Johnson Controls International plc (JCI) SEC Filings & Earnings Calls

Operating model changes may indicate restructuring; loss of key commercial leader.

“Departure tied to changes in operating model; advisory role through Dec 31, 2026.”

EMEA region sales declined 1% YoY due to Middle East conflicts, indicating geopolitical risk

“EMEA sales decreased 1% over the prior year; constrained by continued pressure in the region due to the conflicts in the Middle East.”

Tariff and Trade Restriction Risk

“if additional tariffs and reciprocal tariffs are implemented (whether as currently proposed or otherwise), such actions could negatively impact the Company's revenue growth and margins in future periods through decreased sales and increased cost of goods sold.” · word for word

Cybersecurity and AI Risk

“Cybersecurity incidents impacting our IT systems and digital products could disrupt business operations, result in the loss of critical and confidential information, and materially and adversely affect our reputation and results of operations.” · word for word

Supply Chain Disruption Risk

“The Company has experienced, and could again experience, increased material cost inflation and component shortages, as well as disruptions and delays in its supply chain, as a result of global macroeconomic trends including the imposition of tariffs and other restrictive trade measures.” · word for word

Tariff and trade restriction impact

“if additional tariffs and reciprocal tariffs are implemented (whether as currently proposed or otherwise), such actions could negatively impact the Company's revenue growth and margins in future periods through decreased sales and increased cost of goods sold.” · word for word

AFFF litigation exposure

“The Company is vigorously defending all of the above AFFF matters and believes that it has meritorious defenses...the Company is presently unable to predict the outcome or ultimate financial exposure beyond the water systems AFFF settlement discussed above, if any, represented by these matters, and there can be no assurance that any such exposure will not be” · word for word

Cybersecurity incident risk

“During September 2023, we experienced a cybersecurity event where certain data, primarily employee, job applicant and personal information and other related data, was impacted.” · word for word

Middle East conflicts disrupting EMEA services volumes

“disruptions caused by the Middle East conflicts and lower non-recurring Services volumes” · word for word

AFFF litigation exposure

“The Company is subject to various legal proceedings, including Aqueous Film Forming Foam (AFFF) litigation.”

Restructuring execution risk

“Restructuring and impairment costs were $87 million for the three months ended December 31, 2025.”

Divestiture-related charges

“Income from discontinued operations, net of tax, was a loss of $31 million for the three months ended December 31, 2025 associated with estimated post-closing working capital and net debt adjustments.” · word for word

CEO Transition Risk

“Mr. Weidemanis was appointed Chief Executive Officer effective March 12, 2025” · word for word

Cybersecurity Incident Risk

“We have experienced and expect to continue to experience cyber threats and incidents.” · word for word

Portfolio Simplification Execution Risk

“the completion of the sale of the Company's Air Distribution Technologies and Residential & Light Commercial businesses.” · word for word

Tariff cost pressure on margins

“Recently, the Company has experienced increased raw material costs due to tariffs and reciprocal tariffs imposed by the United States and other nations.” · word for word

Supply chain disruption

“We have in the past experienced the following supply chain issues due to economic, political and other factors largely beyond our control: increased input material costs and component shortages; supply chain disruptions and delays and cost inflation.” · word for word

APAC weakness due to China volumes; factory absorption pressure.

“APAC sales declined 3% primarily due to lower volumes in China; segment EBITA margin declined 190 bps.”

Transformation costs impacting margins.

“Productivity gains and operational efficiency were partially offset by transformation costs.” · word for word