As discussed in the Company’s Quarterly Report on Form 10-Q for the quarter ended September 30, 2025, during the third quarter of 2025, the Company determined that its Warrant Shares, originally issued in 2024 and valued at $32.2 million as of June 30, 2025, should have been presented as a liability rather than as permanent equity. Due to the liability classification, there was also a $1.4 million mark to market adjustment that should have been recorded in Change in fair value of warrant shares liability in the condensed consolidated statements of operations for the three-month and six-month periods ended June 30, 2025. As a result, the accompanying unaudited condensed consolidated statement of changes in equity for the three-months ended June 30, 2025, have been revised to reflect this liability presentation of the Warrant Shares.

In accordance with SAB No. 99, Topic 1.M, Materiality, SAB No. 99, Topic 1.N, Considering the Effects of Misstatements when Quantifying Misstatements in the Current Year Financial Statements, and ASC 250, Accounting Changes and Error Corrections, the Company assessed the materiality of this misstatement to its previously issued consolidated financial statements. Based upon the Company’s evaluation of both quantitative and qualitative factors, the Company concluded this misstatement was immaterial to the Company’s previously issued condensed consolidated financial statements as of and for the periods ended June 30, 2025.

The following table details the impact of the misstatements and provides revisions to the impacted financial statement line items in the previously-issued condensed consolidated statements of operations for the periods presented (in thousands, except per share data):


	Three Months Ended June 30, 2025						Six Months Ended June 30, 2025
	As reported		Adjustment		As revised		As reported		Adjustment		As revised
Change in fair value of warrant shares liability	$	—	$	1,410	$	1,410	$	—	$	1,410	$	1,410
Total other expense	(1,736)		1,410		(326)		$	(5,379)	$	1,410	$	(3,969)
LOSS BEFORE INCOME TAXES AND EQUITY METHOD INVESTMENTS	(8,521)		1,410		(7,111)		(16,847)		1,410		(15,437)
LOSS BEFORE EQUITY METHOD INVESTMENTS	(8,800)		1,410		(7,390)		(17,406)		1,410		(15,996)
NET LOSS	(8,800)		1,410		(7,390)		(17,406)		$	1,410	(15,996)
NET LOSS ATTRIBUTABLE TO COMMON SHAREHOLDERS	(9,078)		1,410		(7,668)		(17,881)		$	1,410	(16,471)

Net loss per share attributable to common shareholders - basic and diluted	(0.11)		0.01		(0.10)		(0.23)		$	0.02	(0.21)


	Three Months Ended June 30, 2025
		As reported		Adjustment		As revised
Net (loss) income		(8,800)		1,410		(7,390)
Warrant shares		32,155		(32,155)		—
Balance, June 30, 2025		$	97,251	$	(30,745)	$	66,506


	Six Months Ended June 30, 2025
		As reported		Adjustment		As revised
Consolidated net loss		$	(17,406)	$	1,410	$	(15,996)
Noncash change in warrant shares		—		(1,410)		(1,410)