Hello, this is Isobe. I would like to give you the outline of the financial results. First of all, the overview of the financial results for fiscal 2025, starting with Service Solutions. Revenue for fiscal 2025 was JPY 2,346.9 billion, up 4.5% from the previous year. Excluding the impact from the business restructuring, actual revenue was up 5.6% and from business in Japan, it was up 8.3%. This growth was mainly driven by Uvance and modernization business. Revenue in Uvance was up 47%. Revenue in modernization was up 24% from the previous year. This surpassed the mid-term management plan's goals. Adjusted operating profit was JPY 361.4 billion, up to 25% year-on-year.
Adjusted operating profit margin was 15.4%, improvement of 2.5 percentage points. In addition to benefit of the higher revenue, we also made steady progress in improving the profitability. As a result, adjusted operating profit was mostly in line with the plan. This shows the overview of the consolidated total results. Revenue was JPY 3,502.9 billion, down 1.3% from the previous year. Excluding the business restructuring impact, it was up 0.9%. Revenue in Service Solutions increased, the revenue in Hardware Solutions and Ubiquitous Solutions declined. Adjusted operating profit was JPY 390.5 billion, up 27%. Each business segment posted higher profits, up JPY 10.5 billion from the prior year.
In announcement in January, consolidated total adjustment profit was also surpassed last year's record high profit. Net profit prior to adjustment was JPY 449.4 billion, up JPY 229.6 billion year-on-year. In addition to increasing profit in the main business, gains from the sale of SHINKO ELECTRIC and GENERAL also contributed significantly. This shows the cash flows and the cash generation both increased steadily. Excluding one-time cash flow inflows and outflows, core cash flow was JPY 289.9 billion, an increase in inflows of JPY 56.2 billion, up 24%. This was due to increase in profit in our main business, as well as improvement in working capital efficiency. Free cash flow, JPY 482.6 billion.
Increase of inflow in the year, JPY 267.9 billion year on year. This shows the improvement of core cash flow as well as the proceed from the SHINKO ELECTRIC INDUSTRIES and the GENERAL . Next I will provide an overview of the results of each segment. Each segment, the review will be explained in the following page. This shows the adjusted operating profit and the consolidated results prior to adjustment, which includes one-time gains and losses. At the top is the adjusted consolidated results, which reflect our main business, which we achieved a record high. At the bottom is the consolidated results prior to adjustment and the operating profit was JPY 348.3 billion. Net profit was JPY 449.4 billion.
As for operating profit, although we recorded adjustment items such as the business restructuring expenses and the PPA, there were gains from the sale of SHINKO ELECTRIC and GENERAL that contributed to this number. Next, I will provide the breakdown of the results for each segment. First of all, Service Solutions. I omit the explanation of the figures because I already mentioned them, but starting from the next page, I will provide overview of the segment's results. Service Solutions, this shows the breakdown of the changes in the adjusted operating profit of Service Solutions. The fiscal 2024, the adjusted operating profit for the Service Solutions was JPY 289.9 billion. This is a starting point.
The profit increased by JPY 41 billion from the benefit of higher revenue, and this was mainly due to revenue growth in Japan. Secondly, profit increased by JPY 43.7 billion. Profitability improvement on the contributes to this. The standardization and automation of development work, as well as the benefits of using AI in the development on the process are beginning to emerge. This led to the 2 percentage point improvement of gross margin. Next, profit decreased by JPY 13.2 billion because of the accelerating investment which is directly linked to business growth, such as the developing Uvance offerings, bringing together expertise regarding modernization and the consulting. The bringing them together, profit increased by JPY 71.4 billion.
As a result, adjusted operating profit in fiscal 2025 were for Service Solutions was JPY 361.4 billion, up 15.4%, an improvement of 2.5 percentage points from the previous year. I will explain the waterfall chart. We will look at the status and the orders, which is the shows orders in Japan. Total orders in fiscal 2025 in Japan were up 2%. Excluding large scale deals that have contract spanning several years, orders were up 8%. Demand remains robust, up mainly because of the digital transformation projects. I will explain on each industry segment. Enterprise segment, almost the same level as last year. Excluding large scale multi-year deals, orders were up 6%.
