Stock-Based Compensation

12 Months Ended

Dec. 31, 2025

Note 15 – Stock‑Based Compensation

Prior to June 21, 2023, the Company issued stock-based compensation awards to its directors and officers under the 2018 Long Term Incentive Plan (“LTIP”) which allowed the grant of non-qualified and incentive stock options, stock appreciation rights, full value awards and cash incentive awards. The maximum number of shares that could be awarded under that plan was 161,639 shares.

On June 21, 2023, stockholders approved the Amended and Restated 2018 Long Term Incentive Plan (“Amended and Restated LTIP”) which allows the issuance of 487,500 additional shares and brought the number of shares that may be issued under the Amended and Restated LTIP to 649,139 shares.

The following table summarizes stock option activity during the year ended December 31, 2025:


	Number Outstanding		Weighted Average Exercise Price
Outstanding at beginning of year		12,500	$	12.96
Granted during the year		–		–
Exercised during the year		–		–
Forfeited or expired during the year		–		12.96
Outstanding at end of year		12,500	$	12.96
Exercisable at end of year		12,500	$	12.96

There was no stock-based compensation expense related to stock options during 2025 or 2024.

Options outstanding and exercisable at year‑end 2025 were as follows:

	Outstanding							Exercisable
Grant Date	Number Outstanding		Weighted Average Remaining Contractual Life	Weighted Average Exercise Price		Aggregate Intrinsic Value		Number Outstanding		Weighted Average Exercise Price		Aggregate Intrinsic Value
February 24, 2016		12,500		$	12.96				12,500	$	12.96
		12,500	0.12 years	$	12.96	$	–		12,500	$	12.96	$	–

Stock Awards to Directors

In March 2025 and May 2024, the Company awarded 23,232 and 19,832 shares of common stock, respectively, to its directors under the LTIP, which are fully vested. The Company recorded $168 thousand and $96 thousand of compensation expense in the years ended December 31, 2025 and December 31, 2024, respectively, based on the fair value of the stock on the date of the award.

Restricted Stock Awards to Employees

In March 2022, the Company issued 61,908 shares of restricted stock to its officers and employees under the LTIP, of which 23,379 shares have been forfeited as of December 31, 2025. Each restricted stock award was valued based on the fair value of the stock on the date of the award. These awarded shares of restricted stock fully vest over periods ranging from 36 months to 60 months from their respective dates of grant. Stock-based compensation is recognized on a straight-line basis over the vesting period. During 2025 and 2024, the Company recorded $41 thousand and $88 thousand, respectively, of stock-based compensation expense related to shares awarded to employees.

On June 21, 2023, the Company issued 92,720 shares of restricted stock to its officers and employees under the Amended and Restated LTIP, of which 30,072 shares have been forfeited as of December 31, 2025. Each restricted stock award was valued based on the fair value of the stock on the date of the award. These awarded shares of restricted stock fully vest over periods ranging from 36 months to 60 months from their respective dates of grant. Stock-based compensation is recognized on a straight-line basis over the vesting period. During the years ended December 31, 2025 and 2024, the Company recorded $60 thousand and $113 thousand, respectively, of stock-based compensation expense related to these restricted stock awards.

On March 25, 2024, and April 5, 2024, the Company issued a total of 126,083 shares of restricted stock to its officers and employees under the Amended and Restated LTIP, of which 26,356 shares have been forfeited as of December 31, 2025. Each restricted stock award was valued based on the fair value of the stock on the date of the award. These awarded shares of restricted stock fully vest over periods ranging from 36 months to 60 months from their respective dates of grant. Stock-based compensation is recognized on a straight-line basis over the vesting period. During the years ended December 31, 2025 and 2024, the Company recorded $94 thousand and $108 thousand, respectively, of stock-based compensation expense related to these restricted stock awards.

On March 26, 2025 and May 28, 2025, the Company issued a total of 96,478 shares of restricted stock to its officers and employees under the Amended and Restated LTIP, of which 17,048 shares have been forfeited as of December 31, 2025. Each restricted stock award was valued based on the fair value of the stock on the date of the award. These awarded shares of restricted stock fully vest over periods ranging from 36 months to 48 months from their respective dates of grant. Stock-based compensation is recognized on a straight-line basis over the vesting period. During the year ended December 31, 2025, the Company recorded $114 thousand of stock-based compensation expense related to these restricted stock awards.

As of December 31, 2025, 367,181 shares had been awarded under the Amended and Restated LTIP and 281,958 shares were available to be awarded.

A summary of restricted stock unit activity for the year ended December 31, 2025 is as follows:

	Restricted Stock Units (In thousands)			Weighted Average Grant Date Fair Value		Remaining Contractual Life (months)
Unvested at December 31, 2024		184,874		$	8.91		31
Granted during period		119,710			7.15		29
Vested during period		(95,566	)		–		–
Forfeited or expired during period		(59,313	)		–		–
Unvested at December 31, 2025		149,705		$	8.50		24

As of December 31, 2025, there was $1.8 million of total unrecognized equity-based compensation expense that the Company expects to recognize over the remaining contractual life.