GigaCloud(US:GCT)2025-03-03 21:12Inflation and Supply Chain Costs - The company has experienced inflationary pressures across various parts of its business, particularly in supply chain costs, and is actively monitoring these impacts [512]. - The company has entered into contracts with third-party transportation service providers to mitigate the impact of rising ocean freight costs in the short term [512]. Foreign Exchange and Financial Risks - The company does not currently have significant direct foreign exchange risk and has not used derivative financial instruments for hedging [514]. - The value of the company's Class A ordinary shares is affected by the exchange rate between the U.S. dollar and local currencies in its operating markets [514]. - The company is exposed to market risks from inflation, foreign exchange rates, and changes in interest rates, which could adversely affect its financial condition [511]. Growth and Acquisition Risks - The company acknowledges that its historical growth rates may not be sustainable and cannot guarantee future growth [29]. - The company may not realize expected benefits from its acquisitions due to potential risks and uncertainties [29]. Operational and Reputational Risks - System interruptions affecting access to the GigaCloud Marketplace could damage the company's reputation and operational results [29]. - The company faces risks associated with maintaining relationships with third-party platforms, which are crucial for revenue generation [29]. - The company is subject to various legal, regulatory, political, and economic risks in its international operations [29].