{"url_path":"/sec/gtmay/10-k/2026/item-3","section_key":"item-3","section_title":"Item 3 KEY INFORMATION","topic":"sec","document":{"doc_type":"20-F","doc_date":"2026-09-11","source_url":"https://www.sec.gov/Archives/edgar/data/1163560/0001140361-26-036215-index.html","accession_number":"0001140361-26-036215","cik":"0001163560","ticker":"GTMAY","issuer_name":"GRUPO TMM SAB","edgar_url":"https://www.sec.gov/Archives/edgar/data/1163560/0001140361-26-036215-index.html","primary_entity_key":"0001163560","primary_entity_name":"GRUPO TMM SAB"},"word_count":13966,"has_tables":true,"body_markdown":"ITEM 3\n\nKEY INFORMATION\n\n \n\nA.  [Reserved]\n\n \n\nB.  Capitalization and Indebtedness\n\n \n\nNot applicable.\n\n \n\nC.  Reasons for the Offer and Use of Proceeds\n\n \n\nNot applicable.\n\n6\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nD.  Risk Factors\n\nOur business is subject to various risks and uncertainties that have the potential to materially and adversely affect our business, results of operations, financial condition and future\nprospects. This Annual Report includes information on risks relating to our business, operations and financial condition, indebtedness, and ownership of our Shares and ADSs, as well as risks related to Mexico and investments in Mexican\ncompanies like Grupo TMM. These are not the only risks we face, but if any of them were to occur, either alone or together with additional risks and uncertainties not currently known to us, or that we do not currently consider material,\nthe value of our Shares or ADSs may decline and you may lose all or part of your investment. Accordingly, before deciding whether to invest in our Shares or ADSs, you should review the other information regarding our business contained in\nthis Annual Report, including the Audited Consolidated Financial Statements and the related notes thereto, as well as other reports filed by us with the SEC and Mexican Stock Exchange.\n\n \n\nRisk Factor Summary\n\nRisks Relating to our Business\n\n \n\n•\n\nOur business has been, and may continue to be, adversely affected by pandemics, epidemics or other outbreaks of infectious diseases and governmental responses thereto.\n\n \n\n•\n\nUncertainties relating to our financial condition in our recent past and other factors raised substantial doubt about our ability to continue as a going concern and could have resulted in our dissolution under Mexican corporate\nlaw.\n\n \n\n•\n\nIf the time charter arrangements for the vessels we operate are terminated or expire, our business could be adversely affected.\n\n \n\n•\n\nA portion of our results from operations are dependent on fuel expenses.\n\n \n\n•\n\nWe may be unable to successfully expand our businesses.\n\n \n\n•\n\nSignificant competition could adversely affect our future financial performance.\n\n \n\n•\n\nDownturns in certain cyclical industries in which our customers operate could have adverse effects on our results of operations.\n\n \n\n•\n\nGrupo TMM is a party to agreements with other parties as investors in joint ventures and associates.\n\n \n\n•\n\nOver time, asset values may fluctuate substantially and, if these values are lower at a time when we are attempting to dispose of an asset, we may incur a loss.\n\n \n\n•\n\nOur future success depends upon the continued growth of and demand for the maritime, ports and terminals, and logistics industries which may have already achieved the peak of their upward growth trend and for which rates may\nhave already been at or near historical highs. These factors may lead to reductions and volatility in rates and profitability.\n\n \n\n•\n\nOur growth depends on our ability to expand relationships with existing charterers and other customers and to obtain new charterers and customers, for which we will face substantial competition.\n\n \n\n•\n\nThe aging of the vessels we operate may result in increased operating costs in the future, which could adversely affect our earnings.\n\n \n\n•\n\nOur results of operations may be adversely affected by operational risks inherent in the transportation and logistics industry.\n\n \n\n7\n\n[Table of Contents](#TABLEOFCONSENTS)\n\n•\n\nOur operations are subject to extensive environmental and safety laws and regulations and we may incur costs that have a material adverse effect on our financial condition as a result of our liabilities under or potential\nviolations of environmental and safety laws and regulations.\n\n \n\n•\n\nPotential labor disruptions could adversely affect our financial condition and our ability to meet our obligations under our financing arrangements.\n\n \n\n•\n\nThe persistence of international geopolitical tensions, such as the conflict between Russia and Ukraine and other conflicts involving significant economies, could have a material adverse effect on our business.\n\n \n\n•\n\nChanges in trade policy by the United States or other countries could give rise to diplomatic tensions, including the imposition of new tariffs, regulations, economic sanctions or protectionist measures that may directly affect\nlogistics costs.\n\n \n\n•\n\nOur information technology systems, as those of any company, may be subject to security incidents or interruptions in network connectivity which could have a material adverse effect on our business.\n\n \n\n•\n\nOur customers may take actions that may reduce our revenues.\n\n \n\n•\n\nOur financial statements may not be comparable to financial statements prepared under United States accounting rules.\n\n•\n\nFailure to comply with the U.S. Foreign Corrupt Practices Act could result in fines, criminal penalties, and an adverse effect on our business.\n\n•\n\nChanges in Mexico's Federal Judiciary could adversely affect the resolution of our legal proceedings and the institutional environment in which we operate.\n\n \n\nRisks Relating to our Indebtedness\n\n \n\n•\n\nOur substantial indebtedness could adversely affect our financial condition and impair our ability to operate our businesses, and we may not be able to pay the interest on and principal amount of our indebtedness.\n\n \n\n•\n\nGrupo TMM is primarily a holding company and depends upon funds received from its operating subsidiaries to make payments on its indebtedness.\n\n \n\n•\n\nRestrictive covenants in our financing agreements may restrict our ability to pursue our business strategies.\n\n \n\n•\n\nWe are exposed to fluctuations in the exchange rate between the Mexican peso and the U.S. dollar, as a significant portion of our revenues, although invoiced in U.S. dollars, is primarily settled in Mexican pesos.\n\n \n\n•\n\nOur variable rate debt subjects us to risks associated with an increase in interest rates, which could increase the amount of our debt service obligations.\n\n \n\nRisks Relating to Mexico\n\n \n\n•\n\nEconomic, political, social and public health conditions may adversely affect our business.\n\n \n\n•\n\nMexico is an emerging market economy, with attendant risks to our results of operations and financial condition.\n\n \n\n•\n\nCurrency fluctuations or the devaluation and depreciation of the Peso could limit the ability of the Company and others to convert Pesos into U.S. dollars or other currencies which could adversely affect our business, financial\ncondition and results of operations.\n\n \n\n8\n\n[Table of Contents](#TABLEOFCONSENTS)\n\n•\n\nHigh interest rates in Mexico could increase our financing costs.\n\n \n\n•\n\nDevelopments in other emerging market countries or in the United States may affect us and the prices of our securities.\n\n \n\n•\n\nMexico may experience high levels of inflation in the future, which could adversely affect our results of operations.\n\n \n\n•\n\nPolitical events and declines in the level of oil production in Mexico could affect the Mexican economy and our business, financial condition and results of operations.\n\n \n\n•\n\nPolitical events in the United States could have a material adverse effect on our business, financial condition and results of operations.\n\n \n\n•\n\nAny decrease in oil prices could result in our clients reducing their spending on exploration and production projects, resulting in a decrease in demand for our services.\n\n \n\n•\n\nMexican antitrust laws may limit our ability to expand through acquisitions or joint ventures.\n\n \n\n•\n\nInvestors may not be able to enforce judgments against the Company.\n\n \n\nRisks Relating to Ownership of our Equity\n\n \n\n•\n\nThe protection afforded to minority shareholders in Mexico is different from that afforded to minority shareholders in the United States.\n\n \n\n•\n\nHolders of ADSs may not be entitled to participate in any future preemptive rights offering, which may result in a dilution of such holders equity interest in our Company.\n\n \n\n•\n\nThe Company is controlled by the Serrano Segovia family.\n\n•\n\nA change in control may adversely affect us.\n\n \n\n•\n\nOur ADSs trade on the over-the-counter (“OTC”) market, which may limit the liquidity and price of our ADSs more than if the ADSs were quoted or listed on a national securities exchange.\n\n \n\n•\n\nWe have identified material weaknesses in our internal control over financial reporting. If we fail to maintain an effective system of internal controls over financial reporting, we may not be able to accurately report our\nfinancial results or prevent fraud.\n\n \n\nRisks Relating to our Business\n\n \n\nOur business has been, and may continue to be, adversely affected by pandemics, epidemics or other outbreaks of infectious diseases and governmental responses thereto.\n\n \n\nOur operations are subject to risks related to pandemics, epidemics or other infectious disease outbreaks, which negatively affected economic conditions and the demand for shipping and\ntransportation services globally and within the Gulf of Mexico. As a result, our vessels may be unable to call on ports, or may be restricted from disembarking from ports, located in areas affected by epidemics. Further, such measures may\nrestrict our ability to conduct operations at our ports and terminals.\n\n \n\n9\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nThe extent to which our business, results of operations and financial condition may be negatively affected by future pandemics, epidemics or other outbreaks of infectious diseases is\nhighly uncertain and will depend on numerous evolving factors that we cannot predict, including, but not limited to (i) the duration and severity of the infectious disease outbreak; (ii) the imposition of restrictive measures to combat\nthe outbreak and slow disease transmission; (iii) the introduction of financial support measures to reduce the impact of the outbreak on the economy; (iv) volatility in the demand for and price of oil and gas; (v) shortages or reductions\nin the supply of essential goods, services or labor; and (vi) fluctuations in general economic or financial conditions tied to the outbreak, such as a sharp increase in interest rates or reduction in the availability of credit. We cannot\npredict the effect that an outbreak of a new COVID-19 variant or strain, or any future infectious disease outbreak, pandemic or epidemic may have on our business, results of operations and financial condition, which could be material and\nadverse.\n\n \n\nUncertainties relating to our financial condition in our recent past and other factors raised substantial doubt about our ability to continue as a going concern and\ncould have resulted in our dissolution under Mexican corporate law.\n\n \n\nIn accordance with the Mexican Companies Act (Ley General de Sociedades Mercantiles), when a company has accumulated losses in excess of\ntwo-thirds of its capital stock, the dissolution of the company may be adopted by the shareholders of the company at an Extraordinary Shareholders Meeting called by the company’s board of directors upon the request of shareholders\nrepresenting at least 33% of the company’s capital stock. At the Extraordinary Shareholders Meeting, the shareholders may vote to either dissolve the company or approve any corporate strategy for addressing the accumulated losses.