Mativ Holdings (MATV) risk factors, FY2025 10-K

Other

1. 01Factors That May Affect Future Results
2. 02Effectively policing our domestic and international intellectual property and patent rights is costly and may not be successful
3. 03Some of our patents have been the subject of opposition hearings. Like the actions we undertake to enforce our IP rights, oppositions filed against us in respect of our intellectual property are expensive and divert management time and resources
4. 04Because of the geographic diversity of our business, we are subject to a range of international risks
5. 05We are subject to risks related to our dependence on foreign imports and exports27% rewritten
6. 06Fluctuations in foreign currency exchange rates could adversely impact our financial condition, results of operations and cash flows
7. 07The Company could be subject to changes in its tax rates, the adoption of new U.S., or foreign tax legislation or exposure to additional tax liabilities
8. 08We face competition from several established competitors and we have limited market transparency
9. 09We are dependent upon the availability of credit, and changes in interest rates can impact our business
10. 10Our credit facilities are secured by substantially all of the personal property of the Company and its domestic subsidiaries. In the event of a default on these agreements, substantially all of the assets of the Company could be subject to foreclosure or liquidation by the secured creditors
11. 11Our failure to comply with the covenants contained in our credit agreements and other debt instruments could result in an event of default that could cause acceleration of our indebtedness
12. 12Future dividends on our common stock may be restricted or eliminated
13. 13Our internal and external expansion plans and asset dispositions entail different and additional risks relative to the rest of our business
14. 14internal growth, present additional risks, including causing us to incur unknown or new types of liabilities, subjecting us to new regulatory frameworks and new market risks, and acquiring operations in new geographic regions with challenging labor, regulatory and tax regimes
15. 15Divestitures or other dispositions could negatively impact our business, and contingent liabilities from businesses that we have sold or will sell could adversely affect our financial statements
16. 16Impairment of goodwill has negatively impacted our results of operations. If goodwill is further or fully impaired in the future, our results of operations will be negatively impacted furtherNew
17. 17We may not successfully integrate acquisitions into Mativ's operations and we may be unable to achieve anticipated cost savings or other synergies
18. 18Our restructuring activities are time-consuming and expensive and could significantly disrupt our business
19. 19Our financial performance can be significantly impacted by the cost and availability of raw materials and energy and we may have limited ability to pass through increases in costs to our customers
20. 20A failure of, or a security breach in, a key information technology system or process or other unusual events could compromise our information and expose us to liability, which could adversely affect our business; IT project delays and overruns are possible
21. 21The introduction of artificial intelligence (“AI”) may present risks to our businessNew
22. 22We rely on a limited number of key employees and our failure to recruit and/or retain senior management and key employees globally could harm our business
23. 23Public health emergencies or outbreaks of epidemics, pandemics, or contagious diseases have adversely affected, and could in the future, adversely affect our business and the business of our customers and suppliers
24. 24Our business depends upon good relations with our employees. Work stoppages, slowdowns or legal action by our unionized employees may have a material adverse effect on our business, financial condition, results of operations and cash flows
25. 25Our business is subject to various environmental laws, regulations and related litigation that could impose substantial costs or other liabilities on us89% rewritten
26. 26ESG issues may have an adverse effect on our business, financial condition and results of operations, the desirability of our stock, and may damage our reputation
27. 27Increases in costs of pension benefits may reduce our profitability and could impact our cash reserves
28. 28We are subject to various legal actions and other claims
29. 29Any loss or interruption of the operations of our facilities may harm our operating performance
30. 30Fluctuations in construction and infrastructure spending can impact demand for certain of our products
31. 31Historically, we have experienced significant cost savings and productivity benefits relating to our ongoing operational excellence program; however, these benefits may not continue indefinitely or at the same levels
32. 32Our foreign sales and operations may be adversely affected by supply chain disruptions due to political unrest, terrorist acts, and national and international dispute