WHR · CIK 106640
What Whirlpool Corporation told the SEC could break it.
Whirlpool's flagged risks center on the costs of making appliances across borders. Higher tariff costs were the primary force compressing its 2025 margins — gross margin slipped to 15.4% — only partly offset by cost-takeout actions. Those tariffs bite because its manufacturing is geographically concentrated, with its largest non-U.S. operations in Mexico and Brazil feeding tariff-sensitive cross-border appliance production; and its costs are also exposed to raw-material commodity prices, which it hedges (a 10% adverse move would have meant about a $26 million loss on those contracts at year-end 2025).
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.
Regulatory & policy
- import tariffsmedium
Higher tariff costs were the primary driver compressing Whirlpool's 2025 gross margin and EBIT margin, only partially offset by cost-takeout actions.
“The consolidated gross margin percentage for 2025 slightly decreased to 15.4% compared to 15.5% in 2024, primarily driven by the higher cost of tariffs, partially offset by the favorable impact of product and supply chain cost efficiencies.”
Commodity & input dependence
- raw material commodity priceslow
Whirlpool hedges forecasted commodity purchases via swaps; a 10% adverse shift in commodity prices equated to ~$26M loss on those contracts at year-end 2025.
“We enter into commodity swap contracts to hedge the price risk associated with firmly committed and forecasted commodities purchases, the prices of which are not fixed directly through supply contracts. At December 31, 2025, a 10% favorable or unfavorable shift in commodity prices would have resulted in an incremental gain of approximately $26 million or loss of approximately $26 million, respectively, related to these contracts.”
SEC filing →As of 2026
Geographic concentration
- Mexico and Brazil manufacturinglow
Whirlpool's principal manufacturing is concentrated in 20 locations across four countries, with its largest non-U.S. employee populations in Brazil and Mexico — exposing tariff-sensitive cross-border appliance production.
“On December 31, 2025, our principal manufacturing operations were carried on at 20 locations in four countries worldwide.”
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
“Sales to Lowe's, a North American retailer, represented approximately 15 %, 13 %, and 13 % of our consolidated net sales in 2025, 2024 and 2023, respectively. Lowe's represented approximately 44 % and 38 % of our consolidated accounts receivable as of December 31, 2025 and 2024, respectively.”
Cited →
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