Changes in the External Environment, Including Economic Conditions, Interest Rates and Land Prices

「In December 2025, the Bank of Japan raised its policy interest rate to approximately 0.75%, and long-term interest rates have also remained on an upward trend.」

「米国の通商政策（関税措置）の影響による輸出の弱さや、日本銀行による政策金利の引き上げに伴う金融環境の変化、さらに米国・イスラエルによるイラン攻撃を端緒とした中東情勢の緊迫化による原油・エネルギー価格の上昇など、国内経済に影響を及ぼす不確定要素が多く存在しており、先行きは引き続き不透明な状況が続いております。」

「During the six-month period ended [the second quarter] of the current consolidated fiscal year, the environment surrounding the Group remained on a gradual recovery trend overall, although exports showed some weakness due to a slowdown in overseas economies, against the backdrop of improving employment and income conditions. Personal consumption remained firm due to factors including the spread of wage increases, while capital investment also increased gradually as companies responded to labor shortages and advanced digitalization and labor-saving investments. Although an economic recovery centered on domestic demand is expected, the outlook remains uncertain due to downside risks in overseas economies and fluctuations in the financial and capital markets.」

「Economic fluctuations, changes in domestic and overseas economic conditions, rising interest rates, foreign exchange fluctuations, price fluctuations, the declining birth rate and ageing population, and changes in industrial structure could lead to lower demand for real estate, declines in land prices and other prices due to deteriorating market conditions, and sluggish personal consumption.」

「During the six-month period ended [the second quarter] of the current consolidated fiscal year, the environment surrounding the Group continued to recover gradually, with employment conditions and capital investment showing gradual improvement. However, the outlook remains uncertain due to fluctuations in the financial and capital markets, persistently high energy prices, and price increases caused by surging raw-material costs.」

「During the nine-month period of the fiscal year under review, the environment surrounding the Group continued to show a gradual recovery, with personal consumption and employment conditions trending upward. However, the outlook remained uncertain due to fluctuations in financial and capital markets, persistently high energy prices, and inflation caused by soaring raw material prices.」

「The environment surrounding the Group continues to show a gradual recovery, with personal consumption and employment conditions trending upward. However, the outlook remains uncertain due to fluctuations in financial and capital markets, persistently high energy prices, and inflation caused by soaring raw material prices.」

「The environment surrounding the Group showed signs of a gradual recovery in domestic economic activity as restrictions on activities related to COVID-19 were eased and the acceptance of foreign tourists resumed. However, the outlook remains uncertain due to factors including the prolonged Russia-Ukraine conflict, globally elevated resource prices against the backdrop of monetary policies, sharp exchange-rate fluctuations and rising prices.」

「Meanwhile, the outlook remains uncertain due to soaring global resource prices against the backdrop of the prolonged Russia-Ukraine conflict and monetary policy, as well as the rapid depreciation of the yen and rising prices.」

「During the current consolidated fiscal year, the Group operated in a severe business environment in which the outlook remained more uncertain than before. Although the increase in the proportion of the domestic population receiving the required number of vaccine doses temporarily contained the number of infections amid the prolonged impact of COVID-19, infections began to spread again due to the emergence of highly transmissible new variants, compounded by rising resource prices and international tensions.」

「During the nine-month period ended [the third quarter] of the current consolidated fiscal year, the environment surrounding the Group remained uncertain. Although the increase in the proportion of the domestic population receiving the required number of vaccine doses temporarily contained the number of infections amid the prolonged impact of COVID-19, infections began to spread again due to the emergence of highly transmissible new variants. This was compounded by rising resource prices and international tensions.」

「However, concerns about a renewed spread of infections following the emergence of new variants remain, and the outlook continues to be uncertain.」

「Conditions are improving toward the easing of restrictions on activities, with the proportion of the domestic population receiving the required number of vaccine doses exceeding 60% and the state of emergency being fully lifted on 30 September 2021, subject to certain conditions. However, the outlook remains uncertain.」

