Catheter Precision, Inc.

Current report

Summary Risk Factors

Current report

Our business, financial condition and results of operations are subject to numerous risks and uncertainties, including those relating to the acquired business of our wholly-owned subsidiary, Fly Flyte, Inc. (“FLYTE”) and our recent equity financings. The following is a summary of the principal risks relating to the aviation industry and the FLYTE business that you should consider, in addition to the other information set forth in this Quarterly Report on Form 10-Q and in our other filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K filed with the SEC on March 31, 2026. This summary is qualified in its entirety by the more detailed discussion of these and other risks set forth in the remainder of this “Risk Factors” section and elsewhere in this Form 10-Q. The occurrence of any of the following risks could materially and adversely affect our business, financial condition, results of operations, cash flows and the trading price of our common stock.

Current report

Risks relating to the aviation business of FLYTE

Current report

Risks relating to FLYTE’s reliance on third-party aircraft operators

Current report

Risks relating to FLYTE’s intellectual property and technology

Current report

Legal and regulatory risks relating to FLYTE’s business

Current report

Risks relating to dilution from our convertible preferred stock

Current report

Risks Related to the Aviation Business of FLYTE

Current report

FLYTE is exposed to the risk of a decrease in demand for private aviation services.

Current report

Fly Flyte, Inc. (“FLYTE”) historically has generally provided private aviation services to individuals and individual entities on a per-trip basis, without use of a membership-only program business model. A decrease in demand for private aviation services could materially and adversely impact FLYTE’s operations and revenues. We believe that demand for private aviation services is sensitive to general economic conditions and to customers’ perceptions of the strength of the economy, including the possibility of recession, persistent inflation, elevated interest rates and other macroeconomic factors. A weaker economy or customers’ perception of a weaker economy could result in a decrease in demand for FLYTE’s services leading to future periods in which we generate less revenue from the FLYTE business than we presently expect. If demand for private aviation services decreases, this could result in slower growth, or contraction, in the FLYTE business, which could have a material adverse effect on our business, financial condition and results of operations.

Current report

In addition, customers may consider private air travel through FLYTE’s products and services to be a luxury item, especially when compared to commercial air travel. As a result, any general downturn in economic, business and financial conditions which has an adverse effect on customers’ spending habits could cause them to travel less frequently and, to the extent they do travel, to travel using commercial air carriers or other means considered to be more economical. In addition, in cases where sufficient hours of private flight are needed, many of the companies and high-net-worth individuals to whom FLYTE provides products and services have the financial ability to purchase their own jets or operate their own corporate flight department should they elect to do so. These circumstances could negatively impact our cash flows from operations, accelerate our liquidity needs and require us to seek alternate sources of capital, which may not be available or on acceptable terms.

Current report

The private aviation industry is subject to intense competition.

Current report

Many of the markets in which FLYTE operates are competitive as a result of the continuing expansion of existing private aircraft charter brokerage businesses, on-demand operators, fractional ownership programs, jet card programs, membership-based programs, charter operators and traditional commercial airlines. Some of FLYTE’s competitors have substantially greater financial, technical, marketing and other resources than FLYTE does, longer operating histories, larger customer bases, broader geographic coverage, larger fleets, greater brand recognition and more established relationships with third-party aircraft operators, airports, fixed-base operators and other aviation service providers. We cannot assure investors that FLYTE will be able to compete successfully against current or future competitors, or that competitive pressures will not have a material adverse effect on our business, financial condition and results of operations.

Current report

If FLYTE experiences problems with any of its third-party service providers, its operations could be adversely affected.

Current report

FLYTE’s reliance upon others to provide essential services on behalf of its operations may limit our ability to control the efficiency, timeliness and regulatory compliance of those services. FLYTE relies on third parties to provide a wide range of essential services, including, but not limited to, third-party aircraft operators, fixed-base operators, fueling services, ground handling, maintenance and repair services, catering, de-icing, baggage handling, security and other operational services. Any failure of, disruption of, or interruption in, the services provided by such third parties, or any deterioration in the financial condition or business operations of such third parties, could have a material adverse effect on FLYTE’s operations, customer service and reputation, and, in turn, could materially and adversely affect our business, financial condition and results of operations.

