Company: NINE
Filing Date: 2025-03-06
Form Type: 10-K
Source: 0001532286-25-000008
Chunk: 35

Company: Nine Energy Service, Inc.
Filing Date: 2025-03-06
Form: 10-K
Item: Item 1A
Chunk 35
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Item 1A.    Risk Factors

We face many challenges and risks in the industry in which we operate. You should carefully consider each of the following risk factors and all of the other information set forth in this Annual Report, including under the section titled “Cautionary Note Regarding Forward-Looking Statements.” The risks and uncertainties described are not the only ones we face. Additional risk factors not presently known to us or which we currently consider immaterial may also adversely affect our business, financial condition, or future results. If any of these risks were actually to occur, our business, financial condition, or results of operations could be materially adversely affected. In that case, the trading price of our common stock could decline, and a stockholder could lose all or part of its investment.

Risks Related to Our Industry

Our business is cyclical and depends on capital spending and well completions by the onshore oil and natural gas industry, and the level of such activity is volatile. Our business has been, and may continue to be, adversely affected by industry and financial market conditions that are beyond our control.

Our business is cyclical, and we depend on our customers’ willingness to make operating and capital expenditures to explore for, develop, and produce oil and natural gas, which, in turn, largely depends on prevailing industry and financial market conditions that are influenced by numerous factors beyond our control, including:

•the level of prices, and expectations about future prices, for oil and natural gas;

•the domestic and foreign supply of, and demand for, oil and natural gas and related products;

•the level of global and domestic oil and natural gas production;

•the supply of, and demand for, hydraulic fracturing and other oilfield services and equipment;

•governmental regulations, including the policies of governments regarding the exploration for and production and development of their oil and natural gas reserves;

•the cost of exploring for, developing, producing, and delivering oil and natural gas;

•available pipeline, storage, and other transportation capacity;

•worldwide political, military, and economic conditions;

•lead times associated with acquiring equipment and products and availability of qualified personnel;

•the discovery rates of new oil and natural gas reserves;

•federal, state, and local regulation of hydraulic fracturing and other oilfield service activities, as well as E&P activities, including public pressure on governmental bodies and regulatory agencies to regulate our industry;

•economic and political conditions in oil and natural gas producing countries;

•actions of OPEC, its members, and other