Company: PHR
Filing Date: 2025-09-05
Form Type: 10-Q
Source: 0001412408-25-000062
Chunk: 100

Company: Phreesia, Inc.
Filing Date: 2025-09-05
Form: 10-Q
Item: Part I, Item 1
Chunk 100
---
16,763 $34,107 $33,951 Less: stock-based compensation expense capitalized as internal-use software(320)(315)(652)(663)Stock-based compensation expense per consolidated statements of operations$16,230 $16,448 $33,455 $33,288 The Company has not recognized, and does not expect to recognize in the foreseeable future, any tax benefit related to US employee stock-based compensation expense. During the three and six months ended July 31,  2025, the Company recognized a deferred tax asset related to employee stock-based compensation (RSUs) for Canada branch employees. During the six months ended July 31, 2025 and 2024, the Company reduced stock compensation expense by $233 and $1,203, respectively, for improbable-to-probable modifications of stock compensation awards.(c) Restricted stock unitsThe Company has issued RSUs to employees and independent directors that vest based on a time-based condition. RSUs granted to employees vest over four years based on a variety of vesting schedules, including quarterly, annually, and 10/20/30/40 (10% after one year, 20% after two years, 30% after three years and 40% after four years). RSUs granted during fiscal 2024 generally vest annually, and RSUs granted during fiscal 2025 and 2026 generally vest following a 10/20/30/40 vesting schedule.Additionally, at the beginning of each fiscal year, the Company provides certain employees the option to settle their incentive bonus in immediately vested RSUs. RSUs granted to settle bonus awards are included in RSUs granted and vested in the table below. See section (g) Liability awards below for additional information regarding share-settled bonus awards.Restricted stock unitsUnvested, January 31, 20253,597,948 Granted in six months ended July 31, 2025672,814 Vested(939,633)Forfeited(193,008)Unvested, July 31, 2025(1)3,138,121 (1) Includes 9,500 awards granted pursuant to the 2023 Inducement Award Plan.As of July 31, 2025, there was $66,282 remaining of total unrecognized compensation cost related to these awards. The total unrecognized costs are expected to be recognized over a weighted-average term of 2.50 years. (d)