# EDGAR Filing Document

**Accession Number:** 0001159167
**File Stem:** 0001159167-25-000069
**Filing Date:** 2025-8
**Character Count:** 301577
**Document Hash:** 41d3239061fcf92e8f777d1b45b73e70
**Contains OCR:** False
**Source Format:** 

## Filing Content

## Filing Summary
**0001159167-25-000069.hdr.sgml**: 20250807

**ACCESSION NUMBER**: 0001159167-25-000069

**CONFORMED SUBMISSION TYPE**: 10-Q

**PUBLIC DOCUMENT COUNT**: 82

**CONFORMED PERIOD OF REPORT**: 20250628

**FILED AS OF DATE**: 20250807

**DATE AS OF CHANGE**: 20250807

**FILER**: 

**COMPANY DATA:**
- **COMPANY CONFORMED NAME:** IROBOT CORP
- **CENTRAL INDEX KEY:** 0001159167
- **STANDARD INDUSTRIAL CLASSIFICATION:** HOUSEHOLD APPLIANCES [3630]
- **ORGANIZATION NAME:** 04 Manufacturing
- **EIN:** 770259335
- **STATE OF INCORPORATION:** DE
- **FISCAL YEAR END:** 1228

**FILING VALUES:**
- **FORM TYPE:** 10-Q
- **SEC ACT:** 1934 Act
- **SEC FILE NUMBER:** 001-36414
- **FILM NUMBER:** 251191800

**BUSINESS ADDRESS:**
- **STREET 1:** 8 CROSBY DRIVE
- **CITY:** BEDFORD
- **STATE:** MA
- **ZIP:** 01730
- **BUSINESS PHONE:** 781-430-3000

**MAIL ADDRESS:**
- **STREET 1:** 8 CROSBY DRIVE
- **CITY:** BEDFORD
- **STATE:** MA
- **ZIP:** 01730

?xml version='1.0' encoding='ASCII'? irbt-20250628

  

**UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

**WASHINGTON, D.C. 20549**

______________________________________________

**FORM 10-Q** 

______________________________________________

☒ **QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**FOR THE QUARTERLY PERIOD ENDED June 28, 2025** 

**OR**

☐ **TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934**

**FOR THE TRANSITION PERIOD FROM &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; TO &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;**

**COMMISSION FILE NUMBER 001-36414** 

______________________________________________

**iROBOT CORPORATION** 

**(Exact name of registrant as specified in its charter)**

______________________________________________

---

| | |
|:---|:---|
| **Delaware** | **77-0259335** |
| **(State or other jurisdiction of<br>incorporation or organization)** | **(I.R.S. Employer<br>Identification No.)** |

---

**8 Crosby Drive** 

**Bedford, MA 01730** 

**(Address of principal executive offices, including zip code)**

**(781) 430-3000** 

**(Registrant's telephone number, including area code)**

Securities registered pursuant to Section 12(b) of the Act:

---

| | | |
|:---|:---|:---|
| Title of each class | Trading Symbol(s) | Name of each exchange on which registered |
| Common Stock, $0.01 par value | IRBT | The Nasdaq Stock Market LLC |

---

______________________________________________

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.&nbsp;&nbsp;&nbsp;&nbsp;Yes ⌧&nbsp;&nbsp;&nbsp;&nbsp;No □

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).&nbsp;&nbsp;&nbsp;&nbsp;Yes ⌧&nbsp;&nbsp;&nbsp;&nbsp;No □

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging growth company" in Rule 12b-2 of the Exchange Act.

    

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

------

  

---

| | | | |
|:---|:---|:---|:---|
| Large accelerated filer | ☐ | Accelerated filer | ☒ |
| Non-accelerated filer | ☐ | Smaller reporting company | ☐ |
| | | Emerging growth company | ☐ |

---

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. □&nbsp;&nbsp;&nbsp;&nbsp;

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).&nbsp;&nbsp;&nbsp;&nbsp;Yes ☐&nbsp;&nbsp;&nbsp;&nbsp;No ⌧

The number of shares outstanding of the Registrant's Common Stock as of July 25, 2025 was 31,367,897.

    

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

------

 **iROBOT CORPORATION**

**FORM 10-Q** 

**FOR THE QUARTER ENDED JUNE 28, 2025** 

**INDEX**

---

| | |
|:---|:---|
| | **Page** |
| **<u>[PART I: FINANCIAL INFORMATION](#i2d99985911464cb3bc231c81a1077c36_10)</u>** | **<u>[PART I: FINANCIAL INFORMATION](#i2d99985911464cb3bc231c81a1077c36_10)</u>** |
| <u>[Item 1. Financial Statements (unaudited)](#i2d99985911464cb3bc231c81a1077c36_13)</u> |  |
| <u>[Consolidated Balance Sheets as of](#i2d99985911464cb3bc231c81a1077c36_16)[June](#i2d99985911464cb3bc231c81a1077c36_16)[28](#i2d99985911464cb3bc231c81a1077c36_16)[, 2025 and December 28, 2024](#i2d99985911464cb3bc231c81a1077c36_16)</u> | <u>[3](#i2d99985911464cb3bc231c81a1077c36_16)</u> |
| <u>[Consolidated Statements of Operations for the three](#i2d99985911464cb3bc231c81a1077c36_19)[and six](#i2d99985911464cb3bc231c81a1077c36_19)[months ended](#i2d99985911464cb3bc231c81a1077c36_19)[J](#i2d99985911464cb3bc231c81a1077c36_19)[une 28](#i2d99985911464cb3bc231c81a1077c36_19)[, 2025 and](#i2d99985911464cb3bc231c81a1077c36_19)[June 29](#i2d99985911464cb3bc231c81a1077c36_19)[, 2024](#i2d99985911464cb3bc231c81a1077c36_19)</u> | <u>[4](#i2d99985911464cb3bc231c81a1077c36_19)</u> |
| <u>[Consolidated Statements of Comprehensive Loss for the three](#i2d99985911464cb3bc231c81a1077c36_22)[an](#i2d99985911464cb3bc231c81a1077c36_22)[d six](#i2d99985911464cb3bc231c81a1077c36_22)[months ended](#i2d99985911464cb3bc231c81a1077c36_22)[June 28](#i2d99985911464cb3bc231c81a1077c36_22)[, 2025 and](#i2d99985911464cb3bc231c81a1077c36_22)[June 29](#i2d99985911464cb3bc231c81a1077c36_22)[, 2024](#i2d99985911464cb3bc231c81a1077c36_22)</u> | <u>[5](#i2d99985911464cb3bc231c81a1077c36_22)</u> |
| <u>[Consolidated Statements of Stockholders' Equity (Deficit) for the three](#i2d99985911464cb3bc231c81a1077c36_25)[and six](#i2d99985911464cb3bc231c81a1077c36_25)[months ended](#i2d99985911464cb3bc231c81a1077c36_25)[June 28](#i2d99985911464cb3bc231c81a1077c36_25)[, 2025 and](#i2d99985911464cb3bc231c81a1077c36_25)[June 29](#i2d99985911464cb3bc231c81a1077c36_25)[, 2024](#i2d99985911464cb3bc231c81a1077c36_25)</u> | <u>[6](#i2d99985911464cb3bc231c81a1077c36_25)</u> |
| <u>[Consolidated Statements of Cash Flows for the](#i2d99985911464cb3bc231c81a1077c36_28)[six](#i2d99985911464cb3bc231c81a1077c36_28)[months ended](#i2d99985911464cb3bc231c81a1077c36_28)[June](#i2d99985911464cb3bc231c81a1077c36_28)[28](#i2d99985911464cb3bc231c81a1077c36_28)[, 2025 and](#i2d99985911464cb3bc231c81a1077c36_28)[June 29](#i2d99985911464cb3bc231c81a1077c36_28)[, 2024](#i2d99985911464cb3bc231c81a1077c36_28)</u> | <u>[8](#i2d99985911464cb3bc231c81a1077c36_28)</u> |
| <u>[Notes to Consolidated Financial Statements](#i2d99985911464cb3bc231c81a1077c36_31)</u> | <u>[9](#i2d99985911464cb3bc231c81a1077c36_31)</u> |
| <u>[Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations](#i2d99985911464cb3bc231c81a1077c36_76)</u> | <u>[24](#i2d99985911464cb3bc231c81a1077c36_76)</u> |
| <u>[Item 3. Quantitative and Qualitative Disclosures about Market Risk](#i2d99985911464cb3bc231c81a1077c36_88)</u> | <u>[36](#i2d99985911464cb3bc231c81a1077c36_88)</u> |
| <u>[Item 4. Controls and Procedures](#i2d99985911464cb3bc231c81a1077c36_91)</u> | <u>[37](#i2d99985911464cb3bc231c81a1077c36_91)</u> |
| **<u>[PART II: OTHER INFORMATION](#i2d99985911464cb3bc231c81a1077c36_94)</u>** | **<u>[PART II: OTHER INFORMATION](#i2d99985911464cb3bc231c81a1077c36_94)</u>** |
| <u>[Item 1. Legal Proceedings](#i2d99985911464cb3bc231c81a1077c36_97)</u> | <u>[37](#i2d99985911464cb3bc231c81a1077c36_97)</u> |
| <u>[Item 1A. Risk Factors](#i2d99985911464cb3bc231c81a1077c36_100)</u> | <u>[37](#i2d99985911464cb3bc231c81a1077c36_100)</u> |
| <u>[Item 5. Other Information](#i2d99985911464cb3bc231c81a1077c36_103)</u> | <u>[40](#i2d99985911464cb3bc231c81a1077c36_103)</u> |
| <u>[Item 6. Exhibits](#i2d99985911464cb3bc231c81a1077c36_109)</u> | <u>[41](#i2d99985911464cb3bc231c81a1077c36_109)</u> |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<u>[Signatures](#i2d99985911464cb3bc231c81a1077c36_112)</u> | <u>[42](#i2d99985911464cb3bc231c81a1077c36_112)</u> |

---

------

**iROBOT CORPORATION**

**CONSOLIDATED BALANCE SHEETS**

**(in thousands, except per share amounts)**

**(unaudited)**

---

| | | |
|:---|:---|:---|
| | **June 28, 2025** | **December 28, 2024** |
| **ASSETS** | **ASSETS** | **ASSETS** |
| Current assets: |  |  |
| &nbsp;&nbsp;&nbsp;Cash and cash equivalents | $40568 | $134303 |
| &nbsp;&nbsp;&nbsp;Restricted cash | 36000 | 1259 |
| &nbsp;&nbsp;&nbsp;Accounts receivable, net | 56072 | 49865 |
| &nbsp;&nbsp;&nbsp;Inventory | 88236 | 76029 |
| &nbsp;&nbsp;&nbsp;Other current assets | 23903 | 27046 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total current assets | 244779 | 288502 |
| Property and equipment, net | 10959 | 15835 |
| Operating lease right-of-use assets | 12995 | 14322 |
| Deferred tax assets | 10403 | 9817 |
| Goodwill | 182449 | 167288 |
| Intangible assets, net | 3274 | 3212 |
| Other assets | 15461 | 17161 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total assets | $480320 | $516137 |
| **LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY** | **LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY** | **LIABILITIES AND STOCKHOLDERS' (DEFICIT) EQUITY** |
| Current liabilities: |  |  |
| &nbsp;&nbsp;&nbsp;Accounts payable | $166785 | $106367 |
| &nbsp;&nbsp;&nbsp;Accrued expenses | 76859 | 100597 |
| &nbsp;&nbsp;&nbsp;Deferred revenue and customer advances | 9773 | 11280 |
| &nbsp;&nbsp;Term loan | 203186 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total current liabilities | 456603 | 218244 |
| &nbsp;&nbsp;Term loan |  | 200604 |
| &nbsp;&nbsp;&nbsp;Operating lease liabilities | 19069 | 21598 |
| &nbsp;&nbsp;&nbsp;Other long-term liabilities | 12340 | 14452 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total long-term liabilities | 31409 | 236654 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total liabilities | 488012 | 454898 |
| Commitments and contingencies (Note 12) |  |  |
| Preferred stock, 5,000 shares authorized and none outstanding |  |  |
| Common stock, $0.01 par value, 100,000 shares authorized; 31,308 and 30,629 shares issued and outstanding, respectively | 313 | 306 |
| Additional paid-in capital | 359460 | 333188 |
| Accumulated deficit | (360894) | (250813) |
| Accumulated other comprehensive loss | (6571) | (21442) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total stockholders' (deficit) equity | (7692) | 61239 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Total liabilities and stockholders' (deficit) equity | $480320 | $516137 |

---

The accompanying notes are an integral part of the consolidated financial statements.

------

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CORPORATION**

**CONSOLIDATED STATEMENTS OF OPERATIONS**

**(in thousands, except per share amounts)**

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Revenue | $127558 | $166361 | $229127 | $316375 |
| Cost of revenue: |  |  |  |  |
| Cost of product revenue | 89259 | 138895 | 168857 | 252808 |
| Restructuring and other |  |  | 1658 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Total cost of revenue | 89259 | 138895 | 170515 | 252808 |
| Gross profit | 38299 | 27466 | 58612 | 63567 |
| Operating expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Research and development | 13766 | 23230 | 28453 | 57108 |
| &nbsp;&nbsp;&nbsp;&nbsp;Selling and marketing | 39003 | 39980 | 65054 | 69696 |
| &nbsp;&nbsp;&nbsp;&nbsp;General and administrative | 21069 | 16926 | 40085 | (36785) |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other | 1032 | 8230 | 7206 | 22377 |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | 145 | 168 | 280 | 339 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 75015 | 88534 | 141078 | 112735 |
| Operating loss | (36716) | (61068) | (82466) | (49168) |
| Other income (expense), net | 13385 | (8849) | (27680) | (12034) |
| Loss before income taxes | (23331) | (69917) | (110146) | (61202) |
| Income tax (benefit) expense | (523) | 729 | (65) | 837 |
| Net loss | $(22808) | $(70646) | $(110081) | $(62039) |
| Net loss per share: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic | $(0.68) | $(2.41) | $(3.41) | $(2.16) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted | $(0.68) | $(2.41) | $(3.41) | $(2.16) |
| Number of shares used in per share calculations: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Basic | 33410 | 29309 | 32259 | 28740 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Diluted | 33410 | 29309 | 32259 | 28740 |

---

The accompanying notes are an integral part of the consolidated financial statements.

------

**iROBOT CORPORATION**

**CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS**

**(in thousands)**

**(unaudited)**

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Net loss | $(22808) | $(70646) | $(110081) | $(62039) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other comprehensive income (loss), net of tax: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net foreign currency translation adjustments | 12842 | (869) | 19532 | (8095) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net unrealized gains on cash flow hedges |  |  |  | 3213 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Net losses (gains) on cash flow hedge reclassified into earnings | 644 | (3422) | (766) | (8308) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in fair value of term loan due to instrument-specific credit risk | (6380) | 1968 | (3895) | (1121) |
| Total comprehensive loss | $(15702) | $(72969) | $(95210) | $(76350) |

---

The accompanying notes are an integral part of the consolidated financial statements.

------

**iROBOT CORPORATION**

**CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)**

**(in thousands)**

**(unaudited)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Common Stock** | **Common Stock** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Income (Loss)<br>("AOCI")** | **Total Stockholders' Deficit** |
| | **Shares** | **Value** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Income (Loss)<br>("AOCI")** | **Total Stockholders' Deficit** |
| **Balance at March 29, 2025** | 31106 | $311 | $350659 | $(338086) | $(13677) | $(793) |
| Vesting of restricted stock units | 247 | 2 | (2) |  |  |  |
| Stock-based compensation |  |  | 3763 |  |  | 3763 |
| Stock withheld to cover tax withholdings requirements upon restricted stock vesting | (45) |  | (174) |  |  | (174) |
| Issuance of warrants (Note 11) |  |  | 5214 |  |  | 5214 |
| Other comprehensive income |  |  |  |  | 7106 | 7106 |
| Net loss |  |  |  | (22808) |  | (22808) |
| **Balance at June 28, 2025** | 31308 | $313 | $359460 | $(360894) | $(6571) | $(7692) |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Common Stock** | **Common Stock** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Income (Loss) ("AOCI")** | **Total Stockholders'<br>Equity (Deficit)** |
| | **Shares** | **Value** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Income (Loss) ("AOCI")** | **Total Stockholders'<br>Equity (Deficit)** |
| **Balance at December 28, 2024** | 30629 | $306 | $333188 | $(250813) | $(21442) | $61239 |
| Vesting of restricted stock units | 736 | 7 | (7) |  |  |  |
| Stock-based compensation |  |  | 9076 |  |  | 9076 |
| Restructuring cost related to stock-based awards |  |  | 632 |  |  | 632 |
| Stock withheld to cover tax withholdings requirements upon restricted stock vesting | (57) |  | (257) |  |  | (257) |
| Issuance of warrants (Note 11) |  |  | 16828 |  |  | 16828 |
| Other comprehensive income |  |  |  |  | 14871 | 14871 |
| Net loss |  |  |  | (110081) |  | (110081) |
| **Balance at June 28, 2025** | 31308 | $313 | $359460 | $(360894) | $(6571) | $(7692) |

---

------

**iROBOT CORPORATION**

**CONSOLIDATED STATEMENTS OF STOCKHOLDERS' EQUITY (DEFICIT)**

**(in thousands)**

**(unaudited)**

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Common Stock** | **Common Stock** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Loss<br>("AOCI")** | **Total Stockholders'<br>Equity** |
| | **Shares** | **Value** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Loss<br>("AOCI")** | **Total Stockholders'<br>Equity** |
| **Balance at March 30, 2024** | 28757 | $288 | $301710 | $(96688) | $(1241) | $204069 |
| Vesting of restricted stock units | 213 | 2 | (2) |  |  |  |
| Stock-based compensation |  |  | 4510 |  |  | 4510 |
| CEO transition costs related to stock-based awards |  |  | 1229 |  |  | 1229 |
| Stock withheld to cover tax withholdings requirements upon restricted stock vesting | (7) |  | (73) |  |  | (73) |
| Issuance of common stock, net of issuance costs | 1114 | 11 | 12299 |  |  | 12310 |
| Other comprehensive loss |  |  |  |  | (2323) | (2323) |
| Net loss |  |  |  | (70646) |  | (70646) |
| **Balance at June 29, 2024** | 30077 | $301 | $319673 | $(167334) | $(3564) | $149076 |

---

---

| | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|
| | **Common Stock** | **Common Stock** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Income (Loss) ("AOCI")** | **Total Stockholders' Equity** |
| | **Shares** | **Value** | **Additional<br>Paid-In<br>Capital** | **Accumulated Deficit** | **Accumulated<br>Other<br>Comprehensive<br>Income (Loss) ("AOCI")** | **Total Stockholders' Equity** |
| **Balance at December 30, 2023** | 27964 | $280 | $290755 | $(105295) | $10747 | $196487 |
| Vesting of restricted stock units | 447 | 4 | (4) |  |  |  |
| Stock-based compensation |  |  | 12458 |  |  | 12458 |
| CEO transition costs related to stock-based awards |  |  | (998) |  |  | (998) |
| Stock withheld to cover tax withholdings requirements upon restricted stock vesting | (45) |  | (463) |  |  | (463) |
| Issuance of common stock, net of issuance costs | 1711 | 17 | 17925 |  |  | 17942 |
| Other comprehensive loss |  |  |  |  | (14311) | (14311) |
| Net loss |  |  |  | (62039) |  | (62039) |
| **Balance at June 29, 2024** | 30077 | $301 | $319673 | $(167334) | $(3564) | $149076 |

---

The accompanying notes are an integral part of the consolidated financial statements.

------

**iROBOT CORPORATION**

**CONSOLIDATED STATEMENTS OF CASH FLOWS**

**(in thousands)**

**(unaudited)**

---

| | | |
|:---|:---|:---|
| | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** |
| **Cash flows from operating activities:** | | |
| Net loss | $(110081) | $(62039) |
| &nbsp;&nbsp;&nbsp;Adjustments to reconcile net loss to net cash used in operating activities: |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Depreciation and amortization | 4385 | 11116 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Gain) loss on equity investment | (394) | 375 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 9076 | 12458 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Provision for inventory excess and obsolescence | 1015 | 11715 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Change in fair value of term loan | 2687 | 4746 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Debt issuance costs expensed under fair value option | 16828 | 477 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred income taxes, net | 292 | (1682) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other | 3112 | (3858) |
| Changes in operating assets and liabilities — (use) source |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts receivable | (3735) | 9240 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventory | (12816) | 35848 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other assets | 5700 | 26117 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accounts payable | 59428 | (63875) |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Accrued expenses and other liabilities | (32114) | (871) |
| Net cash used in operating activities | (56617) | (20233) |
| **Cash flows from investing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;Additions of property and equipment |  | (118) |
| &nbsp;&nbsp;&nbsp;Purchase of investments | (14) | (46) |
| Net cash used in investing activities | (14) | (164) |
| **Cash flows from financing activities:** |  |  |
| &nbsp;&nbsp;&nbsp;Income tax withholding payment associated with restricted stock vesting | (257) | (463) |
| &nbsp;&nbsp;&nbsp;Proceeds from issuance of common stock, net of issuance costs |  | 17942 |
| &nbsp;&nbsp;&nbsp;Repayment of term loan | (4000) | (34947) |
| &nbsp;&nbsp;&nbsp;Payment of debt issuance costs |  | (477) |
| Net cash used in financing activities | (4257) | (17945) |
| Effect of exchange rate changes on cash, cash equivalents and restricted cash | 1914 | 853 |
| Net decrease in cash, cash equivalents and restricted cash | (58974) | (37489) |
| Cash, cash equivalents and restricted cash, at beginning of period | 137951 | 187887 |
| Cash, cash equivalents and restricted cash, at end of period | $78977 | $150398 |
| Cash, cash equivalents and restricted cash, at end of period: |  |  |
| &nbsp;&nbsp;Cash and cash equivalents | $40568 | $108513 |
| &nbsp;&nbsp;Restricted cash | 36000 | 40543 |
| &nbsp;&nbsp;Restricted cash, non-current (included in other assets) | 2409 | 1342 |
| Cash, cash equivalents and restricted cash, at end of period | $78977 | $150398 |

---

The accompanying notes are an integral part of the consolidated financial statements.

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS**

**(unaudited)**

**1. Nature of the Business**

iRobot Corporation ("iRobot" or the "Company") designs, builds and sells robots and home innovations that make life better. The Company's portfolio of home robots and smart home devices features proprietary technologies for the connected home and advanced concepts in cleaning, mapping and navigation. iRobot's durable and high-performing robots are designed using the close integration of software, electronics and hardware. The Company's revenue is primarily generated from product sales through a variety of distribution channels, including chain stores and other national retailers, through the Company's own website and app, dedicated e-commerce websites, the online arms of traditional retailers and through value-added distributors and resellers worldwide.

***Termination of Merger Agreement***

As previously disclosed, on August 4, 2022, the Company entered into an Agreement and Plan of Merger (the "Original Merger Agreement") with Amazon.com, Inc., a Delaware corporation ("Parent" or "Amazon"), and Martin Merger Sub, Inc., a Delaware corporation and an indirect wholly owned subsidiary of Amazon ("Merger Sub"), providing for, among other things, the merger of Merger Sub with and into iRobot, with the Company surviving the merger as a wholly owned subsidiary of Parent (the "Merger", and, together with the other transactions contemplated by the Merger Agreement (as defined below), (the "Transactions"). On July 24, 2023, iRobot, Amazon and Merger Sub entered into an amendment to the Original Merger Agreement (the "Amendment", and the Original Merger Agreement, as amended and supplemented by the Amendment, the "Merger Agreement"). The Amendment adjusted the merger consideration to reflect the incurrence of the Term Loan (see Note 9, Debt, for additional information).

On January 28, 2024, the Company and Amazon mutually agreed to terminate the Merger Agreement and entered into a mutual termination agreement effective as of such date (the "Termination Agreement"). The termination of the Merger Agreement was approved by the Company's board of directors ("Board"). In accordance with the terms of the Termination Agreement, Amazon made a cash payment to the Company in the previously agreed amount of $94.0 million (the "Parent Termination Fee") on January 29, 2024. During the first quarter of fiscal 2024, as a result of the termination of the Merger Agreement and receipt of the Parent Termination Fee of $94.0 million from Amazon, the Company made a payment of $18.8 million for professional fees incurred in connection with the Transactions. In accordance with the terms of the Credit Agreement (as defined below), the Company applied $35.0 million to repay a portion of the Term Loan. The remaining $40.0 million of the Parent Termination Fee was set aside as restricted cash to be used for future repayments of the Term Loan subject to limited ability of the Company to utilize such amounts at the discretion of the lenders for the purchase of inventory. See Note 9, Debt, for additional information. The Parent Termination Fee received net of professional fees paid was $75.2 million and was recorded during the first quarter of fiscal 2024 as a benefit in general and administrative expenses on the consolidated statements of operations.

**2. Summary of Significant Accounting Policies**

***Basis of Presentation and Foreign Currency Translation***

The accompanying consolidated financial statements include those of iRobot and its subsidiaries, after elimination of all intercompany balances and transactions. iRobot has prepared the accompanying unaudited consolidated financial statements in conformity with accounting principles generally accepted in the United States of America ("GAAP").

In the opinion of management, all adjustments necessary to the unaudited interim consolidated financial statements have been made to state fairly the Company's financial position. Interim results are not necessarily indicative of results for the full fiscal year or any future periods. The information included in this Form 10-Q should be read in conjunction with the Company's audited consolidated financial statements and notes thereto included in its Annual Report on Form 10-K for the fiscal year ended December 28, 2024, filed with the Securities and Exchange Commission on March 12, 2025.

The Company operates and reports using a 52-53 week fiscal year ending on the Saturday closest to December 31. Accordingly, the Company's fiscal quarters end on the Saturday that falls closest to the last day of the third month of each quarter.

***Liquidity Risks and Uncertainties***

As part of its quarterly assessment completed during the fourth quarter of fiscal 2024 in its Annual Report on Form 10-K, management concluded that there was substantial doubt about the Company's ability to continue as a going concern for a period of at least 12 months from the date of issuance of the consolidated financial statements.

On March 11, 2025, the Company entered into Amendment No. 1 to the Credit Agreement ("Amendment No. 1"). Pursuant to Amendment No. 1, the lenders waived, until May 6, 2025 (the "Initial Waiver Period"), the Company's obligation to

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

comply with the Company's covenant obligations to (1) provide a report and opinion of the auditor with respect to the Company's annual consolidated financial statements for fiscal year 2024 without a qualification regarding the Company's ability to continue as a going concern (the "Going Concern Covenant") and (2) maintain a minimum level of core assets (the "Minimum Core Assets Covenant" and, together with the Going Concern Covenant, the "Specified Covenants"). On April 30, 2025, the Company entered into Amendment No. 2 to the Credit Agreement which extended the Initial Waiver Period to June 6, 2025, and on June 5, 2025, the Company entered into Amendment No. 3 to the Credit Agreement which further extended the Initial Waiver Period to August 14, 2025. On August 6, 2025, the Company entered into Amendment No. 4 to the Credit Agreement, which further extended the Initial Waiver Period to September 19, 2025.

