Quarterly report [Sections 13 or 15(d)]

Stock-Based Compensation

v3.26.3
Stock-Based Compensation
 6 Months Ended
Sep. 30, 2026
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation

 

Note 8. Stock-Based Compensation

 

For the three months ended September 30, 2026 and 2025, the Company incurred $95,000 and $39,000 of stock-based compensation expense, respectively. For the six months ended September 30, 2026 and 2025, the Company incurred $153,000 and $96,000 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.

 

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:

     
Six Months Ended September 30, 2026   Assumptions  
Fair value of the Company’s common stock on date of grant   $ 1.26  
Expected term     5-6.5 years  
Risk-free interest rate     4.54%  
Dividend yield     0%  
Volatility     112.12% to 115.28%  
Fair value of options granted   $ 1.19  

 

Six Months Ended September 30, 2025   Assumptions  
Fair value of the Company’s common stock on date of grant   $ 2.85  
Expected term     5 years  
Risk-free interest rate     4.38%  
Dividend yield     0%  
Volatility     112.56%  
Fair value of options granted   $ 2.32  

 

At September 30, 2026, there was unrecognized compensation costs of $215,000 related to stock options which is expected to be recognized over a weighted-average amortization period of 1.42 years.

 

Stock options award activity is as follows:

           
    Number of
Shares		     Weighted-
Average
Exercise Price		  
Outstanding at April 1, 2026     129,163     $ 23.94  
Options granted     62,500       1.26  
Options exercised     (2,500 )     1.26  
Options expired     (12 )     837.00  
Outstanding at September 30, 2026     189,151       16.69  
Exercisable at September 30, 2026     102,151     $ 28.66  

 

Restricted stock award activity is as follows:

           
   

Number of

Shares

    

Weighted

Average Award

Date Fair Value

per Share

  
Unvested restricted stock awards outstanding at April 1, 2026     118,000     $ 3.04  
Restricted stock awards granted     56,431       1.35  
Vested restricted stock awards     (6,431 )     2.17  
Unvested restricted stock awards outstanding at September 30, 2026     168,000     $ 2.51  

  

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

 

There were 2,500 restricted shares which vested but were not issued yet. We expect to issue those shares during the next quarter ended December 31, 2026.