I am Tokushige.
I will be presenting the financial results for the third quarter of the fiscal year ending March 31, 2025.

In the third quarter of the fiscal year ending March 31, 2025, net sales and net income decreased from the same period of the previous fiscal year.
We are on track to achieve the full-year forecast, with progress rates of 70.5% for net sales, 62.5% for ordinary income, and 64.1% for net income.

This is a summary of the financial results.
Compared to the same period of the previous fiscal year, net sales decreased by 17,652 million yen to 162,096 million yen.
Ordinary income decreased by 1,781 million yen to 7,935 million yen, and ordinary income ratio was 4.9%.
Net income attributable to owners of parent decreased by 1,496 million yen to 5,574 million yen.

This graph shows changes in net sales.
Net sales in the Computer Networks (CN) business and the Private Brand (PB) business increased by 5,206 million yen and 761 million yen, respectively.
On the other hand, net sales in the distribution business within the Electronic Components (EC) business decreased by 23,620 million yen.

Sales and income by segment.
In the CN business, as a result of strong sales of equipment, security-related products and growth in maintenance and monitoring services, net sales increased by 24.9% year-on-year to 26,147 million yen. Segment income increased by 61.2% year-on-year to 3,186 million yen, and segment income ratio was 12.2%.
In the EC business, although customers commercial rights expanded, as a result of prolonged inventory adjustment in the supply chain, net sales decreased by 14.4% year-on-year to 135,948 million yen, and segment income decreased by 38.6% to 4,749 million yen.

Now, we will move on to the performance of each segment.
In the CN business, net sales increased in all product categories.
Sales of storage-related products for system integrators increased, partly due to large projects.
Sales of security-related products for enterprise and system integrators were strong, especially cloud security products.
Sales of maintenance and monitoring services for telecommunication carriers and data centers & cloud business operators grew.

In the EC business, sales of logic ICs, as well as boards and electronic components for automotive equipment increased due to expansion of commercial rights.
On the other hand, sales for industrial equipment decreased, affected by prolonged stagnation of the Chinese market, and the shift by a specific semiconductor manufacturer to direct sales of certain products.
Sales for communications equipment, consumer appliances and electronics remained weak.

In the PB business, sales increased due to full-scale delivery of wafer inspection systems.
At Tokyo Electron Device Nagasaki, industrial and power equipment applications were steady, but semiconductor production equipment applications were weak.
At FAST, sales of image-related products were steady.
As a result, net sales in the PB business increased by 7.7% year-on-year to 10,647 million yen, and the net sales ratio in the EC business was 7.8%.

Balance Sheet.
Total assets stood at 163,485 million yen as of December 31, 2024, up 917 million yen from the end of the previous fiscal year.
Among assets, notes and accounts receivable decreased due to lower sales. On the other hand, inventories increased with expansion of commercial rights. Non-current assets increased due to move-in construction for head office relocation and purchase of equipment.
Regarding liabilities and net assets, notes and accounts payable-trade decreased due to a decrease in purchases. Interest-bearing liabilities also decreased due to a decrease in working capital.
Advances received increased due to growth in maintenance services.

Cash flows.
There was positive operating cash flow of 10,423 million yen, mainly due to a decrease in notes and accounts receivable and contract assets, despite an increase in inventories.
There was negative investment cash flow of 2,137 million yen, mainly due to the purchase of non-current assets.
There was negative financial cash flow of 5,434 million yen, mainly due to repayment of borrowings and dividend payments.

The amount of orders received was 43,847 million yen.
In the CN business, the IT investment situation was steady, and the business has received large projects since the third quarter of fiscal year 2024.
Orders for public institutions increased in the third quarter of fiscal year 2025.
As for the EC business, a reactionary decline in long-term orders and prolonged inventory adjustments by customers have affected the stagnation of orders.

That concludes my explanation.
Thank you.