Vontier (VNT) risk factors, FY2024 10-K

Risks Related to Our Business and Industry

1. 01Our growth depends in part on the timely development and commercialization, and customer acceptance, of new and enhanced products and services based on technological innovation
2. 02Changes in our software and subscription businesses may adversely impact our business, financial condition and results of operations
3. 03The indemnification provisions of acquisition agreements by which we have acquired companies may not fully protect us and as a result we may face unexpected liabilities
4. 04Our restructuring actions could have long-term adverse effects on our business
5. 05We may not be able to generate sufficient cash to service all of our indebtedness and may be forced to take other actions to satisfy our obligations under our indebtedness, which may not be successful
6. 06Any inability to consummate acquisitions at our historical rates and at appropriate prices, and to make appropriate investments that support our long-term strategy, could negatively impact our growth rate and stock price
7. 07Our acquisition of businesses, investments, joint ventures and other strategic relationships could negatively impact our financial statements
8. 08Divestitures or other dispositions could negatively impact our business, and contingent liabilities from businesses that we or our predecessors have sold could adversely affect our financial statements
9. 09Conditions in the global economy, the particular markets we serve and the financial markets may adversely affect our business and financial statements
10. 10Changes in U.S. trade policy, including changes to existing trade agreements and any resulting changes in international trade relations, may have a material adverse effect on us
11. 11Adverse changes in our relationships with, or the financial condition, performance, purchasing patterns or inventory levels of, key distributors and other channel partners could adversely affect our financial statements
12. 12Our financial results are subject to fluctuations in the cost and availability of commodities that we use in our operations
13. 13Defects, tampering, unanticipated use or inadequate disclosure with respect to our products or services (including software), or allegations thereof, could adversely affect our business, reputation and financial statements
14. 14Our growth could suffer if the markets into which we sell our products and services decline, do not grow as anticipated or experience cyclicality
15. 15Our reputation, ability to do business and financial statements may be impaired by improper conduct by any of our employees, agents or business partners
16. 16If we do not or cannot adequately protect our intellectual property, or if third parties infringe our intellectual property rights, we may suffer competitive injury or expend significant resources enforcing our rights
17. 17Third parties may claim that we are infringing or misappropriating their intellectual property rights and we could suffer significant litigation expenses, losses or licensing expenses or be prevented from selling products or services
18. 18If we suffer a loss to our facilities, supply chains, distribution systems or information technology systems due to catastrophe or other events, our operations could be seriously harmed
19. 19Our ability to attract, develop and retain talented executives and other key employees is critical to our success
20. 20Work stoppages, union and works council campaigns and other labor disputes could adversely impact our productivity and results of operations

Risks Related to Our International Operations

1. 21Global economic, political, legal, compliance, supply chain, epidemic, pandemic and business factors could negatively affect our financial statements
2. 22Foreign currency exchange rates may adversely affect our financial statements

Risks Related to Legal, Regulatory and Compliance Matters

1. 23Changes in, or status of implementation of, industry standards and governmental regulations, including the interpretation or enforcement thereof, may reduce demand for our products or services, increase our expenses or otherwise adversely impact our business model
2. 24Our businesses are subject to extensive regulation; failure to comply with those regulations could adversely affect our financial statements and our business, including our reputation
3. 25We are party to asbestos-related product litigation that could adversely affect our financial condition, results of operations and cash flows
4. 26A significant disruption in, or breach in security of, our information technology systems or data or violation of data privacy laws could adversely affect our business, reputation and financial statements
5. 27Our operations, products and services expose us to the risk of environmental, health and safety liabilities, costs and violations that could adversely affect our business, reputation and financial statements
6. 28We are subject to a variety of litigation and other legal and regulatory proceedings in the course of our business that could adversely affect our business and financial statements
7. 29As a public company, we are required to maintain internal controls over financial reporting and to report any material weaknesses in such internal controls

Risks Related to Our Accounting and Tax Matters

1. 30We may be required to recognize impairment charges for our goodwill and other intangible assets
2. 31Changes in our effective tax rates or exposure to additional income tax liabilities or assessments could affect our profitability. In addition, audits by tax authorities could result in additional payments for prior periods

Risks Related to Our Common Stock

1. 32The trading price of our common stock may be volatile, which may be exacerbated by share repurchases under our Share Repurchase Program
2. 33Certain provisions in our amended and restated certificate of incorporation and bylaws, and of Delaware law, may prevent or delay an acquisition of us, which could decrease the trading price of our common stock