Company: SLNH
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023503
Chunk: 66

Company: Soluna Holdings, Inc
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 66
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 the Company’s balance sheet.

As
of September 30, 2025, unrecognized compensation cost related to unvested Awards was approximately $8.2 million. That cost is expected
to be recognized over a weighted-average period of approximately 1.5 years.

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13.
Effect of Recent Accounting Updates

Accounting
Updates Effective for fiscal year 2025

Changes
to U.S. GAAP are established by the Financial Accounting Standards Board (the “FASB”) in the form of accounting standard
updates (“ASUs”) to the FASB’s Accounting Standards Codification (“ASC”). The Company considered the applicability
and impact of all ASUs. ASUs not mentioned below were assessed and determined to be either not applicable or are expected to have minimal
impact on our consolidated financial position or results of operations.

Improvements
to Income Tax Disclosures

In
December 2023, the FASB issued ASU 2023-09, Income Taxes (Topic 740): Improvements to Income Tax Disclosures (ASU 2023-09), which
requires disclosure of incremental income tax information within the rate reconciliation and expanded disclosures of income taxes paid,
among other disclosure requirements. ASU 2023-09 is effective for fiscal years beginning after December 15, 2024. Early adoption is permitted.
The amendment is required to be disclosed on an annual basis, in which the Company will include on its annual report for the year ended
December 31, 2025.

Stock
Compensation

In
March 2024, the FASB issued ASU 2024-01, Compensation—Stock Compensation (Topic 718): Scope Application of Profits Interest
and Similar Awards (“ASU 2024-01”), to clarify the scope application of profits interest and similar awards by adding
illustrative guidance in ASC 718, Compensation—Stock Compensation (“ASC 718”). ASU 2024-01 clarifies how to
determine whether profits interest and similar awards should be accounted for as a share-based payment arrangement (ASC 718) or as a
cash bonus or profit-sharing arrangement (ASC 710, Compensation—General, or other guidance) and applies to all reporting
entities that account for profits interest awards as compensation to employees or non-employees. In addition to adding the illustrative
guidance, ASU 2024-01 modified the language in paragraph 718-10-15-3 to improve its clarity