Quarterly report [Sections 13 or 15(d)]

Stock Based Compensation (Tables)

Stock Based Compensation (Tables)

6 Months Ended

Mar. 30, 2025

Share-Based Payment Arrangement [Abstract]

Schedule of Aggregate Non-vested Restricted Stock and Restricted Stock Units Granted and Performance Shares

The following table summarizes the status of Optex Systems Holdings’ aggregate non-vested restricted stock and restricted stock units and performance shares:

	Restricted Stock Units			Weighted Average Grant Date Fair Value		Restricted Shares			Weighted Average Grant Date Fair Value		Performance Shares			Weighted Average Grant Date Fair Value
Outstanding at October 1, 2023		39,000		$	3.06		120,000		$	2.20		135,000			2.37
Granted		40,500			7.17		-			-		-			-
Vested		(13,000	)		3.06		(60,000	)		2.20		(135,000	)		2.37
Forfeited		-			-		-			-		-			-
Outstanding at September 29, 2024		66,500		$	5.56		60,000		$	2.20		-			-
Granted		-			-		22,800			8.10		-			-
Vested		-			-		(60,000	)		2.20		-			-
Forfeited		(7,500	)		5.19		-			-		-			-
Outstanding at March 30, 2025		59,000		$	5.61		22,800		$	8.10		-		$	-

Schedule of Assumptions and Results for the Monte Carlo Simulation for the Performance Shares

The assumptions and results for the Monte Carlo simulation employed for the performance shares are as follows:

	Assumptions
Performance Period Start		10/2/2023
Performance Period End		10/1/2028
Term of simulation ⁽¹⁾		5.42 years
Time steps in simulation		1,365
Time steps per year		252
Common share price at valuation date ⁽²⁾	$	3.04
Dividend yield ⁽³⁾		0.0	%
Volatility (annual) ⁽⁴⁾		50.0	%
Risk-free rate (annual) ⁽⁵⁾		3.37	%
Cost of equity ⁽⁶⁾		11.5	%

	Tranche 1		Tranche 2		Tranche 3		Tranche 4		Tranche 5
Number of performance shares in the Tranche ⁽¹⁾		27,000		27,000		27,000		27,000		27,000
Derived Service Period (Years) ⁽⁷⁾		0.71		1.13		1.60		2.06		2.48
Fair Value of One Performance share ⁽⁷⁾	$	2.75	$	2.58	$	2.39	$	2.18	$	1.93
Total Fair Value of Tranche	$	74,345	$	69,742	$	64,446	$	58,819	$	52,238

	(1)	Based on the terms of the Performance Shares agreement issued by the Company on May 3, 2023.
	(2)	Closing price of OPXS shares on the Valuation Date, as obtained via S&P Capital IQ.
	(3)	Expected dividends provided by management.
	(4)	Based on historical volatility of OPXS and comparable public companies.
	(5)	Interest rate for US Treasury commensurate with the Performance Shares holding period, as of the Valuation Date, as obtained via S&P Capital IQ.
	(6)	Estimated cost of equity for OPXS as of the Valuation Date.
	(7)	Based on Monte Carlo simulation.

Schedule of Unrecognized Compensation Costs

	Stock Compensation
	(thousands)
	Recognized Compensation Expense								Unrecognized Compensation Expense
	Three months ended				Six months ended				As of period ended
	March 30, 2025		March 31, 2024		March 30, 2025		March 31, 2024		March 30, 2025		September 29, 2024

Restricted Shares	$	40	$	33	$	99	$	73	$	119	$	33
Performance Shares		-		116		-		180		-		-
Restricted Stock Units		32		8		65		17		218		284
Total Stock Compensation	$	72	$	157	$	164	$	270	$	337	$	317