The Company is operating a multi-condition healthcare business, empowering individuals to manage their chronic conditions and take steps to improve their overall health. The Company generates revenues from contracts with enterprise business market groups to provide digital therapeutics solutions for individuals to receive access to services through the Company’s commercial arrangements Business-to-Business-to-Consumer (“B2B2C”); revenues from B2B2C arrangements for the three months ended March 31, 2026 were $2,716. The Company also generates revenue directly from individuals through à la carte offering and membership plans ("Consumers"); Consumers revenues for the three months ended March 31, 2026 were $2,868. For the three months ended March 31, 2025, revenues from B2B2C arrangements were $4,737, and Consumer revenues were $2,015.

The Company recognizes contract liabilities, or deferred revenues, when it receives advance payments from customers prior to the satisfaction of the Company’s performance obligations. The balance of deferred revenues approximates the aggregate amount of the transaction price allocated to the unsatisfied performance obligations at the end of the reporting period. The Company expects to recognize approximately $501 over the next 12 months and the remainder thereafter.

The Company elected to not disclose information about remaining performance obligations for which the variable consideration is allocated to a wholly unsatisfied promise to transfer a distinct good or service that is subject to the variable consideration allocation exception.

The following table presents the significant changes in the deferred revenue balance during the three months ended March 31, 2026:


Balance, beginning of the period	$	719
New performance obligations		618
Reclassification to revenue as a result of satisfying performance obligations		(831)

Balance, end of the period	$	506

The Company defers costs incurred to fulfill contracts that: (1) relate directly to the contract; (2) are expected to generate resources that will be used to satisfy the Company’s performance obligations under the contract; and (3) are expected to be recovered through revenue generated under the contract. Contract fulfillment costs are expensed as the Company satisfies its performance obligations and recorded into cost of revenue.

Costs to fulfill a contract are recorded in other accounts receivable and prepaid expenses and long-term assets.

Costs to fulfill a contract consist of (1) deferred consumer hardware costs incurred in connection with the delivery of services that are deferred, and (2) deferred costs incurred related to future performance obligations which are capitalized.

Costs to fulfill a contract as of March 31, 2026 and December 31, 2025 consisted of the following:


	March 31,		December 31,
	2026		2025
Costs to fulfill a contract, current	$	266	$	258
Costs to fulfill a contract, noncurrent		251		176

Total costs to fulfill a contract	$	517	$	434


		Costs to
		fulfill a contract

Beginning balance as of December 31, 2025	$	434
Additions		181
Cost of revenue recognized		(98)

Ending balance as of March 31, 2026		517