Company: ECIA
Filing Date: 2025-07-10
Form Type: 10-K
Source: 0001079973-25-001132
Chunk: 16

Company: ENCISION INC
Filing Date: 2025-07-10
Form: 10-K
Item: Item 1
Chunk 16
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 results of operations
would likely suffer. In such case, the trading price of our common stock could fall, resulting in the loss of all or part of your investment.
You should look at all these risk factors in total. Some risk factors may stand on their own. Some risk factors may affect (or be affected
by) other risk factors. You should not assume we have identified these connections. You should not assume that we will always update these
and future risk factors in a timely manner. We are not undertaking any obligation to update these risk factors to reflect events or circumstances
after the date of this report or to reflect the occurrence of unanticipated events.

10 

Among the factors that could cause future results
and financial condition to be materially different from expectations are:

Our products may not be accepted by the market.
The success of our products and our financial condition depends on the acceptance of AEM products by the medical community in commercially
viable quantities during fiscal year 2026 and beyond. We cannot predict how quickly or how broadly AEM products will be accepted by the
medical community. We need to continually educate the marketplace about the potential hazards involved in the use of conventional electrosurgical
products during MIS procedures and the expected benefits associated with the use of AEM products. If we are unsuccessful in educating
the marketplace about our technology and the hazards of conventional instruments, we will not create sufficient demand by hospitals and
surgeons for AEM products and our financial condition, results of operations and cash flows could be adversely affected.

We need to continually develop and train our
network of direct and independent sales representatives and expand our distribution efforts in order to be successful. Our attempts
to develop and train a network of direct and independent sales representatives in the U.S. and to expand our international distribution
efforts may take longer than expected and may result in considerable amounts of retraining effort as the direct and independent sales
representatives change their product lines, product focus and personnel. We may not be able to obtain full coverage of the U.S. by direct
and independent sales representatives as quickly as anticipated. The independent sales representative network has inherent flaws and inefficiencies,
which can include conflicts of interest and competing products. Optimizing the quality of the network and the performance of direct and
independent sales representatives in the U.S. is an ongoing challenge. We may also encounter difficulties in developing our international
presence due to regulatory issues and our ability to successfully develop international distribution options. Our inability to expand
our network of direct