Note 15 - Share-Based Payments

6 Months Ended

Aug. 31, 2026

Notes to Financial Statements

Share-Based Payment Arrangement [Text Block]

15. Share-based Payments

Stock Options

The following table summarizes the continuity of the Company's stock options during the three-month periods ended August 31, 2026 and 2025:

		*2026*								2025
		*Number of*				*Weighted average*				Number of				Weighted average
		*stock options*				*exercise price*				stock options				exercise price
Outstanding, beginning of period			7,325,317			$	2.73				5,573,138			$	3.19
Granted			1,005,000				1.44				-				-
Exercised			-				-				-				-
Forfeited			-				-				(80,000	)			3.11
Expired			-				-				-				-
Outstanding, end of period			8,330,317			$	2.58				5,493,138			$	3.19
Exercisable, end of period			4,252,043			$	3.74				2,711,727			$	4.98

The following table summarizes the continuity of the Company's stock options during the six-month periods ended August 31, 2026 and 2025:

		*2026*								2025
		*Number of*				*Weighted average*				Number of				Weighted average
		*stock options*				*exercise price*				stock options				exercise price
Outstanding, beginning of period			6,243,138			$	2.96				2,771,216			$	5.25
Granted			2,087,179				1.44				2,801,922				1.16
Exercised			-				-				-				-
Forfeited			-				-				(80,000	)			3.11
Expired			-				-				-				-
Outstanding, end of period			8,330,317			$	2.58				5,493,138			$	3.19
Exercisable, end of period			4,252,043			$	3.74				2,711,727			$	4.98

The Company applies the fair value method of accounting for stock-based compensation awards granted. Fair value is calculated based on a Black-Scholes option pricing model. The principal components of the pricing model for the stock options granted in the six-month period ended August 31, 2026 and 2025 were as follows:

		*2026*				*2025*
Exercise price		$	0.85-1.44			$	1.16
Risk-free interest rate			4.32% - 4.46%				3.68% - 3.72%
Expected dividend yield			0	%			0	%
Expected volatility			82%-85%				81%-82%
Expected life (years)			3.5 - 5.0 years				3.5 - 5.0 years

The weighted-average grant-date fair value of options granted during the six-month periods ended August 31, 2026 and 2025 was $0.73 and $0.62 respectively.

A summary of the Company’s nonvested shares as of August 31, 2026, and changes during the six-month period ended August 31, 2026 were as follows:

		*2026*
		*Number of*				*Weighted average*
		*stock options*				*exercise price*
Nonvested, beginning of period			3,461,411			$	0.63
Granted			2,087,179				0.67
Exercised			-				-
Forfeited			-				-
Vested			(1,470,316	)			0.78
Nonvested, end of period			4,078,274			$	0.76

During the three-month periods ended August 31, 2026 and 2025, stock-based compensation expense attributable to stock options amounted to $305 and $165, respectively. During the six-month periods ended August 31, 2026 and 2025, stock-based compensation expense attributable to stock options amounted to $1,157 and $651, respectively.

Restricted Stock Units

The following table summarizes the continuity of the restricted stock units during the three-month periods ended August 31, 2026 and 2025:

		*2026*								2025
						*Weighted average*								Weighted average
		*Number of units*				*fair value price*				Number of units				fair value price
Outstanding, beginning of period			4,218,696			$	6.35				3,981,121			$	6.73
Granted			566,572				0.86				310,770				1.31
Settled			(4,000	)			2.81				(28,770	)			1.13
Forfeited			-				-				(6,589	)			5.32
Outstanding, end of period			4,781,268			$	5.70				4,256,532			$	6.38
Outstanding vested, end of period			2,197,038			$	5.08				1,833,531			$	5.71

The following table summarizes the continuity of the restricted stock units during the six-month periods ended August 31, 2026 and 2025:

		*2026*								2025
						*Weighted average*								Weighted average
		*Number of units*				*fair value price*				Number of units				fair value price
Outstanding, beginning of period			4,261,512			$	6.36				4,466,958			$	6.32
Granted			566,572				0.86				310,770				1.31
Settled			(46,816	)			7.62				(126,857	)			2.90
Forfeited			-				-				(394,339	)			2.91
Outstanding, end of period			4,781,268			$	5.70				4,256,532			$	6.38
Outstanding vested, end of period			2,197,038			$	5.08				1,833,531			$	5.71

The Company applies the fair value method of accounting for awards granted through the issuance of restricted stock units. Fair value is calculated based on the intrinsic value at grant date multiplied by the number of restricted stock unit awards granted.

During the three-month periods ended August 31, 2026 and 2025, stock-based compensation attributable to RSUs amounted to $124 and $115, respectively. During the six-month periods ended August 31, 2026, stock-based compensation attributable to RSUs amounted to $251 (comparatively August 31, 2025 the stock-based compensation was $4, which included $291 for forfeitures).

Stock-Based Compensation Expense

During the three-month periods ended August 31, 2026 and 2025, stock-based compensation included in research and development expenses amounted to $86 and $32, respectively, and in general and administrative expenses amounted to $343 and $248, respectively. During the six-month periods ended August 31, 2026 and 2025, stock-based compensation included in research and development expenses amounted to $544 and $344 respectively, and in general and administrative expenses amounted to $864 and $311, respectively.