Manufacturing related demand, there were some cases in which individual customers narrowed down their IT investment due to uncertainty, but demand related to DX and continued to experience strong growth. We also made progress in expanding our market share, and there was an overall trend of growth throughout the entire year. The finance business, finance segment orders were down 6% year-over-year. All the orders were up excluding the impact of large-scale multi-year business deals. We were able to increase orders by systematically organizing the offerings and at accelerating DX at the financial institutions, introducing new offerings for both accounting processing and branch solutions. In public healthcare, orders were up by percent. Excluding large-scale multi-year deals, our orders were up 8%. The mission critical orders were up 2% from the previous year.
Excluding large scale multi-year deals, orders were up 13%. Many orders in national security related to defense projects, strong growth. Overall, Japan business continued to experience favorable conditions with a particularly strong demand for DX sustainability transformation. Going forward, we will continue to propose highly value-added offerings under the guidance of our Uvance Wayfinders, and would like to make the reliable, productive delivery team efforts. This shows the order backlog in Japan. In 2025, our total order backlog was JPY 1,127 billion, up 7% year on year. Out of this expected growth, our revenue for fiscal 2026 is JPY 1,033 billion, up 10%.
Given these orders and the condition of our pipeline, 2026 on the revenue is projected to be JPY 1 , 960 billion, up 11%. The order backlog coverage ratio is 53%, which represents progress that is almost on par with previous years. The remaining revenue that is not covered by our existing order backlog will need to be secured by winning new orders in fiscal 2026. It is not shown on this slide, but the numbers of deals in our pipeline at the end of 2025, well, there are some potential on the lead to orders, which is 6% higher year-over-year. We have sufficient resources to achieve our target. Next, I will go to overseas and the orders.
In Europe, fluctuations in deals are seen, but the orders for full year were on par with the previous year. Americas and Asia Pacific region orders were down due to large e-scale multi-year business deals, but they are mainly for public sectors. This shows the Uvance and the, which is a main driver. At the top is, shows the orders in fiscal 2025, JPY 727.5 billion, increase of 33%. The graph at the bottom shows the revenue. Revenue in 2025 was JPY 709.3 billion, up sharply by 47%. Vertical areas, mainly data and AI, rose very sharply, up 69%, exceeded our target level of JPY 700 billion.
Within Service Solutions, the revenue from Uvance increased from 21% in the pre-previous year to 30%. Another pillar is modernization. Our orders in fiscal 2025 were JPY 399.2 billion, increase of 4% year on year. There were some large scale multi-year contracts, but we were still able to exceed that level in fiscal 2025. Overall revenue in fiscal 2025 was JPY 392.1 billion, increase of 32% year on year. Demand for modernization business was very strong, clearly exceeding our target level of JPY 330 billion. Excluding the overlap from Uvance, revenue from services was JPY 249.7 billion, increase of 24% year on year. Within Service Solutions, composition of revenue from modernization increased to 11%.
This shows the status of improvement to profitability and gross margin. Improvement in profitability led to positive effect of adjusted operating profit, increasing by JPY 43.7 billion. Gross margin saw improvement of 2 percentage point in fiscal 2020 to 2025. There were also improvements in the standardization of development process automation and expansion of standardization of delivery model and the use of AI in our delivery process. We are making progress on expanding our generative AI development environment, which enables the use under secure conditions in Japan and the 36 other countries. There is still only limited number of projects for which entire development process is carried out on our AI-driven development platform. Only a portion of projects have benefited from a productivity improvement.
By expanding the usage of AI and extent to which it is incorporated, we believe that we will be able to improve productivity going forward. By providing higher value-added services through improved the service quality and speeding up our delivery, we will continue to achieve sustainable improvement in productivity. Next page, it shows the overview of each subsegment in Service Solutions. Each subsegment posted a higher profit year-on-year. First of all, Global Solutions. Excluding the impact of restructuring, actual revenue was up 9.9%. Adjusted operating profit, JPY 33.3 billion, up JPY 27.6 billion year-on-year. Main driver behind this is the was the growth of Uvance. The adjusted operating profit margin was 6.2%. We will continue to further improve this figure by increasing revenue.
