TDK Corporation
July 30, 2024
Contact:
TDK Corporation (Tokyo)

IR&SR Group
Atsuo Omagari+81(3)6778-1068

Consolidated results (IFRS) for the 1st quarter of FY March 2025
(Millions of yen, %)Term

Account

Q1 of FY 2024

Q1 of FY 2025

(April 1, 2023 - June 30,(April 1, 2024 - June 30,

2023)

2024)

Amount% to
net sales

AmountChange% to
net sales

Amount%Net sales

503,399100.0

518,809100.0

15,410

3.1

Operating profit

26,302

5.2

57,872

11.2

31,570120.0

Profit before tax

21,012

4.2

69,563

13.4

48,551

231.1

Net profit attributable to ownersof parent

14,725

2.9

59,62711.5

44,902

304.9

Earnings per share:- Basic

38.82yen

157.15yen- Diluted

38.76yen

156.94yen

Purchase of tangible andintangible assets

60,667-42,816-(17,851)(29.4)

Depreciation and amortization

47,4499.4

47,239

9.1

(210)

(0.4)

Research and development
expenses

43,905

8.7

60,96911.8

17,06438.9

Number of employees

102,116-

105,225-

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)［Contents］

1. Summary Information Regarding Financial Results（1） Summary Information Regarding Consolidated Business Results
for the First Quarter of Fiscal 2025

・・

P. 2

・・

P. 7

・・

P. 9

・・

P. 11

・・

P. 11

・・

P. 11

・・

P.12

・・

P.14

（3） Condensed quarterly consolidated statements of changes in equity

・・

P.16

（4） Condensed quarterly consolidated statements of cash flows

・・

P.17

（5） Notes to the condensed quarterly consolidated financial statements

・・

P.19

（6） Appendix to the Consolidated Financial Statements

・・

P.25

（2） Summary Information Regarding Consolidated Financial Position
for the First Quarter of Fiscal 2025
（3） Summary Information Regarding Consolidated Projections

2. Other Information（1） Changes in Significant Subsidiaries（2） Accounting Policy Changes, Accounting Estimate Changes andRestatements（3） Fundamental Policy for Distribution of Earnings,
and Fiscal 2025 Dividends

3. Condensed Quarterly Consolidated Financial Statements
and Primary Notes（1） Condensed quarterly consolidated statements of financial position（2） Condensed quarterly consolidated statements of profit or loss andcomprehensive income1TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

1. Summary Information Regarding Financial Results(1) Summary Information Regarding Consolidated Business Results for the First
Quarter of Fiscal 2025
Consolidated results for the first three months of fiscal 2025, the period from April 1 to June 30,
2024, are as follows.
In the first three months of fiscal 2025, the global economy remained unstable due to the continued
economic slowdown in China and the impact of the unrest in the Middle East, although North
America remained robust, and Europe showed signs of an economic recovery. In terms of exchange
rates, the yen continued to weaken significantly against the dollar and the euro.
Looking at the electronics market, which has a large bearing on TDK’s consolidated business results,
an increase in replacement demand and other factors resulted in a recovery in the production of
products related to information and communication technology (ICT) on a year-on-year basis.
Demand for smartphones, notebook PCs, and tablets was robust. Demand for nearline hard disk
drives (HDDs) for data centers also recovered sharply. In the industrial equipment market, capital
expenditure demand remained weak in general. In the automotive market, demand for battery
electric vehicles (BEVs) showed signs of slowing, resulting in lower component demand than we
had expected at the beginning of the period.
In this business environment, sales in the first three months of fiscal 2025 increased year on year in
the three segments of Passive Components, Sensor Application Products, and Magnetic Application
Products due to a recovery in demand for components in the ICT market, while sales in the Energy
Application Products segment decreased due to lower selling prices caused by a decline in material
prices. As a result, consolidated net sales for the first three months came to 518,809 million yen, up
3.1% year on year.
In terms of profits, operating profit ended at 57,872 million yen, up 120.0% year on year due to the
sharp depreciation of the yen and an increase in the shipments of products for the ICT market, in
addition to other factors such as the rationalization and benefits from restructuring conducted in theprevious fiscal year; profit before tax was 69,563 million yen, up 231.1% year on year mainly due
to approximately 8 billion yen in foreign exchange gains from the depreciation of the yen; and net
profit attributable to owners of parent came to 59,627 million yen, up 304.9% year on year.
In this business environment, the TDK’s consolidated business results for the first quarter of fiscal
2025 were as follows.

