1042893--3/15/2006--DRIL-QUIP

related topics

{cost, regulation, environmental}

{stock, price, share}

{gas, price, oil}

{operation, international, foreign}

{customer, product, revenue}

{tax, income, asset}

{stock, price, operating}

{operation, natural, condition}

{personnel, key, retain}

{property, intellectual, protect}

{regulation, government, change}

{product, market, service}

{regulation, change, law}

Our principal stockholders have the ability to significantly influence our management and affairs and matters on which shareholders may vote. A material or extended decline in expenditures by the oil and gas industry could significantly reduce our revenue and income. Our international operations expose us to instability and changes in economic and political conditions and other risks inherent to international business, which could have a material adverse effect on our operations or financial condition. We are subject to taxation in many jurisdictions and there are inherent uncertainties in the final determination of our tax liabilities. We may suffer losses as a result of foreign currency fluctuations and limitations on the ability to repatriate income or capital to the U.S. Our business involves numerous operating hazards that may not be covered by insurance. The occurrence of an event not fully covered by insurance could have a material adverse effect on our financial conditions and results of operations. We may lose money on fixed-price contracts. Our business could be adversely affected if we do not develop new products and secure and retain patents related to our products. We may be required to recognize a charge against current earnings because of percentage-of-completion accounting. Loss of our key management or other personnel could adversely impact our business. Our operations and our customers operations are subject to a variety of governmental laws and regulations that may increase our costs, limit the demand for our products and services or restrict our operations. Our businesses and our customers businesses are subject to environmental laws and regulations that may increase our costs, limit the demand for our products and services or restrict our operations. We may be unable to successfully compete with other manufacturers of drilling and production equipment. The loss of a significant customer could have an adverse impact on our financial results. Our customers industries are undergoing continuing consolidation that may impact our results of operations. Increases in the cost of raw materials and energy used in our manufacturing processes could negatively impact our profitability. We depend on third party suppliers for timely deliveries of raw materials, and our results of operations could be adversely affected if we are unable to obtain adequate supplies in a timely manner. Our shares that are eligible for future sale may have an adverse effect on the price of our common stock. The market price of our common stock is volatile. We do not anticipate paying dividends on our common stock in the near future.

Full 10-K form ▸

1042893--3/15/2006--DRIL-QUIP_INC