Share-Based Compensation (Tables)
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6 Months Ended |
Jun. 30, 2026 |
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| Share-Based Payment Arrangement |
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| Summary of stock option activity |
Stock option activity for the periods presented is as follows:
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Weighted |
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Weighted |
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Average |
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Average |
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Remaining |
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Aggregate |
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Number of |
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Exercise |
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Contractual |
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Intrinsic |
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(in thousands, except per share amounts and options) |
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Options |
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Price |
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Term (in years) |
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Value (1) |
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Outstanding as of January 1, 2026 |
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6,350,000 |
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$ |
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23.00 |
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5.75 |
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$ |
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7,938 |
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Granted |
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— |
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Exercised |
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— |
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Forfeited |
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— |
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Outstanding as of March 31, 2026 |
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6,350,000 |
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$ |
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23.00 |
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5.50 |
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$ |
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— |
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Granted |
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— |
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Exercised |
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— |
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Forfeited |
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— |
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Outstanding as of June 30, 2026 |
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6,350,000 |
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$ |
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23.00 |
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5.25 |
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$ |
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— |
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Exercisable as of June 30, 2026 (2) |
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6,350,000 |
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$ |
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23.00 |
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5.25 |
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$ |
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— |
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Outstanding as of January 1, 2025 |
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6,350,000 |
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$ |
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23.00 |
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6.75 |
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$ |
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— |
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Granted |
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— |
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Exercised |
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— |
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Forfeited |
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— |
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Outstanding as of March 31 2025 |
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6,350,000 |
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$ |
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23.00 |
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6.50 |
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$ |
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— |
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Granted |
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— |
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Exercised |
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— |
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Forfeited |
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— |
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Outstanding as of June 30, 2025 |
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6,350,000 |
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$ |
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23.00 |
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6.25 |
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$ |
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— |
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Exercisable as of June 30, 2025 |
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6,350,000 |
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$ |
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23.00 |
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6.25 |
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$ |
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— |
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(1)As of June 30, 2026, all options were out-of-the-money and the aggregate intrinsic value was zero. (2)Included in the stock options presented as exercisable are 6,000,000 options that are non-exercisable without approval of HCI's Board of Directors.
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| Summary of nonvested restricted stock award activity |
Nonvested restricted stock award activity during the three and six months ended June 30, 2026 and 2025 is as follows:
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Number of |
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Weighted |
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Restricted |
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Average |
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Stock |
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Grant Date |
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Awards |
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Fair Value |
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Nonvested as of January 1, 2026 |
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2,541,593 |
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$ |
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4.68 |
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Granted |
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15,000 |
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$ |
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15.69 |
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Vested |
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— |
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$ |
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— |
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Forfeited |
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(23,290 |
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$ |
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5.84 |
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Nonvested as of March 31, 2026 |
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2,533,303 |
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$ |
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4.74 |
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Granted |
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18,000 |
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$ |
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17.27 |
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Vested |
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— |
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$ |
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— |
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Forfeited |
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(9,350 |
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$ |
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7.22 |
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Nonvested as of June 30, 2026 |
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2,541,953 |
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$ |
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4.82 |
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Nonvested as of January 1, 2025 |
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4,120,174 |
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$ |
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2.16 |
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Granted |
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— |
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$ |
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— |
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Vested |
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(51,554 |
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$ |
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1.12 |
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Forfeited |
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(100,500 |
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$ |
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3.00 |
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Nonvested as of March 31, 2025 |
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3,968,120 |
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$ |
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2.15 |
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Granted |
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— |
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$ |
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— |
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Vested |
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— |
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$ |
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— |
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Forfeited |
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(8,400 |
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$ |
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3.00 |
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Nonvested as of June 30, 2025 |
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3,959,720 |
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$ |
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2.15 |
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| Summary of share-based compensation expense related to restricted stock awards |
Share-based compensation expense related to restricted stock awards are as follows:
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Three Months Ended June 30, |
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Six Months Ended June 30, |
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2026 |
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2025 |
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2026 |
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2025 |
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Share-based compensation expense (1) |
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$ |
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755 |
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$ |
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354 |
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$ |
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1,491 |
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$ |
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714 |
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Deferred tax benefit (2) |
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$ |
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175 |
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$ |
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58 |
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$ |
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345 |
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$ |
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119 |
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(1)Recorded within cost of revenue, selling, general and administrative, and research and development in the Consolidated Statements of Income. (2)Recorded within income tax expense in the Consolidated Statements of Income.
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