% from $26.47M in 2024, boosting liquidity.)
• $9.61M — Allowance for credit losses (Decreased 62.0% from $25.31M in 2024, suggesting improved collections or credit quality.)
• 48,645,282 — Ordinary Shares Outstanding (As of December 31, 2025, reflecting the company's capital structure.)
• $0.08 — Basic Net Income Per Share (Positive EPS for 2025, a significant improvement from a negative EPS in prior years.)

Key Players & Entities

• Allot Ltd. (company) — Registrant filing the 20-F/A
• Kost Forer Gabbay & Kasierer (company) — Independent Registered Public Accounting Firm for Allot Ltd.
• Eyal Harari (person) — Chief Executive Officer of Allot Ltd.
• Inbar Charash (person) — VP Legal Affairs & General Counsel of Allot Ltd.
• SEC (regulator) — U.S. Securities and Exchange Commission
• $101,993 thousand (dollar_amount) — Total revenues for the fiscal year ended December 31, 2025
• $3,705 thousand (dollar_amount) — Net income for the fiscal year ended December 31, 2025
• $5,869 thousand (dollar_amount) — Net loss for the fiscal year ended December 31, 2024
• $48,663 thousand (dollar_amount) — Available-for-sale marketable securities as of December 31, 2025
• $9,611 thousand (dollar_amount) — Allowance for credit losses on trade receivables as of December 31, 2025

FAQ

Risk Factors

• Audit Opinion Corrections [medium — regulatory]: The company filed an amendment to correct inadvertent errors in the auditor's opinion regarding the as-of date for internal control over financial reporting and the audit report date. While corrected, these errors highlight potential weaknesses in internal controls or reporting processes.
• Marketable Securities Volatility [medium — financial]: Available-for-sale marketable securities increased by 83.8% to $48,663,000 in 2025 from $26,470,000 in 2024. Significant fluctuations in this balance could impact liquidity and financial flexibility.
• Allowance for Credit Losses Reduction [medium — financial]: The allowance for credit losses decreased by 62.0% from $25,306,000 in 2024 to $9,611,000 in 2025. This substantial reduction may indicate improved credit quality or aggressive write-offs, requiring scrutiny.

Industry Context

Allot Ltd. operates in the cybersecurity market, specifically focusing on network security and intelligence solutions. The industry is characterized by rapid technological advancements, increasing cyber threats, and a growing demand for advanced security solutions from enterprises and service providers. Competition is intense, with numerous players offering a range of products and services.

Regulatory Implications

The amendment to the 20-F filing, correcting auditor's opinion dates, highlights the importance of meticulous financial reporting and internal control adherence. Companies must ensure accuracy in all disclosures to maintain compliance with SEC regulations and PCAOB standards, avoiding potential scrutiny or penalties.

What Investors Should Do

1. Monitor the sustainability of the revenue growth, particularly the strong performance in service revenues.
2. Analyze the drivers behind the substantial reduction in the allowance for credit losses.
3. Evaluate the increased investment in available-for-sale marketable securities.
4. Review the company's internal control environment following the audit opinion corrections.

Key Dates

• 2025-12-31: Fiscal Year End — Marks the end of the reporting period for the audited financial statements and internal controls.
• 2026-03-26: Audit Report Date — The corrected date of the auditor's report on internal control over financial reporting.
• 2026-03-26: Independent Auditor's Report Date — The date on which the independent auditors expressed their opinion on the financial statements.

Glossary

20-F/A

An amendment to a Form 20-F, which is an annual report required by the U.S. Securities and Exchange Commission (SEC) for foreign private issuers. (Indicates that the filing is a correction or update to a previously submitted annual report.)

Internal Control Over Financial Reporting

A process designed by management to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles. (The audit of this control is a key component of the annual report, and its accuracy is crucial for investor confidence.)

Available-for-sale marketable securities

Investments in debt or equity securities that are not classified as held-to-maturity or trading securities. They are reported at fair value on the balance sheet, with unrealized gains and losses included in other comprehensive income. (A significant increase in these securities impacts the company's liquidity and investment portfolio.)

Allowance for credit losses

A contra-asset account that reduces the carrying amount of accounts receivable to the amount expected to be collected. It represents an estimate of uncollectible accounts. (A significant decrease suggests improved credit risk management or a change in estimation methodology.)

Year-Over-Year Comparison

Allot Ltd. has demonstrated significant year-over-year improvement. Total revenues grew by 10.6% to $101.99 million, driven by a strong 14.2% increase in service revenues. The company achieved a notable turnaround in profitability, swinging from a net loss of $5.87 million in 2024 to a net income of $3.71 million in 2025. Operating expenses were managed effectively, decreasing by 1.1%, which contributed to a positive operating income of $3.60 million compared to a loss in the prior year. A key change is the substantial increase in available-for-sale marketable securities, up 83.8%, and a significant reduction in the allowance for credit losses.

