Company: SFBC
Filing Date: 2025-03-18
Form Type: 10-K
Source: 0001541119-25-000009
Chunk: 184

Company: Sound Financial Bancorp, Inc.
Filing Date: 2025-03-18
Form: 10-K
Item: Item 8
Chunk 184
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 202472,836 35.50 5.591,249 Exercisable53,355 33.86 4.721,003 Expected to vest, assuming a 0% forfeiture rate over the vesting term72,836 $35.50 5.59$1,249 At December 31, 2024, there was $121 thousand of total unrecognized compensation cost related to non-vested stock options. This cost is expected to be recognized over the remaining weighted-average vesting period of 1.8 years. The total intrinsic value of the shares exercised during the years ended December 31, 2024 and 2023 was $341 thousand and $477 thousand, respectively.The fair value of each option grant is estimated as of the grant date using the Black-Scholes option-pricing model. The fair values of options granted in 2024 and 2023 were determined using the following weighted-average assumptions as of the grant date.

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Year Ended December 31, 20242023Annual dividend yield1.69 %1.69 %Expected volatility28.15 %28.15 %Risk-free interest rate4.06 %3.60 %Expected term6.00 years6.00 yearsWeighted-average grant date fair value per option granted$11.64 $11.33 Restricted Stock AwardsThe fair value of the restricted stock awards is equal to the fair value of the Company's common stock at the date of grant. Compensation expense is recognized over the vesting period of the awards. The restricted stock awards granted under the 2008 Plan vest in 20% annual increments commencing one year from the grant date. The restricted stock awards granted to date under the 2013 Plan provide for immediate vesting of a portion of the award with the balance of the award vesting on the anniversary of the grant date in equal annual installments over periods of one to four years subject to the continued service of the participant with the Company.The following is a summary of the Company's non-vested restricted stock awards for the year ended December 31, 2024:Non-vested SharesSharesWeighted-AverageGrant-Date Fair ValuePer ShareAggregateIntrinsic ValuePer ShareNon-vested at January 1, 202415,967 $39.20 Granted8,048 39.89 Vested(6,872)38.19 Non-vested at December