My name is Takayoshi Miyamoto.
I will now present the financial results for the first quarter of the fiscal year ending March 2026.

The results for the first quarter of the fiscal year ending March 2026 showed a year-on-year decrease in both sales and income.
The progress rate against the interim forecast was 49.4% for net sales, 52% for ordinary income, and 52.9% for net income.

Here is a summary of results.
Compared to the previous fiscal year
Net sales decreased by 11.4 billion yen to 45.1 billion yen.
Ordinary income decreased by 1.8 billion yen to 1.7 billion yen.
Net income decreased by 1.2 billion yen to 1.2 billion yen.

Changes in net sales.
While the CN Business remained flat,
in the distribution segment of the EC Business, there was a decrease of 10.5 billion yen.
And the PB Business decreased by 0.9 billion yen.

The following are sales and income results by segment.
In the CN Business, although equipment sales declined, sales of security-related products and maintenance & monitoring services grew, resulting in an increase in income.

As a result,
net sales were 8.7 billion yen,
segment income increased 29% to 1.4 billion yen,
and the segment income ratio was 17%.

In the EC Business,
high levels of customer inventory in the supply chain,
and the prolonged impact of the slowdown in the Chinese market resulted in a decrease in both sales and profits.

As a result,
net sales decreased 24% to 36.3 billion yen,
and segment income decreased 91% to 0.2 billion yen.

I will explain the situation for each segment.
In the CN Business by product category,
In Security-Related Product, etc., cloud security products performed well.
In Storage-Related Products, although large-scale projects for System Integrators decreased, Maintenance & Monitoring Services performed well.
By field,
In the sales for Enterprise & Others, Network-Related Products and Security-Related Products, etc. performed well.

In the EC Business by application,
sales for Automotive Equipment increased.
In this application, sales of Analog ICs and Micro Processors decreased due to lower demand, but sales of Logic ICs increased due to the expansion of commercial rights.
Sales for Industrial Equipment decreased due to a decline in sales of Micro Processors and Analog ICs caused by a decrease in demand.
Sales for Computers & Peripherals, Communication Equipment, and Consumer Appliances & Electronics also remained sluggish.

In the PB Business,
sales of wafer inspection system and design and manufacturing services for industrial equipment were sluggish.
TED Nagasaki saw strong sales of in-house information and communications equipment, but sales of products for semiconductor manufacturing equipment were sluggish.
As a result, net sales in the PB Business decreased 28.6% to 2.3 billion yen, accounting for 6.4% of net sales in the EC Business.

This is the balance sheet.
Total assets amounted to 144.1 billion yen, a decrease of 12.7 billion yen compared to the end of the previous fiscal year.
Assets decreased due to a decline in sales, resulting in a decrease in accounts receivable and inventories.
Liabilities and net assets decreased due to a decrease in working capital and interest-bearing liabilities.

The cash flow situation is as shown below.
In our business, operating cash flow tends to be positive when sales decline.
Financial cash flow were negative due to repayment of borrowings and payment of dividends.

Orders received amounted to 46.5 billion yen.
In the CN Business, in addition to steady IT investment, orders for maintenance and monitoring services remained strong.
In the EC Business, customer inventories remain high.
There are variations among customers, and the situation remains mixed.

That concludes my explanation.
Thank you very much.