\n\n \n\nAdditionally, the Mexican Bankruptcy Act (Ley de Concursos Mercantiles) provides that any third party with legal interest may request the judicial\nauthorities to declare the dissolution of the company. A third person is considered to have a legal interest to request dissolution if the person is a creditor of the company and (i) the company has failed continuously with its payment\nobligations to the third person and the amount of the failure represents at least 35% of all the obligations of the company, and (ii) the company does not have sufficient assets to satisfy at least 80% of the payment obligations in\nrespect of which it has failed to make the required payments at the time of the request.\n\n \n\nWhile the Company has generated net income in most recent fiscal years, its historical performance has been subject to certain variations driven by market conditions and specific events.\nThe Company's ability to continue as a going concern depends on its capacity to sustain adequate levels of profitability and, as the case may be, access financing on favorable terms. However, there can be no assurance that the Company\nwill continue to generate such net income or that it will obtain additional financing on the terms required.\n\n \n\nIf the time charter arrangements for the vessels we operate are terminated or expire, our business could be adversely affected.\n\n \n\nAs of the date of this Annual Report, we operate five offshore vessels on time charter to Petróleos Mexicanos, the national oil company of Mexico (“PEMEX”). In the event that these time\ncharter agreements are terminated or expire without being renewed, we will be required to seek new bareboat or time charter agreements for these vessels. We cannot assure that vessels currently under bareboat or time charter will be\navailable upon the expiration of their respective agreements, or that such agreements can be renewed on favorable terms. Furthermore, the rates applicable at the time of renewal could differ materially from those currently in effect. If\nwe are unable to obtain time charter or bareboat charter arrangements on terms acceptable to us, we may offer the services of such vessels in the spot market. Because spot market charter and lease rates are subject to greater fluctuation\nthan long-term time charter or bareboat charter rates, our inability to retain existing charter agreements or enter into comparable arrangements could adversely affect our operating results.\n\n \n\nOur results from operations are dependent on fuel expenses.\n\n \n\nPart of our vessel operations consume significant amounts of energy and fuel, the cost of which has fluctuated significantly worldwide in recent years. With respect to our other\noperations, our customers pay for the fuel consumption. We currently meet, and expect to continue to meet, our fuel requirements through purchases from various suppliers at North American market prices. In addition, instability caused by\nimbalances in the worldwide supply and demand of oil may result in increases in fuel prices. Through 2025, fuel expenditures represented a significant portion of our operating costs across our logistics and vessel operations, and given\nthe increase in fuel prices that cannot be hedged or passed through to the end users of our transportation services, we cannot assure that our operations will not be materially and adversely affected in the future should energy and fuel\ncosts continue to rise. For example, crude oil prices increased substantially during 2023 following Russia's invasion of Ukraine, before stabilizing in 2024, declining from over $100 to approximately $75–$80 per barrel, and averaging\n$61.6 per barrel in 2025. However, in March 2026, international oil prices showed an upward trend amid geopolitical tensions in the Strait of Hormuz. During that period, the Brent and WTI benchmark blends reached peak prices of\napproximately $118.4 and $98.71 per barrel, respectively, while the Mexican blend traded at approximately $99.21 per barrel. l\n\n \n\n10\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nWe may be unable to successfully expand our businesses.\n\n \n\nFuture growth of our businesses will depend on a number of factors, including:\n\n \n\n•\n\nthe continued identification, evaluation and participation in niche markets;\n\n \n\n•\n\nthe identification of joint venture opportunities or acquisition candidates;\n\n \n\n•\n\nour ability to enter into acquisitions on favorable terms;\n\n \n\n•\n\nour ability to finance the expansion and diversification of our business;\n\n \n\n•\n\nour ability to hire and train qualified personnel, and to maintain our existing managerial base; and\n\n \n\n•\n\nour ability to manage expansion effectively and to obtain required financing.\n\n \n\nIn order to maintain and improve operating results from new businesses, as well as our existing businesses, we will be required to manage our growth and expansion effectively. However,\nthe management of new businesses involves numerous risks, including difficulties in assimilating the operations and services of the new businesses, the diversion of management’s attention from other business concerns and the disadvantage\nof entering markets in which we may have no or limited direct or prior experience. Our failure to effectively manage our businesses could preclude our ability to expand our businesses and could have a material adverse effect on our\nresults of operations.\n\n \n\nSignificant competition could adversely affect our future financial performance.\n\n \n\nCertain of our business segments face significant competition, which could have a material adverse effect on our results of operations.\n\n \n\nOur international and domestic maritime operations have faced significant competition, mainly from U.S., Mexican and other international shipping companies acting directly or through a\nMexican intermediary. In our ports, terminals, and logistics operations, our services have faced intense competition, including price competition, from a large number of U.S., Mexican, and other international companies. We cannot assure\nyou that we will not lose business in the future due to our inability to respond to competitive pressures by decreasing our prices without adversely affecting our gross margins and operational results.\n\n \n\nDownturns in certain cyclical industries in which our customers operate could have adverse effects on our results of operations.\n\n \n\nThe shipping, ports and terminals, and logistics industries are highly cyclical, generally tracking the cycles of the world economy. Although transportation markets are affected by general economic\nconditions, there are numerous specific factors within each particular market segment that may influence operating results. Some of our customers do business in industries that are highly cyclical, including the oil and gas and automotive\nsectors. Also, some of the services we transport have had a historical pattern of price cyclicality, which has typically been influenced by the general economic environment and by industry capacity and demand. We cannot assure you that\nprices and demand for these products will not decline in the future, adversely affecting those industries and, in turn, our financial results.\n\n11\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nGrupo TMM is party to contracts with other parties as joint investors in subsidiaries with a joint venture.\n\n \n\nGrupo TMM and certain third parties have invested in subsidiaries with joint ventures. Grupo TMM may enter into more contracts of this kind in the future. The business partners of Grupo\nTMM in these subsidiaries may, at any moment, from an economic standpoint, have economic, commercial, and legal interests, or objectives that adjust to our interests or to those of the entity in which they have invested with us.\nAdditionally, the dividends that are distributed from the subsidiaries that Grupo TMM does not fully own, will be distributed according to the subsidiaries’ ownership interests. For these and other reasons, the controversies or conflicts\nwith the business partners with whom Grupo TMM has a strategic alliance or a relationship, may negatively affect its capacity to conduct its businesses and to receive distributions from the subsidiaries and obtain a profit from its\ninvestments.\n\n \n\nOver time, asset values may fluctuate substantially and, if these values are lower at a time when we are attempting to dispose of an asset, we may incur a loss.\n\n \n\nThe value of our assets may fluctuate substantially over time due to a number of different factors, including:\n\n \n\n•\n\nprevailing economic market conditions related to the asset;\n\n \n\n•\n\na substantial or extended decline in world trade;\n\n \n\n•\n\nincreases in the supply of vessel capacity;\n\n \n\n•\n\nincreased port and terminal capacity;\n\n \n\n•\n\nprevailing charter rates;\n\n \n\n•\n\nrestrictions arising from emergency public health measures; and\n\n \n\n•\n\nthe cost of retrofitting or modifying existing ships and other assets as a result of technological advances, changes in applicable environmental or other regulations or standards.\n\n \n\nIn the future, if the market values of our assets deteriorate significantly, we may be required to record an impairment charge in our financial\nstatements, which could adversely affect our results of operations. If a vessel charter terminates, we may be unable to re-charter the vessel at an acceptable rate and, rather than continue to incur costs to maintain and finance the\nasset, we may seek to dispose of it. Our inability to dispose of a vessel or other asset at a reasonable price could result in a loss on its sale and adversely affect our results of operations and financial condition.\n\n \n\nOur future success depends upon the continued growth of and demand for the maritime, ports and terminals, and logistics industries which may have already achieved the\npeak of their upward growth trend and for which rates may have already been at or near historical highs. These factors may lead to reductions and volatility in rates and profitability.\n\n \n\nThe maritime, ports and terminals, and logistics industries are cyclical and volatile in terms of rates and profitability. In the future, rates and demand for vessels and other equipment\nand services may fluctuate as a result of changes in the size of and geographic location of supply and demand for oil and related products, as well as changes in the corresponding industry regulations. These and other factors affecting\nthe supply and demand for maritime, ports and terminals, and logistics services in general are outside of our control, and the nature, timing and degree of changes in industry conditions are unpredictable.\n\n \n\nThe factors that influence demand for our services include:\n\n \n\n•\n\nsupply and demand for products suitable for shipping, ports and terminals, and logistics services;\n\n \n\n•\n\nchanges in global production of products transported by vessels or for which we render other services;\n\n \n\n•\n\nthe distance cargo products are to be moved by sea or land;\n\n \n\n•\n\nthe globalization of manufacturing as well as the reconfiguration of supply chains, including trends such as nearshoring;\n\n \n\n12\n\n[Table of Contents](#TABLEOFCONSENTS)\n\n•\n\nglobal and regional economic and political conditions;\n\n \n\n•\n\nchanges in seaborne and other transportation patterns, including changes in the distances over which cargoes are transported;\n\n \n\n•\n\nenvironmental and other regulatory developments;\n\n \n\n•\n\ntechnological advancements;\n\n \n\n•\n\ncurrency exchange rates;\n\n \n\n•\n\nweather and natural disasters; and\n\n \n\n•\n\nglobal and regional public health developments.