Note (9) – Equity Plans:

Equity Incentive Plan

In November 2015, the Company’s stockholders approved the Company’s 2015 Equity Incentive Plan (the “Plan”). During December 2020, the Company’s stockholders approved an amendment to the Plan to increase the number of shares of the Company’s common stock authorized for issuance pursuant to awards granted under the Plan to 3,000,000 shares. The fair value of awards granted under the Plan is expensed on a straight-line basis over the vesting period of the awards. Share-based compensation expense is included in selling, general and administrative expenses in the Company’s condensed consolidated statements of operations.

During the six months ended December 31, 2022, restricted stock awards of a total of 222,672 shares and 110,109 restricted stock units were granted under the Plan. During the three months ended December 31, 2022, a total of 16,320 restricted stock units were granted under the Plan. No restricted stock awards were granted under the Plan during the three months ended December 31, 2022. During the six months ended December 31, 2021, restricted stock awards of a total of 134,612 shares, 56,423 restricted stock units, and 8,287 stock awards were granted under the Plan. Stock awards represent shares of the Company’s common stock issued under the Plan which are held by the recipient upon grant without any future risk of forfeiture. During the three months ended December 31, 2021, restricted stock awards of a total of 124,309 shares, 56,423 restricted stock units, and 8,287 stock awards were granted under the Plan. There were no restricted stock awards forfeited during either the six or three months ended December 31, 2022. During the six and three months ended December 31, 2021, restricted stock awards of a total of 13,203 shares were forfeited and returned to the Plan. There were 376 restricted stock units forfeited during the six months ended December 31, 2022. There were no restricted stock units forfeited during the three months ended December 31, 2022. There were 8,327 restricted stock units forfeited during the six months ended December 31, 2021. There were no restricted stock units forfeited during the three months ended December 31, 2021.

For the six and three months ended December 31, 2022, non-cash share-based compensation expense related to awards granted under the Plan totaled $1.5 million and $802,000, respectively. For the six and three months ended December 31, 2021, non-cash share-based compensation expense related to awards granted under the Plan totaled $1.3 million and $841,000, respectively.

As of December 31, 2022, the Company had $20.9 million and $10.7 million of total unrecognized compensation expense related to restricted stock awards and restricted stock units, respectively, granted under the Plan, which is expected to be recognized over the weighted-average period of 14.3 years and 10.7 years, respectively.

The following is a summary of non-vested restricted stock activity as of, and for the six months ended, December 31, 2022:

Employee Stock Purchase Plan

During 2017, the Company’s stockholders approved the Company’s 2017 Employee Stock Purchase Plan (the “ESPP”). Subject to the terms and conditions thereof, the ESPP allows eligible employees the opportunity to purchase shares of the Company’s common stock at a 5% discount. The ESPP provides for six-month offering periods ending on December 31 and June 30 of each year. During the six and three months ended December 31, 2022, 2,610 shares of common stock were issued under the ESPP for which the Company received net proceeds of $59,000. During the six and three months ended December 31, 2021, 2,008 shares of common stock were issued under the ESPP for which the Company received net proceeds of $59,000.