Risk Factors Update Summary

• Developed complex AI and ML solutions to compete, investing in multimedia contextual capabilities. This may result in loss of customers or market share.
• Company to subsidize COBRA premiums for up to 12 months post-employment, subject to conditions.
• The Company released $1,855 of its valuation allowance due to improved profitability, potentially releasing more in 2024.
• Cash, cash equivalents, and restricted cash at the end of the year increased from $89,671 to $127,290.
• Increased focus on ESG initiatives may lead to higher costs and potential reputational risks.
• The company adopted trading plans for executives to sell up to 240,000 shares and 186,910 shares.
• Federal net operating losses decreased from $79,800 to $10,000 as of December 31, 2023.
• Eligibility for severance pay increased to 12 months of base salary, subject to conditions.
• The company implemented a Clawback Policy in accordance with Section 10D of the Securities Exchange Act of 1934. This policy applies to Erroneously Awarded Compensation received by Covered Individuals.
• Increased interest rate to 7% from 6.2%, impacting cost of capital. Further rate changes could impact cost of capital.
• Cash received from Employee Stock Purchase Program increased significantly from $845 to $3,160.
• Total noncancelable purchase commitments related to hosting services increased from $104 million to $154 million.
• Property and equipment acquired included in accounts payable increased from $431 to $1,444.
• Potential negative impact from governmental actions or consumer backlash against ESG initiatives.
• Lisa Utzschneider's trading plan covers up to 240,000 shares and expires on February 28, 2025.
• Taxes paid during the year for Interest increased from $8,511 to $11,229.
• The Clawback Policy covers the recovery of Incentive-Based Compensation exceeding the amount determined based on restated financials.
• Eligibility for 2023 annual bonus up to 100%, prorated, to be paid by March 15, 2024.
• The interest rate on outstanding borrowings increased from 6% to 7%.
• Net cash used in financing activities increased from $37,471 to $58,851.
• Processed over 280 billion daily web transactions, leveraging cloud-based platform to train AI and ML models.
• State net operating losses decreased from $170,600 to $151,800 as of December 31, 2023.
• Stock-based compensation expenses increased significantly across various departments for the year ended December 31, 2023.
• Net cash provided by financing activities increased from $160,190 to $160,851.
• Tania Secor's trading plan covers up to 186,910 shares and expires on October 31, 2024.
• Net cash provided by operating activities increased from $72,467 to $131,623.
• Taxes paid during the year for Taxes decreased from $16,396 to $10,985.
• The Policy allows for various methods of recovery, including direct repayment, reducing payable amounts, or canceling awards.
• Vista Equity Partners ownership decreased from 61% to 42%, still maintaining significant influence.
• Evolving SEC climate-related reporting requirements could impact reporting standards and disclosure practices.
• The Company conducted underwritten secondary offerings of its common stock, with funds affiliated with Vista selling shares.
• Increased total indebtedness to $155.0 million from $225.0 million under Revolver.
• Revenue increased from $408,348 to $474,369.
• The Policy applies on a no-fault basis, subjecting Covered Individuals to recovery regardless of personal culpability.
• The Company announced a reduction in workforce, incurring restructuring costs of $5,295 as of December 31, 2022.
• The Committee has the discretion to determine the manner of recovery for Erroneously Awarded Compensation.
• Operating expenses increased from $393,191 to $457,277.
• Compliance with evolving ESG regulations and stakeholder expectations may increase general and administrative expenses.
• The Policy is effective as of December 1, 2023, applying to Incentive-Based Compensation received on or after October 2, 2023.
• Net income increased from $15,373 to $7,238.
• Increased issued patents to 51 from 41, allowed patent applications to 7 from 2.
• The Company implemented measures to address material weaknesses in internal controls over financial reporting.
• Cash used in investing activities decreased from $34,718 to $18,292.
• Covered Individuals are required to sign an acknowledgment form confirming their understanding and compliance with the Clawback Policy.