Jewett Cameron Trading (JCTC) risk factors, FY2024 10-K

Risks Related to Our Business

1. 01We could experience a decrease in the demand for our products resulting in lower sales volumes
2. 02If our top customers were lost, we could experience lower sales volumes
3. 03We are dependent upon third-party manufacturers and suppliers for substantially all our of products
4. 04We face significant competition, which could reduce the demand for our products
5. 05We could experience delays in the delivery of our products to our customers causing us to lose business
6. 06Governmental actions, such as tariffs, and/or foreign policy actions could adversely and unexpectedly impact our business
7. 07Inflation could adversely affect our business
8. 08Outdoor product sales are highly seasonal and subject to adverse weather
9. 09Competitors may infringe on our intellectual property which would negatively affect our business and financial condition
10. 10Our products may have issues that could lead to product liability claims
11. 11We could lose our credit agreement and could result in our not being able to pay our creditors
12. 12Our information technology systems are susceptible to certain risks, including cyber security breaches, which could adversely impact our operations and financial condition
13. 13If we fail to maintain an effective system of internal controls, we may not be able to detect fraud or report our financial results accurately, which could harm our business and we could be subject to regulatory scrutiny

Risks Related to Our Common Shares

1. 14We may decide to acquire assets or enter into business combinations, which could be paid for, either wholly or partially with our common shares and if we decide to do this our current shareholders would experience dilution in their percentage of ownership
2. 15Future stock distributions could be structured in such a way as to be 1) diluting to our current shareholders or 2) could cause a change in control to new investors