Company: NEOV
Filing Date: 2025-05-09
Form Type: 10-Q
Source: 0001683168-25-003355
Chunk: 7

Company: NeoVolta Inc.
Filing Date: 2025-05-09
Form: 10-Q
Item: Part I, Item 8
Chunk 7
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 all 58,500 Warrants at an exercise price of $4.40 per share, via a cashless exercise,
as permitted under the warrant agreement, resulting in the issuance of 15,312 shares of our common stock. Additionally, the holders of
publicly issued Warrants to purchase an aggregate of 40,100 shares of our common stock elected to exercise their Warrants by a cash payment
of a total of $160,400 resulting in the issuance of the underlying shares of our common stock in December 2024.

Stock Compensation Expense –
In April 2024, we entered into an employment agreement with a new Chief Executive Officer (“CEO”), providing for an initial
term extending through June 30, 2027, which will be automatically renewed for additional one-year terms unless either party chooses not
to renew it. Pursuant to the agreement, our new CEO received an initial equity grant equal to 1,280,000 restricted stock units (“RSU’s”),
with a grant date value of $2,854,000, which will vest over a four-year period, subject to his continued employment with the Company,
and will be entitled to earn additional RSU’s on each anniversary in the form of three annual performance-based equity grants, beginning
in the year ending June 30, 2025, with a target value of up to $660,000 each. However, our Compensation Committee has not set any definitive
targets, therefore, no additional grants have been made as of March 31, 2025.

In February 2025, we
entered into an amended and restated employment agreement with our Chief Financial Officer (“CFO”). The initial term of the
employment agreement ends on December 31, 2027 and will be automatically renewable for additional one-year terms unless either party chooses
not to renew the agreement. Pursuant to the agreement, we issued our CFO an award of 240,000 RSUs vesting in four annual installments.

In February 2022, we entered
into an earlier amended and restated employment agreement with our CFO, pursuant to which we issued him an RSU award for up to 300,000
shares of our common stock upon achieving two defined milestones. The first milestone was achieved as of January 1, 2023, and the underlying
250,000 shares of common stock were issued to our CFO as of that date. The second milestone was achieved as of January 1, 2024, and the
under