\n\n \n\nThe factors that influence our services capacity include:\n\n \n\n•\n\nthe number of newbuilding vessel deliveries and the scrapping rate of similar vessels;\n\n \n\n•\n\nthe Mexican foreign trade balance;\n\n \n\n•\n\nthe price of steel and other raw materials;\n\n \n\n•\n\nchanges in environmental and other regulations that may limit the useful life of vessels and other assets;\n\n \n\n•\n\nthe number of vessels or other assets that are out of service;\n\n \n\n•\n\nport congestion; and\n\n \n\n•\n\nthe existence of emergency public health measures that may require us to suspend or curtail some of our businesses.\n\n \n\nOur ability to re-charter the vessels we operate upon the expiration or termination of their current charters and the charter rates payable under\nany renewal or replacement charters will depend upon, among other things, the prevailing state of the charter market for vessels. If the charter market is depressed when vessels’ charters expire, we may be forced to re-charter the vessels\nat reduced rates or even possibly a rate whereby we incur a loss, which may reduce our earnings or make our earnings volatile. The same issues will exist if we acquire additional vessels and attempt to obtain multi-year time charter\narrangements as part of our acquisition and financing plan. Similarly, in our ports and terminals and logistics divisions, our ability to renew or extend our services agreements will be subject to current market conditions and other\ncompetitors.\n\n \n\nOur growth depends on our ability to expand relationships with existing shipowners and other customers and to obtain new shipowners and customers, for which we will\nface substantial competition.\n\n \n\nOur principal objectives include acquiring and operating additional vessels in conjunction with entering into long-term, fixed-rate time charters for these ships, as well as entering into\nnew long-term service contracts for our ports and terminals and logistics businesses. The process of obtaining new long-term contracts is highly competitive and generally involves an intensive screening process and competitive bids, and\noften extends for several months. Shipping charters and service contracts are awarded based upon a variety of factors relating to the contractor, including:\n\n \n\n•\n\nindustry relationships and reputation for customer service and safety;\n\n \n\n•\n\nexperience and quality operations (including cost effectiveness);\n\n \n\n13\n\n[Table of Contents](#TABLEOFCONSENTS)\n\n•\n\nquality and experience of operating personnel;\n\n \n\n•\n\nthe ability to finance vessels and other assets at competitive rates and financial stability in general;\n\n \n\n•\n\nrelationships with shipyards and the ability to get suitable facilities;\n\n \n\n•\n\nrelationships with ship owners and the ability to obtain suitable second-hand vessels and equipment;\n\n \n\n•\n\nconstruction management experience, including the ability to obtain on-time delivery of new ships and other assets according to customer specifications;\n\n \n\n•\n\nwillingness to accept operational risks pursuant to the charter or other services, as well as allowing termination for force majeure events, among others; and\n\n \n\n•\n\ncompetitiveness of the bid in terms of overall price.\n\n \n\nWe expect substantial competition from a number of experienced companies, including state-sponsored entities and major shipping, ports and terminals, and logistics companies. Some of\nthese competitors have significantly greater financial resources than we do, and can therefore operate larger fleets, provide additional services, and potentially offer better rates. This competition may cause greater price competition\nfor time charters and the other services we offer. As a result of these factors, we may be unable to expand our relationships with existing customers or to obtain new customers on a profitable basis, if at all, which would have a material\nadverse effect on our business, results of operations and financial condition and our ability to pay dividends to our stockholders.\n\n \n\nThe aging of the vessels we operate may result in increased operating costs in the future, which could adversely affect our earnings.\n\n \n\nIn general, the cost of maintaining a vessel in good operating condition increases with the age of the vessel. As the vessels we operate age, we will incur increased costs. Older vessels\nare typically less fuel efficient and more costly to maintain than more recently constructed vessels. Cargo insurance rates also increase with the age of a vessel, making older vessels less desirable to charterers. Governmental\nregulations and safety or other equipment standards related to the age of a vessel may also require expenditures for alterations or the addition of new equipment to vessels and may restrict the type of activities in which vessels may\nengage. We cannot assure you that, as the vessels we operate age, market conditions will justify such expenditures or will enable us to profitably operate the vessels during the remainder of their expected useful lives.\n\n \n\nOur results of operations may be adversely affected by operational risks inherent in the transportation and logistics industry.\n\n \n\nThe operation of vessels and other machinery relating to the shipping and cargo business involves an inherent risk of catastrophic marine disaster, mechanical failure, collisions,\nproperty losses to vessels, piracy, cargo loss or damage and business interruption due to outbreaks of infectious diseases or political actions in Mexico and in foreign countries. In addition, the operation of any harbor and seagoing\nvessel is subject to the inherent possibility of catastrophic marine disasters, including oil spills and other environmental accidents, and the liabilities arising from owning and operating vessels in international trade. Any such event\nmay result in a reduction of revenues or increased costs. The Company’s vessels are insured for their estimated value against damage or loss, including war, terrorism acts, and pollution risks and we also carry other insurance customary\nin the industry.\n\n \n\nWe maintain insurance to cover the risk of partial or total loss of or damage to all of our assets including, but not limited to, harbor and seagoing vessels, port facilities, port\nequipment, land facilities and offices. In particular, we maintain marine hull and machinery and war risk insurance on our vessels, which covers the risk of actual or constructive total loss. Additionally, we have protection and indemnity\ninsurance for damage caused by our operations to third persons. With certain exceptions, we do not carry insurance covering the loss of revenue resulting from a downturn in our operations or resulting from vessel off-hire time on certain\nvessels. In certain instances, and depending on the ratio of insurance claims to insurance premiums paid, we may choose to self-insure our over-the-road equipment following prudent guidelines. We cannot assure you that our insurance would\nbe sufficient to cover the cost of damages suffered by us or damages to others, that any particular claim will be paid or that such insurance will continue to be available at commercially reasonable rates in the future.\n\n \n\n14\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nAdditionally, some shipping, ports and terminals, and logistics activities decrease substantially during periods of bad weather. Such adverse weather conditions can adversely affect our\nresults of operations and profitability if they occur with unusual intensity, during abnormal periods, or last longer than usual in our major markets.\n\n \n\nOur operations are subject to extensive environmental and safety laws and regulations and we may incur costs that have a material adverse effect on our financial\ncondition as a result of our liabilities under or potential violations of environmental and safety laws and regulations.\n\n \n\nOur operations are subject to general Mexican federal and state laws and regulations relating to the protection of the environment. The Mexican Attorney General for Environmental\nProtection (Procuraduría Federal de Protección al Ambiente) is empowered to bring administrative and criminal proceedings and impose corrective actions and\neconomic sanctions against companies that violate environmental laws, and temporarily or permanently close non-complying facilities under the Mexican General Law of Ecological Balance and Environmental Protection (Ley General de\nEquilibrio Ecológico y la Protección al Ambiente, or \"LGEEPA\"). The Mexican Ministry of Environmental Protection and Natural Resources (Secretaría del Medio Ambiente y Recursos Naturales or “SEMARNAT”) and other ministries have promulgated compliance standards for, among other things, water discharge, water supply, air emissions, noise pollution, hazardous substances\ntransportation and handling, and hazardous and solid waste generation. Under the environmental laws, the Mexican government has implemented a program to protect the environment by promulgating rules concerning water, land, air and noise\ndischarges or pollution, and the transportation and handling of wastes and hazardous substances.\n\n \n\nWe are also subject to the laws of various jurisdictions and international conferences with respect to the discharge of hazardous materials, waste and pollutants into the environment.\n\n \n\nWhile we maintain insurance against certain of these environmental risks in an amount which we believe is consistent with amounts customarily obtained in accordance with industry norms,\nwe cannot assure you that our insurance will be sufficient to cover damages suffered by us or that insurance coverage will always be available for these possible damages. Furthermore, such insurance typically excludes coverage for fines\nand penalties that may be levied for non-compliance with environmental laws and regulations.\n\n \n\nWe anticipate that the regulation of our business operations under federal, state and local environmental laws and regulations will increase and become more stringent over time. We cannot\npredict the effect, if any, that the adoption of additional or more stringent environmental laws and regulations would have on our results of operations, cash flows, capital expenditure requirements or financial condition.\n\n \n\nOur maritime operations provide transportation services for petrochemical products and refined clean and dirty petroleum products, respectively. See Item 4. “Information on the Company -\nBusiness Overview - Maritime Operations.” Under the United States Oil Pollution Act of 1990 (“OPA” or “OPA 90”), responsible parties, including ship owners and operators, are subject to various requirements and could be exposed to\nsubstantial liability, and in some cases unlimited liability, for removal costs and damages, including natural resource damages and a variety of other public and private damages resulting from the discharge of oil, petroleum or related\nsubstances into the waters of the United States. In some jurisdictions, including the United States, claims for spill clean-up or removal costs and damages would enable claimants to immediately seize the ships of the owning and operating\ncompany and sell them in satisfaction of a final judgment. The existence of comparable statutes enacted by individual states of the United States, but requiring different measures of compliance and liability, creates the potential for\nsimilar claims being brought in the United States under state law. In addition, several other countries have adopted international conventions that impose liability for the discharge of pollutants similar to OPA. If a spill were to occur\nin the course of operation of one of our vessels carrying petroleum products, and such spill affected the waters of the United States or another country that had enacted legislation similar to OPA, we could be exposed to substantial or\nunlimited liability. Additionally, our vessels carry fuels that, if spilled, under certain conditions, could cause pollution and result in substantial claims against us, including claims under international laws and conventions, OPA and\nother U.S. federal, state and local laws. Further, under OPA and similar international laws and conventions, we are required to satisfy insurance and financial responsibility requirements for potential oil spills and other pollution\nincidents. Penalties for failure to maintain the financial responsibility requirements can be significant and can include the seizure of the vessel.