HP (HPQ) risk factors, FY2024 10-K

STRATEGIC AND OPERATIONAL RISKS

1. 01If we cannot successfully execute our strategy and continue to develop, manufacture and market innovative products, services and solutions, our business and financial performance may suffer
2. 02We expect the proliferation of AI to have a significant impact on our industry and the markets in which we compete, and the development and use of AI presents competitive, reputational, and liability risks
3. 03We are heavily dependent on third-party suppliers and supply chain issues have adversely affected, and could adversely affect in the future, our financial results
4. 04Our business and financial performance could suffer if we do not manage the risks associated with our services businesses properly
5. 05We operate in an intensely competitive industry and competitive pressures could harm our business and financial performance
6. 06Our alliance partners in certain areas may be or may become our competitors in others. In addition, these partners also may acquire or form alliances with our competitors, which could reduce their business with us
7. 07If we cannot continue to produce high-quality and secure products and services, our reputation, business and financial performance may suffer
8. 08Third-party claims of IP infringement are commonplace in our industry and may limit or disrupt our ability to sell our products and services
9. 09Our operating results have historically varied and may not be indicative of future results
10. 10If we fail to manage the distribution of our products and services properly, our business and financial performance could suffer
11. 11Our uneven sales cycle makes planning and inventory management difficult and future financial results less predictable
12. 12In order to be successful, we must attract, retain, train, motivate, develop and transition key employees, and failure to do so could seriously harm us
13. 13Our financial performance may suffer if we cannot develop, obtain, license or enforce the intellectual property rights on which our businesses depend
14. 14System security risks, data protection breaches, cyberattacks, system outages and systems integration issues could disrupt our internal operations or services provided to customers, and could reduce our revenue, increase our expenses, damage our reputation and adversely affect our cash flows and stock price
15. 15We may not achieve some or all of the expected benefits of our restructuring plans and our restructuring may adversely affect our business
16. 16We may not be able to execute acquisitions, divestitures and other significant transactions successfully and we may have difficulty or fail to successfully integrate acquired companies
17. 17In addition, if we fail to identify, successfully complete and integrate transactions that further our strategic objectives, we may be required to expend resources to develop products, services and technology internally, which may put us at a competitive disadvantage
18. 18Our aspirations and disclosures related to environmental, social and governance (“ESG”) matters expose us to risks that could adversely affect our reputation and performance
19. 19Some anti-takeover provisions contained in our certificate of incorporation and bylaws, as well as provisions of Delaware law, could impair a takeover attempt

MACROECONOMIC, INDUSTRY AND FINANCIAL RISKS

1. 20Due to the international nature of our business, geopolitical or economic changes or events, uncertainty or other factors could harm our business and financial performance
2. 21Economic weakness and uncertainty is expected to continue to adversely affect demand for our products and services and, as a result, our business and financial performance
3. 22We are exposed to fluctuations in currency exchange rates, which could adversely impact our results
4. 23Business disruption events could seriously harm our future revenue, cash flows and financial condition and increase our costs and expenses
5. 24Climate change and associated regulatory and market impacts may have an adverse effect on our business
6. 25Failure to maintain our credit ratings could adversely affect our liquidity, capital position, borrowing costs and access to capital markets, as well as our subscription based and other offerings
7. 26Our debt obligations could adversely affect our business and financial condition
8. 27The amount and frequency of our share repurchases and dividends are affected by a number of factors and may fluctuate
9. 28We make estimates and assumptions in connection with the preparation of our financial statements, and any changes to those estimates and assumptions could adversely affect our results of operations, cash flows and financial condition
10. 29We have identified a material weakness in our internal control over financial reporting that could, if not remediated, result in material misstatements in our financial statements and cause us to fail to meet our reporting and financial obligations
11. 30Ineffective internal controls could impact our business and operating results

LEGAL AND REGULATORY RISKS

1. 31Our business is subject to various federal, state, local and foreign laws and regulations that could adversely affect our business and results of operations and cash flows
2. 32We are subject to risks associated with litigation and regulatory proceedings
3. 33Failure to comply with our customer and partner contracts or government contracting regulations could adversely affect our business and financial performance
4. 34Changes in our tax provisions, adverse tax audits, the adoption of new tax legislation, or exposure to additional tax liabilities could have a material impact on our financial performance