During the consolidated fiscal year under review, the global economy generally remained on an expansionary track, although there were growing concerns about the economic outlook in the midst of the growing uncertainties abroad caused by the U.S.-China trade dispute and BREXIT. In Western countries, the economy remained on a mild recovery path with solid consumer spending reflecting favorable labor and income conditions, despite the growing downside risks in the economy associated with the political uncertainties. Meanwhile, the economy in Asia was on a downward trend, primarily because of lower exports from the NIEs to China in the wake of the economic slowdown in China, while ASEAN nations saw their economies supported by domestic demand.
In Japan, consumer spending showed a mild recovery, reflecting favorable improvements in employment and income conditions. The economy on the domestic front continued to recover moderately, while corporate earnings showed somewhat sluggish gains. In the instant noodles industry, total worldwide demand increased to more than 100 billion units following from previous year, reflecting growth in demand in many regions including Asian emerging countries. In addition, domestic total demand reached a record high.
Under this environment, based on the “Medium-Term Management Plan 2021” of which term covers five years from the fiscal year ended March 31, 2017, to realize the improvements of “Earning power through operations” and “Value in capital markets,” we are working on the following strategies: 1) Promoting global branding, 2) Focusing on priority overseas locations, 3) Laying stronger foundations for our domestic profit base, 4) Establishing a second pillar that generates revenue and profit and 5) Developing and strengthening human resources for global management.