Regions Japan revenue was up 4.3%. Adjusted operating profit, JPY 293.9 billion, up JPY 33.6 billion from the previous year. Business increased due to the demand for DX and modernization. The business is growing and also we made progress on profitability improvement. We're able to secure the significant increase in profit while also increasing our investment. The adjusted operating profit margin here was 21.5% rather, improvement of 1.6 percentage point. International Regions revenue declined by 2.5%. This was mainly due to the prior year's large scale contracts in public sector in Oceania. Adjusted operating profit was JPY 34.1 billion, up JPY 10.1 billion year on year. The adjusted operating profit margin was 4.9%.
These numbers are still low, but our portfolio transformation and restructuring efforts have allowed us to improve this much. I will talk about the other segments other than Service Solutions. Hardware Solutions. Excluding the impact of changes in accounting, the revenue declined by 5%. Adjusted operating profit was JPY 67 billion, up JPY 5.7 billion year-over-year. System product, excluding the impact of changes in the accounting revenue declined by 7.3%. This was due to large scale business deals in the public sector and scaling down in the scale of sale of third-party products, as well as downsizing in the unprofitable business in Asia. Profitability improved as a result of changes to our revenue structure and also the integration of production and sales at
In addition to this, in our main business, we also made a progress in improving working capital efficiency. Free cash flow increased to 0.7-fold. This was the result of the sale of non-core business, including SHINKO ELECTRIC , GENERAL FDK, and making progress to reduce cross-shareholdings, core cash flows, free cash flows and base cash flows. To put it simply, base cash flow refer to cash that is yet to be put towards a gross investment. It is cash generated from our existing business and a source from which capital is allocated. I will omit the explanation. Now, capital allocation during the medium-term management plan period. Left-hand side shows the base cash flows in addition to grossing revenue and improved capital efficiency. There was also inflow of cash from the sale of non-core businesses.
Due to these factors, base cash flow was JPY 1,349.1 billion, more than twofold increase from the previous MTMP. We use this as a source of a capital from which to allocate JPY 672.3 billion to gross investment, JPY 339.3 billion to shareholder returns, for a total allocation JPY 1,311.6 billion. In the original plan, we expected to allocate JPY 1,300 billion, as a result of cash inflows increasing by approximately JPY 50 billion, an increase of approximately JPY 10 billion in capital to be allocated, we achieved a surplus about JPY 40 billion. We will allocate this capital in fiscal 2026. This shows the allocated capital allocated for investment for business growth.
Investments for growth during the MTMP total JPY 672.3 billion. Of these, JPY 174 billion was spent on investment related to acquisitions and capital alliances. This mainly consisted of acquisition GK Software, BrainPad, as well as AI-related investment Cohere and Rapidus. On the bottom half, we outlined the four main investment areas. We made well-balanced investments in the areas direct relating to our current business expansion, including Uvance and modernization, the area of advanced R&D, including quantum computing and Physical AI and our next-generation processor, strengthening our management foundation and the area of strength and quality and security. We have established in advance these areas as growth investment areas and implementing investment and monitoring the impact from a company-wide perspective. Next, shareholder returns. Dividend first. Dividends were stably distributed in accordance with profit growth.
As a result of profit growth during this medium-term management plan period, the distribution of dividends in fiscal 2025 greatly increased with an allocation of JPY 50 per share. This shows a share buyback. Share buybacks were flexibly implemented with a focus on higher capital efficiency. The share buyback amount for fiscal 2025 were JPY 170 billion and JPY 453.1 billion across the entire period of MTMP, which was in line with our plan. In addition, as planned, all shares held as treasury stocks at the end of fiscal 2025 were canceled. The graph on the right shows the total shareholder returns. The total amount over a three-year period from 2023 to 2025 was JPY 639.3 billion with a total return ratio of 69%.
