We would like to take this opportunity to thank all of our shareholders for your exceptional support.

Regarding the global economy in fiscal 2024, the European economy slowed due to rising energy costs and decrease in domestic demand in China, and the Chinese economy continued to be sluggish with the stagnant real estate market, while the American economy is leading the world with a gradual recovery. The Japanese economy is also recovering gradually due to improvements to employment and income environments, although it is still affected by inflation.

Amidst this environment, the civil Aero-Engine Business and other core businesses of our Group, showed significant growth, achieving record highs in orders received, sales revenue, operating profit and net profit. Moreover, we have achieved ahead of schedule the 7.5% operating profit margin and 8% or higher return on invested capital, which were goals in the “Group Management Policy 2023.”

On the other hand, we took seriously the compliance-related misconduct in our subsidiary, put in measures to prevent recurrence, and worked to reestablish thorough compliance.

Fiscal 2025 is the final year and completion of our “Group Management Policy 2023.” To achieve sustainable growth, we will promote transformation of our business portfolio and balance sheet, and continue to work together in a Group-wide effort towards further growth.

We will do our utmost to meet the expectations of shareholders, and ask for your continued support.