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6SHARP CORPORATION
Interview with the President
Interview with the President
Mikio Katayama
President
Significant Sales and Profits Growth
In fiscal 2010, net sales increased 9.7% compared to
the previous year, to ¥3,021.9 billion, and operating
income surged 52.0% to ¥78.8 billion. Despite a chal-
lenging operating environment stemming from the
appreciating yen, falling market prices, and other fac-
tors, we achieved significant growth in sales and profits
thanks to the market launch of unique products.
However, government economic stimulus measures,
such as the Eco-Point Program, played a part in bolster-
ing our performance. We recognize, therefore, the need
to expedite business restructuring and reinforce our
business foundations.
Business Restructuring Initiatives
Sharp is promoting a business model emphasizing local
production for local consumption. Under this model, we
build value chains by forming alliances with leading com-
panies in regions where products are consumed. In fis-
cal 2010, Sharp established a joint-venture company in
Italy for the production of thin-film solar cells, as well as
a joint-venture company to carry out a solar power gen-
eration business as an independent power producer.
We also built a solar power generation plant in that coun-
try. In China, we have been providing technology support
as part of our engineering business to a 6th generation
LCD panel plant owned by Nanjing CEC-PANDA LCD
Technology Co., Ltd. In late March 2011, that plant began
input of glass substrates.
In addition to promoting local production for local con-
sumption in these ways, Sharp is also restructuring
production facilities to create optimal frameworks for each.
For example, at the Kameyama No. 2 Plant, which has
been making large-size LCDs, we have begun converting
some lines so that they can also produce mobile LCDs.
Fiscal 2010 Performance
Please summarize Sharp’s performance in fiscal 2010.
Q
We achieved significant increases in both sales and profits. However, this was part-
ly attributable to government economic stimulus measures, including the Eco-Point
Program. I believe that we need to advance strategies, such as promoting local
production for local consumption, as well as restructuring our LCD business.
A