Track how companies discuss tariffs and trade policies in their earnings calls, and understand their impact across different industries and regions.
As we reflect on the tariffs that have been enacted to date, these could increase some of our indirect costs, but are expected to be manageable in 2025.
We estimate tariff costs of approximately $80 million in 2025 and we expect to offset tariffs at the operating profit and EPS level on a full-year basis primarily through pricing actions.
Should current rates remain elevated at 145%, we estimate a potential gross margin headwind of approximately $5 million in 2025.
We expect to use these surcharge mechanisms to pass through the impact of any incremental tariffs on our raw materials to our customers.
We are taking advantage of that to pre-purchase tariff-impacted construction materials for better pricing.
the tariff environment adds incremental pressure to our cost base
International trade tensions and the new tariffs have emerged as unpredictable variables in the current environment.
The direct impact of tariffs to FirstService Corporation are immaterial. However, as I have indicated in my comments, we are seeing a moderate indirect impact.
We're actively monitoring the landscape and have a diverse supply chain, which limits our exposure to tariffs.
the uncertainty created by the new administration's recent tariff announcements, which certainly raises the possibility of a national recession during the year.