CRCT · CIK 0001828962
What Cricut, Inc. told the SEC could break it.
Cricut's risks converge on a concentrated Asian supply chain and the tariffs that hit it. Its connected machines are built by three contract manufacturers in Malaysia with sub-assemblies from China, with other suppliers in Thailand and South Korea and a dependence on Taiwan-made semiconductors — a footprint clustered in geopolitically sensitive countries. That supplier base is also narrow: its top two vendors were about 66% of finished-goods purchases in 2025, and a particular contract manufacturer is the sole source for some products. The combination leaves it heavily exposed to US trade policy — IEEPA tariffs of 10-145%, Section 301 increases, and a new 25% Section 232 tariff on advanced semiconductors — that materially affect its cost structure.
3 self-disclosed vulnerabilities, pulled from its own filings — each in the company’s words, with the source. This is the risk register almost nobody reads.
In its own words
What could break it.
Geographic concentration
- manufacturing concentrated in Malaysia/China (plus Thailand, South Korea); Taiwan semiconductorshigh
Cricut's connected machines are built by three contract manufacturers in Malaysia with sub-assemblies from China, and it sources from Thailand and South Korea and depends on Taiwan-made semiconductors — concentrating supply in geopolitically sensitive Asian countries.
“our three contract manufacturers manufacture our connected machines at facilities located in Malaysia, with manufacturing of certain sub-assemblies and materials conducted in the People's Republic of China, or China. Our other contract manufacturers are located in Malaysia, China, Thailand and South Korea.”
SEC filing →As of 2026
Regulatory & policy
- China/IEEPA/Section 232 tariffs on imported goods and semiconductorshigh
Cricut's Asian manufacturing footprint exposes it to steep U.S. tariffs — IEEPA tariffs of 10–145% (rescinded Feb 2026 but uncertain), Section 301 increases, and a new 25% Section 232 tariff on advanced semiconductors — materially impacting its cost structure.
“Between February 2025 and February 2026, the U.S. government began to impose significant additional tariffs of 10 to 145% on a broad range of products imported from China and other countries based on authorities asserted under the International Emergency Economic Powers Act (“IEEPA”).”
Supplier concentration
- top two vendors = ~66% of finished goods purchases; three CMs (some sole-source)high
Cricut depends on a few suppliers — its top two vendors were ~66% of finished-goods purchases in 2025 — and relies on three contract manufacturers (with a particular CM the sole source for some products), exposing it to supply shortages and disruption.
“For the years ended December 31, 2025, 2024, and 2023, the Company's top two vendors accounted for approximately 66 %, 69 %, and 59 % of total finished goods purchases, respectively.”
SEC filing →As of 2026
The hidden graph
Who it depends on, and who depends on it.
Relationships surfaced from filings — including ones disclosed by the other side, which is how the non-obvious ones come to light.
Its customers
“Our partners include major retailers such as Amazon, Best Buy, Costco, Hobby Lobby, HSN, Michaels, Target, and Walmart, along with many others.”
Cited →“Our partners include major retailers such as Amazon, Best Buy, Costco, Hobby Lobby, HSN, Michaels, Target, and Walmart, along with many others.”
Cited →“Our partners include major retailers such as Amazon, Best Buy, Costco, Hobby Lobby, HSN, Michaels, Target, and Walmart, along with many others.”
Cited →“Our partners include major retailers such as Amazon, Best Buy, Costco, Hobby Lobby, HSN, Michaels, Target, and Walmart, along with many others.”
Cited →“Our partners include major retailers such as Amazon, Best Buy, Costco, Hobby Lobby, HSN, Michaels, Target, and Walmart, along with many others.”
Cited →
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