We made a firm progress on this through a good balance of increasing cash generation, investing in our next area of growth, implementing shareholder returns with a focus on capital efficiency. I will talk about fiscal 2026 forecast. This shows the financial forecast for 2026. Revenue is projected to be JPY 3,510 billion, up JPY 7 billion from a year earlier. Adjusted OP is projected to be JPY 425 billion, up JPY 34.4 billion from the prior year. Adjusted net profit is projected to be JPY 320 billion, up JPY 21.7 billion from the previous year. We plan to continue to surpass our record high profits. Here, I would like to talk about adjusted items and consolidated results prior to adjustments.
The forecast for fiscal 2026 shown in the center box. Under adjusted items, we project a loss of JPY 10 billion from acquisition-related PPA. This shows an overview of our forecast for business, each business segment. We project a strong increase in revenue and adjusted OP in Service Solutions. On the other hand, we anticipate a decline in revenue and OP in Hardware Solutions and Ubiquitous Solutions. Also plan to increase advanced R&D investment in each segment elimination corporate. The following pages will provide figures. The Service Solutions revenues are expected to continue to be driven by Uvance and modernization, with double-digit growth expected in Japan of 11%, with continued productivity improvements in the delivery of service. Adjusted OP is expected to increase by 2 percentage points from a pre year to 17.4%. Changes in the Service Solutions from prior year.
On the left, adjusted OP for fiscal 2025 is JPY 361.4 billion. On the right, for the first change, we expect to increase in profit of JPY 48.5 billion. We expect an increase in revenue in Japan of 11% against the backdrop of an order backlog and a deal pipeline. We expect a continued growth, strong growth in Uvance and modernization. Secondly, we anticipate JPY 50 billion in profitability improvements. We expect to continue improvements in the gross margin of 2 percentage points through an acceleration in productivity gains from generative AI in the development process, such as standardization and automation of the development process. Thirdly, we expect a decline in profits of JPY 30 billion because of a higher spending in the growth of our businesses.
We will invest more in the growth of Uvance modernization, our consulting business. Adding these together, adjusted OP is expected to be JPY 430 billion. The adjusted OP is expected to improve by 2 percentage points over the previous year to 17.4%. Now, the revenue portfolio and gross margin. In fiscal 2026, we expect services overall to account for 46% of revenue, mainly from growth in Uvance and modernization. We seek to achieve a growth in the gross margin of 2 percentage points to 40.7% from change in our business portfolio productivity improvements and adjusted OP. We expect growth in, mainly in Japan and Uvance modernization, along with the increase in profitability in operating margin and operating profit for the year.
We will again seek to achieve another, a record high in profit in fiscal 2026. Now, subsegments, I will now explain the changes in our sub-segments. Up until now, our sub-segments were composed of Global Solutions, which was globally delivered value in common, and originally delivered services in Japan Region and International Region. With the growth in Uvance, we will move away from a conventional management approach based on a mix of products and services by region, and further strengthen management with a focus on business sectors, gaining a deeper understanding of our customers, industries, and the business operations. With this in mind, we have changed from sub-segments of Service Solutions and regional sub-segments to enterprise and public sub-segments. We manage business inside and outside on a global basis. This list shows the changes of, from the old and the new sub-segments.
Please refer to the details of the figures. The enterprise sub-segment includes automobile manufacturing, distribution, and retailing, while the public sub-segment includes national and local government, defense, finance, and healthcare. This is our financial forecast for the sub-segments in fiscal 2026. Within revenues for Service Solutions, we expect the enterprise sub-segment to comprise roughly 40% and public to comprise roughly 60%. In enterprise sub-segment, we expect revenue to increase mainly in manufacturing and retailing, and the OP margin to be 13.1%, an improvement of 1.4 percentage points from the prior year. While we continue to pursue higher profitability, we are developing offerings tailored to specific industries and enhancing our consulting capabilities for continued growth. In the public sub-segment, we expect revenues to mainly increase in the finance and defense areas, and an OP margin to be 20.1%, an improvement of 2.5 percentage points from the previous year.
