We believe the company?s profits will remain under pressure from persistently high materials prices and a likelihood of a slowing global economy. Meanwhile, Mitsubishi Electric will remain highly dependent on its factory automation (FA) systems business, which is closely linked with the economy, in the next two to three years. Accordingly, we assume Mitsubishi Electric's EBITDA margin will remain at about 10.5%, up from 9.5% in fiscal 2022 (ended March 31, 2023). The company?s businesses, including FA systems, serve diversified end-markets. Additionally, the company operates businesses in fields with different lifecycles, which we believe underpins the overall resilience of its portfolio to economic downturns. We expect the company to continue its conservative financial management, keeping the combined total of growth
