The COVID-19 pandemic had an enormous impact on a global scale last year, severely impacting both the economic world and society as a whole. We would first like to extend our deepest gratitude to everyone fighting the spread of the virus and, in addition, our hopes that all our shareholders stay healthy during these trying times.

  While the effects of COVID-19 brought our net sales down, efforts to improve productivity and curtail costs had a positive impact. Consolidated net sales in fiscal 2020 ultimately decreased ¥24.7 billion to ¥875.9 billion, and operating income increased ¥6.1 billion to ¥48.6 billion with an operating margin of 5.5%. Our extraordinary income and losses for the year included expenses for addressing defects in certain power semiconductors and the sale of a portion of our investment securities for securing funding for growth investments. In the end, net income attributable to owners of parent increased ¥13.1 billion to ¥41.9 billion.

  Based on the above trends in performance results and other factors, we decided to issue a year-end dividend of ¥45 per share, which will make for an annual dividend of ¥85 per share when including the interim dividend, ¥5 higher than the previous fiscal year.

  The world is now at a major turning point. As efforts to tackle climate change continue to accelerate, initiatives to realize a decarbonized society, expand the use of renewable energy to reduce CO2 emissions, and propel the shift toward electric vehicles are gaining steam. Fuji Electric is committed to taking action in that context. Focusing on our energy-saving power semiconductor business and power electronics systems business, which utilizes semiconductors to develop power electronics and systems, we will work to achieve net sales of ¥1 trillion and an operating margin of 8% or higher—two of the goals in our fiscal 2023 Medium-Term Management Plan—and strive to make valuable contributions toward achieving the SDGs.

  In the spirit of our management slogan of being “enthusiastic, ambitious and sensitive,” we will prioritize the safety and health of our employees and their families, work to enhance our teamwork through better communication, and contribute to the creation of responsible and sustainable societies.

  I would like to conclude by asking our shareholders for their continued understanding and support in the future.

June 2021