We will now begin Kokusai Electric Corporation's earnings presentation for the fiscal year ended March 26th. Thank you very much for joining us today despite your busy schedules. My name is Matsumoto from the Corporate Communications Department, and I will serve as today's moderator. First, let me introduce today's speakers. Kazunori Tsukada, Representative Director, President and CEO. Yoshitaka Kawakami, Senior Vice President and Executive Officer. As for today's agenda, Mr. Kawakami will first explain the consolidated financial results and full year forecast, followed by Mr. Tsukada, who will discuss the future outlook. After that, we will move on to the Q&A session. We expect today's meeting to conclude at around 5:15 P.M. Today's presentation is being held as a live webcast via Zoom. If the stream is interrupted or the video freezes during the presentation, please wait a moment and reconnect. The presentation and Q&A session will be conducted in Japanese. Participants may also choose simultaneous English interpretation. Please note that this meeting is intended for institutional investors and analysts. Accordingly, questions will be limited to institutional investors and analysts only. We also kindly ask participants to refrain from recording, audio recording or photography. Now, I would like to begin the presentation. Mr. Kawakami, please begin. I am Kawakami, Senior Vice President and CFO. Thank you for joining Kokusai Electric's financial results briefing today. First, I will explain our financial results for the fiscal year ended March 2026 and the earnings forecast for the fiscal year ending March 2027. These are disclaimers. I will not go into them. First, here is the consolidated financial summary for the year ending in March 2026. Page 4 is the highlight. Specific details will be explained from the next page onwards. Page 5 is the summary of consolidated financial results for the fourth quarter and the full year. In the fourth quarter, both revenue and profits decreased year-over-year, but both revenues and profits slightly exceeded the revised forecast announced at the second quarter financial results. Mainly, service revenue was on the upside and gross profit margin also improved than expectation. For the full year, although revenue and profits decreased year-on-year, the previous forecast was exceeded in revenue by JPY 5.1 billion, adjusted operating income by JPY 3.2 billion, and adjusted net income by JPY 2.3 billion. Along the upside in adjusted net income, we will increase the year-end dividend by JPY 1 from the previous forecast of JPY 18 to JPY 19. As a result, the annual dividend per share is JPY 37, combined with the interim dividend of JPY 18. Consolidated payout ratio to adjusted net income is 25.3%. Bookings in the fourth quarter were approximately JPY 104 billion, and bookings for the full year were JPY 264 billion, exceeding our assumption by about JPY 30 billion. The booking backlog at the end of the year was JPY 165 billion, and the strong momentum in inquiries is expected to continue into the year ending March 2027. R&D, capital expenditure, and depreciation were more or less in line with the forecast. Page six shows the factors for the fourth quarter year-on-year changes in revenue and adjusted operating income. In the fourth quarter, compared to the same period last year, mainly for DRAM, upgrade modifications that improve the performance and functions of existing equipments increased instead of new equipment sales, which led to an increase in service revenue. On the other hand, overall revenue decreased 4% year-on-year due to a stabilization in sales of equipments for China DRAM, which was active in the same period last year, resulting in equipment sales decrease. Changes by application will be explained later. Adjusted operating income decreased 17% year-on-year, mainly due to a decrease in gross profit stemming from lower sales and an increase in SG&A expenses. Page 7 shows the full year factors for change. For the full year, similar to the fourth quarter, upgrade modifications for DRAM included in service sales grew significantly in place of new equipment sales, in addition to an increase in equipment sales for NAND. On the other hand, with the coming down of equipment sales for Chinese DRAM and our advanced packaging, overall revenue decreased by 2% year-on-year. Adjusted operating profit decreased by 18% year-on-year due to a decline in the gross profit margin caused by a drop in production capacity utilization from lower production volumes and changes in the product mix, coupled with increased SG&A expenses from upfront investments such as R&D for the future. Page 8 shows the quarterly revenues by business. In the 4th quarter, continuing from the third quarter, a portion of equipment demand was replaced by upgrade modifications, leading to a service revenue increase both year-on-year and quarter-on-quarter. The full year showed a similar trend, with service revenue up 27% year-on-year, accounting for 40% of total sales. Page 9 shows revenues by application of 300 mm equipments, which comprise the equipment business, and 200 mm or smaller legacy equipments included in the service business. In the fourth quarter, although equipment sales for major applications declined year-on-year, compared to the quarter before, equipment sales for DRAM and logic foundry increased. For the full year, compared to the previous