Uncertainty Surrounding Personal Consumption, Overseas Economies and Exchange Rates

「Market volatility has increased further because of instability in global conditions, while resource and raw material prices continued to rise owing to the situation in the Middle East and the ongoing weak-yen environment, leaving the outlook persistently uncertain.」

「During the current consolidated fiscal year, the economy followed a gradual recovery trend as improvement in the employment and income environment continued. However, uncertainty persisted owing to the effects of labor shortages, U.S. policy developments, volatility in financial and capital markets, and heightened tensions in the Middle East.」

「During the current interim consolidated accounting period, Japan's economy continued to show a gradual recovery against a backdrop of improvement in the employment and income environment. However, market volatility had increased further amid concerns over the effects of rising prices and U.S. tariff policies, and the outlook remained uncertain.」

「During the current interim consolidated accounting period, Japan's economy saw gradual improvement in the employment and income environment, but real consumption excluding the effects of price changes declined (Source: Family Income and Expenditure Survey, Ministry of Internal Affairs and Communications). In addition, the outlook remained uncertain amid unstable international conditions, including the situation in the Middle East, and persistently high energy and raw-material prices.」

「During the current consolidated fiscal year, the impact of COVID-19 on economic activity had largely dissipated, but the economy continued to face an uncertain outlook amid exchange-rate fluctuations, rising prices and increasing geopolitical risks.」

「During the cumulative third quarter of the current consolidated fiscal year, the impact of COVID-19 on economic activity had largely dissipated, but the economy continued to face an uncertain outlook amid soaring resource and energy prices and concerns over an economic downturn against a backdrop of unstable global conditions.」

「During the cumulative second quarter of the current consolidated fiscal year, Japan's economy remained subject to an uncertain outlook, despite progress toward normalization of economic activity following the reclassification of COVID-19 to Category 5, amid soaring resource, energy and raw-material prices resulting from the prolonged situation in Ukraine and price increases caused by the weaker yen.」

「During the cumulative first quarter of the current consolidated fiscal year, Japan's economy continued to face an uncertain outlook, despite progress toward normalization of economic activity following the reclassification of COVID-19 to Category 5, amid soaring global resource and energy prices and the prolonged Ukraine conflict.」

「The business environment surrounding the Company has recently shown some positive signs, including the lifting of restrictions on the movement of people imposed in response to the spread of COVID-19 and the steady recovery in domestic travel and inbound visitor numbers. At the same time, uncertainty in the global situation has increased, as illustrated by the prolonged Russia-Ukraine conflict, while in Japan the business environment remains uncertain as problems including soaring energy and construction costs and labor shortages become increasingly severe.」

「During the cumulative third quarter of the current consolidated fiscal year, Japan's economy was moving toward normalization of social and economic activity as entry and activity restrictions related to the spread of COVID-19 were eased. However, uncertainty persisted amid soaring energy costs and continued concern over the arrival of the eighth wave of infections.」

「During the cumulative second quarter of the current consolidated fiscal year, Japan's economy was moving toward normalization of social and economic activity as entry and activity restrictions related to the spread of COVID-19 were eased. However, the outlook remained uncertain, owing to factors including soaring energy costs and sharp exchange-rate fluctuations.」

「During the cumulative first quarter of the fiscal year, economic activity was gradually returning to normal as measures to prevent the spread of COVID-19 were implemented and vaccinations progressed. However, the outlook remained uncertain due to the renewed spread of COVID-19 from late June and rising energy prices resulting from the situation in Ukraine.」

「Looking ahead, the timing of the global containment of COVID-19 cannot be predicted, and the situation is expected to remain uncertain, partly due to developments in Ukraine. At the same time, signs of improvement have begun to emerge, including the holding of various events, the lifting of restrictions on activities and reports that the government is considering easing border-control measures for COVID-19 and resuming the acceptance of foreign tourists.」

「During the cumulative third quarter of the fiscal year, economic activity was gradually resuming after the lifting of priority preventive measures and the state of emergency imposed to prevent the spread of COVID-19, but the outlook became uncertain again following an increase in infections at the end of the previous year.」

「During the cumulative first quarter of the fiscal year, Japan's economy remained uncertain about the outlook as the impact of COVID-19 continued for an extended period and the state of emergency was reimposed, despite expectations that various measures, including the start of vaccinations, would prove effective.」

「During the fiscal year, Japan's economy remained in a difficult situation due to the global spread of COVID-19. Although economic activity gradually resumed and signs of a recovery emerged after the state of emergency was lifted on 25 May 2020, it was a turbulent year, with the state of emergency reimposed following the renewed spread of infections, leaving the outlook uncertain.」

