Declining demand for employee development and training budgets due to economic conditions

「During the interim consolidated accounting period, there were no new major risks or significant changes to the business risks described in the annual securities report that management recognized as potentially having a material effect on the financial position, operating results, or cash flows of the consolidated companies, among the matters concerning business conditions and financial matters described in this Semiannual Report.」

「During the current consolidated fiscal year, Japan’s economy is expected to continue its gradual recovery as the employment and income environment improves. However, the continuation of high interest rates overseas and other factors pose a risk that a downturn in overseas economies could weigh on Japan’s economy.」

「During the six-month period ended the second quarter of the current fiscal year, Japan’s economy has been on a gradual recovery path as domestic consumption and inbound demand improved. However, the outlook remains uncertain due to the prolonged Russia-Ukraine situation, the sharp depreciation of the yen and rising prices.」

「During the nine-month period ended the third quarter of the current fiscal year, Japan’s economy remained in an uncertain situation, despite expectations that the normalization of economic activity would make further progress following the transition of COVID-19 to Category 5 under the Infectious Diseases Act. The prolonged situation in Ukraine, foreign-exchange volatility and persistently high resource prices also continued to cloud the outlook.」

「During the first six months of the fiscal year under review, Japan's economy was expected to move further towards normalisation as COVID-19 was reclassified under the Infectious Disease Control Law as a Class 5 disease and economic activity normalised further. Nevertheless, the outlook remained uncertain due to the prolonged situation in Ukraine, foreign exchange fluctuations and persistently high resource prices.」

「During the first quarter of the fiscal year under review, Japan's economy was expected to move further towards normalisation as COVID-19 was reclassified under the Infectious Disease Control Law as a Class 5 disease and economic activity normalised further. Nevertheless, the outlook remained uncertain due to the prolonged situation in Ukraine, foreign exchange fluctuations and persistently high resource prices.」

「During the fiscal year under review, Japan's economy remained in a severe situation due to the impact of COVID-19, while the economic outlook became increasingly uncertain due to fluctuations in foreign exchange rates caused by the rapid depreciation of the yen and soaring resource prices resulting from the situation in Russia and Ukraine.」

「During the first nine months of the fiscal year under review, there were no newly arising matters concerning business and other risks, nor any material changes to the business and other risks described in the securities report for the previous fiscal year.」

「During the first quarter of the fiscal year under review, Japan's economy remained in a severe situation due to the impact of COVID-19, although the number of new infections was curbed by factors including the higher vaccination rate and consumption activity was gradually moving towards normalisation as activity restrictions were eased. At the same time, the economic outlook became increasingly uncertain due to fluctuations in foreign exchange rates caused by the rapid depreciation of the yen and soaring resource prices resulting from the situation in Russia and Ukraine.」

「If customers' personnel development needs decline and their training budgets are reduced due to domestic or overseas economic conditions, economic trends or other factors, this may affect the business performance of the Company's group.」

「During the first nine months of the fiscal year under review, there were no newly arising matters concerning business and other risks, nor any material changes to the business and other risks described in the securities report for the previous fiscal year.」

「In the organisational consulting business, meetings with client companies and the provision of services were postponed」

「If customers' personnel development needs decline and their training budgets are reduced due to domestic or overseas economic conditions, economic trends or other factors, this may affect the business performance of the Company's group.」

「During the cumulative third quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」

「During the cumulative second quarter under review, there were no significant changes in the matters described in this quarterly report regarding the business and accounting conditions that could materially affect investors’ decisions, or in the “Business and Other Risks” described in the securities report for the previous fiscal year.」

「During the cumulative first quarter of the current fiscal year, there were no occurrences of matters concerning the business situation, accounting situation or other matters described in the quarterly report that could have a material impact on investors’ decisions, and no material changes to the “Business and Other Risks” described in the annual securities report for the previous fiscal year.」

「If customers' personnel development needs decline and their training budgets are reduced due to domestic or overseas economic conditions, economic trends or other factors, this may affect the Company's business performance.」