EQUITY INCENTIVE PLANS

6 Months Ended

Jun. 30, 2026

Share-Based Payment Arrangement [Abstract]

In September 2015, the Company adopted a stock incentive plan (the "2015 Plan"), and in May 2026, in connection with the IPO, the Company adopted an equity incentive plan (the "2026 Plan", and together with the 2015 Plan, the "Equity Plans"), both of which permit the grant of stock options, stock appreciation rights, restricted or unrestricted stock awards, phantom stock, restricted stock units, performance awards, other stock-based awards, or any combination of the foregoing. Upon the effectiveness of the 2026 Plan, no further grants may be made under the 2015 Plan. However, the 2015 Plan continues to govern the terms and conditions of the outstanding awards previously granted thereunder. All shares of common stock remaining available for issuance under the 2015 Plan when the 2026 Plan became effective, have become available for issuance under the 2026 Plan. In addition, shares subject to outstanding awards granted under the 2015 Plan that, on or after the 2026 Plan became effective, expire or otherwise terminate prior to exercise or settlement; are not issued because the stock award is settled in cash; are forfeited or repurchased because of the failure to vest; or are reacquired or withheld to satisfy a tax withholding obligation or the purchase or exercise price, if any, as such shares become available from time to time, shall be added to the number of shares then available for issuance under the 2026 Plan.

Share-based compensation expense is recognized on a straight-line basis, over the applicable vesting period. Total stock-based compensation expense recognized on the condensed consolidated statement of operations as follows:


	Three months ended June 30,				Six months ended June 30,
	2026		2025		2026		2025
Direct cost of sales, excluding depreciation and amortization	$	384	$	171	$	794	$	313
Selling, general and administrative	6,108		457		6,962		835
Research and development	1,024		372		2,093		682
Total stock-based compensation	$	7,516	$	1,000	$	9,849	$	1,830

Time vested and performance vested options

Presented below is a summary of the status of the time vested stock options under the Equity Plans for the six months ended June 30, 2026:


	Number of Options	Weighted-Average Exercise Price
Outstanding at January 1, 20261	12,868,649	$	2.78
Granted	2,032,227	11.42
Exercised	1,497,297	2.22
Forfeited	355,676	4.85
Expired	34,022	3.15
Outstanding at June 30, 2026	13,013,881	$	4.14

_______________

(1)The January 1, 2026 balance has been adjusted from previously reported amounts to reflect an immaterial reduction of 377,671 options. This adjustment did not have a material impact on the Company's previously issued consolidated financial statements or share-based compensation expense.

Presented below is a summary of the status of the performance vested stock options under the Equity Plans for the six months ended June 30, 2026:


	Number of Options	Weighted-Average Exercise Price
Outstanding at January 1, 2026	1,428,951	$	2.65
Granted	—	$	—
Exercised	106,563	$	3.08
Forfeited	—	$	—
Expired	—	$	—
Outstanding at June 30, 2026	1,322,388	$	2.61

As of June 30, 2026, there was $28.8 million of unrecognized compensation cost related to unvested stock options granted under the Equity Plans, expected to be recognized over a weighted-average remaining period of 2.8 years.

Restricted Stock Units

Certain RSU awards granted to employees contain a performance-based vesting condition that requires the completion of a qualifying liquidity event, including IPO, in addition to any applicable service-based vesting requirements.

Prior to the completion of the Company's IPO on May 8, 2026, the performance condition associated with these awards was not considered probable of being achieved and, accordingly, no compensation expense was recognized for such awards. Upon the consummation of the IPO, the performance condition was satisfied, and the awards became eligible to vest subject to the remaining service conditions.

As a result of the performance condition being achieved during the three months ended June 30, 2026, the Company began recognizing stock-based compensation expense related to these awards. The Company recognized cumulative compensation expense for the portion of the requisite service period rendered through the date the performance condition was satisfied and will continue to recognize the remaining unrecognized compensation cost over the applicable remaining service periods.

During the three months ended June 30, 2026, the Company recognized $4.5 million of stock-based compensation expense related to RSU awards for which the IPO performance condition was satisfied during the period.

Presented below is a summary of the status of the restricted stock units under the Plan for ended six months ended June 30, 2026:


	Number of RSUs	Weighted-Average Grant Date Fair Value
Outstanding at January 1, 2026	182,786	$	4.65
Granted	1,299,121	$	18.69
Vested	—	$	—
Forfeited	—	$	—
Expired	—	$	—
Outstanding at June 30, 2026	1,481,907	$	16.96

The total unrecognized compensation related to these RSUs was $13.5 million as of June 30, 2026 which is expected to be recognized over a weighted-average remaining period of 3.6 years.

Employee Stock Purchase Plan

In April 2026, the Company adopted the Company's 2026 Employee Stock Purchase Plan (the "ESPP"), effective in May 2026, which authorizes the issuance of up to 1,861,585 shares of common stock (which may be adjusted annually according to the provisions of the ESPP). The ESPP is intended to qualify as an employee stock purchase plan under Section 423 of the Internal Revenue Code. Eligible employees may elect to purchase shares of the Company's common stock through payroll deductions during designated offering periods at a purchase price determined in accordance with the provisions of the ESPP.

During the period ended June 30, 2026, the Company had not commenced any offering periods under the ESPP and no shares had been purchased or issued pursuant to the plan. Accordingly, no stock-based compensation expense related to the ESPP was recognized during the three- or six-month periods ended June 30, 2026.