Stock-Based Incentive Plan
On April 26, 2023, the 2023 Equity Incentive Plan (the "Plan") was approved by shareholders. This Plan replaced the Amended and Restated Univest 2013 Long-Term Incentive Plan (the "2013 Plan"), which expired in April 2023. No new grants are permitted under the 2013 Plan. However, certain options and restricted stock units granted under the 2013 Plan remain outstanding.
Under the Plan, the Corporation may grant up to 1,200,000 options and restricted stock awards and units to employees and non-employee directors, subject to adjustment, as described in the Plan. The Plan provides for the issuance of options to purchase common shares at prices not less than 100 percent of the fair market value on the date of option grant and have a contractual term of ten years. There were 743,651 shares available for future grants at December 31, 2025 under the Plan. At December 31, 2025, there were 74,268 options to purchase common stock and 521,838 nonvested restricted stock units outstanding under the Plan and the 2013 Plan.
The following is a summary of the Corporation's stock option activity and related information for the year ended December 31, 2025:
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| (Dollars in thousands, except per share data) | Shares Under Option | | Weighted Average Exercise Price Per Share | | Weighted Average Remaining Contractual Life (Years) | | Aggregate Intrinsic Value at December 31, 2025 |
| Outstanding at December 31, 2024 | 127,782 | | | $ | 27.72 | | | | | |
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| Exercised | (53,514) | | | 27.06 | | | | | |
| Outstanding at December 31, 2025 | 74,268 | | | 28.20 | | | 1.8 | | $ | 338 | |
| Exercisable at December 31, 2025 | 74,268 | | | 28.20 | | | 1.8 | | 338 | |
The Corporation did not grant any stock options during the years ended December 31, 2025, 2024 or 2023.
The following is a summary of nonvested restricted stock units at December 31, 2025 including changes during the year:
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| (Dollars in thousands, except per share data) | Nonvested Stock Units | | Weighted Average Grant Date Fair Value |
| Nonvested stock units at December 31, 2024 | 501,679 | | | $ | 22.67 | |
| Granted | 196,666 | | | 28.44 | |
| Added by performance factors | 2,761 | | | 28.21 | |
| Vested | (167,198) | | | 25.26 | |
| Cancelled/forfeited | (12,070) | | | 23.03 | |
| Nonvested stock units at December 31, 2025 | 521,838 | | | 24.03 | |
Certain information regarding restricted stock units is summarized below for the periods indicated:
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| For the Years Ended December 31, |
| (Dollars in thousands, except per share data) | 2025 | | 2024 | | 2023 |
| Restricted stock units granted | 196,666 | | | 277,134 | | | 217,929 | |
| Weighted average grant date fair value | $ | 28.44 | | | $ | 19.81 | | | $ | 24.88 | |
| Intrinsic value of units granted | $ | 5,592 | | | $ | 5,490 | | | $ | 5,423 | |
| Restricted stock units vested | 167,198 | | | 152,875 | | | 181,508 | |
| Weighted average grant date fair value | $ | 25.26 | | | $ | 27.56 | | | $ | 22.21 | |
| Intrinsic value of units vested | $ | 4,758 | | | $ | 3,031 | | | $ | 4,512 | |
The total unrecognized compensation expense and the weighted average period over which unrecognized compensation expense is expected to be recognized related to nonvested restricted stock units at December 31, 2025 is presented below:
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| (Dollars in thousands) | Unrecognized Compensation Cost | | Weighted-Average Period Remaining (Years) |
| Restricted stock units | $ | 6,122 | | | 1.8 |
The following table presents information related to the Corporation's compensation expense related to its stock incentive plans recognized for the periods indicated:
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| For the Years Ended December 31, |
| (Dollars in thousands) | 2025 | | 2024 | | 2023 |
| Stock-based compensation expense: | | | | | |
| | | | | |
| Restricted stock units | $ | 4,690 | | | $ | 4,615 | | | $ | 4,194 | |
| Employee stock purchase plan | 90 | | | 91 | | | 104 | |
| Total | $ | 4,780 | | | $ | 4,706 | | | $ | 4,298 | |
| Tax benefit on nonqualified stock option expense and disqualifying dispositions of incentive stock options | $ | 753 | | | $ | 1,041 | | | $ | 702 | |
There were no significant modifications or accelerations to options, restricted stock awards or restricted stock units from 2023 through 2025.