Clean Energy Fuels (CLNE) risk factors, FY2024 10-K

Risks Related to Our Business

1. 01Our success is dependent on the willingness of fleets and other customers to adopt our vehicle fuels, which may not occur in a timely manner, at expected levels or at all
2. 02We are dependent on the production of vehicles and engines in our key customer and geographic markets by manufacturers, over which we have no control
3. 03Our RNG business may not be successful
4. 04Our commercial success depends on our ability and the ability of our third-party supply sources to successfully develop and operate projects and produce expected volumes of RNG
5. 05Acquisition, financing, construction, and development of projects by us or our partners that own projects and divestitures, investments or other strategic relationships, may not commence on anticipated timelines or at all, may not meet expectations, and may otherwise harm our business
6. 06To secure ADG RNG from new projects we develop, we typically face a long and variable development cycle that requires significant resource commitments and a long lead time before we realize revenue
7. 07Livestock waste and dairy farm projects are dependent on LCFS credits and RINS
8. 08We have a history of losses and may incur additional losses in the future
9. 09Our plans for hydrogen and electric vehicle stations will require significant cash investments and management resources and may not meet our expectations
10. 10Increases, decreases and general volatility in oil, diesel, renewable diesel, natural gas, RNG and Environmental Credit prices could adversely affect our business
11. 11We face increasing competition from competitors, many of which have far greater resources, customer bases and brand awareness than we have, and we may not be able to compete effectively with these businesses
12. 12We rely on information technology in our operations, and any material failure, inadequacy, interruption, or security failure of that technology could harm our business
13. 13NG Advantage may not be successful
14. 14Our station construction activities subject us to business and operational risks
15. 15We have significant contracts with government entities, which are subject to unique risks
16. 16often able to modify, curtail or terminate contracts with us at their convenience and without prior notice, and would only be required to pay for work completed and commitments made at or prior to the time of termination
17. 17Our results of operations fluctuate significantly and are difficult to predict
18. 18A pandemic, epidemic or other infectious disease outbreaks, such as the COVID-19 pandemic, may adversely harm our business
19. 19Our future success will depend on our ability to attract and retain qualified management, technical, and other personnel

Risks Related to Our Indebtedness and Other Capital Resources

1. 20We may need to raise additional capital to continue to fund our business, which could have negative effects and may not be available when needed, on acceptable terms or at all
2. 21Our indebtedness could adversely affect our financial condition or operating flexibility and prevent us from fulfilling our obligations under our credit agreement and other indebtedness we may incur, and we may not generate sufficient cash flow from our business to pay our debt
3. 22Our warranty reserves may not adequately cover our warranty obligations, which could result in unexpected costs

Risks Related to Environmental Health and Safety and Governmental and Environmental Regulations

1. 23Our business is influenced by environmental, tax and other government regulations, programs and incentives that promote our vehicle fuels, and their modification or repeal could negatively affect our business
2. 24To benefit from Environmental Credits, RNG projects are required to be registered and are subject to audit
3. 25Our business could be negatively affected by federal or state laws, orders or regulations mandating new or additional limits on GHG emissions, “tailpipe” emissions or internal combustion engines
4. 26Our business is subject to a variety of government regulations, including environmental regulations, which may restrict our operations and result in costs and penalties or otherwise adversely affect our business and ability to compete
5. 27Our operations entail inherent safety and environmental risks, which may result in substantial liability to us

Risks Related to Our Common Stock

1. 28Sales of our common stock, or the perception that such sales may occur, could cause the market price of our stock to drop significantly, regardless of the state of our business
2. 29The price of our common stock may continue to fluctuate significantly, and you could lose all or part of your investment