“While we've thoughtfully raised prices to offset this impact, the benefits are not immediate and will be recognized over the coming quarters.”

In context

“d complex environment. We have been taking multiple steps to mitigate the supply shortages and deliver products to our customers, including working closely with our key suppliers and contract manufacturers, paying significantly higher logistics costs to get the components where they are most needed, working on modifying our designs to utilize alternative suppliers where possible, and constantly optimizing our build and delivery plans. We are doing this at a breadth and scale that is significantly greater than most in our industry. Of course, all of these steps, while necessary to maximize our production and delivery to customers, add to our cost structure. When combined with cost increases, we are seeing from many of our suppliers, these factors are putting pressure on our gross margins. While we've thoughtfully raised prices to offset this impact, the benefits are not immediate and will be recognized over the coming quarters. Our focus remains on our customers to ensure we provide them with the products they need as quickly as possible. Now, I would like to share the progress we're making on our ESG initiatives. In September, we committed to being net 0 greenhouse gas emissions for Scope 1 and 2 by 2025 and net 0 for all emissions including Scope 3 by 2040. We believe we will do this by focusing on 4 areas: Building more efficient products, accelerating the use of renewable energy, embracing hybrid work, and investing in innovative carbon removal solutions. We believe we have a deep responsibility to use our industry leadership position and our innovation, to make the world a better place and look forward to continuing to do our part. In summary, I am very pleased with the start to our fiscal year. Our teams”