Risk of demand fluctuations due to economic conditions, earthquake disasters and abnormal weather

「Higher procurement prices increased the cost ratio and pressured earnings.」

「During the consolidated fiscal year under review, Japan's economy remained on a moderate recovery trend as corporate earnings and the employment and income environment improved. However, the outlook remained uncertain, with uncertainty increasing sharply toward the end of the fiscal year due to declining consumer sentiment resulting from prolonged inflation and escalating tensions in the Middle East from the end of February.」

「The outlook remains uncertain, as consumer sentiment has weakened amid prolonged price increases and uncertainty increased sharply toward the end of the fiscal year owing to growing tensions in the Middle East since the end of February.」

「The outlook remains uncertain due to developments in U.S. trade policy, heightened geopolitical risks and declining consumer sentiment resulting from prolonged inflation, among other factors.」

「The economic outlook remains uncertain due to heightened geopolitical risks resulting from escalating international tensions in various regions, as well as inflation and higher raw material prices resulting from the weaker yen, among other factors.」

「Meanwhile, the economic outlook remains uncertain due to the prolonged situation in Ukraine, inflation and higher raw material prices resulting from the weaker yen, and other factors.」

「Meanwhile, the economic outlook remains uncertain due to the prolonged situation in Ukraine, inflation and higher raw material prices resulting from the rapid weakening of the yen, and other factors.」

「Meanwhile, the economic outlook remains uncertain due to the prolonged situation in Ukraine, inflation and higher raw material prices resulting from the rapid weakening of the yen, and other factors.」

「Meanwhile, the economic outlook remains uncertain due to the prolonged situation in Ukraine, inflation and higher raw material prices resulting from the weaker yen, and other factors.」

「The spread of COVID-19 has affected the Company through stagnant business activity resulting from domestic and international travel restrictions, as well as temporary store closures.」

「Under these circumstances, customer traffic at the Group's stores declined again as shopping malls and other commercial facilities in Tokyo and Osaka, the Group's main operating areas, shortened their operating hours or temporarily closed following the state of emergency declared from July 2021 onward, resulting in sluggish sales.」

「Sales were trending steadily and showing signs of recovery until the state of emergency was reissued at the end of April. However, after the declaration, customer traffic declined again as shopping malls and other commercial facilities shortened their operating hours or temporarily closed, resulting in sluggish sales.」

「The Group's digital printing and mobile device products and services provided to consumers could be affected by changes in economic conditions beyond forecasts, major earthquakes, adverse weather, infectious diseases or other factors that affect consumers' opportunities to take photographs while traveling or engaging in leisure activities, which could affect the Group's business performance.」

「Sales declined as the novel coronavirus and the resulting calls to refrain from holding travel-related events, life events, other events and functions reduced opportunities to take photographs.」

「In the print business, we continued to advance the conversion of Palette Plaza stores from company-operated to franchise operations. At the end of the first quarter of the current consolidated cumulative period, there were 185 franchise stores and 126 company-operated stores. In addition to changes in the earnings structure resulting from the shift from company-operated operations to a wholesale business, we worked to reduce selling, general and administrative expenses through business-structure reform. However, declining customer traffic due to closures and shortened operating hours caused by the novel coronavirus led to a substantial decline in sales, forcing us to operate under difficult conditions.」

「The outlook is expected to remain uncertain due to the effects of the novel coronavirus. As the timing of the containment of novel coronavirus infections is closely correlated with business performance, an impact on the fiscal year ending March 2021 is unavoidable, but we believe a sufficient recovery will be possible after containment.」

「At company-operated stores, partly due to the effects of record heat and heavy rain across Japan last year and other natural disasters, sales were ¥7.709 billion, down 6.72% year on year.」

「Although we continued campaigns for the “なんでもダビングサービス” (all-media dubbing service) and other services, this was not enough to offset the decline in sales caused by natural disasters that occurred in the second quarter.」

「Partly due to the effects of record heat and heavy rain across Japan, the earthquake in the Iburi region of Hokkaido, typhoons and other large-scale natural disasters, same-store sales were 93.3% of the year-earlier period.」

「If changes in economic conditions beyond forecasts, major earthquakes, adverse weather or other factors affect opportunities for consumers to take photographs while traveling or engaging in leisure activities, they could affect the Group's business performance.」

「If changes in economic conditions beyond forecasts, major earthquakes, adverse weather or other factors affect opportunities for consumers to take photographs while traveling or engaging in leisure activities, they could affect our business performance.」