NOTE 15 – STOCK-BASED COMPENSATION

The Company’s stockholders have approved the 2017 Equity Incentive Plan (the “2017 Plan”) under which, the Company had reserved a pool of 1,200,000 shares of the Company’s common stock, which may be issued at the discretion of the Company’s board of directors from time to time. Under this Plan, each option is exercisable into one share of common stock of the Company. The options may be exercised after vesting and in accordance with the vesting schedule that will be determined by the Company’s board of directors for each grant. The maximum contractual life term of the options is 10 years. As of December 31, 2024, total options available for grants under this plan are 841,019.

On May 23, 2012, the Company’s board of directors adopted the Global Share Incentive Plan 2012 (the “2012 Plan”) under which, the Company had reserved a pool of 100,000 shares of the Company’s common stock, which may be issued at the discretion of the Company’s board of directors from time to time. Under this plan, each option is exercisable into one share of common stock of the Company. The options may be exercised after vesting and in accordance with the vesting schedule that will be determined by the Company’s board of directors for each grant. The maximum contractual life term of the options is 10 years. As of December 31, 2024, total options available for grants under this plan are 76,982.

Below is a table summarizing all of the options grants to employees and Directors made during the years ended December 31, 2024, and December 31, 2023:

SCHEDULE OF EMPLOYEE STOCK OWNERSHIP PLAN DISCLOSURES 

The fair value of each stock option grant is estimated at the date of grant using a Black Scholes option pricing model. The volatility is based on the historical volatility of the Company, by statistical analysis of the weekly share price for past periods based on expected term. The expected option term is calculated using the simplified method, as the Company concludes that its historical share option exercise experience does not provide a reasonable basis to estimate its expected option term. The fair value of each option grant is based on the following assumptions:

 SCHEDULE OF STOCK OPTIONS, VALUATION ASSUMPTIONS 

A summary of the Company’s stock options granted to employees and directors as of December 31, 2024 and December 31, 2023 is presented below:

 SCHEDULE OF STOCK OPTIONS ACTIVITY 

The following table presents summary information concerning the options granted and exercisable to employees and directors outstanding as of December 31, 2024 (in thousands, except per share data):

SCHEDULE OF STOCK OPTIONS EXERCISABLE  

Costs incurred with respect to stock-based compensation for employees and directors for the years ended December 31, 2024 and December 31, 2023 were $ 640 thousand and $485 thousand, respectively. As of December 31, 2024, there was $ 177 thousand of unrecognized compensation costs related to non-vested employees and directors stock options, to be recorded over the next 3.5 years.

Below is a table summarizing all the compensation granted to consultants and service providers during the years ended December 31, 2024 and December 31, 2023:

SCHEDULE OF STOCK OPTIONS GRANTED TO CONSULTANTS 

The fair value of options granted during 2024 and 2023 to consultants and service providers, was computed using the Black-Scholes model. The fair value of each stock option grant is estimated at the date of grant using a Black Scholes option pricing model. The volatility is based on the historical volatility of the Company, by statistical analysis of the weekly share price for past periods based on the expected term period, the expected term is the contractual term of each grant. The underlying data used for computing the fair value of the options are as follows:

SCHEDULE OF STOCK OPTIONS, VALUATION ASSUMPTIONS 

A summary of the Company’s stock options granted to consultants and service providers as of December 31, 2024, and December 31, 2023 is presented below:

 SCHEDULE OF STOCK OPTIONS ACTIVITY

The following table presents summary information concerning the options granted and exercisable to consultants and service providers outstanding as of December 31, 2024 (in thousands, except per share data):

SCHEDULE OF STOCK OPTIONS EXERCISABLE 

Costs incurred with respect to options granted to consultants and service providers for the years ended December 31, 2024 and December 31, 2023 were $ 41 and $63, respectively. As of December 31, 2024, there was $ 17 of unrecognized compensation costs related to non-vested consultants and service providers, to be recorded over the next 3.07 years.

Below is a table summarizing all the RSUs grants to employees and made during the years ended December 31, 2024:

SCHEDULE OF STOCK OPTIONS GRANTED TO EMPLOYEES

The fair value of each RSUs grant is estimated based on the market value of the underlying stock at the date of grant.

A summary of the Company’s RSUs granted to employees as of December 31, 2024 is presented below:

 SCHEDULE OF STOCK OPTIONS ACTIVITY GRANTED TO EMPLOYEES

The following table presents summary information concerning the options granted and exercisable to employees and directors outstanding as of December 31, 2024 (in thousands, except per share data):

SCHEDULE OF STOCK OPTIONS EXERCISABLE 

Costs incurred with respect to RSUs compensation for employees for the years ended December 31, 2024 and December 31, 2023 were $46 and $0. As of December 31, 2024, there was $36 of unrecognized compensation costs related to non-vested employees RSUs, to be recorded over the next 1.39 years.

e. Shares and warrants issued to advisors.

Below is a table summarizing the shares and warrants grants to advisers during the period from January 1, 2024 to December 31, 2024:

SCHEDULE OF SHARES AND WARRANTS GRANTS TO ADVISORS  

The fair valuation of these shares grants is based on the market value of the share at the date of grant.

The fair valuation of these warrants grants is based on the following assumptions:

SCHEDULE OF WARRANTS GRANTS ASSUMPTIONS