For the three months ended September 30, 2025 and 2024, the Company incurred $39,000 and $14,000 of stock-based compensation expense, respectively. For the six months ended September 30, 2025 and 2024, the Company incurred $96,000 and $121,000 of stock-based compensation expense, respectively. All stock-based compensation incurred is included in selling, general and administrative expense in the accompanying condensed consolidated statements of comprehensive loss.

For the six months ended September 30, 2025, the Company estimated the fair value of employee and non-employee stock options using the Black-Scholes option pricing model. The fair value of employee stock options was estimated using the following weighted-average assumptions:

At September 30, 2025, there was unrecognized compensation costs of $151,000 related to stock options which is expected to be recognized over a weighted-average amortization period of 1.13 years.

Stock options award activity is as follows:

The aggregate intrinsic value of stock options is calculated as the difference between the exercise price of the underlying stock options and the fair value of the Company’s common stock, or $3.88 per share at September 30, 2025.

Restricted stock award activity is as follows:

A tax benefit of $43,000 has been recognized as a result of non-qualified stock options exercised during the six months ended September 30, 2025.

The Company issues new shares of common stock upon exercise of stock options or release of restricted stock awards.