The description of short term risks of our business operations are published in accordance with Metso's financial reports.
Updated with Half-Year Review H1/2018 published on July 26, 2018
Uncertainties in economic growth and political developments globally might affect our customer industries, reduce the investment appetite and spending among our customers, and thereby weaken the demand for Metso’s products and services as well as affect our business operations. There are also other market- and customer-related risks that may cause on-going projects to be postponed, delayed or discontinued. While the direct impact of the tariffs imposed between the US and China is estimated to be limited on Metso, the possible indirect impacts on economic growth and customer behavior are currently difficult to estimate.
Continued market growth and inflation as well as the impact of tariffs or other trade barriers could pose challenges to our supply chain and price management with an impact on our growth capability and margins.
Exchange rate fluctuations and changes in commodity prices could affect our orders received, sales and financial performance, although the wide scope of our operations limits the exposure to single currencies or commodities. Metso hedges currency exposure linked to firm delivery and purchase agreements.
Uncertain market conditions might adversely affect our customers’ payment behavior and increase the risk of lawsuits, claims and disputes taken against Metso in various countries related to, among other things, Metso’s products, projects and other operations.
Information security and cyber threats can potentially disturb or disrupt Metso’s businesses and operations.