Results Briefing
for the Year Ended March 31, 2014
May 20, 2014

TODA CORPORATION
1This report contains forward-looking statements regarding Toda
Corporation and the Group’s corporate plans, strategies, andbusiness forecasts.
These statements include Toda Corporation’s forecasts basedon information currently available as of the announcement date,
which are subject to a number of risks and uncertainties.
Therefore, the actual results or developments may differ fromthose presented in these forward-looking statements due tochanges in various factors.

2

Today’s Schedule

1. Summary of Financial Results
Executive Manager Yushi Kikutani

2. Management Initiatives
President Masanori Imai

3

1. Summary of Financial Results

Executive Manager Yushi Kikutani

41-1. Summary of Financial Results
for the Year Ended March 31, 20145

Highlights: FY2013
 Consolidated Net Sales: ¥448.9 billion, down 9.7% year-on-year： Net sales fell 9.7% year-on-year to ¥448.9 billion, as completedconstruction contracts at the Company and domestic
subsidiaries declined

 Operating Income: ¥4.7 billion, up ¥51.7 billion year-on-year： Operating income came to ¥4.7 billion, as gross profit oncompleted construction contracts improved due to adoption of
profitability-oriented order receipt policy in the previous fiscalyear and prudent estimate of construction profits.

 Orders Received (non-consolidated): ¥454.4 billion, up 34.0%
year-on-year： Orders received rose 34.0%, as large-scale redevelopment
projects in architectural construction and orders for railway androad civil engineering projects in public sector increased.

6

Summary:FY2013(Millions of yen)

FY2013
FY2012

Forecasts(announcedon Feb 13,2014)

Actuals

Change(year onyear)

Difference(vs. forecast)

Consolidated
net sales

497,048450,000

448,987-9.7%-1,013Operating income(loss)(46,997)

4,700

4,782－

82

Ordinary income(loss)(45,581)6,000

6,584－584

Net income (loss)(65,285)

10,000

10,228－228

Orders received

339,067

415,000

454,405

34.0%

39,405(Non-consolidated)7

Main Orders Received
Ordering Parties
ArchitecturalConstruction

CivilEngineering

Name of Works

Mitsubishi Estate Co., Ltd., etc.

Otemachi 1-chome No.3 District category 1 urban
redevelopment

Hiroshima Station South Exit C-block
Urban Redevelopment Union

Hiroshima Station south exit C-block category 1 urban
redevelopment

Federation of National Public Service
Personnel Mutual Aid Associations

Overall Support Center for the elderly, Kudanzaka Hospital

Japanese Red Cross Society

Renovation and building of a new addition to the Japanese Red
Cross Tottori Hospital

National Hospital Organization Kyushu
Cancer CenterConstruction of Kyushu Cancer Center

Tsukuba Memorial Association

Extension of Tsukuba Memorial Hospital central block

Tohoku Regional Development Bureau,
Ministry of Land, Infrastructure andTransport

National Road 45 Shimoakka Road

Japan Railway Construction, Transportand Technology Agency

Hokkaido Shinkansen Line Tateiwa Tunnel

Urban Renaissance Agency

FY2013 Yamada district, et al. land readjustment

East Nippon Expressway Company,Limited

Higashi-kanto Expressway Momiji work

*Honorific prefixes are omitted. Work names are abbreviations.

8Main Works Completed
Ordering Parties
ArchitecturalConstruction

CivilEngineering

Name of WorksJGC CORPORATION

Mental health center maintenance and operation

Nintendo Co., Ltd.

Ｎ New office building construction

Saitama Prefectural Government

Saitama Cancer Center new hospital

MORI TRUST CO., LTD.

Kyobashi Trust Tower

Kinki Regional Development Bureau,
Ministry of Land, Infrastructure andTransport

Kyoto National Museum The Collections Hall

Osaka Heart Care Partners

Osaka Psychiatric Medical Center reorganization andmaintenanceMiyagi Prefecture

Disaster waste disposal

West Nippon Expressway Company,
LimitedHigashi-kyushu Expressway Izumi Work

Kanto Regional Development Bureau,
Ministry of Land, Infrastructure andTransport

Chubu Odan Daigoyama Tunnel Part 2West Nippon Expressway Company,
LimitedHigashi-kyushu Expressway Nobunaga Work

*Honorific prefixes are omitted. Work names are abbreviations.

91-2. Details of Financial Results

10(Consolidated) Toda GroupBusinessSubsidiaries in Japan

Overseas Subsidiaries

APEC Engineering Co., Ltd.

Construtora Toda do Brazil S/A

Chiyoda Kenkou Co., Ltd.

Toda Construction (Shanghai) Co., Ltd.

Construction

Architectural
Construction

14 companies

8companies

Thai Toda Corporation Ltd.
Toda Vietnam Co., Ltd.
TODA Philippines, Inc.

CivilEngineering

Real Estate

1company

Toda Road Co., Ltd.

