Thank you very much for joining us today with our performance briefing on the Q1 of FY March 2022. We really appreciate all of you that joined today. I am going to present about the consolidated business performance. I start with the key points. In Q1 last year, due to the extension of the infections and the COVID-19 pandemic, each country have a lockdown. That would slow down the global economy and leading to the major impacts on the business, too. After the Q2 last year, the social and the production activity in each country have gradually opened. Now we observe that the recovery of the electronics demands, particularly in the digital transformations and energy transformation, later demand have been steady. Our sales was grown by 35.8% year-on-year. Operating income have grown by 67.4% from the year earlier.
Going towards the last Q2, the automotive markets demand have slowed down due to some shortage of the semiconductors, although have been really good until the Q4. Now, the further accelerations of the electrifications of the EV, or that increased the component counts in the vehicles, have pushed up the demand, and now, have been order is steady, and we could expand the sales on our Passive Components and sensors. As for the ICT market, due to the shortage of the semiconductors and also the resurge of the COVID-19 pandemic, and that will lead to the part of the lockdown, the production of smartphone was lower than our initial projections. On the other hand, the demand on the PC and the tablet will continue to be on a high level, and investment in the data center have recovered, leading to the further demand expansion for the servers.
Result of that, the sales of secondary battery, sensor, and HDD head have increased. For the industrial equipment markets, the power supply for the industrial equipments or the Passive Components, the sales have expanded due to that, the more the corporate CapEx based on the recovered production activity. Let me talk about that outline of a business. The impact of the currency fluctuations and the impacts on JPY 21.4 billion in the sales and JPY 1.7 billion of minus impact on the operating income. All in all, the sales was JPY 420.1 billion, JPY 110.7 billion or 35% increase year-on-year. Operating income was JPY 30.8 billion or JPY 12.4 billion, or 67.4% increase from the year earlier. Income before tax was JPY 32.2 billion. Net income was JPY 26.7 billion. Earning per share was JPY 211.09. When it comes to sensitivity to the currency, there was no any change.
Impact on the operating income, the JPY 1 change to the dollar have the JPY 1.2 billion impacts and the JPY 200 million to euro. Let me talk about the segment-wise, the overview of the business in the Q1. Sales of Passive Components was JPY 121.2 billion, 43.6% increase from the year earlier. There's still that very high level of the demand for the automotive markets contributed and also in the industrial equipment markets. It have been really favorable in the renewable energies or the industrial equipments. In ICT markets, although we have just a little less demand for the base stations last year, but now the total 5G related demands are really steady, so then we could recognize on the increases in the revenues in all end businesses. Operating income was JPY 18 billion.
It was a 2.3x as much as last year's substantial increase and operating income margin was 14.9%, making big contribution to the profitability. Excluding the High-frequency Component business, all of the business recognized the increase in both sales and profits. In High-frequency Component products, it's a little less than last year due to the R&D expenses for the new products. Next, Sensor Application Products. The last Q4, we have record high sales, but we have also further substantial increase in the sales this quarter, and the sales was JPY 26.8 billion, 82.3% increase year-on-year. Operating income, also operating profit, we could substantially reduce the operating loss. When it comes to TMR Sensor, have been expanded the business with ICT markets.
On the other hand, the MEMS sensors have successfully expanded the customer and an application basis. They were starting to deliver on all these efforts. The motion sensor and the MEMS microphone, the sales have remarkably increased. Now, we have the improvements of the performance. We could substantially reduce the loss. Just conventional products like temperature and pressure sensor and Hall sensors, will also be recovered due to that, the good demands and the automotive market. We could improve that profitability. On top of that, now we have improved that profitability and the performance, including that structural reform we have implemented the last quarter. Next, Magnetic Application Products. Sales was JPY 60.6 billion. 58.2% increase year-on-year. That operating income turned to be profitable from the big loss we had last year.
HDD head business have been favorable due to the recovery of the investment in the data centers, now server and the demand have increased, the sales volumes of nearline HDD have doubled from the last year. Also, it have over 70% more than we have initial projections of the Q1, that we could eliminate the negative impacts of the closure of the factory of one of our major customers in Q1. We don't have any of the negative effects, now we have advanced a substantial increase in the sales and the profits. As for HDD suspension, now nearline HDD for our major primary customers' data centers have been very favorable, we could secure an increase in both sales and profits.
As with magnets, now sales for the automotive market have remarkably recovered, and the sales for the industrial equipments have also pushed up, and that our sales, we could substantially reduce the loss. Next. Energy Application Products. Sales was JPY 199.6 billion, operating income was JPY 23.4 billion, 27.2% increase in the sales, 25.2% and less in the operating income from the year earlier. As for the secondary batteries, the smartphone, tablet, note PC, and other mobile devices, the businesses have been steady. The mini-cell products, the e-bike, all that's in the home, power storage systems, and we're also in the market are favorable, we have been good business power cell products. When it comes to operating income, now we have that and the positive growth of the income due to that increase the volumes.
Now we need to make the upfront investment for the power cell products, and also with the increase of the raw materials like cobalt, and the operating income was lower than the previous year. When it comes to industrial equipment products and supplies, now we could secure this with increase in both the revenues and profits.
Next is explanation of the reasons for changes in sales and operating income by segment from the fourth quarter of the previous year to the first quarter of the current year. In the Passive Components segment, sales increased by JPY 7.3 billion or 6.4% from the fourth quarter. Operating income increased by JPY 4.8 billion, or approximately 36%, excluding JPY 3.7 billion in one-time expenses incurred in the fourth quarter. Sales increased in all markets, including the automotive market, ICT, and industrial equipment markets, as well as distributors. All businesses posted higher sales and operating income. Next, in the Sensor Application Products segment, sales was JPY 2.9 billion, a 12.1% increase. Operating income improved by JPY 2.4 billion, excluding JPY 4.1 billion in one-time expenses incurred in the fourth quarter. Sales of temperature pressure sensors and Hall sensors increased due to strong demand from the automotive industry.
