Company: ELSE
Filing Date: 2025-09-12
Form Type: 10-Q/A
Source: 0000897101-25-000510
Chunk: 8

Company: ELECTRO SENSORS INC
Filing Date: 2025-09-12
Form: 10-Q/A
Chunk 8
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. The grants include a provision providing for acceleration of vesting upon a change of control in the Company.

As of June 30, 2025, the total unrecognized compensation expense related to outstanding stock options was $ 95, which the Company expects to recognize through October 2028. The Company recognized compensation expense in connection with the vesting of stock options of $ 10and $ 20for the three and sixmonths ended June 30, 2025, respectively. The Company recognized compensation expense in connection with the vesting of stock options of $ 16 and $ 24 for the three and six months ended June 30, 2024 , respectively. Th ere were nostock options granted or exercised in the sixmonths ended June 30, 2025. During the second quarter of 2024 , the Company granted 25,000 non-qualified stock options to a non-employee board member. The options vested 20 % on the grant date, with an additional 20 % vesting annually thereafter. There were no stock options exercised in the six months ended June 30, 2024.

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ELECTRO-SENSORS, INC. NOTES TO CONDENSED FINANCIAL STATEMENTS FOR THE PERIOD ENDED JUNE 30, 2025 (in thousands except share and per share amounts) (unaudited)

Restricted stock units

The 2013Plan authorizes the issuance of restricted stock units. Stock-based compensation expense is determined on the grant date based on the closing market value of the Company's common stock. The amount of expense is calculated based on an estimate of the number of awards expected to vest at the end of each vesting period and is expensed evenly over the vesting period. In connection with the time of vesting and issuance of shares, an eligible recipient of common stock may elect to have some shares withheld by the Company to satisfy any requirement for withholding taxes. The grants include a provision providing for acceleration of vesting upon a change of control in the Company.

As of June 30, 2025 , the total unrecognized compensation expenses related to outstanding restricted stock units is $ 273 , which the Company expects to recognize through August 2028. The Company recognized compensation expense in connection with the vesting of restricted stock units of $ 22and $ 43for the three and sixmonths ended June 30, 2025, respectively. The Company recognized compensation expense in connection with the vesting of restricted stock units of $