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

During fiscal 2022, the outlook remained uncertain due to heightened geopolitical risks, such as the lengthening of the Russian invasion upon Ukraine, and inflation and monetary tightening policies internationally. On the other hand, the sluggish Chinese economy showed a temporary recovery mainly in domestic demand, triggered by the lifting of the zero-Covid policy. In the Japanese economy, as economic activities normalize after COVID-19, the economy is gradually recovering, although it is still affected by global inflation.
Under the "Project Change" initiative, the IHI Group positioned the period up to the current fiscal year as a period of preparation for business reforms in response to changes in the business environment, and has worked to return to a growth trajectory and create growth businesses. In particular, the IHI Group has been promoting a shift in its business model from products and services to providing value throughout the product lifecycle (lifecycle business) and strengthening its earnings base.
Through these initiatives, in fiscal 2022 we recorded increased sales and profits in all reportable segments, achieved a return to profitability, and posted our highest-ever operating income. In the area of cash flow, we have affirmed the solid establishment of a foundation for our cash-generation capabilities.

Fiscal 2023 is an important year as the start of our Group Management Policy 2023.
To achieve the transformation set out in this management policy, we will further exploit and evolve the lifecycle business that we have been undertaking, secure stable operating cash flow by enhancing customer value, and enhance customer value and social value on the basis of the technologies and systems that are our strengths. Doing so, we will boldly shift management resources toward growth businesses centered on the Aero Engines and Space and development-focus businesses including our fuel ammonia value chain initiative, and will make active investments in people and in R&D that will lead to future growth.

We ask for the continued support of our shareholders and investors.