In our 19th fiscal year, demand for EVs slowed down due to the termination of subsidies for EVs in each country and high interest rates. Furthermore, in terms of consumer demand, demand slumped due to the emergence of risks such as conflicts in countries around the world, resulting in reduced battery production and inventory adjustments. As a result, the shipment volume of our separators was lower than planned, and selling prices were also on a downward trend. This situation is expected to continue this year as political uncertainty continues, including conflicts around the world and the US presidential election.

On the other hand, demand for batteries is expected to steadily increase over the medium to long term. Therefore, rather than stand still during this period of slowing growth, we see this period of stagnation as an opportunity, and in order to take the next step forward, we are preparing to expand our business scale.
We believe it is important to respond to increasing competitiveness. Regarding expansion of business scale, we will work to establish production bases that correspond to the regional expansion of our customers and develop new customers.
Additionally, to strengthen our product competitiveness, we have been working on introducing new production technology since last year that will double the production capacity of our medium-sized film deposition line. We will then deploy them to our new large-scale deposition line and the large-scale deposition line at our Hungarian factory. Additionally, in order to reduce labor costs and further stabilize quality, we will work to strengthen product competitiveness by promoting automation of production processes.

Additionally, last year we started manufacturing stack modules for ion exchange membranes as a new business. The ion exchange membrane was developed by our company by applying the technology cultivated in the production of separators for lithium ion secondary batteries. The stack module manufactured by our company using this ion exchange membrane will be used as part of equipment to precipitate lithium from salt lakes and brine. We began shipping to our customer's factory in Argentina in February 2024. In the future, we plan to apply this technology and sell it for a variety of uses, and we are proceeding with the installation of manufacturing equipment in preparation for increased production.

At the time of our establishment, it was thought that it would be difficult for a company without capital to succeed in the separator field, and we have continued to expand our business scale. Additionally, we were able to start a new business last year. It is entirely thanks to your support that we are able to enter our 20th business year this fiscal year, and all of our executives and employees would like to express our sincere gratitude. We will continue to push forward with our business so that our shareholders can definitely feel the growth of our company. We look forward to your continued support.