Flux Power Holdings, Inc. Annual report pursuant to Section 13 and 15(d)

Annual report pursuant to Section 13 and 15(d)

Stockholders' Deficit (Tables)

Stockholders' Deficit (Tables)

12 Months Ended

Jun. 30, 2020

Warrant detail for the year ended June 30, 2020 is reflected below:

	Number of Warrants			Weighted Average Exercise Price Per Warrant		Remaining Contract Term (# years)
Warrants outstanding and exercisable at June 30, 2019		8,333		$	20.00		0.25
Warrants issued		83,205		$	4.00		3.00
Warrants exchanged		-		$	-		-
Warrants forfeited		(8,333	)	$	20.00
Warrants outstanding and exercisable at June 30, 2020		83,205		$	4.00		2.01

Warrant detail for the year ended June 30, 2019 is reflected below:

	Number of Warrants			Weighted Average Exercise Price Per Warrant		Remaining Contract Term (# years)
Warrants outstanding and exercisable at June 30, 2018		174,079		$	20.30		0.74
Warrants issued		-		$	-		-
Warrants exchanged		(7,996	)	$	14.80		-
Warrants forfeited		(157,750	)	$	19.93		-
Warrants outstanding and exercisable at June 30, 2019		8,333		$	20.00		0.25

Schedule of Stock Options Activity

Activity in stock options during the year ended June 30, 2020 and related balances outstanding as of that date are reflected below:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Contract Term (# years)
Outstanding at June 30, 2019		580,171		$	11.05		8.59
Granted		19,272		$	8.45
Exercised		(5,249	)	$	4.68
Forfeited and cancelled		(14,610	)	$	11.86
Outstanding at June 30, 2020		579,584		$	11.00		7.55
Exercisable at June 30, 2020		454,156		$	10.77		7.27

Activity in stock options during the year ended June 30, 2019 and related balances outstanding as of that date are reflected below:

	Number of Shares			Weighted Average Exercise Price		Weighted Average Remaining Contract Term (# years)
Outstanding at June 30, 2018		350,726		$	8.38		8.87
Granted		245,027		$	14.45
Exercised		-		$	-
Forfeited and cancelled		(15,582	)	$	4.64
Outstanding at June 30, 2019		580,171		$	11.05		8.59
Exercisable at June 30, 2019		303,611		$	10.02		8.01

Schedule of Stock-Based Compensation Expenses

We allocated stock-based compensation expense included in the consolidated statements of operations for employee option grants and non-employee option grants as follows:

Years ended June 30,	2020		2019
Research and development	$	215,000	$	314,000
Selling and administrative		1,588,000		1,630,000
Total stock-based compensation expense	$	1,803,000	$	1,944,000

Schedule of Fair Value Assumptions of Stock Options

The fair value of stock options was measured at the grant date using the assumptions (annualized percentages) in the table below:

Years ended June 30,	2020			2019
Expected volatility		100.6% - 119.6	%		111.4% -112.2	%
Risk free interest rate		0.35% - 2.00	%		2.43% - 2.45	%
Forfeiture rate		20	%		20	%
Dividend yield		0	%		0	%
Expected term (years)		6.35			5.61