Slowing Smartphone Growth and Expansion in Automotive, IoT and Medical Markets

「The electronics industry in which our group operates saw resilient demand, mainly for industrial equipment, against a backdrop of demand related to generative AI and data centers. Meanwhile, inventory adjustments continued to affect automotive equipment in some regions, while demand for consumer equipment took longer to recover.」

「Orders for connectors for the industrial equipment and amusement equipment markets remained strong, and orders for connectors for the medical equipment and imaging equipment markets also remained firm. On the other hand, orders for connectors for the automotive equipment and communications equipment markets declined.」

「In the electronics industry in which our group operates, generative AI-related demand continued to drive the market, and demand for high-performance components for AI servers and data centers expanded. Meanwhile, demand for consumer devices such as smartphones and PCs remained sluggish, while EV demand declined in some regions due to the aftereffects of subsidy policies.」

「Demand for production equipment and electronic components remained firm against a backdrop of recovering capital investment related to the advancement of generative AI and DX and vehicle electrification. Meanwhile, demand for products used in industrial equipment continued to decline due to the effects of inventory adjustments.」

「Although the electronics industry in which our group operates showed signs of improvement from the market downturn, the pace of recovery in the industrial equipment market, led by semiconductor manufacturing equipment and other products, was uneven, and demand continued to decline in some areas due to inventory adjustments. The automotive equipment market and other markets had also not reached a full-fledged recovery in orders.」

「Although the global downturn in semiconductor-related demand finally showed signs of bottoming, orders in the industrial equipment market, led by semiconductor manufacturing equipment and factory automation equipment, and in the automotive equipment market showed signs of softening.」

「Reflecting the global downturn in semiconductor-related demand, orders in the industrial equipment market, led by semiconductor manufacturing equipment and other products, and in the automotive equipment market showed signs of softening.」

「Reflecting the global downturn in semiconductor-related demand, orders in the industrial equipment market, led by semiconductor manufacturing equipment and other products, and in the automotive equipment market showed signs of softening.」

「Although the electronics industry in which our group operates was affected by supply constraints resulting from the global semiconductor shortage and supply chain disruptions, demand expanded against a backdrop of economic recovery. Demand also expanded as capital investment recovered in Japan and overseas, resulting in firm demand for industrial applications and other products.」

「The electronics industry in which our group operates had remained strong against a backdrop of increased exports accompanying the recovery in global economic activity, but activity has been uneven due to supply constraints and other factors, and orders in the industrial equipment market, led by semiconductor manufacturing equipment and other products, showed signs of softening.」

「The electronics industry in which our group operates saw firm demand, particularly in the industrial equipment market, led by semiconductor manufacturing equipment and other products, and the automotive equipment market, driven by the acceleration of vehicle electrification, against a backdrop of increased capital investment demand accompanying the recovery in global economic activity. Although orders for some imaging equipment, including LED displays, declined, strong orders for semiconductor-related equipment, including semiconductor manufacturing equipment, and for the factory automation market, including control equipment, resulted in net sales of ¥6,308 million, up 17.0% year on year.」

「The Group’s sales to the imaging equipment market declined in some regions of China due to the impact of lockdowns, while sales to the industrial and automotive equipment markets remained strong.」

「In addition to continued strength in orders in the industrial and automotive equipment markets, orders also increased in the factory equipment and gaming equipment markets.」

「The electronics industry in which the Group operates remained strong, supported by increased exports as global economic activity recovered. In particular, the industrial equipment market, including semiconductor manufacturing equipment, continued to expand as a key demand driver, while the automotive equipment market accelerated and remained strong due to the increasing use of electronics in vehicles.」

「Although orders for electronic medical equipment such as ultrasound diagnostic equipment, CT and MRI systems declined, sales reached ¥5.389 billion, up 33.2% year on year, as orders for imaging equipment such as car navigation systems and LED displays, semiconductor equipment such as control equipment and semiconductor manufacturing equipment, and the FA market remained strong.」

「In the electronics industry in which the Group operates, demand recovered, particularly in the industrial equipment market, including semiconductor manufacturing equipment, and the automotive equipment market, supported by increased exports as global economic activity began to recover.」

「In the first half, the electronics industry in which the Group operates deteriorated rapidly due to declining domestic and overseas demand and supply chain disruptions caused by factory shutdowns worldwide. It subsequently saw demand recover in the industrial equipment market, including semiconductor manufacturing equipment, and the automotive equipment market, supported by increased exports as global economic activity began to recover.」