In addition to focusing on productivity improvements, we will focus on more profitable markets. From now on, I will talk about the segments other than Service Solutions. Revenue in Hardware Solutions is expected to fall by 4.9% to JPY 960 billion, with a decline in revenue, and adjusted OP is expected to fall by JPY 5 billion to JPY 62 billion. In system products, revenue is expected to fall because of a decline in scale of low value-added business involving a sale of third-party products and the restructuring of Fujitsu Frontech. In network products, revenue is expected to increase on sales outside of Japan of optical transmission equipment and a higher investment spending by telecommunication carriers amid higher AI spending. Ubiquitous Solutions, revenue is projected to be JPY 160 billion, a sharp fall because of the pullback in demand from the discontinuation of support for Windows 10.
Profit is expected to drop on the lower volume of sales with adjusted OP over JPY 28 billion. In the inter-segment eliminations and the corporate segment, adjusted OP is expected to show a loss of JPY 95 billion, with higher expenses by JPY 18.3 billion from the prior year. Investment spending in advanced R&D is planned to be higher for business growth over the medium to long term. Fujitsu will retain its global competitiveness and actively invest in new business areas such as AI technology, including Physical AI, the FUJITSU-MONAKA next generation processor, and quantum computing. Next, I will talk about the cash flow and capital allocation. First is cash flow. Core cash, free cash flow is expected to increase by JPY 10 billion to JPY 300 billion.
is from higher profits in our main business and the checks on outflows of cash from the development of Fujitsu Technology Park. Free cash flow is expected to decline by JPY 272.6 billion to JPY 210 billion because of the decline cash flow inflows from the sales of non-core business in fiscal 2025. On this page, we describe driver base cash flow, the key source for cash flow allocations from free cash flow. In fiscal 2026, we expect the base cash flow to be JPY 450 billion prior to gross investments. This shows the planned allocations in fiscal 2026. Because of higher profits and a more efficient use of funds, base cash flow, the source for funds allocation, is increasing year by year and is expected to be JPY 450 billion in fiscal 2026.
From this amount, we expect to allocate JPY 280 billion to gross investment and JPY 240 billion to shareholder returns. In gross investment, the keys are AI-driven and technology-driven, and we will actively promote these areas. We are also increasing shareholder returns from the average of JPY 210 billion over this three-year period of previous MTMP. Base cash flow is JPY 450 billion, but the distribution is higher with an allocation of JPY 520 billion, so we will include funds from the expansion of cash flow in fiscal 2025. There is no change in allocation policy. Rather than holding on to funds, we will allocate funds in ways that will lead to higher corporate value. Within the shareholder returns, the focus is, on this page, is dividends. Our dividend policy is to distribute stable dividends in accordance with our profit growth.
In fiscal 2026, we expect to increase our dividend by JPY 5 per share from the prior year to an annual dividend of JPY 55 per share. Dividends have increased for 11 consecutive periods, a dividend payout ratio for the fiscal year is 30%. Share buybacks, we have a flexible policy on share buybacks with a focus on improvement in capital efficiency. Fiscal 2026, we plan share buybacks of JPY 150 billion. The right-hand shows total shareholder returns. The per year average for the prior MTMP was JPY 210 billion, We are planning for total shareholder returns of JPY 243 billion in fiscal 2026, for a total return ratio of 78%.
By increasing the generation of cash and solidly distributing the cash we earn towards gross investments and shareholder returns, it will lead to the next phase of the growth and an improvement in capital efficiency. We will also be focused on the next cycle of higher corporate value. In summary, this slide shows our major financial indicators. Each category is calculated by excluding transitory profits or losses. The average growth rate in earnings per share is 14%, with a favorable trend in both higher profits and capital efficiency. The return on equity has increased to 15.8%. By further accelerating profit growth, we seek to achieve an ROE of over 20% over the medium-term horizon. We similarly seek to increase our return on invested capital to 13.3%. The last slide shows the market evaluation of Fujitsu in terms of share price.
Against a backdrop of a change in our business portfolio and the growth in profits, we have been able to achieve growth over the previous two medium-term management plans. Our goal is to achieve sustainable growth in our corporate value, first by achieving our targets for fiscal 2026, and then by continuing to demonstrate growth beyond then. We will work to continue the trends shown on this graph. This concludes my presentation today.
