Note 14 – Employee Benefit Plans

Defined Contribution Retirement Plan

The Company sponsors qualified defined contribution retirement plans (the “401(k) Plans”) covering all eligible employees, as defined in the 401(k) Plans. The 401(k) Plans allow participating employees to defer the receipt of a portion of their compensation, on a pre-tax or post-tax basis, and contribute such amount to one or more investment options. Employer contributions to the plans are at the discretion of the Company. The Company did not accrue or make any employer contributions in 2025 and 2024.

Equity Incentive Plan

The Company provides equity-based compensation to directors, officers, key employees and other key individuals performing services for the Company under its 2019 Equity Incentive Plan (the “Equity Incentive Plan”). The Equity Incentive Plan provides for the granting of stock options, warrants, restricted stock or other stock-based awards. All awards are required to be approved by the Board or a designated committee of the Board. Options are generally granted with an exercise price equal to fair market value of the Company’s common stock on the date of grant and an expiration date after ten years. Vesting of options and restricted stock can either be based on the passage of time or on the achievement of performance goals. The Board has the authority to amend, modify or terminate the Equity Incentive Plan, subject to any required approval by the Company’s stockholders under applicable law or upon advice of counsel. No such action would affect any options previously granted under the Equity Incentive Plan without the consent of the holders.

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Effective May 18, 2022, the Board and the Company’s stockholders approved a 4,500,000 increase to the number of shares of common stock authorized for issuance under the Equity Incentive Plan, bringing the maximum aggregate limit to 11,573,922 shares. As of December 28, 2025, the Company had 1,713,979 shares available for issuance under the Equity Incentive Plan.

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Stock-based compensation cost for 2025 and 2024 was $5.4 million and $6.0 million, respectively, and is included in general and administrative expenses in the consolidated statements of operations. Included in stock-based compensation cost was $0.8 million and $0.7 million of unrestricted stock granted to directors for 2025 and 2024,

respectively. Such grants were awarded consistent with the Board’s compensation practices. Stock-based compensation for both 2025 and 2024 included $0.9 million of compensation costs for market condition-based restricted stock units (“PSU”). Refer to discussion of performance stock units below.

Stock Option Activity

Stock options in the table below include both time-based and market condition-based awards.

Changes in outstanding stock options during the years ended December 28, 2025 and December 31, 2024 were as follows:

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A summary of the status of the Company’s non-vested stock options as of December 28, 2025 and December 31, 2024 and changes during the years then ended, is presented below:

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The fair value of options that vested in 2025 and 2024 was $0.9 million and zero, respectively.

Restricted Stock Unit Activity

The Company issues restricted stock units (“RSUs”) under the Equity Incentive Plan. RSUs in the table below include time-based awards that typically vest in equal installments over a three year period. The fair value of time-based RSUs is determined based upon the closing market value of the Company’s common stock on the grant date.

A summary of the status of RSUs and changes during 2025 and 2024 is presented below:

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As of December 28, 2025, the Company had approximately $3.3 million of total unrecognized compensation costs related to restricted stock awards, which will be recognized over a weighted average period of 1.8 years.

The fair value of RSUs vested during 2025 and 2024 was $3.7 million in both years.

Performance Stock Unit Activity

The Company issues PSUs under the Equity Incentive Plan. PSUs in the table below include both a market condition and time element. The PSUs may be earned based on achieving common stock price targets within a specified time period, and if earned, will vest and be settled based on a time element specified in the respective agreement. For PSUs granted during 2025, the Company, with the assistance of a third-party specialist, calculated the fair value using the Monte Carlo Simulation, a risk-free rate of 3.9%, a starting common stock value of $2.98 and volatility of 71%. The PSUs were valued at $0.3 million and are amortized evenly over 36 months.

A summary of the status of PSUs and changes during 2025 and 2024 is presented below:

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As of December 28, 2025, the Company has approximately $0.8 million of unrecognized compensation costs related to PSUs, which will be recognized over a weighted average period of 1.1 years