Current report

The loss of key personnel upon whom FLYTE depends to operate its business, or its inability to attract additional qualified personnel, could materially and adversely affect FLYTE’s operations.

Current report

We believe that the future success of the FLYTE business will depend in large part on FLYTE’s ability to retain or attract highly qualified management, technical, operational, sales and marketing personnel, including qualified pilots, mechanics and other aviation specialists. Competition for such personnel in the aviation industry is intense, and we may not be able to retain or attract such personnel, or to do so on a cost-effective basis. The loss of one or more members of FLYTE’s senior management team or other key employees, or the failure to attract additional qualified personnel, could have a material adverse effect on FLYTE’s business and on our business, financial condition and results of operations.

Current report

The supply of qualified pilots is constrained and may negatively affect FLYTE’s operations and financial condition, and increases in labor costs may adversely impact FLYTE’s profitability.

Current report

The supply of qualified pilots to the aviation industry, including commercial airlines, business aviation operators and private aviation operators, has been constrained for an extended period, and demand for qualified pilots may continue to outpace supply for the foreseeable future. Pilots who operate aircraft for the third-party aircraft operators on which FLYTE’s charter brokerage operations rely, as well as pilots who operate FLYTE’s Cirrus Jet under its Hops air-taxi service, are increasingly being recruited by major commercial airlines and other operators that may offer higher compensation, better benefits or more predictable schedules. Increases in pilot compensation and benefits, including those that may result from collective bargaining, regulatory changes affecting pilot training, qualification or duty-time requirements, or competitive pressures, could substantially increase FLYTE’s labor costs and operating expenses, which could have a material adverse effect on our business, financial condition and results of operations.

Current report

In addition, FLYTE’s operations and financial condition may be negatively impacted if it is unable to train or qualify pilots in a timely manner to meet the needs of its operations. On occasion, FLYTE may rely on commercial airlines to fly its pilots to a departure location for a Hops flight. Any disruption to such commercial air travel could adversely impact our ability to operate flights as scheduled and could harm FLYTE’s reputation, business and operating results.

Current report

Pilot attrition may negatively affect FLYTE’s operations and financial condition.

Current report

In recent years, FLYTE has experienced volatility in pilot attrition, including volatility resulting from pilot wage and bonus changes at competing operators. If FLYTE experiences a sustained increase in pilot attrition, our ability to operate flights on time and as scheduled could be impaired, and FLYTE may incur substantial additional costs to recruit, train and retain replacement pilots, any of which could have a material adverse effect on our business, financial condition and results of operations.

Current report

FLYTE may be subject to unionization, work stoppages, slowdowns or increased labor costs, and the unionization of pilots or other employees could materially and adversely affect FLYTE’s operations.

Current report

FLYTE’s business is labor intensive. While FLYTE’s employees and independent contractors, particularly its pilots and other operational personnel, are not currently represented by a labor union, we may not be able to maintain this status in the future. If any of FLYTE’s employees were to unionize, we could be subject to risks of work stoppages, work slowdowns, strikes and other labor disputes, as well as increased labor costs, all of which could have a material adverse effect on FLYTE’s business and operations and, in turn, on our business, financial condition and results of operations.

Current report

Significant increases in fuel costs could have a material adverse effect on FLYTE’s business, financial condition and results of operations.

Current report

Aviation fuel is essential to the operation of aircraft and to FLYTE’s ability to carry out its transportation services. Fuel costs are subject to wide fluctuations as a result of a number of factors outside of our control, including, but not limited to, changes in global supply and demand, geopolitical events, government taxes and regulations, refining capacity, transportation and storage costs, and seasonality. Significant or sustained increases in aviation fuel prices could materially increase the operating costs of FLYTE’s third-party aircraft operators (which are typically passed through to FLYTE in the form of higher charter rates) and could materially increase the operating costs of FLYTE’s Hops air-taxi service that uses FLYTE’s owned Cirrus Jet.

Current report

Additionally, sustainable aviation fuel is not currently readily available at prices that are not prohibitive. In the future, if FLYTE elects, or is required by law or regulation, to operate using sustainable aviation fuel, the increased cost of doing so could have a material adverse effect on our business, financial condition and results of operations.

