Stock Based Compensation

6 Months Ended

Sep. 30, 2025

Share-Based Payment Arrangement [Abstract]

Note 10 - STOCK BASED COMPENSATION

ESOP

Employees participate in "the ESOP". The ESOP borrowed funds from the Company to purchase 330,465 shares of stock at $10 per share. The Association makes discretionary contributions to the ESOP and the ESOP uses funds it receives to repay the loan. When loan payments are made, ESOP shares are allocated to participants based on relative compensation. Participants receive the shares at the end of employment.

There were no contributions to the ESOP during the six months ending September 30, 2025 and 2024, as the annual loan payment is made in December. The ESOP compensation expense for six months ending September 30, 2025 and 2024 was $100,000 and $71,000, respectively.

Shares held by the ESOP were as follows:


	As of September 30,
	2025		2024
	(Dollars in thousands)
Shares allocated		36,354		23,136
Unallocated		294,111		307,329
Total ESOP shares		330,465		330,465
Fair value of unearned shares as of September 30, 2025 and 2024, respectively	$	4,794	$	3,860

Fair value of unearned shares is based on a stock price of $16.30 and $12.56 as of September 30, 2025 and 2024, respectively.

Equity Incentive plan

At the Company's annual meeting of stockholders held on November 26, 2024, stockholders approved the Central Plains Bancshares, Inc. 2024 Equity Incentive Plan (“2024 Equity Plan”), which provides for the granting of up to 578,313 shares (165,232 shares of restricted stock and 413,081 stock options) of the Company’s common stock pursuant to equity awards made under the 2024 Equity Plan.

Stock options granted under the 2024 Equity Plan generally vest in equal annual installments over a service period of five years beginning one year from the date of grant. The vesting of the options accelerates upon death, disability or an involuntary termination at or following a change in control of the Company. Stock options are generally granted at an exercise price equal to the fair value of the Company’s common stock on the grant date based on the closing market price of the Company's common stock on the date of grant, and have an expiration period of ten years. As of September 30, 2025, the Company has 89,157 stock options available for future grants under the 2024 Equity Plan.

The Company recognizes compensation expense for the fair values of these awards, which have graded vesting, on a straight-line basis over the requisite service period of the awards. Upon exercise of vested options, management expects to first draw on retired stock as the source for shares.

The following is a summary of the Company's stock option activity and related information for the periods presented. There was no stock option activity for the three- and six-months ended September 30, 2024.


Stock Option	Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (in years)		Aggregate Intrinsic Value
							(Dollars in thousands)
Options, outstanding at June 30, 2025		323,924	$	14.63		9.5	$	159
Granted		—		—		—		—
Vested		—		—		—		—
Forfeited		—		—		—		—
Options, outstanding at September 30, 2025		323,924	$	14.63		9.3		541
Exercisable - End of Period		—					$	—


Stock Option	Shares		Weighted Average Exercise Price		Weighted Average Remaining Contractual Term (in years)		Aggregate Intrinsic Value
							(Dollars in thousands)
Options, outstanding at March 31, 2025		308,924	$	14.63		9.7	$	88
Granted, May 27, 2025		15,000		14.61		9.9		8
Vested		—		—		—		—
Forfeited		—		—		—		—
Options, outstanding at September 30, 2025		323,924	$	14.63		9.3		541
Exercisable - End of Period		—					$	—

The aggregate intrinsic value in the table above represents the total pre-tax intrinsic value, the difference between the Company's closing stock price on the last trading day of the period and the exercise price, multiplied by the number of in-the-money options.

Expected future expense relating to the non-vested options outstanding as of September 30, 2025, is $1.6 million over a weighted average period of 4.3 years.

Restricted shares granted under the 2024 Equity Plan generally vest in equal annual installments over a service period of five years beginning one year from the date of grant. The vesting of the awards accelerates upon death, disability or an involuntary termination at or following a change in control of the Company. The product of the number of shares granted and the grant date closing market price of the Company’s common stock determines the fair value of restricted shares under the 2024 Equity Plan. Management recognizes compensation expense for the fair value of restricted shares on a straight-line basis over the requisite service period.

As of September 30, 2025, the Company has 27,166 shares of restricted stock available for future grants under the 2024 Equity Plan.

The following is a summary of the status of the Company's restricted shares as of and for the periods presented.


Restricted Stock	Shares		Weighted Average Exercise Price

Nonvested balance as of June 30, 2025		138,066	$	14.64
Granted		—		—
Vested		—		—
Forfeited		—		—
Nonvested balance as of September 30, 2025		138,066	$	14.64


Restricted Stock	Shares		Weighted Average Exercise Price

Nonvested balance as of March 31, 2025		129,066	$	14.64
Granted, May 27, 2025		9,000		14.61
Vested		—		—
Forfeited		—		—
Nonvested balance as of September 30, 2025		138,066	$	14.64

Expected future expense relating to the non-vested restricted shares outstanding as of September 30, 2025, is $1.7 million over a weighted average period of 4.3 years.

The following table presents the stock based compensation expense for the periods presented.


	For the Three Months Ended September 30,				For the Six Months Ended September 30,
	2025		2024		2025		2024
	(Dollars in thousands)				(Dollars in thousands)
Stock option expense	$	91	$	—	$	179	$	—
Restricted stock expense		100		—		197		—
Total stock based compensation expense	$	191	$	—	$	376	$	—