The first quarter of 2005 saw a healthy growth in product business led by such distinctive products as LCD color TVs and mobile phones, which recorded increases in sales and profits. The device business, despite the difficult environment, was able to minimize decreases in sales and profits. As a result, both sales and profits for the entire Sharp group remained at the same levels as they were during the same quarter last year.

Our forecast at the beginning of this fiscal year remains unchanged: we predict net sales of 2,750.0 billion yen and operating income of 160.0 billion yen.