• Resilient growth, rising returns – Japan Elevator Service (JES) continues to demonstrate high-quality execution of its growth strategy, successfully disrupting the market dominated by OEMs and driving market share gains. With investment completed to increase capacity and domestic geographic coverage, we believe the company will sustain growth in both maintenance and modernization businesses. The latter is expected to see resilient structural demand resulting from an aging installed base, as well as providing opportunities for new maintenance customer acquisition. With normalized capex plans, this should unlock stronger free cash flow generation and enhance its capacity for shareholder returns and balance sheet flexibility. Astris Corporate Research