We have announced our financial results for the third quarter ofConsolidatedfiscal year ending March 2021.
As a result, we were able to recover from a net loss of approximately 390 million yen in the second quarter to a net profit of just under 40 million yen.

The main factors include the recovery trend in business activities of major clients, particularly in East Asia and Europe, increased sales of high value-added IoT-related products, and improvements in quality and cost reductions due to reforms in development and production systems, which contributed to the profits.
However, regarding the performance forecast, we believe that the situation remains unpredictable due to the impact of the spread of COVID-19.

Our company issued its own state of emergency on December 14 last year.
This was to ensure the safety of our employees and their families and to support a stable life amid the spread of COVID-19. We are currently continuing to work primarily from home.

Additionally, as our workflow reforms, which have been underway for the past 10 years, have moved to the next step, we closed satellite offices across Japan and closed the Shinjuku main office in December last year.
We will continue to advance further reforms and challenge new ways of working.

We kindly ask for the continued unwavering support of all KIMOTO fans.