ProFrac Holding Corp.

Our use of artificial intelligence and other emerging technologies could expose us to operational, cybersecurity, legal and regulatory risks.

We use artificial intelligence, including generative artificial intelligence and other automated tools, in connection with various aspects of our business, including to gather information, analyze data and assist with business and operational activities. Our use of these technologies may involve confidential, proprietary, personal or other sensitive information relating to us, our customers, suppliers, employees or other third parties. These technologies may produce inaccurate, incomplete, biased or otherwise unreliable results, and information provided to or generated by them could be inadvertently disclosed, accessed by unauthorized persons, retained or used by third-party service providers in ways inconsistent with our expectations, or otherwise compromised. As our reliance on these technologies increases, errors, limitations, disruptions or failures in artificial intelligence systems, or inappropriate reliance on their outputs, could affect our ability to make timely and accurate business, operational or financial decisions.

Our use of artificial intelligence may also expose us to risks relating to cybersecurity, privacy, data protection, intellectual property, confidentiality, contractual obligations and an evolving legal and regulatory environment. We may not always identify or prevent inappropriate use by personnel or third-party service providers, and our policies, procedures and safeguards may not operate as intended or may be insufficient. Any of these circumstances could result in unauthorized disclosure of sensitive information, errors in decisions, breaches of legal or contractual obligations, litigation, regulatory investigations or enforcement actions, reputational harm or other adverse consequences that could materially adversely affect our business, results of operations or financial condition.

There have been no other material changes in the significant risk factors that may affect our business, results of operations or liquidity as described in Item 1A "Risk Factors" in our Annual Report.