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Hitachi, Ltd. Annual Report 2007 23
Displays
Sales rose year on year despite a large
decline in sales caused by the transfer of
operations related to large LCD panels for
TVs to IPS Alpha Technology, Ltd., an
equity-method affiliate formed in a joint
venture with Toshiba Corporation,
Matsushita Electric Industrial Co., Ltd. and
others. Sales growth was driven by a focus
on small and medium-size TFT (Thin Film
Transistor) LCDs and active efforts to
expand sales, including the development of
new fields centered on high picture quality
IPS (In-Plane Switching) technology.
The sector returned to profitability,
achieving a marked improvement over the
previous fiscal year even in the face of
lower sales prices. This improved result
stemmed from changes to the product mix
and rigorous cost cutting.
Segment revenues increased 7% year on year, to
¥1,287.4 billion (U.S.$10,911 million), the result of strong
growth at Hitachi High-Technologies Corporation and in
LCD (Liquid Crystal Display) panels. Operating income
soared 124%, to ¥45.7 billion (U.S.$388 million) as LCD
panel operations became profitable and earnings rose at
Hitachi High-Technologies.
Electronic Devices
Hitachi High-Technologies’
“CG4000”CD-SEM for
45nm/32nm generation and
beyond
2.9-inch wide and high
definition (VGA) IPS LCD
Hitachi Medical’s high
magnetic field MRI system
(ECHELON Vega)
Hitachi High-Technologies
Corporation
Sales increased year on year. The electronic
device systems business recorded growth,
mainly in CD-measurement SEMs (Critical-
Dimension measurement Scanning Electron
Microscope), etching equipment and other
semiconductor manufacturing equipment,
as well as HDD-related manufacturing
equipment. In life science too, sales
increased, mainly of medical analysis equip-
ment for customers in the U.S. and Europe.
Advanced industrial products also recorded
stronger sales on higher demand for auto-
motive-related components and materials
for FPDs (Flat Panel Displays) and printers.
However, sales declined in information
systems & electronic components mainly
due to lower demand for semiconductor
devices used in mobile phones.
Hitachi, Ltd. Annual Report 2007
Earnings rose due to strong growth in
earnings in electronic device systems and
life science.
Hitachi Medical Corporation
Sales were lower year on year despite
higher sales of MRI (Magnetic Resonance
Imaging) systems in the U.S., X-ray CT
(Computer Tomography) systems in Japan
and ultrasound diagnostic systems in
Europe. The decline reflected lower sales
of X-ray systems and products made by
other companies.
Earnings declined year on year due to
the impact of lower prices.