2

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

Q1 of FY2024

Item(April 1, 2023 – June 30,2023)(Millions of yen)%

Q1 of FY2025(April 1, 2024 – June 30,2024)(Millions of yen)%

Change(Millions of yen)

Change(%)

518,809 100.0

15,4103.1

Net Sales

503,399

100.0

Operating profit

26,302

5.2

57,872

11.2

31,570120.0

Profit before tax

21,012

4.2

69,563

13.4

48,551

231.1

Net profit attributable to owners of parent

14,725

2.9

59,62711.5

44,902

304.9

Earnings per share:- Basic

38.82yen

157.15yen- Diluted

38.76yen

156.94yen

Average yen exchange rates for the U.S. dollar and the euro during the first quarter of fiscal 2025
were ¥155.82 and ¥167.79, respectively, as the yen depreciated 13.6% against the U.S. dollar and12.3% against the euro. As a result of these factors and fluctuations in foreign exchange rates, net
sales increased by approximately ¥53.8 billion and operating profit increased by approximately¥11.1 billion.

3

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)Sales by ProductQ1 of FY2024

Item

Q1 of FY2025(April 1, 2023 – June 30,2023)(April 1, 2024 – June 30,2024)(Millions of yen)

(Millions of yen)%%

Change(Millions of yen)

Change(%)

Capacitors

62,52012.4

61,492

11.9(1,028)(1.6)

Inductive Devices

47,5499.5

50,810

9.8

3,261

6.9

Other Passive Components

30,6706.1

30,749

5.9

79

0.3

Passive Components

140,73928.0

143,051

27.6

2,312

1.6

Sensor Application Products

38,7877.7

44,080

8.5

5,293

13.6

Magnetic Application Products

38,217

7.6

55,013

10.6

16,796

43.9

Energy Application Products

274,933

54.6

262,92050.7(12,013)

(4.4)

Other

10,723

2.1

13,745

2.6

3,022

28.2

503,399100.0

518,809100.0

15,4103.1

457,560

90.9

476,758

91.9

19,198

4.2

Total
Overseas Sales

Note: In accordance with the reorganization for the three months ended June 30, 2024, certain
products of Other Passive Components are reclassified into Inductive Devices. Thus, the prioryear's figures are also reclassified to conform to the new segmentation.
1) Passive Components Segment
This segment is made up of (1) Capacitors, (2) Inductive Devices, and (3) Other Passive
Components. Sales in the Passive Components segment were ¥143,051 million, up 1.6% year on
year from ¥140,739 million.
Capacitors is made up of Ceramic Capacitors, Aluminum Electrolytic Capacitors, and Film
Capacitors. Sales in the Capacitors were ¥61,492 million, down 1.6% year on year from ¥62,520
million. Sales of Ceramic Capacitors increased to the automotive and the ICT markets, while
decreased to the industrial equipment market. Sales of Aluminum Electrolytic Capacitors and Film
Capacitors decreased to the automotive and the industrial equipment markets.
Sales of Inductive Devices increased by 6.9% year on year from ¥47,549 million to ¥50,810 million.
Sales increased to the automotive and the ICT markets.
Other Passive Components include High-Frequency Devices, Piezoelectric Material Products, andCircuit Protection Components. Sales of Other Passive Components increased by 0.3% year on year
from ¥30,670 million to ¥30,749 million. Sales increased mainly to the industrial equipment
market.
4

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

2) Sensor Application Products Segment
This segment is made up of Temperature and Pressure Sensors, Magnetic Sensors, and MEMS
Sensors. Segment sales increased by 13.6% from ¥38,787 million to ¥44,080 million. Sales
increased to the automotive and the ICT markets, while decreased to the industrial equipment
market.
3) Magnetic Application Products Segment
This segment is made up of HDD Heads, HDD Suspension Assemblies, and Magnets. Segment
sales increased 43.9% year on year, from ¥38,217 million to ¥55,013 million. Sales of HDD Heads
and HDD Suspension Assemblies increased to the ICT market. Sales of Magnets decreased mainly
to the automotive market.
4) Energy Application Products Segment
This segment is made up of Energy Devices (Rechargeable Batteries) and Power Supplies. Segment
sales decreased by 4.4% from ¥274,933 million to ¥262,920 million. Sales of Energy Devices
increased to the ICT market, while decreased to the industrial equipment market mainly due to thetransfer of the business to the joint ventures.
5) Other
Other includes Mechatronics (Production Equipment), Camera Module Micro Actuators for
smartphones, and Others. Segment sales increased by 28.2% from ¥10,723 million to ¥13,745
million. Sales of Mechatronics increased to the industrial equipment market. Sales of Camera
Module Micro Actuators for smartphones increased to the ICT market.
The main businesses making up the four reporting segments and Other, which includes products notincluded in these reporting segments, are as follows:5

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

Segment
Passive Components

Principal businesses and products
Ceramic Capacitors, Aluminum Electrolytic Capacitors, Film Capacitors,
Inductive Devices (Coils/Ferrite Cores/Transformers),
High-Frequency Devices, Piezoelectric Material Products,
Circuit Protection Components

