Ponente desconocido
Operator: Thank you very much for taking your time to join us today for Hitachi's financial results briefing. We will now begin Hitachi Limited's financial results briefing for the first quarter of the fiscal year ending March 31, 2027. Let me first introduce today's speakers. Tomomi Kato, the Senior Vice President and Executive Officer, CFO, Hitachi Limited; Masashi Hatakeyama, Vice President and Executive Officer, Deputy CFO; Shinichiro Tamai, General Manager, Investor Relations Division. Those are today's 3 presenters. So Mr. Kato, the floor is yours.
Tomomi Kato: I'm Kato. Good afternoon. Before I begin today's presentation, I would like to express my deepest condolences to those who lost their lives in yesterday's Kumamoto earthquake of 2026. And extend my heartfelt sympathies to everyone affected by this disaster. At this time, we have confirmed no material impact on the Hitachi Group. However, we will continue to closely monitor the situation and take any necessary actions as appropriate. In addition, based on conditions and needs in the affected areas, we are considering what support Hitachi can provide to assist with the recovery efforts. Now I would like to walk you through our consolidated financial results for the first quarter of fiscal 2026 as well as our outlook for the full year. Let me begin with the key highlights of today's earnings announcement. In the first quarter of fiscal year 2026, the revenue increased 20% year-on-year, reflecting business expansion as well as favorable foreign exchange effects. Both revenue and adjusted EBITA reached record highs for our first quarter. Led by the continued strong performance of Energy Power Grids business, all 4 sectors, DSS, Energy, Mobility and Connective Industries achieved double-digit revenue growth. The impact of the situation in the Middle East during the first quarter was smaller than we had initially anticipated. Quarterly profit was broadly in line with the previous year despite the impact of the approximately JPY 50 billion special dividend associated with last year's air conditioning business reorganization. On a comparable basis, we regard this as an increase in profit. Core free cash flow also exceeded the previous year's level despite the absence of large advance payments supported by improved collection of trade receivables. Now our outlook for fiscal year 2026, reflecting our stronger-than-planned first quarter performance, order trends and revised foreign exchange assumptions, we have raised our forecast for revenue, adjusted EBITDA, net income, core free cash flow and ROIC. To support organic growth, we plan to increase capital expenditures, including investments in production capacity and also expand corporate strategic investment aimed at accelerating AI adoption. Developments in the Middle East remain a potential source of significant volatility depending on how the situation evolves. We will continue to monitor them closely. The results include several special …