year, equipment sales for NAND increased by 90%, equipment sales for DRAM by 44%, and logic foundry sales decreased by 11%. The significant decrease in equipment sales for DRAM was due to a drop in Chinese DRAM equipment sales, which were active previous year, and the replacement of some equipment sales with upgrade modifications in the service business. Page 10 shows revenue by destination. In the fourth quarter, revenue from Taiwan and South Korea increased both year-on-year and quarter-on-quarter, while revenue from China decreased. For the full year, revenue from the U.S. and China decreased year-on-year, lowering the U.S. revenue ratio to 3% and China revenue ratio to 39%. Page 11 shows non-China and China revenues by application. In the fourth quarter, sales to non-China manufacturers surged by 20% overall compared to the preceding quarter, with equipment and service sales increasing across all applications due to rising AI-related demand. Fourth quarter sales to Chinese manufacturers saw an increase in equipment sales for DRAM quarter-on-quarter, having going past the investment transition period. Logic foundry equipment sales also increased, showing a recovery trend. In the fourth quarter, similarly to the third quarter, sales to non-China manufacturers increased while sales to Chinese manufacturers decreased, causing ratio of China sales to decline further to 26%. Page 12 is the balance sheet trend. Total assets at the end of March 2026 increased by JPY 18.1 billion from the end of March 2025 due to an increase in cash and cash equivalents and an increase in PP&E from investments for a demo center in the U.S. Total liabilities decreased by JPY 5 billion from the end of March 2025 due to the repayment of borrowings, despite an increase in contract liabilities from the receipt of advances. Total equity increased by JPY 23.1 billion from the end of March 2025 due to an increase in retained earnings. Page 13 shows key management indicators of the balance sheet. The equity ratio at the end of March 2026 rose by about 4 points from the end of March 2025 to 61%. Regarding cash and debt relationship, we eliminated net debt due to an increase in cash and paying down interest-bearing debt, resulting in a net cash position of JPY 6.6 billion at the end of March 2026. We achieved a net cash position one year earlier than expected. In accordance with our shareholder return policy, we have resolved to acquire up to JPY 5.3 billion of our shares, which was disclosed today. We plan to cancel the acquired shares as a general rule. Page 14 is the full year cash flow. Free cash flow for March 2026 was JPY 31.8 billion as operating cash flows exceeded investment cash outflows. Free cash flow is expected to remain positive in March 2027. Page 15 covers full year R&D expenses, capital expenditures, and depreciation. We are investing in R&D and CapEx in line with our midterm plan, anticipating demand recovery and mid to long-term demand increases. R&D expenses were JPY 18.3 billion, about a 20% increase year-on-year. R&D expenses for March 2027 are expected to increase by about 10% year-on-year. For capital expenditures, we recorded JPY 16.9 billion, a decrease of about 20% year-on-year. Going forward, in addition to regular capital expenditure, we are currently constructing a U.S. demo center totaling JPY 20 billion as a large-scale capital investment aimed at opening in January 2027, which means CapEx for March 2027 are expected to increase by about 60% year-on-year. Depreciation was JPY 14.3 billion, a 10% year-on-year increase associated with large scale capital investments. Depreciation for March 2027 is expected to increase by about 10%. Next, I will explain the full year earnings forecast for the fiscal year ending March 2027. Page 17 is the highlight. Specific details will be explained from the next page on. Page 18 is the forecast for the fiscal year ending March 2027. In the fiscal year ending March 2027, semiconductor device manufacturers are expected to accelerate investments in generational shifts and production scale expansion, mainly for advanced devices. In our earnings for the year ending March 2027, we aim to achieve revenue and profit growth above market by leveraging the technical superiority of our equipments for advanced devices. Specifically, we forecast year-on-year increases in revenue by 19%, adjusted operating profit by 27% and adjusted net income by 26%. Gross profit margin is expected to be 42%, 0.8 points higher year-on-year by improvements in production capacity utilization and product mix changes. Dividend forecast is JPY 47 annually, a payout ratio of 25.6% to adjusted net income in line with our shareholder return policy. Page 19. Starting from FY March 2027, we will change our business classification. 