Sensor Application Products

Temperature and Pressure Sensors, Magnetic Sensors, MEMS Sensors

Magnetic Application Products

HDD Heads, HDD Suspension Assemblies, Magnets

Energy Application Products

Energy Devices (Rechargeable Batteries), Power Supplies

Other

Mechatronics (Production Equipment), Camera Module Micro Actuators for
smartphones, Others[Sales by Region]
Overseas sales increased by 4.2% year on year from ¥457,560 million to ¥476,758 million.
Overseas sales accounted for 91.9% of consolidated net sales, a 1.0 percentage point increase from
90.9% in the first quarter of fiscal 2024. Detailed information on sales by region can be found in the
consolidated supplementary information on page 22.

6

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(2) Summary Information Regarding Consolidated Financial Position for the First
Quarter of Fiscal 2025
1) The following table summarizes TDK’s consolidated balance sheet as of June 30, 2024.
Total assets
Total

equityattributableto¥3,683,309 million(7.8% increase)¥1,864,123 million(9.2% increase)owners of parent
Ratio of equity attributable to

50.6%(0.6 point increase)owners of parent
As of June 30, 2024, total assets increased by ¥268,005 million compared with March 31, 2024.
Cash and cash equivalent increased by ¥32,626 million, Also property, plant, and equipment andtrade receivables increased by ¥76,136 million and ¥35,204 million respectively.
Total liabilities increased by ¥110,459 million from March 31, 2024. Other financial liabilities(current) and trade payables increased by ¥38,903 and ¥32,400 million respectively.
Total equity attributable to owners of parent, which is included in total equity, increased by¥156,791 million from March 31, 2024. Other components of equity increased by ¥119,026 million,
mainly from exchange differences on translation of foreign operations.

7

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

2) Cash Flows(Millions of yen)
FY 2024 Q1

FY 2025 Q1

ChangeCash flows from operating activities

57,37972,623

15,244

Cash flows from investing activities(49,521)(55,762)(6,241)

Cash flows from financing activities

15,955(22,354)(38,309)

Effect of exchange rate changes on cash and cash equivalents

26,186

38,11911,933Net decrease in cash and cash equivalents

49,99932,626(17,373)

Cash and cash equivalents at beginning of period

506,185649,998

143,813

Cash and cash equivalents at end of period

556,184

682,624

126,440

Operating activities provided net cash of ¥72,623 million, an increase of ¥15,244 million year on
year. It mainly came from an increase in net profit for the period.
Investing activities used net cash of ¥55,762 million, an increase of ¥6,241 million year on year. It
mainly came from an increase in payments into time deposits.
Financing activities used net cash of ¥22,354 million, changed by ¥38,309 million year on year. It
mainly came from an increase of repayment of long-term borrowings and a decrease in commercial
paper.

8

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(3) Summary Information Regarding Consolidated Projections(Fiscal 2025 Consolidated Projections)
TDK has not changed the following projections for consolidated business results, purchase of
tangible and intangible assets, depreciation and amortization, and research and development
expenses for fiscal 2025, since its announcement on April 26, 2024.
FY2025

FY2024(April 1, 2024 March 31, 2025)(April 1, 2023 March 31, 2024)

Projection in
April '24

Actual(Millions of yen)

(Millions of yen)

(Millions of yen)

2,105,000

2,103,876

1,124

0.1

Operating profit

180,000

172,893

7,107

4.1

Profit before tax

184,000

179,241

4,759

2.7

128,000

124,687

3,313

2.7

250,000

218,589

31,411

14.4

Depreciation and amortization

190,000

190,546

(546)

(0.3)

Research and development
expenses

220,000

188,860

31,14016.5

Item

Net sales

Net profit attributable toowners of parent
Purchase of tangible andintangible assets

vs FY2024
Changes%

Note:
TDK estimates an increase of approximately ¥30.0 billion in research and development expenses in the fiscal 2025, due to apartial reclassification relating to selling, general and administrative expenses.

(Exchange Rate Forecast)
Average yen exchange rates against the U.S. dollar and the euro of ¥140 and ¥156 respectively will
be assumed from the second quarter onward.

9

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

Cautionary Statements with Respect to Forward-Looking Statements
This material contains forward-looking statements, including projections, plans, policies,
management strategies, targets, schedules, understandings, and evaluations about TDK Corporation
and/or its group companies (“TDK”). These forward-looking statements are based on the current
forecasts, estimates, assumptions, plans, beliefs, and evaluations of TDK in light of information
currently available to it, and contain known and unknown risks, uncertainties and other factors.
TDK therefore wishes to caution readers that, being subject to risks, uncertainties and other factors,
TDK’s actual results, performance, achievements or financial positions could be materially different
from any future results, performance, achievements or financial positions expressed or implied bythese forward-looking statements, and TDK undertakes no obligation to publicly update or revise
any forward-looking statements after the issue of this material except as provided for in applicablelaws and ordinances.
The electronics markets in which TDK operates are highly susceptible to rapid changes. Risks,
uncertainties and other factors that can have significant effects on TDK include, but are not limited
to, shifts in technology, fluctuations in demand, prices, interest and foreign exchange rates, andchanges in economic environments, conditions of competition, laws, and regulations.

10TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

2. Other Information(1) Changes in Significant Subsidiaries
Nothing to report.
(2) Accounting Policy Changes, Accounting Estimate Changes and Restatements
Nothing to report.
(3) Fundamental Policy for Distribution of Earnings, and Fiscal 2025 Dividends
TDK recognizes that achieving increase in corporate value over the medium- and long-term
ultimately translates into higher shareholder value. In line with this understanding, TDK’s
fundamental policy is to work to consistently increase dividends through growth in earnings per
share. By actively investing for growth, mainly in the development of new products andtechnologies in key fields so as to respond precisely to rapid technological innovation in theelectronics industry, TDK is aiming to increase a medium- and long-term corporate value.
Accordingly, TDK actively reinvests its earning in business activities and determines its dividends
taking into consideration comprehensive factors, including return on equity (ROE) and dividends onequity (DOE) on a consolidated basis, as well as changes in the business environment, among otherfactors.
TDK has revised the previously released interim dividend forecast from 60 yen and the year-end
dividend forecast from 60 yen based on the stock split which has been resolved at the meeting of theBoard of Directors held on July 30, 2024.
TDK will split one share of its common stock into five shares with the effective date of October 1,
2024. The interim dividend for the Fiscal 2025, with a record date of September 30, 2024, will be
paid on the basis of the number of shares prior to the stock split.
Projected dividends per share for Fiscal 2025 are as follows.
(Yen)
FY2025

FY2024

Forecast

ActualInterim dividend

60.00

58.00

Year-end dividend

12.00

58.00

(Prior to the stock split)(60.00)

Annual dividend(Prior to the stock split)(120.00)

11

116.00TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

3. Condensed Quarterly Consolidated Financial Statements and Primary Notes(1) Condensed quarterly consolidated statements of financial position
March 31, 2024
Amount(Millions of yen)

June 30, 2024%

Amount(Millions of yen)

Change%Amount(Millions of yen)

AssetsCurrent assets
Cash and cash equivalents

649,998

682,624

32,626

Trade receivables

558,298

593,50235,204

Other financial assets

47,052

72,60525,553Inventories

406,084

432,285

26,201

Income taxes receivables

4,828

4,765

(63)

Other current assets

61,71588,26026,545

Total current assets

1,727,975

50.6

1,874,041

50.9

146,066

Non-current assets
Investments accounted for using the

36,99038,201

1,211

Other financial assets

184,425

205,131

20,706

Property, plant and equipment

991,072

1,067,208

76,136

Right-of-use assets

71,33480,036

8,702

Goodwill

168,383

178,572

10,189Intangible assets

57,11456,803(311)

Long-term advances to suppliers

105,941

108,667

2,726

Deferred tax assets

56,18359,411

3,228

Other non-current assets

15,887

15,239(648)

Total non-current assets

1,687,329

49.4

1,809,268

49.1

121,939

Total assets

3,415,304

100.0

3,683,309

100.0

268,005

equity method

12

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)March 31, 2024
Amount(Millions of yen)

June 30, 2024%

Amount(Millions of yen)

Change%Amount(Millions of yen)

Liabilities
Current liabilities
Borrowings

212,907220,456

7,549

Lease liabilities

11,627

11,980353

Trade payables

351,940

384,340

32,400

Other financial liabilities

81,774

120,677

38,903

Income taxes payables

38,74639,000254

Provisions

12,605

12,973368

Other current liabilities

307,291

318,559

11,268

Total current liabilities

1,016,890

29.8

1,107,985

30.1

91,095

Non-current liabilities
Bonds and borrowings

400,259

400,377

118

Lease liabilities

60,94369,0708,127

Other financial liabilities

5,837

5,014

(823)

Retirement benefit liabilities

98,388102,770

4,382

Provisions

13,66014,598938

Deferred tax liabilities

91,616

97,389

5,773

Other non-current liabilities

12,77013,619849

Total non-current liabilities

683,473

20.0

702,837

19.1

19,3641,700,363

49.8

1,810,822

49.2

110,459

Total liabilities
EquityEquity attributable to owners of parent
Share capital

32,64132,641

-

34

25

(9)

1,138,732

1,176,438

37,706

Other components of equity

551,998

671,024

119,026

Treasury shares(16,073)(16,005)

