Under our 2020 Stock Incentive Plan, employees, directors and consultants are eligible for grants of incentive stock options, non-statutory stock options, stock appreciation rights, restricted stock awards (“RSAs”), restricted stock units (“RSUs”), performance restricted stock units (“PRSUs”), and other stock awards, collectively referred to as “Equity Awards.” All Equity Awards granted during the six months ended June 30, 2026, were to employees and directors.

The following table summarizes the classification of stock-based compensation expense in the unaudited Condensed Consolidated Statements of Operations and Comprehensive Income (Loss).


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Cost of revenue	$	47	$	62	$	89	$	96
Selling and marketing	$	600	$	496	$	980	$	799
Product and technology	861		966		1,619		1,658
General and administrative	6,354		6,476		12,457		10,357
Total stock-based compensation expense	$	7,862	$	8,000	$	15,145	$	12,910


		Number of Options	Number of Restricted Stock Units	Number of Performance Restricted Stock Units
Balances as of December 31, 2025		2,815	5,661	6,808
Granted		—	2,080	1,329
Vested	(1)	—	(1,640)	(2,755)
Exercised		(172)	—	—
Forfeited, canceled or expired		(1)	(186)	—
Balances as of June 30, 2026		2,642	5,915	5,382

(1)The vested PRSU amount presented in the table reflects target shares associated with the 2023 award. Certain PRSUs settled during the period at 200% of target based on maximum achievement of performance conditions. As a result, the number of shares issued upon settlement was 5.5 million, which exceeded the vested amounts reflected in the table.

During the six months ended June 30, 2026, we granted PRSUs that vest based on both the employee’s service period and the independent achievement of three distinct performance metrics:

•Relative Total Shareholder Return (“TSR”): The PRSUs subject to the TSR metric are earned based on the Company’s total shareholder return relative to the total shareholder return of companies in the S&P SmallCap 600 Index, as a percentile rank, over a performance period beginning on April 1, 2026, and ending December 31, 2028.

•Adjusted EBITDA: The PRSUs subject to an Adjusted EBITDA metric are earned based on the Company’s achievement of Adjusted EBITDA (as defined in the grant agreement) in the year ending December 31, 2028, compared to specified performance goals.

•Revenue: The PRSUs subject to a Revenue metric are earned based on the Company’s achievement of Revenue (as defined in the grant agreement) in the year ending December 31, 2028, compared to specified performance goals.

For each metric, the number of shares of common stock to be issued to each award recipient at the end of the performance period will be interpolated between a threshold and maximum payout level based on the actual performance achieved, except for two special performance goals. A participant will earn 50% of the target number of PRSUs for “Threshold Performance,” 100% of the target number of PRSUs for “Target Performance,” and 200% of the target number of PRSUs for “Base Maximum Performance.”

The weighted average grant-date fair value of PRSUs granted during the six months ended June 30, 2026, was $9.01. The grant-date fair value of Adjusted EBITDA PRSUs and Revenue PRSUs is based on the closing stock price on the grant date. We estimate the grant-date fair value of TSR PRSUs using the Monte Carlo simulation model, as the TSR metric is considered a market condition under ASC Topic 718, Compensation - stock compensation.

The PRSUs granted in 2023 vested on April 7, 2026. The award was subject to three distinct performance goals of share price, revenue, and Adjusted EBITDA (as defined in the grant agreement). The total number of shares that were issued upon settlement of these awards during the second quarter of 2026 was 5.5 million, representing achievement at the maximum performance level of 200%. We adopted the sell-to-cover method (shares sold are sold by the Company at its election, and without any discretion by the participant) as the sole means for plan participants to satisfy tax withholding obligations upon the vesting and settlement of awards.

On June 10, 2026, the Company’s stockholders approved the Porch Group, Inc. Employee Stock Purchase Plan (the “ESPP”) at the Company’s Annual Meeting of Stockholders. The ESPP permits eligible employees to purchase shares of the Company’s common stock at a discount through payroll deductions, subject to the terms of the plan. As of June 30, 2026, no offering period had commenced and no shares had been issued or purchased under the ESPP.