Company: YEXT
Filing Date: 2025-09-08
Form Type: 10-Q
Source: 0001614178-25-000119
Chunk: 199

Company: Yext, Inc.
Filing Date: 2025-09-08
Form: 10-Q
Item: Part II, Item 1A
Chunk 199
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 errors in the software we license could result in increased costs, or reduced service levels, which could adversely affect our business.

•The reliability of our network and support infrastructure will be critical to our success. Sustained failures or outages could lead to significant costs and service disruptions, which could negatively affect our business, financial results and reputation.

•Real or perceived errors, failures or bugs in our software, or in the software or systems of our third-party application providers and partners, could materially and adversely affect our operating results and growth prospects.

•We are incorporating generative artificial intelligence (“AI”), into some of our products. This technology is new and developing and may present both compliance risks and reputational risks.

Risks Related to Laws, Regulation and Taxation

•We are subject to governmental regulation and other legal obligations, including those related to privacy, data protection and information security, and our actual or perceived failure to comply with such obligations could harm our business. Compliance with such laws and obligations could also impair our efforts to maintain and expand our customer base, and thereby decrease our revenue.

•Regulatory and legislative developments related to the use of AI could adversely affect our use of such technologies in our products, services, and business.

Risks Related to Ownership of Our Common Stock and Our Status as a Public Company

•Our quarterly results may fluctuate significantly and may not fully reflect the underlying performance of our business.

•The market price of our common stock has been and may continue to be volatile and may decline. Market volatility may affect the value of an investment in our common stock and could subject us to litigation.

Risks Related to Strategic Considerations

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The announcement and pendency of the non-binding offer to acquire Yext may adversely affect our business, financial condition and results of operations.

There is no assurance that Michael Walrath’s expression of interest will result in other bids or a definitive transaction. Uncertainty about the effect of the proposal or alternatives on our employees, customers, and other parties may have an adverse effect on our business, financial condition and results of operation regardless of whether the proposed acquisition is completed. These risks to our business include the following:

•the impairment of our ability to attract, retain, and motivate our employees, including key personnel; 

•the diversion of significant management time and resources;

•difficulties maintaining relationships with customers, suppliers and other business partners;

•delays or deferments of certain business decisions by our customers, suppliers and other business partners;

•the inability to pursue alternative business opportunities or make