Economic Cyclicality and Demand Volatility: The company's performance is highly sensitive to the economic cycles of the construction, mining, and power systems industries, leading to potential fluctuations in demand for new equipment, rentals, and aftermarket services.

Commodity Price Exposure: As a significant supplier to the mining sector, Toromont's revenue and profitability are influenced by global commodity price fluctuations, which can impact customer capital expenditure decisions and equipment demand.

Interest Rate Sensitivity and Financing Costs: Rising interest rates can increase the cost of financing for Toromont's customers, potentially reducing demand for equipment purchases and rentals, and can also impact the company's own borrowing costs.