The iRobot Board of Directors initiated and continues its formal strategic review to evaluate a broad range of strategic alternatives, including, but not limited to, exploring a potential sale or strategic transaction and refinancing the Company's debt. The Company remains actively engaged in ongoing collaborative and constructive discussions with its primary lender while the Board continues its strategic review process. There can be no assurance that the exploration of strategic alternatives will result in any agreements or transactions. Additional actions within the Company's control to maintain its liquidity and operations include optimizing its production volumes with contract manufacturers by reducing inventory supply forecast for cancellable purchase orders, further reducing discretionary spending in all areas of the business and realigning resources through ongoing attrition.

As of June 28, 2025, the fair value of the Term Loan was $203.2 million, which significantly exceeded the Company's available cash and cash equivalents and there continues to be substantial doubt about the Company's ability to continue as a going concern. Absent further waiver of the breach of the Specified Covenants by the lenders, the Company expects to be in default under the Credit Agreement on September 19, 2025 unless there is a favorable resolution from the strategic review. If the Company is in default under the Credit Agreement and the Company's lenders accelerate the repayment obligations with respect to the outstanding loans, the Company expects that it would be unable to repay its obligations under the Credit Agreement, may be forced to significantly curtail or cease operations and would likely seek bankruptcy protection. In such proceedings, it is unlikely that any proceeds would remain for distribution to stockholders and, as a result, stockholders would likely lose all of their investment in the Company. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

***Recently Issued Accounting Standards***

From time to time, new accounting pronouncements are issued by the Financial Accounting Standards Board that are adopted by the Company as of the specified effective date. Unless otherwise discussed, the Company believes that recently issued standards, which are not yet effective, will not have a material impact on the Company's consolidated financial statements upon adoption.

***Use of Estimates***

The preparation of these consolidated financial statements in conformity with GAAP requires the Company to make estimates and assumptions that affect the reported amounts of assets and liabilities and revenue and expenses. These estimates and judgments, include but are not limited to, revenue recognition, including variable consideration and other obligations such as sales incentives and product returns; impairment of goodwill and long-lived assets; valuation of non-marketable equity investments; valuation of debt; valuation of performance-based awards with market conditions; inventory excess and obsolescence; loss on purchase commitments; loss contingencies; and accounting for income taxes and related valuation allowances. The Company bases its estimates and assumptions on historical experience, market participant fair value considerations, projected future cash flows, current economic conditions, and various other factors that the Company believes are reasonable under the circumstances. Actual results and outcomes may differ from the Company's estimates and assumptions.

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

***Cash, Cash Equivalents and Restricted Cash***

The Company considers all highly liquid investments with maturity of three months or less at the time of purchase to be cash and cash equivalents. The Company invests its excess cash primarily in money market funds. Accordingly, its cash and cash equivalents are subject to minimal market risk. At June 28, 2025 and December 28, 2024, cash and cash equivalents totaled $40.6 million and $134.3 million, respectively. These cash and cash equivalents are carried at cost, which approximates fair value.

The Company's restricted cash balance totaled $38.4 million as of June 28, 2025, $36.0 million of which was set aside for future repayment of the Term Loan subject to the limited ability of the Company to utilize such amounts at the discretion of the lenders for the purchase of inventory. During the third quarter of fiscal 2024, the Company elected to draw down $40.0 million of the restricted cash which was repaid to the restricted account in March 2025. During the three months ended June 28, 2025, in connection with Amendment No. 3, the Company made a $4.0 million principal repayment to the Term Loan from the restricted cash account. On July 29, 2025, with the lenders' consent, the Company drew down an additional $10.0 million of the $36.0 million remaining in the restricted cash account. See Note 9, *Debt*, for additional information. The other $2.4 million of restricted cash is used as collateral for the Company's credit card program and to secure the outstanding letters of credit and is included in other assets on the consolidated balance sheets.

***Allowance for Credit Losses***

The Company maintains an allowance for credit losses for accounts receivable using an expected loss model that requires the use of forward-looking information to calculate credit loss estimate. The expected loss methodology is developed through consideration of factors including, but not limited to, historical collection experience, current customer credit ratings, customer concentrations, current and future economic and market conditions and age of the receivable. The Company reviews and adjusts the allowance for credit losses on a quarterly basis. Accounts receivable balances are written off against the allowance when the Company determines that the balances are not recoverable. At June 28, 2025 and December 28, 2024, the Company had an allowance for credit losses of $3.0 million.

***Inventory***

Inventory primarily consists of finished goods and, to a lesser extent, components, which are purchased from contract manufacturers. Inventory is stated at the lower of cost or net realizable value with cost being determined using the standard cost method, which approximates actual costs determined on the first-in, first-out basis. Inventory costs primarily consist of materials, inbound freight, import duties, tariffs and other handling fees. The Company writes down its inventory for estimated obsolescence or excess inventory based upon assumptions around market conditions and estimates of future demand including consideration of product life cycle status, product development plans and current sales levels. Inventory write-downs and losses on purchase commitments are recorded in cost of product revenue. Net realizable value is the estimated selling price less estimated costs of completion, disposal and transportation. Adjustments to reduce inventory to net realizable value are recognized in cost of product revenue and have not been significant for the periods presented.

***Impairment of Goodwill and Long-Lived Assets***

Goodwill is assessed for impairment at the reporting unit level annually during the fourth quarter of each fiscal year or more frequently if the Company believes indicators of impairment exist. During the three months ended June 28, 2025, the Company did not identify any triggering events. All goodwill is allocated to the Company's one reporting unit which had a negative carrying value as of June 28, 2025.

The Company periodically evaluates the recoverability of other long-lived assets whenever events and changes in circumstances indicate that the carrying amount of an asset may not be fully recoverable. There were no triggering events identified on the long-lived assets during the three months ended June 28, 2025.

***Strategic Investments***

The Company holds non-marketable equity securities as part of its strategic investments portfolio. The Company classifies the majority of these securities as equity securities without readily determinable fair values and measures these investments at cost, less any impairment, adjusted for observable price changes in orderly transactions for identical or similar investments of the same issuer. These investments are valued using significant unobservable inputs or data in an inactive market and the valuation requires the Company's judgment due to the absence of market prices and inherent lack of liquidity. The Company monitors non-marketable equity investments for impairment indicators, such as deterioration in the investee's financial condition and business forecasts and lower valuations in recent or proposed financings. The estimated fair value is based on quantitative and qualitative factors including, but not limited to, subsequent financing activities by the investee and projected discounted cash flows. The Company performs an assessment on a quarterly basis to assess whether triggering events for impairment exist and to identify any observable price changes. Changes in fair value of non-marketable equity investments are recorded in other income (expense), net on the consolidated statements of operations. At June 28, 2025 and December 28,

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

2024, the Company's equity securities without readily determinable fair values totaled $10.9 million and $11.1 million, respectively and are included in other assets on the consolidated balance sheets.

***Warrants***

The Company accounts for common stock warrants as either equity-classified or liability-classified instruments based on an assessment of the specific terms of the warrants and applicable authoritative guidance in ASC 480, "Distinguishing Liabilities from Equity," and ASC 815, "Derivatives and Hedging." Warrants classified as equity are recorded at fair value as of the date of issuance and no further adjustments to their valuation are made. Warrants classified as derivative liabilities that require separate accounting as liabilities are recorded at their fair value on the date of issuance and are revalued on each subsequent balance sheet date until such instruments are exercised or expire, with any changes in the fair value between reporting periods recorded as other income or expense. See Note 11, *Stockholders' Equity*, for additional information.

***Other Income (Expense), net***

The following table provides information about other income (expense), net (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Interest income | $793 | $2623 | $1888 | $4892 |
| Interest expense | (5099) | (5398) | (10130) | (10936) |
| Changes in fair value of Term Loan | 23278 | (5754) | (2687) | (4746) |
| Debt issuance costs (1) | (5627) | (238) | (18636) | (477) |
| Other | 40 | (82) | 1885 | (767) |
| &nbsp;&nbsp;&nbsp;&nbsp;Total other income (expense), net | $13385 | $(8849) | $(27680) | $(12034) |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)Includes the fair value of $5.2 million and $16.8 million on warrants issued during the three and six months ended June 28, 2025, respectively. See Note 11, *Stockholders' Equity*, for additional information.

***Net Loss Per Share***

Basic loss per share is calculated using the Company's weighted-average outstanding common shares. Diluted earnings per share is calculated using the Company's weighted-average outstanding common shares including the dilutive effect of stock awards as determined under the treasury stock method. Since the Company was in a loss position for all periods presented, basic net loss per share is the same as diluted net loss per share for all periods, as the inclusion of all potential common share equivalents outstanding would have been antidilutive.

The following table presents the calculation of both basic and diluted net loss per share (in thousands, except per share amounts):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Net loss | $(22808) | $(70646) | $(110081) | $(62039) |
| Weighted-average shares outstanding | 33410 | 29309 | 32259 | 28740 |
| Basic and diluted loss per share | $(0.68) | $(2.41) | $(3.41) | $(2.16) |

---

Employee stock awards and warrants together representing approximately 4.4 million and 4.1 million weighted average shares of common stock for the three months ended June 28, 2025 and June 29, 2024, respectively, and approximately 2.5 million and 3.3 million shares for the six months ended June 28, 2025 and June 29, 2024, respectively, were excluded from the computation of diluted earnings per share as their effect would have been antidilutive.

**3. Revenue Recognition**

The Company primarily derives its revenue from the sale of consumer robots and accessories. The Company sells products directly to consumers through online stores and indirectly through resellers and distributors. Revenue is recognized upon transfer of control of promised products or services to customers in an amount that reflects the consideration the Company expects to receive in exchange for those products or services. Revenue is allocated to distinct performance obligations and is recognized net of allowances for returns and other credits and incentives. Revenue is recognized only to the extent that it is probable that a significant reversal of revenue will not occur and when collection is considered probable. Taxes collected from customers, which are subsequently remitted to governmental authorities, are excluded from revenue. Shipping and handling expenses are considered fulfillment activities and are expensed as incurred.

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

Frequently, the Company's contracts with customers contain multiple promised goods or services. Such contracts may include any of the following, the consumer robot, downloadable app, cloud services, accessories on demand, potential future unspecified software upgrades and extended warranties. For these contracts, the Company accounts for the promises separately as individual performance obligations if they are distinct. Performance obligations are considered distinct if they are both capable of being distinct and distinct within the context of the contract. In determining whether performance obligations meet the criteria for being distinct, the Company considers a number of factors, such as the degree of interrelation and interdependence between obligations, and whether or not the good or service significantly modifies or transforms another good or service in the contract.

The Company allocates revenue to all distinct performance obligations based on their relative stand-alone selling prices ("SSPs"). When available, the Company uses observable prices to determine SSPs. When observable prices are not available, SSPs are established that reflect the Company's best estimates of what the selling prices of the performance obligations would be if they were sold regularly on a stand-alone basis. The Company's process for estimating SSPs without observable prices considers multiple factors that may vary depending upon the facts and circumstances related to each performance obligation including market data or the estimated cost of providing the products or services. The transaction price allocated to the robot is recognized as revenue at a point in time when control is transferred, generally as title and risk of loss pass, and when collection is considered probable. The transaction price allocated to services and support is deferred and recognized over their service periods. For contracts with a duration of greater than one year, the transaction price allocated to performance obligations that are unsatisfied as of June 28, 2025 and December 28, 2024 was $9.2 million and $12.2 million, respectively.

The Company's products generally carry a one-year or two-year limited warranty that promises customers that delivered products are as specified. The Company does not consider these assurance-type warranties as a separate performance obligation and therefore, the Company accounts for such warranties under ASC 460, "Guarantees." For contracts with the right to upgrade to a new product after a specified period of time, the Company accounts for this trade-in right as a guarantee obligation under ASC 460. The total transaction price is reduced by the full amount of the trade-in right's fair value and the remaining transaction price is allocated between the performance obligations within the contract.

The Company provides limited rights of returns for direct-to-consumer sales generated through its online stores and certain resellers and distributors. The Company records an allowance for product returns based on specific terms and conditions included in the customer agreements or based on historical experience and the Company's expectation of future returns. In addition, the Company may provide other credits or incentives which are accounted for as variable consideration when estimating the amount of revenue to recognize. Where appropriate, these estimates take into consideration relevant factors such as the Company's historical experience, current contractual requirements, specific known market events and forecasted inventory level in the channels. Overall, these reserves reflect the Company's best estimates, and the actual amounts of consideration ultimately received may differ from the Company's estimates. Returns and credits are estimated at the time of sale and updated at the end of each reporting period as additional information becomes available. As of June 28, 2025, the Company had reserves for product returns of $9.2 million and other credits and incentives of $30.3 million. As of December 28, 2024, the Company had reserves for product returns of $14.6 million and other credits and incentives of $64.3 million. The Company regularly evaluates the adequacy of its estimates for product returns and other credits and incentives. Future market conditions and product transitions may require the Company to take action to change such programs and related estimates. When the variables used to estimate these reserves change, or if actual results differ significantly from the estimates, the Company increases or reduces revenue to reflect the impact. During the three and six months ended June 28, 2025 and June 29, 2024, changes to these estimates related to performance obligations satisfied in prior periods were not material.

***Disaggregation of Revenue***

The following table provides information about disaggregated revenue by geographical region (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| United States | $56441 | $84364 | $97881 | $153260 |
| EMEA | 33253 | 39894 | 66200 | 84982 |
| Japan | 29424 | 27818 | 51373 | 55536 |
| Other | 8440 | 14285 | 13673 | 22597 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $127558 | $166361 | $229127 | $316375 |

---

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

***Contract Balances***

The following table provides information about receivables and contract liabilities from contracts with customers (in thousands):

---

| | | |
|:---|:---|:---|
| | **June 28, 2025** | **December 28, 2024** |
| Accounts receivable, net | $56072 | $49865 |
| Contract liabilities | 13708 | 16353 |

---

The Company invoices customers based upon contractual billing schedules, and accounts receivable are recorded when the right to consideration becomes unconditional. Contract liabilities include deferred revenue associated with services and extended warranty plans as well as prepayments received from customers in advance of the satisfaction of its performance obligations. During the three months ended June 28, 2025 and June 29, 2024, the Company recognized $4.8 million and $3.3 million, respectively, of the contract liability balance as revenue upon transfer of the products or services to customers. During the six months ended June 28, 2025 and June 29, 2024, the Company recognized $10.7 million and $6.1 million, respectively, of the contract liability balance as revenue upon transfer of the products or services to customers.

**4. Restructuring and Other Charges**

During the three months ended June 28, 2025 and June 29, 2024, the Company recorded restructuring and other charges of $1.0 million and $8.2 million, respectively, in the consolidated statements of operations. During the six months ended June 28, 2025 and June 29, 2024, the Company recorded restructuring and other charges of $8.9 million and $22.4 million, respectively, in the consolidated statements of operations.

The components of restructuring and other charges were as follows (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Cash restructuring charges: |  |  |  |  |
| &nbsp;&nbsp;Severance and other personnel costs | $622 | $4854 | $2711 | $16201 |
| &nbsp;&nbsp;Other restructuring costs | 421 | 279 | 4584 | 2985 |
| &nbsp;&nbsp;CEO transition costs |  | 1076 |  | 1519 |
| &nbsp;&nbsp;Total cash charges | 1043 | 6209 | 7295 | 20705 |
| Non-cash charges: |  |  |  |  |
| &nbsp;&nbsp;Asset write offs | (11) | 871 | 1569 | 2749 |
| &nbsp;&nbsp;CEO transition costs related to stock-based awards |  | 1150 |  | (1077) |
| &nbsp;&nbsp;Total non-cash charges | (11) | 2021 | 1569 | 1672 |
| Total restructuring and other charges | $1032 | $8230 | $8864 | $22377 |

---

On January 29, 2024, following the termination of the Merger Agreement, the Company announced an operational restructuring plan ("2024 Restructuring Plan") which included a reduction in headcount of approximately 440 employees. During the three months ended June 28, 2025 and June 29, 2024, the Company recorded restructuring costs of $0.6 million and $4.9 million, respectively. During the six months ended June 28, 2025 and June 29, 2024, the Company recorded restructuring costs of $2.7 million and $16.2 million, respectively. These charges consist primarily of employee termination benefits including severance, payroll taxes and other benefits. The Company does not expect any further material restructuring charges under the 2024 Restructuring Plan.

In addition, during the three months ended June 28, 2025 and June 29, 2024, the Company recorded other restructuring costs of $0.4 million and $1.2 million, respectively. During the six months ended June 28, 2025 and June 29, 2024, the Company recorded other restructuring costs of $6.2 million and $5.7 million, respectively. These charges consist of accelerated depreciation and write-offs on certain fixed assets, warehouse exit costs, write-offs on material liabilities at contract manufacturers due to discontinuation of programs, as well as other costs associated with rightsizing its global real estate footprint.

In conjunction with the termination of the Merger Agreement, Colin Angle, the Company's then-Chief Executive Officer, stepped down as an officer of the Company and from his position as chairman of the Board effective January 28, 2024. The Board appointed Glen D. Weinstein, the Company's then Executive Vice President and Chief Legal Officer, as Interim Chief

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

Executive Officer while a search was conducted for a permanent CEO. On May 6, 2024, the Company appointed Gary S. Cohen as the Company's Chief Executive Officer. Gary S. Cohen succeeded Glen D. Weinstein as the principal executive officer of the Company. Glen D. Weinstein provided transition services as a Company employee during the transition period. CEO transition costs represent costs incurred for CEO search fees and charges associated with the transition-related agreements with Colin Angle and Glen D. Weinstein which include compensation during the transition period as well as adjustments for modification of stock-based awards.

The following table presents a roll-forward of cash restructuring-related liabilities associated with the 2024 Restructuring Plan, which is included within accounts payable and accrued expenses in the consolidated balance sheets (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Severance and other personnel costs** | **Other restructuring costs** | **CEO transition costs** | **Total** |
| Balance as of December 28, 2024 | $1925 | $1457 | $338 | $3720 |
| Charges | 2711 | 4584 |  | 7295 |
| Cash payments | (3315) | (281) | (321) | (3917) |
| Balance as June 28, 2025 | $1321 | $5760 | $17 | $7098 |

---

The Company expects the majority of the people-related balance to be paid within fiscal 2025.

**5. Leases**

The Company's leasing arrangements primarily consist of operating leases for its facilities which include corporate, sales and marketing and research and development offices and equipment under various non-cancelable lease arrangements. The operating leases expire at various dates through 2030. The Company currently has two sublease agreements for space at its headquarters. In addition, as of July 22, 2025, the Company has amended the lease for its headquarters to provide the landlord with the right to take back space under certain circumstances. At June 28, 2025, the Company's weighted average discount rate was 4.39%, while the weighted average remaining lease term was 4.69 years.

The components of lease expense were as follows (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Operating lease cost | $1433 | $1203 | $2889 | $2561 |
| Variable lease cost | 658 | 862 | 1283 | 1953 |
| Sublease income | (445) | (621) | (924) | (991) |
| Right-of-use asset impairment |  | 867 |  | 867 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net lease cost | $1646 | $2311 | $3248 | $4390 |

---

Supplemental cash flow information related to leases was as follows (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Cash paid for amounts included in the measurement of lease liabilities: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Operating cash flows from operating leases | $1868 | $1534 | $3353 | $3242 |
| Right-of-use assets obtained in exchange for operating lease liabilities (non-cash) | $— | $811 | $— | $811 |
| Right-of-use asset reductions related to operating lease modifications (non-cash) | $— | $(1883) | $— | $(1883) |

---

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

Maturities of operating lease liabilities and sublease payments were as follows as of June 28, 2025 (in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | **Operating Lease Payments** | **Sublease Payments** | **Net** |
| Remainder of 2025 | $2485 | $(467) | $2018 |
| 2026 | 5896 | (1033) | 4863 |
| 2027 | 5315 | (1064) | 4251 |
| 2028 | 5474 | (1096) | 4378 |
| 2029 | 5638 | (1129) | 4509 |
| Thereafter | 1936 | (385) | 1551 |
| Total minimum lease payments | $26744 | $(5174) | $21570 |
| Less: imputed interest | 3054 |  |  |
| Present value of future minimum lease payments | $23690 |  |  |
| Less: current portion of operating lease liabilities (Note 8) | 4621 |  |  |
| Long-term lease liabilities | $19069 |  |  |

---

**6. Fair Value Measurements**

***Fair Value Measurements - Recurring Basis***

The Company's financial assets and liabilities measured at fair value on a recurring basis were as follows (in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | **Fair Value Measurements as of**<br>**June 28, 2025** | **Fair Value Measurements as of**<br>**June 28, 2025** | **Fair Value Measurements as of**<br>**June 28, 2025** |
| | **Level 1** | **Level 2** | **Level 3** |
| Assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Money market funds | $28816 | $— | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restricted cash (Note 2) | 36000 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restricted cash, non-current (Note 2) | 2409 |  |  |
| Total assets measured at fair value | $67225 | $— | $— |
| Liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Term loan (unpaid principal of $181,384) (Note 9) | $— | $— | $203186 |
| Total liabilities measured at fair value | $— | $— | $203186 |

---

---

| | | | |
|:---|:---|:---|:---|
| | **Fair Value Measurements as of** <br> **December 28, 2024** | **Fair Value Measurements as of** <br> **December 28, 2024** | **Fair Value Measurements as of** <br> **December 28, 2024** |
| | **Level 1** | **Level 2** | **Level 3** |
| Assets: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Money market funds | $59717 | $— | $— |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restricted cash, current | 1259 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Restricted cash, non-current (Note 2) | 2389 |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Derivative instruments (Note 10) |  | 438 |  |
| Total assets measured at fair value | $63365 | $438 | $— |
| Liabilities: |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Term loan (unpaid principal of $179,447) (Note 9) | $— | $— | $200604 |
| Total liabilities measured at fair value | $— | $— | $200604 |

---

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

The following table provides a summary of changes in fair value of our Level 3 instrument for the six months ended June 28, 2025 (in thousands):

---

| | |
|:---|:---|
| Balance as of December 28, 2024 | $200604 |
| Repayment | (4000) |
| Change in fair value | 6582 |
| Balance as of June 28, 2025 | $203186 |

---

As discussed further in Note 9 to the consolidated financial statements, the Company elected to recognize the Term Loan under the fair value option. The fair value of the Term Loan as of June 28, 2025 has been determined based on a discounted cash flow model, which represents Level 3 measurements. Fair value estimates using probability-weighted scenarios which include assumptions that are highly subjective and require judgements regarding significant matters, such as the amount and timing of future cash flows, expected interest rate volatility and the discount rate. The use of different assumptions could have a material effect on the fair value estimates.

**7. Goodwill and Other Intangible Assets**

The following table summarizes the activity in the carrying amount of goodwill and intangible assets for the six months ended June 28, 2025 (in thousands):

---

| | | |
|:---|:---|:---|
| | **Goodwill** | **Intangible assets** |
| Balance as of December 28, 2024 | $167288 | $3212 |
| Amortization |  | (280) |
| Effect of foreign currency translation | 15161 | 342 |
| Balance as of June 28, 2025 | $182449 | $3274 |

---

**8. Accrued Expenses**

Accrued expenses consisted of the following (in thousands):

---

| | | |
|:---|:---|:---|
| | **June 28, 2025** | **December 28, 2024** |
| Accrued manufacturing and logistics cost | $17280 | $16504 |
| Accrued returns and sales incentives | 16747 | 20949 |
| Accrued warranty | 12559 | 18233 |
| Accrued compensation and benefits | 10185 | 12322 |
| Current portion of operating lease liabilities | 4621 | 4897 |
| Accrued taxes payable | 3905 | 9641 |
| Accrued interest | 3456 | 3647 |
| Accrued restructuring and other | 2919 | 4219 |
| Accrued other | 5187 | 10185 |
|  | $76859 | $100597 |

---

**9. Debt**

***Term Loan***

On July 24, 2023, the Company entered into a Credit Agreement (the "Credit Agreement") by and among the Company, as borrower, each lender from time to time party thereto and TCG Senior Funding L.L.C., an affiliate of The Carlyle Group, as administrative agent and collateral agent, providing for a $200.0 million senior secured term loan credit facility (the "Term Loan"). Total proceeds from the Term Loan were $188.2 million, net of $11.8 million of debt issuance costs. The Term Loan had an original maturity date of July 24, 2026.

The Term Loan bears interest at a rate per annum equal to, at the Company's option, (i) a rate based on term SOFR plus a credit spread adjustment plus a 9.00% spread or (ii) a rate based on the base rate plus a rate adjustment plus an 8.00% spread. A portion of each spread equal to 2.5% is paid in kind by capitalizing such option into principal of the Term Loan. In the event of repayment, prepayment or acceleration of all or any portion of the Term Loan, the Company is required to pay to the lenders an additional amount which represents a minimum guaranteed return on the Term Loan that ranges between 1.30x and 1.75x of the principal in accordance with the provisions within the Credit Agreement. The minimum guaranteed return range is based on the date on which it is paid. As of June 28, 2025, the minimum guaranteed return rate was 1.5x, and the minimum guaranteed

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

return rate increased to 1.7x on July 23, 2025. The Credit Agreement provides for mandatory prepayments of borrowings under certain circumstances, including non-ordinary course asset sales and incurrence of other indebtedness, subject to customary exceptions.

The Credit Agreement contains customary affirmative covenants, including financial statement reporting requirements and delivery of compliance certificates. The Credit Agreement also contains customary negative covenants that limit the Company's and its subsidiaries' ability to, among other things, grant or incur liens, incur additional indebtedness, make certain restricted investments or payments, including payment of dividends on its capital stock and payments on certain permitted indebtedness, enter into certain mergers and acquisitions or engage in certain asset sales, subject in each case to certain exceptions. In addition, the Credit Agreement contains a financial covenant that the Company will not permit its consolidated core assets (comprising cash, accounts receivable and inventory), measured on the last day of each fiscal month, to be less than $250.0 million which amount is subject to increase or decrease upon certain triggers related to the payment or non-payment of any termination fees under the Merger Agreement (or fees in lieu of such termination fees) and the occurrence or non-occurrence of the Merger.

