Review of Operations Directors’ Report Chairman’s Letter CEO’s Report Financial Report Shareholder Information 22 SHARE-BASED PAYMENTS (CONTINUED) Movement in the number of share options on issue: 2025 2024 Number of Options Weighted Average Exercise Price ($) Number of Options Weighted Average Exercise Price ($) Total Options Outstanding at the beginning of the year 8,955,756 $1 .149 9,854,647 $2.161 Granted (ESOP) 1,150,000 $0.949 6,825,000 $0.887 Granted (Other) 9,753,913 $1.000 – – Forfeited – – – – Exercised – – – – Expired (1,330,756) $2.488 (7,723,891) $2.209 Outstanding at year-end 18,528,913 $0.962 8,955,756 $1.149 Exercisable at year-end 13,687,247 $0.981 1,722,423 $0.965 OPTIONS RESERVE The number of options granted during the year pursuant to the ESOP was 1,150,000 (2024: 6,825,000), while no employee share options were exercised (2024: nil) and 1,330,756 employee options expired during the financial year (2024: 7,723,891). The value of employee share options issued during the financial year has been calculated by using a modified binomial option pricing model applying the following inputs: Exercise prices $0.612 and $1.000 Underlying share prices Between $0.415 and $0.46 Days to expiration 1,461 Days to vesting 366 to 1096 Expected share price volatility 85% Risk free interest rate Between 3.86% and 4.05% Historical volatility is assumed to be indicative of future volatility however future volatility may not replicate historical volatility. The life of the options is based on the contracted expiry date. 9,378,913 listed options were issued in conjunction with the 2024 capital raise and also a further 375,000 listed options were issued in exchange for investor relation services. RECOGNISED SHARE-BASED PAYMENT TRANSACTIONS Share based payment transactions recognised as operating expenses in the statement of comprehensive income during the financial years were as follows: For the year ended 30 June 2025 $ For the year ended 30 June 2024 $ Share expense for ESS plan issued during the year 11,008 – Options expense for options issued during the year(i) 813,555 834,773 824,563 834,773 (i) Options grant expense for options issued during the year During the 2025 financial year, the Company issued 1,000,000 options under INOVIQ’s Incentive Option Plan to Non Executive Directors and a further 150,000 options were also issued to employees. 55 Annual Report 2025
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