Current report

FLYTE’s insurance may become too difficult or expensive to obtain, and if FLYTE is unable to maintain sufficient insurance, our business could be materially and adversely affected.

Current report

Hazards are inherent in the aviation industry and may result in loss of life and property, potentially exposing FLYTE and us to substantial liability claims. While FLYTE maintains insurance of types and in amounts that we believe to be customary in the industry, the insurance industry, including aviation insurance, may experience periods of significant cost increases, reduced capacity or restrictive policy terms and conditions, and FLYTE’s insurance coverage may not be adequate to cover all liabilities that we may incur. There can be no assurance that, in the future, FLYTE will be able to obtain insurance coverage of the types and in the amounts that we believe to be appropriate at acceptable cost, or that the coverage FLYTE does obtain will be adequate to protect us from all liabilities and losses that may arise.

Current report

The loss of insurance coverage, or a reduction in the level of coverage available to FLYTE, could have a material adverse effect on our business, financial condition and results of operations.

Current report

If FLYTE’s efforts to continue to build its brand identity and improve customer satisfaction and loyalty are not successful, we may not be able to attract or retain customers, and FLYTE’s operating results may be adversely affected.

Current report

FLYTE must continue to build and maintain a strong brand identity for its products and services, which have expanded over time. We believe that a strong brand identity will continue to be important in attracting customers and retaining their loyalty. If FLYTE’s efforts to promote and maintain its brand are not successful, our operating results, our customer relationships and our reputation could be adversely affected.

Current report

Decreases in repeat bookings by returning customers could adversely affect FLYTE’s business and financial results.

Current report

A significant portion of FLYTE’s revenue is based on repeat bookings by its returning customers. There can be no assurance that FLYTE’s returning customers will continue to use FLYTE’s products and services in future periods at historical levels, or at all. A decline in repeat bookings, whether as a result of general economic conditions, competitive pressures, customer dissatisfaction, changes in customer preferences, or other factors, could have a material adverse effect on FLYTE’s revenues and on our business, financial condition and results of operations.

Current report

Aviation businesses are often affected by factors beyond their control, including air traffic congestion at airports, air traffic control inefficiencies, adverse weather conditions and increased security measures, any of which could have a material adverse effect on FLYTE’s business.

Current report

Like other aviation companies, FLYTE’s business is affected by factors beyond our control, including air traffic congestion at airports, air traffic control inefficiencies, adverse weather conditions, increased and enhanced security measures, outbreaks of disease, geopolitical instability, accidents, labor actions and other factors. Each of these factors could result in flight cancellations, delays, diversions or increased costs, any of which could harm FLYTE’s reputation, customer service, operating results, and our business, financial condition and results of operations.

Current report

Further, the future implementation by the FAA of the Next Generation Air Transport System could result in changes to aircraft routes and ground operations and may require FLYTE and its third-party aircraft operators to invest in new equipment and training, the cost of which could be substantial.

Current report

The market for short-range flights is still in relatively early stages of development, and the UAM, RAM and AAM markets may not develop as anticipated.

Current report

FLYTE believes that providing air travelers with access to short-range flights on suitable conventional aircraft, including through the Hops air-taxi service, will enable FLYTE to compete in the developing urban air mobility (“UAM”), regional air mobility (“RAM”) and advanced air mobility (“AAM”) markets. However, the UAM, RAM and AAM markets are still in early stages of development, and the timing, scale and commercial viability of these markets are subject to substantial uncertainty. Currently, there are only a minimal number of electric-powered vertical take-off and landing aircraft and other aircraft using sustainable aviation fuel that are commercially available, and the wider availability of such aircraft is subject to substantial regulatory, technological and commercial uncertainty. If these markets do not develop as anticipated, or develop more slowly than anticipated, or develop with regulatory or technological characteristics that are not favorable to FLYTE’s business model, FLYTE may not realize the benefits we currently expect.

Current report

Extreme weather, natural disasters and other adverse events could have a material adverse effect on FLYTE’s business, results of operations and financial condition.

Previous report

Not required.