Risk of Declining Competitiveness and Performance Due to Insufficient Recruitment and Development of Talent

「To achieve sustainable growth and enhance corporate value, our Group positions the recruitment and development of human resources as a key management issue under a human resources strategy aligned with its business strategy. New graduate recruitment and mid-career recruitment as the two pillars. Introduction of flexible work styles, review of employment conditions and compensation systems, and promotion of health management」

「During the interim consolidated accounting period, there were no material changes or new developments from the descriptions in the securities report for the previous fiscal year.」

「In addition to the declining birthrate and aging population, the aging of engineers, the growing choice of diverse work styles, and intensifying competition in the recruitment market have created challenges in securing talent. We also recognize challenges in responding to the latest technology trends in light of the business environment surrounding the industry and in developing the next generation of management executives. If we are unable to secure and develop sufficient talent, the Group's competitiveness and employee morale could decline, adversely affecting operations, business results, and financial condition.」