Lennox International (LII) risk factors, FY2024 10-K

Business and Operational Risks

1. 01We May Not be Able to Compete Favorably in the Competitive HVACR Business
2. 02If We Cannot Successfully Develop and Market New Products or Execute Our Business Strategy, Our Results of Operations Could be Adversely Impacted
3. 03Our Ability to Meet Customer Demand and Maintain Profitability may be Limited by Our Single-Location Production Facilities, Reliance on Certain Key Suppliers, and Unanticipated Significant Shifts in Customer Demand
4. 04Our Results of Operations May Suffer if We Cannot Continue to License or Enforce the Intellectual Property Rights on Which Our Businesses Depend or if Third Parties Assert That We Violate Their Intellectual Property Rights
5. 05Our Operations Can Be Adversely Affected By Our Ability to Attract, Motivate, Develop, and Retain Our Employees, Labor Shortages and Work Stoppages, Turnover, Labor Cost Increases and Other Labor Relations Problems
6. 06Artificial Intelligence Technologies Could Present Business, Compliance, and Reputational Risks

Industry Risks

1. 07Our Financial Performance Is Affected by the Conditions and Performance of the U.S. Construction Industry
2. 08Cooler than Normal Summers and Warmer than Normal Winters May Depress Our Sales
3. 09Price Volatility for Commodities and Components We Purchase or Significant Supply Interruptions Could Have an Adverse Effect on Our Cash Flow or Results of Operations
4. 10We May Incur Substantial Costs as a Result of Product Liability, Warranty Claims, or Recalls

Legal, Tax, and Regulatory Risks

1. 11Changes in Environmental and Climate-Related Legislation, Government Regulations, or Policies Could Have an Adverse Effect on Our Results of Operations
2. 12result in loss of business, regulatory penalties, litigation, and/or reputational damage. Further, we may face adverse reputational risks due to our products and manufacturing operations consuming energy or using refrigerants and hydroflurocarbons
3. 13Changes in Tax Laws and Interpretations Could Adversely Impact our Effective Tax Rates and Financial Results
4. 14Changes in U.S. Trade Policy, Including the Imposition of Tariffs and the Resulting Consequences, Could Have an Adverse Effect on Our Results of Operations
5. 15Our Reputation, Ability to Do Business, and Results of Operations Could be Impaired By Improper Conduct By Any of Our Employees, Agents, or Business Partners
6. 16We are Subject to Claims, Lawsuits, and Other Litigation That Could Have an Adverse Effect on Our Results of Operations
7. 17Global General Business, Economic and Market Conditions Could Adversely Affect Our Financial Performance and Limit Our Access to the Capital Markets
8. 18Extraordinary Events Beyond our Control, Including Conflicts, Wars, Natural Disasters, Public Health Crises, or Terrorist Acts, Could Negatively Impact our Business, Which May Affect our Financial Condition, Results of Operations or Cash Flows
9. 19Our International Operations Subject Us to Risks Related to Foreign Currencies Fluctuations and Other Risks
10. 20Cyber Attacks and Other Disruptions or Misuse of Information Systems We Rely Upon Could Affect Our Ability to Conduct Our Business Effectively
11. 21We May Not be Able to Successfully Integrate and Operate Businesses that We May Acquire nor Realize the Anticipated Benefits of Strategic Relationships We May Form