16. Subsequent Events

Centers for Medicare & Medicaid Services fee schedule updates

On April 16, 2026, the U.S. Food and Drug Administration (“FDA”) issued a final order reclassifying non-invasive bone growth stimulators from Class III to Class II devices. Following that order, the Centers for Medicare & Medicaid Services (“CMS”) modified certain billing requirements and Medicare fee schedule treatment applicable to non-invasive bone growth stimulators billed under HCPCS codes E0747, E0748 and E0760 (the “Devices”) for dates of service on or after May 18, 2026.

On July 1, 2026, CMS issued revised guidance that withdrew those changes and directed that Devices furnished on or after May 18, 2026, be processed and paid consistent with the treatment in effect prior to the FDA reclassification. Based on these developments, the Company currently expects average Medicare reimbursement for these codes will return to the rates in effect prior to May 18, 2026.

Lattus Contingent Consideration Payment

On July 1, 2026, the Company made an installment payment related to the Lattus Contingent Consideration of $5.1 million. See Note 6 for further discussion of the Company’s obligations in relation to the Lattus Contingent Consideration.