Hershey (HSY) risk factors, FY2025 10-K

Hershey's FY2025 10-K, filed Feb 17, 2026, lists 18 risk factors in 5 groups. Against the prior year's 17: 2 new, 1 dropped, 11 substantially reworded.

Open HSY in Gloom →
Hershey's chart, financials and news, free in your browser.Open HSY in Gloom →
Risk factors listed
185 groups
New this year
2vs 17 last year
Dropped
1since the prior 10-K
Substantially reworded
11of those kept
Section length
5k wordsItem 1A

What the changes say

  • Hershey adds risks around executing the AAA productivity program and broader macroeconomic, liquidity, and supply-chain disruption.
  • Environmental expectations, AI regulation, tariffs, and post-ERP implementation costs receive greater emphasis.
  • The Russia-Ukraine-specific reference is removed, while acquisition integration and competition risks are largely unchanged.

What changed since the prior 10-K

New

  • NewRisks Related to Strategic Initiatives

    The Hershey Company | 2025 Form 10-K | Page 13

    The AAA Initiative may fail to deliver planned supply-chain, manufacturing, technology, automation, and administrative savings needed for long-term growth.

  • NewRisks Related to Governmental and Regulatory Changes

    Political, economic and/or financial market conditions could negatively impact our financial results

    Macroeconomic weakness or financial-market stress could reduce impulse purchases, increase borrowing costs, disrupt suppliers, and weaken customers’ liquidity.

Dropped

  • DroppedRisks Related to Governmental and Regulatory Changes

    Political, economic and/or financial market conditions, including impacts on our business arising from the ongoing conflict between Russia and Ukraine, could negatively impact our financial results

Reworded

  • 100% rewrittenRisks Related to Our Business and Operations

    The Hershey Company | 2025 Form 10-K | Page 10

    The risk now addresses environmental impacts and unmet environmental expectations, replacing the prior focus on integrating acquired snack brands.

    Was: The Hershey Company | 2024 Form 10-K | Page 12

  • 100% rewrittenRisks Related to Strategic Initiatives

    The Hershey Company | 2025 Form 10-K | Page 12

    The text now discusses synergies from acquisitions including Sour Strips and Weaver Popcorn assets, replacing the AAA productivity-program risk.

    Was: The Hershey Company | 2024 Form 10-K | Page 13

  • 50% rewrittenRisks Related to Strategic Initiatives

    Our financial results may be adversely impacted by the failure to successfully execute or integrate acquisitions, divestitures and joint ventures

    No substantive wording change; it still covers due diligence, approval, integration, separation, and performance risks for acquisitions, divestitures, and joint ventures.

  • 42% rewrittenRisks Related to the Industry in Which We Operate

    We use many different commodities for our business, including cocoa products, sugar, corn products, dairy products, wheat products, peanuts, almonds, natural gas, and diesel fuel

    Tariffs are expressly added to trade-agreement risks, and the conflict reference changes from Russia-Ukraine to international impacts.

  • 39% rewrittenRisks Related to Strategic Initiatives

    We may not fully realize the expected cost savings and/or operating efficiencies associated with our strategic initiatives or restructuring programs, which may have an adverse impact on our business

    No substantive change; it continues covering strategic initiatives involving digital commerce, digital transformation, and data analytics.

  • 30% rewrittenRisks Related to Governmental and Regulatory Changes

    Changes in governmental laws, regulations and policies, including taxes and tariffs, could increase our costs and liabilities or impact demand for our products

    AI is added to the listed laws and policies, with greater emphasis on potential future regulatory liabilities.

    Was: Changes in governmental laws, regulations and policies could increase our costs and liabilities or impact demand for our products

  • 29% rewrittenRisks Related to Digital Transformation, Cybersecurity and Data Privacy

    Complications with the design or implementation of our new enterprise resource planning system could adversely impact our business and operations

    The ERP rollout is now complete, but Hershey highlights continuing personnel and financial resources required for post-implementation support and functionality.

