Track how companies discuss tariffs and trade policies in their earnings calls, and understand their impact across different industries and regions.
Losing access to the China AI accelerator market, which we believe will grow to nearly $50 billion, would have a material adverse impact on our business going forward.
Now having said that, we've seen no evidence of that so far.
the ongoing uncertainty and volatility in the economic environment related to trade policies.
However, due to additional tariff costs that could not be fully mitigated in the quarter, our non-GAAP operating profit fell short of expectations.
Our guidance includes the expected impact from all tariffs currently in effect.
The outlook continues to evolve, and we are operating in a unique environment...higher-performing loan provisions...driven by a deterioration in our forward-looking indicators and the use of expert credit judgment to reflect trade uncertainty.
We feel like we have our arms around it, even though it's changing every day. It's not nearly as impactful as it appeared it was going to be several months ago.
We expect to absorb a portion of the tariff impact as we do not anticipate that these actions will fully offset incremental costs in fiscal year twenty twenty six.
As tariffs remain at elevated levels, we will be working to find the right combination of pricing versus merchandise margin compression.
It has created meaningful uncertainty for our clients, the insurance industry, and otherwise.