SECURITIES AND EXCHANGE COMMISSION Washington D.C. 20549 FORM 20-F OR ☒ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2020 OR ☐ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from __________to ___________ OR ☐ SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of event requiring this shell company report Commission fil ...

Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q1 2021 Earnings Conference Call May 10, 2021 10:00 AM ET Company Participants Asaf Berenstin - CFO Guy Bernstein - CEO Yuval Lavi - VP, Technology & Innovation Conference Call Participants Ted Starck-King - William Blair Chris Reimer - Barclays Asaf Barel Chandali - Oppenheimer Kevin Dede - H.C. Wainwright Operator Ladies and gentlemen, thank you for standing by. Welcome to Magic Software Enterprises' 2021 First Quarter Financial Results Conference Call. At thi ...

Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q4 2020 Earnings Conference Call March 8, 2021 10:00 AM ET Company Participants Asaf Berenstin - Chief Financial Officer Guy Bernstein - Chief Executive Officer Yuval Lavi - Vice President, Technology & Innovation Conference Call Participants Ted Starck-King - William Blair Tavy Rosner - Barclays Kevin Dede - H.C. Wainwright Operator Welcome to Magic Software Enterprises 2020 Fourth Quarter Financial Results Conference Call. At this time, all participants are in ...

Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q3 2020 Earnings Conference Call November 16, 2020 10:00 AM ET Company Participants Asaf Berenstin - Chief Financial Officer Guy Bernstein - Chief Executive Officer Yuval Lavi - Vice President, Technology & Innovation Conference Call Participants Tavy Rosner - Barclays Maggie Nolan - William Blair Kevin Dede - H.C. Wainwright Asaf Barel - Oppenheimer Operator Ladies and gentlemen, welcome to Magic Software Enterprises 2020 Third Quarter Financial Results Confere ...

Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q2 2020 Earnings Conference Call August 13, 2020 10:00 AM ET Company Participants Guy Bernstein - CEO Asaf Berenstin - CFO Yuval Lavi - VP of Technology and Innovation Conference Call Participants Tavy Rosner - Barclays Kevin Dede - H.C. Wainwright Asaf Barel - Oppenheimer Ted Starck-King - William Blair Maggie Nolan - William Blair Operator Welcome to Magic Software Enterprises 2020 Second Quarter Financial Results Conference Call. At this time, all participant ...

Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q1 2020 Earnings Conference Call May 26, 2020 10:00 AM ET Company Participants Guy Bernstein - Chief Executive Officer Asaf Berenstin - Chief Financial Officer Yuval Lavi - Vice President, Technology and Innovation Conference Call Participants Chris Reimer - Barclays Maggie Nolan - William Blair Kevin Dede - H.C. Wainwright Asaf Barel Chandali - Oppenheimer Israel Operator Ladies and gentlemen, thank you for standing by. Welcome to Magic Software Enterprises 202 ...