\n\n \n\n15\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nThe vessels we operate must also meet stringent operational, maintenance and structural requirements, and they are subject to rigorous inspections by governmental authorities such as the\nU.S. Coast Guard and other foreign authorities that have enacted legislation similar to the OPA for vessels operating in U.S. and foreign territorial waters. Non-compliance with these requirements could result in substantial fines,\npenalties or other sanctions.\n\n \n\nWe could have liability with respect to contamination at third-party facilities in the United States where we have transported hazardous substances or waste under the U.S. Comprehensive\nEnvironmental Response, Compensation and Liability Act (“CERCLA” or “Superfund”) and comparable state laws (known as state Superfund laws). CERCLA and the state Superfund laws impose joint and several liability for the cost of\ninvestigation and remediation, natural resources damages, certain health studies and related costs, without regard to fault or the legality of the original conduct, on certain classes of persons with respect to the release into the\nenvironment of certain substances. These persons, commonly called “potentially responsible parties” or “PRPs,” include the current and certain prior owners or operators of and persons that arranged for the disposal or treatment of\nhazardous substances at sites where a release has occurred or could occur. In addition, other potentially responsible parties, adjacent landowners or other third parties may initiate cost recovery actions or toxic tort litigation against\nPRPs under CERCLA or state Superfund law or state common law.\n\n \n\nThe U.S. Clean Water Act imposes restrictions and strict controls regarding the discharge of wastes into the waters of the United States. The Clean Water Act and comparable state laws\nprovide for civil, criminal and administrative penalties for unauthorized discharges of pollutants. In the event of an unauthorized discharge of wastes or pollutants into waters of the United States, we may be liable for penalties and\ncould be subject to injunctive relief.\n\n \n\nPotential labor disruptions could adversely affect our financial condition and our ability to meet our obligations under our financing arrangements.\n\n \n\nAs of March 31, 2026, we had 642 employees, of whom approximately 7% were unionized. The compensation terms of the labor agreement with these employees are subject to renegotiation on an\nannual basis and all other terms are renegotiated every two years. If we are not able to negotiate these provisions favorably, strikes, boycotts or other disruptions could occur, and these potential disruptions could have a material\nadverse effect on our financial condition and results of operations and on our ability to meet our payment obligations under our financing arrangements.\n\n \n\nIn addition, in connection with the labor commitments included in the United States-Mexico-Canada Agreement (“USMCA”), the successor to the North American Free Trade Agreement (“NAFTA”),\nthe Mexican government has implemented and continues to enforce significant structural labor reforms aimed at strengthening and safeguarding workers’ rights. These include, among other measures, the ratification of the International Labor\nOrganization’s Convention C098, the “Right to Organize and Collective Bargaining Convention”, and revisions to the Mexican Federal Labor Law (Ley Federal del Trabajo) aimed at prohibiting\ndiscrimination and workplace harassment, establishing new labor courts and judicial protections for workers, enhancing the transparency of procedures for the negotiation of collective bargaining agreements, and ensuring the voting rights\nof workers on matters such as union contracts and representation. These developments, together with substantial increases in Mexico’s general minimum wage, have spurred increased demands from workers and labor unions for salary and\nbenefit increases. We cannot predict how these developments may affect our business, results of operations or its financial condition. Any increased demands by our unionized workers may lead to higher labor costs, which could have a\nnegative impact on our business, results of operations or financial condition.\n\n \n\nGlobal geopolitical tensions, international armed conflicts and instability in critical hydrocarbon production and transit regions, particularly the Middle East,\nRussia and Venezuela, may have a material adverse effect on our business, financial condition, liquidity and results of operations.\n\nDuring 2024 and 2025, global financial and commodities markets experienced significant volatility as a result of prolonged armed conflicts, international economic sanctions, disruptions\nin supply chains and abrupt changes in energy prices. In particular, the armed conflict between Russia and Ukraine, which began in February 2022 and remains ongoing as of the date of this report, as well as tensions and conflicts in the\nMiddle East —including those in the Red Sea region and the Strait of Hormuz that have affected critical maritime trade routes— have had direct and indirect effects on our operations. These developments have resulted in the following:\n\n16\n\n[Table of Contents](#TABLEOFCONSENTS)\n\n•\n\nVolatility in fuel and energy prices. International prices for crude oil and marine fuels have experienced significant increases and fluctuations. During 2024 and 2025, we experienced material increases in fuel costs for our\nmaritime operations, which have pressured our operating margins, particularly under contracts where we are unable to fully pass through these increases to our customers.\n\n•\n\nIncreases in vessel chartering costs. Global instability and disruptions in traditional shipping routes have led to increases in vessel charter and leasing rates in the international market, affecting our costs when additional\ncapacity is required or when renewing charter agreements.\n\n•\n\nSupply chain constraints. Economic sanctions imposed by the United States, the European Union and other countries against Russia—including the exclusion of certain Russian financial institutions from the SWIFT financial\nmessaging system—have caused disruptions in the availability and cost of spare parts, maritime equipment and other critical inputs necessary for the maintenance of our fleet and port infrastructure.\n\n•\n\nUncertainty in demand for services. International tensions may affect global trade volumes, which could reduce demand for maritime transportation services, port logistics and storage services.\n\nThe continuation, escalation or emergence of additional armed conflicts could result in further economic deterioration, additional restrictions on cross-border commercial transportation\nor the implementation of stricter security measures that may affect the global flow of goods. We continue to monitor these geopolitical developments and their potential impact on international markets. Any of these factors could have a\nmaterial adverse effect on our business, financial condition, liquidity and results of operations.\n\n Changes in trade policy by the United States or other countries could give rise to diplomatic tensions, including the imposition of new tariffs, regulations,\neconomic sanctions or protectionist measures that may directly affect logistics costs.\n\n \n\nThe administration of President Donald Trump, who began his second term in January 2025, has implemented and continues to evaluate a protectionist trade agenda that\nincludes the imposition of tariffs on products imported from Mexico, potential modifications to the operational terms of the United States-Mexico-Canada Agreement (“USMCA”), and increased scrutiny of cross-border operations.\n\nDuring 2025, we experienced material effects resulting from these trade policies, including:\n\n•\n\nReduction in demand for automotive logistics services. The imposition of tariffs on Mexican vehicles and auto parts, together with regulatory uncertainty regarding rules of origin under the USMCA,\nhas contributed to a significant contraction in automotive sector activity in the Bajío region of Mexico. Several automotive manufacturing facilities in Aguascalientes, Guanajuato and surrounding states—which represent an\nimportant portion of our customer base for logistics services—have announced temporary shutdowns, reduced shifts or permanent closures, negatively impacting volumes and demand for our container handling and automotive logistics\nservices.\n\n•\n\nVolatility in trade flows. Tariffs and the threat of additional measures have generated volatility in foreign trade flows between Mexico and the United States, our primary commercial corridor, which\naffects the utilization of our operating capacity.\n\n•\n\nPressure on operating margins. Volatility in the Mexican peso-U.S. dollar exchange rate, exacerbated by trade tensions, has increased the cost of critical imported inputs for our operations,\nincluding steel used for vessel repairs, fuels, spare parts and technological equipment.\n\n17\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nAdditionally, one of the external risks we face relates to potential changes in executive orders issued by the U.S. government, particularly those related to\nforeign trade, border security, international transportation and energy policies. During 2025, the U.S. government issued and continues to evaluate issuing new executive orders that may modify customs and inspection procedures at\nports of entry, increasing logistics times and costs; impose additional restrictions on certain types of cargo or products originating from Mexico; modify safety requirements and certifications for\nvessels and maritime operators; or alter financing conditions or access to U.S. capital markets for Mexican companies. These developments may create regulatory uncertainty that complicates medium- and long-term strategic planning and\ncould substantially modify the operational and logistical conditions under which we operate.\n\nFurthermore, trade disputes between the United States and China, as well as potential diplomatic tensions with other major trading partners, could indirectly affect our operations if they\nresult in reductions in global trade or the redirection of trade flows away from Mexican ports and maritime routes.\n\nAdditionally, the United States-Mexico-Canada Agreement (“USMCA”) provides for a formal review of its provisions in July 2026. In light of the current environment of protectionist trade\npolicies promoted by the U.S. administration, there is uncertainty as to whether such review could result in modifications to rules of origin, dispute resolution mechanisms or market access conditions that could affect trade volumes\ndriving demand for our logistics, port and maritime transportation services. We cannot predict the outcome of such review or the impact it may have on our business, financial condition or results of operations.\n\n \n\nOur information technology systems, like those of any other company, may be exposed to security incidents, unauthorized access or network connectivity\ndisruptions, which could have a material adverse effect on our operations, financial condition, results of operations or reputation. \n\nOur business operations rely on an information technology systems platform and communications networks that include technological infrastructure, software applications,\ncomputer equipment and cloud-based services. Despite the implementation of controls and protective measures, these systems remain susceptible to cybersecurity incidents, operational failures, disruptions in local and/or global network\nconnectivity and other events beyond our control.