Annual report pursuant to Section 13 and 15(d)

Note 17 ??? Share Based Awards

v3.22.2
Note 17 – Share Based Awards
 12 Months Ended
Apr. 30, 2022
Share-Based Payment Arrangement [Abstract]  
Note 17 – Share Based Awards

Note 17 – Share Based Awards

 

The 2019 Equity Incentive Plan (the "Plan") allows us to incentivize key employees, consultants, and directors with long term compensation awards such as stock options, restricted stock, and restricted stock units (collectively, the "Awards"). The number of shares issuable in connection with Awards under the Plan may not exceed 8,750,000.

 

Options 

 

The table below sets forth the range of assumptions used to calculate the fair value of options granted during the fiscal years ended April 30:  

 

      2022       2021  
Exercise Price   $ 1.69 – 2.82     $ 2.01 – 3.95  
Stock price on date of grant     1.69 – 2.82       2.01 – 3.95  
Risk-free interest rate     0.47 – 1.91%       0.38 – 1.66%  
Dividend yield     —         —    
Expected term (years)      3.75 – 10.00       5.87 – 10.00  
Volatility      210.68 – 273.46%       88.60 – 91.44%  

  

A summary of options activity under the Plan since April 30, 2020 is as follows:

 

Options   Shares   Weighted-Average Exercise Price   Weighted-Average Remaining Contractual Term   Aggregate Intrinsic Value
                                 
Outstanding as of April 30, 2020     1,597,475     $ 1.10                  
Granted     600,000       3.63                  
Exercised     —         —                    
Forfeited or expired     —         —                    
Outstanding as of April 30, 2021     2,197,475     1.79       8.68        4,943,870   
Granted     1,681,000       2.58                  
Exercised     (150,000 )      2.49                  
Forfeited or expired     (34,333 )      2.11                  
Outstanding as of April 30, 2022     3,694,142     2.17       8.56     1,407,545  
Exercisable as of April 30, 2022     2,094,642     $ 1.90       7.91     $ 1,058,620  

  

The aggregate intrinsic value of outstanding options at April 30, 2022 and 2021 represents the excess of the stock price at April 30, 2022 and 2021 of $2.03 and $4.04, respectively, over the exercise price of each option. As of April 30, 2022 and April 30, 2021, there was $3,380,467 and $645,264 of unrecognized stock-based compensation expense related to unvested stock options which is expected to be recognized over the weighted average periods of 2.20 and 1.55 years, respectively. 

 

Restricted Stock

 

A summary of restricted stock activity under the Plan since April 30, 2020 is as follows:

 

Restricted Stock   Shares   Weighted Average Grant-Date Fair Value Per Share
Unvested and outstanding as of April 30, 2020     —       $ —    
Granted     1,000,000       2.69  
Vested     (312,500 )     2.69  
Forfeited     —         —    
Unvested and outstanding as of April 30, 2021     687,500       2.69  
Granted     995,659       2.55  
Vested     (599,484 )     2.64  
Forfeited     —         —    
Unvested and outstanding as of April 30, 2022     1,083,675     $ 2.59  

 

Stock Compensation

 

Stock compensation expense for the years ended April 30 was as follows:

 

    2022   2021
General and administrative   $ 1,521,951     $ 1,688,025  
Research and development     516,456       1,269,987  
Operations     783,781       220,048  
Sales and marketing     469,447       210,156  
 Total   $ 3,291,635     $ 3,388,216  

 

Stock compensation expense pertaining to options totaled $1,447,115 and $2,547,591 for the year ended April 30, 2022 and 2021, respectively. Stock compensation expense pertaining to restricted stock units totaled $1,844,520 and $840,625 for the year ended April 30, 2022 and 2021, respectively.