Risk Factors Update Summary

• Net losses increased from $51.2 million in 2021 to $94.6 million in 2023.
• Evolving compliance requirements impose significant costs, likely increasing over time.
• Cash, cash equivalents, and marketable securities increased from $188.7 million in 2022 to $195 million in 2023.
• Failure to comply with data privacy laws could result in significant fines, sanctions, or penalties.
• Full-time employees increased from 130 in 2022 to 159 in 2023.
• Increased attention to ESG initiatives may raise costs, harm reputation, or impact business adversely.
• Potential offering of shares up to $150.0 million through a sales agreement with Cowen and Company, LLC.
• Use of artificial intelligence presents risks, challenges, and potential reputational harm.
• Federal net operating loss carryforwards decreased from approximately $119 million to $14.3 million.
• Inflation may impact employee costs and expenses, affecting operations and profitability.
• Volatility in economic conditions could negatively affect business strategies and operations.
• Stock ownership changes from 80% to 71% could impact decision-making and control.