Company: FOXX
Filing Date: 2025-10-15
Form Type: 10-K
Source: 0001213900-25-098953
Chunk: 1513

Company: Foxx Development Holdings Inc.
Filing Date: 2025-10-15
Form: 10-K
Item: Item 8
Chunk 1513
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835  
     - 
  
    Total
    stock-based compensation expenses 
    $815,678  
    $- 

The
following table summarizes the activity for all restricted stock units granted:

      Shares   Weight average grant date fair value   Total fair value   Weighted average   remaining contractual term (in years)   Unvested at July 1, 2024    -   $-   $-    -   Granted    727,009    7.21    5,243,400    4.00   Vested    -    -    -    -   Forfeited    (33,080)   7.30    (241,484)   -   Unvested at June 30, 2025    693,929   $7.21   $5,001,916    3.36  

As
of June 30, 2025, there was $4,186,238 total unrecognized compensation cost related to unvested RSUs granted under the employee incentive
plan. The total cost is expected to be recognized over a remaining period of 3.36 years. 

Earnout
Shares

As
described in Note 4 - Reverse recapitalization, the Earnout Shares that are contingently issuable in connection with the Business Combination
are subject to vesting based on the Company’s financial performance during the earnout period. The entitlement of the first batch
of the 2,100,000 earnout shares to the Old Foxx shareholders were forfeited in October 2024 because the Company did not meet the earnout
requirements for the fiscal year ended June 30, 2024 vesting schedule. These 2,100,000 earnout shares are not included or contributing
to the value of the earnout liabilities. The entitlement of the second batch of the 2,100,000 Earnout Shares to the Old Foxx shareholders
were also forfeited, as the Company did not meet the earnout requirements for the fiscal year ended June 30, 2025 vesting schedule. These
2,100,000 Earnout Shares, which were classified as a liability and measured at fair value, were reduced to $0.

As
of June 30, 2025 and September 26,