What Powerfleet, Inc. told the SEC could break it.

Powerfleet's Israeli subsidiaries (Powerfleet Israel, Pointer) expose results to Israel's political, military and economic conditions, and to restrictions other countries may place on trade with Israel.

“We have operations located in Israel, and therefore our results may be adversely affected by political, military and economic conditions in Israel. Our subsidiaries Powerfleet Israel and Pointer operate in Israel, and therefore our business and operations may be directly influenced by the political, economic and milit”

Powerfleet had a $205.8M accumulated deficit at March 31, 2025 and continued net losses, with credit-agreement covenants restricting Powerfleet Israel's and Pointer's operations.

“At March 31, 2024, and March 31, 2025, we had an accumulated deficit of approximately $154.8 million and $205.8 million, respectively.”

Powerfleet has reported material weaknesses in its internal control over financial reporting, risking inaccurate or untimely financial statements if unremediated.

“We have reported material weaknesses in our internal control over financial reporting.”

New Q2 2025 U.S. tariffs on imports from China, Taiwan, Vietnam and the EU — plus reciprocal foreign tariffs — raise costs and uncertainty for Powerfleet's hardware supply chain.

“Beginning in the second quarter of 2025, new U.S. tariffs were announced, including additional tariffs on imports from China, Taiwan, Vietnam and the EU, among others.”

Inability to obtain raw materials from existing suppliers or alternative sources could prevent Powerfleet from filling customer orders and expose it to damage claims.

“or raw materials from our existing suppliers or alternative sources of supply, we may be unable to satisfy our customers' orders, which could reduce our revenues, subject us to claims for damages and adversely affect our relationships with our customers.”