Demand decline due to an economic downturn and weaker consumer sentiment

「However, the outlook for economic conditions remained uncertain due to continued increases in raw-material prices and energy costs amid an unstable international situation, the continued depreciation of the yen, and unstable consumer purchasing intent accompanying higher prices.」

「On the other hand, the outlook for economic conditions remained uncertain due to the prolonged conflict in Ukraine, heightened tensions in the Middle East, globally elevated raw-material prices, higher prices caused by the weaker yen, and unstable financial conditions centered in Europe and the United States.」

「During the cumulative three-month period under review, Japan's economy was on a gradual recovery track as COVID-19 was brought under control and expectations grew for real wage improvement due to high wage increases. Rising inbound demand and a recovery in global IT-related demand also supported Japan's economy. On the other hand, energy prices and consumer prices remained high due to Russia's invasion of Ukraine, economic sanctions against Russia, monetary tightening worldwide to address inflation, and the resulting depreciation of the yen. Concerns remained that stronger household cost-saving behavior could cause personal consumption to stagnate.」

「During the cumulative nine-month period under review, Japan's economy showed a gradual recovery, including a recovery in inbound demand, following the reclassification of COVID-19 as a Class 5 disease. However, the outlook remained uncertain due to persistently high crude oil and raw-material prices and prolonged geopolitical risks.」

「During the cumulative six-month period under review, Japan's economy showed signs of a gradual recovery, including a recovery in inbound demand, following the reclassification of COVID-19 as a Class 5 disease. However, the outlook remained uncertain due to monetary tightening by countries worldwide to address inflation against the backdrop of the prolonged Russia-Ukraine situation, together with the resulting depreciation of the yen.」

「However, the outlook remains uncertain due to monetary tightening by countries worldwide to address inflation against the backdrop of the prolonged Russia-Ukraine situation, together with the resulting depreciation of the yen. Concerns that this issue could cause long-term disruption to global economic activity and business conditions continued to weigh on future consumer confidence.」

「The spread of COVID-19 is expected to move toward containment as vaccination becomes more widespread and the decision to lower its classification under the Infectious Diseases Act takes effect. However, the global economy remains uncertain due to Russia's invasion of Ukraine, economic sanctions against Russia, monetary tightening worldwide to address inflation, and the resulting stronger US dollar and weaker emerging-market currencies.」

「In the household-goods wholesale market in which the Company operates, the decline in demand following the stay-at-home consumption associated with the spread of COVID-19 continued. In addition, crude oil prices rose and supplies of some raw materials and materials became unstable, resulting in product shortages and price increases. Concerns remained about the impact on future consumer activity, and the situation continued to be severe and uncertain.」

「In the household-goods wholesale market in which the Company operates, demand thought to be related to stay-at-home consumption resulting from the spread of COVID-19 had generally begun to settle, and stable demand was seen for seasonal products. However, as noted above, concerns about price increases due to higher raw-material costs and the weaker yen had reduced consumer confidence, leaving the operating environment challenging.」

「In the household-goods wholesale market in which the Company operates, demand thought to be related to stay-at-home consumption resulting from the spread of COVID-19 had generally begun to settle, and stable demand was seen for cleaning products. However, as noted above, concerns about price increases due to higher raw-material costs and the weaker yen had reduced consumer confidence, leaving the operating environment challenging.」

「In the household-goods wholesale market in which the Company operates, the effects of the spread of COVID-19 continued, while the worsening situation in Ukraine also raised concerns that disruptions in crude oil and natural gas supplies could cause short-term price increases and impede global economic activity and business conditions. Uncertainties about future consumer confidence continued to weigh on the outlook.」

「In the household-goods wholesale market in which the Company operates, not only was there a decline in demand following the stay-at-home consumption associated with the spread of COVID-19, but crude oil prices also rose and supplies of some raw materials and materials became unstable, resulting in product shortages and price increases. Concerns remained about the impact on future consumer activity, and the situation continued to be uncertain.」

「In the household-goods wholesale market in which the Company operates, demand thought to be related to stay-at-home consumption resulting from the spread of COVID-19 had generally begun to settle, while the operating environment remained challenging due to shortened retail store hours and declining consumer confidence accompanying deterioration in income and employment conditions.」

「In the household-goods wholesale market in which the Company operates, demand thought to be related to stay-at-home consumption resulting from the spread of COVID-19 had generally begun to settle, and stable demand was seen for seasonal products and cleaning products. However, the operating environment remained challenging due to shortened retail store hours as a countermeasure against the spread of the disease and declining consumer confidence accompanying deterioration in income and employment conditions.」

「Consumer confidence continued to decline due to the spread of COVID-19. Although the economy was showing a gradual recovery after the lifting of the state of emergency, supported by the resumption of economic activity and policy measures, restrictions on large-scale events remained in place, while changes were seen in lifestyles and purchasing behavior as remote work became established. However, the number of new infections entered a phase described as the third wave, and the outlook remained uncertain, with no end to the pandemic in sight.」

「If consumer demand declines due to changes in the external economic environment, including economic trends and lower consumer confidence resulting from a consumption tax increase, this could have a material impact on the Company's business and results.」