DENSO Announces First-Quarter 2006 Financial Results

Global Consolidated Net Sales Rise 13.6 Percent

TOKYO, July 27 -- DENSO Corporation today announced global financial results for the first quarter ended June 30, 2006:

   * Consolidated net sales totaled 856.2 billion yen (US$7.4 billion), a
     13.6 percent increase from the first quarter of last term.
   * Operating income totaled 82.5 billion yen (US$717.4 million), a 16.0
     percent increase from the first quarter of last term.
   * Income before income taxes and minority interests for the period
     totaled 89.9 billion yen (US$781.7 million), a 36.6 percent increase
     from the first quarter of last term.
   * Consolidated net income totaled 58.5 billion yen (US$508.7 million), a
     62.5 percent increase from the first quarter of last term.

"We are pleased with the favorable financial results for this first quarter," said Koji Kobayashi, managing officer of DENSO Corporation. "The increase in domestic car production supported by growing export from Japanese auto manufacturers, and the increase in sales overseas contributed to increased sales."

In Japan, strong domestic car production contributed to the increased sales, which totaled 597.2 billion yen (US$5.2 billion), an 11.6 percent increase from the first quarter of last term. Operating income totaled 58.6 billion yen (US$509.6 million), a 9.3 percent increase from the first quarter of last term, due to the increase in production volume and cost reduction efforts.

In North, Central and South America, combined sales for those regions totaled 192.3 billion yen (US$1.7billion), an 18.9 percent increase from the first quarter of last term and operating income totaled 8.6 billion yen (US$74.8million), a 5.7 percent increase from the first quarter of last term. The sales increase was led by increased sales to auto manufacturers such as Toyota and GM.

In Europe, increased sales of car air conditioners and diesel common rail injection systems led to a rise in sales to 125.0 billion yen (US$1.1billion), a 19.4 percent increase from the previous period. A rise in production volume in Hungary and the Czech Republic led to an increase in operating income totaling 3.2 billion yen (US$27.8 million).

In Asia and Oceania, sales totaled 108.3 billion yen (US$941.7 million), a 19.7 percent increase from the first quarter of last term, and operating income totaled 10.9 billion yen (US$94.8 million), a 26.1 percent increase from the same period last term. Strong production for Japanese auto manufacturers in Thailand and China led to the increase in both sales and operating income.

DENSO Corporation, headquartered in Kariya, Aichi prefecture, Japan, is a leading global supplier of advanced technology, systems and components. Worldwide, the company employs approximately 106,000 people in 32 countries and regions, including Japan. DENSO common stock is traded on the Tokyo, Osaka and Nagoya stock exchanges in Japan. For more information, go to http://www.globaldenso.com/ or visit our media website at http://www.densomediacenter.com/.

(Notes)

U.S. dollar amounts have been translated, for convenience only, at the rate of 115 yen = US$1, the approximate exchange rate prevailing on June 30, 2006. Billion is used in the American sense of one thousand million.