Company Overview - The company operates as a global provider of proprietary application development and business process integration platforms, with approximately 2,640 employees and a network of over 3,000 independent software vendors[20]. - The company has a diverse portfolio of software solutions, including Magic xpa, AppBuilder, and Magic xpi, which enhance business performance and return on investment[21][22]. - The company is focused on expanding its market presence through a broad channel network, including direct sales representatives and independent distributors[23]. - The company has developed several proprietary software solutions, such as Clicks for healthcare management and Hermes for air cargo management, aimed at improving operational efficiency[26]. - The company emphasizes the importance of continuous evolution of its platforms to incorporate the latest technologies and meet market demands[22]. Financial Performance - Total revenues for 2019 reached $325.63 million, a 14.5% increase from $284.38 million in 2018[44]. - Consulting services generated $266.55 million in revenue, up 16.9% from $227.97 million in 2018[44]. - Gross profit for 2019 was $102.13 million, representing a gross margin of 31.3%[44]. - Net income attributable to Magic's Shareholders was $20.27 million, an increase of 1.9% from $19.88 million in 2018[44]. - Basic earnings per share for 2019 was $0.26, compared to $0.39 in 2018[44]. - Working capital decreased to $138.17 million in 2019 from $158.30 million in 2018[46]. - Total assets increased to $404.61 million in 2019, up from $362.29 million in 2018[46]. - The company has a dividend policy to distribute up to 75% of annual distributable profits, increased from 50%[47]. Growth Strategy - The company is pursuing a growth strategy that includes mergers and acquisitions to enhance its service offerings and market reach[35]. - The company completed over 25 acquisitions in the past decade, with recent acquisitions including NetEffects Inc and Powwow Inc in 2019[54]. - The company has made numerous acquisitions over the past five years, including Datamind, Formula Telecom Solutions, and PowWow Inc., to expand its customer base and service offerings[56]. Market Presence - 49% of revenues in 2019 were generated from North America, 38% from Israel, and 13% from the rest of the world[53]. - A significant portion of the company's revenue is derived from application and integration platforms, vertical software solutions, and related professional services, which are critical for future growth[59]. - The company has experienced significant growth, with employee numbers increasing from 1,181 in 2014 to 2,642 in 2019, which may strain management resources[85]. - 64%, 63%, and 62% of the company's sales in 2017, 2018, and 2019, respectively, were generated outside of Israel, indicating a strong international presence[92]. Risks and Challenges - The company has faced challenges due to the COVID-19 pandemic, which has impacted its operations and financial performance[35]. - The company faces risks associated with mergers and acquisitions, including difficulties in integration and potential disruptions to operations[58]. - Customer satisfaction is crucial, as two customers accounted for 18.2% and 15.8% of revenues in 2018 and 2019, respectively, highlighting the risk of revenue loss if relationships deteriorate[66]. - The company must continuously adapt to rapid technological changes, which may require substantial financial investments and could affect market acceptance of its products[61]. - The lengthy development cycles for new products can take up to two years, potentially delaying revenue generation and impacting financial performance[62]. - The company may face challenges in retaining skilled IT professionals, which could hinder project staffing and affect operational efficiency[65]. - The company faces intense competition in application development platforms, business integration, and BPM tools, which could adversely affect its financial condition[76]. - The company is exposed to economic conditions that impact the telecom industry, which may adversely affect customer demand and revenue generation[81]. Compliance and Security - The company is committed to maintaining high standards of data security and privacy, addressing potential vulnerabilities and regulatory challenges[35]. - Compliance with the European Union General Data Protection Regulation (GDPR) requires significant resources and non-compliance could lead to substantial fines[101]. - The California Consumer Privacy Act (CCPA) imposes new privacy rights and obligations, potentially increasing compliance costs and liability[100]. - Cyber-attacks and breaches of IT security pose risks that could disrupt operations and result in significant expenses or loss of market share[97]. - The company has not experienced material impacts from cyber-attacks to date, but the risk is expected to increase as cloud offerings grow[98]. Technology and Innovation - The company has established strategic partnerships with major firms like Oracle, SAP, and Salesforce to enhance its service offerings[158]. - The low-code development platform market was valued at $5.6 billion in 2018 and is projected to grow at a 45% CAGR to $52.3 billion by 2024[173]. - By 2024, low-code application platforms are expected to account for over 65% of all application development activity[173]. - The demand for mobile and cloud-based applications is driving the need for more complex IT development and integration projects[174]. - The Magic xpa platform allows for rapid development and deployment of applications, significantly reducing time-to-market and project risk[177]. - The company’s technology enables organizations to build powerful applications with little or no coding required, streamlining the development process[186]. Product Development - The company has two major product lines: the Magic xpa Application Platform and the Magic xpi Integration Platform[153]. - The Magic xpi Integration Platform has been enhanced with IMDG architecture to support cloud readiness and high performance[159]. - The AppBuilder platform allows enterprises to build, deploy, and maintain large-scale custom applications without dependency on specific technologies[194]. - Magic xpi Integration Platform, launched in 2003, provides a code-free solution for fast integration and orchestration of business processes, enhancing profitability and customer satisfaction[199]. - In March 2017, Magic xpi version 4.6 was released with new connectors for ServiceMax and OData, improving connectivity and functionality[204].

