Potential for international conflict and increasing uncertainty in the business environment due to soaring material prices

「高水準で推移する原材料価格やエネルギーコストの上昇に加え、持続的な賃上げの動きにともなう人件費の増加、さらには為替相場の変動にともなう景気の下振れ懸念等、依然として先行き不透明な状況が続いております。」

「The outlook remained uncertain due to persistently high raw material prices, rising energy costs, higher labor costs associated with sustained wage increases, and concerns over a downturn in economic activity resulting from foreign-exchange fluctuations.」

「During the interim consolidated accounting period, Japan’s economy showed signs of a gradual recovery, including a substantial recovery in inbound demand as economic activity normalized and improvements in employment and income conditions. At the same time, the outlook remained uncertain due to soaring resource and energy prices and rising prices against a backdrop of unstable international conditions, as well as US trade policy and the prolonged depreciation of the yen.」

「During the current consolidated fiscal year, Japan’s economy remained uncertain due to the slowdown in the Chinese economy, the Bank of Japan’s review of monetary policy, and soaring resource and energy prices and rising prices. At the same time, the economy showed signs of a gradual recovery, supported by expanded inbound demand resulting from the weak yen and improvements in employment and income conditions resulting from wage increases.」

「During the second quarter of the current consolidated fiscal year, Japan’s economy remained uncertain as geopolitical risks related to overseas conditions and the depreciation of the yen persisted, while resource and energy prices soared and prices continued to rise. At the same time, the economy showed signs of a gradual recovery, supported by various policy effects, including improvements in employment and income conditions.」

「During the first quarter of the current consolidated fiscal year, Japan’s economy remained uncertain due to soaring resource and energy prices, foreign-exchange effects, geopolitical risks in Ukraine and the Gaza Strip, and the impact of the Noto Peninsula Earthquake. At the same time, economic activity continued to normalize, and the economy showed signs of a gradual recovery, supported by increased post-COVID inbound demand and improvements in employment and income conditions.」

「During the cumulative second quarter of the fiscal year, the Japanese economy continued to normalize economic activity, partly because COVID-19 was reclassified under the Infectious Diseases Act and various policies took effect. However, the outlook for the economy remained uncertain due to factors including fluctuations in foreign exchange rates and soaring energy prices.」

「During the first quarter of the current consolidated fiscal year, Japan’s economy began to show signs of recovery in domestic socioeconomic activity as restrictions related to the spread of COVID-19 were eased and the government introduced tourism support measures. However, the outlook remained uncertain because of soaring resource prices resulting from the prolonged Russia-Ukraine situation, concerns over accompanying inflation, and sharp foreign-exchange fluctuations.」

「The business environment surrounding the Group is expected to remain challenging, owing to the accelerating decline in the birth rate and aging population, diversifying customer preferences, labor shortages, soaring labor and raw material costs, and intensifying competition resulting from an increase in market entrants.」

「The outlook remained uncertain due to concerns over a prolonged Russian invasion of Ukraine, which was driving higher energy prices, rising material prices as the global economy recovered, the rapid depreciation of the yen, and the impact of the seventh wave of COVID-19.」

「We will continue to closely monitor the impact on our business performance of the increasingly tense situation in Ukraine, rising raw material prices, fluctuations in financial and capital markets, and soaring prices of crude oil and other resources.」

「In addition to the emergence of the possibility of a conflict between Russia and Ukraine, concerns over soaring material prices persist, and the outlook remains uncertain.」