200 millimeter equipments, used equipments and upgrade modifications that were included in service business will be moved into equipment business to be more aligned with the WFE market. Page 20 summarizes the factors for change in the March 2027 forecast compared to the previous year using the new standard. Overall revenue is expected to increase by 19% year-on-year, supported by a 39% increase in equipment sales to non-China and a slight 6% increase in service sales, despite a slight 3% decrease in equipment sales to China. Adjusted operating profit, we forecast a 27% year-on-year increase because of higher sales and gross profit margin improvement due to increased capacity utilization from higher volumes and changes in the product mix absorbing the increase in SG&A expenses. Page 21 shows forecasted equipment sales by application and service revenue. For reference, figures under the old standard are also shown. Driven by generative AI demand, semiconductor device manufacturers are expected to further accelerate investment in high performance devices through technology migration and capacity expansion. Against this backdrop, we expect the DRAM related sales to increase 36% year-on-year and the logic foundry sales to increase 38%. For NAND, investment is expected to continue focusing on technology migration and even under that environment, we expect NAND related sales to increase 7% year-on-year. Under the new standard, service revenue will mainly consist of parts sales and maintenance services and is expected to account for 19% of total sale revenue. Page 22 presents revenue trend under the new standard from FY March 2023 through FY March 2027 forecast divided between non-China customers and China device manufacturers. Revenue to non-China customers have been on a recovery trend since bottoming out in FY March 2024, and we expect growth to accelerate further in FY March 2027. We forecast NAND related revenue growth of 50%, DRAM related growth of 30% and logic and foundry growth of 50%. Overall revenue to non-China customers are expected to increase 30% year-on-year. Meanwhile, revenue to China devices manufacturers are expected to decline slightly by 2% year-on-year. Although logic and foundry and DRAM sales are expected to increase, NAND equipment sales are projected to decline significantly due to temporary slowdown in investment by major device manufacturers. From FY March 2028 onward, we expect the NAND equipment revenue to recover and return to a growth trend. Since revenue to non-China customers are growing faster than revenue to China device manufacturers, the ratio of revenue to China is expected to be 29% and remain around that level going forward. Page 23 shows revenue by destination in our forecast. Compared with the previous year, revenue to Japan, the U.S., Taiwan and Korea are expected to increase, while the China revenue ratio is expected to decline to 34%. At present, we have not seen any direct impact from export controls or tariff policies in various countries, but we will continue to closely monitor both direct and indirect impacts. Page 24 shows forecasted revenue by equipment category. Figures under the old standard are also shown for your reference. For FY March 2027, the ratio of high-value added product is expected to reach 71%. As the generational investment progresses across each device area going forward, we will accelerate the introduction of high-value added products. This concludes my presentation. I am Tsukada, President and CEO. I will explain our future outlook. Page 26 shows our market share trend. The bar chart on the left shows market share data from Gartner Research. The deposition market mainly consists of tube and non-tube categories, and we classify our batch deposition systems in the tube category. Treatment systems are included in the RTP and oxidation diffusion category. In 2025, our share in the batch deposition market rose 8 percentage points year-on-year to 49%. The chart on the upper right shows the breakdown of the batch deposition equipment market. In the batch ALD-compatible equipment segment, our market share reached 80%, as shown in the pie chart. In 2023, the batch ALD-compatible equipment market and our revenue declined due to reduced NAND investment. Since 2024, the market has recovered steadily, and both our revenue and the market share have continued to increase. The lower right chart shows the breakdown of the treatment equipment market. Within the plasma gate modification tool segment, where our single wafer treatment systems are categorized, our market share declined slightly in 2025. We believe this was mainly because China local makers, which had invested aggressively in 2024, entered a temporary investment slowdown phase in 2025. Our single wafer treatment systems are also being increasingly adopted for DRAM applications. Since DRAM-related revenue are expected to expand significantly in FY March 2027, additional NAND investment could lead to further market share gains. Page 27 shows our outlook for the business environment. In the semiconductor device market, demand related to generative AI continues to drive capital investment by device manufacturers, and investment in high-performance device is expected to increase further. On the other hand, investment in mature node logic foundry is slowing, not only in the U.S. and Asia, but also in China, and recovery is still awaited. That said, our medium to long-term growth expectations remain unchanged. In fact, we believe the overall semiconductor device market could grow faster than previously expected. Regarding WFE market size in calendar year 2026, at the time of our third quarter results briefing, we projected year-on-year growth of 10% + alpha. Given stronger than expected AI-related investment, we have now raised that outlook to 15%, an upward revision of roughly 5 percentage points. Page 27 provides an update on our POR wins in 3D NAND. In FY March 2027, we expect the major manufacturers to continue technology investment for their 200-300-layer generations, which