Red incident light is reflected on a mirror (19) and linearly polarized by a polarizer (26R). Linearly polarized incident light enters a transmissive liquid crystal device (11R), in which oblique incident light is changed into elliptically polarized light. A retardation compensator (27R) between the liquid crystal device (11R) and an analyzer (28R) has an inorganic form birefringence layer. The retardation compensator (27R) yields birefringence effect to change elliptical polarized light into linearly polarized light. Linearly polarized light from the retardation compensator (27R) can pass the analyzer (28R) without decreasing intensity, and enters a color recombining prism (24). The liquid crystal device (11R) may have the inorganic form birefringence layer. Retardation in green and blue light is also compensated in the same manner. Red, green and blue image light, mixed in the color recombining prism (24), is projected onto a screen 3 by a projection lens system (25).