O'Reilly Automotive (ORLY) risk factors: FY2025 10-K

Item 1A of the 10-K for the period ending 2025-12-31, filed 2026-02-27. 18 risk factor headings as filed. Read Item 1A in full · The whole 10-K · What changed since FY2024

0new since FY2024
1reworded
0removed
17unchanged

Headings mentioning a theme: Tariffs 0 · AI 0 · Cybersecurity 0 · China 0 · Interest rates 0. Compare across the S&P 500.

RISKS SPECIFIC TO OUR BUSINESS AND INDUSTRY

7
  1. Deteriorating economic conditions may adversely impact demand for our products, reduce access to credit, and cause our customers and others, with which we do business, to suffer financial hardship, all of which could adversely impact our business, results of operations, financial condition, and cash flows.
  2. The automotive aftermarket business is highly competitive, and we may have to risk our capital to remain competitive, all of which could adversely impact our business, results of operations, financial condition, and cash flows.
  3. Our business is sensitive to global, national, and regional economic and weather conditions and natural disasters that could impact our costs and sales.reworded
  4. A change in the relationship with any of our key suppliers, the limited supply or unavailability of key products, supply chain disruptions, or changes in trade policies could affect our financial health.
  5. Business interruptions in our distribution centers or other facilities may affect our store hours, stability of systems we rely on, and/or availability and distribution of merchandise, which may affect our business.
  6. Failure to protect our brand and reputation could have a material adverse effect on our brand name, business, results of operations, financial condition, and cash flows.
  7. Risks associated with international operations could result in additional costs and inefficiencies.

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RISKS RELATED TO OUR COMMON STOCK

2
  1. Risks related to us and unanticipated fluctuations in our quarterly operating results could affect our stock price.
  2. The market price of our common stock may be volatile and could expose us to securities class action litigation.

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RISKS RELATED TO OUR INDEBTEDNESS AND FINANCING

2
  1. Our debt levels could adversely affect our cash flow and prevent us from fulfilling our obligations.
  2. A downgrade in our credit rating would impact our cost of capital and could impact the market value of our unsecured senior notes, as well as limit our access to attractive supplier financing programs.

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RISKS RELATED TO INFORMATION TECHNOLOGY AND DATA PRIVACY

2
  1. Damage, failure, or interruptions of information technology systems could adversely affect our business operations and results.
  2. A breach of customer, supplier, Team Member, or Company information could damage our reputation or result in substantial additional costs or litigation.

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GENERAL RISKS

5
  1. We cannot assure future growth will be achieved.
  2. In order to be successful, we will need to attract, retain, and motivate qualified employees.
  3. Risks associated with future acquisitions may not lead to expected growth and could result in increased costs and inefficiencies.
  4. Litigation, governmental proceedings, environmental, employment, and tax legislation and regulations may affect our business, financial condition, results of operations, and cash flows.
  5. Item 1B. Unresolved Staff Comments

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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.