  • 27% rewrittenRisks Related to the Industry in Which We Operate

    Increased marketplace competition could hurt our business

    No substantive change; it continues covering intense competition, snack-category pressure, promotional spending, and new-product requirements.

  • 25% rewrittenRisks Related to the Industry in Which We Operate

    Price increases may not be sufficient to offset cost increases and maintain profitability or may result in sales volume declines associated with pricing elasticity

  • 22% rewrittenRisks Related to Our Business and Operations

    Risks associated with climate change and other environmental impacts, and increased focus and evolving views of our customers, stockholders and other stakeholders on environmental issues, could negatively affect our business and operations

    Was: Risks associated with climate change and other environmental impacts, and increased focus and evolving views of our customers, stockholders and other stakeholders on climate change issues, could negatively affect our business and operations

  • 20% rewrittenRisks Related to Strategic Initiatives

    Our international operations may not achieve projected growth objectives, which could adversely impact our overall business and results of operations

All 18 risk factors

Headings as the filing states them, in filing order.

Risks Related to Our Business and Operations

  1. 01Disruption to our manufacturing operations or supply chain could impair our ability to produce or deliver finished products, resulting in a negative impact on our operating results
  2. 02We might not be able to hire, engage, and retain the talented global human capital we need to drive our growth strategies
  3. 03Activities related to identifying, recruiting, hiring, and integrating qualified individuals require significant time and attention. We may also need to invest significant amounts of cash and equity to attract talented new employees, and we may never realize returns on these investments
  4. 04Risks associated with climate change and other environmental impacts, and increased focus and evolving views of our customers, stockholders and other stakeholders on environmental issues, could negatively affect our business and operations22% rewritten
  5. 05The Hershey Company | 2025 Form 10-K | Page 10100% rewritten

Risks Related to the Industry in Which We Operate

  1. 06We use many different commodities for our business, including cocoa products, sugar, corn products, dairy products, wheat products, peanuts, almonds, natural gas, and diesel fuel42% rewritten
  2. 07Price increases may not be sufficient to offset cost increases and maintain profitability or may result in sales volume declines associated with pricing elasticity25% rewritten
  3. 08Market demand for new and existing products could decline
  4. 09Increased marketplace competition could hurt our business27% rewritten

Risks Related to Strategic Initiatives

  1. 10Our financial results may be adversely impacted by the failure to successfully execute or integrate acquisitions, divestitures and joint ventures50% rewritten
  2. 11The Hershey Company | 2025 Form 10-K | Page 12100% rewritten
  3. 12Our international operations may not achieve projected growth objectives, which could adversely impact our overall business and results of operations20% rewritten
  4. 13We may not fully realize the expected cost savings and/or operating efficiencies associated with our strategic initiatives or restructuring programs, which may have an adverse impact on our business39% rewritten
  5. 14The Hershey Company | 2025 Form 10-K | Page 13New

Risks Related to Governmental and Regulatory Changes

  1. 15Changes in governmental laws, regulations and policies, including taxes and tariffs, could increase our costs and liabilities or impact demand for our products30% rewritten
  2. 16Political, economic and/or financial market conditions could negatively impact our financial resultsNew

Risks Related to Digital Transformation, Cybersecurity and Data Privacy

  1. 17Disruptions, failures or security breaches of our information technology infrastructure could have a negative impact on our operations
  2. 18Complications with the design or implementation of our new enterprise resource planning system could adversely impact our business and operations29% rewritten

Other Hershey 10-Ks

  • FY2024 10-K risk factors
    17 risks

    Hershey’s risk profile is dominated by concentrated U.S. manufacturing and supply-chain exposure.

    Filed Feb 18, 2025

About this page

The headings are the filing's own. The one-line readings and the overview are automated and can be wrong: read Item 1A of the 10-K for the exact wording.