Risk Factors

GLORY Group (the “Group”) is exposed to various risks that may impact its operating results and financial conditions, including variable factors and other matters considered to be material as disclosed below.
The forward-looking statements as below are based on judgments by the Group as of the end of the current fiscal year.

  1. 1. Extraordinary fluctuations in operating results and financial conditions due to special market environmental factors, etc.

    The Group’s business is subject to government authorizations, import and export regulations and application of various laws and regulations in countries and regions where the Group is engaged in business activities. When these laws and regulations are revised or repealed, or when new public regulations are established, etc., or if any other special market environmental factors arise, the performance of the Group may be adversely affected.

  2. 2. High level of reliance on specific industry sector

    The composition of the Group sales is highly dependent on the financial markets. If it becomes necessary for financial institutions to cut capital investments due to major operational or financial problems, the performance of the Group may be adversely affected.

  3. 3. R&D Investment

    The Group is an R&D-based enterprise and continues to invest in R&D aggressively. However, development of new products always includes risks and, depending on the themes, there is a possibility of development costs becoming large due to prolongation of the development period. If such circumstances were to occur, the performance of the Group may be adversely affected.

  4. 4 Intellectual property rights

    The Group is not aware of any infringement of material intellectual property rights of third parties by the products of the Group. However, it is difficult for an R&D-based company like the Group to completely avoid the occurrence of such intellectual property infringement problems. If such circumstances were to occur, the performance of the Group may be adversely affected.

  5. 5. Overseas business growth

    The Group extends into a wide range of overseas activities including the production, sale and maintenance of products, and the procurement of parts, etc. If a situation occurs, such as a rapid change in the political or economic situation overseas, or foreign exchange market fluctuations beyond the anticipated scope, the performance of the Group may be adversely affected. In July, 2012, the Company acquired Talaris. However, there remains the possibility that the Company will not achieve the results and effects expected from this acquisition, and that it will take more time than expected to achieve them. The effect of such factors may adversely affect the Group’s business and performance.

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