are expected to account for more than 80% of total NAND-related equipment sales. For generations above 200 layers, we continue to maintain and expand PORs for batch ALD-compatible systems centered on our latest mini-batch deposition systems, as well as for single wafer treatment systems. As device migration progresses, demand is expected to increase for replacing conventional deposition systems with our latest models, as well as for upgrade modifications, supporting recovery in our NAND-related equipment revenue. As devices continue to become more highly stacked, we intend to further expand the POR wins for our flagship mini-batch ALD-compatible systems and single wafer treatment systems, providing customers with higher value-added solutions. Page 29 provides an update on our POR wins in DRAM. In FY March 2027, we expect major manufacturers to continue technology investment in the D1C and D1D generations. Revenue related to D1C and D1D are expected to account for roughly half of total DRAM-related equipment revenue. We have already secured the PORs for single wafer treatment systems in DRAM, starting from the D1B generation, and we expect a significant revenue growth in FY March 2027. Looking ahead, as DRAM technology evolves toward the D0 generations and vertical channel transistor DRAM, device structures will become increasingly finer and more complex. As a result, we expect more opportunities for adoption of batch ALD-compatible systems and single wafer treatment systems. Page 30 provides an update on our POR wins in GAA. In FY March 2027, investment in first generation GAA is expected to continue following the previous year. We have already secured PORs for first generation GAA and are actively promoting proposals for second generation GAA as well. Sales related to GAA in FY March 2026 came in at JPY 15 billion, below our previous forecast of JPY 20 billion. For FY March 2027, we forecast revenue of JPY 20 billion. Thereafter, around FY March 2028, as the industry transitions to second generation GAA, we expect additional opportunities for adoption of batch ALD-compatible systems and treatment systems, which should support further revenue expansion. Revenue related to advanced packaging were JPY 3 billion in FY March 2026, and we expect FY March 2027 revenue to remain at least at the same level. While continuing to expect additional customer investments such as multi-site investment, deployment, we will also continue promoting new applications. Page 31 provides an update on our medium-term management objectives. At our IR Day held in June 2024, we announced our medium-term management plan and targets. Given significant changes in the market environment since then, we have now revised the plan. First, our original medium-term target assumed a WFE market size of $120 billion or more. We now expect to achieve this target no later than FY March 2029. Second, starting from the FY March 2027, we changed our business classification by transferring upgrade modifications and revenue of 200 millimeter and used equipment from the service business to the equipment business. As a result, the target revenue mix has been revised to approximately 80% equipment business and 20% service business. Third, we revised our target revenue composition by application. Previously, the target mix was 25% DRAM, 25% NAND, and 50% logic and foundry, plus others. Reflecting rapidly growing demand for AI-related advanced devices and slowly mature logic investment, we revised the mix to 40% DRAM, 20% NAND, and 40% logic and foundry, plus others. We will continue driving our growth strategy to achieve these medium-term objectives. Page 32 explains our acquisition of new land adjacent to the Tonami manufacturing center. In October 24, we began operations at the Tonami site and have been expanding production capacity across the group in anticipation of future semiconductor market growth. However, the semiconductor market is now expected to grow faster and larger than originally anticipated. We decided to acquire additional land adjacent to the Tonami site, where we can effectively utilize existing supply chains and logistics infrastructure. We plan to use the site for a range of initiatives, including production and R&D expansion, to support future market growth. Page 33 summarizes semiconductor device roadmaps, the business environment, and our growth catalysts. As the semiconductor devices continue evolving toward multi-layering, more miniaturization, complex and three-dimensional, opportunities for our core technologies, particularly batch ALD-compatible systems, especially mini-batch systems and single wafer treatment systems, are expected to increase. We believe we can continue achieving revenue growth above overall WFE market growth. We also remain committed to achieving adjusted operating profit growth at a pace faster than revenue growth through a higher mix of high value-added products and lower SG&A ratios resulting from revenue expansion. To achieve these goals, we will continue pursuing new POR wins for new generation devices while steadily advancing toward our medium-term objectives. This concludes our presentation. Thank you for your attention. This concludes our presentation. We will now begin the Q&A session. If you would like to ask a question, please click the Raise Hand button on the screen. If you would prefer to submit your question in the text form, please click