「During the current consolidated fiscal year, Japan’s economy remained in an uncertain environment with no clear prospect of containing the outbreak, as the spread of COVID-19 caused economic activity to stagnate worldwide and the state of emergency was repeatedly declared and lifted domestically.」

「As the spread of COVID-19 causes economic activity to stagnate worldwide, Japan remains in an uncertain environment with no clear prospect of containing the outbreak, as the state of emergency has repeatedly been declared and lifted domestically.」

「However, as the number of COVID-19 cases began to rise again in November, there was still no clear prospect of containing the outbreak, and the outlook remained uncertain.」

「Although economic activity has gradually resumed since the lifting of the state of emergency, there is still no clear prospect of containing the outbreak, as a second wave of infections has emerged, and the outlook remains uncertain.」

「Furthermore, the spread of COVID-19 since the beginning of the year caused domestic and overseas demand to fall sharply, creating a severe business environment with an uncertain outlook.」

「The spread of the novel coronavirus disease continues and may affect the Group's business activities depending on how the situation develops.」

「During the six-month period ended [the second quarter] of the current consolidated fiscal year, Japan’s economy remained in an uncertain environment. Although corporate earnings and employment conditions were on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption was affected by concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「During the nine-month period ended [the third quarter] of the current consolidated fiscal year, Japan’s economy remained in an uncertain environment. Although corporate earnings and employment conditions were on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption was affected by concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「During the six-month period ended [the second quarter] of the current consolidated fiscal year, Japan’s economy remained in an uncertain environment. Although corporate earnings and employment conditions were on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption was affected by concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「During the three-month period ended [the first quarter] of the current consolidated fiscal year, Japan’s economy remained in an uncertain environment. Although corporate earnings and employment conditions were on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption was affected by concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「The Group's businesses are susceptible to economic conditions, interest rates, land prices, the supply of new properties, real estate sales prices and housing tax policies. If conditions change, such as a deterioration in the economic outlook, tax reform, a substantial rise in interest rates, an increase in construction costs, a sharp decline in land prices or an unprecedented natural disaster,」

「During the nine-month period ended [the third quarter] of the current consolidated fiscal year, Japan’s economy remained in an uncertain environment. Although corporate earnings and employment conditions were on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption was affected by concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「During the six-month period ended [the second quarter] of the current consolidated fiscal year, Japan’s economy remained in an uncertain environment. Although corporate earnings and employment conditions were on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption was affected by concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「In the real estate management industry in which the Group operates, demand among individual investors and others to own real estate, supported by rising land prices and low-interest-rate policies, has remained strong, and demand for subleasing to maintain and enhance the value of those assets is also increasing. In the real estate brokerage industry, consumer sentiment remains strongly oriented toward saving, but demand is improving, including demand for relocations associated with personnel transfers at companies.」

「Because the Group’s businesses are susceptible to trends in economic conditions, interest rates, land prices, newly supplied properties, real estate selling prices and housing tax policy, if conditions change, including a deterioration in the economic outlook, tax policy changes, a significant rise in interest rates, a sharp decline in land prices or an unprecedented natural disaster,」

「During the nine-month period ended [the third quarter] of the current consolidated fiscal year, Japan’s economy remained in an uncertain environment. Although corporate earnings and employment conditions were on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption was affected by concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「Although corporate earnings and employment conditions have been on a gradual recovery trend against the backdrop of the government’s economic policies and the Bank of Japan’s monetary easing, personal consumption remained in an uncertain environment, with concerns including exchange-rate fluctuations and downside risks in overseas economies.」

「The business is susceptible to trends in economic conditions, interest rates, land prices, newly supplied properties, real estate selling prices and housing tax policy. If conditions change, including a deterioration in the economic outlook, tax policy changes, a significant rise in interest rates, a sharp decline in land prices or an unprecedented natural disaster,」