Firstly, I want to extend our heartfelt gratitude to all of our shareholders.

With regard to the results of the consolidated fiscal year ended March 31, 2024, net sales amounted to ¥324.771 billion (an increase of 1.4% compared to the previous fiscal year).

Factors contributing to that increase include the addition of sales from our newly consolidated overseas subsidiaries, an increase in selling prices due to the increase in the purchase price of petroleum products and construction materials compared to the previous fiscal year, the progress in the completion of projects that were delayed from the previous fiscal year in our ODA business, the fact that sales were favorable due to the impact of the improvement in the supply of new cars in our car dealer business, and the special demand responding to the invoice system in our information systems business.

Operating income amounted to ¥25.938 billion (an increase of 19.7% compared to the previous fiscal year).

Factors contributing to that increase include the fact that the renovation of high-rise condominiums in the gondola business continued to perform well in the previous period, the profit of our newly consolidated overseas subsidiaries was added, price pass-throughs for construction materials and petroleum products advanced, the profitability of our ODA business improved, sales were robust due to the impact of the improved supply of new cars in our car dealer business, the sales of packaging systems for local governments in our information systems business were favorable, and there was special demand responding to the invoice system.

Factors contributing to decreases include the fact that sales decreased in our animal-feed business, increased costs associated with the conversion of the existing infrastructure coaxial cable network to an optical-fiber cable network (FTTH; Fiber to The Home) in the cable TV business, and weaker wind conditions in our wind-power power generation business, resulting in a decrease in power generation.Furthermore, the effects of foreign exchange markets in our operating profit stage were negligible.

With regard to non-operating income and expenses, our ordinary income was ¥29.719 billion (an increase of 22.1% compared to the previous fiscal year), thanks to a currency-exchange gain in light of the current weaker Japanese Yen.

As a result, the income before taxes and minority interests amounted to ¥29.405 billion (an increase of 23.0% compared to the previous fiscal year), and the profit attributable to owners of parent amounted to ¥18.167 billion (an increase of 22.2% compared to the previous fiscal year).

Operating income generated from consolidated EVs (see Note) of ¥72.3 billion was ¥25.9 billion, yielding 35% (¥25.9 billion ÷ ¥72.3 billion). Furthermore, our overseas business accounted for 12% of the total EVs. In the future, we will continue to increase the proportion of overseas enterprises that can get foreign currencies.

Still further, the year-end dividend for the fiscal year under review is ¥29 per share; along with an interim dividend of ¥26 per share, the annual dividend will be ¥55 per share. Compared to the annual dividend of ¥40 in the previous period, the dividend is up ¥15. We look forward to the coming year and your continuing support.

(Note) EV is funding used in business.
EV = Net Worth + Borrowings – Cash

June, 2024