the Q&A button. When submitting questions in the text form, please include your company name and your name. Your information will not be visible to other participants, and I will read your questions on your behalf. Please press the Raise Hand button on your screen. When you are called on by the moderator, please unmute yourself and then state your company name and your name before asking your question. Tamura-san, please. Thank you very much. This is Morgan Stanley Securities, Tamura speaking. First of all, I have a question about the WFE outlook that you have. This time, you showed 50% for 2026, but by application and for the Chinese market, what are your outlooks? Please explain. Thank you very much. As of now, the new outlook that we have is for application by application. Year-over-year growth rate wise, I will explain. NAND is +15%. DRAM +25% - +30%. Logic foundry and others together, +5% - +10%. These include China and non-China in overall. Nextly, about China and non-China. China, -5%. Non-China, +20%. This is what we expect. I see. Thank you. What is the image of first half versus second half of the year split? First half and second half split, we don't have a clear view as of now. All right. When we're looking at your company's business plans, second half, you are expecting less revenue and profit half-on-half. When looking at other companies with forecasts, I don't think your forecast matches. Second half, our image was that there will be an acceleration. Is there anything in particular that is for your company, that is serving differently for you? Or is there not simply not much visibility in the second half of the year, therefore you have a more conservative view? The second half of our company for the revenue as of now, the changes are more for the increase. This is the change taking place lately. Right now, as of today, as a number that we show you today, is the number I have mentioned and shown you already. In fact, from several clients in 2027, the investments planned, they want to implement earlier. We are receiving as such inquiries from customers. When did you put together this plan? When was the plan made? February of this year, right? Yes, February of this year. This was the snapshot as of February this year. Over the past 3 years, you think that demand is increasing and coming in earlier and not reflected and not updated over the past 3 months? You are exactly right. There are other people wanting to ask questions, I will come back later and stop for now. Thank you. Thank you very much. We would like to take a question from you, Yoshida-san. Yoshida over CLSA Securities is asking a question. My question may be similar to what the question now has been raised. On page 21, you're showing the guidance of the new equipment, the revenue for the year. What is your assumption for the first half? Can you share the numbers by application and account for the first half? Under new standard in the first half, equipment sales is JPY 119 billion. In the second half, we are expecting JPY 98 billion of revenue. Can you give us the composition by application? In the first half, NAND is 18%. DRAM is 40%. Logic and foundry and others is 42%. In the second half, for the equipment, new equipment sales, NAND is 23%. DRAM is 50%. Logic and foundry and the others is 27%. This is the composition for the total revenue of equipment, right? The numbers look slightly different from the one numbers shown on slide because this includes service revenue. By account, can you share some numbers between first half and second half? For 200 millimeter, because we have some of those, I would like to share information when we have a separate meeting. My second question is about the revenue growth, and doesn't look like you are not going to benefit from the leverage on your profit. Last time, you talked about the expectation for the margin expansion by several, the percentage point and OP margin is going to improve by 1.4%, and the gross margin improvement is only 0.8%. Does that mean you are seeing expansion of your expenses faster than you had expected? Yes. In terms of gross margin, we were targeting 43%. That is the message we conveyed. This time, we are expecting 42% gross margin. We do have a conservative gross margin outlook, which is 1 percentage point lower than original forecast. Conventional equipment revenue mix is going to be higher than we had expected. For OP margin, this time compared to last time, our outlook looks more conservative because for the future investment, the personnel cost and R&D expenses, and we are replacing our the main the system, so there is a increase in our DX related expenses. SG&A is going to see a JPY 8 billion increase. Compared to FY 2025. We are showing some conservative margin outlook. Why are you going to see a increase in the conventional equipment mix? There is a slight change in the mix by account. Thank you for answering my question. Moving on to the next person, Yoshioka-san of Nomura Securities, please. Thank you very much. This is Yoshioka from Nomura Securities. I also have two questions as well. The first question is in a sense confirmation question of the previous questions. That is this time the WFE market of 2026 growth outlook, you said 15%. Compared to other companies and compared to WFE related companies, you appear to be cautious. In your explanation earlier, up until February, you have reflected in your