8. Stock-Based Compensation

The Company’s stock-based compensation expense includes Holdings LLC Common Units and Incentive Units as well as stock options, RSUs and RSAs issued under the 2025 Equity Plan and expense associated with the Company’s ESPP (together, the “Employee Awards”).

Stock-based compensation associated with Holdings LLC Common Units is recorded within Cost of operations, excluding depreciation and amortization and stock-based compensation related to the remaining equity awards is presented within General and administrative expense in the Company’s condensed consolidated statements of operations and comprehensive income (loss). The following table presents the components of stock-based compensation expense for the Employee Awards for the periods indicated (in thousands):

During the three months ended June 30, 2026, the Company granted 297,700 time vesting RSUs and 144,900 market vesting RSUs under the 2025 Equity Plan. During the six months ended June 30, 2026, the Company granted 912,800 time vesting RSUs and 223,700 market vesting RSUs under the 2025 Equity Plan. The time vesting RSUs vest over three years of continuous service, while the market based RSUs vest upon achievement of specified price targets over a defined trading period. The aggregate grant-date fair value of these awards was $3.7 million for three months ended June 30, 2026 and $13.8 million for the six months ended June 30, 2026. No shares were issued under the ESPP as of June 30, 2026.