Deterioration in the economic and business environment caused by COVID-19

「During the fiscal year, the Japanese economy gradually recovered, with personal consumption showing signs of recovery and employment conditions improving.」

「Following the reclassification of COVID-19 to Category 5, movement of people in Japan became more active, and the domestic economy showed signs of recovery, including a recovery in personal consumption and improvement in employment conditions.」

「During the first quarter of the fiscal year ending March 2024 (1 April 2023 to 30 June 2023), the Japanese economy showed signs of a gradual recovery due to increased movement of people following the reclassification of COVID-19 to Category 5, among other factors.」

「As COVID-19 subsided, the movement of people recovered and the economy showed signs of a gradual recovery.」

「During the third quarter of the current consolidated cumulative period (1 April 2022 to 31 December 2022), people flows in Japan were beginning to recover as restrictions on activity were eased. However, downside risks to the economy, including higher prices resulting from rising raw-material costs, remain, and uncertainty continues.」

「During the first quarter of the fiscal year ending March 2023 (1 April 2022 to 30 June 2022), the Japanese economy remained uncertain. Although the alert level was gradually lowered, including through the easing of restrictions on the movement of people, the impact of prolonged COVID-19 continued.」

「Further spread of COVID-19 and other factors may affect our group's business results and financial condition. Our group has recommended staggered commuting and remote work and established an appropriate management system for prevention and the containment of infections.」

「During the third quarter of the fiscal year ending March 2022 (1 April 2021 to 31 December 2021), the Japanese economy remained uncertain as the spread of new COVID-19 variants was observed after the virus had temporarily subsided with the progress of vaccination.」

「During the second quarter of the fiscal year ending March 2022 (1 April 2021 to 30 September 2021), the impact of the worldwide spread of COVID-19 continued to be prolonged in the global economy. In Japan, economic activity was restricted by repeated extensions of the state of emergency, and difficult conditions continued. Although rapid progress in domestic vaccination and a decline in the number of infections indicated movement toward bringing the situation under control, the outlook remained uncertain.」

「During the first quarter of the fiscal year ending March 2022 (1 April 2021 to 30 June 2021), the impact of the worldwide spread of COVID-19 continued to be prolonged in the global economy. In Japan, economic activity was restricted by repeated declarations of a state of emergency and the application of priority preventive measures, and extremely difficult conditions continued. Although vaccination progressed in countries around the world and signs of progress toward bringing the situation under control emerged, the outlook remained uncertain.」

「The substantial deterioration caused by the impact of COVID-19 has become prolonged, and extremely difficult conditions continue. The outlook remains uncertain, including because a state of emergency was declared again in January this year.」

「During the third quarter of the current consolidated cumulative period (1 April 2020 to 31 December 2020), the Japanese economy remained in an extremely difficult situation as the substantial deterioration caused by the spread of COVID-19 persisted. As the spread of infections began to increase again, concerns about further downside to the economy grew, and uncertainty about the outlook continued to increase.」

「Although the state of emergency declared in response to COVID-19 has been lifted, an end to the pandemic is still not in sight and extremely difficult conditions continue. The deterioration in corporate earnings caused by its impact has become prolonged, and the outlook continues to grow more uncertain.」

「During the first quarter of the fiscal year ending March 2021 (1 April 2020 to 30 June 2020), the global economy deteriorated substantially due to the worldwide spread of COVID-19, and extremely difficult conditions have continued. The Japanese economy has also seen a rapid deterioration in corporate earnings as a result, and the outlook has become increasingly uncertain. At the same time, as the nature of employment and the working environment itself undergo major changes, including the promotion of workplace reforms, we recognize that the role our group must play in addressing the challenges faced by companies advancing their digital shift and individuals seeking new ways of working is becoming increasingly important. Against this backdrop, during the first quarter of the fiscal year ending March 2021, net sales were ¥699.635 million, down 42.4% year on year; operating income was ¥124.815 million, down 54.5%; ordinary income was ¥108.085 million, down 61.0%; and quarterly net income attributable to owners of the parent was ¥60.269 million, down 66.3%.」