68

Total equity attributable to owners ofparent

1,707,332

50.0

1,864,123

50.6

156,791

7,609

0.2

8,364

0.2

755

Total equity

1,714,941

50.2

1,872,487

50.8

157,546

Total liabilities and equity

3,415,304

100.0

3,683,309

100.0

268,005

Capital surplus
Retained earnings

Non-controlling interests

13

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(2) Condensed quarterly consolidated statements of profit or loss and comprehensive income
Condensed quarterly consolidated statements of profit or loss
Three months ended
June 30, 2023

Three months ended
June 30, 2024

ChangeAmount(Millions of yen)

% to netsales

Amount(Millions of yen)

% to netsales

Amount(Millions of yen)%

Net sales

503,399100.0

518,809100.0

15,410

3.1

Cost of sales(376,393)

Gross profit

127,006

Selling, general and administrative(351,524)
25.2

167,285

24,86932.2

40,279(105,543)(117,044)(11,501)

Other operating income

4,894

7,663

2,769

Other operating expenses

(55)

(32)

23

expenses

5.2

Operating profit

26,302Finance income

6,520

15,483

8,963

Finance costs(11,706)(3,541)

8,165

Share of profit (loss) of investments
accounted for using the equity method

(104)

(251)

(147)

Profit before tax

21,012

Income tax expense(5,754)

Net profit for the period

15,2583.0

60,46011.7

45,202296.3

14,725

2.9

59,62711.5

44,902

304.9

533

0.1

833

0.2

300

56.3

15,2583.0

60,46011.7

45,202296.3

4.2

57,872

69,563

11.2

13.4(9,103)31,57031.7

48,551

120.0

231.1

(3,349)Net profit attributable to:
Owners of parent
Non-controlling interests
Net profit for the period

14

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)Condensed quarterly consolidated statements of comprehensive income
Three months ended
June 30, 2023

Three months ended
June 30, 2024

Amount(Millions of yen)Amount(Millions of yen)

Net profit for the period

ChangeAmount(Millions of yen)

15,25860,46045,202

1,315

5,179

3,864

45

183

138

1,360

5,362

4,002

92,615

112,423

19,808

129

1,296

1,167

92,744

113,719

20,975

Total other comprehensive income, net of tax

94,104

119,081

24,977

Comprehensive income for the period

109,362

179,541

70,179108,986

178,737

69,751

376

804

428

109,362

179,541

70,179Other comprehensive income, net of tax
Items that will not be reclassified to profit or loss
Net change in fair value of equity instruments measured at fairvalue through other comprehensive income
Share of other comprehensive income of investments accounted
for using the equity method
Total
Items that may be reclassified to profit or loss
Exchange differences on translation of foreign operations
Share of other comprehensive income of investments accounted
for using the equity method
Total

Comprehensive income attributable to:
Owners of parent
Non-controlling interests
Comprehensive income for the period

15

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(3) Condensed quarterly consolidated statements of changes in equity
Equity attributable to owners of parent
Three months ended
June 30, 2023

Share capital

Other
Capital surplus Retained earnings components of Treasury shares
equityNoncontrollinginterests

Total

Total equity(Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen)

Balance as ofApril 1, 2023
Comprehensive income forthe period
Net profit for the period
Other comprehensive
income, net of tax
Total comprehensive
income for the period
Transactions with owners
Equity transactions with
non-controlling interests
Dividends paid
Purchase of treasury
sharesShare-based paymenttransactions
Exercise of share options
Total transactions withownersTransfer from othercomponents of equity toretained earnings
Balance as of June 30, 2023

32,64145

1,054,738

387,281(16,259)

1,458,446

4,421

1,462,867--

14,725--

14,725533

15,258---94,261-

94,261(157)

94,104--

14,72594,261-

108,986376

109,362

-

-

-

-

-

-

867

867

-

-

(20,102)--(20,102)-(20,102)

-

-

-

-

(1)

(1)

-

(1)

-

58

-

-

-

58

28

86

-

(35)

-

-

35

0

-

0

-

23

(20,102)-34(20,045)895(19,150)

-

-

45

(45)

-

-

-

-

32,64168

1,049,406

481,497(16,225)

1,547,387

5,692

1,553,079

Noncontrollinginterests

Total equity

Equity attributable to owners of parent
Three months ended
June 30, 2024

Share capital

Other
Capital surplus Retained earnings components of Treasury shares
equityTotal(Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen) (Millions of yen)

Balance as ofApril 1, 2024
Comprehensive income forthe period
Net profit for the period
Other comprehensive
income, net of tax
Total comprehensive
income for the period
Transactions with owners
Dividends paid
Purchase of treasury
sharesShare-based paymenttransactions
Exercise of share options
Total transactions withownersTransfer from othercomponents of equity toretained earnings
Balance as of June 30, 2024

32,64134

1,138,732

551,998(16,073)

