Company: INTG
Filing Date: 2025-09-30
Form Type: 10-K
Source: 0001493152-25-016154
Chunk: 11

Company: INTERGROUP CORP
Filing Date: 2025-09-30
Form: 10-K
Item: Item 1
Chunk 11
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 information contained on the website. We make our annual reports on Form 10-K, quarterly
reports on Form 10-Q, current reports on Form 8-K, and amendments to those reports available free of charge on our website as soon as
reasonably practicable after such materials are filed with or furnished to the SEC.

8

Item
1A. Risk Factors.

Adverse
changes in the U.S. and global economies could adversely affect our financial performance.

Due
to a number of factors affecting consumers, the outlook for the lodging industry remains uncertain. These factors have, at times, resulted
in fewer customers visiting San Francisco or in reduced customer spending as compared to prior periods, and may do so again. The current
macroeconomic environment, including risks of a U.S. or global recession, has resulted in many businesses reducing or eliminating typical
travel and group meetings as a conservative measure in times of financial uncertainty. Leisure travel and other leisure activities represent
discretionary expenditures, and participation in such activities tends to decline during economic downturns, during which consumers generally
have less disposable income. As a result, customer demand for the amenities and leisure activities that we offer may decline during such
periods. Furthermore, during periods of economic contraction, revenues may decrease while some of our costs remain fixed or even increase,
resulting in decreased earnings.

Weakened
global economic conditions may adversely affect our industry, business, and results of operations.

Our
overall performance depends in part on worldwide economic conditions, which could adversely affect the tourism industry. According to
current economic news reports, the United States and other key international economies may enter into a recession or experience prolonged
periods of slow growth, characterized by falling demand for a variety of goods and services, restricted credit, going concern threats
to financial institutions, major multinational companies and medium and small businesses, poor liquidity, declining asset values, reduced
corporate profitability, and volatility in credit, equity and foreign exchange markets. These conditions affect discretionary and leisure
spending and could adversely affect our customers’ ability or willingness to travel to destinations for leisure and cut back on
discretionary business travel, which could adversely affect our operating results. In addition, in a weakened economy, companies that
have competing properties may reduce room rates and other prices which could also reduce our average revenues and harm our operating
results.

Exposure
to the San Francisco market through our majority-owned subsidiary could adversely affect our consolidated results, cash flows and financial
condition.

Through
our majority