In November 2023, Recursion entered into a five-year agreement (the Tempus Agreement) with Tempus AI, Inc. (Tempus) to purchase access to their records of patient-centric multimodal oncology data and use rights for therapeutic development purposes. This data will be used to improve the training of Recursion’s artificial intelligence and machine learning models and is expected to accelerate Recursion’s drug discovery process. Recursion is making annual payments, ranging between $22.0 million and $42.0 million, up to $160.0 million in aggregate, to Tempus in cash or equity at the Company’s option. The equity value is determined by using the seven-trading day period dollar volume-weighted average price (VWAP) for Recursion Class A common stock ending on the day immediately preceding the date that is five business days prior to the payment date.

Recursion is expensing the record purchases based on a contractually agreed price as “Research and Development” expenses in the Condensed Consolidated Statements of Operations as the records are downloaded. To the extent that the Recursion payments to Tempus are greater than or less than the records purchased amount, Recursion records the applicable amount to “Prepaid data assets” or “Accrued data liability” on the Condensed Consolidated Balance Sheet, respectively. Recursion did not purchase any records for the three months ended March 31, 2026. For the three months ended March 31, 2025, record purchases were $27.1 million.


	March 31,		December 31,
(in thousands)	2026		2025
Accrued compensation	$	14,566	$	31,771
Accrued compute liabilities	7,535		8,278
Accrued development expenses	4,214		2,693
Accrued early discovery expenses	7,535		4,581
Accrued professional fees	1,875		1,232

Materials received not invoiced	1,010		703
Accrued license fees	4,915		3,000
Accrued other expenses	12,555		17,972
Accrued expense and other liabilities	$	54,205	$	70,230

For the three months ended March 31, 2026 and 2025, interest income primarily related to earnings on cash and cash equivalents in money market funds. Interest expense primarily related to the Company’s supercomputer financing lease. Interest income, net was included in “Other income (loss), net” on the Condensed Consolidated Statements of Operations.