forecast only. In this sense, March or more updated sense is not reflected in the forecast. Maybe that is the only reason I am feeling. In any event, last time, three months ago, you said 10% or more growth you expected, and other companies were saying 15% or higher growth. Other companies were bullish in their growth outlook. Therefore, compared to other WFE companies in comparison, only your company appears to be cautious. Is there any particular question? What is the reason? As demand, do you have more difficulty in demand visibility compared to other companies? Our company uniquely, are we applying any lowering bias ourselves alone? Not in particular. We don't do that. What is included in the WFE number? When we assessed our company and after assessing, we put together our number, and it took some time to assess the number. Maybe we have not had a timely number, but there is no particular circumstance resulting in a lower number. We are not biasing the number to be lower. All right. JPY 30 billion upside you have in the bookings, and bookings may be the upside was greater in March. Was that the case? Bookings in the fourth quarter, big up upswing more than we expected, JPY 30 billion upside than we expected. Maybe we have not been able to reflect the circumstance to next year's sales forecast sufficiently. Okay. second question. This is a longer matter. Page 29, for example, and page 31, for example, midterm sales, especially DRAM sales. Recently, you are seeing DRAM sales. Calculating the numbers you gave us, page 29, the chart on page 29 appears that from March 27 and up to the midterm target, DRAM sales is only going to increase by 8%. That seems to be your plan. The number of PORs you said will be increasing, which means there seems to be more potential for growth. The midterm DRAM growth is only 8%. Why only 8%? Can you explain? Yes. When it comes to the midterm, the customer's fab circumstances we need to take into consideration. The big DRAM players, they are all quite aggressive in constructing their plants. This situation we are of course aware of, the fab circumstance is one factor that we should take into consideration. All the companies are very bullish and strongly eager to construct their plants earlier than the schedule. Maybe when we review our forecast, at that timing, we will be reflecting this aspect as well. Thank you. To the DRAM market, you are taking a conservative stance. You have a conservative assumption for the DRAM market. That is why it appears that your DRAM sales is not increasing. Is that correct? The POR metrics I showed you earlier, there you can see what we have visibility in POR. We have been increasing PORs that we obtained. At what timing, which companies, what generations of ramp-ups to take place. We are securely going to grow more than the market, for sure. From the mid to long-term perspective for DRAM, we need also to assess and look at how the manufacturing plants go as well. I see. Thank you very much for your answer. Thank you very much. We would like to take a question from Nakamura-san of Goldman Sachs. Thank you for giving an opportunity to raise a question. My first question is your guidance for new fiscal year. You said that you prepared that in February, and there could be a potential upside. Can you give us some more color on what kind of upside you can see by application or in destination? It seems like in Q1, there was JPY 100 billion of increase in booking. It seems like your outlook for the revenue in the first half looks rather weak too. Can you comment on that? If I may start to answer the latter part of the question. For the first half, because there are some delivery time issues, I don't really think there is much potential for an upside because there is more visibility. Talking about the potential upside, for advanced node or non-China DRAM and logic foundry, those can be a potential upside to us. Thank you very much. For China market, compared to three months ago, for memory and non-memory, it seems like there has been a slight increase. What's your feeling? Major four makers, as I have been saying, we can expect a firm investment from them. For large DRAM makers' investment, we have more clarity of their investment. Is that reflected in your new guidance for the fiscal year? It seems like there is not much change from three months ago. Yes, it is reflected in our new guidance. Understood. Even with that, compared to March 2026, the China, the device manufacturer's revenue in March 2027 is not going to show much increase. Yes. If you can look at the revenue outlook by application, we are going to see some increase of DRAM. The overall trend is going to be more flat. As far as we can see now, that is the outlook. My second question is about SG&A. You are expecting JPY 7.9 billion of increase in the new fiscal year. Can you tell me where the increase will be? The biggest increase will come from personnel cost. More than JPY 3 billion growth will come from that. JPY 2 billion increase from R&D. For DX related, our, the main system, we are replacing them. That is about JPY 1 billion of increase, and we also have some other items. You have a visibility of the executing those budget, right? Yes. We believe we need to expect this level of increase. Yes. On page 28 for NAND, on the right-hand side for POR win update from the 200 to 500 layers, the blocking side is missing. Compared to what you