Catheter Precision, Inc. Stock Compensation Disclosure
The 2018 Equity Incentive Plan (the "2018 Plan") was replaced by the 2023 Equity Incentive Plan (the "2023 Plan"), as described below. As of December 31, 2025, stock options outstanding under the 2018 Plan were eliminated following the reverse stock split at 1-for-19 that was effective August 15, 2025.
2018 Employee Stock Purchase Plan
In April 2024, the Company formally terminated the 2018 Employee Stock Purchase Plan (the “ESPP”). Since inception through termination, the Company issued 5 shares under the ESPP. Upon termination, all reserved shares were released back to the authorized pool.
2020 Inducement Equity Incentive Plan
The Company adopted the 2020 Inducement Equity Incentive Plan (the “2020 Plan”) in March 2020 and terminated it in April 2024. On adoption, 3 shares were reserved for issuance. At termination, the remaining reserved shares were released back to the authorized pool. No shares are reserved for future issuance under the 2020 Plan as of December 31, 2025 and December 31, 2024.
2023 Equity Incentive Plan
For the year ended December 31, 2025, the Committee approved the grant of 140,373 stock options with service-based conditions and 19,987 stock options with performance-based conditions. The stock options with service-based conditions vest in equal installments over requisite service periods ranging from to 5 years. Of the stock options with performance-based conditions, 11,832 contain performance conditions related to the achievement of specified quarterly sales targets in 2025 (“quarterly sales performance conditions”) and 8,155 contain performance conditions related to the achievement of tiered sales targets for 2025 (“tiered sales performance conditions”). As none of the quarterly sales performance conditions have been met and none of the tiered sales performance conditions are met, all performance-based options are forfeited as of December 31, 2025.
| For the Year Ended | ||||||||
| December 31, | ||||||||
| 2025 | 2024 | |||||||
| Risk-free interest rate | 4.29 - 4.55 | % | 4.01 - 4.65 | % | ||||
| Volatility | 97.40 - 100 | % | 175.36 - 214.61 | % | ||||
| Expected dividend yield | 0 | % | 0 | % | ||||
| Expected life (in years) | 5.5 - 6.5 | 6.5 | ||||||
Options with Performance-Based Vesting Conditions
| For the Year Ended | ||||||||
| December 31, | ||||||||
| 2025 | 2024 | |||||||
| Risk-free interest rate | 4.55 | % | — | |||||
| Volatility | 98.00 - 98.40 | % | — | |||||
| Expected dividend yield | 0 | % | — | |||||
| Expected life (in years) | 5.3 - 5.5 | — | ||||||
The following is a summary of stock option activity for the 2023 Plan options for the year ended December 31, 2025:
| Weighted | Weighted | |||||||||||||||
| Average | Average | Aggregate | ||||||||||||||
| Stock | Exercise | Remaining | Intrinsic Value | |||||||||||||
| Options | Price | Life | (in thousands) | |||||||||||||
| Outstanding at December 31, 2024 | 3,701 | $ | 88.72 | 8.38 | $ | — | ||||||||||
| Options exercised | — | — | — | — | ||||||||||||
| Options granted | 160,360 | 6.34 | — | — | ||||||||||||
| Cancelled/forfeited | (40,383 | ) | 8.59 | — | — | |||||||||||
| Outstanding at December 31, 2025 | 123,678 | $ | 8.07 | 9.29 | $ | — | ||||||||||
| Vested and expected to vest at December 31, 2025 | 123,678 | $ | 8.07 | 9.29 | $ | — | ||||||||||
| Exercisable at December 31, 2025 | 13,017 | $ | 17.98 | 8.75 | $ | — | ||||||||||
The weighted-average grant-date fair value of the 2023 Plan options granted during the years ended December 31, 2025 and 2024 was $4.41 and $75.69 per share, respectively.
Non-Plan Options Issued
On January 6, 2025, the Board approved and issued a total of 26,315 Non-Plan Options as an employee incentive to the Chief Financial Officer. The options vest monthly over years with an exercise price of $10.07 and an expiration date of January 6, 2035.
The Non-Plan Options issued for the years ended December 31, 2025 and 2024 were valued using the Black-Scholes model based on the following assumptions on the date of issue:
| For the Year Ended | ||||||||
| December 31, | ||||||||
| 2025 | 2024 | |||||||
| Risk-free interest rate | 4.62 | % | 4.63 | % | ||||
| Volatility | 97.00 | % | 211.61 | % | ||||
| Expected dividend yield | 0 | % | 0 | % | ||||
| Expected life (in years) | 5.8 | 6.5 | ||||||
The following is a summary of stock option activity for the Non-Plan options for the year ended December 31, 2025:
| Weighted | Weighted | |||||||||||||||
| Average | Average | Aggregate | ||||||||||||||
| Stock | Exercise | Remaining | Intrinsic Value | |||||||||||||
| Options | Price | Life | (in thousands) | |||||||||||||
| Outstanding at December 31, 2024 | 1,315 | $ | 101.10 | 9.33 | $ | — | ||||||||||
| Options exercised | — | — | — | — | ||||||||||||
| Options granted | 26,315 | 10.07 | — | — | ||||||||||||
| Cancelled/forfeited | (1,315 | ) | 101.10 | — | — | |||||||||||
| Outstanding at December 31, 2025 | 26,315 | $ | 10.07 | 9.02 | $ | — | ||||||||||
| Vested and expected to vest at December 31, 2025 | 26,315 | $ | 10.07 | 9.02 | $ | — | ||||||||||
| Exercisable at December 31, 2025 | 8,040 | $ | 10.07 | 9.02 | $ | — | ||||||||||
The weighted-average grant-date fair value of the Non-Plan options granted during the years ended December 31, 2025 and 2024 was $7.92 and $99.33 per share, respectively.
Restricted Stock Awards
A summary of the restricted stock award activity for the year ended December 31, 2025 is presented below.
| Weighted | ||||||||
| Average | ||||||||
| Restricted | Grant Date | |||||||
| Stock Awards | Fair Value | |||||||
| Outstanding at December 31, 2024 | — | $ | — | |||||
| Granted | 17,263 | 4.46 | ||||||
| Vested | (17,263 | ) | 4.46 | |||||
| Cancelled/forfeited | — | — | ||||||
| Outstanding at December 31, 2025 | — | $ | — | |||||
Stock-based compensation expense is recorded in selling, general and administrative expenses in the consolidated statements of operations. Stock-based compensation expense for the years ended December 31, 2025 and 2024 was $338 thousand and $54 thousand, respectively.
Total unrecognized estimated stock-based compensation expense by award type and the remaining weighted average recognition period over which such expense is expected to be recognized at December 31, 2025 was as follows:
| Unrecognized Expense (in thousands) | Remaining Weighted Average Recognition Period | |||||||
| Stock options (Non-Plan Options) | $ | 140 | 2.0 | |||||
| Stock options (2023 Plan Options) | $ | 537 | 3.2 | |||||
| Restricted stock awards | $ | — | — | |||||
Historical Timeline
| Fiscal Year | Filed | |
|---|---|---|
| 2025 | Mar 31, 2026 | Showing above |
| 2024 | Mar 31, 2025 | |
| 2023 | Apr 1, 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.