\n\nTo mitigate these risks, we continue to strengthen our security measures through the implementation of technological and administrative controls, including the use of\ninfrastructure and specialized services from leading providers such as Amazon Web Services (AWS), as well as advanced threat protection, detection and filtering tools for email and devices through solutions such as Microsoft Defender for\nOffice 365. We also conduct internal awareness campaigns aimed at our employees regarding information security practices, including the prevention of social engineering attacks, secure information management and the periodic updating of\ncredentials.\n\n \n\nIn addition, we have implemented advanced protection mechanisms on computing devices that enable real-time monitoring and response to potential threats, as\nwell as remote management of software updates and security patches with the objective of maintaining our systems up to date and reducing vulnerabilities. We also maintain internal procedures for the identification of and response to\npotential large-scale cyberattacks or attempts at unauthorized access, including the preventive blocking of accounts, event analysis and corrective actions to restore secure operating conditions.\n\nNotwithstanding the measures implemented, we cannot guarantee that our systems, or those of third parties with whom we interact, will not be compromised or that\ninterruptions in technological services will not occur. Any significant incident could result in disruptions to our operations, loss or compromise of information, additional remediation costs, damage to our reputation or potential legal\nliabilities.\n\nFurthermore, the occurrence of cybersecurity-related incidents, or the perception by our customers of a potential disruption in the quality or continuity of our services,\ncould lead some customers to reduce or discontinue the use of our services, request different commercial terms or exercise contractual rights against us. Although we maintain contracts that establish rights and obligations for the\nparties, we cannot assure that the enforcement or defense of such rights in court would always be practical, timely or economically favorable.\n\nIf any of these events were to occur, our revenues, results of operations and financial condition could be materially adversely affected.\n\n18\n\n[Table of Contents](#TABLEOFCONSENTS)\n\n Our customers may take actions that may reduce our revenues.\n\n \n\nIf our customers believe that our financial condition will result in a lower quality of service, they may discontinue use of our services. Additionally, some\ncustomers may demand lower prices. While we have contracts with some of our customers that prevent them from terminating our services or which impose penalties on customers who terminate our services, it may be impractical or\nuneconomical to enforce these agreements in Mexican courts. If any of these events occur, our revenues will be reduced.\n\n \n\nOur financial statements may not be comparable to financial statements prepared in accordance with U.S.  accounting standards.\n\n \n\nOur financial statements are prepared in accordance with IFRS. IFRS differs from U.S. GAAP in certain significant respects, including, among others, the recognition of\nrevaluation of the property, the classification of minority interest in accordance with net identifiable assets, the nonrecognition of deferred employees’ profit sharing, consolidation of subsidiaries, the acquisition of shares of\nsubsidiaries from minority stockholders and the determination of deferred income taxes. For this and other reasons, the presentation of financial statements and reported earnings prepared in accordance with IFRS may differ in significant\nrespects from the presentation of financial statements and reported earnings prepared in accordance with U.S. GAAP.\n\nFailure to company with the U.S. Foreign Corrupt Practices Act could result in fines, criminal penalties and an adverse effect on our business.\n\nWe may operate in a number of countries around the world, including countries suspected to have a risk of corruption. We are committed to doing business in accordance with\napplicable anti-corruption laws. We are subject to the risk that we or our directors, employees and agents may take actions determined to be in violation of the Foreign Corrupt Practices Act or other anti-corruption laws. Any such\nviolation could result in substantial fines, sanctions, civil and/or criminal penalties, curtailment of operations in certain jurisdictions, and might adversely affect our business, earnings or financial condition. In addition, actual or\nalleged violations could damage our reputation and ability to do business. Further, detecting, investigating, and resolving actual or alleged violations is expensive and can consume significant time and attention from our senior\nmanagement.\n\nChanges in Mexico's Federal Judiciary could adversely affect the resolution of our legal proceedings and the institutional environment in which we\noperate.\n\nOn September 11, 2024, Mexico's senate approved a sweeping constitutional reform meant to fundamentally reshape the country's judicial system, principally by having all\njudges in the country be popularly elected to their positions. The first elections occurred on June 1, 2025, when judges for 881 judicial positions were elected. Further elections for an additional 800 judicial positions will occur in\n2027.\n\nAs a result, the Supreme Court of Justice of the Nation and other jurisdictional bodies have been reconstituted under a new configuration, the practical effects of which\non the continuity of pending cases, jurisprudential criteria and resolution timelines remain uncertain.\n\nThis institutional transformation could affect the development and duration of judicial, administrative or amparo proceedings in which the Company is a party, including\ntax, labor and regulatory matters.\n\nWe cannot predict the impact that these changes may have on the resolution of such proceedings or on the application of the prevailing legal framework, which could\nadversely affect our operations and results.\n\n Risks Relating to our Indebtedness\n\n \n\nOur substantial indebtedness could adversely affect our financial condition and impair our ability to operate our business, and we may not be able to\npay the interest on and principal amount of our indebtedness.\n\n \n\nAs of March 31, 2026, Grupo TMM’s total debt amounted to $1,201.8 million, which includes $982.2 million of bank debt owed to various banks, $10.5 million owed to\nnon-institutional lenders, $164.0 million of related parties, and $45.1 million of liabilities associated with our long-term leases. Of this debt, $336.3 million is short-term debt, and $865.5 million is long-term debt.\n\n19\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nUnder IFRS, transaction costs related to financing arrangements are recognized as part of the debt under the amortized cost classification.\n\n \n\nAs of December 31, 2025, our total debt amounted to $1,262.2 million, which includes $1,046.0 million of bank debt owed to various banks, $12.9 million owed to\nnon-institutional lenders, $157.1 million of related parties, and $46.2 million of liabilities associated with our long-term leases, primarily for warehouses used in our warehousing operations. Of this debt, $323.6 million is short-term\ndebt, and $938.6 million is long-term debt.\n\n \n\nAlthough we have taken various measures to reduce our level of indebtedness, our level of indebtedness remains substantial and could have important consequences, including\nthe following:\n\n \n\n•\n\nlimiting cash flow available for capital expenditures, acquisitions, working capital and other general corporate purposes because a substantial portion of our cash flows from operations must be dedicated to servicing debt;\n\n \n\n•\n\nincreasing our vulnerability to a downturn in economic or industry conditions;\n\n \n\n•\n\nexposing us to risks inherent to fluctuations in interest rates due to increases in variable interest rates on current loans and on future loans that may be at interest rates higher than current\nrates, which could result in higher interest expenses;\n\n \n\n•\n\nlimiting our flexibility in planning for, or reacting to, competitive and other changes in our business;\n\n \n\n•\n\nplacing us at a disadvantage compared to our competitors that have less debt and greater operational and financial flexibility than we do;\n\n \n\n•\n\nlimiting our ability to engage in activities that may be in our long-term best interest; and\n\n \n\n•\n\nlimiting our ability to borrow additional money to fund our working capital and capital expenditures or to refinance our existing indebtedness, or to enable us to fund the acquisitions contemplated\nin our business plan.\n\n \n\nOur ability to service our indebtedness will depend upon future operating performance, including the ability to increase revenues significantly, renew our existing\nservices contracts and control expenses. Future operating performance depends upon various factors, including prevailing economic, financial, competitive, legislative, regulatory, business, public health and other factors that are beyond\nour control.\n\n \n\nIf we cannot generate sufficient cash flow from operations to service our indebtedness, we may default under our\nvarious financing facilities. If we default under any such facility, the relevant lender or lenders could then take action to foreclose against any collateral securing the payment of such facility. Certain of our assets have been\npledged to secure our financing facilities. See Item 4. “Information on the Company - Property, Vessels and Equipment.”\n\nWe are primarily a holding company and depend upon funds received from our operating\nsubsidiaries to make payments on its indebtedness.\n\n \n\nWe are is primarily a holding company and conduct the majority of its operations, and holds a substantial portion of its operating assets, through direct and indirect\nsubsidiaries. As a result, we rely on income from dividends and fees related to administrative services provided to its operating subsidiaries for its operating income, including the funds necessary to service its indebtedness.\n\n \n\nUnder Mexican law, profits of our subsidiaries may only be distributed upon approval by such subsidiaries’ shareholders, and no profits may be distributed by its\nsubsidiaries to Grupo TMM until all losses incurred in prior fiscal years have been offset against any sub-account of our capital or net worth account. In addition, at least 5% of profits must be separated to create a reserve (reserva legal) until such reserve is equal to 20% of the aggregate value of such subsidiary’s capital stock (as calculated based on the actual nominal\nsubscription price received by such subsidiary for all issued shares that are outstanding at the time).\n\n \n\n20\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nThere is no restriction under Mexican law upon our subsidiaries remitting funds to it in the form of loans or advances in the ordinary course of business, except to the\nextent that such loans or advances would result in the insolvency of its subsidiaries, or for our subsidiaries to pay us fees or other amounts for services.\n\n \n\nTo the extent that Grupo TMM relies on dividends or other distributions from subsidiaries that we do not wholly own, we will only be entitled to a pro rata share of the\ndividends or other distributions provided by such subsidiaries.\n\n \n\nRestrictive covenants in our financing agreements may restrict our ability to pursue our business strategies.