Johnson Controls International (JCI) risk factors: FY2025 10-K
Item 1A of the 10-K for the period ending 2025-09-30, filed 2025-11-14. 37 risk factor headings as filed. Read Item 1A in full · The whole 10-K · What changed since FY2024
0new since FY2024
2reworded
3removed
35unchanged
Headings mentioning a theme: Tariffs 0 · AI 1 · Cybersecurity 1 · China 0 · Interest rates 0. Compare across the S&P 500.
Risks Related to Our Business Operations
14- Our future growth is dependent upon our ability to develop or acquire new products, services and technologies that achieve market acceptance with acceptable margins.
- Failure to increase organizational effectiveness through the execution of our operating model and organizational improvements may reduce our profitability or adversely impact our business.
- Failure to achieve and maintain a high level of product and service quality and on-time delivery could damage our reputation with customers and negatively impact our results.reworded
- The ability of suppliers to deliver raw materials, parts and components to our manufacturing facilities, and our ability to manufacture and deliver services without disruption, could affect our results of operations.
- Our business success depends on attracting and retaining qualified personnel.
- Cybersecurity incidents impacting our IT systems and digital products could disrupt business operations, result in the loss of critical and confidential information, and materially and adversely affect our reputation and results of operations.Cybersecurity
- Data privacy, identity protection and information security compliance may require significant resources and presents certain risks.
- We are incorporating artificial intelligence technologies into our products, services and processes. These technologies may present business, compliance and reputational risks.AI
- Infringement or expiration of our intellectual property rights, or allegations that we have infringed upon the intellectual property rights of third parties, could negatively affect us.
- We rely on our global direct installation channel for a significant portion of our revenue. Failure to maintain and grow the installed base resulting from direct channel sales could adversely affect our business.
- Global climate change and related regulations could negatively affect our business.
- Failure to achieve our public sustainability commitments could negatively affect our reputation and business.
- A material disruption of our operations due to catastrophic or geopolitical events, particularly at our monitoring and/or manufacturing facilities, could materially and adversely affect our business.
- Our business may be adversely affected by work stoppages, union negotiations, labor disputes and other matters associated with our labor force.
Risks Related to Macroeconomic and Political Conditions
5- Some of the industries in which we operate are cyclical and, accordingly, demand for our products and services could be adversely affected by downturns in these industries.
- Changes in U.S. or foreign trade policies and other factors beyond our control may adversely impact our business and operating results.
- Risks associated with our non-U.S. operations could adversely affect our business, financial condition and results of operations.
- Economic, political, credit and capital market conditions could adversely affect our financial performance, our ability to grow or sustain our business and our ability to access the capital markets.
- Volatility in commodity prices may adversely affect our results of operations.
Risks Relating to Strategic Transactions
2- We may not realize the benefits of our ongoing efforts to simplify our portfolio.
- We may be unable to successfully execute or effectively integrate acquisitions or joint ventures.
Risks Related to Government Regulations
4- Our businesses operate in regulated industries and are subject to a variety of complex and continually changing laws and regulations.
- We are subject to requirements relating to environmental and safety regulations and environmental remediation matters which could adversely affect our business, results of operation and reputation.
- We could be adversely affected by violations of the U.S. Foreign Corrupt Practices Act, the U.K. Bribery Act and similar anti-bribery laws around the world.
- We are subject to risks arising from regulations applicable to companies doing business with the U.S. government.
Risks Related to Litigation
3- Potential liability for environmental contamination could result in substantial costs.
- We are party to asbestos-related product litigation that could adversely affect our financial condition, results of operations and cash flows.
- Legal proceedings in which we are, or may be, a party may adversely affect us.
Risks Related to Tax Matters
4- Future potential changes to the tax laws could adversely affect us and our affiliates.
- Future potential changes to the U.S. tax laws could result in us being treated as a U.S. corporation for U.S. federal tax purposes, and the Internal Revenue Service ("IRS") may not agree that we should be treated as a non-U.S. corporation for U.S. federal tax purposes.
- Changes to the U.S. model income tax treaty could adversely affect us.
- Negative or unexpected tax consequences could adversely affect our results of operations.
Risks Relating to Our Jurisdiction of Incorporation
3- Irish law differs from the laws in effect in the U.S. and may afford less protection to holders of our securities.
- Transfers of Johnson Controls ordinary shares may be subject to Irish stamp duty.
- Dividends paid by us may be subject to Irish dividend withholding or Irish income tax.reworded
General Risk Factors
2- The potential insolvency or financial distress of third parties could adversely impact our business and results of operations.
- A variety of other factors could adversely affect the results of operations of our business.
No longer in Item 1A
3Headings in the FY2024 10-K with no match this year.
- Risks associated with joint venture investments may adversely affect our business and financial results.
- Dividends received by investors could be subject to Irish income tax.
- Risks related to our defined benefit retirement plans may adversely impact our results of operations and cash flow.
Headings are the lines of Item 1A set wholly in bold or italics, as the parser reads them, without the introductory paragraph that opens the section. A heading is new when no heading in the prior 10-K matches it after ignoring case and punctuation, and reworded when it shares at least 60 percent of its words with one that went away. Source: the filing on sec.gov.
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