During the first quarter of fiscal 2024, as a result of the termination of the Merger Agreement and receipt of the Parent Termination Fee of $94.0 million from Amazon on January 29, 2024, $35.0 million of such Parent Termination Fee was used immediately to repay a portion of the Term Loan, and $40.0 million of the Parent Termination Fee was set aside in a restricted account to be used for future repayments of the Term Loan subject to limited ability of the Company to utilize such amounts at the discretion of the lenders for the purchase of inventory in the third quarter of fiscal 2025. The $35.0 million repayment was applied to the principal, interest and the 1.4x minimum guaranteed return, reducing the principal balance of the loan to $176.1 million. With the termination of the Merger Agreement and the $35.0 million repayment, the applicable minimum guaranteed return ranges between 1.4x and 1.7x of the principal and the consolidated core assets financial covenant is reduced to $200.0 million. To access the $40.0 million of restricted cash for inventory purchases, on the day of such election, the Company must certify to its lenders that the Company has pro forma consolidated core assets of $275.0 million and no default or event of default under the Credit Agreement. During the third quarter of fiscal 2024, the Company elected to draw down $40.0 million of the restricted cash, which was repaid to the restricted account in March 2025.

On March 11, 2025, the Company entered into Amendment No. 1 to the Credit Agreement with TCG Senior Funding L.L.C., an affiliate of The Carlyle Group, as administrative agent and collateral agent (the "Agent") and the lenders party thereto (the "Lenders"). Pursuant to Amendment No. 1, the Lenders waived, until May 6, 2025 (the "Initial Waiver Period"), the Company's covenant obligations to (1) provide a report and opinion of the auditor with respect to the Company's annual consolidated financial statements for fiscal year 2024 without a qualification regarding the Company's ability to continue as a going concern (the "Going Concern Covenant") and (2) maintain a minimum level of core assets (the "Minimum Core Assets Covenant" and, together with the Going Concern Covenant, the "Specified Covenants"). On April 30, 2025, the Company entered into Amendment No. 2 to the Credit Agreement, which extended the Initial Waiver Period to June 6, 2025. In connection with Amendment No. 1, the Company returned to a controlled account for the benefit of the Agent and the Lenders the $40.0 million that it elected to withdraw from such controlled account during the third quarter of fiscal 2024 for the purchase of inventory, and the Agent deferred payment of the related $4.0 million use fee until the end of the Initial Waiver Period. Amendment No. 1 also required the Company to provide more frequent supplemental financial reporting to the Agent. Fees payable by the Company to the Lenders in connection with Amendment No. 1 include (1) $3.6 million (representing 2.0% of the aggregate principal amount of term loans outstanding), which was paid in kind via an increase of the outstanding principal amount of the Term Loan and (2) issuing to the Lenders on the date of Amendment No. 1 warrants to purchase an aggregate of 1,840,503 shares of the Company's common stock (equal to six percent of its outstanding common stock as of March 10, 2025), with an exercise price of $0.01 per share. These warrants were accounted for at fair value of $11.6 million on the issuance date and recorded as debt issuance cost in other income (expense), net on the consolidated statement of operations.

On June 5, 2025, the Company entered into Amendment No. 3 to the Credit Agreement, which further extended the Initial Waiver Period to August 14, 2025. Fees payable by the Company to the Lenders in connection with Amendment No. 3 included (1) $4.0 million in cash held in the restricted cash account, which was entirely applied to reduce the outstanding principal amount of the Term Loan and (2) issuing to the Lenders on the date of Amendment No. 3 warrants to purchase an aggregate of 1,556,323 shares of the Company's common stock (equal to five percent of its outstanding common stock as of June 4, 2025), with an exercise price of $0.01 per share. These warrants were accounted for at fair value of $5.2 million on the issuance date and recorded as debt issuance cost in other income (expense), net on the consolidated statement of operations.

On August 6, 2025, the Company entered into Amendment No. 4 to the Credit Agreement, which further extended the Initial Waiver Period to September 19, 2025 (the "Extended Waiver Period"). No event of default will occur under the Credit Agreement as a result of failure to comply with the Specified Covenants during the Extended Waiver Period, provided that the Company is still obligated to comply with the Specified Covenants after the end of the Extended Waiver Period and if it does not, unless the Lenders further extend such waiver by the end of the Extended Waiver Period, an Event of Default will occur. See Note 2, *Liquidity Risks and Uncertainties*, for further information.

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

The Credit Agreement also contains customary events of default (subject to certain exceptions, thresholds and grace periods), such as the failure to pay obligations when due, breach of certain covenants, including the financial covenant, cross-default or cross-acceleration of certain indebtedness, bankruptcy-related defaults, judgment defaults, and the occurrence of certain change of control events involving the Company. The occurrence of an event of default may result in the termination of the Credit Agreement and acceleration of repayment obligations with respect to any outstanding loans or letters of credit under the Term Loan.

The obligations under the Term Loan are guaranteed by the Company and certain of its subsidiaries located in the United States, United Kingdom, Japan, France and Spain. In addition, the obligations under the Term Loan are secured by a first priority lien on substantially all tangible and intangible property of the Company and the guarantors and pledges of the equity of certain subsidiaries, in each case subject to certain exceptions, limitations and exclusions from the collateral.

Upon initial issuance, the Company elected to account for the Term Loan under the fair value option. The primary reason for electing the fair value option is for simplification and cost-benefit considerations of accounting for the Term Loan at fair value in its entirety versus bifurcation of the embedded features. The fair value of the Term Loan was determined using a discounted cash flow model which represents Level 3 measurements. The significant assumptions used in the discounted cash flow model include the amount and timing of future cash flows, expected interest rate volatility and the discount rate.

Under the fair value election, debt issuance costs are expensed as incurred, and the debt liability is subsequently valued at fair market value, including paid in kind interest, during each reporting period until its settlement.

The Company's outstanding debt as of June 28, 2025 was as follows (in thousands):

---

| | | |
|:---|:---|:---|
| | **Classification** | **Term Loan** |
| Term Loan at fair value at December 28, 2024 |  | $200604 |
| &nbsp;&nbsp;Repayment |  | (4000) |
| &nbsp;&nbsp;Change in fair value of term loan due to instrument-specific credit risk | Other comprehensive loss | 3895 |
| &nbsp;&nbsp;Remaining changes in fair value | Other expense | 2687 |
| Term Loan at fair value as of June 28, 2025 |  | $203186 |

---

During the three and six months ended June 28, 2025, the Company recorded $5.1 million and $10.1 million of interest expense, respectively, related to the quarterly cash interest. During the three and six months ended June 29, 2024, the Company recorded $5.4 million and $10.9 million of interest expense, respectively, related to the quarterly cash interest. These interest expenses were recorded in other income (expense), net on the consolidated statements of operations. As of June 28, 2025, $3.5 million of interest expense is unpaid and included in accrued expenses on the consolidated balance sheet. The interest expense was calculated using the rate based on term SOFR plus a credit spread adjustment plus a 9.00% spread.

**10. Derivative Instruments and Hedging Activities**

The Company operates internationally and, in the normal course of business, is exposed to fluctuations in foreign currency exchange rates. The foreign currency exposures typically arise from transactions denominated in currencies other than the functional currency of the Company's operations, primarily the British Pound, Canadian Dollar, Euro and Japanese Yen. The Company historically entered into derivative instruments that were designated as cash flow hedges to reduce its exposure to foreign currency exchange risk in sales. The Company exited its last cash flow hedges during February 2024. At June 28, 2025 and December 28, 2024, the Company had no outstanding cash flow hedges.

The Company enters into economic hedges that were not designated as hedges from an accounting standpoint to reduce foreign currency exchange risks related to short term trade receivables and payables. These contracts typically had maturities of approximately one month. Historically, the Company has used forward contracts but also may use option contracts as an alternative. At June 28, 2025 the Company had no outstanding foreign currency economic hedges. At December 28, 2024, the Company had outstanding foreign currency economic hedges with a total notional value of $28.1 million.

The fair values of derivative instruments were as follows (in thousands):

---

| | | | |
|:---|:---|:---|:---|
| | | **Fair Value** | **Fair Value** |
| |<br>**Classification** | **June 28, 2025** | **December 28, 2024** |
| **Derivatives not designated as hedging instruments:** | **Derivatives not designated as hedging instruments:** | | |
| Foreign currency forward contracts | Other current assets | $— | $438 |

---

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Losses) gains associated with derivative instruments not designated as hedging instruments were as follows (in thousands):

---

| | | | | | |
|:---|:---|:---|:---|:---|:---|
| | | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **Classification** | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| (Loss) gain recognized in income | Other income (expense), net | $(205) | $82 | $(530) | $1347 |

---

The following tables reflect the effect of derivatives designated as cash flow hedging (in thousands):

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Gain recognized in OCI on Derivative (1)** | **Gain recognized in OCI on Derivative (1)** | **Gain recognized in OCI on Derivative (1)** | **Gain recognized in OCI on Derivative (1)** |
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Foreign currency forward contracts | $— | $— | $— | $3213 |

---

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)The amount represents the change in fair value of derivative contracts due to changes in spot rates.

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **(Loss) gain recognized in earnings on cash flow hedging instruments** | **(Loss) gain recognized in earnings on cash flow hedging instruments** | **(Loss) gain recognized in earnings on cash flow hedging instruments** | **(Loss) gain recognized in earnings on cash flow hedging instruments** |
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| | **Revenue** | **Revenue** | **Revenue** | **Revenue** |
| Consolidated statements of operations in which the effects of cash flow hedging instruments are recorded | $127558 | $166361 | $229127 | $316375 |
| (Loss) gain on cash flow hedging relationships: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Foreign currency forward contracts: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Amount of (loss) gain reclassified from AOCI into earnings | $(644) | $3422 | $766 | $8308 |

---

------

**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

**11. Stockholders' Equity**

***ATM Equity Offering***

In February 2024, the Company entered into an ATM Equity Offering Sales Agreement (the "ATM Agreement") with BofA Securities, Inc. ("BofA") pursuant to which the Company may offer and sell, from time to time, at the Company's option, up to an aggregate of $100.0 million in shares of common stock through BofA, as sales agent, in an "at the market" offering. Under the ATM Agreement, shares will be offered and sold pursuant to an effective automatic shelf registration statement on Form S-3 filed with the Securities and Exchange Commission. BofA will receive a commission up to 3.00% of the aggregate gross sales proceeds of any common stock sold through BofA under the ATM Agreement.

During the first quarter of fiscal 2025, the Company suspended any sales of its common stock pursuant to the ATM Agreement unless and until the Company files a new shelf registration statement on Form S-3 with the Securities and Exchange Commission. As of December 28, 2024, the Company had sold an aggregate of 1.9 million shares under the ATM Agreement, and received proceeds of $19.3 million, net of total issuance costs of $1.1 million incurred in connection with the ATM Agreement.

***Warrants***

On March 11, 2025, in connection with Amendment No. 1 to the Credit Agreement, the Company issued warrants to the Lenders to purchase an aggregate of 1,840,503 shares of the Company's common stock (equal to six percent of the Company's outstanding common stock as of March 10, 2025), with an exercise price of $0.01 per share and an expiration date of March 11, 2035. On June 5, 2025, in connection with Amendment No. 3 to the Credit Agreement, the Company issued warrants to the Lenders to purchase an aggregate of 1,556,323 shares of common stock (equal to five percent of the Company's outstanding common stock as of June 4, 2025), with an exercise price of $0.01 per share and an expiration date of June 5, 2035.

The Company evaluated the issued warrants and concluded that they meet the criteria to be classified within stockholders' equity. These issued warrants (1) are freestanding financial instruments that are legally detachable and separately exercisable from the common stock, (2) are immediately exercisable, (3) do not embody an obligation for the Company to repurchase its shares, (4) permit the holder to receive a fixed number of shares of common stock upon exercise, (5) are indexed to the Company's common stock and (6) meet the equity classification criteria. Accordingly, the warrants in connection with Amendment No. 1 and Amendment No. 3 are accounted for at fair value of $11.6 million and $5.2 million, respectively, on the issuance dates. There are no changes in fair value recognized after their issuance dates. The warrants were valued using the Company's closing stock price on the dates of issuance which is considered a Level 1 input within the fair value hierarchy.

**12. Commitments and Contingencies**

***Legal Proceedings***

From time to time and in the ordinary course of business, the Company is subject to various claims, charges and litigation. The outcome of litigation cannot be predicted with certainty and some lawsuits, claims or proceedings may be disposed of unfavorably to us, which could materially affect our financial condition or results of operations. For the following litigation matter, a liability is not probable or the amount cannot be reasonably estimated and therefore accruals have not been made.

On March 8, 2024, purported Company shareholder Dylan Das filed a putative class action in the U.S. District Court for the District of New Jersey against the Company and certain of its officers, captioned Dylan Das v. iRobot Corporation, et al., No. 2:24-cv-02138. The parties agreed to transfer the case to the U.S. District Court for the District of Massachusetts. An amended complaint was filed on July 19, 2024. The complaint alleges violations of Sections 10(b), 14(a) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 thereunder based on allegedly false and misleading statements and omissions concerning the likelihood of regulatory approval of the Merger and its impact on the Company's financial performance. The complaint seeks, among other things, unspecified compensatory damages, including interest, in connection with the Company's allegedly inflated stock price, attorneys' fees and costs, and unspecified equitable/injunctive relief. On September 3, 2024, the Company filed a motion to dismiss with the Court. On January 27, 2025, the Court granted the Company's motion to dismiss and therefore dismissed the amended complaint with prejudice. On February 24, 2025, the plaintiff in this matter appealed the Court's dismissal to the U.S. Court of Appeals for the First Circuit, and on April 21, 2025, the plaintiff filed its opening appeal brief with the U.S. Court of Appeals for the First Circuit. On June 3, 2025, the Company filed its response brief, and on July 3, 2025, the plaintiff filed its reply brief. Oral argument is scheduled for September 8, 2025.

On June 8, 2024, purported Company shareholder Anthony Wren filed a shareholder derivative complaint in the U.S. District Court for the District of Massachusetts against the Company, certain of its current and former members of the Board, and certain of its officers, captioned Anthony Wren, derivatively on behalf of iRobot Corp. v. iRobot Corporation, et al., No. 1:24-cv-11498. The parties filed a stipulation staying this action until final resolution on the Motion to Dismiss. On May 1, 2025, the U.S. District Court for the District of Massachusetts issued an order closing the case for administrative purposes without entry of judgment, and any party may move to reopen the case after the related appellate proceedings for the Motion to Dismiss have concluded. Given the uncertainty of litigation, the preliminary stage of the shareholder derivative action and the

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**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

legal standards that must be met for, among other things, success on the merits, the Company cannot estimate the reasonably possible loss or range of loss, if any, that may result from this action.

On July 7, 2025, purported Company shareholder Vinayak Savant filed a putative class action in the U.S. District Court for the Southern District of New York against the Company and certain of its current and former officers, captioned Vinayak Savant v. iRobot Corporation, et al., No. 1:25-cv-05563. The complaint alleges violations of Sections 10(b) and 20(a) of the Securities Exchange Act of 1934, as amended, and Rule 10b-5 thereunder based on allegedly false and misleading statements and omissions concerning the Company's financial performance and ability to operate on a standalone basis following the termination of the Merger in January 2024. The complaint seeks, among other things, unspecified compensatory damages, including interest, in connection with the Company's allegedly inflated stock price, attorneys' fees and costs, and unspecified other further relief. Given the uncertainty of litigation, the preliminary stage of the case, and the legal standards that must be met for, among other things, class certification and success on the merits, the Company cannot estimate the reasonably possible loss or range of loss, if any, that may result from this action.

***Commitments to Suppliers***

The Company utilizes contract manufacturers to build its products and some of its accessories. These contract manufacturers manage the supply of components, capacity and resources to build products based on a forecasted production plan, which typically covers a rolling 12-month period. During the normal course of business, and in order to ensure adequate supply, the Company enters into purchase commitments with contract manufacturers and suppliers. In certain instances, these purchase commitments allow the Company the option to cancel, reschedule and/or adjust the supply requirements based on its business needs for a period of time before the order is due to be fulfilled. In some instances, these purchase commitments are not cancellable in the event of a change in demand or other circumstances, such as where the contract manufacturer and/or supplier has built products, semi-finished products or procured and/or ordered unique, iRobot-specific designs, and/or specific non-cancellable, non-returnable components based on the provided forecasts. If the Company cancels all or part of the orders, or materially reduces forecasted orders, in certain circumstances the Company may be liable to its contract manufacturers and/or suppliers for the cost of the excess components purchased by its contract manufacturers based on the forecasted production plan and the purchase terms of its component suppliers. The loss on purchase commitments is included in accrued manufacturing and logistics cost on the consolidated balance sheets (Note 8).

***Guarantees and Indemnification Obligations***

The Company enters into standard indemnification agreements in the ordinary course of business. Pursuant to these agreements, the Company indemnifies and agrees to reimburse the indemnified party for losses incurred by the indemnified party, generally the Company's customers, in connection with any patent, copyright, trade secret or other proprietary right infringement claim by any third party. The term of these indemnification agreements is generally perpetual any time after execution of the agreement. The maximum potential amount of future payments the Company could be required to make under these indemnification agreements is unlimited. The Company has never incurred costs to defend lawsuits or settle claims related to these indemnification agreements. As a result, the Company believes the estimated fair value of these agreements is minimal. Accordingly, the Company had no liabilities recorded for these agreements as of June 28, 2025 and December 28, 2024, respectively.

***Warranty***

The Company provides warranties on most products and has established a reserve for warranty obligations based on estimated warranty costs. The reserve is included as part of accrued expenses (Note 8) in the accompanying consolidated balance sheets.&nbsp;&nbsp;&nbsp;&nbsp;

Activity related to the warranty accrual was as follows (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Balance at beginning of period | $15774 | $21608 | $18233 | $24625 |
| Provision | 1644 | 2998 | 3590 | 6045 |
| Warranty claims | (4859) | (4841) | (9264) | (10905) |
| Balance at end of period | $12559 | $19765 | $12559 | $19765 |

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**13. Income Taxes**

The Company's interim provision for income taxes is determined using an estimate of the annual effective tax rate. The Company records any changes affecting the estimated annual effective tax rate in the interim period in which the change occurs. The Company also records the tax effects of certain discrete items, including tax effects of changes in a valuation allowance, during the interim period in which they occur.

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**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

The Company has assessed, on a jurisdictional basis, the realization of its net deferred tax assets, including the ability to carry back net operating losses, the existence of taxable temporary differences, the availability of tax planning strategies and available sources of future taxable income. The Company has concluded that a valuation allowance on its U.S. and certain foreign jurisdictions net deferred tax assets continues to be appropriate. A valuation allowance is a non-cash charge, and does not limit the Company's ability to utilize its deferred tax assets, including its ability to utilize tax loss and credit carryforward amounts, against future taxable income. The amount of the deferred tax assets considered realizable, and the associated valuation allowance, could be adjusted in a future period if estimates of future taxable income change or if objective negative evidence in the form of cumulative losses is no longer present and additional weight is given to subjective evidence such as projections for future growth.

For the three months ended June 28, 2025 and June 29, 2024, the Company recorded an income tax benefit of $0.5 million and an income tax expense of $0.7 million, respectively. The Company's effective income tax rates were 2.2% and (1.0)% for the three months ended June 28, 2025 and June 29, 2024, respectively. The Company's effective income tax rate differed from the federal statutory tax rate of 21% primarily driven by the impact of the valuation allowance against the Company's U.S. and certain foreign net deferred tax assets, and by the release of an uncertain tax position reserve.

For the six months ended June 28, 2025 and June 29, 2024, the Company recorded an income tax benefit of $0.1 million and an income tax expense of $0.8 million, respectively. The Company's effective income tax rates were 0.1% and (1.4)% for the six months ended June 28, 2025 and June 29, 2024, respectively. The Company's effective income tax rate differed from the federal statutory tax rate of 21% primarily driven by the impact of the valuation allowance against the Company's U.S. and certain foreign net deferred tax assets, and by the release of an uncertain tax position reserve.

On July 4, 2025, new U.S tax legislation was signed into law (known as the "One Big Beautiful Bill Act" or "OBBBA") which makes permanent many of the tax provisions enacted in 2017 as part of the Tax Cuts and Jobs Act that were set to expire at the end of 2025. In addition, the OBBBA makes changes to certain U.S. corporate tax provisions, but many are generally not effective until 2026. The Company is currently evaluating the impact of the new legislation but does not expect it to have a material impact on its results of operations.

**14. Industry Segment, Geographic Information and Significant Customers**

The Company's consumer robots are offered to consumers through a variety of distribution channels, including chain stores and other national retailers, through the Company's own website and app, dedicated e-commerce websites, the online arms of traditional retailers, and through value-added distributors and resellers worldwide.

The Company operates as one operating segment. The Company's chief operating decision maker ("CODM") is its chief executive officer, who reviews financial information presented on a consolidated basis to make key operating decisions and assess performance. The CODM evaluates operating performance and decides how to allocate resources based on consolidated net income (loss) that is reported on the consolidated statements of operations as well as non-GAAP gross profit and non-GAAP operating income (loss). The CODM manages business activities by considering budget-to-actual analysis and developing short-term and long-term operational plans. The CODM does not review assets in evaluating operating performance, and therefore, such information is not presented.

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**iROBOT CORPORATION**

**NOTES TO CONSOLIDATED FINANCIAL STATEMENTS - (continued)**

The following table presents selected financial information with respect to the Company's single operating segment for the three and six months ended June 28, 2025 and June 29, 2024 (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Revenue | $127558 | $166361 | $229127 | $316375 |
| Less: |  |  |  |  |
| &nbsp;&nbsp;Cost of revenue | 89259 | 138895 | 170515 | 252808 |
| &nbsp;&nbsp;Research and development | 13766 | 23230 | 28453 | 57108 |
| &nbsp;&nbsp;Working marketing | 18439 | 17718 | 26029 | 24423 |
| &nbsp;&nbsp;Other selling and marketing | 20564 | 22262 | 39025 | 45273 |
| &nbsp;&nbsp;General and administrative | 21069 | 16926 | 40085 | (36785) |
| &nbsp;&nbsp;Restructuring and other | 1032 | 8230 | 7206 | 22377 |
| &nbsp;&nbsp;Amortization of intangible assets | 145 | 168 | 280 | 339 |
| &nbsp;&nbsp;Other (income) expense, net | (13385) | 8849 | 27680 | 12034 |
| &nbsp;&nbsp;Income tax (benefit) expense | (523) | 729 | (65) | 837 |
| Net loss | $(22808) | $(70646) | $(110081) | $(62039) |

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***Geographic Information***

For the three months ended June 28, 2025 and June 29, 2024, sales to non-U.S. customers accounted for 55.8% and 49.3% of total revenue, respectively. For the six months ended June 28, 2025 and June 29, 2024, sales to non-U.S. customers accounted for 57.3% and 51.6% of total revenue, respectively.

The following table provides information about revenue by geographical region (in thousands):

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| United States | $56441 | $84364 | $97881 | $153260 |
| EMEA | 33253 | 39894 | 66200 | 84982 |
| Japan | 29424 | 27818 | 51373 | 55536 |
| Other | 8440 | 14285 | 13673 | 22597 |
| &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total revenue | $127558 | $166361 | $229127 | $316375 |

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***Significant Customers***

For the three months ended June 28, 2025 and June 29, 2024, the Company generated 24.9% and 26.9%, respectively, of total revenue from one of its retailers. For the six months ended June 28, 2025 and June 29, 2024, the Company generated 21.8% and 23.6%, respectively, of total revenue from one of its retailers.

**Item 2. Management's Discussion and Analysis of Financial Condition and Results of Operations**

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*plans, liquidity and the impact of cost-control measures and cost savings related to such activities, our ability to continue as a going concern, the strategic review process initiated by our board of directors, and implementation of our operational restructuring plan constitute forward-looking statements and are made under these safe harbor provisions. Some of the forward-looking statements can be identified by the use of forward-looking terms such as "believes," "expects," "may," "will," "should," "could," "seek," "intends," "plans," "estimates," "anticipates," or other comparable terms and negative forms of such terms. Forward-looking statements involve inherent risks and uncertainties, which could cause actual results to differ materially from those in the forward-looking statements. We urge you to consider the risks and uncertainties discussed in greater detail under the heading "Risk Factors" in this Quarterly Report on Form 10-Q, in Part II, "Item 1A. Risk Factors" in our Quarterly Report on Form 10-Q for the period ended March 29, 2025, and Part 1, "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 28, 2024 in evaluating our forward-looking statements. We have no plans to update our forward-looking statements to reflect events or circumstances after the date of this report. We caution readers not to place undue reliance upon any such forward-looking statements, which speak only as of the date made.*

**Overview**

iRobot is a leading global consumer robot company that designs and builds robots that empower people to do more. With over 30 years of artificial intelligence ("AI") and advanced robotics experience, we are focused on building thoughtful robots and developing intelligent home innovations that help make life better for millions of people around the world. iRobot's portfolio of home robots and smart home devices features proprietary technologies for the connected home and advanced concepts in cleaning, mapping and navigation. Leveraging this portfolio, we plan to add new capabilities and expand our offerings to help consumers make their homes easier to maintain, more efficient, more secure and healthier places to live.

Since our founding in 1990, we have developed the expertise necessary to design, build, sell and support durable, high-performance robots through the close integration of software, electronics and hardware. Following the introduction of the Roomba robotic vacuum cleaner in 2002, we have sold over 50 million consumer robots worldwide to become a global, market-leading consumer robotics innovator with a strong presence in a number of major geographic regions worldwide. In recent years, we have seen increased competition with new product offerings in the robotic floorcare segment and have conceded some market share. We believe our iRobot Elevate strategy introduced during fiscal 2024 will help facilitate the turnaround of our Company.

In 2024, iRobot began a journey of transformation designed to rebuild our Company both financially and strategically. We initiated, and largely completed, an operational restructuring plan designed to more closely align our cost structure with near-term revenue expectations with the goal of improved profitability. Leveraging a new asset-light model, we began to streamline our supply chain to set us up for speed and scale, while relying on our partners and contract manufacturers to provide non-core engineering functions. We launched iRobot Labs where all innovation and development of our IP will reside with the expectation of optimizing our research and development organization to focus on key innovations and critical consumer needs throughout the home and beyond. We have continued to innovate across several core technology areas including robotic vacuums, robotic mops, robotic lawn mowers, general robotic software including AI and vision-enabled technologies and mobile applications for robotic floor cleaners. We anticipate our extensive patent portfolio will enable us to accelerate the time to market, while also reducing the costs, time and other risks associated with product development. These capabilities are amplified by our proprietary robot, cloud and iRobot OS. iRobot OS provides consumers with greater control over where, when and how our robots work, simple integration with other smart home devices, thoughtful recommendations to further enhance the cleaning experience, and provide control to improve overall cleaning performance. We believe that our expertise in robot design, engineering, and smart home technologies along with our targeted focus on understanding and addressing consumer needs, positions us well to capitalize on a wider range of robotic and smart home categories over time.

