Royal Gold (RGLD) risk factors, FY2024 10-K

Risks Relating to Our Business

1. 01Our revenue is subject to volatility in metal prices, which could adversely affect our results of operations and cash flow
2. 02We own nonoperating interests in mining properties and cannot ensure properties are developed or operated in our best interests
3. 03Our stream and royalty interests may not result in anticipated returns or may not otherwise ultimately benefit our business
4. 04Our future success depends on our ability to acquire additional stream or royalty interests at appropriate valuations
5. 05For some properties, we may not realize all of the expected benefits of our investments if operators are unable to replace current mineral reserves as they are consumed or identify new mineral resources, which could adversely affect our future results of operations
6. 06A significant portion of our revenue comes from a small number of operating properties, and adverse developments at these properties could have a more significant or lasting effect on our results of operations than if our revenue were less concentrated
7. 07A significant disruption to our information technology systems or those of our third-party service providers could adversely affect our business and operating results
8. 08We depend on the services of our executives and other key employees, and the loss of one or more of these individuals could harm our business
9. 09We face various risks related to health epidemics, pandemics, and similar outbreaks, which could adversely affect our business, results of operations, financial position, and/or the trading price of our stock

Risks Relating to Our Stream and Royalty Interests

1. 10Our revenue is subject to operational and other risks faced by operators of the properties in which we hold stream or royalty interests
2. 11Most of our revenue is derived from properties outside the United States, and risks associated with conducting business in foreign countries or other sovereign jurisdictions could adversely affect our business, results of operations, financial condition, or the trading price of our common stock
3. 12If the assumptions underlying operators’ production, mineral reserve, or mineral resource estimates are inaccurate or if future events cause operators to negatively adjust their previous estimates, our future revenue or the value of our investments could be adversely affected
4. 13The operators of properties subject to our interests may be subject to growing environmental risks, including risks associated with climate change, which could adversely affect us, our financial condition, or the value of our interests or of our common stock
5. 14Evolving expectations regarding ESG matters may adversely affect our business, including as a result of additional costs, reputational damage, and/or litigation
6. 15As of December 31, 2024, we had $1 billion available under our revolving credit facility, none of which was drawn. Historically, we have used borrowings under our credit facility to finance investments and acquisitions, and we may incur indebtedness for investments, acquisitions or other purposes in future periods

Legal Risks

1. 16Defects in our stream or royalty interests or the bankruptcy or insolvency of an operator could adversely affect the value of our investments
2. 17Some of the agreements governing our stream and royalty interests contain terms that could adversely affect the revenues generated from those interests
3. 18Operators may fail to comply with their contractual arrangements with us or may interpret their obligations in a manner adverse to us, which could decrease our revenue or increase our costs
4. 19Changes to U.S. and foreign tax laws could adversely affect our results of operations
5. 20Anti-corruption laws and regulations could subject us to liability and require us to incur costs

Risks Related to Our Common Stock

1. 21Our stock price may continue to be volatile, and you could lose all or part of your investment
2. 22We may issue additional equity securities, which would dilute our existing stockholders and reduce our per-share financial measures and could reduce the market price of our common stock
3. 23We may change our practice of paying dividends, which could reduce the value of your investment
4. 24Provisions of Delaware law and our organizational documents could delay or prevent a third party from acquiring us