Sales by product group include internal sales and transfer between segments (Product Business and Device Business).

Sales of Digital Information Equipment were 332.7 billion yen, down 0.6% from the same period last year. But operating income reached 7.5 billion yen, which was 8.8-fold over the same period last year, due to launch of the high-value-added smartphones and the effects of cost saving efforts.
The full year forecast has been revised based on current situations and outlook for the second half.

Sales of Health and Environmental Equipment were up 1.8% over the same period last year to 162.8 billion yen. In spite of a backlash from the last-minute demand following consumption tax hike and the effects of poor weather over the summer in Japan, sales of washing machines and overseas air purifiers increased, leading to higher sales than the same period last year. On the other hand, operating income was down 19.8% to 7.7 billion yen, due to profit deterioration of imported goods caused by yen depreciation.
We will continue to strengthen local production for local consumption initiatives to minimize the impact of the exchange rate while at the same time work to expand overseas business by promoting products specialized for ASEAN and other emerging countries and by expanding sales systems.
The full year forecast has been revised based on current situations and outlook for the second half.

Sales of Energy Solutions were 142.9 billion yen, a 15.0% decrease from the same period last year, due to decreases in overseas developer projects and decreases in domestic new home construction. The operating loss of 200 million yen was recorded due to the decrease in sales and write-down of project assets of the U.S. solar power generation subsidiary.
We expect improved profitability in the second half due to the absence of temporary expense and the effect of structural reforms in Europe. Furthermore, we will follow through on ordered construction projects that are projected to be completed by the end of the fiscal year to ensure profitability in the second half and the full year plan fulfillment.

Sales of Business Solutions were 164.5 billion yen, up 3.9% over the same period last year, but operating income remained nearly the same at 15.9 billion yen.
We will strengthen the development of solution services centered on distinctive displays, which are our strong point, and MFPs to expand business.
The full year forecast has been revised based on current situations and outlook for the second half.

Sales of LCDs were 460.9 billion yen, a 3.7% decrease from the same period last year. While sales of small- and medium-size LCDs for smartphones and other applications increased, sales of large-size LCDs decreased. On the other hand, the operating income increased dramatically to 20.8 billion yen, 2.4-fold over the same period last year, due to the efforts to increase the production ratio of small- and medium-size LCDs at the Kameyama No. 2 Plant.
In small- and medium-size LCD business, we will attempt to develop a wide variety of clients in rapidly expanding Chinese market, where the new set manufacturers are growing, in order to reduce fluctuations in sales and profits, at the same time work to expand business by strengthening proposals for high-resolution LCDs, such as IGZO and CGS, and unique touch panel solutions that are tailored to customer needs.

Sales of Electronic Devices were 149.7 billion yen, a 1.3% increase over the same period last year, as sales of camera modules for mobile devices increased dramatically. On the other hand, the operating income was in the red at 2.4 billion yen due to deterioration in client and model mixes such as declines in sales of LEDs and ICs for major clients and the delay in entering into the camera module business for Chinese clients.
We are aiming for a return to the black in the second half as a result of optimal positioning of management resources aimed at expanding the fusion business that integrates displays and devices. We will also shift to the high-value-added and growth area, including high-color-rendering LEDs and touch panel solutions, and promote structural reforms and other cost saving measures throughout the entire supply chain.
The full year forecast has been revised based on current situations and outlook for the second half.