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09
Message to Our Shareholders
President Katsuhiko Machida
Aiming for stable growth through heightened
brand value worldwide
Fiscal 2005 in review
Sharp posted record high sales for the third successive
year in fiscal 2005. Consolidated net sales amounted to
¥2,797.1 billion, up 10.1% over the previous year, as a result
of sales growth in core products, notably LCD TVs and
mobile phones, combined with strong sales of key devices,
such as LCDs and solar cells.
With regard to profits, operating income totaled ¥163.7 bil-
lion, up 8.4% from the previous year, due to expanded sales of
our uniquely featured products and devices. Despite the nega-
tive impact of continued market price erosion in the electronics
industry, especially in digital appliances, we were able to
increase profit by promoting thorough cost-cutting measures.
Net income was ¥88.6 billion, up 15.4%. We also registered
historic highs in both of these profit indicators in fiscal 2005.
(For further details of financial results, please refer to the
Financial Section on page 28.)
Taking a look at major initiatives undertaken during fiscal
2005, in Consumer/Information Products, we enhanced our
lineup of large-size high-definition LCD TVs in anticipation of
the genuine advent of the digital high-definition TV era.
Elsewhere, we worked to enhance our range of high-value-
added products, such as mobile phones equipped with our
original, cutting-edge devices, thus aiming for higher profit. In
Electronic Components, we expanded production capacity
at the Kameyama No. 1 Plant stepwise to meet burgeoning
demand for LCD panels for TVs, and started construction of
the Kameyama No. 2 Plant. As for photovoltaic power gen-
eration systems, we continued to take aggressive measures
to expand the business, including the commencement of