v3.26.1
Stock-Based Compensation
3 Months Ended
Mar. 31, 2026
Share-Based Payment Arrangement [Abstract]  
Stock-Based Compensation

Note 8. Stock-Based Compensation

Restricted Stock Units

The following is a summary of RSU activity for the three months ended March 31, 2026:

 

 

 

Number
Outstanding

 

 

Weighted Average
Fair Value

 

Unvested as of January 1, 2026

 

 

791,654

 

 

$

4.26

 

Granted

 

 

 

 

 

 

Vested

 

 

(120,821

)

 

 

4.19

 

Forfeited

 

 

(3,750

)

 

 

3.51

 

Unvested as of March 31, 2026

 

 

667,083

 

 

$

4.28

 

RSUs vested but not released

 

 

199,932

 

 

$

4.60

 

 

The fair value of the Company’s RSUs is calculated based upon the fair market value of the Company’s common stock at the date of grant. As of March 31, 2026, there was $1.9 million of unrecognized compensation expense related to unvested RSUs granted, which is expected to be recognized over a weighted average period of 1.64 years. No tax benefit was realized from RSUs for the three months ended March 31, 2026.

Performance Stock Units

The Company grants PSUs to certain key employees that are subject to the attainment of performance goals established by the Company’s Compensation Committee, the periods during which performance is to be measured, and other limitations and conditions. Performance goals are based on pre-established objectives that specify the manner of determining the number of PSUs that will vest if performance goals are attained. If an employee terminates employment, the non-vested portion of the PSUs will not vest and all rights to the non-vested portion will terminate.

 

The following is a summary of PSU activity for the three months ended March 31, 2026:

 

 

Number
Outstanding

 

 

Weighted Average
Fair Value

 

Unvested as of January 1, 2026

 

 

300,000

 

 

$

4.03

 

Granted

 

 

125,000

 

 

 

3.17

 

Vested

 

 

(200,000

)

 

 

4.01

 

Forfeited

 

 

 

 

 

 

Unvested as of March 31, 2026

 

 

225,000

 

 

$

3.57

 

 

As of March 31, 2026, there was $783,000 of unrecognized compensation expense related to unvested PSUs, which is expected to be recognized or forfeited by the fourth quarter of 2026. No tax benefit was realized from PSUs for the three months ended March 31, 2026.

Stock-Based Compensation Expense

The following table summarizes stock-based compensation expense related to stock options, RSUs and PSUs included in the condensed consolidated statements of comprehensive loss for the three months ended March 31, 2026 and 2025 (in thousands):

 

 

 

Three Months Ended March 31,

 

 

 

 

2026

 

 

2025

 

 

Cost of revenue

 

$

6

 

 

$

5

 

 

Research and development

 

 

42

 

 

 

20

 

 

Selling and marketing

 

 

87

 

 

 

59

 

 

General and administrative

 

 

485

 

 

 

712

 

 

Total

 

$

620

 

 

$

796

 

 

 

RSU and PSU Net Share Settlements

During the three months ended March 31, 2026 and 2025, the Company repurchased 108,701 and 47,538 shares, respectively, of common stock surrendered to the Company to satisfy tax withholding obligations in connection with the vesting of RSUs and PSUs issued to employees.