had to share on IR Day, it seems like you lost some of the PORs. Can you talk about that? For logic foundry, the revenue for Gate-All-Around. You are expecting JPY 20 billion for new fiscal year. I think there was some delay in booking the revenue last year. For advanced and the logic foundry and for logic and GAA, can you comment on the revenue outlook? Okay. There is 1 decline of a checkmark. It's not like we lost it against the other competitor, but the application itself disappeared with a certain customer. If we just show the realistic picture, this is what it looks like. It does not mean our performance was did not meet expectation. That is not the reason. For GAA, in March 2026, we expected JPY 20 billion, but it was JPY 15 billion of revenue. In FY March 2027, as I mentioned, as of now, we are expecting JPY 20 billion of revenue. For this large foundry maker investment, if they accelerate their investment, if that is seeing, we may see some uplift to this number. Thank you very much. Thank you very much. Through text, we have received several questions. We would like to move on to the text questions. For March 2027, operating margin seems to be weak. What are the main reasons? That was one question. Yes. This partially applied to the earlier question. The biggest reason is we are still continuing to make growth investments. For future, we continue to invest. SG&A, JPY 7.9 billion is factored in, as I mentioned, plus net. Anyways, they are the biggest reasons. I see. Thank you. Next, we would like to read the question that was submitted on text. The NAND is showing a recovery, sign of recovery for GAA, ASM International, and Lam Research, they are becoming more aggressive for the single wafer. Can you talk about the situation? For logic GAA, if I can update you on the situation. GAA first generation 2- nanometer generation, we have already finalized one POR. Once the scale of investment of our customers are determined, we can book our revenue too. As we move on to second generation GAA and beyond, we are trying to win PORs. We are in the competition for that. On the complex surface, we need to do a deposition, and the core competitive advantage of our batch ALD can be exerted more. We believe that will give us an opportunity to get more POR wins. With the latest update for 1.4 nanometer, we are not able to share much information about our new POR wins. In the competitive landscape, we are still trying to do our best to receive the evaluation of our batch ALD. I will read out another question. Korean memory maker, one of them says, "For NAND, existing equipment is sold and using the freed up space, new equipment is expected to be installed." That is their plan. If this is the truth, what is going to be the impact on your company's sales? This was the question. Generational change. When generational change takes place, clean room space may be lacking. For generational change, some equipments may not be introduced, and old equipments may be moved out to free up space for the clean room. This used to take place in the past. This has been taking place from the past, which means when generational change take place, new equipments will become necessary, and that is what we are creating in POR. In the freed up space, we will be able to bring in our equipment. From our perspective, the generational change will be accelerated. This is going to be a welcoming situation for our company. We are coming close to the end of the scheduled time, we will be happy to take a last question. Tamura-san, please. Thank you for giving me an opportunity to raise question again. This is Tamura of Morgan Stanley. For China, when we look at the WFE outlook for application, NAND outlook looks rather weak, and you are expecting NAND revenue growth for China to decline. The Chinese NAND makers, I think they are going to accelerate their investment from the second half. Do I understand there could be some upside opportunity? What was your assumption when you prepared your guidance? Our China customer, they place their orders matching our lead time, and also they share their forecast. Based on the information we receive from our customer, we prepare our business plans and guidance. For the China NAND manufacturer, based on the information we receive from them, we are not adding our excess expectation, but we are just showing cautious guidance. As you said, we are going to start a new plant, and they are going to start a new fab, and they're going to install new equipment. We hear that is their plan. That could be a potential upside for us too. When you talk about your lead time, by how many months? Before they want to receive the equipment, do they have to place orders? Production lead time is becoming longer. It's around eight months now. The capacity for production is declining itself too. In the second half, we are trying to If I can, we can use some of the additional capacity, then we can capture the opportunity to achieve a slight increase in our revenue in the second half. Well understood. Thank you very much. Thank you very much. This is now time to close today's meeting. Thank you very much for your participation to our results briefing meeting. After the meeting, we will be distributing to you a survey questionnaire. We want to improve our future, our activities, therefore, we ask you to kindly respond to the survey. We will now conclude the meeting. Thank you very much.