While TMR sensor sales volume increased for smartphones and MEMS sensor sales increased for motion sensors for smartphones in China and game consoles. As for operating income, TMR sensors, which have good profitability, greatly expanded its revenue, and motion sensors profitability improved substantially due to a favorable turnaround in the customer and product mix, which greatly contributed to the reduction of the overall loss. Next, in the Magnetic Application Products segment, sales increased by 11% to JPY 6 billion, and operating income increased by JPY 1.9 billion, excluding the JPY 5 billion in one-time expenses incurred in the fourth quarter. Sales increased due to a 17% increase in the sales volume of HDD heads and an increase in HDD assembly sales from the fourth quarter. Sales of HDD suspensions remained almost unchanged due to a decrease in application products for smartphones, despite an increase in sales volume for nearline HDDs.
Sales of magnets increased slightly. Operating income for HDD heads improved significantly due to an increase in sales volume, while the operating loss for magnets increased slightly due to the impact of higher raw material prices. In the Energy Application Products segment, sales increased by 6.6% to JPY 12.3 billion, and operating income decreased by 6.4% to JPY 1.6 billion. Sales of secondary batteries decreased, including the impact, excluding the impact of foreign exchange rates related sales increase, and increase in sales due to the passing on the rise of the raw material cost to the selling prices, so-called surcharges. Sales in real terms decreased on a volume basis due to a decline in smartphone products volume, while sales of industrial power supplies increased due to higher demand.
Operating income decreased due to lower sales and profit of rechargeable batteries, including deterioration in capacity utilization due to lower volume and the residual impact of higher material prices. Operating income increased slightly in industrial power supplies. Next is the breakdown of the operating income changes of JPY 12.4 billion. The increase in sales volume in all segments, including Passive Components, had the effect of increasing operating profit by JPY 32.5 billion despite the impact of higher material prices. There was a negative impact of JPY 7 billion due to a sales price reduction, but a JPY 2.4 billion contribution came from cost reductions through rationalization and the effect of structural reform that was conducted in the fourth quarter.
In addition, SG&A expenses increased by JPY 13.8 billion mainly due to the SG&A expenses associated with expansion of rechargeable battery business and increased development expenses from accelerated power cell development. Foreign exchange fluctuations reduced profits by JPY 1.7 billion, resulting in a total operating income increase of JPY 12.4 billion. Next, I would like to give you an idea of the changes in sales for the second quarter of the current year, and comparing that against the first quarter. Sales to the automotive market are expected to remain strong on the assumption that car production will increase from the first quarter. Sales to the ICT market are expected to increase significantly on the assumption that smartphone production volume will increase from the first quarter and that PC and tablet demand will remain strong despite the lingering effects of semiconductor supply shortages.
Demand from the industrial equipment market is also expected to be strong. Based on the above-mentioned trends in the demand in the main markets and excluding the impact of exchange rate differences between the first quarter and second quarters, for the second quarter, we were using the assumption that we have announced initially. This is what we are showing in terms of those changes. If we exclude the exchange rate differences with the Passive Components, sales are expected to increase by between 0% and 3% overall. Sales to the automotive market are expected to remain strong. Sales to the smartphone market are expected to increase significantly in line with the increase in smartphone production, and sales to industrial equipment and distributors are expected to decline slightly.
In Sensor Application Products, sales to the automotive market are expected to remain strong, while sales to the smartphone market are expected to increase by 11%-14% on the back of a significant increase in the number of TMR sensors used and the launch of new products. For Magnetic Application Products, we expect HDD heads for nearline HDDs and suspensions to perform well due to strong demand from data centers. We also expect sales of magnets to increase by 0%-3%, in line with rising demand for automobiles. We expect Energy Application Products to grow 28%-31% on the back of increased demand for smartphones, strong demand for PCs and tablets, and further growth in power cell products. Based on the above mentioned factors, we expect overall sales to increase by 14%-17% in the second quarter compared to the first quarter.
Finally, I would like to explain our full year consolidated forecast, which remains unchanged from the previous forecast we announced in April. In Q1, smartphone production volume was lower than the initial forecast. The rechargeable battery earnings were significantly lower than the initial forecast due to the impact of rising raw material prices. On the other hand, Passive Components, Sensors and Magnetic Application Products supported the overall performance of the company. Looking at the demand trends for the full year, demand from the automotive and industrial equipment markets is expected to remain strong, while demand from the smartphone market is also expected to gradually recover in the second half of the year. Passive Components, Sensor Application Products, and Magnetic Application Products will trend above our initial forecast in Q2 following the trend of Q1.
We expect this to support rechargeable batteries, which are still affected by high raw material prices. We expect the impact of shortages in the supply of semiconductors and the spread of the coronavirus infection, as well as the raw material price trends to remain uncertain. As such, we are maintaining a full year forecast announced at the beginning of the year. Exchange rates, capital expenditure, depreciation, amortization, and research and development costs remain unchanged from the second quarter onwards. The company board of directors today approved a three for one stock split of the company's common stock effective October 1, 2021. As a result of the stock split, the interim dividend forecast remains unchanged at JPY 95 per share as initially announced. The year-end dividend forecast has been changed to JPY 32 per share after the stock split.
On a pre-split basis, the full year dividend forecast is JPY 191 per share, an increase of JPY 1 from the forecast announced at the beginning of the year. That is all from me. Thank you very much for your time.