XML 39 R24.htm IDEA: XBRL DOCUMENT v3.26.1
Equity Compensation Plans
 3 Months Ended
Mar. 31, 2026
Equity Compensation Plans [Abstract]  
Equity Compensation Plans

18. Equity Compensation Plans

 

2017 Equity Incentive Plan

 

The Purple Innovation, Inc. 2017 Equity Incentive Plan (the “2017 Plan”) provides for grants of stock options, stock appreciation rights, restricted stock units and other stock-based awards. Directors, officers and other employees, as well as others performing consulting or advisory services for the Company and its subsidiaries, are eligible for grants under the 2017 Plan. As of March 31, 2026, an aggregate of 2.7 million shares remain available for issuance or use under the 2017 Plan.

 

Employee Stock Options

 

The following table summarizes the Company’s total stock option activity for the three months ended March 31, 2026:

 

   Options
(in thousands)		   Weighted
Average
Exercise
Price		   Weighted
Average
Remaining
Contractual
Term in
Years		   Intrinsic
Value
(in thousands)		 
Options outstanding as of January 1, 2025   500   $6.82    1.3   $
—
 
Granted   
—
    
—
    —    
—
 
Exercised   
—
    
—
    —    
—
 
Forfeited   
—
    
—
    —    
—
 
Options outstanding as of March 31, 2026   500   $6.82    1.0   $
—
 

 

Outstanding and exercisable stock options as of March 31, 2026 are as follows:

 

    Options Outstanding  Options Exercisable
Exercise Prices   Number of
Options
Outstanding
(in thousands)		  Weighted
Average
Remaining Life
(Years)		   Number of
Options
Exercisable
(in thousands)		  Weighted
Average
Remaining Life
(Years)		   Intrinsic
Value
(in thousands)		 
$6.82   500   1.0   500   1.0   $
—
 

The estimated fair value of Company stock options is amortized over the options vesting period on a straight-line basis. All outstanding stock options were vested as of January 1, 2026 and there was no remaining unrecognized stock compensation cost. There was no stock option expense for the three months ended March 31, 2026 and was de minimis for the three months ended March 31, 2025.

 

Employee Restricted Stock Units

 

The following table summarizes the Company’s restricted stock unit activity for the three months ended March 31, 2026:

 

   Number
Outstanding
(in thousands)		   Weighted
Average
Grant Date
Fair Value		 
Nonvested restricted stock units as of January 1, 2026   3,141   $1.25 
Granted   
—
    
—
 
Vested   (707)   1.39 
Forfeited   (928)   1.87 
Nonvested restricted stock units as of March 31, 2026   1,506   $0.80 

 

The Company recorded restricted stock unit expense of $0.2 million and $0.4 million during the three months ended March 31, 2026 and 2025, respectively.

 

For restricted stock units outstanding as of March 31, 2026, there were $0.8 million of total unrecognized stock compensation costs with a remaining recognition period of 1.5 years.

Aggregate Non-Cash Stock-Based Compensation

 

The Company has accounted for all stock-based compensation under the provisions of ASC 718 Compensation—Stock Compensation. This standard requires the Company to record a non-cash expense associated with the fair value of stock-based compensation over the requisite service period.

 

The following table summarizes the aggregate non-cash stock-based compensation recognized in the statement of operations for stock awards, employee stock options and employee restricted stock units (in thousands):

 

   Three Months Ended
March 31,		 
   2026   2025 
Cost of revenues  $(16)  $103 
Marketing and sales   8    (176)
General and administrative   162    363 
Research and development   2    78 
Total non-cash stock-based compensation  $156   $368