Filing Documents

• zk2635004.htm (20-F/A) — 1787KB
• exhibit_12-1.htm (EX-12.1) — 12KB
• exhibit_12-2.htm (EX-12.2) — 12KB
• exhibit_13-1.htm (EX-13.1) — 6KB
• exhibit_15-1.htm (EX-15.1) — 5KB
• image00001.jpg (GRAPHIC) — 36KB
• image00002.jpg (GRAPHIC) — 3KB
• 0001178913-26-001946.txt ( ) — 10716KB
• allt-20251231.xsd (EX-101.SCH) — 77KB
• allt-20251231_cal.xml (EX-101.CAL) — 63KB
• allt-20251231_def.xml (EX-101.DEF) — 255KB
• allt-20251231_lab.xml (EX-101.LAB) — 988KB
• allt-20251231_pre.xml (EX-101.PRE) — 458KB
• zk2635004_htm.xml (XML) — 2147KB

Item 18

Item 17 Item 18 If this is an annual report, indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes No 2 EXPLANATORY NOTE This Amendment No. 1 to Form 20-F (this "Amendment") amends the annual report on Form 20-F of Allot Ltd. (the "Company" or "our") for the year ended December 31, 2025, which was filed with the U.S. Securities and Exchange Commission on March 26, 2026 (the "Original Report"). This Amendment is being filed solely to (i) amend an inadvertent error in the Opinion on Financial Statements of Kost Forer Gabbay & Kasierer to correct the as-of date for the internal control over financial reporting audit from December 31, 2024 to December 31, 2025, and (ii) amend an inadvertent error in the Opinion on Internal Control Over Financial Reporting of Kost Forer Gabbay & Kasierer to correct the date of the audit report mentioned therein from March 25, 2026 to March 26, 2026. The amendments appear on pages F-2 to F-4 of this Amendment. As required by Rule 12b-15 under the Exchange Act, as amended, new certifications by our principal executive officer and principal financial officer are being filed as Exhibits 12.1, 12.2 and 13.1 to this Amendment. This Amendment does not reflect events occurring after the filing of the Original Report and does not modify or update the disclosure therein in any way except as described above or herein. No other changes have been made to the Original Report. The filing of this Amendment should not be understood to mean that any statements contained in the Original Report, as amended by this Amendment, are true or complete as of any date subsequent to the original filing date of the Original Report. 3 TABLE OF CONTENTS PART III 5

: Financial Statements

ITEM 17: Financial Statements 5

: Financial Statements

ITEM 18: Financial Statements 5

: Exhibits

ITEM 19: Exhibits 5 4 PART III

: Financial Statements

ITEM 17 : Financial Statements Not Applicable

: Financial Statements

ITEM 18 : Financial Statements See Financial Statements included at the end of this report.

: Exhibits

ITEM 19 : Exhibits Number Description 12.1 Certification of Principal Executive Officer required by Rule 13a-14(a) and Rule 15d-14(a) (Section 302 Certifications) 12.2 Certification of Principal Financial Officer required by Rule 13a-14(a) and Rule 15d-14(a) (Section 302 Certifications) 13.1 Certification of Principal Executive Officer and Principal Financial Officer required by Rule 13a-14(b) and Rule 15d-14(b) (Section 906 Certifications), furnished herewith 15.1 Consent of Kost Forer Gabbay & Kasierer 101.INS Inline XBRL Instance Document 101.SCH Inline XBRL Taxonomy Extension Schema Document 101.PRE Inline XBRL Taxonomy Presentation Linkbase Document 101.CAL Inline XBRL Taxonomy Calculation Linkbase Document 101.LAB Inline XBRL Taxonomy Label Linkbase Document 101.DEF Inline XBRL Taxonomy Extension Definition Linkbase Document 104 Cover Page Interactive Data File (embedded within the Inline XBRL document) 5

SIGNATURES

SIGNATURES The registrant certifies that it meets all of the requirements for filing on Form 20-F/A and has duly caused this annual report to be signed on its behalf by the undersigned, thereunto duly authorized. Allot Ltd By: /s/ Eyal Harari Eyal Harari Chief Executive Officer Dated: March 31, 2026 6 ALLOT LTD. CONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2025 U.S. DOLLARS IN THOUSANDS ALLOT LTD. CONSOLIDATED FINANCIAL STATEMENTS AS OF DECEMBER 31, 2025 U.S. DOLLARS IN THOUSANDS INDEX Page Reports of Independent Registered Public Accounting Firm (PCAOB ID No. 1281 ) F-2 - F-4 Consolidated Balance Sheets F-5 - F-6 Consolidated Statements of Comprehensive Income (Loss) F-7 Consolidated Statements of Changes in Shareholders' Equity F-8 Consolidated Statements of Cash Flows F-9 – F-10

Notes to Consolidated Financial Statements

Notes to Consolidated Financial Statements F-11 - F-43 - - - - - - - - Kost Forer Gabbay & Kasierer 144 Menahem Begin Road, Building A Tel-Aviv 6492102, Israel Tel: +972-3-6232525 Fax: +972-3-5622555 ey.com REPORT OF INDEPENDENT REGISTERED PUBLIC ACCOUNTING FIRM To the Shareholders and the Board of Directors of ALLOT LTD. Opinion on the Financial Statements We have audited the accompanying consolidated balance sheets of Allot Ltd. (the Company) as of December 31, 2025 and 2024, the related consolidated comprehensive income (loss), changes in shareholders' equity and cash flows for each of the three years in the period ended December 31, 2025, and the related notes (collectively referred to as the "consolidated financial statements"). In our opinion, the consolidated financial statements present fairly, in all material respects, the financial position of the Company at December 31, 2025 and 2024, and the results of its operations and its cash flows for each of the three years in the period ended December 31, 2025, in conformity with U.S. generally accepted accounting principles. We also have audited, in accordance with the standards of the Public Company Accounting Oversight Board (United States) (PCAOB), the Company's internal control over financial reporting as of December 31, 2025, based on criteria established in Internal Control-Integrated Framework issued by the Committee of Sponsoring Organizations of the Treadway Commission (2013 framework) and our report dated March 26, 2026 expressed an unqualified opinion thereon. Basis for Opinion These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audits. We are a public accounting firm registered with the PCAOB and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS U.S. dollars in thousands, except share and per share data NOTE 1: - GENERAL

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