The Company recognizes stock-based compensation in accordance with the provisions of ASC Topic 718, Compensation-Stock Compensation. Stock-based compensation expense was $413 and $432, excluding $(2) and $2 of compensation expense related to our Amended and Restated 1996 Employee Stock Purchase Plan, or the ESPP, for the three months ended June 30, 2026 and 2025, respectively, and $715 and $767, excluding $2 and $4 of compensation expense related to ESPP, for the six months ended June 30, 2026 and 2025, respectively. As of June 30, 2026, there was $1,938 of total unrecognized compensation expense related to stock options, which is expected to be recognized over a weighted-average period of 2.96 years. As of June 30, 2026, there was $317 of total unrecognized compensation expense related to restricted stock awards, which is expected to be recognized over a weighted-average period of 1.29 years.

During the three months ended June 30, 2026, 66 thousand shares of common stock were issued upon the exercise of stock options. No shares were surrendered to the Company to satisfy minimum tax withholding obligations. Additionally, during the three months ended June 30, 2026, no stock options were granted and 84 thousand stock options expired, were canceled or were forfeited. During the three months ended June 30, 2025, 6 thousand shares of common stock were issued upon the exercise of stock options. No shares were surrendered to the Company to satisfy minimum tax withholding obligations. Additionally, during the three months ended June 30, 2025, 50 thousand stock options were granted and 64 thousand stock options expired, were canceled or were forfeited.

During the six months ended June 30, 2026, 84 thousand shares of common stock were issued upon the exercise of stock options. No shares were surrendered to the Company to satisfy minimum tax withholding obligations. Additionally, during the six months ended June 30, 2026, 460 thousand stock options were granted and 243 thousand stock options expired, were canceled or were forfeited. During the six months ended June 30, 2025, 6 thousand shares of common stock were issued upon the exercise of stock options. No shares were surrendered to the Company to satisfy minimum tax withholding obligations. Additionally, during the six months ended June 30, 2025, 575 thousand stock options were granted and 127 thousand stock options expired, were canceled or were forfeited.

The Company has historically estimated the fair value of each option grant on the date of grant using the Black-Scholes option-pricing model. The weighted average assumptions utilized to determine the fair value of options granted during the six months ended June 30, 2026 and 2025 are as follows:

As of June 30, 2026, there were 1,393 thousand options outstanding with a weighted average exercise price of $6.44 per share and 442 thousand options exercisable with a weighted average exercise price of $7.41 per share. As of June 30, 2025, there were 1,397 thousand options outstanding with a weighted average exercise price of $7.19 per share and 510 thousand options exercisable with a weighted average exercise price of $8.96 per share.

During the three months ended June 30, 2026, no shares of restricted stock were granted and 3 thousand shares of restricted stock were forfeited. Additionally, during the three months ended June 30, 2026, 52 thousand shares of restricted stock vested. During the three months ended June 30, 2025, no shares of restricted stock were granted and 1 thousand shares of restricted stock were forfeited. Additionally, during the three months ended June 30, 2025, 63 thousand shares of restricted stock vested.

During the six months ended June 30, 2026, no shares of restricted stock were granted and 21 thousand shares of restricted stock were forfeited. Additionally, during the six months ended June 30, 2026, 112 thousand shares of restricted stock vested. During the six months ended June 30, 2025, no shares of restricted stock were granted and 22 thousand shares of restricted stock were forfeited. Additionally, during the six months ended June 30, 2025, 146 thousand shares of restricted stock vested.

As of June 30, 2026 and 2025, the Company had no unvested outstanding options and no outstanding shares of restricted stock that were subject to performance-based or market-based vesting conditions.

The Company's ESPP affords eligible employees the right to purchase common stock, via payroll deductions, through various offering periods at a purchase price equal to 85% of the fair market value of the common stock on the first or last day of the offering period, whichever is lower. During the three months ended June 30, 2026 and 2025, 6 thousand shares and no shares were issued under the ESPP, respectively. During the six months ended June 30, 2026 and 2025, 6 thousand and no shares were issued under the ESPP, respectively. The Company recorded compensation charges related to the ESPP of $(2) and $2 for the three months ended June 30, 2026 and 2025, respectively, and $2 and $4 for the six months ended June 30, 2026 and 2025, respectively.

The following table presents stock-based compensation expense, including expense for the ESPP, in the Company's consolidated statements of operations for the three and six months ended June 30, 2026 and 2025, respectively:


	Three Months Ended June 30,				Six Months Ended June 30,
	2026		2025		2026		2025
Cost of service sales	$	6	$	6	$	12	$	13
Cost of product sales	6		5		5		10
Research and development	6		41		—		(8)
Sales, marketing and support	59		77		107		154
General and administrative	334		305		593		602
	$	411	$	434	$	717	$	771

Comprehensive income (loss) includes net income (loss), unrealized gains and losses from foreign currency translation, and unrealized gains and losses on available for sale marketable securities. The components of the Company’s comprehensive income (loss) and the effect on earnings for the periods presented are detailed in the accompanying consolidated statements of comprehensive income.




	Foreign Currency Translation		Total Accumulated Other Comprehensive Loss
Balance, March 31, 2026	$	(4,395)	$	(4,395)
Other comprehensive income	104		104

Balance, June 30, 2026	$	(4,291)	$	(4,291)




	Foreign Currency Translation		Total Accumulated Other Comprehensive Loss
Balance, March 31, 2025	$	(3,310)	$	(3,310)
Other comprehensive income	278		278


Balance, June 30, 2025	$	(3,032)	$	(3,032)



	Foreign Currency Translation		Total Accumulated Other Comprehensive Loss
Balance, December 31, 2025	$	(4,161)	$	(4,161)
Other comprehensive loss	(130)		(130)

Balance, June 30, 2026	$	(4,291)	$	(4,291)



	Foreign Currency Translation		Total Accumulated Other Comprehensive Loss
Balance, December 31, 2024	$	(4,032)	$	(4,032)
Other comprehensive income	1,000		1,000


Balance, June 30, 2025	$	(3,032)	$	(3,032)