Macroeconomic risks, including trade friction and economic slowdown

「During the fiscal year, Japan’s economy remained on a gradual recovery track, supported by improvements in employment and income conditions and various government policies. However, concerns persist over the effects on the economy of continued price increases, the impact of U.S. trade policy on the global economy, and fluctuations in resource and energy prices resulting from heightened geopolitical risks. The outlook for the economy therefore remains uncertain.」

「Although Japan’s economy has continued to recover moderately, supported by improvements in employment and income conditions and various government policies, concerns remain about the impact on economic conditions of higher crude oil prices resulting from instability in the situation in Iran, in addition to the effects of U.S. trade policy. The outlook for the economy therefore remains uncertain.」

「Although Japan's domestic economy continued to recover moderately due to improvements in employment and income conditions and various policies, concerns remain about the impact of US trade policy and rising prices on the economy, and the economic outlook remains uncertain.」

「In the second half of the year, the impact of changes in US trade policy and persistently high prices became apparent, and personal consumption stagnated as real wages continued to decline. Against this backdrop, the economic outlook remains uncertain.」

「Japan's domestic economy during the interim accounting period remained on a moderate recovery track, supported by higher wages and fixed-amount tax reductions, as well as an increase in corporate capital investment. However, prices continued to rise, and growth in real wages remained limited. At the same time, amid concerns about increasing geopolitical risks and the impact of volatility in financial and capital markets, conditions are expected to remain uncertain going forward.」

「Conflicts and divisions between countries are occurring around the world. Although some moves toward de-risking can be seen, further intensification of decoupling could affect our results through impacts on the supply chain and a review of the regions in which we provide services.」

「During the first nine months of the current fiscal year, Japan's domestic economy remained in a situation that continued to raise concerns about the outlook, due to factors including the 2024 Noto Peninsula Earthquake, heightened tensions in Ukraine and the Middle East, and the ongoing depreciation of the yen in the foreign exchange market.」

「During the first half of the current fiscal year, Japan's domestic economy was recovering towards pre-pandemic conditions, but remained in a difficult situation due to higher prices resulting from yen depreciation and the situations in Ukraine and the Middle East. The effects of the slowdown in the Chinese economy also remained impossible to ignore.」

「Meanwhile, the international situation remains tense, and continued concerns about supplies of resources and food products, as well as a slowdown in the Chinese economy, are creating uncertain conditions for the outlook of Japan's economy.」

「Although a record level of inflation and yen depreciation have caused a significant increase in the costs of raw materials, fuel and other items, any further cost increases could affect the cost of providing services and consequently affect our results.」

「Meanwhile, the international situation remains tense, and continued increases in prices for resources and food products, as well as instability in financial functions accompanying monetary tightening to combat inflation, are creating uncertain conditions for the outlook of the domestic and overseas economies.」

「Meanwhile, the international situation remains tense, and higher resource prices, inflation and unstable foreign exchange movements are affecting the domestic and overseas economies.」

「Meanwhile, the invasion of Ukraine by Russia is still continuing, affecting every country. Indirect effects, including higher resource prices, inflation and yen depreciation, are also expected to continue to have significant impacts across various areas of the domestic and overseas economies.」

「Meanwhile, the invasion of Ukraine by Russia is still continuing, affecting every country. Indirect effects, including higher resource prices, are also expected to continue to have significant impacts across various areas of the domestic and overseas economies.」

「However, war broke out during the quarter, and the world is in a state of confusion. This could have various effects not only on economic activity but also across a range of other fields, and the situation remains unpredictable.」

「In the distribution industry, which comprises the principal customers for our services, normal business operations were restored during this period, and sales volumes in the year-end shopping season, the industry's biggest business opportunity, also recovered to a reasonable level, bringing a temporary respite. However, reports of new variants emerging toward the end of the year make it clear that the outlook cannot yet be viewed optimistically.」

「In the distribution industry, which comprises the principal customers for our services, requests to shorten store operating hours and various requests to limit the movement of people had a significant impact on revenue. Although the normalisation of economic activity through the progress of vaccinations during this period is expected, the environment requires us to continue assuming a scenario in which infections spread again, and activities are expected to continue for the time being on that basis.」

「During the first nine months of the current consolidated fiscal year, the second state of emergency declared due to the spread of novel coronavirus disease had a significant impact on personal consumption and economic activity in Japan. Although economic activity resumed after the declaration was lifted, severe conditions continue.」

「Although Japan's economy during the first quarter of the current consolidated fiscal year showed signs of recovery in economic activity, restraint on capital investment continued to be observed as domestic and overseas economic activity contracted due to the impact of novel coronavirus disease, and severe conditions are expected to continue.」

「As the global spread of the infection has yet to show signs of ending, the outlook remains uncertain.」

「Although personal consumption had begun to recover amid concerns about a decline in consumer sentiment resulting from successive natural disasters, the consumption tax rate increase and other factors, the economy slowed sharply as the novel coronavirus disease spread, and its effects have expanded across a wide range of areas.」

「During the first half of the current consolidated fiscal year, Japan's economy was affected by trade issues centred on the United States, an increase in the domestic consumption tax rate, successive natural disasters and other factors, but the economy continued to recover moderately against a backdrop of firm corporate earnings.」

「During the first quarter of the current consolidated fiscal year, Japan's economy saw exports, imports and corporate capital investment remain somewhat sluggish amid a slowdown in overseas economies. Concerns about a slowdown in overseas economies resulting from trade friction and an unstable international situation have persisted, and the outlook remains uncertain.」

「Although Japan's economy during the consolidated fiscal year under review remained on a recovery track against a backdrop of improved corporate earnings, uncertainty persisted due to factors including an unstable political situation arising from US-China trade friction.」

「During the first nine months of the current consolidated fiscal year, the global economy remained uncertain, with concerns about a slowdown in China's real economic growth rate resulting from the United States' protectionist trade policies and the US-China trade war.」

「During the first half of the current consolidated fiscal year, the global economy remained uncertain, with concerns about an economic slowdown resulting from the United States' protectionist trade policies, volatility in financial markets and other factors.」

「During the first quarter of the current consolidated fiscal year, the global economy remained uncertain, with increasing trade friction originating in the United States, particularly with China, and concerns about an economic slowdown.」