FY2022 Results and FY2023 Forecast

Other Businesses FY2022 Results In the Oil Hydraulics business, sales in Japan expanded mainly for industrial equipment. Sales for construction equipment in Japan and the United States also expanded. A new consolidation effect from an acquisition partially contributed to sales exceeding the previous fiscal year. In the Defense Systems business, sales of oxygen concentrators expanded in China due to the spread of COVID-19, but in Japan sales for both pulse oximeters (medical devices that can easily measure blood oxygen saturation) and oxygen concentrators decreased in a reversal of higher demand due to the COVID-19 pandemic, and sales fell below the previous fiscal year. In the Electronics business, sales of database systems for the design and development fields increased from greater corporate IT investment, but sales declined against the previous fiscal year due to reduced sales of CG production software. FY2023 Forecast In the Oil Hydraulics business, we will aim to increase market share by strengthening 'spec-in' activities to machine equipment manufacturers. In the field of industrial equipment, we will work together with Duplomatic MS, which we acquired, to contribute to the environment and expand our business. In the Defense Systems business, we will work to expand sales of oxygen concentrators and launch a new model of pulse oximeter for medical institutions in Japan as we aim to increase market share exhibiting products with enhanced functionality and cost competitiveness. In the Electronics business, we will strive to expand sales of database systems for the design and development fields. 20

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