Mosaic (MOS) risk factors, FY2025 10-K

Operational Risks

1. 01Our operating results are highly dependent upon and fluctuate based upon business, economic and other conditions and governmental policies affecting the agricultural industry in which we or our customers operate. These factors are outside of our control and may significantly affect our profitability
2. 02U.S. tariffs on Canadian potash and retaliatory tariffs could materially adversely affect our business operations and financial condition56% rewritten
3. 03Unfavorable worldwide economic and market conditions could adversely affect our business, financial condition or operating results
4. 04Our crop nutrient business is seasonal and varies based on application rates, which may result in carrying significant amounts of inventory and seasonal variations in working capital, and our inability to predict future seasonal crop nutrient demand accurately may result in excess inventory or product shortages
5. 05A disruption at our production, distribution or terminaling facilities could have a material adverse impact on our business. The risk of material disruption increases when demand for our products results in high operating rates at our facilities79% rewritten
6. 06as other commercial arrangements with third parties. Any disruption of operations at any of these facilities may significantly negatively affect our production or our ability to distribute our productsNew
7. 07Reduced oil refinery operating rates in North America could have a material adverse impact on our business, financial condition or operating results47% rewritten
8. 08The occurrence of any of the above in the countries in which we operate or elsewhere could jeopardize or affect our ability to transact business there and could adversely affect our revenues and operating results and the value of our assets located outside of the U.S
9. 09Our assets outside of North America are located in countries with volatile conditions, which could subject us and our assets to significant risks
10. 10Adverse weather conditions have in the past and may in the future adversely affect our operations, particularly our Phosphate operations. In the past, hurricanes have resulted in physical damage to and outages at our facilities in Florida and Louisiana
11. 11If adverse weather conditions occur, as they have in the past, our facilities may be required to take additional measures to manage process water to comply with existing or future requirements and these measures could potentially have a material effect on our business and financial condition
12. 12Climate change could adversely affect us28% rewritten
13. 13Strikes or other forms of work stoppage or slowdown could disrupt our business and lead to increased costsNew
14. 14Our underground potash shaft mines are subject to risks of water inflows23% rewritten
15. 15Accidents or equipment failures occurring in the course of our operating activities could result in significant liabilities, interruptions or shutdowns of facilities or the need for significant safety or other expenditures
16. 16Our underground potash shaft mines are subject to risk from fire. In the event of a fire, if our emergency procedures are not successful, we could have significant injuries or deaths, or shutdowns of our facilities, or could cause us to expend significant amounts to remediate safety issues or repair damaged facilities
17. 17Our business operations rely on our information systems and any material disruption or slowdown of our systems could cause operational delays or loss of revenue
18. 18A shortage or unavailability of trucks, railcars, tugs, barges and ships for carrying our products and the raw materials we use in our business could result in customer dissatisfaction, loss of production or sales and higher transportation or equipment costs
19. 19Our success will continue to depend on our ability to attract and retain highly qualified and motivated employees

Regulatory Risks

1. 20Environmental, health and safety regulations and requirements to which we are subject may have a material adverse effect on our business, financial condition and results of operations
2. 21Our operations depend on having the required permits and approvals from governmental authorities. Denial or delay by a government agency in issuing any of our permits and approvals or imposition of restrictive conditions in those permits and approvals may impair our business and operations22% rewritten
3. 22We are, and may in the future be, involved in legal and regulatory proceedings that could be material to us
4. 23We have included additional information with respect to pending legal and regulatory proceedings in Note 23 of our Notes to Consolidated Financial Statements and in this Form 10-K in Part I, Item 3. “Legal Proceedings”64% rewritten
5. 24Regulatory restrictions on greenhouse gas emissions and climate change regulations in the U.S., Canada or elsewhere could adversely affect us, and these effects could be material42% rewritten
6. 25Our competitive position could be adversely affected if we are unable to participate in continuing industry consolidation
7. 26Our most important products are global commodities, and we face intense global competition from other crop nutrient producers that can affect our prices and volumes
8. 27Some of our competitors and potential competitors have greater resources than we do, which may place us at a competitive disadvantage and adversely affect our sales and profitability. These competitors include state-owned and government-subsidized entities in other countries

Industry Risks

1. 28Future product or technological innovation could affect our business
2. 29The success of our strategic initiatives depends on our ability to effectively manage them, and to successfully integrate and grow acquired businesses
3. 30Cyberattacks could disrupt our operations and have a material adverse impact on our business
4. 31Our crop nutrients and other products are subject to price and demand volatility resulting from periodic imbalances of supply and demand, which may cause our results of operations to fluctuate

Financial Risks

1. 32During periods when the prices for our products are falling because of falling raw material prices, we could be required to write-down the value of our inventories. Any such write-down could adversely affect our results of operations and the value of our assetsNew
2. 33We may incur significant non-cash charges if our goodwill or long-lived assets become impaired in the future
3. 34We are subject to taxes, including income taxes, resource taxes and royalties, and non-income based taxes in countries where we operate. Changes in tax laws or regulations or their interpretation could result in higher taxes, which could materially adversely affect our operating results and financial condition72% rewritten
4. 35Capital markets access, liquidity and credit ratingsNew
5. 36Our credit ratings significantly affect our cost of borrowing and access to financing. A downgrade by any major rating agency—whether due to industry conditions, commodity price volatility, or company-specific factors—could increase our borrowing costs and restrict access to credit marketsNew
6. 37Our strategy for managing market and interest rate risk may not be effective72% rewritten
7. 38Due to the global nature of our operations, we are exposed to currency exchange rate changes, which may cause fluctuations in earnings and cash flowsNew