Note 6. Stock-Based Compensation

2021 Equity Incentive Plan

Our 2021 Equity Incentive Plan (the “2021 Plan”) authorizes the grant of stock options (incentive and non-statutory), stock appreciation rights and restricted stock covering a total of 3,166,667 shares of our common stock. Options are granted at the fair value of our common stock on the date of grant and generally vest either immediately or over a period of up to three years from the date of grant and expire 10 years from the date of grant. As of June 30, 2025, 24,012 shares were reserved for issuance related to the 2021 Plan and 3,142,655 shares of our common stock remain available for awards.

On June 3, 2025, the Company effected a 1-for-30 Reverse Stock Split of its outstanding common shares. However, as approved by shareholders at the Company’s 2025 Annual meeting, the total number of authorized shares of common stock for the 2021 Equity Incentive Plan remains unchanged at 3,166,667.

Stock Option Activity

The following table summarizes stock option activity for the six-months ended June 30, 2025. All share amounts have been retroactively adjusted to reflect the Company’s 1-for-30 Reverse Stock Split effected on June 3, 2025.

 Summary of Stock Option Activity

The cancelled or expired options of 9,138 relate to the forfeiture of stock options.

Unrecognized Stock-Based Compensation Costs

As of June 30, 2025, unrecognized stock-based compensation expense related to unvested stock options was approximately $6,040, which is expected to be recognized over a weighted average period of approximately 0.25 years.