What the changes say
- Cybersecurity and IT resilience receive new emphasis, including fiscal 2026 breach attempts and dependence on third-party platforms.
- Privacy compliance risk expands as data-protection laws grow more complex and penalties increase.
- Tariffs and supply-chain exposure are more prominent across China, Vietnam, Mexico, Thailand, and Canada.
- AI and changing digital media are newly identified as threats to brand relevance and consumer behavior.
What changed since the prior 10-K
New
- New
Our business and our reputation could be adversely affected by cybersecurity incidents and the failure to protect sensitive information relating to customers, consumers, employees, contractors, suppliers, vendors and other third parties or confidential business information
Cyberattacks against La-Z-Boy or its cloud and service-provider systems could expose customer, employee, payment, and proprietary information.
- New
addition, evolving technologies, including artificial intelligence (“AI”), may increase the effectiveness, speed and scale of cyber-attacks. During fiscal 2026, we experienced attempts to breach our networks and systems, and we expect such attempts to continue
AI may make cyberattacks faster and more effective; La-Z-Boy experienced network-breach attempts during fiscal 2026.
- New
We rely extensively on information technology systems to process transactions, manage our operations, support certain independent dealers, maintain financial and operational records, and communicate throughout our supply chain. We also depend on systems and services provided by third-party technology vendors
Failures of La-Z-Boy’s or technology vendors’ systems could disrupt transactions, production, supply chains, dealer support, and financial records.
- New
mitigate these risks through supply chain adjustments, pricing strategies, or other measures, our financial performance and growth prospects could be negatively affected
Tariffs, trade restrictions, and foreign sourcing across China, Vietnam, Thailand, Mexico, and Canada may raise costs that La-Z-Boy cannot pass through.
- New
Our business and our reputation could be adversely affected by the failure to comply with, or the costs of compliance with, evolving regulations relating to our obligation to protect sensitive information relating to customers, consumers, employees, suppliers, and vendors or confidential business information
Expanding and inconsistent privacy laws, including GDPR breach-disclosure and penalty requirements, could increase compliance costs and liability.
Dropped
- Dropped
differentiate our products (through styling, finish, and other construction techniques) from those of our competitors. The highly competitive nature of the industry means we are constantly subject to the risk of losing market share, which would likely decrease our future sales, earnings, and liquidity
- Dropped
Our business and our reputation could be adversely affected by cybersecurity incidents and the failure to protect sensitive employee, customer, consumer, vendor or Company data
- Dropped
We rely extensively on information technology systems to process transactions, summarize results, and manage our business and that of certain independent dealers. Disruptions in both our primary and back-up systems could adversely affect our business and results of operations
- Dropped
Our business and our reputation could be adversely affected by the failure to comply with or the cost of compliance with evolving regulations relating to our obligation to protect sensitive employee, customer, consumer, vendor or Company data
Competition and consumers’ shift from physical furniture stores toward online purchasing could reduce sales and operating margins.
Reworded
- 72% rewritten
Loss of market share and other financial or operational difficulties due to competition would likely result in a decrease in our sales, earnings, and liquidity
The current text is shorter and omits the prior discussion of competitors’ product offerings and inability to differentiate.
- 70% rewritten
We are subject to risks from changes to the trade policies, including tariff and import/export regulations, by the United States or other foreign governments
The current text adds that La-Z-Boy may be unable to mitigate tariff effects, raise prices, or find alternative sources.
- 62% rewritten
Inability to maintain and enhance our brand image and reputation and respond to changes in our current and potential consumers' tastes, trends and shopping behavior in a timely manner could adversely affect our business, results of operations and financial condition
The risk now specifically covers protecting brand reputation, social media, online advertising, AI, generative AI, and technology-driven consumer behavior.
Was: Inability to maintain and enhance our brand and respond to changes in our current and potential consumers' tastes and trends in a timely manner could adversely affect our business and results of operations
- 52% rewritten
Changes in the availability and cost of foreign sourcing and economic and political uncertainty in countries outside of the United States in which we operate or from which we purchase product, could adversely affect our business and results of operations
The sourcing description removes the United Kingdom, shifts leather and fabric-set sourcing toward Vietnam and China, and identifies China as the main raw-fabric source.
- 42% rewritten
Financial and Strategic Risk Factors
Acquisition examples change from La-Z-Boy Furniture Galleries and retail businesses to La-Z-Boy Stores and direct-to-consumer businesses.
- 27% rewritten
We may be subject to product liability and other claims or undertake to recall one or more products, which could adversely affect our reputation, business, results of operations and financial condition
No substantive change is apparent; the discussion of recalls, product litigation, penalties, and reputational harm is unchanged.