In March 2025, we announced the largest new product launch in our history, which included a suite of new floor cleaning robots featuring elevated design, improved technology, advanced features and a new Roomba Home app. The Roomba 105 Vac Robot series features enhanced power-lifting suction while the Roomba 205 DustCompactor series introduces industry-leading innovation that stores debris. The Roomba Plus 405 Combo Robot + AutoWash Dock asserts intense suction, deep scrubbing and a maintenance-free dock, and Roomba Plus 505 Combo Robot + AutoWash Dock, featuring PerfectEdge technology to get deep into corners and a hands-free, multi-function dock that automatically empties debris, washes and heat-dries mop pads and self-cleans when finished. The majority of these new products were available to consumers in early April. In late April, we announced the Roomba Max 705 Vac Robot + AutoEmpty Dock. In July 2025, we introduced the Roomba Max 705 Combo Robot + AutoWash Dock which is our most advanced 2-in-1 vacuum and mop. It delivers a hands-free cleaning experience by pairing the all-new PowerSpin Roller Mop with PerfectEdge advanced mopping system with our AutoWash dock, while featuring advanced suction power and enhanced brushes. It is available for pre-sale in Europe, followed by North America and Japan later this year.

Since 2023, our revenue performance has been impacted by lower orders from retailers and distributors due in part to a decline in consumer sentiment and resultant spending. Our 2024 performance was also impacted by incremental promotional spending to stimulate sell-through during the holiday season prior to our 2025 new product launches. As expected, performance

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during the first half of fiscal 2025 also included higher promotional activity and pricing adjustments as we worked to encourage sell-through of our legacy products, as well as delayed launch on certain product. Our total revenue for the six months ended June 28, 2025 was $229.1 million, a decline of $87.2 million, or 27.6%, from revenue of $316.4 million for the six months ended June 29, 2024. Geographically, domestic revenue declined by $55.4 million, or 36.1%, and international revenue declined by $31.9 million, or 19.5%. We are leveraging our brand and recently launched products with better design and more competitive features to improve our competitiveness in multiple price segments. During the first half of fiscal 2025, revenue associated with our newly launched suite of robots generated 49% of total revenue as we transition from our legacy products to the new products with limited availability in the channels during the first quarter of fiscal 2025.

The United States has recently announced changes to U.S. trade policy, including increasing tariffs on imports, in some cases significantly, and potentially renegotiating or terminating existing trade agreements. In February 2025, the U.S. government implemented an additional 10% tariff on goods being imported from China and, in response, the Chinese government implemented a 15% tariff on certain goods being imported into China from the United States. In April 2025, the U.S. government imposed broad new tariffs, including a baseline tariff of 10% on all imports, plus additional country-specific tariffs. In July 2025, Vietnam and the United States reached a provisional understanding to reduce impending U.S. tariffs on goods imported from Vietnam to 20% (from an earlier proposed 46%), while maintaining a higher 40% tariff rate on products deemed "trans-shipped" through Vietnam from third countries. The U.S. tariff policies are continuing to evolve. We cannot predict whether, and to what extent, there may be further changes to international trade agreements, including those with China and Vietnam, or whether, or to what extent, quotas, duties, additional tariffs, export controls or other restrictions will be changed or imposed by the United States or by other countries. In anticipation of tariff uncertainty with China, we have relocated production of our U.S. bound robots outside of China, mainly to Vietnam. Our accessories are sourced from manufacturers in China. We are working to relocate the manufacture of these accessories outside of China. We estimate that the imposition of these new and additional tariffs will cause an increase in tariff costs of approximately $27.0 million during 2025. The estimated tariff impact assumes tariff rates of 20% from Vietnam and 170% from China for U.S. bound imports of robots and accessories, respectively.

**Amendments to Credit Agreement**

On March 11, 2025, we entered into Amendment No. 1 ("Amendment No. 1") to our credit agreement (the "Credit Agreement") with TCG Senior Funding L.L.C., an affiliate of The Carlyle Group, as administrative agent and collateral agent (the "Agent") and the lenders party thereto (the "Lenders"). Pursuant to Amendment No. 1, the Lenders waived, until May 6, 2025 (the "Initial Waiver Period"), our covenant obligations to (1) provide a report and opinion of our auditor with respect to our annual consolidated financial statements for fiscal year 2024 without an exception regarding our ability to continue as a going concern (the "Going Concern Covenant") and (2) maintain a minimum level of core assets (the "Minimum Core Assets Covenant" and, together with the Going Concern Covenant, the "Specified Covenants"). On April 30, 2025, we entered into Amendment No. 2 to the Credit Agreement ("Amendment No. 2"), which extended the Initial Waiver Period to June 6, 2025. The consolidated financial statements for the fiscal year ended December 28, 2024 included in our Annual Report on Form 10-K included an explanatory paragraph expressing substantial doubt about our ability to continue as a going concern; therefore, we would have been in breach of the Going Concern Covenant and the Agent would be able to exercise all applicable remedies under the Credit Agreement but for Amendment No. 1 and Amendment No. 2 described above. In connection with Amendment No. 1, we returned to a controlled account for the benefit of the Agent and the Lenders the $40.0 million that we elected to withdraw from such controlled account during the third quarter of fiscal 2024 for the purchase of inventory, and the Agent deferred payment of the related $4.0 million use fee until the end of the Initial Waiver Period. Amendment No. 1 also requires us to provide more frequent supplemental financial reporting to the Agent. Fees payable by us to the Lenders in connection with Amendment No. 1 include (1) $3.6 million (representing 2.0% of the aggregate principal amount of term loans outstanding), which will be paid in kind via an increase of the outstanding principal amount of the Term Loan and (2) issuing to the Lenders on the date of Amendment No. 1 warrants to purchase an aggregate of 1,840,503 shares of our common stock (equal to six percent of our outstanding common stock as of March 10, 2025), with an exercise price of $0.01 per share. On June 5, 2025, we entered into Amendment No. 3 to the Credit Agreement ("Amendment No. 3"), which further extended the Initial Waiver Period to August 14, 2025. On August 6, 2025, we entered into Amendment No. 4 to the Credit Agreement, which further extended the Initial Waiver Period to September 19, 2025 (the "Extended Waiver Period"). No event of default will occur under the Credit Agreement as a result of failure to comply with the Specified Covenants during the Extended Waiver Period, provided that we are still obligated to comply with the Specified Covenants after the end of the Extended Waiver Period and if we do not, unless the Lenders further extend such waiver by the end of the Extended Waiver Period, an Event of Default will occur. See Note 2, *Liquidity Risks and Uncertainties,* for further information. Fees payable by us to the Lenders in connection with Amendment No. 3 include (1) $4.0 million in cash held in the restricted cash account, which was entirely applied to reduce the outstanding principal amount of the Term Loan and (2) issuing to the Lenders on the date of Amendment No. 3 warrants to purchase an aggregate of 1,556,323 shares of our common stock (equal to five percent of our outstanding common stock as of June 4, 2025), with an exercise price of $0.01 per share.

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**Termination of Merger Agreement**

As previously disclosed, on August 4, 2022, we entered into the Original Merger Agreement with Amazon and Merger Sub providing for, among other things, the merger of Merger Sub with and into us, with us surviving the merger as a wholly owned subsidiary of Amazon. On July 24, 2023, iRobot, Amazon and Merger Sub entered into the Amendment. The Amendment adjusted the merger consideration to reflect the incurrence of the Term Loan (see Note 9 to our consolidated financial statements).

On January 28, 2024, we and Amazon mutually agreed to terminate the Merger Agreement and entered into a mutual termination agreement effective as of such date. The termination of the Merger Agreement was approved by our board of directors. In accordance with the terms of the Termination Agreement, Amazon made a cash payment to us in the previously agreed amount of $94.0 million on January 29, 2024. During the first quarter of fiscal 2024, as a result of the termination of the Merger Agreement and receipt of the Parent Termination Fee of $94.0 million from Amazon, we made a payment of $18.8 million for professional fees incurred in connection with the Transactions. In accordance with the terms of the Credit Agreement, we applied $35.0 million to repay a portion of the Term Loan. The remaining $40.0 million of the Parent Termination Fee was set aside as restricted cash to be used for future repayments of the Term Loan subject to our limited ability to utilize such amounts at the discretion of the lenders for the purchase of inventory. The Parent Termination Fee received net of professional fees paid was $75.2 million and was recorded during the first quarter of fiscal 2024 as a benefit in operating expense, which is classified in general and administrative expenses on the consolidated statements of operations.

***Key Financial Metrics and Non-GAAP Financial Measures***

In addition to the measures presented in our consolidated financial statements in accordance with GAAP, we use the following key metrics, including non-GAAP financial measures, to evaluate and analyze our core operating performance and trends, and to develop short-term and long-term operational plans. The most directly comparable financial measures to the following non-GAAP metrics calculated under U.S. GAAP are gross profit, gross margin, operating loss and operating margin. During the three months ended June 28, 2025 and June 29, 2024, we had gross profit of $38.3 million and $27.5 million, gross margin of 30.0% and 16.5%, operating loss of ($36.7) million and ($61.1) million and operating margin of (28.8)% and (36.7)%, respectively. During the six months ended June 28, 2025 and June 29, 2024, we had gross profit of $58.6 million and $63.6 million, gross margin of 25.6% and 20.1%, operating loss of ($82.5) million and ($49.2) million and operating margin of (36.0)% and (15.5)%, respectively. A summary of key metrics and certain non-GAAP measures for the three and six months ended June 28, 2025, as compared to the three and six months ended June 29, 2024, is as follows:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| | (dollars in thousands, except average gross selling prices) | (dollars in thousands, except average gross selling prices) | (dollars in thousands, except average gross selling prices) | (dollars in thousands, except average gross selling prices) |
| | (unaudited) | (unaudited) | (unaudited) | (unaudited) |
| Total Revenue | $127558 | $166361 | $229127 | $316375 |
| Non-GAAP Gross Profit | $38496 | $27736 | $60813 | $64666 |
| Non-GAAP Gross Margin | 30.2% | 16.7% | 26.5% | 20.4% |
| Non-GAAP Operating Loss | $(27008) | $(48203) | $(58528) | $(88153) |
| Non-GAAP Operating Margin | (21.2)% | (29.0)% | (25.5)% | (27.9)% |
| Total robot units shipped (in thousands) | 516 | 574 | 926 | 1030 |
| Average gross selling prices for robot units | $301 | $330 | $299 | $337 |

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Our non-GAAP financial measures reflect adjustments based on the following items. These non-GAAP financial measures should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and the financial results calculated in accordance with GAAP and reconciliations from these results, provided below, should be carefully evaluated.

*Amortization of acquired intangible assets:* Amortization of acquired intangible assets consists of amortization of intangible assets including completed technology, customer relationships, and reacquired distribution rights acquired in connection with business combinations as well as any non-cash impairment charges associated with intangible assets in connection with our past acquisitions. Amortization charges for our acquisition-related intangible assets are inconsistent in size and are significantly impacted by the timing and valuation of our acquisitions.

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*Net Merger, Acquisition and Divestiture (Income) Expense:* Net merger, acquisition and divestiture (income) expense primarily consists of professional fees associated with mergers, acquisitions and the review of strategic alternatives, including, but not limited to, exploring a potential sale or strategic transaction. During the first quarter of fiscal 2024, the adjustment included the impact of the Termination Agreement and receipt of the Parent Termination Fee.

*Stock-Based Compensation:* Stock-based compensation is a non-cash charge relating to stock-based awards.

*Restructuring and Other:* Restructuring charges are related to one-time actions associated with realigning resources, enhancing operational productivity and efficiency, or improving our cost structure in support of our strategy. Such actions are not reflective of ongoing operations and include costs primarily associated with severance and related costs, costs associated with early termination of contracts, charges related to paused work unrelated to our core business, costs associated with the Chief Executive Officer transition and other non-recurring costs directly associated with resource realignments tied to strategic initiatives or changes in business conditions.

*Gain/Loss on Strategic Investments:* Gain/loss on strategic investments includes fair value adjustments, realized gains and losses on the sales of these investments and losses on the impairment of these investments.

*Debt issuance costs:* Debt issuance costs include various incremental fees paid to third parties and warrants issued in connection with the issuance or amendment of debt.

*Income tax adjustments:* Income tax adjustments include the tax effect of the non-GAAP adjustments, calculated using the appropriate statutory tax rate for each adjustment. We regularly assess the need to record valuation allowance based on the non-GAAP profitability and other factors. We also exclude certain tax items, including the impact from stock-based compensation windfalls/shortfalls, that are not reflective of income tax expense incurred as a result of current period earnings.

We exclude these items from our non-GAAP measures to facilitate an evaluation of our current operating performance and comparisons to our past operating performance. These items may vary significantly in magnitude or timing and do not necessarily reflect anticipated future operating activities. In addition, we believe that providing these non-GAAP measures affords investors a view of our operating results that may be more easily compared with our peer companies.

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The following table reconciles gross profit, operating loss, net loss and net loss per share on a GAAP and non-GAAP basis for the three and six months ended June 28, 2025 and June 29, 2024:

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| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| | (in thousands, except per share amounts) | (in thousands, except per share amounts) | (in thousands, except per share amounts) | (in thousands, except per share amounts) |
| GAAP Gross Profit | $38299 | $27466 | $58612 | $63567 |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 197 | 270 | 543 | 1099 |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other |  |  | 1658 |  |
| Non-GAAP Gross Profit | $38496 | $27736 | $60813 | $64666 |
| GAAP Gross Margin | 30.0% | 16.5% | 25.6% | 20.1% |
| Non-GAAP Gross Margin | 30.2% | 16.7% | 26.5% | 20.4% |
| GAAP Operating Loss | $(36716) | $(61068) | $(82466) | $(49168) |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | 145 | 168 | 280 | 339 |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 3763 | 4510 | 9076 | 12458 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net merger, acquisition and divestiture expense (income) | 4768 | (43) | 5718 | (74159) |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other | 1032 | 8230 | 8864 | 22377 |
| Non-GAAP Operating Loss | $(27008) | $(48203) | $(58528) | $(88153) |
| GAAP Operating Margin | (28.8)% | (36.7)% | (36.0)% | (15.5)% |
| Non-GAAP Operating Margin | (21.2)% | (29.0)% | (25.5)% | (27.9)% |
| GAAP Net Loss | $(22808) | $(70646) | $(110081) | $(62039) |
| &nbsp;&nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | 145 | 168 | 280 | 339 |
| &nbsp;&nbsp;&nbsp;&nbsp;Stock-based compensation | 3763 | 4510 | 9076 | 12458 |
| &nbsp;&nbsp;&nbsp;&nbsp;Net merger, acquisition and divestiture expense (income) | 4768 | (43) | 5718 | (74159) |
| &nbsp;&nbsp;&nbsp;&nbsp;Restructuring and other | 1032 | 8230 | 8864 | 22377 |
| &nbsp;&nbsp;&nbsp;&nbsp;(Gain) loss on strategic investments | (394) |  | (394) | 375 |
| &nbsp;&nbsp;&nbsp;&nbsp;Debt issuance costs | 5627 | 238 | 18636 | 477 |
| &nbsp;&nbsp;&nbsp;&nbsp;Income tax effect | (1100) |  | (1017) | (409) |
| Non-GAAP Net Loss | $(8967) | $(57543) | $(68918) | $(100581) |
| GAAP Net Loss Per Diluted Share | $(0.68) | $(2.41) | $(3.41) | $(2.16) |
| &nbsp;&nbsp;&nbsp;&nbsp;Dilutive effect of non-GAAP adjustments | 0.41 | 0.45 | 1.27 | (1.34) |
| Non-GAAP Net Loss Per Diluted Share | $(0.27) | $(1.96) | $(2.14) | $(3.50) |

---

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**Critical Accounting Policies and Estimates**

Our consolidated financial statements are prepared in accordance with U.S. GAAP. The preparation of these consolidated financial statements requires us to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenue, expenses and related disclosures. Our estimates and assumptions are based on historical experience and various other factors that we believe are reasonable under the circumstances. Actual results and outcomes may differ from our estimates and assumptions.

The critical accounting policies affected most significantly by estimates and assumptions used in the preparation of our consolidated financial statements are described in Item 7 of our Annual Report on Form 10-K for the fiscal year ended December 28, 2024, filed with the Securities and Exchange Commission on March 12, 2025. On an ongoing basis, we evaluate the critical accounting policies used to prepare our consolidated financial statements.

**Overview of Results of Operations**

The following table sets forth our results of operations as a percentage of revenue:

---

| | | | | |
|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **June 28, 2025** | **June 29, 2024** |
| Revenue | 100.0% | 100.0% | 100.0% | 100.0% |
| Cost of revenue: |  |  |  |  |
| Cost of product revenue | 70.0 | 83.5 | 73.7 | 79.9 |
| Restructuring and other |  |  | 0.7 |  |
| &nbsp;&nbsp;&nbsp;&nbsp;Total cost of revenue | 70.0 | 83.5 | 74.4 | 79.9 |
| Gross profit | 30.0 | 16.5 | 25.6 | 20.1 |
| Operating expenses: |  |  |  |  |
| &nbsp;&nbsp;&nbsp;Research and development | 10.8 | 14.0 | 12.4 | 18.1 |
| &nbsp;&nbsp;&nbsp;Selling and marketing | 30.6 | 24.0 | 28.5 | 21.9 |
| &nbsp;&nbsp;&nbsp;General and administrative | 16.5 | 10.2 | 17.5 | (11.6) |
| &nbsp;&nbsp;&nbsp;Restructuring and other | 0.8 | 4.9 | 3.1 | 7.1 |
| &nbsp;&nbsp;&nbsp;Amortization of acquired intangible assets | 0.1 | 0.1 | 0.1 | 0.1 |
| &nbsp;&nbsp;&nbsp;&nbsp;Total operating expenses | 58.8 | 53.2 | 61.6 | 35.6 |
| Operating loss | (28.8) | (36.7) | (36.0) | (15.5) |
| Other income (expense), net | 10.5 | (5.3) | (12.1) | (3.8) |
| Loss before income taxes | (18.3) | (42.0) | (48.1) | (19.3) |
| Income tax (benefit) expense | (0.4) | 0.5 | (0.1) | 0.3 |
| Net loss | (17.9)% | (42.5)% | (48.0)% | (19.6)% |

---

***Comparison of Three and Six Months Ended June 28, 2025 and June 29, 2024***

*Revenue*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Revenue | $127558 | $166361 | $(38803) | (23.3)% | $229127 | $316375 | $(87248) | (27.6)% |

---

Revenue for the three months ended June 28, 2025 decreased $38.8 million to $127.6 million, or 23.3%, from $166.4 million for the three months ended June 29, 2024. The decrease was primarily attributable to a $27.9 million, or 33.1%, decline in domestic revenue and a $10.9 million, or 13.3%, decline in international revenue, which reflected a decrease of 16.6% in EMEA, partially offset by an increase of 5.8% in Japan, in each case compared to the three months ended June 29, 2024. The decrease in revenue reflected a decrease of 10.1% in total robots shipped due to competition in the market and longer than expected delays in scaling production and sales of our new products, and a 8.8% decrease in gross average selling price for the three months ended June 28, 2025, compared to the three months ended June 29, 2024.

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Revenue for the six months ended June 28, 2025 decreased $87.2 million to $229.1 million, or 27.6%, from $316.4 million for the six months ended June 29, 2024. The decrease was primarily attributable to a $55.4 million, or 36.1%, decline in domestic revenue and a $31.9 million, or 19.5%, decline in international revenue, which reflected decreases of 22.1% in EMEA and 7.5% in Japan compared to the six months ended June 29, 2024. The decrease in revenue reflected a decrease of 10.1% in total robots shipped and a 11.3% decrease in gross average selling price for the six months ended June 28, 2025, compared to the six months ended June 29, 2024. The decrease in revenue was also impacted by additional promotional activity to stimulate sell-through of our legacy products before the full launch of our 2025 product lineup.

*Cost of Product Revenue*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Cost of product revenue | $89259 | $138895 | $(49636) | (35.7)% | $168857 | $252808 | $(83951) | (33.2)% |
| As a percentage of revenue | 70.0% | 83.5% |  |  | 73.7% | 79.9% |  |  |

---

Cost of product revenue decreased to $89.3 million in the three months ended June 28, 2025, compared to $138.9 million in the three months ended June 29, 2024. The decrease was primarily driven by the 23.3% decrease in revenue, as well as adjustments recorded for obsolete or excess inventory and losses on purchase commitments during the three months ended June 29, 2024. In the second quarter of fiscal 2024, we finalized our 2025 product roadmap as part of our transition to a new contract manufacturing paradigm, evaluated our component inventory on-hand and non-cancelable purchase commitments with our contract manufacturers and suppliers, and recorded a charge totaling $18.4 million. This charge included a $10.3 million non-cash reserve for obsolete or excess component inventory and a $8.1 million charge for losses on non-cancelable purchase commitments.

Cost of product revenue decreased to $168.9 million in the six months ended June 28, 2025, compared to $252.8 million in the six months ended June 29, 2024. The decrease was primarily driven by the 27.6% decrease in revenue, as well as adjustments recorded for obsolete or excess inventory and losses on purchase commitments during the three months ended June 29, 2024. In the second quarter of fiscal 2024, we finalized our 2025 product roadmap as part of our transition to a new contract manufacturing paradigm, evaluated our component inventory on-hand and non-cancelable purchase commitments with our contract manufacturers and suppliers, and recorded a charge totaling $18.4 million. This charge included a $10.3 million non-cash reserve for obsolete or excess component inventory and a $8.1 million charge for losses on non-cancelable purchase commitments.

*Gross Profit*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Gross profit | $38299 | $27466 | $10833 | 39.4% | $58612 | $63567 | $(4955) | (7.8)% |
| Gross margin | 30.0% | 16.5% |  |  | 25.6% | 20.1% |  |  |

---

Gross margin increased to 30.0% in the three months ended June 28, 2025, compared to 16.5% in the three months ended June 29, 2024. Gross margin increased 13.5 percentage points primarily driven by the charges related to non-cash reserve for obsolete or excess component inventory and losses on non-cancellable purchase commitments recorded during the three months ended June 29, 2024 that did not recur during the three months ended June 28, 2025. The gross margin for the three months ended June 28, 2025 was also favorably impacted by sales of our new products with a better cost profile, partially offset by lower leverage on our fixed cost due to decreased revenue.

Gross margin increased to 25.6% in the six months ended June 28, 2025, compared to 20.1% in the six months ended June 29, 2024. Gross margin increased 5.5 percentage points primarily driven by the charges related to non-cash reserve for obsolete or excess component inventory and losses on non-cancellable purchase commitments recorded during the three months ended June 29, 2024 that did not recur during the three months ended June 28, 2025. The gross margin for the three months ended June 28, 2025 was also favorably impacted by sales of our new products with a better cost profile, partially offset by promotional activities to stimulate sell-through of our legacy products. Although we have taken a wide range of actions to drive gross margin improvement through a multitude of product cost optimization, manufacturing and supply chain initiatives that have been implemented over the past few quarters, our ability to deliver sustainable gross margin improvement will largely depend on our ability to drive revenue growth.

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*Research and Development*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Research and development | $13766 | $23230 | $(9464) | (40.7)% | $28453 | $57108 | $(28655) | (50.2)% |
| As a percentage of revenue | 10.8% | 14.0% |  |  | 12.4% | 18.1% |  |  |

---

Research and development expenses decreased $9.5 million, or 40.7%, to $13.8 million (10.8% of revenue) in the three months ended June 28, 2025 from $23.2 million (14.0% of revenue) in the three months ended June 29, 2024. This decrease was primarily due to decreases of $6.9 million in people-related costs and $2.5 million in program-related costs during the three months ended June 28, 2025.

Research and development expenses decreased $28.7 million, or 50.2%, to $28.5 million (12.4% of revenue) in the six months ended June 28, 2025 from $57.1 million (18.1% of revenue) in the six months ended June 29, 2024. This decrease was primarily due to decreases of $22.2 million in people-related costs and $2.0 million in stock-based compensation associated with lower headcount resulting from the 2024 operational restructuring plan, as well as a decrease of $4.4 million in program-related costs during the six months ended June 28, 2025.

*Selling and Marketing*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Selling and marketing | $39003 | $39980 | $(977) | (2.4)% | $65054 | $69696 | $(4642) | (6.7)% |
| As a percentage of revenue | 30.6% | 24.0% |  |  | 28.5% | 21.9% |  |  |

---

Selling and marketing expenses decreased $1.0 million, or 2.4%, to $39.0 million (30.6% of revenue) in the three months ended June 28, 2025 from $40.0 million (24.0% of revenue) in the three months ended June 29, 2024. This decrease was primarily attributable to a $1.1 million decrease in people-related costs associated with the lower headcount resulting from the 2024 operational restructuring plan. Selling and marketing expenses as a percentage of revenue increased during the three months ended June 28, 2025 primarily due to the investment associated with the 2025 new product launches.

Selling and marketing expenses decreased $4.6 million, or 6.7%, to $65.1 million (28.5% of revenue) in the six months ended June 28, 2025 from $69.7 million (21.9% of revenue) in the six months ended June 29, 2024. This decrease was primarily attributable to a $4.4 million decrease in people-related costs associated with the lower headcount resulting from the 2024 operational restructuring plan. Selling and marketing expenses as a percentage of revenue increased during the six months ended June 28, 2025 primarily due to the investment associated with the 2025 new product launches.

*General and Administrative*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| General and administrative | $21069 | $16926 | $4143 | 24.5% | $40085 | $(36785) | $76870 | (209.0)% |
| As a percentage of revenue | 16.5% | 10.2% |  |  | 17.5% | (11.6)% |  |  |

---

General and administrative expenses increased $4.1 million, or 24.5%, to $21.1 million (16.5% of revenue) in the three months ended June 28, 2025, from $16.9 million (10.2% of revenue) in the three months ended June 29, 2024. This increase was primarily driven by an increase of $4.8 million of legal and professional fees associated with our strategic review process.

General and administrative expenses increased $76.9 million, or 209.0%, to $40.1 million (17.5% of revenue) in the six months ended June 28, 2025, from ($36.8) million ((11.6)% of revenue) in the six months ended June 29, 2024. This increase was primarily driven by receipt of the $94.0 million Parent Termination Fee, offset by a payment of $18.8 million for professional fees incurred in connection with the Transactions during the six months ended June 29, 2024. The increase was also driven by an increase of $4.7 million of legal and professional fees associated with our strategic review process, partially offset by a decrease of $2.5 million in people-related costs associated with lower headcount.

