Track how companies discuss tariffs and trade policies in their earnings calls, and understand their impact across different industries and regions.
the business was negatively impacted by the recent market volatility as some large clients drew down their money market fund balances during the quarter to tactically buy back shares in the market and increased spend ahead of the potentially higher global tariffs.
Our adjusted operating margin of 18.5% was down 110 basis points from last year, but in line with guidance, with the year-over-year decline primarily driven by tariffs, as expected.
Some things have changed since then, tariffs being the biggest one, right?
OEMs had faced some inflationary realities going on with tariffs and raw materials.
We expect to manage and mitigate all enacted tariff impacts through proactive measures, including pricing.
From a tariff standpoint, we have updated our 2025 tariff impact to be approximately $50 million with about 2/3 of it recognized in 2025.
Of course, we're monitoring the tariff situation and we'll react accordingly with pricing actions and/or further self-help actions in order to mitigate any financial impacts.
While there has been some recent progress on U.S. trade policy, especially with Europe, many issues remain unresolved.
We're watching very closely like everyone else is, is the effect of potential tariffs on some of those supplies because a lot of those components can only be sourced overseas.
we are pleased with our profitability and the continued strength of our portfolio, particularly in light of the tariff-related volatility that led to economic uncertainty and reduced investment activity during the second quarter.