Company: BKYI
Filing Date: 2025-08-13
Form Type: 10-Q
Source: 0001437749-25-026549
Chunk: 39

Company: BIO KEY INTERNATIONAL INC
Filing Date: 2025-08-13
Form: 10-Q
Item: Part I, Item 8
Chunk 39
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 with the terms of the 2024 Note, 40% of the proceeds received, or approximately $762,600, was used to prepay amounts due under the 2024 Note. 
    
   In  January 2025, the Company entered into two Exchange Agreements with the holder of the 2024Note  pursuant to which it  partition from the 2024 Note two new promissory notes in the original principal amounts of $629,000 and $205,000, respectively, reducing the outstanding principal amount of the 2024 Note to approximately $738,400. In  May 2025 and in  June 2025, the Company entered into two Exchange Agreements with the holder of the Note pursuant to which it  partitioned the 2024 Note into two new promissory notes in the original principal amounts of $200,000 and $200,000, respectively, reducing the outstanding principal amount of the 2024 Note to approximately $338,400.  All of the partitioned notes were subsequently exchanged for shares of common stock.

       11. 
       EARNINGS (LOSS) PER SHARE - COMMON STOCK (“EPS”) 

   The Company’s basic EPS is calculated using net income (loss) available to common shareholders and the weighted-average number of shares outstanding during the reporting period. Diluted EPS includes the effect from potential issuance of common stock, such as stock issuable pursuant to the exercise of stock options and warrants and the assumed conversion of preferred stock.
    
   Items excluded from the diluted per share calculation because the exercise price was greater than the average market price of the common shares, and they were also excluded from diluted earnings per share due to anti-dilution:

       Three Months ended    Six Months Ended  
   June 30,    June 30,  
   2025    2024    2025    2024  
                 
 Stock options   1,857   3,373   1,857   3,373 
 Warrants   3,745,958   1,722,695   3,745,958   1,722,695 
 Total   3,747,815   1,726,068   3,747,815   1,726,068 

    12.  STOCKHOLDERS’ EQUITY 

   Issu