(Shimizu) Of the total capital expenditures of ¥400 billion, comprising both strategic and normal investments, plans are in place to allocate ¥100 billion to the film-type perovskite solar cell business. Of the remaining ¥300 billion, roughly half will go to the HPP Company, with the rest allocated to the Housing and UIEP companies as well as the Medical Business. Turning to the HPP Company in particular, we plan to invest substantially in the Electronics and Mobility fields.

(Shimizu) As far as the HPP Company is concerned, we are targeting the semiconductor- as well as aircraft- and aerospace-related fields. In the UIEP Company, we anticipate targeting overseas infrastructure-related fields.

(Nishida) Should we not fully utilize our investment budget, decisions will be based on overall capital allocation conditions and the state of our balance sheet. While taking into consideration the need to strengthen returns to shareholders, we will first undertake investments in a bid to achieve the balance identified on page 20 of the presentation materials.

(Shimizu) We recognize the need to leverage external expertise, and are promoting development in certain areas through open innovation. For example, EVs are now manufactured using one-thirtieth of the production processes employed in the past. Clearly there is value in considering how this approach can be applied to our Housing Business. Conversely, the loss of such know-how as production technology can lead directly to a loss of competitiveness. With this in mind, we will continue to refine the technologies we have cultivated since our founding while incorporating external expertise. Moving forward, we will work toward optimally balancing each of the open and closed stances.

(Nishida) Under the Medium-term Management Plan, sales are projected to exceed ¥25 billion in FY28 and the business is expected to turn a profit. As far as sales under a 1GW supply structure are concerned, the target figure incorporates the sales price necessary to bring customers’ power generation costs to a level comparable with existing silicon-type solar cells. Turning to operating profit, we have taken into consideration improvements in performance and productivity. Accordingly, our target remains unchanged from the previous plan.

(Nishida) Capital expenditures are factored in at 50% of the total amount, after deducting subsidies. Having already determined the first phase of expenditure under the previous Medium-term Management Plan, and with the investment amount set at approximately ¥200 billion under the new Medium-term Management Plan, we are planning capital expenditures of ¥100 billion, an amount equivalent to 50% of the total. With the amount of subsidies booked on a compressed accounting basis, plans are based on the assumption that depreciations expenses will also come in at 50%.

(Nishida) We plan to invest approximately ¥5 billion in development and verification in an effort to improve product performance, including power generation efficiency, durability, and productivity. Our goal is to achieve power generation costs comparable with those of silicon-type solar cells.

(Asano) We have high hopes for an increase in SELFA volumes in the non-LCD field. In addition, we anticipate full-scale sales of build-up films from FY28, the latter half of the new Medium-term Management Plan. In this regard, growth drivers will increase.

(Asano) We expect high-performance interlayer films will grow in India, a market that is expanding dramatically. As far as aeronautical components are concerned, the commercial aircraft sector is firm and drones are exhibiting substantial growth.

(Asano) (Presentation materials P33) The benefits of investments by subsegment are as outlined on page 33 of the presentation materials. Investments in the Industrial field are not especially large compared with the Electronics and Mobility fields. It is safe to assume that the degree of profit growth will be roughly in line with this ratio.

(Asano) Looking at sensor- and in particular care material-related products, we are planning to commence the full-scale sale of new antibacterial and anti-allergy products. While we have focused on capturing domestic demand to date, we will also expand sales overseas.

(Yoshida) We will increase sales volume in the Tokyo metropolitan area, where demand remains relatively firm, by strengthening sale staff, enhancing the ability to procure land, expanding our construction capacity, and boosting plant production capabilities. We will also leverage the resources of companies acquired through M&As under the previous Medium-term Management Plan. In regional areas, we will increase the number of unit housing by introducing regional products while also targeting growth through M&As.

(Yoshida) The downward trend in ROIC is largely due to the increase in investments in the Residential Business, especially in such areas as the procurement of land. We are continuing to invest while monitoring the turnover rate and will work toward maintaining a consistent range of 10% or higher while managing and growing the business going forward.

(Yoshida) While short construction periods through the use of large trucks and cranes is a strength of unit housing, there are areas where construction is difficult, particular in the 23 wards of Tokyo where roads are narrow. We believe that use of the timber framework construction method, acquired through M&As, will help facilitate construction and will supply high-quality housing to these areas as well.