Stock-based Compensation

6 Months Ended

Sep. 30, 2021

Share-based Payment Arrangement [Abstract]

Stock-based Compensation

6. Stock-based Compensation

The Company recognized stock-based compensation expense of $22,568 and $13,943 in general and administrative expense in the Consolidated Statements of Operations for the three months ended September 30, 2021 and 2020, respectively. Stock-based compensation expense recognized for the six months ended September 30, 2021 and 2020 was $36,433 and $27,948, respectively. The total cost related to non-vested awards not yet recognized at September 30, 2021 totals $265,248 which is expected to be recognized over a weighted average of 2.82 years.

During the six months ended September 30, 2021, the Compensation Committee of the Board of Directors approved and the Company granted 31,000 stock options exercisable at $8.51 per share with an estimated fair value of $187,550. During the six months ended September 30, 2020, no stock options were granted. These options are exercisable at a price not less than the fair market value of the stock at the date of grant, have an exercise period of ten years and generally vest over four years.

Included in the following table is a summary of the grant-date fair value of stock options granted and the related assumptions used in the Binomial models for stock options granted during the six months ended September 30, 2021 and 2020. All such amounts represent the weighted average amounts.

	Six Months Ended
	September 30
	2021			2020
Grant-date fair value	$	6.05			-
Volatility factor		65.38	%		-
Dividend yield		-			-
Risk-free interest rate		0.92	%		-
Expected term (in years)		6.25			-

The following table is a summary of activity of stock options for the six months ended September 30, 2021:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Contract Life in Years		Intrinsic Value
Outstanding at April 1, 2021		156,000		$	5.28		5.53	$	555,100
Granted		31,000			8.51
Exercised		(27,900	)		6.63
Forfeited or Expired		-			-
Outstanding at September 30, 2021		159,100		$	5.67		6.50	$	752,622
Vested at September 30, 2021		87,350		$	5.56		4.59	$	422,362
Exercisable at September 30, 2021		87,350		$	5.56		4.59	$	422,362

During the six months ended September 30, 2021, stock options covering 27,900 shares were exercised with a total intrinsic value of $104,473. The Company received proceeds of $185,732 from these exercises. During the six months ended September 30, 2020, stock options covering 1,500 shares were exercised with a total intrinsic value of $135. The Company received proceeds of $9,435 from these exercises.

There were no stock options forfeited or expired during the six months ended September 30, 2021 and 2020. No forfeiture rate is assumed for stock options granted to directors or employees due to the forfeiture rate history of these types of awards.

Outstanding options at September 30, 2021 expire between April 2023 and July 2031 and have exercise prices ranging from $3.34 to $8.51.