Financial Data and Key Metrics Changes - The fourth quarter revenue totaled $19.9 million, a decrease from $72.3 million in the same quarter last year and $85.8 million in the previous quarter, reflecting a 26% and 6% decline respectively [12] - Non-GAAP gross profit for the fourth quarter was $29.4 million, up approximately 25% compared to $23.4 million in the fourth quarter of last year [14] - Non-GAAP net income for the fourth quarter increased 10% to $6.4 million or $0.13 per fully diluted share compared to $5.8 million or $0.12 per fully diluted share in the same period last year [19] Business Line Data and Key Metrics Changes - The revenue mix for the 12-month period of 2019 was approximately 26% related to software solutions and 74% related to professional services, compared to 28% and 72% in 2018 [15] - Non-GAAP operating income for the fourth quarter increased 14% to $11.4 million, reflecting an operating margin of 12.6% for this quarter compared to 13.9% in the fourth quarter of 2018 [17] Market Data and Key Metrics Changes - North America accounted for 48% of total revenue in the fourth quarter, with Israel at 38%, Europe at 8%, and APAC and the rest of the world at 6% [13] - Revenues in North America grew 15% year-over-year, while revenues in Israel grew 20% year-over-year for the 12-month period [13] Company Strategy and Development Direction - The company aims to maintain its competitive position as a one-stop shop for digital transformation with enhanced services supported by proprietary software solutions [24] - The acquisition strategy focuses on small to midsize companies with revenues in the range of $20 million to $50 million to expand geographic reach and product offerings [11] Management's Comments on Operating Environment and Future Outlook - The company anticipates revenue in the range of $360 million to $370 million for 2020, reflecting annual growth of 10.6% to 13.6%, although this may be affected by the potential impact of the coronavirus [22] - Management expressed confidence in maintaining a gross margin baseline of 33% for 2020, despite potential disruptions from external factors [28] Other Important Information - The company generated $13.3 million from operating activities in the fourth quarter and $45.9 million during the 12-month period of 2019 [20] - Cash and cash equivalents amounted to approximately $98 million as of December 31, 2019, flat compared to the previous quarter [20] Q&A Session Summary Question: Guidance on margins and outsourcing efforts - Management indicated that margins were flat at 33% in 2018 and 2019, and they expect this to continue into 2020, with potential fluctuations due to external factors like the coronavirus [27][28] Question: Disruptions due to coronavirus - Management is ensuring that key R&D employees can work from home and is equipping those without laptops to mitigate risks [29] Question: Outperformance in 2019 - The company saw increased performance in Israel and Japan, with long-lasting customers utilizing a range of professional services [32][33] Question: Organic growth and guidance for 2020 - Approximately 60% of growth in 2019 came from acquisitions, and the guidance for 2020 includes a mix of M&A and organic growth [34][36] Question: Health of CVS relationship - The relationship with CVS declined from 14% in 2018 to around 10% in 2019, but stability is expected for 2020 following CVS's merger with Aetna [39]

Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q3 2019 Earnings Conference Call November 14, 2019 10:00 AM ET Company Participants Amit Birk - VP, M&A and General Counsel Guy Bernstein - CEO Asaf Berenstin - CFO Einat Etzioni - CMO Conference Call Participants Maggie Nolan - William Blair Tavy Rosner - Barclays Kevin Dede - H.C.W. Operator Ladies and gentlemen, welcome to Magic Software Enterprises 2019 Third Quarter Financial Results Conference Call. [Operator Instructions] With us on the line today are Mag ...

Magic Software Enterprises Ltd. (NASDAQ:MGIC) Q2 2019 Results Earnings Conference Call August 13, 2019 10:00 AM ET Company Participants Amit Birk - VP, M&A and General Counsel Guy Bernstein - CEO Asaf Berenstin - CFO Yuval Lavi - VP, Technology and Innovation Conference Call Participants Ted Starck-King - William Blair Tavy Rosner - Barclays Kevin Dede - H.C. Wainwright Operator Ladies and gentlemen, thank you for standing by. Welcome to Magic Software Enterprises 2019 Second Quarter Financial Results Confe ...