Risk Factors Update Summary

• Risks related to the use of AI, including generative AI, were added, with potential impacts on bias, reputation, and cybersecurity. This change might result in increased scrutiny and compliance costs.
• The company recognized an impairment charge of $10.0 million for right-of-use lease assets and $1.4 million for an intangible asset in 2023. This change indicates potential financial impacts and asset value adjustments.
• Client concentration increased, with the top ten clients accounting for approximately 22% of revenue in 2023, up from 20% in 2022. This change highlights revenue dependency on a small number of clients.
• The company consolidated real estate occupancy in 2023, leading to lower leasing costs and potential subleasing or abandonment of properties. This change may result in cost savings and operational changes.
• Seasonality could have a more significant impact on revenue, cash flow, and operating results due to declines in growth rate or pronounced seasonal spending. This change indicates potential fluctuations in financial performance.
• The company may not realize expected benefits from past and future acquisitions and strategic transactions, including the Transactions. This change suggests uncertainties in achieving anticipated benefits.
• The company's ability to maintain effective internal controls over financial reporting is crucial. Failure to remediate material weaknesses could lead to compliance issues and financial misstatements.