1,707,332

7,609

1,714,941--

59,627--59,627833

60,460---119,110-

119,110(29)

119,081--

59,627

119,110-

178,737804

179,541--(22,005)--(22,005)(90)(22,095)

-

-

-

-

(0)

(0)

-

(0)

-

59

-

-

-

59

41

100

-

(68)

-

-

68

0

-

0

-

(9)

(22,005)-

68(21,946)(49)(21,995)

-

-

84

(84)

-

-

-

-

32,64125

1,176,438

671,024(16,005)

1,864,123

8,364

1,872,487

16

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(4) Condensed quarterly consolidated statements of cash flows
Three months ended
June 30, 2023

Three months ended
June 30, 2024

Amount(Millions of yen)Amount(Millions of yen)

Cash flows from operating activities
Net profit for the period

15,25860,460Depreciation and amortization

47,44947,239Impairment losses (reversal of impairment losses)

(519)

(20)

Finance income(6,520)(15,483)

Finance costs

11,706

3,541

Share of profit (loss) of investments accounted for using the equity method

104

251

Income tax expense

5,754

9,103

Decrease (increase) in trade receivables

11,104(3,728)Decrease (increase) in inventories

20,593(7,014)

Decrease (increase) in long-term advances to suppliers

3,123

3,352

Decrease (increase) in other current assets(16,037)(19,872)

Increase (decrease) in trade payables(13,982)

8,680

Increase (decrease) in other current liabilities(18,176)(6,146)

Increase (decrease) in retirement benefit liabilities(4,180)(924)

Decrease (increase) in other financial assets

5,125(5,233)

Increase (decrease) in other financial liabilities

11,900

(418)

Other

(9,534)

8,344

Subtotal

63,16882,132

Interest and dividends received

4,834

5,460

Interest paid

(2,222)(1,949)

Income taxes paid

(8,401)(13,020)

Cash flows from operating activities

57,37972,623

Changes in assets and liabilities:

17

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)
Three months ended
June 30, 2023

Three months ended
June 30, 2024

Amount(Millions of yen)Amount(Millions of yen)

Cash flows from investing activities
Purchase of tangible and intangible assets(60,667)(42,816)

Proceeds from sale of tangible and intangible assets

10,728

7,502

Proceeds from withdrawal of time deposits

16,611

11,720

Payments into time deposits(8,890)(29,458)

10

3

Payment for purchase of securities(2,827)(2,676)

Purchase of investments in associates(4,627)

-

141

(37)

(49,521)(55,762)

Proceeds from long-term borrowings-

108

Repayment of long-term borrowings(1,587)(58,897)

Net increase (decrease) in short-term borrowings(10,381)

61,802

Net increase (decrease) in commercial papers

49,998-

Repayment of lease liabilities(2,980)(3,507)

Dividends paid

(19,962)(21,771)

867

(89)

Cash flows from financing activities

15,955(22,354)

Effect of exchange rate changes on cash and cash equivalents

26,186

38,119Net increase in cash and cash equivalents

49,99932,626

Cash and cash equivalents at beginning of period

506,185649,998

Cash and cash equivalents at end of period

556,184

682,624

Proceeds from sale and redemption of securities

Other
Cash flows from investing activities

Cash flows from financing activities

Other

18

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(5) Notes to the condensed quarterly consolidated financial statements(Notes to going concern assumption)
There are no items to report.
(Reporting entity)
TDK Corporation (“TDK”) is a company limited by shares, domiciled in Japan. Its registered office islocated in Nihonbashi, Chuo-ku, Tokyo.
TDK was founded in Tokyo in 1935 to accomplish the world’s first industrialization of a magnetic
material called ferrite. By pursuing its core technologies, TDK has always been a multinational
developer, manufacturer and distributor of unique and diverse products, including ferrite cores,
inductive devices, ceramic capacitors, magnetic heads, magnets and other products.
TDK and its consolidated subsidiaries (collectively, “TDK Group”) has four reportable segments,
consisting of Passive Components, Sensor Application Products, Magnetic Application Products andEnergy Application Products. Details of the reportable segments are set out in (Segment information).
(Basis of preparation)
1. Compliance with IAS 34
The condensed quarterly consolidated financial statements of TDK Group satisfy the requirements
for Specified Companies Complying with Designated International Accounting Standards defined in
Article 1-2 of the Ordinance on Terminology, Forms, and Preparation Methods of Quarterly
Consolidated Financial Statements in Japan, and have been prepared in accordance with IAS 34 asprescribed in Article 93 of the Ordinance.
These condensed quarterly consolidated financial statements do not contain all the disclosuresrequired for the annual consolidated financial statements and hence should be read in conjunction withthe consolidated financial statements for the fiscal year ended March 31, 2024.
2. Functional and presentation currency
Items included in the financial statements of each of the TDK’s group companies are measured
using the currency of the primary economic environment in which the company operates (“functional
currency”). The condensed quarterly consolidated financial statements of TDK Group are presented inJapanese yen, which is the TDK’s functional and presentation currency. All amounts are rounded to
the nearest million yen.
(Significant accounting policies)
The significant accounting policies adopted in the condensed quarterly consolidated financial
statements are consistent with those adopted in the financial statements for the fiscal year ended March
31, 2024.
The income tax expense for the three months ended June 30, 2024 is calculated based on theestimated annual effective income tax rates.

