Risk Factors Update Summary

• The company may not be able to continue as a going concern due to insufficient funds. Cash balance: $5.9 million, accumulated deficit: $76.3 million, net losses: $12.5 million in 2023.
• The company needs to raise additional capital in the next several months to avoid winding down. Existing cash resources only sufficient until the first half of 2025.
• Nasdaq may delist the company's securities if the minimum bid price requirement is not met. Current grace period until September 3, 2024, to regain compliance.
• The company's ability to continue operations is at risk due to potential delisting from Nasdaq. Delisting could harm stockholders' liquidity and marketability of common stock.
• The company's financial viability is uncertain, with a need to raise substantial additional capital. Failure to do so may lead to ceasing operations, liquidating assets, or seeking bankruptcy protection.
• The company's ability to commercialize products depends on market acceptance by physicians, patients, and payors. Market acceptance is crucial for the success of the company's products.
• The company's cost savings plans and headcount reductions may not yield anticipated savings, potentially resulting in increased costs and disruptions to business operations.