Quarterly report pursuant to Section 13 or 15(d)

Stock-based Compensation

v3.19.3
Stock-based Compensation
9 Months Ended
Sep. 30, 2019
Share-based Payment Arrangement [Abstract]  
Stock-based Compensation
Stock-based Compensation
 
In June 2019, the Company’s stockholders approved an amendment to the Company’s Amended and Restated 2014 Equity Incentive Plan (the “2014 Plan”), to increase the number of shares available for grant by 3,500 shares.  As of September 30, 2019, the total shares authorized for grant under the 2014 Plan was 12,614, of which 4,431 were available for future grants.
 
Stock Options
 
The following table summarizes information about the Company’s stock options outstanding as of September 30, 2019, and activity during the nine months then ended:
 
Stock
Awards
 
Weighted-
Average
Exercise Price
 
Weighted-
Average
Remaining
Contractual
Life (Years)
 
Aggregate
Intrinsic
Value
Balance as of December 31, 2018
6,466

 
$
3.05

 
 
 
 
Options granted
674

 
1.45

 
 
 
 
Options exercised
(186
)
 
1.23

 
 
 
 
Options forfeited
(774
)
 
2.03

 
 
 
 
Options cancelled
(230
)
 
4.41

 
 
 
 
Balance as of September 30, 2019
5,950

 
$
3.00

 
7.45
 
$
1

Vested and expected to vest at September 30, 2019
5,950

 
$
3.00

 
7.45
 
$
1

Exercisable as of September 30, 2019
3,158

 
$
4.03

 
6.07
 
$
1


 
As of September 30, 2019, total unrecognized compensation cost related to unvested stock options was $3,885. This amount is expected to be recognized as stock-based compensation expense in the Company’s condensed consolidated statements of operations and comprehensive income over the remaining weighted average vesting period of 2.65 years.
 
The per-share fair value of each stock option was determined on the date of grant using the Black-Scholes option pricing model using the following assumptions:
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2019
 
2018
 
2019
 
2018
Dividend yield
N/A (1)
 

 

 

Risk-free interest rate
N/A (1)
 
2.75%-2.99%

 
2.12
%
 
2.70%-2.99%

Expected term (in years)
N/A (1)
 
5-6

 
6

 
5-10

Volatility
N/A (1)
 
106
%
 
102
%
 
104
%

(1) Black-Scholes option pricing model assumptions are not applicable for the three months ended September 30, 2019, as there were no stock options granted during this period.
 
Restricted Stock Units
 
The Company issues restricted stock units (“RSUs”) to employees and non-employee service providers. Each RSU represents the right to receive one share of the Company’s common stock upon vesting and subsequent settlement. The fair value of RSUs is determined based on the closing price of the Company’s common stock on the date of grant.
 
RSU activity for the nine months ended September 30, 2019 is summarized below:
 
Number of
Shares
 
Weighted-
Average Grant
Date Fair Value
Unvested as of December 31, 2018
278

 
$
1.83

Granted
560

 
1.64

Vested
(622
)
 
1.66

Forfeited
(79
)
 
1.96

Unvested at September 30, 2019
137

 
$
1.76


 
As of September 30, 2019, $224 of total unrecognized compensation expense related to unvested RSUs was expected to be recognized over a weighted average period of 2.79 years.
   
Compensation Expense
 
Total stock-based compensation expense related to options and RSUs granted to employees and non-employees is included in the condensed consolidated statements of operations and comprehensive income (loss) as follows:
 
Three Months Ended September 30,
 
Nine Months Ended September 30,
 
2019
 
2018
 
2019
 
2018
Sales and marketing
$
137

 
$
171

 
$
516

 
$
446

Research and development
57

 
87

 
175

 
312

General and administrative
293

 
680

 
989

 
1,474

 
$
487

 
$
938

 
$
1,680

 
$
2,232


 
401(k) Plan Share Match
 
In August 2017, the Company’s Board of Directors approved a match benefit to the Ekso Bionics 401(k) plan (the “401(k) Plan”) in the form of shares of the Company’s common stock.

During the nine months ended September 30, 2019, the Company issued 141 shares of common stock to eligible employees’ deferral accounts for the 401(k) Plan matching contribution representing 50% of each eligible employee’s elected deferral (up to the statutory limit) for the fiscal year ended December 31, 2018.