As a result, although the negative impact was less than the downward revision forecast announced in October 2019, unfortunately, we were unable to generate a profit.
We apologize to all our fans.
The special loss of the U.S. local subsidiary and the unpaid overtime and various allowances announced in February 2020 resulted in a total payment of approximately 120 million yen for the past 10 years (including retirees). From February 2020 onwards, the significant decrease in orders due to COVID-19 affected our profit plan.
However, after the downward revision, the efforts of KIMOTO employees began to bear fruit, and the steady sales of high value-added IoT-related products resulted in operating profit exceeding expectations.
We will distribute a dividend of 3 yen per share to our shareholders as planned.

Due to the many uncertainties in the new business year, we frankly cannot formulate a profit plan, and we plan to announce the forecast for the new business year at the end of July 2020.

The workflow reforms we have been working on for the past 10 years have borne fruit, and about 60% of our employees have been working without needing to come to the office since our policy announcement on March 23. Additionally, our local subsidiary in China has managed to work from home even during lockdown, the U.S. is working under similar conditions as Japan, and Switzerland, the global offices in Shenzhen, Suzhou, Taiwan, and South Korea are all working without coming to the office.

As a frontrunner in telecommuting, we intend to further advance our reforms.

The entire KIMOTO Group will work together to strive for a recovery in performance.
We sincerely ask for your continued support.