「During the cumulative third quarter of the fiscal year, Japan's economy was severely affected by the global spread of COVID-19, and the slowdown in economic activity intensified. After the state of emergency was lifted on 25 May 2020, economic activity gradually resumed and signs of a recovery emerged, but the outlook became increasingly uncertain as restrictions on various activities were strengthened following the renewed spread of infections from December.」

「Economic activity has been gradually resuming since the state of emergency was lifted on 25 May, but concerns about a second and third wave remain, and the outlook continues to be uncertain.」

「During the cumulative third quarter of the fiscal year, the operating environment surrounding the Group benefited from an increase in international students from overseas attending universities, a rising university advancement rate, more companies introducing dormitory programs, continued growth in the number of foreign visitors to Japan and higher domestic travel demand, particularly during Golden Week. At the same time, concerns included the emergence of labor shortages and geopolitical effects such as deteriorating Japan-South Korea relations. The Group was also hit by more unexpected natural disasters than usual, including torrential rains and powerful typhoons.」

「During the cumulative second quarter of the fiscal year, the operating environment surrounding the Group benefited from an increase in international students from overseas attending universities, a rising university advancement rate, more companies introducing dormitory programs, continued growth in the number of foreign visitors to Japan and higher domestic travel demand resulting from the 10-day Golden Week holiday. At the same time, concerns included the emergence of labor shortages, US-China trade friction and deteriorating Japan-South Korea relations. The Group was also hit by unexpected natural disasters, including torrential rains in northern Kyushu and powerful typhoons.」

「During the cumulative first quarter of the fiscal year, the operating environment surrounding the Group benefited from an increase in international students from overseas attending universities, more companies introducing dormitory programs, continued growth in the number of foreign visitors to Japan and higher domestic travel demand resulting from the 10-day Golden Week holiday. At the same time, concerns included the emergence of labor shortages, US-China trade friction and deteriorating Japan-South Korea relations.」

「In the current operating environment surrounding the company, employment conditions are expected to improve, while uncertainty is expected to persist due to the planned consumption tax increase in October 2019 and trends in overseas economies.」

「During the cumulative second quarter of the fiscal year, the operating environment surrounding the Group saw a rising rate of advancement to higher education and continued growth in inbound demand, while Japan was hit by unexpected natural disasters from June onward, including the Northern Osaka earthquake, the torrential rains in western Japan, the Hokkaido Eastern Iburi earthquake and a succession of powerful typhoons.」

「During the cumulative first quarter of the fiscal year, the operating environment surrounding the Group saw an increase in the rate of advancement to higher education and continued growth in inbound demand, while labor shortages and the impact of the Private Lodging Business Act were also discussed.」

「In the current operating environment surrounding the company, Japan's economy is expected to remain on a moderate recovery path, while uncertainty is expected to persist due to political risks in the US and Europe and a slowdown in the Chinese and Asian economies.」

「During the cumulative third quarter of the fiscal year, the operating environment surrounding the Group benefited from continued growth in inbound demand, an increase in companies' hiring plans and a rise in the number of international students from overseas. At the same time, labor shortages and new entrants from other industries into the Group's core dormitory and hotel businesses were also observed. The impact of geopolitical risks was also discussed.」

「During the cumulative second quarter of the fiscal year, the operating environment surrounding the Group benefited from continued growth in inbound demand, an increase in companies' hiring plans and a rise in the number of international students from overseas. At the same time, factors creating uncertainty about the outlook included labor shortages and new entrants from other industries into the Group's core dormitory and hotel businesses.」

「During the cumulative third quarter of the fiscal year, Japan's economy remained on a moderate recovery path, despite weakness in personal consumption, as the employment environment improved, including an increase in the effective job-offers-to-applicants ratio. Although the yen weakened and share prices rose temporarily after the end of the US presidential election, the outlook remains uncertain due to the resulting uncertainty.」

「Against this backdrop, the dormitory business got off to a strong start, with an initial occupancy rate of 98.3%, up 1.0 percentage point year on year, partly reflecting increased demand for employee dormitories. In the hotel business, although the competitive environment intensified, steady domestic demand and inbound demand, which continued to grow above the previous fiscal year's level, resulted in high occupancy rates and high average room rates.」

「Personal consumption remained sluggish, while factors creating uncertainty about the outlook included a slowdown in overseas economies and fluctuations in foreign exchange rates.」