Thank you very much. Now we would like to ask CEO Tokita to talk about the review of our mid-term management plan and the future directions.
Thank you very much. I would like to mainly talk about the direction, primarily focusing upon the period from fiscal year 2026 onward. I will briefly summarize the result of the mid-term management plan and share our future direction and timeline. While our CFO Isobe has already provided a detailed explanation regarding the achievement of our previous mid-term management plan, I would also like to share my own reflections on our accomplishments to date. Over the six years from fiscal 2020 through fiscal 2025, we steadily enhanced our profitability by transforming our business portfolio towards a high margin Service Solutions business, strengthening our management foundations, including talent and advancing standardization and efficiency across our areas such as development and delivery. The fact that our adjusted operating profit margin nearly doubled compared with our fiscal 2020.
Back in 2020, the margin was 6.6%, but it grew up to 11.2% in FY 2025. It has doubled, which was a major achievement. When it comes to core cash, free cash flow, it has also continued steadily, and that gave us the basic strengths to grow the future business. For our core Service Solutions business, we achieved both the scale expansion and improved profitability with adjusted operating profit margin of more than doubled compared with FY 2020. It was a little higher than 10% back in 2020, but it grew from 6.0% to 15.4% by 2025.
Looking at the group as a whole, while some challenges remain, we believe that we have established a solid foundation for our next phase for growth. Since I became the president of the company in 2019, I took up various challenges to dispose of the non-core businesses, introducing the new HR system, which was based upon job type, the HR programs, as well as the carving out of the non-profitable businesses and the region countries. It was closed in some places. It was a very difficult challenge, but we were able to achieve all this thanks to the cooperation by the employees and the customers, our partners and shareholders.
For the Fujitsu Uvance that we announced back in 2021, and now it accounts for 30% of the Service Solutions business, and the revenue reached up to JPY 700 billion or even higher. The modernization revenue will also grew up to the level of JPY 400 billion. With these two combined, they now account for 40% of the total Service Solutions. The so-called system integration based on the man-months business from that on the profit structure, we are making the shift to the new profit structure, which is based upon the value and the deliverables basis. Fujitsu Uvance and modernization will continue to grow steadily, and they will remain as a core of our businesses. The solutions that we provide going forward will be driven by AI. Now I would like to explain our future direction.
First of all, I'd like to explain the positioning of our new mid to long term management plan beginning in fiscal 2026. To date we have formulated management plans on a three-year cycle, and we have shared progress that was achieving those targets. From fiscal year 2026, we will establish a mid to long term management vision with 2035 as the target year and work steadily towards its realization. Today, I will outline the overall direction with the fuller details to be shared at a later date. From fiscal year 2026 onward, we will enter a new phase with technology at the core. By fully leveraging the enterprise we have already transformed, we will accelerate both the speed and scale of growth while further enhancing corporate value.
In today's rapidly changing business environment, we have reconsidered our long-standing approach of formulating and executing management plans on a three-year cycle. There is a growing risk that the business assumption underlying our plan can shift significantly between the time it is formulated and its three-year target, resulting in misalignment with actual growth conditions. For these reasons, our new management plan is formulated as a 10-year mid-to-long-term management vision 2020, 2035. As we work towards the desired, the state of a company, 10 years from now, we will set initiative-based goals on an annual basis and drive their realization while adjusting our course as needed along the way. Once again, we have defined Fujitsu's core strengths as the technology capabilities.
For my fiscal 2026, we will develop and deliver solutions that contribute to solving challenges for our customers and for society. By combining this industry expertise, business knowledge and AI capability all built on trusted and sovereign technology. Well, the technology, it's changing quite rapidly, and it is quite difficult to predict what's going to happen to the society. Now, we are not able to manage the business by just following the changes. These changes are driven by technologies, and that is what many of you have already noticed. We also bear an extremely significant responsibility in terms of national security and CPU development and optical network technologies and very unique technology company in the world.
