Track how companies discuss tariffs and trade policies in their earnings calls, and understand their impact across different industries and regions.
The total tariff impacts for Q3 for both businesses were in excess of $400 million, generally split evenly between them.
The increase is primarily driven by favorable customer mix, partially offset by the impact of tariffs.
We also saw benefits from improved cost management, including reductions in selling and administration expenses. These gains were partially offset by lower sales volumes and increased product costs, largely due to ongoing inflationary pressures.
The majority of the year-over-year margin change was driven by the impact of tariffs and related FX.
Risks remain with ongoing tariff and trade negotiations, and the full impact of a prolonged government shutdown on market conditions is difficult to predict.
We view [tariffs] as another cost to our business.
Our business continues to be impacted by ongoing trade policy changes.
In terms of marketing budgets, tariffs have certainly been part of the conversation throughout most of the year.
Clarity is going to be good for our customers, for the economy, for everyone.
The year-over-year decline reflects a 90 basis point impact from tariffs, higher facility costs, a greater mix of lower margin da Vinci V and ION revenue, and higher service costs related to da Vinci V.