19

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(Segment information)
1. Description of reportable segments
TDK Group’s operating segments are components of the group for which discrete financial
information is available and whose operating results are regularly reviewed by management to makedecisions about resources to be allocated to the segment and assess its performance.
TDK Group aggregates its operating segments into the following four reportable segments: Passive
Components, Sensor Application Products, Magnetic Application Products, and Energy Application
Products, based on the similarities in the type and nature of products, the nature of production
processes, markets to distribute products, economic indicators and other characteristics. Operating
segments which are not classified as one of these four reportable segments are included in Other.
Principal businesses and products of reportable segments and Other segment are as follows:
Segment

Principal businesses and products

Passive Components

Ceramic Capacitors, Aluminum Electrolytic Capacitors, Film Capacitors, Inductive
Devices (Coils/Ferrite Cores/Transformers), High-Frequency Devices, PiezoelectricMaterial Products, Circuit Protection Components

Sensor Application
Products

Temperature and Pressure Sensors, Magnetic Sensors, MEMS Sensors

Magnetic Application
Products

HDD Heads, HDD Suspension Assemblies, Magnets

Energy Application
Products

Energy Devices (Rechargeable Batteries), Power Supplies

Other

Mechatronics (Production Equipment), Camera Module Micro Actuators for
smartphones, etc.

Accounting policies applied to each segment are the same as those for the condensed quarterly
consolidated financial statements of TDK Group. Intersegment transactions are based on arm’s length
prices.

20

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

2. Information about reportable segments
The reportable segment information for the three months ended June 30, 2023 and 2024 are as follows:(Millions of yen, %)Net sales
Three months ended
June 30, 2023
AmountExternal customers

Passive%Amount140,73928.0

Change%143,051

Amount
27.6

%

2,312

1.6

2,001

971

(1,030)(51.5)

Total

142,740

144,022

1,282

0.9

SensorExternal customers

38,787

5,293

13.6

Application

Intersegment

Products

Components

Intersegment

Three months ended
June 30, 2024

7.7

44,080

8.5

430

109

(321)

(74.7)

Total

39,21744,189

4,972

12.7

Magnetic

External customers

38,217

16,796

43.9

Application

Intersegment

Products

7.6

55,013

10.6

32

16

(16)

(50.0)

Total

38,24955,02916,78043.9

EnergyExternal customers

274,933(12,013)(4.4)

Application

Intersegment

Products

54.6

262,920

50.7

0

1

1

-

Total

274,933

262,921(12,012)(4.4)

External customers

10,723

3,022

28.2

Intersegment

1,477

1,492

15

1.0

Total

12,20015,237

3,037

24.9

Intersegment elimination(3,940)(2,589)

1,351

Total

503,399

Other

2.1

100.0

13,745

2.6

518,809

100.0

Segment profit (loss)

3.1(Millions of yen, %)Three months ended
June 30, 2023
AmountPassive Components

15,410Three months ended
June 30, 2024

% to net sales

AmountChange% to net sales

Amount%14,126

10.0

13,910

9.7

(216)

(1.5)

Sensor Application Products

647

1.7

(663)

(1.5)

(1,310)-Magnetic Application Products(9,653)(25.3)

758

1.4

10,411-

Energy Application Products

32,18711.7

55,33221.0

23,145

71.9

Other

(1,184)(11.0)

(121)

(0.9)

1,063

-

Subtotal

36,123

7.2

69,216

13.3

33,093

91.6

Adjustment(9,821)

Operating profit

26,302(11,344)
5.2

57,872(1,523)
11.2

31,570120.0

Segment profit represents a segment’s sales less its cost of sales, selling, general and administrative
expenses and other operating income and expense that are not attributable to Corporate headquarters.
Segment profit is mainly adjusted for corporate expenses for company-wide operational andadministrative purposes that are not allocated to operating segments.

21

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

3. Geographic segment information
The geographic segment information for the three months ended June 30, 2023 and 2024 are as follows:
Net sales
Three months ended
June 30, 2023
45,83939,95554,406
269,489
93,710503,399

Japan
Americas
EuropeChina
Asia and others
Total

The net sales are based on the location of external customers.

