1st Quarter P/L (Consolidated basis)  
 
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Net sales for the first quarter of this fiscal year were down 7.6 billion yen due to foreign exchange losses as well as SIA’s termination of consignment production for Isuzu despite increased sales volume and improved sales mixture in overseas markets.
Operating income was 1.2 billion yen, increased 1.1 billion compared with the same period of last fiscal year, due to our efforts to offset increased foreign exchange losses caused by the appreciation of the yen and a deterioration of sales mixture by cost reduction and decrease of R&D expenses. Further details on operating income will be provided later.
Ordinary income decreased 2.1 billion yen from the previous year to 0.4 billion yen. This amount included a decrease of 1.1 billion yen in the consolidated adjustment account and a decrease of 1 billion yen in other non-operating income resulting from a gain on revaluation of derivatives. A 2 billion yen increase in non-operating expenses due to a loss on revaluation of derivatives. Therefore a 3 billion yen foreign exchange loss were among the factors contributing to the profit decline.
Net loss for this period was a 1.2 billion yen due to 1.4 billion yen in tax expenses since there are some affiliated companies for which tax effect accounting could not be applied.