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

Medifast manufactures ~40% of its unit sales at a single FDA-approved facility in Owings Mills, Maryland; operational problems at this sole facility could materially harm the business.

“There can be no assurance that the occurrence of these or any other operational problems at our sole facility would not have a material adverse effect on our business, financial condition or results of operations.”

Medifast is exposed to commodity and raw-material price moves; increases in commodity prices or food costs, including from inflation or tariffs, could adversely impact results.

“Increases in commodity prices or food costs, including as a result of inflation or tariffs, could affect the global and U.S. economies and could also adversely impact our business, financial condition, or results of operations.”

Medifast's coach-based direct-selling model is subject to anti-pyramid and direct-selling laws that may be reinterpreted, potentially forcing changes to its sales-compensation and business models.

“The laws and regulations governing direct selling may be modified or reinterpreted from time to time, which may cause us to modify our sales compensation and business models.”

Certain ingredients or products are sourced from a single supplier or location, so supply disruptions could materially affect Medifast's operations.

“may materially adversely affect our business, financial condition and operating results, particularly in circumstances where an ingredient or product is sourced from a single supplier or location.”