Dollar General (DG) risk factors, FY2025 10-K

Business, Strategic and Competitive Risks

1. 01Economic factors may reduce our customers’ confidence and spending, impair our ability to execute our strategies and initiatives, and increase our costs and expenses, which could result in materially decreased sales and/or profitability
2. 02Our plans depend significantly on strategies, initiatives and investments designed to increase sales and profitability and improve the efficiencies, costs and effectiveness of our operations, and failure to achieve or sustain these plans could materially affect our results of operations
3. 03We face intense competition that could limit our growth opportunities and materially and adversely affect our results of operations and financial condition

Operational Risks

1. 04Inventory shrinkage and damages may negatively affect our results of operations and financial condition
2. 05Our cash flows from operations, profitability and financial condition may be negatively affected if we are not successful in managing our inventory balances
3. 06Failure to maintain the security of our business, customer, employee or vendor information or to comply with privacy laws could expose us to litigation, government enforcement actions and costly response measures, and could materially harm our reputation and affect our business and financial performance
4. 07Material damage or interruptions to our information systems as a result of external factors, staffing shortages or challenges in maintaining or updating our existing technology or developing or implementing new technology could materially and adversely affect our business and results of operations
5. 08A significant disruption to our distribution network, the capacity of our distribution centers or the timely receipt of inventory could adversely affect sales or increase our transportation costs, which would decrease our profitability
6. 09Risks associated with or faced by our suppliers could adversely affect our financial performance
7. 10Failure to attract, develop and retain qualified employees while controlling labor costs, as well as other labor issues, including employee safety issues, could adversely affect our financial performance
8. 11Our success depends on our executive officers and other key personnel. If we lose key personnel or are unable to hire additional qualified personnel, our business may be harmed
9. 12Product liability, product recall or other product safety or labeling claims could adversely affect our business, reputation and financial performance
10. 13Our current insurance program may expose us to unexpected costs and negatively affect our financial performance
11. 14Our private brands may not be successful in improving our gross profit rate at our expected levels and may increase certain of the risks we face
12. 15Failure to protect our reputation could adversely affect our business
13. 16Because our business is somewhat seasonal, adverse events during the fourth quarter could materially affect our financial statements as a whole
14. 17We rely on third parties in many aspects of our business, which creates additional risk

Financial and Capital Market Risks

1. 18Deterioration in market conditions or changes in our credit profile could adversely affect our business operations and financial condition
2. 19The price of our common stock is subject to market and other factors, including our failure to meet market expectations for our performance, and may be volatile

Regulatory, Legal, Compliance and Accounting Risks

1. 20A significant change in governmental regulations and requirements could materially increase our cost of doing business, and noncompliance with governmental laws or regulations could materially and adversely affect our financial performance
2. 21Legal proceedings may adversely affect our reputation, business, results of operations and financial condition
3. 22The implementation of new accounting standards could require certain systems, internal process and controls and other changes that could increase our operating costs and result in changes to our financial statements