Company: PTHS
Filing Date: 2025-03-27
Form Type: 10-K
Source: 0001753926-25-000503
Chunk: 669

Company: Pelthos Therapeutics Inc.
Filing Date: 2025-03-27
Form: 10-K
Item: Item 1C
Chunk 669
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. The Company will continue to monitor peer companies and other relevant factors used to measure
expected volatility for future option grants, until such time that the Company’s Common Stock has enough market history
to use historical volatility.

The
dividend yield assumption for options granted is based on the Company’s history and expectation of dividend payouts. The
Company has never declared nor paid any cash dividends on its Common Stock, and the Company does not anticipate paying any cash
dividends in the foreseeable future.

The
Company recognizes option forfeitures as they occur as there is insufficient historical data to accurately determine future forfeiture
rates.

The
following is an analysis of the stock option grant activity:

 Schedule
of  analysis of the stock option grant

    Weighted Average  
    Weighted Average 

    Number of Shares  
    Exercise Price  
    Remaining Life 

    Stock Options 

    Outstanding December 31, 2023 
     197,560  
    $22.68  
     9.08 

    Granted 
     684,000  
    $1.26  
     10.00 

    Expired 
     (11,111) 
    $(22.68) 
     — 

    Exercised 
     —  
    $—  
     — 

    Outstanding December 31, 2024 
     870,449  
    $5.85  
     9.19 

    Exercisable December 31, 2024 
     309,521  
    $11.14  
     9.38 

    F-23 

    Weighted Average  
    Weighted Average 

    Number of Shares  
    Exercise Price   
    Remaining Life 

    Stock Options 

    Outstanding December 31, 2022 
     50,002  
    $22.68  
     9.76 

    Granted 
     158,670  
    $22.68  
     9.16 

    Expired 
     (11,111) 
    $22.68  
     — 

    Exercised 
     —  
    $—  
     — 

    Outstanding December 31, 2023 
     197,560  
    $22.68  
     9.08