We would like to thank our shareholders for their continued support.
During the current fiscal year, the global economy was affected by the re-expansion of the novel coronavirus infection, and although there were lockdowns in some countries and regions, economic recovery was seen with the progress of vaccinations to prevent the spread. On the other hand, the economic outlook remains uncertain and unpredictable due to the ongoing shortage of semiconductors, rising prices of raw materials and logistics costs, and at present, heightened geopolitical risks from Russia's invasion of Ukraine and concerns of high inflation.
In this environment, the Group has continued to take measures to prevent new coronavirus infections and strengthen its corporate structure by further improving management efficiency and reducing costs, aiming to become a strong company that is resilient to changes in the business environment, in order to achieve the goals of the '21 Mid-Term Management Plan, which started in April 2021.
The business environment surrounding companies is concerned that earnings will be squeezed due to the global economic slowdown caused by these various factors, including further increases in raw material and distribution costs, rising labor costs, semiconductor supply issues, as well as Russia's invasion of Ukraine and the impact of economic sanctions against Russia by various countries, and China's zero-corona policy.In response to this situation, based on the '21 Mid-Term Management Plan, which has just been reviewed, we will work to establish a strong corporate structure that is resilient to change, evolve from strengthening our financial position to improving capital efficiency, and work to increase earnings and improve our balance sheet. In addition, based on our basic philosophy of "Thinking of People, Thinking of the Earth," we will work on the SDGs and promote the creation of a company that can contribute to the realization of a sustainable society through its business activities.
We would like to ask our shareholders for their continued support and encouragement.