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*Restructuring and Other*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Cost of revenue | $— | $— | $— | —% | $1658 | $— | $1658 | —% |
| Operating expense | 1032 | 8230 | (7198) | (87.5)% | 7206 | 22377 | (15171) | (67.8)% |
| Total restructuring and other | $1032 | $8230 | $(7198) | (87.5)% | $8864 | $22377 | $(13513) | (60.4)% |
| As a percentage of revenue | 0.8% | 4.9% |  |  | 3.1% | 7.1% |  |  |

---

Restructuring and other expenses decreased $7.2 million, or 87.5%, to $1.0 million in the three months ended June 28, 2025, from $8.2 million in the three months ended June 29, 2024. Restructuring and other expenses for the three months ended June 28, 2025 and June 29, 2024 relate to the 2024 operational restructuring plan which began in March 2024. During the three months ended June 28, 2025 and June 29, 2024, we recorded $0.6 million and $4.9 million, respectively, of severance-related costs as well as other restructuring costs of $0.4 million and $1.2 million, respectively, associated with exit activities. During the three months ended June 29, 2024, we also recorded $2.2 million associated with CEO transition costs.

Restructuring and other expenses decreased $13.5 million, or 60.4%, to $8.9 million in the six months ended June 28, 2025, from $22.4 million in the six months ended June 29, 2024. Restructuring and other expenses for the six months ended June 28, 2025 and June 29, 2024 relate to the 2024 operational restructuring plan which began in March 2024. During the six months ended June 28, 2025 and June 29, 2024, we recorded $2.7 million and $16.2 million, respectively, of severance-related costs as well as other restructuring costs of $6.2 million and $5.7 million, respectively, associated with exit activities. During the six months ended June 29, 2024, we also recorded $0.4 million associated with CEO transition costs.

*Amortization of Acquired Intangible Assets*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Operating expense | $145 | $168 | $(23) | (13.7)% | $280 | $339 | $(59) | (17.4)% |
| As a percentage of revenue | 0.1% | 0.1% |  |  | 0.1% | 0.1% |  |  |

---

Amortization of acquired intangible assets relates to our customer relationships.

*Other Income (Expense), Net*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Interest income | $793 | $2623 | $(1830) | (69.8)% | $1888 | $4892 | $(3004) | (61.4)% |
| Interest expense | (5099) | (5398) | 299 | (5.5)% | (10130) | (10936) | 806 | (7.4)% |
| Changes in fair value of Term Loan | 23278 | (5754) | 29032 | (504.6)% | (2687) | (4746) | 2059 | (43.4)% |
| Debt issuance costs | (5627) | (238) | (5389) | 2264.3% | (18636) | (477) | (18159) | 3806.9% |
| Other | 40 | (82) | 122 | (148.8)% | 1885 | (767) | 2652 | (345.8)% |
| Total other income (expense), net | $13385 | $(8849) | $22234 | (251.3)% | $(27680) | $(12034) | $(15646) | 130.0% |
| As a percentage of revenue | 10.5% | (5.3)% |  |  | (12.1)% | (3.8)% |  |  |

---

Other income (expense), net increased $22.2 million, or 251.3%, to $13.4 million in the three months ended June 28, 2025 from ($8.8) million in the three months ended June 29, 2024. This increase was primarily driven by the $29.0 million increase in the non-cash adjustment due to change in fair value of our Term Loan, offset by a $5.4 million increase related to the fair value of issued warrants.

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Other expense, net increased $15.6 million, or 130.0%, to $27.7 million in the six months ended June 28, 2025 from $12.0 million in the six months ended June 29, 2024. This increase was primarily driven by the $18.2 million increase related to the fair value of issued warrants.

*Income Tax (Benefit) Expense*

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| | | | | | | | | |
|:---|:---|:---|:---|:---|:---|:---|:---|:---|
| | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Three Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** | **Six Months Ended** |
| | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** | **June 28, 2025** | **June 29, 2024** | **Dollar<br>Change** | **Percent<br>Change** |
| | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** | **(Dollars in thousands)** |
| Income tax (benefit) expense | $(523) | $729 | $(1252) | (171.7)% | $(65) | $837 | $(902) | (107.8)% |
| Effective income tax rate | 2.2% | (1.0)% |  |  | 0.1% | (1.4)% |  |  |

---

We recorded income tax benefits of $0.5 million and $0.1 million for the three and six months ended June 28, 2025, respectively, and income tax expense of $0.7 million and $0.8 million for the three months ended June 29, 2024, respectively. The income tax benefit for the three and six months ended June 28, 2025 resulted in an effective income tax rate of 2.2% and 0.1%, respectively. The income tax expense for the three and six months ended June 29, 2024 resulted in an effective income tax rate of (1.0)% and (1.4)%, respectively. Our effective income tax rate differed from the federal statutory tax rate of 21% primarily driven by the impact of the valuation allowance against our U.S. and certain foreign net deferred tax assets, and by the release of an uncertain tax position reserve.

**Liquidity and Capital Resources**

At June 28, 2025, our cash and cash equivalents were $40.6 million, a decline from cash and cash equivalents of $69.9 million at March 29, 2025. At June 28, 2025, we also had $38.4 million in restricted cash, $36.0 million of which was set aside for future repayment of the Term Loan subject to our limited ability to utilize such amounts at the discretion of the Lenders for the purchase of inventory in the third quarter of fiscal 2025. On July 29, 2025, with the Lenders' consent, we drew down an additional $10.0 million of the $36.0 million remaining in the restricted cash account. The other $2.4 million is used for collateral for our credit card program and to secure outstanding letters of credit and is included in other assets on the consolidated balance sheets. Our working capital, which represents our total current assets less total current liabilities including the Term Loan, was ($211.8) million as of June 28, 2025, compared to $70.3 million as of December 28, 2024. Cash and cash equivalents held by our foreign subsidiaries totaled $10.1 million as of June 28, 2025. The undistributed earnings of our foreign subsidiaries remain permanently reinvested outside of the United States as of June 28, 2025.

We manufacture and distribute our products through contract manufacturers and third-party logistics providers. We believe this approach gives us the advantages of relatively low capital investment and significant flexibility in scheduling production and managing inventory levels. By leasing our office facilities, we also minimize the cash needed for expansion, and only invest periodically in leasehold improvements a portion of which is often reimbursed by the landlords of these facilities. Accordingly, our capital spending is generally limited to leasehold improvements, business applications software and computer and equipment. With the shift to the new contract manufacturing paradigm in 2024, we are spending significantly less on tooling and machinery than in previous periods.

Our strategy for delivering consumer products to our distributors and retail customers gives us the flexibility to provide container shipments directly from our contract manufacturers in Vietnam to our customers or, alternatively, allows our distributors and certain retail customers to take possession of product on a domestic basis. Accordingly, our inventory consists of goods shipped to our third-party logistics providers for the fulfillment of distributor, retail and direct-to-consumer sales. Our contract manufacturers are also responsible for purchasing and stocking components required for the production of our products, and they typically invoice us when the finished goods are shipped.

*Cash used in operating activities*

Net cash used in operating activities for the six months ended June 28, 2025 was $56.6 million, of which the principal components were our net loss of $110.1 million, offset by the non-cash charges of $37.0 million and cash inflow of $16.5 million from changes in working capital. The change in working capital was driven by net cash inflows of $59.4 million from accounts payable, partially offset by net cash outflows of $32.1 million from accrued expenses and other liabilities and $12.8 million from inventory. During the six months ended June 29, 2024, the net cash used in operating activities benefited from the one-time receipt of the Parent Termination Fee, net of professional fees paid of $75.2 million in first quarter of fiscal 2024, as a result of the termination of the Merger Agreement.

*Cash used in investing activities*

Net cash used in investing activities for the six months ended June 28, 2025 was $0.01 million and related to the purchase of investments.

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*Cash used in financing activities*

Net cash used in financing activities for the six months ended June 28, 2025 was $4.3 million and primarily related to the $4.0 million repayment to the Term Loan in connection with Amendment No. 3.

***Debt***

*Term Loan*

On July 24, 2023, we entered into the Credit Agreement by and among us, as borrower, each lender from time to time party thereto and TCG Senior Funding L.L.C., an affiliate of The Carlyle Group, as administrative agent and collateral agent, providing for a $200.0 million Term Loan. During fiscal 2023, we received total proceeds from the Term Loan of $188.2 million, net of $11.8 million of debt issuance costs. During the first quarter of fiscal 2024, as a result of the termination of the Merger Agreement and receipt of the Parent Termination Fee of $94.0 million from Amazon on January 29, 2024, $35.0 million of such Parent Termination Fee was used immediately to repay a portion of the Term Loan. The Term Loan matures on July 24, 2026 with additional terms more fully described in Note 9 to our consolidated financial statements.

Between March and August 2025, we entered into four amendments to our Credit Agreement pursuant to which the Lenders waived, for specified time periods, the Specified Covenants. As of the most recent amendment, effective August 6, 2025, the Lenders have waived the Specified Covenants until September 19, 2025. Additional terms of these amendments are more fully described in Note 9 to our consolidated financial statements.

***Lines of Credit***

As of June 28, 2025, we had letters of credit outstanding of $1.4 million with Bank of America, N.A. The letters of credit were collateralized with a cash deposit.

***ATM Equity Offering***

In February 2024, we entered into an ATM Equity Offering Sales Agreement (the "ATM Agreement") with BofA Securities, Inc. ("BofA") pursuant to which we may offer and sell, from time to time, at our option, up to an aggregate of $100.0 million in shares of common stock through BofA, as sales agent, in an "at the market" offering. Under the ATM Agreement, shares will be offered and sold pursuant to an effective automatic shelf registration statement on Form S-3 filed with the Securities and Exchange Commission. BofA will receive a commission up to 3.00% of the aggregate gross sales proceeds of any common stock sold through BofA under the ATM Agreement.

During the first quarter of fiscal 2025, we suspended any sales of our common stock pursuant to the ATM Agreement unless and until we file a new shelf registration statement on Form S-3 with the Securities and Exchange Commission. As of December 28, 2024, we have sold an aggregate of 1.9 million shares under the ATM Agreement, and received proceeds of $19.3 million, net of total issuance costs of $1.1 million incurred in connection with the ATM Agreement.

***Liquidity Risks and Uncertainties***

As part of our quarterly assessment completed during the fourth quarter of fiscal 2024 in our Annual Report on Form 10-K, management concluded that there was substantial doubt about our ability to continue as a going concern for a period of at least 12 months from the date of issuance of the consolidated financial statements.

On March 11, 2025, we entered into Amendment No. 1, pursuant to which the Lenders waived, during Initial Waiver Period, our obligation to comply with the Specified Covenants. On April 30, 2025, we entered into Amendment No. 2 to the Credit Agreement which extended the Initial Waiver Period to June 6, 2025, and on June 5, 2025, we entered into Amendment No. 3 to the Credit Agreement which further extended the Initial Waiver Period to August 14, 2025. On August 6, 2025, we entered into Amendment No. 4 to the Credit Agreement, which further extended the Initial Waiver Period to September 19, 2025.

Our Board of Directors initiated and continues its formal strategic review to evaluate a broad range of strategic alternatives, including, but not limited to, exploring a potential sale or strategic transaction and refinancing our debt. We remain actively engaged in ongoing collaborative and constructive discussions with our primary lender while the Board continues its strategic review process. There can be no assurance that the exploration of strategic alternatives will result in any agreements or transactions. Additional actions within our control to maintain our liquidity and operations include optimizing our production volumes with contract manufacturers by reducing inventory supply forecast for cancellable purchase orders, further reducing discretionary spending in all areas of the business and realigning resources through ongoing attrition.

As of June 28, 2025, the fair value of the Term Loan was $203.2 million, which significantly exceeded our available cash and cash equivalents and there continues to be substantial doubt about our ability to continue as a going concern. Absent further waiver of the breach of the Specified Covenants by the Lenders, we expect to be in default under the Credit Agreement on September 19, 2025 unless there is a favorable resolution from the strategic review. If we are in default under the Credit Agreement and the Lenders accelerate the repayment obligations with respect to the outstanding loans, we expect that we would

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be unable to repay our obligations under the Credit Agreement, may be forced to significantly curtail or cease operations and would likely seek bankruptcy protection. In such proceedings, it is unlikely that any proceeds would remain for distribution to stockholders and, as a result, stockholders would likely lose all of their investment in us. The consolidated financial statements do not include any adjustments that might result from the outcome of this uncertainty.

**Contractual Obligations**

The disclosure of our contractual obligations and commitments is set forth under the heading "Management's Discussion and Analysis of Financial Condition and Results of Operations - Contractual Obligations" in our Annual Report on Form 10-K for the year ended December 28, 2024. Our principal commitments generally consist of obligations under the Term Loan, leases for office space, inventory related purchase obligations, and minimum contractual obligations. Other obligations consist primarily of subscription services.

As of June 28, 2025, we had outstanding purchase orders aggregating approximately $173.1 million. The purchase orders are typically related to the purchase of inventory and marketing and media spend in the normal course of business. Included in these outstanding purchase orders is $124.5 million related to inventory purchases at our contract manufacturers, of which $51.8 million are not cancellable without penalty.

We utilize contract manufacturers to build our products and some of our accessories. These contract manufacturers manage the supply of components, capacity and resources to build products based on a forecasted production plan, which typically covers a rolling 12-month period. During the normal course of business, and in order to ensure adequate supply, we enter into purchase commitments with contract manufacturers and suppliers. In certain instances, these purchase commitments allow us the option to cancel, reschedule and/or adjust the supply requirements based on our business needs for a period of time before the order is due to be fulfilled. In some instances, these purchase commitments are not cancellable in the event of a change in demand or other circumstances, such as where the contract manufacturer and/or supplier has built products, semi-finished products or procured and/or ordered unique, iRobot-specific designs, and/or specific non-cancellable, non-returnable components based on the provided forecasts. If we cancel all or part of the orders, or materially reduce forecasted orders, in certain circumstances we may be liable to our contract manufacturers and/or suppliers for the cost of the excess components purchased by our contract manufacturers based on the forecasted production plan and the purchase terms of its component suppliers.

**Recently Adopted Accounting Pronouncements**

See Note 2 to our consolidated financial statements for a discussion of recently adopted accounting pronouncements.

**Recently Issued Accounting Pronouncements**

See Note 2 to our consolidated financial statements for a discussion of recently issued accounting pronouncements.

**Item 3. Quantitative and Qualitative Disclosure About Market Risk**

**Exchange Rate Sensitivity**

Our international revenue and expenses are denominated in multiple currencies, including British Pounds, Canadian Dollars, Chinese Renminbi, Euros and Japanese Yen. As such, we have exposure to changes in exchange rates associated with the revenue and operating expenses of our foreign operations. Any fluctuations in other currencies will have minimal direct impact on our international revenue.

In addition to international business conducted in foreign currencies, we have international revenue denominated in U.S. dollars. As the U.S. dollar strengthens or weakens against other currencies, our international distributors may be impacted, which could affect their profitability and our ability to maintain current pricing levels on our international consumer products.

We historically entered into derivative instruments that were designated as cash flow hedges to reduce our exposure to foreign currency exchange risk in sales. These contracts had a maturity of three years or less. We do not currently use foreign exchange contracts or derivatives that are designated as cash flow hedges to hedge any foreign currency exposures for accounting purposes.

We enter into economic hedges that are not designated as hedges from an accounting standpoint to reduce or eliminate the effects of foreign exchange rate changes typically related to short term trade receivables and payables. These contracts have maturities of approximately one month. At June 28, 2025 we had no outstanding economic hedges. At December 28, 2024, we had outstanding economic hedges with a total notional value of $28.1 million.

Based on transactions denominated in currencies other than the U.S. dollar as of June 28, 2025, a hypothetical change of 10% would have resulted in an impact on revenue of approximately $6 million and $10 million for the three and six months ended June 28, 2025, respectively.

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**Item 4. Controls and Procedures**

Our management, with the participation of our Chief Executive Officer and Chief Financial Officer, evaluated the effectiveness of our disclosure controls and procedures (as defined in Rule 13a-15(e) of the Exchange Act) as of the end of the period covered by this report. Based on that evaluation, our Chief Executive Officer and Chief Financial Officer concluded that our disclosure controls and procedures as of the end of the period covered by this report were effective at a reasonable assurance level in ensuring that information required to be disclosed by us in reports that we file or submit under the Exchange Act (i) is recorded, processed, summarized and reported within the time periods specified in the Securities and Exchange Commission's rules and forms; and (ii) accumulated and communicated to management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely discussions regarding required disclosure. We believe that a control system, no matter how well designed and operated, cannot provide absolute assurance that the objectives of the control system are met, and no evaluation of controls can provide absolute assurance that all control issues and instances of fraud, if any, within a company have been detected.

There was no change in our internal control over financial reporting (as defined in Rule 13a-15(f) of the Exchange Act) that occurred during the period covered by this report that has materially affected, or is reasonably likely to materially affect, our internal control over financial reporting.

**Part II. Other Information**

**Item 1. Legal Proceedings**

From time to time and in the ordinary course of business, we are subject to various claims, charges and litigation. The outcome of litigation cannot be predicted with certainty and some lawsuits, claims or proceedings may be disposed of unfavorably to us, which could materially affect our financial condition or results of operations. See <u>[Note 12](#i2d99985911464cb3bc231c81a1077c36_67)</u> to our consolidated financial statements for a description of certain of our legal proceedings.

**Item 1A. Risk Factors**

We operate in a rapidly changing environment that involves a number of risks that have materially affected and could in the future materially affect our business, financial condition or future results, some of which are beyond our control. In addition to the other information set forth in this report, the risks and uncertainties that we believe are most important for you to consider are discussed in Part I, "Item 1A. Risk Factors" in our Annual Report on Form 10-K for the year ended December 28, 2024, and in our Quarterly Report on Form 10-Q for the period ended March 29, 2025, which could materially affect our business, financial condition or future results. Additional risks and uncertainties not presently known to us, which we currently deem immaterial or which are similar to those faced by other companies in our industry or business in general, may also impair our business operations. There are no material changes to the Risk Factors described in our Annual Report on Form 10-K for the year ended December 28, 2024, other than as set forth below:

***We cannot assure you that our ongoing review of strategic alternatives will result in any transaction being consummated, and speculation and uncertainty regarding the outcome of this review may adversely impact our business.***

On March 12, 2025, we announced that our board of directors is conducting a review of strategic alternatives, including, but not limited to, exploring a potential sale or strategic transaction and refinancing our debt. This review process is ongoing, and there can be no assurance that it will result in any transaction or outcome. Whether the process will result in any transactions, our ability to complete any such transaction, and if our board of directors decides to pursue one or more transactions, will depend on numerous factors, some of which are beyond our control. Such factors include the interest of potential acquirers or strategic partners in a potential transaction, the value potential acquirers or strategic partners attribute to our business, regulatory approvals, market conditions, and industry trends. Potential strategic transactions that require stockholder approval may not be approved by our stockholders or, if required, a counterparty's stockholders. Furthermore, any strategic transaction into which we enter may be delayed or may ultimately not be consummated as a result of regulatory reviews (which may include domestic and foreign antitrust, CFIUS or other regulatory agency reviews) and determinations or other factors.

The price of our common stock decreased significantly following our public announcement of our 2024 financial results and the initiation of our review of strategic alternatives and may be further adversely affected if the strategic review process does not result in transactions or if one or more transactions are consummated on terms that investors view as unfavorable to us. Even if one or more transactions are completed, there can be no assurance that any such transactions will be successful or have a positive effect on stockholder value. Our board of directors may also determine that no transaction is in the best interest of our stockholders. Our financial results and operations could be adversely affected by the strategic process and by the uncertainty regarding its outcome.

The attention of management and our board of directors could be diverted from our core business operations as a result of this strategic review process. We have diverted capital and other resources to the process that otherwise could have been used in

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our business operations, and we expect to continue to do so until the process is completed. We could incur substantial expenses associated with identifying and evaluating potential strategic alternatives, including those related to employee retention payments, equity compensation, severance pay and legal, accounting and financial advisor fees. A considerable portion of these expenses may be incurred regardless of whether a transaction is completed. In addition, the process could lead us to lose or fail to attract, retain and motivate key employees, and to lose or fail to attract customers or business partners. Furthermore, it could expose us to litigation. The public announcement of a strategic alternative may also yield a negative impact on operating results if prospective or existing customers, vendors or partners are reluctant to commit to new or renewed contracts.

We do not intend to disclose developments or provide updates on the progress or status of the strategic process until our board of directors deems further disclosure is appropriate or necessary. Accordingly, speculation regarding any developments related to the review of strategic alternatives and perceived uncertainties related to the future of our company could cause the price of our common stock to fluctuate significantly. If we are unable to mitigate these or other potential risks related to the uncertainty caused by our evaluation of strategic alternatives, it could disrupt our business and adversely impact operating results and financial condition.

***The waiver of events of default under our senior secured term loan credit facility is time-limited; if this waiver is not extended at the end of the applicable period, we will be in default. Our senior secured term loan credit facility provides our lenders with a first-priority lien against substantially all of our assets, and contains financial covenants and other restrictions on our actions that may limit our operational flexibility or otherwise adversely affect our results of operations.***

On March 11, 2025, we entered into Amendment No. 1 to our credit agreement (the "Credit Agreement" with TCG Senior Funding L.L.C., an affiliate of The Carlyle Group, as administrative agent and collateral agent (the "Agent") and the lenders party thereto (the "Lenders"). Pursuant to Amendment No. 1, the Lenders waived, until May 6, 2025 (the "Initial Waiver Period"), our covenant obligations to (1) provide a report and opinion of our auditor with respect to our annual consolidated financial statements for fiscal year 2024 without an exception regarding our ability to continue as a going concern (the "Going Concern Covenant") and (2) maintain a minimum level of core assets (the "Minimum Core Assets Covenant" and, together with the Going Concern Covenant, the "Specified Covenants"). On April 30, 2025, we entered into Amendment No. 2 to the Credit Agreement, which extended the Initial Waiver Period to June 6, 2025, and on June 5, 2025, we entered into Amendment No. 3 to the Credit Agreement, which further extended the Initial Waiver Period to August 14, 2025. On August 6. 2025, we entered into Amendment No. 4 to the Credit Agreement, which further extended the Initial Waiver Period to September 19, 2025 (the "Extended Waiver Period"). No event of default will occur under the Credit Agreement as a result of failure to comply with the Specified Covenants during the Extended Waiver Period; however, we are still obligated to comply with the Specified Covenants after the end of the Extended Waiver Period and if we do not, unless the Lenders further extend such waiver by the end of the Extended Waiver Period, an event of default will occur.

The auditor report on our consolidated financial statements for the fiscal year ended December 28, 2024 includes an explanatory paragraph expressing substantial doubt about our ability to continue as a going concern; therefore, we would be in breach of the Going Concern Covenant and the Agent would be able to exercise all applicable remedies under the Credit Agreement but for the waiver of breach during the Extended Waiver Period as described above. The earliest we would be able to regain compliance with the Going Concern Covenant is upon the filing of our Annual Report on Form 10-K for the year ending January 3, 2026, which we do not anticipate will be filed until March 2026. As a result, we are dependent on continued waivers from the Lenders to avoid an event of default related to the Going Concern Covenant, which waivers are in the Lenders' sole discretion. We cannot assure you that the Lenders will provide any additional waiver of compliance with the Specified Covenants by the end of the Extended Waiver Period.

Any failure by us to comply with the covenants or payment requirements specified in the Credit Agreement (including the Specified Covenants after the Extended Waiver Period) would, result in an event of default under the Credit Agreement, which may result in the termination of the Credit Agreement and acceleration of repayment obligations with respect to any outstanding loans. In addition, the Lenders would have the right to proceed against the collateral in which we granted a security interest to them, which consists of substantially all our assets. As of June 28, 2025, the fair value of the Term Loan was $203.2 million and our cash and cash equivalents totaled $40.6 million. If we are in default under the Credit Agreement and the Lenders accelerate the repayment obligations with respect to the outstanding loans, we expect that we would be unable to repay our obligations under the Credit Agreement, may be forced to significantly curtail or cease operations and would likely seek bankruptcy protection. In such proceedings, it is unlikely that any proceeds would remain for distribution to stockholders and, as a result, stockholders would likely lose all of their investment in our company.

The Credit Agreement contains customary negative covenants that limit our and our subsidiaries' ability to, among other things, grant or incur liens, incur additional indebtedness, make certain restricted investments or payments, including payment of dividends on our capital stock and payments on certain permitted indebtedness, enter into certain mergers and acquisitions or engage in certain asset sales, subject in each case to certain exceptions. The Credit Agreement also includes certain restrictions on the use of a portion of the termination payment received by us from Amazon in early 2024, which the remaining amount thereof (after giving effect to certain periods for such amounts to be used for inventory in limited circumstances and upon

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satisfying certain conditions) will ultimately be required to be used to prepay a portion of the loan under the Credit Agreement. The terms of our outstanding debt may restrict our current and future operations and could adversely affect our ability to finance our future operations or capital needs or to execute business strategies in the manner desired. In addition, complying with the covenants may make it more difficult for us to successfully execute our business strategy, invest in our growth strategy, and compete against companies who are not subject to such restrictions.

***Significant developments in U.S. trade policies have had, and we expect will continue to have, a material adverse effect on our business, financial condition and results of operations.***

There is significant uncertainty about the future of trade relationships around the world, including potential changes to trade laws and regulations, trade policies, and tariffs. The United States has recently announced changes to U.S. trade policy, including increasing tariffs on imports, in some cases significantly, and potentially renegotiating or terminating existing trade agreements. For example, in February 2025, the U.S. government implemented an additional 10% tariff on goods being imported from China and, in response, the Chinese government implemented a 15% tariff on certain goods being imported into China from the United States. In April 2025, the U.S. government imposed broad new tariffs, including a baseline tariff of 10% on all imports, plus additional country-specific tariffs. In July 2025, Vietnam and the United States reached a provisional understanding to reduce impending U.S. tariffs on goods imported from Vietnam to 20% (from an earlier proposed 46%), while maintaining a higher 40% tariff rate on products deemed "trans-shipped" through Vietnam from third countries. We cannot predict whether, and to what extent, there may be further changes to international trade agreements, including those with China and Vietnam, or whether, or to what extent, quotas, duties, additional tariffs, export controls or other restrictions will be changed or imposed by the United States or by other countries. The imposition of these new or additional tariffs or other trade barriers may significantly raise the cost of our products. In such a case, there can be no assurance that we will be able to shift manufacturing and supply agreements to non-impacted countries, including the United States, to reduce the effects of the tariffs. As a result, we may suffer margin erosion or be required to raise our prices, which may make our products less competitive in certain markets where our competitors are unconstrained by such tariffs, and may result in the loss of customers, negatively impact our results of operations, or otherwise harm our business. We cannot predict future trade policy and regulations in the United States and other countries, the terms of any renegotiated trade agreements or treaties, or tariffs and their impact on our business. We continue to monitor the impact of these tariffs, as well as potential retaliatory tariffs imposed by other countries. These tariffs could have a material adverse impact on the global consumer products industry, supply chains worldwide, and other political and macroeconomic conditions. A trade war could have a significant adverse effect on world trade and the world economy. Uncertainty surrounding international trade policy and regulations as well as disputes and protectionist measures could also have an adverse effect on consumer confidence and spending.

