Overview of business performance: Net sales and operating income both declined, while net income reached a record high.

During the fiscal year under review, although performance was firm in the mainstay education business, factors such as the negative effect of currency translation adjustments at U.S. subsidiary Berlitz International Inc. coupled with lower sales due to a decline in lesson numbers at the company's centers in all regions resulted in declines in net sales, operating income, and ordinary income.
Net sales for the period were at a record high, due among other factors to the absence of amortization of goodwill in relation to recognition of impairment of shares of Tokyo Individualized Education Institute in the previous year.