Company: AEMD
Filing Date: 2025-06-26
Form Type: 10-K
Source: 0001683168-25-004780
Chunk: 1341

Company: AETHLON MEDICAL INC
Filing Date: 2025-06-26
Form: 10-K
Item: Item 9
Chunk 1341
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 of the award. The exercise price of
options is generally equal to the market price of the Company’s common stock (defined as the closing price as quoted on the Nasdaq
Capital Market or OTCBB on the date of grant). Compensation cost recognized by the Company includes (a) compensation cost for all equity
incentive awards granted prior to April 1, 2006, but not yet vested, based on the grant-date fair value estimated in accordance with the
original provisions of the then current accounting standards, and (b) compensation cost for all equity incentive awards granted subsequent
to March 31, 2006, based on the grant-date fair value estimated in accordance with the provisions of subsequent accounting standards.
We use a Binomial Lattice option pricing model for estimating fair value of options granted (see Note 4).

     F-13 

The following table summarizes share-based compensation
expenses relating to shares and options granted and the effect on loss per common share during the years ended March 31, 2025 and 2024:

    Schedule of share-based compensation expenses 

    Fiscal Years Ended 

    March 31, 2025  
    March 31, 2024 
  
    Vesting of Stock Options and Restricted Stock Units 
    $415,234  
    $1,219,370 
  
    Total Stock-Based Compensation Expense 
    $415,234  
    $1,219,370 

    Weighted average number of common shares outstanding – basic and diluted 
     1,560,839  
     314,097 

    Basic and diluted loss per common share 
    $(0.27) 
    $(3.88)

We record share-based compensation expenses for awards of stock options
and RSUs under ASC 718, Share-based compensation, or ASC 718. For awards to non-employees for periods prior to the adoption of ASU 2018-07,
Compensation-Stock Compensation: Improvements to Non-employee Share-Based Payment Accounting, on April 1, 2019, the Company had applied
ASC 505-50, Equity – Equity-based payments to non-employees, or ASC 505-50. ASC 718 establishes guidance for the recognition of
expenses arising from the issuance of share-based compensation awards at their fair value at the grant date.

We recognize share-based compensation expense
related to stock options and stock appreciation rights granted to employees, directors and consultants based on the estimated