Changes or proposed changes in U.S. or other countries' trade policies may result in restrictions and economic disincentives on international trade. Tariffs, economic sanctions and other changes in U.S. trade policy have in the past and could in the future trigger retaliatory actions by affected countries, and certain foreign governments have instituted or are considering imposing retaliatory measures on certain U.S. goods. These tariffs, and other governmental action relating to international trade agreements or policies, may directly or indirectly adversely impact demand for our products, our costs, customers, suppliers, distributors, resellers and/or the U.S. economy or certain sectors thereof and, as a result, may adversely impact our business, financial condition and results of operations. It remains unclear what the U.S. or foreign governments will or will not do with respect to tariffs, international trade agreements and policies on a short-term or long-term basis. We cannot predict future trade policy, whether exclusions will be continued or reinstated, or the terms of any new trade agreements or their impacts on our business. Further, any emerging protectionist or nationalist trends (whether regulatory- or consumer-driven) either in the United States or in other countries could affect the trade environment. The new tariff increases on imports to the United States, including from China and Vietnam, should they be sustained for an extended period of time, would have a significant adverse effect on our supply chain and financial and operating results. The adoption and expansion of trade restrictions, the occurrence of a trade war, or other governmental action related to tariffs or trade agreements or policies has the potential to adversely impact demand for our products, our costs, our customers, our suppliers, and the U.S. economy, which in turn could adversely impact our business, financial condition and results of operations.

In response to international trade policy, as well as other risks associated with concentrated manufacturing in China, in 2023 we relocated a meaningful portion of our supply chain from China to Vietnam. We plan on manufacturing only a limited number of accessories in China that are U.S. bound, and no robots. Over time, we anticipate relocating the manufacture of these remaining accessories outside of China. Such relocation activities increase costs and risks associated with establishing new manufacturing facilities, and any additional or increased tariffs, including tariffs imposed on imports from Vietnam, may nonetheless result in compression on our margin on products sold and pricing pressures on our products. Any additional or increased tariffs may in the future cause us to further increase prices to our customers which we believe has reduced, and in the future may reduce, demand for our products.

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**Item 5. Other Information**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c) *Insider Trading Arrangements*

During the fiscal quarter ended June 28, 2025, none of our directors or officers (as defined in Rule 16a-1(f) of the Securities Exchange Act of 1934) adopted, terminated or modified a Rule 10b5-1 trading arrangement or non-Rule 10b5-1 trading arrangement (as such terms are defined in Item 408 of Regulation S-K).

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**Item 6. Exhibits**

EXHIBIT INDEX

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| | |
|:---|:---|
| **Exhibit<br>Number** | **Description** |
| <u>[4.1](https://www.sec.gov/Archives/edgar/data/1159167/000119312525136125/d42654dex41.htm)</u> | Warrant to Purchase Common Stock (incorporated by reference to Exhibit 4.1 to the Company's Form 8-K filed June 6, 2025). |
| <u>[10.1](https://www.sec.gov/Archives/edgar/data/1159167/000115916725000050/ex101amendmentno2.htm)</u> | Amendment No. 2 to Credit Agreement, dated as of April 30, 2025, by and among the Company, as borrower, each lender from time to time party thereto, and TCG Senior Funding L.L.C., as administrative agent and collateral agent (incorporated by reference to Exhibit 10.1 to the Company's Form 8-K filed May 6, 2025). |
| <u>[10.2](https://www.sec.gov/Archives/edgar/data/1159167/000119312525136125/d42654dex101.htm)</u> | Amendment No. 3 to Credit Agreement, dated as of June 5, 2025, by and among the Company, as borrower, each lender from time to time party thereto, and TCG Senior Funding L.L.C., as administrative agent and collateral agent (incorporated by reference to Exhibit 10.1 to the Company's Form 8-K filed June 6, 2025). |
| <u>[10.](https://www.sec.gov/Archives/edgar/data/1159167/000115916725000053/exhibit101-fourthamendment.htm)[3](https://www.sec.gov/Archives/edgar/data/1159167/000115916725000053/exhibit101-fourthamendment.htm)</u> | Fourth Amendment to the iRobot Corporation 2018 Stock Option and Incentive Plan (incorporated by reference to Exhibit 10.1 to the Company's Form 8-K filed May 20, 2025) |
| <u>[10.](ex1042025executivesalebonu.htm)[4](ex1042025executivesalebonu.htm)[† \*](ex1042025executivesalebonu.htm)</u> | 2025 Executive Sale Bonus Plan |
| <u>[10.](ex105formof2025executivesa.htm)[5](ex105formof2025executivesa.htm)[† \*](ex105formof2025executivesa.htm)</u> | Form of 2025 Executive Sale Bonus Plan Award Letter |
| <u>[1](ex106irobotlease-10thamend.htm)[0.](ex106irobotlease-10thamend.htm)[6](ex106irobotlease-10thamend.htm)[\*](ex106irobotlease-10thamend.htm)</u> | Tenth Amendment to Lease Agreement between the Registrant and Boston Properties Limited Partnership for premises located at 4-18 Crosby Drive, Bedford, Massachusetts, dated as of July 22, 2025 |
| <u>[31.1\*](irbtexhibit31162825.htm)</u> | Certification Pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934 |
| <u>[31.2\*](irbtexhibit31262825.htm)</u> | Certification Pursuant to Rule 13a-14(a) or Rule 15d-14(a) of the Securities Exchange Act of 1934 |
| <u>[32.1\*\*](irbtexhibit32162825.htm)</u> | Certification Pursuant to 18 U.S.C. Section 1350, as Adopted Pursuant to Section 906 of the Sarbanes-Oxley Act of 2002 |
| 101.SCH\* | Inline XBRL Taxonomy Extension Schema Document |
| 101.CAL\* | Inline XBRL Taxonomy Extension Calculation Linkbase Document |
| 101.LAB\* | Inline XBRL Taxonomy Extension Label Linkbase Document |
| 101.PRE\* | Inline XBRL Taxonomy Extension Presentation Linkbase Document |
| 101.DEF\* | Inline XBRL Taxonomy Extension Definition Linkbase Document |
| 104\* | Cover Page Interactive Data File (formatted as inline XBRL with applicable taxonomy extension information contained in Exhibits 101.\*) |

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__________________________

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| | |
|:---|:---|
| \* | Filed herewith |
| \*\* | Furnished herewith |
| † | Indicates a management contract or any compensatory plan, contract or arrangement. |

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**<u>SIGNATURES</u>**

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

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| | | |
|:---|:---|:---|
| | iROBOT CORPORATION | iROBOT CORPORATION |
| Date: August 7, 2025 | By: | /s/ Karian Wong |
|  |  | Karian Wong |
|  |  | Executive Vice President and Chief Financial Officer (Principal Financial Officer) |

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## Exhibit 10.4

Exhibit 10.4

**IROBOT CORPORATION**

**2025 EXECUTIVE SALE BONUS PLAN**

**&nbsp;&nbsp;&nbsp;&nbsp;**

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.<u>Purpose</u>. The purpose of this iRobot Corporation 2025 Executive Sale Bonus Plan (this "**Plan**") is to promote the interests of iRobot Corporation (the "**Company**") by providing incentives to key management personnel of the Company to make extraordinary efforts to execute the strategic objectives of the Company in the manner most beneficial to the Company and its stockholders.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.<u>Effective Date</u>. This Plan is effective as of March 26, 2025 (the "**Effective Date**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;3.<u>Definitions</u>. Capitalized terms used and not defined in the body of this Plan have the meanings assigned to them in <u>Appendix A</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;4.<u>Eligible Participants</u>. The "**Participants**" under this Plan shall be the Initial Participants and any New Participants.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;5.<u>Sale Bonus Payments Generally</u>. Subject to the provisions of this Plan and the Award Letter, in connection with a qualifying Sale Transaction, each Participant shall be eligible to receive a Sale Bonus Payment, which shall be payable on the payment date and on the other terms and conditions set forth in this Plan and the Participant's Award Letter.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>Requirements for Sale Bonus Payment to be Earned</u>. Sale Bonus Payments must be earned and a Participant must satisfy the terms and conditions set forth in this Plan and the applicable Award Letter in order for any Sale Bonus Payment to be payable to a Participant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i) *Threshold Payment*. Each Participant is eligible to receive a threshold payment, the amount of which is set forth in the Participant's Award Letter, pursuant to the terms of this Plan and the Participant's Award Letter (a "**Threshold Payment**"). Each Participant shall be deemed to have earned the right to receive his or her Threshold Payment upon the consummation of a Sale Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)*Excess Value Payment*. Each Participant is eligible to receive an excess value payment based on the Excess Value Allocation (expressed as a percentage of the aggregate Sale Bonus Pool (as defined in the Participant's Award Letter)) set forth in his or her Award Letter (an "**Excess Value Payment**"). Each Participant shall be deemed to have earned the right to receive his or her Excess Value Payment upon the consummation of a Sale Transaction which results in an Aggregate Value that exceeds the Threshold Value (such Sale Transaction, an "**Excess Value Transaction**"). For the avoidance of doubt, any Excess Value Payment shall be inclusive of the Participant's Threshold Payment and in no circumstance will a Participant receive both a Threshold Payment and an Excess Value Payment.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>Payment Schedule</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)*Threshold Payment*. Once earned pursuant to <u>Section 5(a)(i)</u> above, each Participant shall be paid his or her Threshold Payment as soon as practicable following the consummation of the Sale Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)*Excess Value Payment*. Once earned pursuant to <u>Section 5(a)(ii)</u> above, each Participant shall be paid his or her Excess Value Payment based on the Participant's allocation as soon as practicable following the consummation of the Excess Value Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;6.<u>Termination of Employment</u>. Except as otherwise set forth in a Participant's Award Letter, upon a termination of a Participant's Continuous Service prior to the date on which a Sale Bonus Payment is earned, the Participant shall forfeit his or her eligibility to receive any such Sale Bonus Payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;7.<u>Reallocation</u>. In the event that a Participant forfeits eligibility to earn a Sale Bonus Payment pursuant to <u>Section 6</u>, the Administrator (or any of its Authorized Officers) may allocate some, none or all of the amount of such Sale Bonus Payment to any Initial Participant or New Participant so long as such Participant is employed in good standing with the Company, as determined in the reasonable discretion of the Administrator, subject, in all cases, to the terms of this Plan.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;8.<u>Plan Administration</u>. This Plan and any Award Letters shall be administered by the Committee or its designee (the "**Administrator**"), subject to the terms of this Plan. Subject to any limitations set forth herein, the Administrator shall have the full authority and discretion to take any action as may be necessary to administer and attain the objectives of this Plan and any Award Letters and may delegate the authority to administer this Plan to an officer of the Company (an "**Authorized Officer**"), <u>provided</u> that no Authorized Officer of the Company who is also a Participant may administer this Plan on the Authorized Officer's own behalf. The Administrator (or its delegate) shall have full power and authority to construe and interpret this Plan and any Award Letters and any interpretation by the Administrator (or its delegate) shall be binding on all Participants and shall be accorded the maximum deference permitted by law. Such designations, determinations, interpretations and decisions by the Administrator shall be final, conclusive and binding on all Participants and other persons and need not be the same with respect to each Participant (whether such Participants are similarly situated or not).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>General</u>. All rights and interests of Participants under this Plan and any Award Letters shall be non-assignable and nontransferable, and otherwise not subject to pledge or encumbrance, whether voluntary or involuntary, other than by will or by the laws of descent and distribution. In connection with any Sale Transaction, the Company may assign this Plan's sponsorship, in whole or in part, and any Award Letter hereunder.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>Manner of Payment; Withholding</u>. Any Sale Bonus Payment shall be made to a Participant either (i) in the same manner as the Participant receives his or her regular paycheck or (ii) by certified mail at the last known address of the Participant in the records of the Company. The Company shall withhold all applicable taxes and any other required withholdings with respect to any Sale Bonus Payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)<u>Unfunded Arrangement; Exclusion of Compensation</u>. The Company shall not be required to establish any special or separate fund or to make any other segregation of assets to ensure the payment of any Sale Bonus Payment provided for hereunder. Sale Bonus Payments shall not be considered as extraordinary, special incentive compensation, and shall not be included as "earnings," "wages," "salary," or "compensation" in any pension, welfare, life insurance, or other employee benefit plan or arrangement of the Company, except as otherwise provided in any such other benefit plan or arrangement.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)<u>Amendment and Termination</u>. The Company, in its sole discretion, shall have the right to modify, supplement, suspend or terminate this Plan at any time; <u>provided</u> that in no event shall any amendment, modification, supplement or termination adversely affect the rights of any Participant regarding any Sale Bonus Payment without the prior written consent of the Participant; <u>provided</u>, <u>further</u>, that any material amendment to this Plan, such as an increase in the amounts payable under this Plan, shall be subject to the prior approval of the Committee. Subject to the foregoing, this Plan shall terminate upon the satisfaction of all obligations of the Company hereunder.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)<u>No Right to Continued Employment</u>. Nothing contained in this Plan shall in any way affect the right and power of the Company to discharge any Participant or otherwise terminate the Participant's employment at any time or for any reason or to change the terms of the Participant's employment in any manner.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)<u>Expenses of Plan</u>. Any expense incurred in administering this Plan shall be borne by the Company.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)<u>Captions</u>. Captions preceding the sections hereof are inserted solely as a matter of convenience and in no way define or limit the scope or intent of any provision hereof.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(h)<u>Governing Law</u>. The administration of this Plan shall be governed by the substantive laws of the State of Delaware, without regard to principles of conflicts of laws. Any persons who now are or shall subsequently become Participants in this Plan shall be deemed to consent to this provision.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)<u>Jurisdiction</u>. By accepting an award under this Plan, each Participant (i) agrees that any suit, action or proceeding seeking to enforce any provision of, or based on any matter arising out of or in connection with, this Plan, whether in contract, tort or otherwise, shall be brought in the federal or state courts in the State of Delaware, so long as one of such courts shall have subject-matter jurisdiction over such suit, action or

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proceeding, and that any cause of action arising out of this Plan shall be deemed to have arisen from a transaction of business in the State of Delaware and (ii) hereby irrevocably consents to the jurisdiction of such courts (and of the appropriate appellate courts therefrom) in any such suit, action or proceeding and irrevocably waives, to the fullest extent permitted by law, any objection that it may now or hereafter have to the laying of the venue of any such suit, action or proceeding in any such court or that any such suit, action or proceeding which is brought in any such court has been brought in an inconvenient forum.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(j)<u>Notices</u>. All notices and other communications under this Plan shall be in writing and shall be given by hand delivery to the other party or confirmed fax or overnight courier, or by postage paid first class mail, addressed as follows:

If to the Participant:

The address of his principal residence as it appears in the Company's records.

If to the Company:

iRobot Corporation<br>8 Crosby Drive

Bedford, MA 01730<br>Attention: Kevin Lanouette, Senior Vice President and General Counsel

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp; klanouette@irobot.com

or to such other address as any party shall have furnished to the other in writing in accordance with this <u>Section 8(j)</u>. Notice and communications shall be effective when actually received by the addressee if given by hand delivery or confirmed fax, when deposited with a courier service if given by overnight courier, or two business days following mailing if delivered by first class mail.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(k)<u>Section 409A</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)This Plan is intended to either comply with, or be exempt from, the requirements of Section 409A of the Internal Revenue Code of 1986, as amended, and the regulations and guidance thereunder ("**Section 409A**"). To the extent that this Plan is not exempt from the requirements of Section 409A, this Plan is intended to comply with the requirements of Section 409A and shall be limited, construed and interpreted in accordance with such intent. Each Participant's right to receive any installment payments under this Plan shall be treated as a right to receive a series of separate payments and, accordingly, each such installment payment shall at all times be considered a separate and distinct payment as permitted under Section 409A. Notwithstanding the foregoing, in no event whatsoever shall the Company be liable for any additional tax, interest, income inclusion or other penalty that may be imposed on a Participant by Section 409A or for damages for failing to comply with Section 409A.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)Notwithstanding anything in this Plan to the contrary, any compensation or benefits payable under this Plan that is considered nonqualified deferred compensation under Section 409A and is designated under this Plan as payable upon a Participant's termination of employment shall be payable only upon the Participant's "separation from service" with the Company within the meaning of Section 409A (a "**Separation from Service**").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)Notwithstanding anything in this Plan to the contrary, if a Participant is deemed by the Company at the time of the Participant's Separation from Service to be a "specified employee" for purposes of Section 409A, to the extent delayed commencement of any portion of the benefits to which the Participant is entitled under this Plan is required in order to avoid a prohibited distribution under Section 409A, such portion of the Participant's benefits shall not be provided to the Participant prior to the earlier of (A) the expiration of the six-month period measured from the date of the Participant's Separation from Service or (B) the date of the Participant's death. Upon the first business day following the expiration of the applicable Section 409A period, all payments deferred pursuant to the preceding sentence shall be paid in a lump sum to the Participant (or the Participant's estate or beneficiaries), and any remaining payments due to the Participant under this Plan shall be paid as otherwise provided herein.

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**<u>Appendix A</u>**

**<u>Definitions</u>**

"**Aggregate Value**" shall mean, without duplication, (A) the total value of all cash, securities and other property paid or payable, directly or indirectly, by an acquirer to a seller or sellers in connection with a Sale Transaction (including, without limitation, amounts paid, distributed or issued, or to be paid, distributed or issued, to holders of common stock, preferred stock, convertible securities, warrants, stock appreciation rights, options or similar rights or securities), after applying the treasury stock method, plus (B) the aggregate principal amount of all indebtedness for borrowed money (including, without limitation, preferred stock obligations) outstanding immediately prior to consummation of a Sale Transaction or otherwise, directly or indirectly, assumed, refinanced (including any premiums paid), extinguished or consolidated in connection with such Sale Transaction, in each case (I) net of any cash, cash equivalents and marketable securities of the Company on a consolidated basis as of immediately prior to the consummation of the Transaction and (II) except to the extent that any such indebtedness is assumed, refinanced, extinguished or consolidated in connection with such Sale Transaction in relation to a corresponding increase in the amounts of Aggregate Value contemplated by clause (A) above. Consideration also shall include, without duplication (i) the aggregate amount of any cash dividends or other distributions declared by the acquired company after the date hereof in connection with a Sale Transaction (other than normal recurring cash dividends) and (ii) any amounts paid to repurchase any securities of the acquired company in connection with a Sale Transaction (other than repurchases pursuant to and consistent with currently existing stock repurchase programs of the acquired company). The value of any such securities (other than indebtedness) or other property or items of value shall be valued at the time of closing without regard to any restrictions on transferability and determined as follows: (i) if such securities are traded on a stock exchange, then such securities shall be valued in accordance with the formula for calculating the fair market value of such consideration set forth in the definitive agreement for the Sale Transaction or, if no such formula exists, at the average of their closing prices for the five trading days immediately prior to the closing of the Sale Transaction and any other non-cash consideration shall be valued at the fair market value thereof as determined in good faith by the Company. If any consideration to be paid is computed in a foreign currency, the value of such foreign currency shall, for purposes hereof, be converted into U.S. Dollars at the prevailing exchange rate on the date or dates on which such consideration is paid. For the avoidance of doubt, Aggregate Value shall be net of (i) any out-of-pocket transaction costs incurred by the Company or its subsidiaries and payable to investment banker advisors, and (ii) the aggregate amount of Sale Bonus Payments payable under this Plan in connection with a Sale Transaction.

"**Award Letter**" means the award letter delivered to a Participant granting the Participant the opportunity to earn a Sale Bonus Payment.

"**Board**" means the Board of Directors of the Company.

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"**Cause**" means (i) an unauthorized use or disclosure by Participant of the Company's confidential information or trade secrets (unless permitted by applicable law), or (ii) a material breach of any agreement between Participant and the Company, in either case, which results in material harm to the Company.

"**Committee**" means the Compensation and Talent Committee of the Board, or any other committee authorized by the Board.

"**Continuous Service**" means, with respect to a Participant, the Participant's continuous employment or engagement with the Company from the Effective Date through the applicable date.

"**Initial Participants**" means the following individuals: (i) Gary Cohen (Chief Executive Officer); (ii) Jeffrey Engel (President and Chief Operating Officer); (iii) Karian Wong (Executive Vice President and Chief Financial Officer); (iv) Jules Connelly (Senior Vice President and Chief Human Resources Officer) and (v) Kevin Lanouette (Senior Vice President and General Counsel).

"**Sale Bonus Payment**" means any cash payment payable under the terms and conditions of this Plan and any applicable Award Letter.

"**New Participant**" means an individual who replaces a Participant (including an Initial Participant or another New Participant) and is selected by the Committee (or an Authorized Officer) in its discretion.

"**Qualifying Termination**" means a Participant's Separation from Service due to a termination by the Company without Cause, due to the Participant's resignation for Good Reason (as defined in Participant's executive employment agreement with the Company) or due to Participant's death or disability.

"**Sale Transaction**" means any event that would be deemed to be a "Sale Event" as defined in the iRobot Corporation 2018 Stock Option and Incentive Plan, on file with the U.S. Securities and Exchange Commission as Exhibit 10.22 to the Company's Annual Report on Form 10-K filed March 12, 2025. For purposes of clarity, this will apply if the Sale Transaction is executed in one transaction or a series of transactions.

"**Threshold Value**" means an Aggregate Value equal to the amount set forth on Annex A to this Appendix A.

## Exhibit 10.5

Exhibit 10.5

**iRobot Corporation** 

**Sale Bonus Award**

[●], 2025

**VIA EMAIL**

Dear [NAME],

iRobot Corporation (the "**Company**") is pleased to offer you the opportunity to receive a sale bonus award under the Company's 2025 Executive Sale Bonus Plan (the "**Plan**"). The Plan provides incentive compensation to key management personnel of the Company in order to incentivize extraordinary efforts to execute the strategic objectives of the Company in the manner most beneficial to the Company and its stockholders. This letter (this "**Award Letter**") sets forth our agreement regarding your participation in the Plan, and the terms and conditions of your participation therein. Capitalized terms used but not defined in this Award Letter have the meanings given to such terms in the Plan.

**Sale Bonus Payments**. You are eligible to receive the following types of Sale Bonus Payments, in the amounts set forth below, in each case, subject to the terms and conditions set forth in the Plan and this Award Letter:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• <u>Threshold Payment</u>. You are eligible to receive a Threshold Payment in the amount of $[●] upon the consummation of a Sale Transaction, regardless of the amount of proceeds in a Sale Transaction.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;• <u>Excess Value Payment</u>. In addition, you are eligible to receive an Excess Value Payment based on your Excess Value Allocation (*i.e.*, a percentage of the Sale Bonus Pool) upon the consummation of an Excess Value Transaction. Your Excess Value Allocation is [•]. For the avoidance of doubt, any Excess Value Payment shall be inclusive of your Threshold Payment and in no circumstance will you receive both a Threshold Payment and an Excess Value Payment. Your actual Excess Value Payment is dependent on the "<u>Sale Bonus Pool</u>", which is determined as a percent of the Aggregate Value of any such Excess Value Transaction as set forth below:

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| | |
|:---|:---|
| &nbsp;&nbsp;**Excess Value Transaction** <br>**Aggregate Value** | &nbsp;&nbsp;**Sale Bonus Pool** <br>**(as a % of Aggregate Value)** |
| $[●] | &nbsp;&nbsp;[●]% |
| $[●] | &nbsp;&nbsp;[●]% |
| $[●] **or above** | &nbsp;&nbsp;[●]% |

---

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The Sale Bonus Pool between the Excess Value Transaction Aggregate Value thresholds listed above shall be subject to straight-line interpolation between each applicable Aggregate Value threshold beginning at $[●]. For the avoidance of doubt, you shall not be entitled to an Excess Value Payment if a Sale Transaction is consummated for an Aggregate Value less than $[●].

Sale Bonus Payments must be earned pursuant to Section 5(a) of the Plan and shall be payable to you on the applicable payment dates set forth on Section 5(b) of the Plan, less applicable taxes and withholdings. Except as set forth below, payment of any Sale Bonus Payments are conditioned upon your Continuous Service through the date on which the Sale Bonus Payment is earned.

**Termination of Continuous Service**.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;1.<u>Termination for Cause or Voluntarily Resignation</u>. In the event your Continuous Service is terminated by the Company for Cause or you resign without Good Reason prior to the date on which a Sale Bonus Payment is earned, you shall have no right to earn or receive any Sale Bonus Payment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;2.<u>Qualifying Termination</u>. In the event your Continuous Service is terminated due to a Qualifying Termination prior to the date on which a Sale Bonus Payment is earned, you shall nonetheless retain the right to receive a Sale Bonus Payment if and when earned pursuant to Section 5(a) of the Plan, which shall be paid to you on the applicable payment date set forth in the Plan.

**Entire Agreement**. Payment of any Sale Bonus Payment is subject to the terms and conditions of the Plan, a copy of which is enclosed, and this Award Letter. Please read the Plan document carefully. The Plan and this Award Letter constitute the entire agreement between the parties and supersede all prior communications, agreements and understandings, written or oral, with respect to the terms and conditions of your award. In the event of a conflict between the terms of this Award Letter and the Plan, the terms of the Plan shall govern.

**At Will Employment**. You remain an at-will employee of the Company, which means the employment relationship can be terminated by either of us for any reason, at any time, with or without prior notice and with or without Cause. Nothing in this Award Letter changes the nature of that relationship.

**Successors and Assigns**. This Award Letter will be binding on the Company and any of its successors and assigns.

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Please sign below to acknowledge the terms of this Award Letter.

Very truly yours,

________________________

[Name]

[Title]

3

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I hereby acknowledge, accept and agree to the terms as set forth above.

Employee Signature: _______________________ Date signed: <u>&nbsp;&nbsp;&nbsp;&nbsp;</u>

Employee Name: __________________

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## Exhibit 10.6

Exhibit 10.6

<u>TENTH AMENDMENT TO LEASE</u>

THIS TENTH AMENDMENT TO LEASE (this "<u>Tenth Amendment</u>"), dated as of July 22, 2025 (the "<u>Effective Date</u>"), is hereby entered into by and between XCHANGE PROPERTY OWNER, L.P. ("<u>Landlord</u>"), a Delaware limited partnership, with an address of c/o Shorenstein Investment Advisers L.L.C., 850 Third Avenue, 17<sup>th</sup> floor, New York, New York 10022, and IROBOT CORPORATION ("<u>Tenant</u>"), a Delaware corporation, with an address of 8 Crosby Drive, Bedford, Massachusetts 01730.

