Stock-Based Compensation and other Equity-Related Matters
Equity Incentive Plan
In November 2016, in connection with its initial public offering, the Company adopted the 2016 Omnibus Incentive Plan (“2016 Plan”) which provides for the issuance of Awards (as defined in the 2016 Plan) of up to a maximum of 3,911 shares of the Company’s common stock to employees, non-employee members of the Board and consultants of the Company. On April 3, 2020, the Company’s Board adopted an amendment to the 2016 Plan to increase the available shares of common stock authorized for issuance by an additional 2,088 shares. On April 22, 2022, the Company’s board of directors adopted an amendment to the 2016 Plan to increase the available shares of common stock authorized for issuance by an additional 3,900 shares. The awards can be issued in the form of incentive stock options, non-qualified stock options or restricted stock.
During 2025, there were 2,083 shares of restricted stock issued under 2016 Plan. During 2024 and 2023, 2,396 and 810 shares of restricted stock were issued under the 2016 Plan, respectively. The grant date fair value of all restricted stock outstanding during the year ended December 31, 2025 was between $1.65 and $3.53 per share. The shares issued in 2025, vest over one to four years from their respective grant dates and their grant date fair value was the actual market price of the Company’s shares. The total number of shares and their respective values that vested during the years ended December 31, 2025, 2024 and 2023 were 1,133 at $2,537, 753 at $1,542 and 721 at $1,282, respectively.
The Company recognized $3,699, $3,216 and $3,507 of compensation expense for the restricted stock during 2025, 2024 and 2023, respectively, in cost of goods sold and operating expenses on the consolidated statements of operations. At December 31, 2025, the Company had unrecognized compensation expense of $5,930 related to granted but unvested stock awards. That expense is expected to be recognized as follows:
Year Ended December 31,
2026$2,867 
20271,947 
2028914 
2029202 
2030— 
$5,930 
The following table summarizes restricted stock activity under the 2016 Plan from January 1, 2024 through December 31, 2025:
 
Number of
Shares
Weighted
Average
Unvested, January 1, 20242,630 $2.89 
Granted2,396 $1.97 
Vested(753)$2.81 
Forfeiture(441)$2.92 
Unvested, December 31, 20243,832 $2.39 
Granted2,083 $2.16 
Vested(1,133)$2.78 
Forfeiture(202)$3.56 
Unvested December 31, 20254,580 $2.08 
Employee Stock Purchase Plan
Shares of the Company’s common stock may be purchased by eligible employees under the Company’s 2016 Employee Stock Purchase Plan in six-month intervals at a purchase price equal to 85% of the lesser of the fair market value of the
Company’s common stock on either the first day or the last day of each six-month offering period. Employee purchases may not exceed 20% of their gross compensation during an offering period.
Share Repurchase Programs
On October 3, 2024, the Company’s board of directors approved an eighteen‑month share repurchase program authorizing the repurchase of up to $10.0 million of its ordinary shares (the “Repurchase Program”). On February 23, 2026, the Company’s board of directors approved a subsequent share repurchase program authorizing the repurchase of up to an additional $20.0 million of its outstanding shares, which will take effect on April 4, 2026, following completion of the prior program, and will continue through April 3, 2028. Under these programs, the Company may repurchase shares from time to time in amounts, at prices, and at such times as the Company deems appropriate, subject to market conditions, applicable legal requirements, and other considerations. Repurchases may be made in the open market, through privately negotiated transactions, accelerated or structured repurchase programs, or other means. The Repurchase Program does not obligate the Company to acquire any particular amount of shares and may be modified, suspended, or discontinued at any time at the Company’s discretion.

Historical Timeline

Fiscal YearFiled
2025Feb 26, 2026Showing above
2023Mar 11, 2024

About Stock Compensation Disclosures

Stock-based compensation disclosures detail the equity awards granted to employees and executives — including stock options, restricted stock units (RSUs), and performance shares — along with the valuation methods and assumptions used to expense them. This section reveals the true cost of talent retention and the alignment between management incentives and shareholder interests.

Key signals: total unrecognized compensation expense and its expected recognition period signal future earnings headwinds from already-granted awards. For stock options, examine Black-Scholes assumptions — expected volatility, risk-free rate, and expected term — as understating any of these reduces reported compensation expense. Compare stock compensation expense as a percentage of revenue against peers to assess dilution cost. Watch vesting schedules for acceleration clauses tied to change-of-control events. Performance-based awards with undemanding targets may indicate weak governance. Add back stock compensation to operating cash flow to calculate a more conservative free cash flow figure.