Company: EVGN
Filing Date: 2025-03-27
Form Type: 20-F
Source: 0001178913-25-001092
Chunk: 8

Company: Evogene Ltd.
Filing Date: 2025-03-27
Form: 20-F
Item: Item 3
Chunk 8
---
 we believe that the management’s plans, as described more fully above, will
provide sufficient liquidity to meet our financial obligations and maintain levels of liquidity over the twelve-month period from the
date of this Annual Report. Therefore, management concluded this plan alleviate the substantial doubt that was raised about our ability
to continue as a going concern for at least twelve months from the date of this Annual Report.

Revenue Recognition

We recognize revenues when the control over the goods or services
is transferred to the customer. The transaction price is the amount of consideration that is expected to be received based on the contract
terms, excluding amounts collected on behalf of third parties (such as taxes). We don’t grant a right of return to our customers.

If the contract contains a single performance obligation, the entire transaction price
is allocated to the single performance obligation. Contracts that contain multiple performance obligations such as licenses, services,
royalties and milestone events require an allocation of the transaction price to each performance obligation based on a relative standalone
selling price, or SSP. To determine SSP, we maximize the use of observable standalone sales and observable data, where available. In instances
where performance obligations do not have observable standalone sales, we utilize available information that may include market conditions,
pricing strategies, the economic life of the software, and other observable inputs or use the expected cost-plus margin approach to estimate
the price we would charge if the products and services were sold separately. Revenue is recognized at the time the related performance
obligation is satisfied by transferring the promised product or delivery of service to the customer. Revenue is recognized in an amount
that reflects the consideration we expect to receive in exchange for those products or services.

75

Revenues from research and development services as part of our
collaboration agreements are recognized over time, during the period the customer simultaneously receives and consumes the benefits provided.
Recognition of the service is throughout the services period using the input method in order to measure the progress of the services,
based on the actual internal and external costs incurred, relative to total internal and external costs expected to be incurred to satisfy
the performance obligation. We determined that the input method is the best measure of progress towards satisfying the performance obligation
as incurred labor effort represents work performed that corresponds with, and thereby best depicts the transfer of goods and services.
Revenues from the sale of castor seeds, medical cannabis products and license agreements are recognized when the control of our product
is transferred to the customer, generally upon delivery of the goods or products to the customer, according to