Track how companies discuss tariffs and trade policies in their earnings calls, and understand their impact across different industries and regions.
Over 50% of our products are sourced domestically and wouldn't be subject to any tariffs.
As a result, tariffs are now expected to be approximately $185 million for fiscal 2026.
We are very confident that our fundamental business momentum, diverse global footprint, clean balance sheet and strong brand portfolio with pricing power will give us significant flexibility to manage through a variety of tariff scenarios.
we continue to believe that we differentiate ourselves in the industry by being the only pure-play cybersecurity firm to assemble all of our hardware in the U.S.A. at scale.
the dynamic macroeconomic and policy environment, including trade and tariffs, has wide-ranging implications for the semiconductor industry, increasing uncertainty and lowering visibility in the near term.
Tariff costs in the quarter were approximately $200 million, which brings us to roughly $300 million in tariff expense year-to-date.
We are not factoring in a meaningful rebound in consumer demand, which we believe is a prudent approach given the current macroeconomic environment and ongoing uncertainty surrounding tariffs and their potential impact on customers and end consumers.
In aggregate, the total expected impact on profitability this year from tariffs is $160 million, representing approximately 230 basis points of margin headwind.
we source the majority of our inventory from domestic suppliers and therefore do not expect a material impact from tariff increases.
Our total gross margin included a small impact from tariffs, which was slightly favorable compared to our estimate that was included in our guidance.