Risk Factors Update Summary

• Added the need to initiate litigation or administrative proceedings to enforce and defend patent rights, which will be costly.
• The reporting requirements increased, including disclosure of cybersecurity incidents, leading to higher costs.
• Net loss decreased from $180.4 million to $143.9 million for fiscal year 2022.
• Mentioned the FDA may require studies to be underway prior to Accelerated Approval, impacting drug development.
• New disclosure obligations may eliminate exemptions, potentially incurring substantial costs, and increasing negative publicity.
• Accumulated deficit increased from $401 million to $545 million as of November 30, 2023.
• Fast Track designation granted for NX-5948, with potential benefits but no guarantee of faster approval.
• Increased reporting requirements will further burden compliance, potentially impairing operations and investor views.
• Cash, cash equivalents, and marketable securities decreased from $373 million to $295 million.