Company: CRUS
Filing Date: 2025-05-23
Form Type: 10-K
Source: 0000772406-25-000014
Chunk: 15

Company: CIRRUS LOGIC, INC.
Filing Date: 2025-05-23
Form: 10-K
Item: Item 1A
Chunk 15
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ITEM 1A.  Risk Factors

Our business faces significant risks.  The risk factors set forth below may not be the only risks that we face and there is a risk that we may have failed to identify all possible risk factors.  Additional risks that we are not aware of yet or that currently are not material may adversely affect our business operations.  You should read the following cautionary statements in conjunction with the factors discussed elsewhere in this and other Cirrus Logic filings with the SEC.  These cautionary statements are intended to highlight certain factors that may affect the financial condition and results of operations of Cirrus Logic and are not meant to be an exhaustive discussion of all of the risks that may be associated with an investment in our securities.

Summary of Risk Factors 

The following summarizes the principal factors that make an investment in the Company speculative or risky.  This summary should be read in conjunction with the remainder of this “Item 1A. Risk Factors” section and should not be relied upon as an exhaustive summary of the material risks facing our business. 

Business & Operational Risks

•Risks related to dependence on a limited number of customers and distributors and a lack of diversification in our revenue base, including risks related to the loss of, or a significant reduction in orders from, or pricing on products sold to, any key customer or distributor

•Risks related to global economic conditions, including economic downturns or recessions and the effects of tariffs and inflationary pressures

•Risks related to third-party manufacturing and supply chain relationships, including risks associated with our efforts to increase the geographic diversity and regional resilience of our supply chain

•Risks related to our long-term capacity reservation and wafer supply agreement with GlobalFoundries

•Risks related to fluctuation in sales in the consumer electronics and smartphone markets

•Risks related to our international operations, including government trade policies and delays or disruptions to our international subcontractors, which may be impacted by political/economic factors

•Risks related to system security, cyber-attacks, data breaches, and disruptions to our IT systems

•Risks related to strong competition in the semiconductor market, including competition to attract, hire, and retain highly qualified personnel

•Risks related to our fabless business model

•Risks related to the use or application of emerging technologies, including artificial intelligence

•Risks related to acquiring other companies or technologies

•Risks related to product concentration, difficulty in forecasting sales due to customers' ability to cancel or reschedule orders