{"url_path":"/sec/hubc/10-k/2026/item-11","section_key":"item-11","section_title":"Item 11 Quantitative and Qualitative Disclosures about Market Risk**","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-07-17","source_url":"https://www.sec.gov/Archives/edgar/data/1905660/0001213900-26-079236-index.html","accession_number":"0001213900-26-079236","cik":"0001905660","ticker":"HUBC","issuer_name":"Hub Cyber Security Ltd.","edgar_url":"https://www.sec.gov/Archives/edgar/data/1905660/0001213900-26-079236-index.html","primary_entity_key":"0001905660","primary_entity_name":"Hub Cyber Security Ltd."},"word_count":287,"has_tables":true,"body_markdown":"** **\n\n**Item 11.\nQuantitative and Qualitative Disclosures about Market Risk**\n\n \n\nWe\nare exposed to market risk in the ordinary course of our business. Market risk represents the risk of loss that may impact our financial\nposition due to adverse changes in financial market prices and rates. Our market risk exposure is primarily a result of foreign currency\nexchange rates and interest rates, which are discussed in detail below.\n\n** **\n\n**Foreign\ncurrency risk**\n\n \n\nThough\nwe operate internationally, our operations are primarily located in Israel and the majority of our expenses are denominated in NIS. As\na result, fluctuations in foreign currency rates may affect our business and operations.\n\n \n\nIn\naddition, our financial results are reported in USD, and changes in the exchange rate between the USD and local currencies in those countries\nin which we operate (primarily the NIS) may affect the results of our operations. The USD cost of our operations in countries other than\nthe United States, is negatively influenced by revaluation of the USD against other currencies.\n\n \n\nDuring\n2025, the value of the U.S. dollar weakened against the NIS by approximately 12.53%. Our most significant foreign currency exposures\nare related to our operations in Israel.\n\n \n\n**Interest\nRate Risk**\n\n \n\nInterest\nrate risk is the risk that the fair value or future cash flows of a financial instrument will fluctuate because of changes in market\ninterest rates.\n\n \n\nOur\nexposure to the risk of changes in market interest rates relates primarily to our long-term liabilities with floating interest. This\nrisk is of primary focus to us given our current dependency on debt financing and the ability to obtain future debt financing. We manage\nour interest rate risk by seeking to have a balanced portfolio of fixed and variable rate loans."}