Company: NEOV
Filing Date: 2025-09-29
Form Type: 10-K
Source: 0001683168-25-007304
Chunk: 77

Company: NeoVolta Inc.
Filing Date: 2025-09-29
Form: 10-K
Item: Item 1
Chunk 77
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 and impact of these
ongoing military conflicts are highly unpredictable, they could lead to further market disruptions, including significant volatility in
commodity prices, credit and capital markets, as well as supply chain interruptions. We are continuing to monitor the situations in both
of these areas and globally and assessing any potential impacts on our business.

Any of the above mentioned
factors could affect our business, prospects, financial condition, and operating results. The extent and duration of the military actions,
sanctions and resulting market disruptions are impossible to predict, but could be substantial. Any such disruptions may also magnify
the impact of other risks described in this report.

We may become subject to product liability
claims, which could harm our financial condition and liquidity if we are not able to successfully defend or insure against such claims.

Although we believe we have
designed our products for safety, product liability claims, even those without merit, could harm our business, prospects, operating results
and financial condition. Our risks in this area are particularly pronounced given that we have only recently begun to deliver energy storage
products. Moreover, a product liability claim could generate substantial negative publicity about our products and business and could
have material adverse effect on our brand, business, prospects and operating results.

The markets in which we operate are in their
infancy and highly competitive, and we may not be successful in competing in these industries as the industry further develops. We currently
face competition from new and established domestic and international competitors and expect to face competition from others in the future,
including competition from companies with new technology.

The worldwide energy storage
market is in its infancy, and we expect it will become more competitive in the future. We also expect more regulatory burden as customers
adopt this new technology. There is no assurance that our energy storage systems will be successful in the respective markets in which
they compete. A significant and growing number of established and new companies, as well as other companies, have entered or are reported
to have plans to enter the energy storage market. Most of our current and potential competitors have significantly greater financial,
technical, manufacturing, marketing, sales networks and other resources than we do and may be able to devote greater resources to the
design, development, manufacturing, distribution, promotion, sale and support of their products. Increased competition could result in
lower unit sales, price reductions, revenue shortfalls, loss of customers and loss of market share, which could harm our business, prospects,
financial condition and operating results. The energy storage industry is highly