22(Millions of yen)Three months ended
June 30, 2024
42,05135,79446,358
270,594
124,012518,809TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(Significant subsequent events)
Stock split and partial amendment to the articles of incorporation
TDK Corporation (“the Company”) has resolved at the meeting of the Board of Directors held on
July 30, 2024, the stock split and partial amendment to the articles of incorporation.
1. Purpose of the stock split
The Company plans to conduct the stock split and lower the amount per an investment unit
for the purpose of making it easier for investors to invest and expanding the investor base.
2. Outline of the stock split(1) Method of the stock split
The Company will split one share of its common stock owned by shareholders entered or recorded in
the last shareholder registry as of September 30, 2024 into five shares.
(2) Number of shares to be increased by the stock split
Total number of shares issued before the stock split

388,771,977

Increase in the number of shares upon the stock split

1,555,087,908

Total number of shares issued after the stock split

1,943,859,885

Total number of shares issuable after the stock split

7,200,000,000(3) Schedule of Stock Split
Public notice of record date

September 10, 2024

Record date

September 30, 2024

Effective date

October 1, 2024

(4) Impact on per share information
Based on the assumption that the stock split was conducted on April 1, 2023, the per share informationfor Q1 of FY2024 and FY2025 is as follows.
(Yen)(Basic)Net profit attributable to owners of parent(Diluted)
Net profit attributable to owners of parent

Q1 of FY2024

Q1 of FY2025(April 1, 2023 –(April 1, 2024 –June 30, 2023)

June 30, 2024)
7.76

31.43

7.75

31.39

(5) Other
The stock split will not result in a change to the amount of stated capital.
23

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)

3. Partial amendment to the articles of incorporation(1) Reasons for the amendment
In line with the stock split, pursuant to the Article 184, paragraph 2 of the Companies Act of Japan, theCompany will amend as of October 1, 2024, the total number of shares issuable set by Article 6 in the
Articles of Incorporation of the Company.
(2) Details of the amendment
Details are as follows.

(Updated contents are underlined.)

Current Articles of Incorporation

After the amendment(Aggregate Number of Issuable Shares)(Aggregate Number of Issuable Shares)

Article 6.

Article 6.

The total number of shares that the Company may The total number of shares that the Company may
issue shall be 1,440,000,000 shares.

issue shall be 7,200,000,000 shares.

(3) Schedule of the amendment to the Articles of Incorporation
Date of resolution by the Board of Directors: July 30, 2024
Effective date:
October 1, 2024

24

TDK Corporation (6762) FY 2025 First Quarter Financial Results (IFRS)(6) Appendix to the Consolidated Financial Statements
1) Foreign exchange rates
Term

Q1 of FY 2024

Q1 of FY 2025

FY 2024

June 30, 2023

June 30, 2024

March 31, 2024

Item

US$=¥

EURO=¥

US$=¥

EURO=¥

US$=¥

EURO=¥The end of the period

144.99157.60161.07172.33151.41163.242) Quarterly sales by product(Millions of yen, %)Term

Product category

Q1 of FY 2024

Q2 of FY 2024

Q3 of FY 2024

Q4 of FY 2024

(April 1, 2023 –(July 1, 2023 –(October 1, 2023 –(January 1, 2024 –June 30, 2023)

September 30, 2023)

December 31, 2023)

March 31, 2024)

AmountAmountAmount%%%Amount%Capacitors

62,52012.4

62,627

11.3

59,401

10.6

60,49912.5

Inductive Devices

47,5499.5

50,582

9.1

50,671

9.1

48,266

10.0

Other Passive Components

30,670

6.1

32,222

5.7

30,8955.5

29,747

6.1

Passive Components

140,73928.0

145,43126.1

140,967

25.2

138,512

28.6

Sensor Application Products

38,7877.7

47,266

8.5

49,2498.8

45,2099.3

Magnetic Application Products

38,217

7.6

44,8378.1

49,3008.8

51,857

10.7

Energy Application Products

274,93354.6

303,99054.6

304,54554.5

238,194

49.1

Other

10,723

2.1

14,788

2.7

15,1892.7

11,143

2.3

503,399100.0

556,312100.0

559,250100.0

484,915

100.0

Total

(Millions of yen, %)Term

Q1 of FY 2025
(April 1, 2024 –June 30, 2024)

Product category

Amount%Capacitors

61,492

11.9

Inductive Devices

50,810

9.8

Other Passive Components

30,7495.9

Passive Components

143,051

27.6

Sensor Application Products

44,0808.5

Magnetic Application Products

55,013

10.6

Energy Application Products

262,920

50.7

Other

13,745

2.6

518,809

100.0

Total

Note: In accordance with the reorganization for the three months ended June 30, 2024, certain products of
Other Passive Components are reclassified into Inductive Devices. Thus, the prior year's figures are also
reclassified to conform to the new segmentation.

25