\n\n \n\nSome of our financing agreements contain a number of restrictive covenants and any additional financing arrangements we enter into may contain additional restrictive\ncovenants. These covenants restrict or prohibit many actions, including our ability, or that of our subsidiaries, to, among others:\n\n \n\n•\n\nincur additional indebtedness;\n\n \n\n•\n\ncreate or suffer to existing liens;\n\n \n\n•\n\nprepay certain debt;\n\n \n\n•\n\nmake certain restricted payments, including the payment of dividends;\n\n \n\n•\n\ncarry out certain investments;\n\n \n\n•\n\nengage in certain transactions with shareholders and affiliates;\n\n \n\n•\n\nTable of Contents\n\n \n\n•\n\nuse assets as security in other transactions;\n\n \n\n•\n\nissue guarantees to third parties;\n\n•\n\nRestrict the use of cash amounts for interest payments or debt service;\n\n \n\n•\n\nsell assets; and\n\n \n\n•\n\nengage in certain mergers and consolidations or in sale-leaseback transactions.\n\n \n\nIf we fail to comply with these and other restrictive covenants, our obligation to repay our indebtedness may be accelerated. If we cannot pay the amounts due under our\nfinancing facilities, the relevant lender or lenders could then take action to foreclose against any collateral securing the payment of such facility or facilities.\n\nWe are exposed to fluctuations in the exchange rate between the Mexican peso and the U.S. dollar, as a significant portion of our revenues, although\ninvoiced in U.S. dollars, is primarily settled in Mexican pesos.\n\n \n\nA significant portion of our debt is denominated in U.S. dollars, while a relevant portion of our revenues, although referenced to such currency, is collected in Mexican\npesos at the exchange rate prevailing on the date of payment. Accordingly, we are exposed to exchange rate fluctuations.\n\nAn appreciation of the Mexican peso against the U.S. dollar could adversely affect our ability to generate sufficient cash flows to service our U.S.\ndollar-denominated debt.\n\n21\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nAs of March 31, 2026, approximately 89.6% of our debt was denominated in U.S. dollars. As of December 31, 2025, the Mexican peso had appreciated 11.4% against the U.S. dollar compared to\nDecember 31, 2024. From January 1 through March 31, 2026, the Mexican peso has depreciated 0.6% against the U.S. dollar.\n\n \n\nExchange rate fluctuations may affect both the amount of our foreign currency obligations and the cash flows available to service them. Additionally, peso-dollar exchange\nrate movements may influence Mexico's export and import levels, which could impact cargo volumes and the mix of products transported by our subsidiaries. Although in certain instances a decline in exports could be offset by an increase in\nimports, such offset may not occur in a timely or sufficient manner.\n\nFurthermore, changes in trade dynamics between Mexico and the United States, which are beyond our control, could adversely affect operating volumes or market conditions in\nthe sectors in which we participate, which could negatively impact our results of operations.\n\n \n\nOur variable rate debt subjects us to risks associated with an increase in interest rates, which could increase the amount of our debt service\nobligations.\n\n \n\nWe are exposed to the impact of interest rate changes, primarily through our variable-rate debt facilities, which generate interest payments obligations\nbased on the Mexican Interbank Equilibrium Interest Rate (“TIIE”) or the Secured Overnight Financing Rate (“SOFR”). An increase in such interest rates could raise the financial cost of our debt and, consequently, our debt service\nobligations, which could have an adverse effect on our results of operations and cash flows. Grupo TMM does not have derivative financial instruments contracted to hedge cash flow risk in relation to\nthe variable interest rates of its loans.\n\n \n\nRisks Relating to Mexico\n\n \n\nEconomic, political, social and public health conditions may adversely affect our business.\n\n \n\nOur financial performance may be significantly affected by general economic, political, social and public health conditions in the markets where we operate. Most of our\noperations and assets are located in Mexico. As a result, our financial condition, results of operations and business may be affected by the general condition of the Mexican economy, the valuation of the Peso as compared to the U.S.\ndollar, Mexican inflation, interest rates, regulations, taxation, social or political instability, and economic, political, social and public health developments in Mexico. Many countries in Latin America, including Mexico, have suffered\nsignificant economic, political, social and public health crises in the past, and these events may occur again in the future. Instability in the region has been caused by many different factors, including:\n\n \n\n•\n\nsignificant governmental influence over local economies;\n\n \n\n•\n\nsubstantial fluctuations in economic growth;\n\n \n\n•\n\nhigh levels of inflation;\n\n \n\n•\n\nchanges in currency values;\n\n \n\n•\n\nexchange controls or restrictions on expatriation of earnings;\n\n \n\n•\n\nhigh domestic interest rates;\n\n \n\n•\n\nwage and price controls;\n\n \n\n•\n\nchanges in governmental economic or tax policies;\n\n \n\n•\n\nimposition of trade barriers;\n\n \n\n•\n\nunexpected changes in regulation; and\n\n \n\n22\n\n[Table of Contents](#TABLEOFCONSENTS)\n\n•\n\noverall economic, political, social and public health instability.\n\nMexico is an emerging market economy, with attendant risks to our results of operations and financial condition.\n\n \n\nMexico has historically experienced uneven periods of economic growth. Mexico’s gross domestic product (“GDP”) increased 3.7%, 3.1% 1.4% and 0.6% in 2022,\n2023, 2024 and 2025, respectively. For the year 2026, the Bank of Mexico, through its March Mexico Consensus Board survey, estimates that Mexico’s GDP will grow\nby approximately 1.5%, while inflation is expected to be 4.53%. We cannot assure you that these estimates will prove to be accurate. The Mexican government has exercised, and continues to exercise, significant influence over the Mexican\neconomy. Accordingly, Mexican governmental actions concerning the economy and state-owned enterprises could have a significant impact on Mexican private sector entities in general and on us in particular, as well as on market\nconditions, prices and returns on Mexican securities, including our securities.\n\n \n\nCurrency fluctuations or the devaluation and depreciation of the Peso could limit the ability of the Company and others to convert Pesos into U.S.\ndollars or other currencies which could adversely affect our business, financial condition and results of operations.\n\n \n\nSevere devaluation or depreciation of the Peso may also result in governmental intervention or disruption of international foreign exchange markets. This may limit our\nability to transfer or convert Pesos into U.S. dollars and other currencies for the purpose of making timely payments of interest and principal on our dollar-denominated indebtedness and adversely affect our ability to obtain foreign\ncurrency and other imported goods. The Mexican economy has suffered current account balance of payment deficits and shortages of foreign exchange reserves in the past. While the Mexican government does not currently restrict, and for more\nthan twenty years has not restricted, the right or ability of Mexican or foreign persons or entities to convert Pesos into U.S. dollars or to transfer other currencies outside of Mexico, the Mexican government could institute restrictive\nexchange control policies in the future. To the extent that the Mexican government institutes restrictive exchange control policies in the future, our ability to transfer or convert Pesos into U.S. dollars for the purpose of making timely\npayments of interest and principal on indebtedness would be adversely affected.\n\n \n\nPursuant to the provisions of the USMCA, if Mexico experiences serious balance of payment difficulties or the threat thereof in the future, Mexico would have the right to\nimpose foreign exchange controls on investments made in Mexico, including those made by U.S. and Canadian investors. Any restrictive exchange control policy could adversely affect our ability to obtain U.S. dollars or to translate Pesos\ninto U.S. dollars for purposes of making interest and principal payments to our creditors to the extent that we may have to make those translations. This could have a material adverse effect on our business and financial condition.\n\n \n\nHigh interest rates in Mexico could increase our financing costs.\n\n \n\nInterest rates in Mexico have experienced significant increases in recent years, reaching elevated levels during certain periods as a result of macroeconomic and monetary\nconditions. The Mexican Interbank Equilibrium Interest Rate (TIIE) at 28 days averaged 4.63%, 7.91%, 11.40%, 11.10% and 8.67% in 2021, 2022, 2023, 2024 and 2025, respectively, and for the three-month period ended March 31, 2026, the\naverage was 7.28%. To the extent we incur variable-rate debt referenced to the TIIE or other local benchmark rates, any increase in such rates could raise the financial cost of our debt.\n\nDevelopments in other emerging market countries or in the United States may affect us and the prices of our securities.\n\n \n\nThe market value of securities of Mexican companies, the economic and political situation in Mexico and our financial condition and results of operations are, to varying\ndegrees, affected by economic and market conditions in other emerging market countries and in the United States. Although economic conditions in other emerging market countries and in the United States may differ significantly from\neconomic conditions in Mexico, investors’ reactions to developments in any of these other countries may have an adverse effect on the market value or trading price of securities of Mexican issuers, including our securities, or on our\nbusiness.\n\n23\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nOur operations, including demand for our products or services and the pricing of our variable-rate debt, have also been negatively affected by the\nhigh-interest rate environment that has prevailed in the United States and Mexico in recent years. Although during the second half of 2024 and throughout 2025 monetary authorities began a gradual cycle\nof reductions in benchmark interest rates, rates remain at historically elevated levels and there is uncertainty regarding the pace, magnitude and continuity of future adjustments. If interest rates increase again or remain elevated for\nprolonged periods, interest payments on our variable-rate debt and the cost of refinancing our debt agreements upon maturity may also increase, which could have a material adverse effect on our net financing costs, liquidity and results\nof operations.\n\n \n\nMexico may experience high levels of inflation in the future, which could adversely affect our results of operations.\n\n \n\nMexico has a history of high levels of inflation and may experience high inflation in the future. The annual inflation rates for the last five years, as measured by\nchanges in the National Consumer Price Index, as provided by Banco de México, were:\n\n \n\n2020\n\n \n\n \n\n3.15\n\n%\n\n2021\n\n \n\n \n\n7.36\n\n%\n\n2022\n\n \n\n \n\n7.82\n\n%\n\n2023\n\n \n\n \n\n4.66\n\n%\n\n2024\n\n \n\n \n\n4.21\n\n%\n\n2025\n\n \n\n \n\n3.69\n\n%\n\n2026 (annualized through March)\n\n \n\n \n\n4.59\n\n%\n\nMexico’s level of inflation has in recent years been reported at higher levels than the annual inflation rate of the United States and Canada. The United States and Canada\nare Mexico’s main trading partners. We cannot give any assurance that the Mexican inflation rate will decrease, increase or maintain its current level for any significant period of time. A substantial increase in the Mexican inflation\nrate as currently in effect would have the effect of increasing some of our costs, which could adversely affect our financial condition and results of operations, as well as our ability to service our debt obligations. High levels of\ninflation may also affect the balance of trade between Mexico and the United States, and other countries, which could adversely affect our results of operations.