「In the electronics industry in which the Group operates, an increase in capital investment in the automotive-related and factory and industrial equipment markets was expected, but the pace of recovery slowed and the industry as a whole was in difficult conditions.」

「The Group's sales to the industrial equipment market, including semiconductor manufacturing equipment, increased, as the impact of COVID-19 remained limited. However, sales to the imaging equipment and automotive equipment markets remained weak due to lingering production disruptions, inventory adjustments and other factors. As a result, sales for the six-month period ended the second quarter of the fiscal year were ¥4.766 billion, down 8.5% year on year.」

「Under these conditions, the Group's sales to the automotive equipment market declined significantly due to worsening market conditions, including production disruptions associated with the spread of COVID-19. However, sales to other markets remained firm, limiting the overall decline to a small amount.」

「In the electronics industry in which the Group operates, demand declined and conditions remained weak in the automotive equipment, semiconductor manufacturing equipment, industrial equipment and smartphone markets due to lower automobile sales, restrained capital investment and the maturation of mobile devices.」

「In the electronics industry in which the Group operates, companies continued to take a cautious approach to capital investment in the automotive-related and factory and industrial equipment markets, and the industry as a whole was in difficult conditions. In this environment, the Group pursued order-taking activities based on close monitoring of trends in its priority markets, while working to strengthen its corporate foundation through company-wide efficiency measures, including cost reductions through higher productivity, more efficient capital investment and control of various expenses.」

「In the electronics industry in which the Group operates, the previously strong automotive-related and factory and industrial equipment markets abruptly shifted, with companies becoming more cautious about capital investment, and the industry as a whole remained in difficult conditions.」

「In the electronics industry in which the Group operates, the previously strong automotive-related and factory and industrial equipment markets abruptly shifted, with companies becoming more cautious about capital investment, and the industry as a whole remained in difficult conditions. In this environment, the Group's sales to the automotive equipment and medical equipment markets remained strong, while sales to the industrial equipment market declined due to worsening semiconductor-related market conditions and other factors.」

「Corporate capital investment, particularly in industrial equipment, increased for the use of AI and IoT, while demand for automotive applications also increased as sales of hybrid and electric vehicles remained firm. However, inventory adjustments in semiconductors for mobile devices and consumer applications strengthened the sense of a slowdown across the industry toward the second half of the fiscal year.」

「In the electronics industry in which the Group operates, the automotive-related and factory and industrial equipment markets were strong, and the industry as a whole remained firm. Although the Group's sales to the medical equipment and automotive equipment markets increased, sales of gaming equipment declined significantly due to market contraction and tighter regulations.」

「In the electronics industry in which the Group operates, the automotive-related and factory and industrial equipment markets were strong, and the industry as a whole remained firm.」

「In the electronics industry in which the Group operates, demand for automotive applications, particularly products for environmentally friendly vehicles, remained firm, while growth in products for smartphones slowed. In the industrial and factory equipment fields, ICT (information and communications technology)-related demand showed signs of recovery, and demand for semiconductor manufacturing equipment and control equipment also remained firm.」

「In the fiscal year under review, the electronics industry in which the Group operates remained firm. Although smartphone growth slowed, demand for industrial equipment, including semiconductor manufacturing and control equipment, increased as companies raised capital investment. Demand was also supported by the electrification and increased use of electronics in vehicles, including environmentally friendly vehicles, autonomous driving and connected cars, and by the increased functionality of industrial equipment through IoT and AI.」

「Amid increased capital investment, the Group's sales of industrial equipment, particularly semiconductor, control and FA equipment, increased. Meanwhile, sales of gaming equipment declined due to market contraction and tighter regulations.」

「In the electronics industry in which the Group operates, the automotive-related and factory and industrial equipment markets were strong, and the industry as a whole remained firm.」

「Demand for automotive applications, particularly products for environmentally friendly vehicles, remained firm, while growth in products for smartphones slowed. In the industrial and factory equipment fields, ICT (information and communications technology)-related demand showed signs of recovery, and demand for semiconductor manufacturing equipment and control equipment also remained firm.」

「Growth in smartphones and tablet devices has slowed, but the automotive electronics market continues to expand. New markets, including wearable devices, IoT products and medical equipment, are steadily growing and are expected to provide future growth.」