HPC supercomputer or quantum computing. The actual machines can be developed only by us, so we have such technological capabilities. From the national security, we have a very significant presence. Furthermore, customer base spans all industry sectors, including public sector. We have been involved in the development, operation and maintenance of business application for over 50 years. For the effective social implementation of cutting-edge technologies like AI, it is crucial to redesign existing operations and apply and implement new technologies grounded in the deep understanding of the current business process and the IT supporting them. With our on-site knowledge and response capability that reach the last mile, we will lead the technology-driven transformation of customer operations and society.
As outlined, we consistently cover the entire spectrum from developing and providing fundamental technologies critical for business and management to delivering and consulting on on-site implementation and management reform. Once again, we have reaffirmed the Fujitsu strengths as a unique proprietary technologies and extensive experience and knowledge across various industries and business operations. Leveraging these strengths combined with advanced AI, we will develop and provide solutions that contribute to solving challenges for customers and society. As the use of AI expands across all industries and throughout daily life, and the volume and importance of data increase dramatically, it will become indispensable for the platforms that support mission critical operations to respect data sovereignty while ensuring security and reliability.
Leveraging highly reliable technologies developed in Japan, such as FUJITSU-MONAKA, high-performance next generation CPU, computing technologies including quantum computers, the large language model, Takane, and the AI platform, Kozuchi, and combining them with leading technologies from our global partners, we will provide a sovereign technology platform that ensures not only functionality, but also quality and safety. As the international security environment undergoes major change, we believe Japan's role in the world is also evolving. For the processing of data that is extremely important to national security and sovereignty perspective is indispensable. We are a company that contributes not only to Japan's defense, but also to the defense of Japan's allied nations. We believe our responsibilities and role in defense will expand even further than before.
By combining industry specific AI agents infused with the deep industry knowledge we have accumulated over many years and our broad expertise expanding in both business operation technology with consulting that works alongside customers to identify challenges to their growth and to a healthy society and to formulate and execute measures to address them. We will focus on four priority areas: Physical AI, Social Resilience, Digital Twins and computing, and in particular will support mission critical businesses and activities for our customers and society. In these areas, we will create and scale new business opportunities by leveraging our strengths.
For example, in the area of Physical AI, we will further strengthen Japan's manufacturing's front lines by providing a platform that aggregates and shares high quality on-site expertise while also enabling participating companies to mutually enhance their competitiveness. In the domain of Social Resilience, we will leverage AI agents to support healthcare systems from a management perspective, addressing critical societal issues. We will also enhance electronic health record systems and personal applications to further promote data utilization, thereby creating a healthcare environment that is more patient focused. Finally, I would like to explain the transformation Fujitsu itself must undertake to become a company capable of executing these initiatives. To begin with, we will embed AI across all our corporate activities and advance AI driven management. To do so, we will focus on three key initiatives.
The first, we will be able to support the customers in their transformation. The first is scaling our AI driven development. From January this year, we began operating a development platform that uses AI to automate processes from requirements definition through implementation and testing. We will progressively expand this platform to eligible projects. At the same time, by making greater use of generative AI, we will work to accelerate our customers' business execution while also improving our own sustained profitability.
The second is evolving our talent portfolio. Building on the business portfolio transformation we have pursued to date, we will advance the upskilling of our people on the premise of a collaboration between humans and AI. We will focus talent investment on areas that drive growth and high value creation, including consulting, data and AI and advanced technology research. The third is advancing our management foundation.
Through the One Fujitsu program, we have already established a globally standardized data foundation. Starting this fiscal year, building on this foundation, we will fully scale AI-driven management by leveraging our own AI. This will enhance both the speed and quality of decision making and enable management decision that anticipate change.
Furthermore, as a technology company, we will put these initiatives into practice ourselves and actively offer them to customers as a reference cases. Specifically, in AI-driven management, Fujitsu itself will serve as a reference model and deploy this approach to our customers. Finally, this is the schedule. Let me outline the upcoming timeline. Further details on the growth trajectory we are targeting towards fiscal year 2035 will be shared with you on May 28th. In addition, we are planning to hold an IR Day in September. We will provide further details in due course. This concludes my presentation. Thank you for your kind attention.