Quarterly report pursuant to Section 13 or 15(d)

Incentive and Non-Statutory Stock Option Plan

v3.4.0.3
Incentive and Non-Statutory Stock Option Plan
 9 Months Ended
Mar. 31, 2016
Incentive And Non-statutory Stock Option Plan  
Incentive and Non-Statutory Stock Option Plan

NOTE 14 - INCENTIVE AND NON-STATUTORY STOCK OPTION PLAN

 

Common stock purchase options and warrants consisted of the following:

 

OPTIONS:

 

    # of shares     Weighted Ave Exericse Price     Weighted Average Remaining Contractual Life (in years)     Aggregated Intrinsic Value  
Outstanding and exercisable, June 30, 2015     708,133     $ 6.84       1.22     $ 572,352  
Granted     152,024     $ 4.50                  
Exercised     (122,024 )   $ 4.40                  
Expired / Cancelled     (11,000 )   $ 23.41                  
Outstanding and exercisable, March 31, 2016     727,133     $ 6.51       0.49     $ 961,544  
                                 
WARRANTS:                                
Outstanding and exercisable, June 30, 2015     163,124     $ 7.29       1.22     $ -  
Granted / adjusted     -       -                  
Exercised     -       -                  
Expired     -       -                  
Outstanding and exercisable, March 31, 2016     163,124     $ 7.29       0.48     $ 11,084  

 

The following table summarizes information about stock options and warrants outstanding and exercisable at March 31, 2016.

 

Exercise Price   Number Outstanding and Exercisable     Weighted Average Remaining Contractual Life     Weighted Ave Exericse Price  
OPTIONS:                        
$0.10 - $9.90     664,133       0.51     $ 4.85  
$10.00 - $19.90     8,000       0.33     $ 17.69  
$20.00 - $29.90     55,000       0.17     $ 25.00  
Totals     727,133       0.49     $ 6.51  
                         
WARRANTS:                        
$5.00 - $7.50     163,124       0.48     $ 7.29  
Totals     163,124       0.48     $ 7.29  

  

The following table summarizes stock grants awarded as compensation:

 

    # of shares     Weighted Average Grant Date Fair Value ($)  
             
Unvested, June 30, 2014     232,000     $ 3.88  
Granted     113,275     $ 3.26  
Vested     (338,608 )   $ 3.60  
Unvested, June 30, 2015     6,667     $ 6.00  
Granted     859,000     $ 5.90  
Vested     (141,167 )   $ 5.36  
Unvested, March 31, 2016     724,500     $ 6.00  

 

For the three and nine months ended March 31, 2016, the Company recorded compensation expense of $368,674 and $694,693 respectively. For the three and nine months ended March 31, 2015, the Company recorded compensation expense of $517,068 and $1,119,721 respectively. The compensation expense related to the unvested stock grants as of March 31, 2016 was $4,350,330 which will be recognized during the fiscal years of 2016 to 2019.

 

OPTIONS

 

During the nine months ended March 31, 2016, the Company granted 152,024 options to employees with exercise prices of $4.14 to $4.92 per share and expiration dates of 3 to 5 months, vesting immediately. Using the Black-Scholes method to value the options, the Company recorded $145,716 in compensation expense for these options in the accompanying condensed consolidated financial statements. The fair market value was calculated using the Black-Scholes option pricing model with the following assumptions:

 

  ● Risk-free interest rate - 0.01% - 0.02%

 

  ● Expected life – 3 months - 5 months

 

  ● Expected volatility – 41.65% - 47.89%

 

  ● Expected dividend - 0%