Company: AVNI
Filing Date: 2025-07-15
Form Type: 10-Q/A
Source: 0001713282-25-000561
Chunk: 13

Company: ARVANA INC
Filing Date: 2025-07-15
Form: 10-Q/A
Chunk 13
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 value of the awards.

At September 30, 2024 and December 31, 2023, the Company had 6,150,000options outstanding with vesting periods ranging from 2to 5years and exercise prices of approximately $ 0.087per share. During the three months ended September 30, 2024, a total of 1,800,000options—consisting of 810,000vested options and 990,000unvested options—were forfeited by the former Chief Executive Officer and a former member of the board. In addition, the Board of Directors approved a resolution to modify the terms of the options granted to the former Chief Executive Officer to cancel any vested options not exercised within 30 days of termination for cause. The Company accounts for forfeitures when they occur; accordingly, a reduction in stock-based compensation expense of $ 59,602was recorded in the three months ending September 30, 2024.

Subsequent to the issuance of the previous financial statements, the Company conducted an examination of its accounting policies for stock-based compensation and determined certain awards were not properly expensed in prior periods due to the application of incorrect vesting periods and other computational errors. As a result, the cumulative stock-based compensation expense was understated by $ 23,015. In accordance with ASC 250-10-45-23, the Company has corrected this error by recording an adjustment to retained earnings as of January 1, 2024.

16

Note 10 – Stock Options– ( continued)

Total stock-based compensation was $ 112,854for the nine months ended September 30, 2024, and $ 249,952for the year ended December 31, 2023. The Company will recognize the remaining $ 198,645as follows:

| Schedule                              
 of remaining share-based compensation 
 Year                                  |     | Amount |         |
|:--------------------------------------|:----|:-------|--------:|
| Remainder of 2024                     |     | $      |  45,801 |
| 2025                                  |     |        | 148,329 |
| 2026                                  |     |        |   2,527 |
| 2027                                  |     |        |   1,988 |
| Total                                 |     | $      | 198,645 |

Note 11 – Subsequent Events

The Company evaluated its September 30, 2023, consolidated financial statements for subsequent events through