STOCKHOLDERS’ EQUITY

9 Months Ended

Mar. 31, 2024

Equity [Abstract]

STOCKHOLDERS’ EQUITY

NOTE 8. STOCKHOLDERS’ EQUITY

Stock-based Compensation

During the three and nine months ended March 31, 2024 the Company granted stock options for the purchase of zero and 315,881 shares, respectively, with a weighted average grant date fair values of $1.11 per share. The fair value of the options granted were estimated using the following assumptions:

	Three and Nine Months Ended March 31, 2024
Expected volatility		159% - 197	%
Expected term		6.3 years
Risk-Free interest rate		3.5% - 4.7	%
Expected dividend yield		0	%

	Stock Options
	Number of Options			Weighted Average Exercise Price
Outstanding at July 1, 2023		270,000		$	1.61
Granted		315,881		$	1.15
Forfeited		(38,750	)	$	1.64
Outstanding and expected to vest at March 31, 2024		547,131		$	1.34
Exercisable as of March 31, 2024		72,912		$	1.60

As of March 31, 2024, there was $0.5 million of unrecognized compensation expense related to outstanding stock options that will be recognized over a remaining weighted average period of 3.3 years. As of March 31, 2024, the weighted average remaining contractual life of the outstanding stock options was 9.1 years.

The following table summarizes the restricted stock activities for the nine months ended March 31, 2024.

	Restricted Stock Awards
	Number of RSAs			Weighted Average Grant Date Fair Value
Nonvested as of July 1, 2023		288,733		$	1.36
Granted		447,543		$	1.03
Canceled		(23,585	)	$	1.06
Vested		(30,124	)	$	1.39
Nonvested as of March 31, 2024		628,567		$	1.15

During the three and nine months ended March 31, 2024, the Company granted zero and 447,543 restricted stock awards (“RSAs”) with a weighted average grant date fair value of $1.03 per share and a total fair value at date of grant of $0.5 million. The intrinsic value of outstanding RSAs was $0.9 million as of March 31, 2024. Stock-based compensation relating to RSAs totaled $0.1 million and zero for the three months ended March 31, 2024 and 2023, respectively, and $0.2 million and less than $0.1 million for the nine months ended March 31, 2024 and 2023, respectively. As of March 31, 2024, there was $0.6 million of unrecognized compensation expense related to outstanding RSAs that will be recognized over a remaining weighted average period of 2.9 years.

The table below summarizes total remaining stock-based compensation for all outstanding awards (in thousands):

Years Ending June 30,
Remainder of fiscal 2024	$	111
2025		479
2026		351
2027		186
2028		17
Total stock-based compensation	$	1,144

The aggregate expected stock-based compensation expense remaining to be recognized reflects only awards as of March 31, 2024 and assumes no forfeiture activity and will be recognized over a weighted-average period of 2.9 years.