\n\n \n\nPolitical events and declines in the level of oil production in Mexico could affect the Mexican economy and our business, financial condition and\nresults of operations.\n\n \n\n2024 was marked by significant changes in political leadership in Mexico. In October 2024, Dr. Claudia Sheinbaum Pardo assumed the presidency for the\n2024–2030 term, representing the Movimiento de Regeneración Nacional (“MORENA”) party. Her administration has continued the policy of strengthening the state energy sector initiated during the previous administration, with emphasis on\nenergy sovereignty, the strengthening of Petróleos Mexicanos (“PEMEX”) and the Comisión Federal de Electricidad (“CFE”), as well as a gradual transition toward clean energy under the direction of the\nState.\n\nThe beginning of the new administration implies a process of institutional and regulatory adjustments that has generated, and could continue to generate, uncertainty in\nstrategic sectors, particularly energy, infrastructure, maritime transportation and public finances. These adjustments include the redefinition of budget priorities, changes in regulatory frameworks and greater State participation in key\neconomic activities, which could affect the confidence of domestic and foreign investors, as well as the operating and financing conditions of companies linked to the energy and logistics sectors.\n\nDuring the last quarter of 2024 and throughout 2025, the Mexican Congress approved significant legislative changes in the energy sector that have substantially modified\nthe regulatory framework under which both state-owned and private companies operate. Among the most relevant changes are the legal transformation of PEMEX, the elimination of several PEMEX subsidiaries, the removal of autonomous\nregulatory agencies and the termination of the oil block bidding mechanism for exploration and production by private companies.\n\nThese regulatory changes may create uncertainty regarding the continuity of contracts, procurement procedures and commercial relationships previously established with\nentities in the energy sector, which could negatively affect our operations, results of operations and financial condition.\n\n24\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nThe operational and financial condition of PEMEX represents a significant risk factor, considering its high level of indebtedness and its reliance on financial, fiscal and\nbudgetary support from the Mexican federal government. Since 2019, the Mexican government has allocated over $137 billion in supporting Pemex; during the same period, Pemex's total debt declined by only $20 billion. In addition, the\ndevelopment and consolidation of strategic projects, such as the Dos Bocas refinery, involve risks associated with investment costs, operational efficiency and profitability, which could have fiscal and macroeconomic impacts.\n\nCrude oil production in Mexico has shown a declining trend over the past two decades. Production in 2025 decreased by 7.0%,\nwhile during the first quarter of 2026, PEMEX processed an average of 1.36 million barrels a day, through its refineries\nin Mexico and Texas, representing an 0.4% increase over the first quarter of 2025 but still the second-lowest first quarter production level in the last 16 years.\n\nGasoline and diesel imports declined 20.9% in 2025, 25.3% during the first quarter\nof 2026. During 2025 and January 2026, these figures represented 44.1% and 28.5% of domestic consumption, respectively, reflecting efforts to increase national production and strengthen refining capacity. Nevertheless, Mexico continues\nto partially depend on imports to meet its domestic fuel demand. If the Mexican government fails to attract the necessary investment or strengthen PEMEX's technological and operational capabilities, oil production could continue to\ndecline, which could weaken the Federal Government's financial position and adversely affect the economic environment in which we operate.\n\nPolitical events in the United States could have a material adverse effect on our business, financial condition and results of\noperations\n\nPolitical developments in the United States and changes in U.S. trade policy have had, and could continue to have, a material adverse effect on our business, financial\ncondition and results of operations. The United States is Mexico’s principal trading partner and receives more than 80% of Mexico’s total exports. As a result, changes in U.S. trade policy, deterioration in bilateral relations or\nreductions in trade flows between the two countries could significantly affect the Mexican economy.\n\nBecause a significant portion of our revenues is derived from logistics services, maritime transportation and cargo handling related to Mexican foreign trade, any\nreduction in trade between Mexico and the United States could affect the demand for our services.\n\nIn November 2024, Donald J. Trump was reelected President of the United States and assumed his second term on January 20, 2025. Since then, his administration has pursued\na more aggressive protectionist trade agenda than during his first administration (2017–2021).\n\nRecently, the U.S. government has threatened or enacted trade barriers in order to protect or revive its domestic industries. For example, following the U.S. Supreme\nCourt’s ruling on February 20, 2026 in Learning Resources, Inc. v. Trump that the International Emergency Economic Powers Act does not authorize the President to impose tariffs, the President\nimposed a temporary import duty of 10 percent, subject to limited exceptions, pursuant to Section 122 of the Trade Act of 1974 and effective as of February 24, 2026, which remains subject to legal challenge. In addition, on March 11 and\nMarch 12, 2026 the United States Trade Representative commenced new Section 301 investigations which may result in the imposition of additional tariffs, retaliatory trade actions or investigations by these countries, or other restrictions\non commerce. The situation remains particularly fluid and uncertain and it is unclear whether and to what extent new tariffs (or other new trade barriers) will be adopted, or once adopted, remain in place. Tariffs and other trade barriers\ncan lead to a decrease in shipping traffic and shipping rates both generally and along specific routes, and thereby have an adverse effect on our business, results of operations and financial condition.\n\nThese measures have particularly affected the automotive sector, where U.S. authorities have questioned compliance with the rules of origin established under the USMCA and\nhave imposed additional tariffs on vehicles and auto parts that, according to their criteria, do not meet regional content requirements. As a result, several automotive plants in the Bajío region have announced temporary closures or\nproduction reductions, which could affect demand for our automotive logistics services.\n\n25\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nRestrictions on imports, including in the form of tariffs, could have a major impact on global trade and demand for shipping. Specifically, increasing trade protectionism\nin the markets that our charterers serve may cause an increase in (i) the cost of goods exported from exporting countries, (ii) the length of time required to deliver goods from exporting countries, (iii) the costs of such delivery and\n(iv) the risks associated with exporting goods. These factors may result in a decrease in the quantity of goods to be shipped. Protectionist developments, or the perception they may occur, may have a material adverse effect on global\neconomic conditions, and may significantly reduce global trade and consequently the demand for commercial shipping. These developments would also have an adverse impact on our charterers’ business, operating results and financial\ncondition which could, in turn, affect our charterers’ ability to make timely charter hire payments to us and impair our ability to renew charters and grow our business. Any of these developments could have a material adverse effect on\nour business, results of operations and financial condition, as well as our cash flows, including cash available for dividends to our stockholders.\n\n \n\nAny decrease in oil prices could result in our clients reducing their spending on exploration and production projects, resulting in a decrease in\ndemand for our services.\n\n \n\nOil and natural gas prices, as well as market expectations of potential changes in these prices, significantly impact the level of worldwide drilling and\nproduction services activities. Reduced demand for oil and natural gas or periods of surplus oil and natural gas generally result in lower prices for these commodities and often impact the economics of planned drilling projects and\nongoing projects, resulting in the curtailment, reduction, delay or postponement of such projects for an indeterminate period of time. When drilling and production activity and spending decline,\nvessel daily rates and utilization for our offshore vessels historically decline as well.\n\n \n\nAs of the date of this Annual Report, the price of oil has increased 77% relative to year-end 2025. Oil and gas exploration and production companies are likely to cancel\nor reduce their drilling programs and incur lower production spending on existing wells, thereby reducing demand for our service.\n\n \n\nAny prolonged reduction in the overall level of oil and gas exploration and development activities, whether resulting from an accelerated transition to renewable energy\nsources, changes in the price of oil, natural gas or otherwise, could materially and adversely affect us by negatively impacting:\n\n \n\n•\n\nour revenues, cash flows and profitability;\n\n \n\n•\n\nthe fair market value and profitability of our vessels;\n\n \n\n•\n\nour ability to maintain or increase our borrowing capacity;\n\n \n\n•\n\nour ability to obtain additional capital to finance our business and make acquisitions, and the cost of that capital;\n\n \n\n•\n\nthe collectability of our receivables; and\n\n \n\n•\n\nour ability to retain skilled personnel whom we would need in the event of an upturn in the demand for our services.\n\n \n\nIf any of the foregoing were to occur, it could have a material adverse effect on our business and results of operations.\n\n \n\n26\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nThe following table shows the high, low, average and period-end spot prices of Mexican crude oil as reported by the Bank of Mexico in U.S. dollars for the periods\nindicated below.\n\n \n\n \n\nSpot price of Mexican crude oil\n\n \n\nYear Ended December 31,\n\n \n\nHigh(1)\n\n \n\n \n\nLow(1)\n\n \n\n \n\nAverage(1)\n\n \n\n \n\nEnd of Year(2)\n\n \n\n2020\n\n \n\n \n\n59.35\n\n \n\n \n\n \n\n(2.37\n\n)\n\n \n\n \n\n35.86\n\n \n\n \n\n \n\n47.16\n\n \n\n2021\n\n \n\n \n\n79.22\n\n \n\n \n\n \n\n47.12\n\n \n\n \n\n \n\n64.84\n\n \n\n \n\n \n\n71.29\n\n \n\n2022\n\n \n\n \n\n119.62\n\n \n\n \n\n \n\n60.42\n\n \n\n \n\n \n\n89.39\n\n \n\n \n\n \n\n69.71\n\n \n\n2023\n\n \n\n \n\n89.43\n\n \n\n \n\n \n\n57.12\n\n \n\n \n\n \n\n71.16\n\n \n\n \n\n \n\n67.65\n\n \n\n2024\n\n \n\n \n\n80.17\n\n \n\n \n\n \n\n57.07\n\n \n\n \n\n \n\n70.66\n\n \n\n \n\n \n\n66.70\n\n \n\n2025\n\n \n\n \n\n74.20\n\n \n\n \n\n \n\n51.55\n\n \n\n \n\n \n\n61.57\n\n \n\n \n\n \n\n53.62\n\n \n\nGrupo TMM, S.A.B. and Subsidiaries\n\n \n\n \n\nSpot price of Mexican crude oil\n\n \n\nMonth 2026\n\n \n\nHigh(3)\n\n \n\n \n\nLow(3)\n\n \n\n \n\nAverage(3)\n\n \n\n \n\nEnd of Month(4)\n\n \n\nJanuary\n\n \n\n \n\n61.9\n\n \n\n \n\n \n\n51.64\n\n \n\n \n\n \n\n56.51\n\n \n\n \n\n \n\n61.83\n\n \n\nFebruary\n\n \n\n \n\n63.4\n\n \n\n \n\n \n\n58.83\n\n \n\n \n\n \n\n61.04\n\n \n\n \n\n \n\n63.46\n\n \n\nMarch(5)\n\n \n\n \n\n97.01\n\n \n\n \n\n \n\n66.63\n\n \n\n \n\n \n\n81.28\n\n \n\n \n\n \n\n66.72\n\n \n\n(1)\n\nThe highest, lowest and average spot price of Mexican crude oil in U.S. dollars reported by Banco de México during the relevant year.