RECITALS

WHEREAS, the predecessor-in-interest to Landlord, XChange Owner, LLC, as successor-in-interest to DIV Bedford, LLC (as successor-in-interest to Boston Properties Limited Partnership), and Tenant entered into that certain Lease dated February 22, 2007 (the "<u>Original Lease</u>"), as amended by that certain Letter Agreement dated August 15, 2007 (the "<u>Letter Agreement</u>"), as amended by that certain First Amendment to Lease dated September 16, 2010 (the "<u>First Amendment</u>"), as amended by that certain Declaration dated June 16, 2011 (the "<u>Declaration</u>"), as amended by that certain Second Amendment to Lease dated May 20, 2014 (the "<u>Second Amendment</u>"), as amended by that certain letter dated October 8, 2014 (the "<u>2014 Letter</u>"), as amended by that certain Third Amendment to Lease dated April 10, 2015 (the "<u>Third Amendment</u>"), as amended by that certain Fourth Amendment to Lease dated October 23, 2015 (the "<u>Fourth Amendment</u>"), as amended by that certain Fifth Amendment to Lease dated May 4, 2016 (the "<u>Fifth Amendment</u>"), as amended by that certain Sixth Amendment to Lease dated July 5, 2017 (the "<u>Sixth Amendment</u>"), as amended by that certain Seventh Amendment to Lease dated November 21, 2017 (the "<u>Seventh Amendment</u>"), as amended by that certain Eighth Amendment to Lease dated February 14, 2018 (the "<u>Eight Amendment</u>"), and as amended by that certain Ninth Amendment to Lease dated January 28, 2022 (the "<u>Ninth Amendment</u>"; together with the Original Lease, the Letter Agreement, the First Amendment, the Declaration, the Second Amendment, the 2014 Letter, the Third Amendment, the Fourth Amendment, the Fifth Amendment, the Sixth Amendment, the Seventh Amendment and the Eighth Amendment, collectively, the "<u>Lease</u>"), pursuant to which, as of the Relocation Date (as such term is defined in the Ninth Amendment), Landlord leased to Tenant approximately 253,090 rentable square feet of space located within the Complex (as defined in the Lease) known as XChange at Bedford located in Bedford, Massachusetts, for a Term that is currently scheduled to expire on April 30, 2030 (the "<u>Existing Expiration Date</u>");

WHEREAS, the term of the Lease with respect to the "Substitute Premises" referenced in the Ninth Amendment ended and expired on February 13, 2025. As a result, the current rentable square footage of space leased by Tenant from Landlord at the Complex under the Lease is approximately 239,597 rentable square feet (the "<u>Existing Premises</u>");

WHEREAS, Tenant desires to reduce the amount of rentable square footage constituting the Existing Premises and, in furtherance thereof, desires to grant to Landlord the right and option to terminate, by means of recapture, one or more portions of the Existing Premises prior to the expiration date of the Lease in accordance with the terms hereof;

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WHEREAS, in connection with this Tenth Amendment and the transactions contemplated herein, Landlord and Tenant hereby acknowledge that they each are exchanging reasonably equivalent value; and

WHEREAS, Landlord and Tenant are hereby amending, modifying and supplementing the provisions of the Lease, all as set forth herein on the following terms and conditions.

AGREEMENT

NOW, THEREFORE, in consideration of the mutual covenants contained herein and for other good and valuable consideration, the receipt and sufficiency of which is hereby acknowledged, Landlord and Tenant hereby agree, as of the Effective Date, as follows:

1.<u>Incorporation of Recitals</u>. The Recitals set forth above are true and correct, incorporated herein and made a part of this Tenth Amendment as if set forth herein in full.

2.<u>Incorporation of Exhibits</u>. The exhibits attached hereto are incorporated herein and made a part of this Tenth Amendment as if set forth herein in full.

3.<u>Access to Existing Premises</u>. Commencing on the Effective Date, Landlord, its employees, manager, agents, its leasing broker, Jones Lang LaSalle New England, LLC (together with any other broker hereafter engaged by Landlord) ("<u>Landlord's Broker</u>"; together with Landlord's employees, manager and agents, collectively, "<u>Landlord's Leasing Parties</u>") shall have the right to enter the Existing Premises, during normal business hours, upon reasonable prior written notice by Landlord to Tenant (which notice, notwithstanding the terms of Section 8.12 of the Lease, may be sent by email correspondence delivered to <u>preed@irobot.com</u> with a copy to <u>legal@irobot.com</u>), to show the Existing Premises to prospective tenants and potential tenants' brokers in accordance with the provisions of Section 5.9 of the Lease; provided, however, that the requirement in Section 5.9 of the Lease that specifies that the Premises can only be shown to prospective tenants during the last twelve (12) months of the Term shall not be applicable. Each of Landlord, Landlord's Leasing Parties and Tenant and Tenant's leasing broker, CBRE ("<u>Tenant's Broker</u>") shall be permitted to market the portion of the Existing Premises that does not include any of the Building 10 and Building 12 Premises (as hereinafter defined) (such portion that excludes the Building 10 and Building 12 Premises, the "<u>Marketable Premises</u>") on a non-exclusive basis; provided, that the foregoing shall not be deemed to abrogate any of Tenant's rights under the Lease to also market any portion of the Existing Premises in accordance with the Lease, except that Tenant's right to market, license, sublet or assign any portion of the Lease or Tenant's interest therein shall be subject to Landlord's rights under Section 5.6 of the Lease (which, for the avoidance of doubt, shall be inclusive of Section 5.6.1.1 of the Lease). Tenant (and not Landlord) shall be responsible for the payment of any commission, fee or other amount payable to Tenant's Broker or otherwise payable to any person or entity in connection with any marketing efforts undertaken by (or on behalf of) Tenant in accordance with the foregoing and Tenant hereby indemnifies and agrees to hold

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Landlord harmless from and against any and all claims, liabilities, commissions, amounts and other fees (including commissions, legal fees and expenses) asserted against or incurred by Landlord in connection with such marketing efforts by or on behalf of Tenant or Tenant's Broker. In the event that Tenant commences negotiations with a third-party to sublease a portion of the Existing Premises (and has provided written notice to Landlord of such potential sublease and the identity of the third-party potential subtenant (the "<u>Potential Tenant</u>")), and such Potential Tenant and Landlord thereafter enter into a Direct Lease (as hereinafter defined) in lieu of such Potential Tenant entering into a sublease with Tenant, then in such event Landlord will be responsible for payment of the commission or fee due to Landlord's Broker and to such Potential Tenant's broker in connection with such Direct Lease (in amounts to which Landlord shall agree).

4.<u>Landlord's Right to Recapture Portion(s) of the Existing Premises</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Landlord shall have the right, on one or more occasions and from time to time, to recapture one or more portions of the Existing Premises described on <u>Exhibit A-1</u> (including any rentable square foot portion of the portions of the Existing Premises described on <u>Exhibit A-1</u>) (such right being the "<u>Recapture Option</u>"). Each such portion designated by Landlord for recapture is referred to as a "<u>Recapture Portion</u>" and collectively as the "<u>Recapture Portions</u>". Landlord shall have the right to select the applicable Recapture Portion subject to and in accordance with Section 4(b) and Section 4(c) below, as applicable, from all or any portion of the following portions of the Existing Premises hereinafter designated by Landlord, from time-to-time, for recapture pursuant to a Recapture Notice (as defined below):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)the Existing Premises situated in Building 6 (the "<u>Building 6 Premises</u>");

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)the Existing Premises situated in Building 8 (the "<u>Building 8 Premises</u>"); and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)the Existing Premises subleased (as of the Effective Date) by Tenant to existing third-party subtenants in each of Building 4 (the "<u>Building 4 Subleased Premises</u>") and Building 6 (the "<u>Building 6 Subleased Premises</u>", and, collectively, with the Building 4 Subleased Premises, the "<u>Subleased Premises</u>").

Notwithstanding the foregoing, Landlord's right to exercise a Recapture Option with respect to the portion of the Existing Premises described as the "2nd Floor Retained Premises" in Section 2(b) of that certain First Amendment to Sublease dated May 14, 2024 (the "<u>Spryte First Sublease Amendment</u>") between Tenant, as sublandlord, and Spryte Medical, Inc. ("<u>Spryte</u>"), as subtenant, shall be subject to and conditioned upon Landlord recognizing and honoring the expansion rights and rights of first offer granted to Spryte with respect to the 2nd Floor Retained Premises in Section 6 of the Spryte First Sublease Amendment (unless Spryte shall otherwise agree pursuant to the terms of a Direct Lease (as defined below) between Spryte and Landlord).

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Landlord's Recapture Option may be exercised by Landlord with respect to all or any portion of the Recapture Portions of the Existing Premises (which, for avoidance of doubt, excludes the Building 10 and Building 12 Premises), provided: (i) if applicable, the terms applicable herein with respect to a Partial Recapture Option (as hereinafter defined) under Section 4(c) below are satisfied and (ii) to the extent a Recapture Option is being exercised in respect of Subleased Premises, Landlord may only exercise a Recapture Option with respect to any Subleased Premises as to the entirety of the Subleased Premises that is subleased to the applicable Subtenant. Tenant acknowledges that Landlord (1) shall have no obligation to exercise the Recapture Option in respect of any of the Existing Premises and (2) may exercise the Recapture Option in connection with Landlord's desire to lease any of the Recapture Portions to third-party tenants (including a third-party tenant (or subtenant) currently leasing (or subleasing) space at the Complex) on terms for a lease with such third-party tenant acceptable to Landlord in its sole and absolute discretion. Tenant shall have no right to receive any amounts in connection with any leasing transaction entered into by Landlord with a third party involving any of the Recapture Portions (including Tenant having no right to receive any "profit sharing"). If Landlord exercises a Recapture Option with respect to any of the Subleased Premises (which must be exercised as to the entirety of a particular Subleased Premises with respect to a particular subtenant), then Landlord may, if the applicable Subtenant consents in writing (which consent shall be deemed satisfied by the applicable Subtenant entering into a Direct Lease with Landlord), enter into a Direct Lease with the applicable Subtenant on terms acceptable to Landlord and the applicable subtenant, provided that such Direct Lease shall not affect or increase the amount of the Subleased Premises Adjusted Rent calculated pursuant to <u>Exhibit A-1</u> attached hereto with respect to the applicable Subleased Premises (as applicable, the "<u>Subleased Premises Adjusted Rent</u>"). Landlord agrees that if the applicable Subtenant does not agree to enter into a Direct Lease with Landlord, then, if Landlord exercises its Recapture Option as to such Subtenant's Subleased Premises, Tenant shall assign to Landlord its interest as sublandlord under the Applicable Sublease, and Landlord shall assume the sublandlord's rights and obligations under the Applicable Sublease from and after the Recapture Date. Pursuant to such assignment and assumption agreement, Tenant shall expressly remain liable for any unperformed obligation of sublandlord prior to the Recapture Date. For the avoidance of doubt, Landlord's Recapture Option shall not apply with respect to that portion of the Existing Premises situated in Buildings 10 or 12 unless Landlord and Tenant otherwise agree.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)Subject to the limitation set forth in Section 4(b) above as to recapturing any Subleased Premises, if Landlord exercises a Recapture Option with respect to any applicable Recapture Portion but chooses in its sole discretion not to recapture the entirety of such space demised to Tenant at such Building (a "<u>Partial Recapture Option</u>"), then Landlord shall set forth in its Landlord Recapture Notice (as hereinafter defined) to Tenant, a description of the space designated by Landlord to be retained by Tenant in the applicable Building (the "<u>Proposed Remaining Space</u>") after Landlord effectuates its Partial Recapture Option, which such Proposed Remaining Space must: (i) be at least [5,000] rentable square feet of space that is contiguous with itself on any given floor and

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an independently leasable configuration that is reasonably marketable, (ii) have an independent means of ingress and egress to and from the Proposed Remaining Space to the common areas of the applicable Building and the applicable floor or the parking areas, and (iii) be reasonably acceptable, taking into account the foregoing clauses (i) and (ii), to both Landlord and Tenant, provided that if Landlord and Tenant cannot agree upon the size and configuration of such Proposed Remaining Space within ten (10) business days after Landlord sends Tenant the Landlord Recapture Notice with respect to the applicable Partial Recapture Option, then Tenant shall have the right to make a determination of the size and configuration of the Proposed Remaining Space in its reasonable determination in a manner consistent with the foregoing clauses (i) and (ii), and such Proposed Remaining Space shall, upon Recapture pursuant to a Recapture Option exercised pursuant to Section 4(e) below, become part of the Remaining Premises (as defined below).

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)Tenant has informed Landlord that it has retained Interior Architects, Inc. to serve as Tenant's third-party consultant to assist Tenant in assessing which portions of the Existing Premises located in Building 10 (the "<u>Building 10 Premises</u>") and Building 12 (the "<u>Building 12 Premises</u>"; together with the Building 10 Premises, collectively, the "<u>Building 10 and Building 12 Premises</u>") Tenant desires to retain for its business needs (the "<u>Space Planning Assessment</u>"). Landlord agrees that it shall pay the actual third-party fees payable to such consultant in preparing such Space Planning Assessment in an amount not to exceed $25,000 (provided such request for payment is made no later than eighteen (18) months following the Effective Date of this Tenth Amendment). Such payment shall be made by Landlord to the applicable consultant within thirty (30) days following Landlord's receipt from Tenant of a request for payment together with the invoice from such consultant.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)Landlord's Recapture Option may be exercised from time to time with respect to any or all of the Recapture Portions (including a Partial Recapture Option pursuant to Section 4(c) above) by Landlord's delivery to Tenant of a written notice (the "<u>Recapture Notice</u>") specifying (i) Landlord's desire to have the Existing Lease modified with respect to the applicable Recapture Portion designated by Landlord, (ii) the effective date designated by Landlord for the surrender by Tenant of the applicable Recapture Portion (such date being the "<u>Recapture Date</u>"), and (iii) the amount of the Adjusted Rent (as hereinafter defined) or, if applicable, Subleased Premises Adjusted Rent payable as of the applicable Step-Down Commencement Date (as defined below) with respect to the Recapture Portion. In no event shall the Recapture Date occur prior to the date that is thirty (30) days after the delivery date of Landlord's Recapture Notice or later than the date that is sixty (60) days following the date of delivery of Landlord's Recapture Notice. Landlord shall have the right to deliver one or more Recapture Notices in respect of all or any portion of the Recapture Portions (including a Partial Recapture Option) and the Recapture Dates may differ with respect to each such Recapture Portion designated by Landlord. The "<u>Remaining Premises</u>" shall mean the Existing Premises, as adjusted from time to time pursuant to this Tenth Amendment, less any applicable Recapture Portion(s)

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previously recaptured in accordance with a Recapture Notice as of the date of such determination.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)If Landlord shall deliver a Recapture Notice in respect of an applicable Recapture Portion, then each of the following shall apply:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(i)<u>Adjusted Rent</u>. In consideration for Landlord accepting a reduction of the Existing Premises and exercising the applicable Recapture Option, Tenant agrees that: provided that there is no uncured Event of Default under the terms of the Lease as of the Recapture Date, the "<u>Adjusted Rent</u>" or, if applicable, the "<u>Subleased Premises Adjusted Rent</u>" corresponding to the applicable Recapture Portion so recaptured, as provided on, and according to the schedule set forth on, <u>Exhibit A-1</u> attached hereto (including as illustrated for clarity on <u>Exhibit A-2</u>), shall be payable by Tenant to Landlord ***in lieu of*** any other remaining future Rent obligations of Tenant under the Lease with respect to the applicable Recapture Portion (it being agreed that any unpaid Annual Fixed Rent and Additional Rent attributable to the applicable Recapture Portion for periods prior to the Recapture Date shall survive and continue to be payable following the Recapture Date). In the event that there exists an uncured Event of Default as of the date that is one hundred eighty (180) days after the Recapture Date, then the Step-Down Commencement Date (as defined on <u>Exhibit A-1</u> attached hereto) shall be tolled and delayed until such Event of Default is cured to Landlord's reasonable satisfaction. Tenant shall make Adjusted Rent and/or Subleased Premises Adjusted Rent payments resulting from Landlord's recapture of an applicable Recapture Portion to Landlord at the times and in the manner set forth in the Lease applicable to payments of Annual Fixed Rent and Additional Rent, including with respect to notice and cure periods applicable to payments of fixed rent, Additional Rent and other charges due to Landlord as set forth in Article VII of the Lease. Notwithstanding the foregoing, Rent due from Tenant in respect of any Subleased Premises that becomes a Recapture Portion shall be subject to Section 5 and limited to the Subleased Premises Adjusted Rent for such Subleased Premises as described on <u>Exhibit A-1</u> attached hereto. Tenant's failure to make timely payments of Adjusted Rent or Subleased Premises Adjusted Rent to Landlord in the reduced amounts prescribed on <u>Exhibit A-1</u> (including as illustrated for clarity on <u>Exhibit A-2</u>) shall constitute a default pursuant to the terms of, and under, Section VII of the Lease subject to the notice and cure rights applicable to payments of fixed rent, Additional Rent or other charges due to Landlord, and Landlord shall have any and all rights and remedies available to it under the Lease, at law or in equity.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(ii)<u>Lease Modification</u>. Provided that Tenant surrenders the applicable Recapture Portion on the Recapture Date in the condition required by this Section 4(f)(iii) below, as of the Recapture Date, (1) the Lease shall terminate as to the applicable Recapture Portion, (2) Tenant will have no further rights or obligations under the Lease in respect of the applicable Recapture Portion (except

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with respect to obligations that expressly survive the expiration or earlier termination of the Lease with respect to the applicable Recapture Portion, including any indemnification obligations of Tenant pertaining to the applicable Recapture Portion for claims arising prior to such Recapture Date), and (3) the Lease shall be modified as described on <u>Exhibit A-1</u> to reflect the Tenant's obligation to make payments of the Adjusted Rent or Subleased Premises Adjusted Rent, as applicable, which shall apply to the Remaining Premises, and which shall be ***in lieu of*** any other remaining future Rent obligations of Tenant under the Lease with respect to the applicable Recapture Portion. Upon the surrender of the applicable Recapture Portion in accordance with the terms hereof, (x) the Lease (and Tenant's obligations) in respect of the Remaining Premises shall continue in full force and effect without any other modification thereto not provided for in this Tenth Amendment, and (y) all references in the Lease to the "demised premises", the "premises", or the "Premises" shall be deemed to mean, the Remaining Premises only.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iii)<u>Surrender</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(1)<u>Surrender Obligation</u>. On or prior to the applicable Recapture Date with respect to the corresponding applicable Recapture Portion (time being of the essence with respect to Tenant's requirement to vacate as required hereunder by the Recapture Date), Tenant shall vacate, quit and surrender to Landlord possession of the applicable Recapture Portion, vacant, broom-clean, free of all tenancies, subtenancies and occupancies (exclusive of any subtenants occupying any of the Subleased Premises pursuant to an approved sublease at the time of the Recapture Date), and of any liens or encumbrances filed against the Recapture Portion or the applicable Building for work or materials claimed to have been furnished to, or through, Tenant (or its subtenants, licensees, contracts, suppliers and subcontractors) (but not Landlord), with all personal property removed, except that Tenant may surrender the Recapture Portion with any furniture and work stations, in each case, owned by Tenant (and not financed or leased through a third-party) in the applicable Recapture Portion, in each case, to the extent existing in the applicable Recapture Portion as of the Effective Date, (such furniture and work stations, collectively, the "<u>Abandoned Property</u>"), and otherwise in the condition required by the Lease with respect to surrender of the Premises, as pertaining to the applicable Recapture Portion; provided, however, Landlord agrees that Tenant has no obligation to (y) remove any leasehold improvements owned by Tenant (and not leased or financed by, or from, a third-party) or other alterations performed by or for Tenant (or any of its subtenants) in or to the applicable Recapture Portion, in each case, existing as of the Effective Date or (z) surrender any Subleased Premises that becomes a Recapture Portion (collectively, all of the foregoing requirements in this clause (1) shall be known as the "<u>Recapture</u> 

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<u>Portion Conditions</u>"). Tenant hereby gives, grants, conveys and surrenders to Landlord all of Tenant's right, title and interest in and to the Abandoned Property in the applicable Recapture Portion effective as of the Recapture Date without compensation to Tenant. Tenant and Landlord agree that the value of the Abandoned Property shall be zero dollars ($0). If requested by Landlord, Tenant shall promptly execute and delivery to Landlord a bill of sale conveying such Abandoned Property to Landlord.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(2)<u>Failure to Vacate Recapture Portion</u>. If Tenant fails to timely vacate all of the applicable Recapture Portion by the applicable Recapture Date, in the manner and condition prescribed herein and in accordance with the Recapture Portion Conditions, then such failure shall be deemed an Event of Default under the Lease and Tenant shall be deemed to be a holdover tenant only with respect to the applicable Recapture Portion, in accordance with the provisions of the Lease (including Section 8.18, it being agreed that the hold-over rent payable pursuant to Section 8.18 of the Lease shall apply to the Annual Fixed Rent and Additional Rent on the applicable Recapture Portion only), and Landlord shall have all rights and remedies available to it under the Lease, in equity and at law.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(3)<u>Demising</u>. Promptly following Tenant's surrender of the applicable Recapture Portion in accordance with this Section 4(f)(iii), Landlord shall (to the extent necessary, and to the extent permitted by applicable law), in accordance with local building code, separate and lawfully demise the applicable Recapture Portion (and, to the extent necessary, modify or separate any and all utility meters and other building systems to accommodate readings of utilities usage attributable solely to the Remaining Premises) from the remaining portion of the Existing Premises, which such work shall be performed at Landlord's sole cost and expense; provided, however, that that Section 5.6.5(G) shall continue to apply to any Subleased Premises not recaptured by Landlord. To the extent Tenant, in Tenant's sole discretion, grants entry to Landlord for the purposes of demising the applicable Recapture Portions prior to the Recapture Date, Tenant grants Landlord (and its contractors) a license to access the applicable Recapture Portion as of such date to perform such work, subject to a separate access agreement to be mutually agreed upon by Tenant and Landlord.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(iv)<u>Building 10 Premises and Building 12 Premises</u>. Landlord and Tenant acknowledge that, although this Tenth Amendment does not provide for any portion of the Building 10 Premises or Building 12 Premises to be subject to a Recapture Option, Landlord and Tenant may hereafter agree, pursuant to a separate written agreement, to provide for all or some portion of either or both of Building 10 or Building 12 to be subject to a Landlord Recapture Option.

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(v)<u>True-Up of Amounts</u>. Tenant shall pay to Landlord, on or prior to the Recapture Date, any Annual Fixed Rent due under the Lease with respect to the applicable Recapture Portion through the applicable Recapture Date (subject to Landlord's rights in respect of any holdover), and any other applicable amounts, costs and charges, such as Additional Rent, Operating Expenses Allocable to the Premises and Landlord's Tax Expenses Allocable to the Premises, and any and all other sums and charges due or to become due pursuant to the terms of the Lease (collectively, the "<u>Rent</u>") for the applicable Recapture Portion through and including the Recapture Date, which obligation to pay the Rent shall survive the expiration or earlier termination of the Lease as to the applicable Recapture Portion.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vi)Tenant's obligation to pay electricity charges incurred from and after the Recapture Date with respect to any Recapture Portion shall expire and terminate on the applicable Recapture Date for such Recapture Portion. Tenant's obligation to pay electricity charges incurred prior to the Recapture Date shall survive the Recapture Date.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(vii)<u>Compliance with Recapture Portion Conditions</u>. Provided that Tenant has complied with all the terms and conditions of this Tenth Amendment (other than those obligations which by the terms of this Tenth Amendment are to be performed after the Recapture Date), the applicable Recapture Portion, on the applicable Recapture Date, shall be deemed recaptured. The parties will confirm, no later than the Recapture Date, in a written amendment or letter agreement that the applicable Recapture Date has occurred as well as further evidencing any other modification to the Lease effectuated by the surrender of the applicable Recapture Portion, including, without limitation, the modifications contemplated by clauses (1)-(3) of Section 4(f)(ii). (except that the execution of such amendment shall not be a condition to the efficacy of the modification of the Lease with respect to the Recapture Premises or any of the other matters set forth herein). If Landlord and Tenant have not each executed and delivered and made effective said amendment or letter agreement to the Lease as of the Recapture Date, then the Lease shall be deemed automatically modified to reflect clauses (1)-(3) of Section 4(f)(ii).

5.<u>Subtenants</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Tenant hereby authorizes and permits Landlord to engage in discussions and negotiations directly with each of Tenant's current subtenants at Building 4 and Building 6 consisting of Nyobolt, Inc. and Spryte (each, an "<u>Existing Subtenant</u>" and collectively, the "<u>Existing Subtenants</u>"), and any future subtenant of all or any portion of the Existing Premises (together with the Existing Subtenants, each, a "<u>Subtenant</u>" and collectively, the "<u>Subtenants</u>", and each sublease with respect to a "Subtenant" shall be referred to as an "<u>Applicable Sublease</u>") and their respective affiliates, regarding Landlord and a particular Subtenant entering into a direct lease with Landlord for such

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Subtenant's Subleased Premises (together with any other space) on any terms that Landlord and such Subtenant may desire (a "<u>Direct Lease</u>"). Landlord shall have no obligation to engage in any such discussions or negotiations or have any obligation to consummate a Direct Lease. If Landlord and the applicable Subtenant agree to enter into a Direct Lease with any of the Subtenants, then Landlord may deliver a Recapture Notice with respect to the applicable Recapture Portion constituting the applicable Subleased Premises and the terms of <u>Section 4</u> shall apply with respect thereto, except that Tenant will have no obligation to surrender or deliver possession of the applicable Subleased Premises to Landlord (except with respect to any future subleases where Tenant had not previously delivered possession of the Recapture Portion to the subtenant thereof), it being agreed that such Direct Lease shall not affect or increase the amount of the Subleased Premises Adjusted Rent calculated pursuant to <u>Exhibit A-1</u> attached hereto with respect to the applicable Subleased Premises.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)Notwithstanding anything in this Tenth Amendment or in Section 5.6 of the Original Lease to the contrary, if Tenant provides Landlord with a Proposed Transfer Notice regarding the subletting of any (including any portion of any) Recapture Portion (any such space, the "<u>Proposed Sublease Space</u>") in accordance with the requirements of Section 5.6.3 of the Original Lease, then Landlord shall have fifteen (15) business days following its receipt of the Proposed Transfer Notice to (i) elect to exercise Landlord's Recapture Option as to the entirety of the Proposed Sublease Space, (ii) elect not to exercise Landlord's Recapture Option as to Proposed Sublease Space and either (x) provide its written consent or (y) withhold its written consent, in the case of each of (x) and (y), not to be unreasonably withheld, conditioned or delayed, to the Applicable Sublease and Subtenant. If Landlord fails to make any election within such fifteen (15) business day period, then Landlord shall be deemed to have elected not to exercise its Recapture Option with respect to the Proposed Sublease Space and to have provided its written consent to the Subtenant (provided that the proposed sublease document submitted with the Proposed Transfer Notice is substantially the same as the final Applicable Sublease), and the provisions of Sections 5.6.2, 5.6.3, 5.6.4 and 5.6.5 of the Original Lease shall apply to the proposed Applicable Sublease. If Landlord fails to timely elect to exercise its Recapture Option as to the entirety of the Proposed Sublease Space, then Landlord will have no right or option under Section 4 to exercise the Recapture Option as to the Proposed Sublease Space unless and until the earlier of: (i) Tenant and the prospective Subtenant failing to execute an Applicable Sublease for the Proposed Sublease Space within six (6) months following the expiration of Landlord's fifteen (15)-business day response period, and (ii) Tenant and the prospective Subtenant executing and delivering an Applicable Sublease (the "<u>Closed Period</u>"), it being agreed that following the Closed Period, Landlord may exercise its Recapture Period as to the Proposed Sublease Space upon the terms and conditions set forth in Section 5(a) of this Tenth Amendment.

