Shigeru Mori, President and CEO
Allow us to first extend our utmost gratitude for your continued support of our business operations.
The global economy during the fiscal year in question was underpinned by large-scale market improvement measures enacted by national governments across the world. Like Asia and China in particular, North America has begun to tread the road of recovery. At the same time, despite Japan’s export and production efforts targeting the North American and European markets continuing to traverse at a low level during the 1st Half of the fiscal year, looking at the nation's increase in exports of automobiles and electronic and electrical equipment principally to China, progress in worldwide inventory adjustment, and other similar trends during the latter half of the fiscal year, production in Japan has entered a moderate state of recovery.
In the midst of such circumstances, Moriroku Group has created new fields through a market-oriented stance, developed goods with high value-added, and promoted the transformation to a manufacturing framework capable of sustaining profit even with low-volume production. Additionally, while engaging in sales activities that also emphasize the development of overseas markets, we addressed on a group-wide level policies geared at the likes of cost-cutting and improving asset efficiency for the purpose of boosting earnings. As a result, despite being impacted by the demand decline and inventory adjustment that accompanied the worsening of market conditions in largely the 1st Half of the fiscal year, through the aforementioned initiatives to improve earnings, our business performance reflected a decrease in revenues but an increase in income.
Beginning in April 2010, Moriroku Group commenced initiatives for its medium-term (three-month) plan, for which fiscal 2010 represents the initial year. Through this medium-term plan, which espouses a basic policy of “establishing a foundation for sustainable growth,” we seek to respond to changes in the global market environment by establishing a formidable business base while accelerating structural reforms for our operations, as well as to form a corporate constitution through which sustainable growth can be achieved. During fiscal 2010, we shall aggressively promote measures for the purpose of establishing a foundation for sustainable growth, with these to include reforming operational structure and optimizing our production framework. Furthermore, in the pursuit of becoming a corporate group that society can rely on, in addition to thoroughly enforcing compliance, working to enhance internal controls, and endeavoring to strengthen risk management, we shall actively address environmental themes going forward.
With our presence as a holding company at its core, Moriroku Group shall continue to devote its total capacity to addressing the aforementioned business issues, and improve its corporate value through forming a corporate group capable of sustainable growth. We sincerely hope to continue benefiting from your understanding and support of our efforts.
The global economy during the fiscal year in question was underpinned by large-scale market improvement measures enacted by national governments across the world. Like Asia and China in particular, North America has begun to tread the road of recovery. At the same time, despite Japan’s export and production efforts targeting the North American and European markets continuing to traverse at a low level during the 1st Half of the fiscal year, looking at the nation's increase in exports of automobiles and electronic and electrical equipment principally to China, progress in worldwide inventory adjustment, and other similar trends during the latter half of the fiscal year, production in Japan has entered a moderate state of recovery.
In the midst of such circumstances, Moriroku Group has created new fields through a market-oriented stance, developed goods with high value-added, and promoted the transformation to a manufacturing framework capable of sustaining profit even with low-volume production. Additionally, while engaging in sales activities that also emphasize the development of overseas markets, we addressed on a group-wide level policies geared at the likes of cost-cutting and improving asset efficiency for the purpose of boosting earnings. As a result, despite being impacted by the demand decline and inventory adjustment that accompanied the worsening of market conditions in largely the 1st Half of the fiscal year, through the aforementioned initiatives to improve earnings, our business performance reflected a decrease in revenues but an increase in income.
Beginning in April 2010, Moriroku Group commenced initiatives for its medium-term (three-month) plan, for which fiscal 2010 represents the initial year. Through this medium-term plan, which espouses a basic policy of “establishing a foundation for sustainable growth,” we seek to respond to changes in the global market environment by establishing a formidable business base while accelerating structural reforms for our operations, as well as to form a corporate constitution through which sustainable growth can be achieved. During fiscal 2010, we shall aggressively promote measures for the purpose of establishing a foundation for sustainable growth, with these to include reforming operational structure and optimizing our production framework. Furthermore, in the pursuit of becoming a corporate group that society can rely on, in addition to thoroughly enforcing compliance, working to enhance internal controls, and endeavoring to strengthen risk management, we shall actively address environmental themes going forward.
With our presence as a holding company at its core, Moriroku Group shall continue to devote its total capacity to addressing the aforementioned business issues, and improve its corporate value through forming a corporate group capable of sustainable growth. We sincerely hope to continue benefiting from your understanding and support of our efforts.