\n\n(2)\n\nThe spot price on the last day of each relevant year.\n\n(3)\n\nThe highest, lowest and average spot price in the relevant month.\n\n(4)\n\nThe spot price on the last day of each relevant month.\n\n(5)\n\nAs of March 31, 2026.\n\nMexican antitrust laws may limit our ability to expand through acquisitions or joint ventures.\n\n \n\nMexico’s federal antitrust laws and regulations may affect some of our activities, including our ability to introduce new products and services, enter into\nnew or complementary businesses or joint ventures and complete acquisitions. In addition, the federal antitrust laws and regulations may adversely affect our ability to determine the rates we charge for our services and products.\nApproval of the Comisión Nacional Antimonopolio (CNA), or\nMexican Antitrust Commission, is required for us to acquire and sell significant businesses or enter into significant joint ventures and we cannot assure you that we would be able to obtain such approval.\n\n \n\nInvestors may not be able to enforce judgments against the Company.\n\n \n\nInvestors may be unable to enforce judgments against us. We are a stock corporation, organized under the laws of Mexico. Substantially all our directors and officers\nreside in Mexico, and all or a significant portion of the assets of those persons may be located outside the United States. It may not be possible for investors to effect service of process within the United States upon those persons or\nto enforce judgments against them or against us in U.S. courts, including judgments predicated upon the civil liability provisions of the U.S. federal securities laws. Additionally, it may not be possible to enforce, in original actions\nin Mexican courts, liabilities predicated solely on the U.S. federal securities laws and it may not be possible to enforce, in Mexican courts, judgments of U.S. courts obtained in actions predicated upon the civil liability provisions of\nthe U.S. securities laws.\n\n \n\nRisks Relating to Ownership of our Equity\n\n \n\nThe protection afforded to minority shareholders in Mexico is different from that afforded to minority shareholders in the United States.\n\n \n\nUnder Mexican law, the protections afforded to minority shareholders are different from, and may be less than, those afforded to minority shareholders in the United\nStates. Under Mexican law, there is no procedure for class actions as such actions are conducted in the United States and there are different procedural requirements for bringing shareholder lawsuits against companies. Therefore, it may\nbe more difficult for minority shareholders to enforce their rights against us, our directors or our controlling shareholders than it would be for minority shareholders of a U.S. company.\n\n \n\nIn accordance with the Mexican Companies Act (Ley General de Sociedades Mercantiles), shareholders representing at least 33%\nof our capital stock can request that the Board of Directors call an Extraordinary Shareholders Meeting to vote on proposals included by the shareholders in their request to the Board.\n\n27\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nHolders of ADSs may not be entitled to participate in any future preemptive rights offering, which may result in a dilution of such holders equity\ninterest in our company.\n\n \n\nUnder Mexican law, if we issue new shares for cash as a part of a capital increase, we generally must grant our stockholders the\nright to purchase a sufficient number of shares to maintain their existing ownership percentage in our company. Rights to purchase shares in these circumstances are commonly referred to as preemptive rights. We may not be legally\npermitted to allow holders of ADSs in the United States to exercise preemptive rights in any future capital increase unless (1) we file a registration statement with the SEC with respect to that future issuance of shares or (2) the\noffering qualifies for an exemption from the registration requirements of the U.S. Securities Act of 1933, as amended. At the time of any future capital increase, we will evaluate the costs and potential liabilities associated with filing\na registration statement with the SEC, as well as the benefits of preemptive rights to holders of ADSs in the United States and any other factors that we consider important in determining whether to file a registration statement.\n\n \n\nIf we do not file a registration statement with the SEC to allow holders of ADSs in the United States to participate in a preemptive rights offering or if there is not an\nexemption from the registration requirements of the U.S. Securities Act of 1933 available, the equity interests of holders of ADSs would be diluted to the extent that ADS holders cannot participate in a preemptive rights offering.\n\n \n\nThe Company is controlled by the Serrano Segovia family.\n\n \n\nThe Serrano Segovia family controls the Company through Vanessa Serrano Cuevas’s direct and indirect ownership of our Shares as from December 31, 2022, and members of the\nSerrano Segovia family serve as members of our Board of Directors. Holders of our ADSs may not vote at our shareholders’ meetings. Each of our ADSs represents five CPOs. Holders of CPOs are not entitled to exercise any voting rights with\nrespect to the Shares held in the Master Neutral Investment Trust (Fideicomiso Maestro de Inversion Neutra) (the “CPO Trust”). Such voting rights are exercisable only by the trustee, which is\nrequired by the terms of the trust agreement to vote such Shares in the same manner as the majority of the Shares that are not held in the CPO Trust that are voted at any shareholders’ meeting. Currently the Serrano Segovia family owns a\nmajority of the Shares that are not held in the CPO Trust. As a result, the Serrano Segovia family will be able to direct and control the policies of the Company and its subsidiaries, including mergers, sales of assets and similar\ntransactions. See Item 7. “Major Shareholders and Related Party Transactions - Major Shareholders.”\n\n \n\nA change in control may adversely affect us.\n\n \n\nIn the past, a portion of the Shares and ADSs of the Company held by the Serrano Segovia family was pledged to secure indebtedness of the Serrano Segovia family and\nentities controlled by them and may from time to time in the future be pledged to secure obligations of other of their affiliates. A foreclosure upon any such Shares held by the Serrano Segovia family could result in a change of control\nunder the various debt instruments of the Company and its subsidiaries. Such debt instruments provide that certain change of control events with respect to us will constitute a default and that the relevant lenders may require us to\nprepay our debt obligations including accrued and unpaid interest, if any, to the date of such repayment. If such a default occurs, we cannot assure you that we will have enough funds to repay our debt.\n\n \n\nOur ADSs trade on the over-the-counter (“OTC”) market, which may limit the liquidity and price of our ADSs more than if the ADSs were quoted or listed\non a national securities exchange.\n\n \n\nOur ADSs currently trade on the OTC market under the ticker symbol GTMAY. The OTC market is a significantly more limited market than a national securities exchange such as\nthe New York Stock Exchange (“NYSE”) or NASDAQ, with generally lower trading volumes and higher price volatility. Quotation of the ADSs on the OTC market may limit the liquidity and price of the ADSs and could adversely impact our ability\nto raise capital.\n\nWe have identified material weaknesses in our internal control over financial reporting. If we fail to maintain an effective system of internal\ncontrols over financial reporting, we may not be able to accurately report our financial results or prevent fraud.\n\n \n\n28\n\n[Table of Contents](#TABLEOFCONSENTS)\n\nAs directed by Section 404 of the Sarbanes-Oxley Act of 2002, the SEC adopted rules requiring an annual assessment by management of the effectiveness of a public company’s\ninternal controls over financial reporting and an attestation report by the Company’s independent auditors addressing this assessment, if applicable. Effective internal control is necessary for us to provide reliable and accurate\nfinancial statements and to effectively prevent fraud.\n\n \n\nWe do not expect that our disclosure controls and procedures will prevent all errors and all instances of fraud. Disclosure controls and procedures, no matter how well\nconceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the disclosure controls and procedures are met. Further, the design of disclosure controls and procedures must reflect the fact that there\nare resource constraints, and the benefits must be considered relative to their costs. Because of the inherent limitations in all disclosure controls and procedures, no evaluation of disclosure controls and procedures can provide absolute\nassurance that we have detected all control deficiencies and instances of fraud, if any. The design of disclosure controls and procedures also is based partly on certain assumptions about the likelihood of future events, and there can be\nno assurance that any design will succeed in achieving its stated goals under all potential future conditions.\n\n \n\nAs discussed in Item 15 “Controls and Procedures,” based on a review of our internal controls over financial reporting, our management has identified certain material\nweaknesses in our internal control over financial reporting as of December 31, 2025. Due to these material weaknesses, our management concluded that our internal control over financial reporting was not effective as of December 31, 2025.\nA material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting such that there is a reasonable possibility that a material misstatement of a company’s annual or interim financial\nstatements will not be prevented or detected and corrected on a timely basis. For a summary of the material weaknesses identified and the measures that we have taken and are taking to remediate, see “Item 15. Controls and\nProcedures—Management’s Annual Report on Internal Control over Financial Reporting.”\n\n \n\nWe cannot assure you that we will be able to remediate our existing material weaknesses in a timely manner, if at all, or that in the future additional material weaknesses will not exist,\nrecur or otherwise be discovered. If our efforts to remediate these material weaknesses, as described in Item 15 “Controls and Procedures”, is not successful or if other deficiencies occur, our ability to accurately and timely report our\nfinancial position, results of operations, cash flows or key operating metrics could be impaired, which could result in a material misstatement of our annual or interim financial statements, late filings of our annual or interim reports\nunder the Exchange Act, restatements of our consolidated financial statements or other corrective disclosures. Additionally, the remediation measures we take may be time-consuming and costly and there is no assurance that such initiatives\nwill ultimately have the intended effects. Our failure to satisfy the requirements of Section 404 of the Sarbanes-Oxley Act of 2002 on an ongoing, timely basis could result in the loss of investor\nconfidence in the reliability of its financial statements, which in turn could have an adverse effect on our business and negatively impact the trading price of our Shares. There can be no assurance that the measures we have taken to\ndate, or any measures we may take in the future, will be sufficient to avoid potential future material weaknesses."}