6.<u>Security Deposit</u>. The parties acknowledge that, as of the Effective Date, Tenant's Security Deposit is currently in the form of that certain irrevocable, standby letter of credit no. 68018099 in the amount of $250,000 issued by Bank of America, N.A. The

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parties agree that Tenant shall have no right to reduce the amount of this letter of credit in connection with (a) any reduction in the size of the Existing Premises effectuated by the exercise by Landlord of the Recapture Option or the Building 12 Relocation Option (as defined below) or (b) any other matter. Notwithstanding anything to the contrary in the Lease, the Security Deposit shall, at all times, be (i) held in the form of a letter credit in substantially the same form as the letter of credit currently held by Landlord in an amount of not less than $250,000 and (ii) such letter of credit shall be issued by Bank of America, N.A. (or another replacement bank approved by Landlord in its sole and absolute discretion).

7.<u>Reserved</u>

8.<u>Extension Option</u>. Landlord and Tenant reaffirm Tenant's right to exercise the Sixth Amendment Extension Option (as it relates to the then-Existing Premises at the time of any such exercise), on satisfaction of the conditions set forth in Section 7(a) of the Sixth Amendment, as modified pursuant to the provisions of this Section 8. In addition to the conditions set forth in Section 7(a) of the Sixth Amendment, the following shall be conditions to the exercise of the Sixth Amendment Extension Option: (a) Tenant shall be then in occupancy of either (y) all of the Building 10 Premises or (z) all of the Building 12 Premises, (b) iRobot Corporation (or a successor entity approved by Landlord in its sole an absolute discretion) shall be the then-named tenant under the Lease, and (c) the Annual Fixed Rent for the "Second Extension Term" shall be set at the greater of (x) the "Market Rent" as determined in accordance with Section 7(a) and Section 7(b) of the Sixth Amendment and (y) the Annual Fixed Rent applicable to the then-Existing Premises immediately prior to the commencement of the Second Extension Term. Notwithstanding the foregoing, Tenant may only exercise the Sixth Amendment Extension Option with respect to the entire portion of the Existing Premises that Tenant is then in occupancy of for the conduct of its business.

9.<u>Deletion of Certain Provisions as of the Effective Date</u>:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)<u>Deletion of Certain Provisions in the Original Lease</u>: As of the Effective Date, the following provisions are hereby deleted in their entirety and shall no longer be in full force and effect: (i) Section 4.6, (ii) Section 5.17(D), (iii) Section 8.28, (iv) Section 8.29, and (v) Exhibit B-1 and B-2 to the Lease.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)<u>First Amendment Deletions</u>: As of the Effective Date, the following provisions in the First Amendment are hereby deleted in their entirety and shall no longer be in full force and effect: (i) Section 8(B) and (ii) Section 8(C)

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(c)<u>Third Amendment Deletions</u>: As of the Effective Date, Section 4 of the Third Amendment is hereby deleted in its entirety and shall no longer be in full force and effect.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(d)<u>Sixth Amendment Deletions</u>: As of the Effective Date, the following provisions in the Sixth Amendment are hereby deleted in their entirety and shall no

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longer be in full force and effect: (i) Section 3, (ii) Section 8, (iii) Section 9 and (iv) Exhibit C to the Sixth Amendment

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(e)<u>Seventh Amendment Deletions</u>: As of the Effective Date, the following provisions in the Seventh Amendment are hereby deleted in their entirety and shall no longer be in full force and effect: (i) Section 4, (ii) Exhibit C and (iii) Addendum 1 to Exhibit C to the Seventh Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(f)<u>Eighth Amendment Deletions</u>: The following provisions in the Eighth Amendment are hereby deleted in their entirety and shall no longer be in full force and effect: (i) Section 4 and (ii) Exhibit C and Addendum 1 to Exhibit C to the Eighth Amendment.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(g)<u>Ninth Amendment Deletions</u>: The following provisions in the Ninth Amendment are hereby deleted in their entirety and shall no longer be in full force and effect: (i) Section 8, (ii) the "First Floor Fit-Out" portion of Exhibit A to the Ninth Amendment and (iii) Exhibit B to the Ninth Amendment.

10.<u>Major Tenant Rights</u>.

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(a)Currently Tenant has certain rights set forth in this Lease based upon either (i) the rentable square footage that Tenant leases in the aggregate at the Complex (collectively, the "<u>Square Footage Requirement Rights</u>") or (ii) Tenant's continued status as a direct tenant (as opposed to Tenant's assignment or subleasing of space in the Existing Premises) in full of certain buildings at the Complex (collectively, the "<u>Direct Tenancy Requirement Rights</u>"), each as more specifically delineated in the Lease. Examples of these prescribed rights are: (i) Tenant's ability to use the parking area designated "Tenant's Visitor's Parking Area", (ii) Tenant's right to provide "Specified Services", (iii) Tenant's ability to apply for a real estate tax abatement, (iv) Tenant's right to erect the "Monument Signage" and other signage rights, (v) Tenant's ability to terminate this Lease "if fifty percent (50%) or more of Land Recreation A is taken and the remaining portion of Land Recreation A is insufficient for the Permitted Uses…", and (vi) Tenant's ability to use certain Land Recreation Space in general (collectively, items (i)-(vi), along with other related rights of Tenant, shall be known as the "<u>Major Tenant Rights</u>").

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(b)If Landlord exercises its Recapture Options with respect to all of the Recapture Portions in accordance with <u>Section 4</u> herein (or if Landlord recaptures a portion of the Recapture Portions and the Direct Tenancy Requirement Rights are thereby affected), then the Major Tenant Rights shall either be relinquished by Tenant or modified accordingly (as the case may be), as Tenant will no longer satisfy the Direct Tenancy Requirement Rights or Square Footage Requirement Rights (as applicable). For example, for any Direct Tenancy Requirement Rights, such as Tenant's ability to use the Tenant's Visitor Parking Area, Tenant will relinquish such rights on the applicable Recapture Date when the Direct Tenancy Requirement Rights are no longer being satisfied. Notwithstanding the foregoing or any provisions in the Lease to the contrary,

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Landlord and Tenant hereby agree that, even if Landlord exercises a Recapture Option pursuant to the terms hereof, then until the Lease is terminated in full, (i) Tenant shall always have a designated visitor parking area in front of any building in which Tenant will continue to lease a portion or all of such Building, (ii) Tenant shall maintain the right to maintain in place the Route 3 Impact Signage on Building 10 (formerly Building D) in accordance with the terms of Section 5.17 of the Original Lease until such time as Tenant and Landlord agree to include the portion of the Premises located in Building 10 as a Recapture Portion and Landlord exercises its Recapture Option with respect to the entirety of the Building 10 Premises, and (iii) Tenant shall retain the right to use a portion of the Land Recreation Space depicted on and outlined in red on <u>Exhibit B</u> attached hereto (the "<u>Retained Land Recreation Area</u>").

11.<u>Capitalized Terms and Conflicts</u>. All capitalized terms used in this Tenth Amendment that are not defined in this Tenth Amendment shall have the meanings ascribed to such terms in the Lease. In the event of any conflict between the terms of the Lease and the terms of this Tenth Amendment, the terms set forth in this Tenth Amendment shall supersede and control. The term "including", as used in the Lease and herein, shall mean "including, without being limited to".

12.<u>Brokers</u>. Landlord and Tenant represent and warrant to the other that they have not made any agreement or taken any action which may cause any other party to become entitled to a commission as a result of the transactions contemplated by this Tenth Amendment, other than with respect to Tenant's Broker, and any fees or commissions due to Tenant's Broker shall be paid by Tenant. Furthermore, each party will indemnify and defend the other from any and all claims, actual or threatened, for compensation by any other such third person by reason of such party's breach of their representation or warranty contained in this Section. Landlord and not Tenant will be responsible to pay any broker commissions owed to any brokers (including Landlord's having no obligation in respect of CBRE) in connection with Landlord's re-leasing or re-letting of any Recapture Portion to a third-party tenant, except if CBRE is a cooperating broker in connection with Landlord's re-leasing or re-letting of the applicable Recapture Portion.

13.<u>Tenant's Representations</u>. Tenant hereby represents and warrants to Landlord that as of the Effective Date: (a) all of Tenant's estate, right, title and interest in and to the Lease is free and clear of assignments, sublettings, liens and encumbrances (except with respect to the Subleases identified above); (b) there are no persons or entities claiming by, through, or under Tenant, or who or which may claim under Tenant, any rights with respect to the Existing Premises (except with respect to the Subleases identified above); (c) the Lease is in full force and effect; (d) Tenant is presently in possession of all of the Existing Premises (except with respect to the specific Subleases identified above) and is paying the Annual Fixed Rent, operating expenses and any and all other charges or sums due under the Lease with respect to the Existing Premises; (e) the Lease has not been modified, supplemented or amended in any way, except as identified in the Recitals and except as may be set forth in this Tenth Amendment; (f) that this Tenth Amendment has been duly authorized, executed and delivered by and on behalf of Tenant and constitutes

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the valid and binding agreement of Tenant in accordance with the terms hereof, (g) to Tenant's actual knowledge, Tenant does not have any present claim to any offset, set-off, counterclaim or other defense to the performance of Tenant's obligations under, or against enforcement of, the Lease, (h) to Tenant's actual knowledge, no Event of Default exists, and, to Tenant's actual knowledge, Landlord is not in default under any provisions of the Lease, and (i) Landlord has performed all of its obligations under the Lease with respect to any "Landlord Work" obligations.

14.<u>Landlord's Representations</u>. Landlord hereby represents and warrants to Tenant that as of the Effective Date: (a) this Tenth Amendment has been duly authorized, executed and delivered by and on behalf of Landlord and constitutes the valid and binding agreement of Landlord in accordance with the terms hereof, (b) no third party consent or approval (including any mortgagee or ground lessor) is required to enter into this Tenth Amendment (except to the extent such consent or approval has been obtained), and (c) to Landlord's actual knowledge, no Event of Default on the part of Tenant currently exists.

15.<u>Ratification of Lease.</u> Except as amended and modified by this Tenth Amendment, all the terms, provisions, agreements, covenants and conditions of the Lease are hereby affirmed and ratified.

16.<u>Execution/Entire Agreement</u>. This Tenth Amendment, together with the Lease as affected hereby, constitutes the entire agreement of the parties, and may not be amended except by written instrument signed by all parties. This Tenth Amendment shall have the effect of an agreement under seal and shall be binding upon and inure to the benefit of the parties hereto and their respective successors and assigns.

17.<u>Governing Law</u>. This Tenth Amendment shall be interpreted and enforced in accordance with the Laws of the Commonwealth of Massachusetts and Landlord and Tenant hereby irrevocably consent to the jurisdiction and proper venue of the Commonwealth of Massachusetts.

18.<u>Counterparts</u>. This Tenth Amendment may be executed in multiple counterparts, each of which shall be deemed an original and all of which together shall constitute one and the same document.

19.<u>Time is of the Essence</u>. Time shall be of the essence with respect to all dates and deadlines set forth in this tenth Amendment.

20.<u>No Third-Party Beneficiary</u>. The provisions of this Tenth Amendment are and will be for the benefit of the Landlord and Tenant only and are not for the benefit of any third party, and accordingly, no third party shall have the right to enforce the provisions of this Tenth Amendment.

[The rest of the page is left intentionally blank]

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IN WITNESS WHEREOF, Landlord and Tenant have caused this Tenth Amendment to be executed as of the date set forth above.

<u>LANDLORD:</u>

**XCHANGE PROPERTY OWNER, L.P.**, a

Delaware limited partnership

**By:** &nbsp;&nbsp;&nbsp;&nbsp;**XCHANGE OWNER GP LLC**, a

&nbsp;&nbsp;&nbsp;&nbsp;Delaware limited liability company, its

&nbsp;&nbsp;&nbsp;&nbsp;general partner

&nbsp;&nbsp;&nbsp;&nbsp;By: <u>/s/ Matthew M. Knisely</u>

Name: Matthew M. Knisely

Title: Vice President

<u>TENANT:</u>

**IROBOT CORPORATION**,

a Delaware corporation

By: <u>/s/ Jeff Engel</u><br> Name: Jeff Engel

Title: President and Chief Operating Officer

Signature Page to 10<sup>th</sup> Amendment to iRobot Lease

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**Exhibit A-1 Pertains solely to the extent of the exercise from time to time by Landlord of a Recapture Option with respect to an applicable Recapture Portion**

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| | | | | | |
|:---|:---|:---|:---|:---|:---|
| RECAPTURE PORTIONS | RSF | ADJUSTMENTS TO ANNUAL FIXED RENT COMMENCING ON THE RECAPTURE DATE AND CONTINUING THROUGH THE PERIODS SPECIFIED BELOW | ADJUSTMENTS TO ADDITIONAL RENT, INCLUDING OPERATING EXPENSES ALLOCABLE TO THE RECAPTURE PORTIONS AND LANDLORD'S TAX EXPENSES ALLOCABLE TO THE RECAPTURE PORTIONS | PARKING SPACE REDUCTION | [CONDENSER WATER/HVAC ADJUSTMENT] |

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A-1-1

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| | | | | |
|:---|:---|:---|:---|:---|
| Building 6 Premises | 30,407 RSF<br>($20.91 per RSF 7/1/25-12/31/25; $21.54 per RSF 1/1/26-12/31/26; $22.18 per RSF 1/1/27-12/31/27; $22.85 per RSF 1/1/28-12/31/28; $23.53 per RSF 1/1/29-12/31/29; $24.24 per RSF 1/1/30-4/30/30) | Months 1-6 (FROM AND AFTER THE RECAPTURE DATE): The monthly installments of Annual Fixed Rent that would otherwise be due under the Lease (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture of the applicable Recapture Portion) shall be payable in respect of the Remaining Premises<br>From and after Month 7 after the Recapture Date until April 30, 2029: The monthly installments of Annual Fixed Rent that would otherwise be due under the Lease throughout the remainder of the Lease Term (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture with respect to the applicable Recapture Portion) shall be payable in respect of the Remaining Premises, except same shall be reduced by 85% of the Annual Fixed Rent allocable to the applicable Recapture Portion<br>From and after May 1, 2029: The monthly installments of Annual Fixed Rent that would otherwise be due under the Lease (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture with respect to the applicable Recapture Portion) shall be payable in respect of the Remaining Premises, except same shall be reduced by 100% of the Annual Fixed Rent allocable to the applicable Recapture Portion | 0% reduction from Months 1-6 (from and after the Recapture Date)<br>100% reduction of the Additional Rent allocable to the Recapture Portion (from and after the first day of the 7th month after the Recapture Date (the "<u>Step-Down Commencement Date</u>") through the remainder of the Term | 91 Spaces (or, for partial recapture, a reduction of 3 parking spaces for every 1,000 RSF recaptured) |

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| | | | | |
|:---|:---|:---|:---|:---|
| Building 8 Premises | 51,550 RSF<br>($20.91 per RSF 7/1/25-12/31/25; $21.54 per RSF 1/1/26-12/31/26; $22.18 per RSF 1/1/27-12/31/27; $22.85 per RSF 1/1/28-12/31/28; $23.53 per RSF 1/1/29-12/31/29; $24.24 per RSF 1/1/30-4/30/30) | <br>Months 1-6 (FROM AND AFTER THE RECAPTURE DATE): The monthly installments of Annual Fixed Rent that would otherwise be due under the Lease (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture of the applicable Recapture Portion) shall be payable in respect of the Remaining Premises<br>From and after Month 7 after the Recapture Date until April 30, 2029: The monthly installments of Annual Fixed Rent that would otherwise be due under the Lease throughout the remainder of the Lease Term (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture with respect to the applicable Recapture Portion) shall be payable in respect of the Recapture Portion, except same shall be reduced by 85% of the rent allocable to the applicable Recapture Portion over the same period<br>From and after May 1, 2029: The monthly installments of Annual Fixed Rent that would otherwise be due under the Lease (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture with respect to the applicable Recapture Portion) shall be payable in respect of the Remaining Premises, except same shall be reduced by 100% of the Annual Fixed Rent allocable to the applicable Recapture Portion over the same period | 0% reduction from Months 1-6 (from and after the Recapture Date)<br>100% reduction of the Additional Rent allocable to the Recapture Portion from and after the Step-Down Commencement Date through the remainder of the Term | 155 Spaces (or, for partial recapture, a reduction of 3 parking spaces for every 1,000 RSF recaptured) |

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A-1-3

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| | | |
|:---|:---|:---|
| Building 4 Subleased Premises | From and after Recapture Date until the expiration date of the Applicable Sublease (the "<u>Applicable Sublease Expiration Date</u>"), the monthly installments of Annual Fixed Rent then applicable under the Lease (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture with respect to the applicable Recapture Portion) will be reduced by an amount equal to the monthly installments of Annual Fixed Rent over the same period that would have been due under the Applicable Sublease. | 100% reduction of the Additional Rent allocable to the Recapture Portion from and after the first day of the Recapture Date. |
| Building 6 Subleased Premises | From and after the Recapture Date until the expiration date of the Applicable Sublease in effect immediately prior to the time of Recapture (the "<u>Applicable Sublease Expiration Date</u>"), the monthly installments of Annual Fixed Rent then applicable under the Lease (taking into account all escalations that would have otherwise been applicable over the same period, notwithstanding the recapture with respect to the applicable Recapture Portion) will be reduced by an amount equal to the monthly installments of Annual Fixed Rent over the same period that would have been due under the Applicable Sublease. | 100% reduction of the Additional Rent allocable to the Recapture Portion from and after the Recapture Date. |

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A-1-4

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

**Exhibit A-2**

Example Calculations of Adjusted Rent (illustrative only)

If Landlord were to exercise its first Recapture Option as to the entirety of the Building 6 Premises (30,407 RSF) with a Recapture Date of June 1, 2027, then, the monthly installments of Annual Fixed Rent for the Remaining Premises (i.e., excluding the applicable Recapture Portion), would equal what is otherwise payable under the Lease as if the applicable Recapture Portion were a part of the Premises, except: (a) each month in the period from June 1, 2027 through December 31, 2027 would equal what is otherwise payable under the Lease as if the Recapture Portion were a part of the Premises; (b) the monthly installment for each month in the period from January 1, 2028 through December 31, 2028 would be reduced by $49,215.00<sup>1</sup>; (c) the monthly installment for each month in the period of January 1, 2029 through April 30, 2029 would be reduced by $50,679.60<sup>2</sup>; (d) the monthly installment for each month in the period from May 1, 2029 through December 31, 2029 would be reduced by $59,623.06<sup>3</sup>; and (e) the monthly installment for each month in the period from January 1, 2030 through April 30, 2030 would be reduced by $61,422.14<sup>4</sup>.

If, in addition to the above, Landlord were to exercise its Recapture Option as to a 50% portion of the Building 8 Premises (25,775 RSF)<sup>5</sup> with a Recapture Date of June 1, 2028, then from June 1, 2028 until December 31, 2028, then, the monthly installments of Annual Fixed Rent for the Remaining Premises (i.e., excluding the Building 6 Premises and the applicable 50% portion of the Building 8 Premises) would equal what is otherwise payable under the Lease as if the applicable Recapture Portion were a part of the Premises, except: (a) the monthly installment for each month in the period from June 1, 2028 through December 31, 2028 would not yet be affected by the recapture of the applicable 50% portion of the Building 8 Premises but would be reduced by $49,215.00 in respect of the Adjusted Rent attributable to the prior recapture of the Building 6 Premises per the above, (b) the monthly installment for each month in the period from January 1, 2029 through April 30, 2029 would be reduced by $93,639.01<sup>6</sup>; (c) the monthly installment for each month in the period from May 1, 2029 through December 31, 2029 would be reduced by $110,163.54<sup>7</sup>; and (d) the monthly installment for each month in the period from January 1, 2030 through April 30, 2030 would be reduced by $113,487.64<sup>8</sup>.

<sup>1</sup> Total Annual Fixed Rent reduced by 85% of the Annual Fixed Rent allocable to the applicable Recapture Portion. $22.85 per RSF for the applicable period, multiplied by the RSF of the applicable Recapture Portion (30,407 RSF), which equals $694,799.95, and 85% of which is $590,579.96. Divide such figure by 12 for the reduction to the monthly installment, which results in a reduction of each monthly installment during such period by $49,215.00.

<sup>2</sup> Total Annual Fixed Rent reduced by 85% of the Annual Fixed Rent allocable to the applicable Recapture Portion. $23.53 per RSF for the applicable period, multiplied by the RSF of the applicable Recapture Portion (30,407 RSF), which equals $715,476.71, and 85% of which is $608,155.20. Divide such figure by 12 for the reduction to the monthly installment, which results in a reduction of each monthly installment during such period by $50,679.60.

<sup>3</sup> Total Annual Fixed Rent reduced by 100% of the Annual Fixed Rent allocable to the applicable Recapture Portion. $23.53 per RSF for the applicable period which equals $715,476.71. Divide such figure by 12 for the reduction to the monthly installment, which results in a reduction of each monthly installment during the applicable period by $59,623.06.

<sup>4</sup> Total Annual Fixed Rent reduced by 100% of the Annual Fixed Rent allocable to the applicable Recapture Portion. $24.24 per RSF for the applicable period, multiplied by the RSF of the applicable Recapture Portion (30,407 RSF), which equals $737,065.68. Divide such figure by 12 for the reduction to the monthly installment, which results in a reduction of each monthly installment during the applicable period by $61,422.14.

<sup>5</sup> 50% of 51,550 RSF.

<sup>6</sup> The reduction of $50,679.60 attributable to the recapture of the Building 6 Premises as noted above, plus the further reduction of the Annual Fixed Rent by 85% of the Annual Fixed Rent attributable to the recaptured 50% portion of the Building 8 Premises. $23.53 per RSF for the applicable period, multiplied by the RSF of the applicable Recapture Portion (25,775 RSF), which equals $606,485.75, and 85% of which is $515,512.89. Divide such figure by 12 for the additional reduction to the monthly installment $42,959.41), which is in addition to the reduction already in place attributable to the recapture of the Building 6 Premises ($42,959.41+$50,679.60=$93,639.01).

<sup>7</sup> The reduction of $59,623.06 attributable to the recapture of the Building 6 Premises as noted above, plus the further reduction attributable to the recaptured 50% portion of the Building 8 Premises. $23.53 per RSF for the applicable period, which equals $606,485.75. Divide such figure by 12 for the reduction to the monthly installment, which results in a reduction of each monthly installment during the applicable period by $50,540.48, which is in addition to the reduction already in place attributable to the recapture of the Building 6 Premises over the same period ($50,540.48 +$59,623.06=$110,163.54).

<sup>8</sup> The 100% reduction of $61,422.14 attributable to the recapture of the Building 6 Premises as noted above, plus the further reduction attributable to the recaptured 50% portion of the Building 8 Premises. $24.24 per RSF for the applicable period, multiplied by the RSF of the applicable Recapture Portion (25,775 RSF), which equals $624,786.00. Divide such figure by 12 for the additional reduction to the monthly installment during the applicable period ($52,065.50), which is in addition to the reduction already in place attributable to the recapture of the Building 6 Premises over the same period ($52,065.50+$61,422.14=$113,487.64).

A-2-1

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&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;

**Exhibit B**

Depiction of Retained Land Recreation Area

![image_0a.gif](image_0a.gif)

## Exhibit 31.1

**Exhibit 31.1** 

**Certifications** 

I, Gary S. Cohen, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of iRobot Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 7, 2025 | /s/ GARY S. COHEN |
| | Gary S. Cohen<br>Chief Executive Officer<br>(Principal Executive Officer) |
| | Gary S. Cohen<br>Chief Executive Officer<br>(Principal Executive Officer) |

---

## Exhibit 31.2

**Exhibit 31.2**

**Certifications** 

I, Karian Wong, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of iRobot Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant's other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;c.Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;d.Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;a.All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and

&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;b.Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

---

| | |
|:---|:---|
| Date: August 7, 2025 | /s/ KARIAN WONG |
| | Karian Wong |
| | Chief Financial Officer<br>(Principal Financial Officer & Principal Accounting Officer) |
| | Chief Financial Officer<br>(Principal Financial Officer & Principal Accounting Officer) |

---

## Exhibit 32.1

**Exhibit 32.1**

**CERTIFICATION PURSUANT TO** 

**18 U.S.C. SECTION 1350** 

**AS ADOPTED PURSUANT TO** 

**SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002** 

In connection with the Quarterly Report on Form 10-Q of iRobot Corporation (the "Company") for the period ended June 28, 2025 as filed with the Securities and Exchange Commission on the date hereof (the "Report"), we, Gary S. Cohen, the Chief Executive Officer of the Company and Karian Wong, the Chief Financial Officer of the Company, certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, to our knowledge, that:

(1)the Report fully complies with the requirements of Section 13(a) or 15(d), as applicable, of the Securities Exchange Act of 1934, as amended; and

(2)the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

This certification is being provided pursuant to 18 U.S.C. 1350 and is not to be deemed a part of the Report, nor is it to be deemed to be "filed" for any purpose whatsoever.

---

| | |
|:---|:---|
| Date: August 7, 2025 | /s/ GARY S. COHEN |
| | Gary S. Cohen<br>Chief Executive Officer<br>(Principal Executive Officer) |
| Date: August 7, 2025 | /s/ KARIAN WONG |
| | Karian Wong |
| | Chief Financial Officer<br>(Principal Financial Officer & Principal Accounting Officer) |

---

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