Was: We may be subject to product liability and other claims or undertake to recall one or more products, which could adversely affect our business, results of operations and reputation
- 26% rewritten
Significant disruptions in our supply chain could negatively affect our business and results of operations
The current text removes the COVID-19 example, adds raw materials, and expressly identifies effects on operating results.
- 26% rewritten
Due to the nature of our business and our payment terms, we may not be able to collect amounts owed to us by customers or other third-parties, which may adversely affect our sales, earnings, financial condition, and liquidity
The current text extends credit risk to other third parties and uncollectible debt, beyond wholesale customer receivables.
Was: Due to the nature of our business and our payment terms, we may not be able to collect amounts owed to us by customers, which may adversely affect our sales, earnings, financial condition, and liquidity
All 24 risk factors
Headings as the filing states them, in filing order.
Other
- 01Macroeconomic and Market Risk Factors
- 02Declines in certain economic and market conditions that impact consumer confidence and consumer spending, or cause further disruption in our business, could negatively impact our sales, results of operations and liquidity
- 03Loss of market share and other financial or operational difficulties due to competition would likely result in a decrease in our sales, earnings, and liquidity72% rewritten
- 04Our business and our reputation could be adversely affected by cybersecurity incidents and the failure to protect sensitive information relating to customers, consumers, employees, contractors, suppliers, vendors and other third parties or confidential business informationNew
- 05addition, evolving technologies, including artificial intelligence (“AI”), may increase the effectiveness, speed and scale of cyber-attacks. During fiscal 2026, we experienced attempts to breach our networks and systems, and we expect such attempts to continueNew
- 06We rely extensively on information technology systems to process transactions, manage our operations, support certain independent dealers, maintain financial and operational records, and communicate throughout our supply chain. We also depend on systems and services provided by third-party technology vendorsNew
- 07Inability to maintain and enhance our brand image and reputation and respond to changes in our current and potential consumers' tastes, trends and shopping behavior in a timely manner could adversely affect our business, results of operations and financial condition62% rewritten
- 08Significant disruptions in our supply chain could negatively affect our business and results of operations26% rewritten
- 09Fluctuations in the price, availability and quality of raw materials could cause delays that could result in our inability to timely provide goods to our customers. Such fluctuations have increased, and could continue to increase, our cost and therefore decrease our earnings
- 10Changes in the availability and cost of foreign sourcing and economic and political uncertainty in countries outside of the United States in which we operate or from which we purchase product, could adversely affect our business and results of operations52% rewritten
- 11Financial and Strategic Risk Factors42% rewritten
- 12We regularly review and evaluate our liquidity and capital needs. We believe that our cash and cash equivalents, short-term investments, cash from operations, and amounts available under our credit facility will be sufficient to finance our operations and expected capital requirements for at least the next 12 months
- 13Due to the nature of our business and our payment terms, we may not be able to collect amounts owed to us by customers or other third-parties, which may adversely affect our sales, earnings, financial condition, and liquidity26% rewritten
- 14We may be unsuccessful in identifying attractive acquisition opportunities or, to the extent that we pursue attractive acquisition opportunities, we may be unsuccessful in completing or realizing the expected benefits of such acquisitions
- 15Changes in the domestic or international regulatory environment could adversely affect our business and results of operations
- 16We are subject to risks from changes to the trade policies, including tariff and import/export regulations, by the United States or other foreign governments70% rewritten
- 17mitigate these risks through supply chain adjustments, pricing strategies, or other measures, our financial performance and growth prospects could be negatively affectedNew
- 18Our business and our reputation could be adversely affected by the failure to comply with, or the costs of compliance with, evolving regulations relating to our obligation to protect sensitive information relating to customers, consumers, employees, suppliers, and vendors or confidential business informationNew
- 19Changes in regulation of our international operations, including anti-corruption laws and regulations, could adversely affect our business and results of operations
- 20We may be subject to product liability and other claims or undertake to recall one or more products, which could adversely affect our reputation, business, results of operations and financial condition27% rewritten
- 21Changes in tax policies could adversely affect our business and results of operations
- 22Our operations are subject to risks of unsettled political conditions, natural or man-made disasters, adverse weather, climate change, acts of war, terrorism, organized crime, pandemics and other public health concerns, any one of which could adversely affect our business and results of operations
- 23We make certain assumptions, judgments and estimates that impact the amounts reported in our consolidated financial statements, which, if not accurate, may impact our financial results
- 24We may not be able to recruit and retain key employees and skilled workers in a competitive labor market or we could experience continued increases in labor costs, which could adversely affect our business and results of operations
Other La-Z-Boy 10-Ks
- FY2025 10-K risk factors23 risks
La-Z-Boy faces significant risk from economic cycles impacting discretionary consumer spending on furniture.
Filed Jun 17, 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.