Toda Bldg. Partners Co., Ltd.

ABTD, inc.

Toda America, Inc.

2companies

Toda Finance Co., Ltd.
Other

Chiyoda Staff Service Co., Ltd.

3
companies

Towa Kanko Kaihatsu Co., Ltd.

11

(Consolidated) Summary of Group Performance
FY2013Toda Corporation

Billions of yen%Net sales

409.5

Gross profit

23.0

Selling, general andadministrative expenses
Operating income
Non-operating income
Ordinary income

Subsidiaries total%

18.3
4.6

2.8

448.9
5.0

2.7
1.1

1.5
6.2

%

57.9
5.6

0.1

0.2

25.4

0.3

4.7

0.5

6.5

3.0

1.3

4.4

Income before income taxes

9.2

1.6

11.0

0.0

0.4

0.8

Net income

9.2

2.3

1.1

5.7

1.11

1.1

1.02

1.5

1.05

2.3

1.11

1.8

Extraordinary income

Income taxes

1.10

20.6

0.1
1.5

Ratio ofconsolidated
results
to nonconsolidated
Results

FY2013
consolidated

2.010.2

12(Consolidated) Statements of Income
FY2012 (actual)
Billions of yen%

Net sales

497.0

Gross profit (loss)(24.6)

Selling, general andadministrative expenses
Operating income (loss)
Non-operating income
Ordinary income (loss)

FY2013 (actual)

％

448.9
-5.0

25.4

5.7

-9.7

427.0

―

26.4

20.6
-9.5

1.4(45.5)

FY2014 (forecast)%

22.3(46.9)

Changes

4.7

22.5
1.1

―

1.8
-9.2

6.5

3.9

1.5

―

5.3

(2.2)

4.4

0.0

Income (Loss) before incometaxes(47.8)

11.0

5.3

Income taxes17.4

0.80.6

Net income (loss)(65.2)

10.2

0.9

1.4

Extraordinary income(loss)

-13.1

6.2

2.3

―

4.7

1.2

1.1

13

(Consolidated) Net Sales and Operating Income (Loss)by Segment
Net Sales(Billions ofyen)

600
500

Operating Income (Loss)

Architectural Construction
Real Estate and Other

502.8

453.5

15.4

Civil

88.5

15.7
14.0

00

Architectural
Construction

Architectural
Construction

FY2012

11.7

2.4

1.2

3.9
5.8

1.4

Architectural
Construction

10.5

347.0

413.0

FY2013

FY2014(forecast)* Net sales by segment include intersegment transactions.

ArchitecturalConstruction(41.8)
(30)
(300)

1000

12.1

90.6(150)
(15)

398.9

(41.3)

Real Estateand Other

300
200

150
15

Real Estateand OtherEngineering

400

427.0

Architectural Construction
Civil Engineering
Reall Estate and Other(Billions ofyen)

Civil Engineering

(45)
(450)

CivilEngineering

FY2012(0.9)

FY2013

FY2014(forecast)* Companywide expenses are not included in operating
income (loss) by segment.

14

(Consolidated) Breakdown of Net Income Increase(Billions of yen)

200201001000

Extraordinary
income (loss)+6.7-100(10)
Decline inincome taxes+16.5-200(20)-300(30)(65.2)-400(40)-500(50)

Other+2.2

10.2

SG&A reduction +1.7

Gain on sale of investment securities+2.3
Decline in loss on valuation of investment securities+1.6
Decline in provision for loss on litigation+0.9-600(60)-700(70)
25/3
FY2012Gross profit+50.0

FY2012 (24.6)
FY2013 +25.4

FY201326/3
15

(Consolidated) Change in SG&A
(Billions of yen)

Consolidated

Non-consolidated

300
30

5.3%
(consolidated)
4.5%

20020

SG&A ratio

4.6%
22.5

22.3
20.1

6.0%

20.64.0%
19.5

18.3

1002.0%00

0.0%

10FY2012

FY2013

FY2014 (forecast)16

(Consolidated) Balance Sheets(Billions ofyen)

Assets500.1

Current
assets
271.8

-26.6

-27.7

473.5

Current
assets244.0

Liabilities and Net Assets
500.1

-26.6
473.5

Current
liabilities
293.9

-35.2

Noncurrent
liabilities-5.2

Current
liabilities
258.7

Noncurrent
liabilities

Noncurrent
assets

78.1

72.8

228.3

229.4

Net
assets128.0

Net
assets141.8

JanMar2013
13JanMar2014
14Jan-13
Mar 13

Noncurrent
assets

+1.1

24.7％

(Billions ofyen)+13.7

Jan-14Mar
14
Equity ratio

29.1％

17(Consolidated) Change in Investment Securities
Book value

Valuation difference

Nikkei stock average(Billions of yen)

Stock price (yen)

2000
200

14,827

16,000147.5

12,000

Valuationdifference
70.4

8,000

12,397
1500
150

1000
100

500
50

00

9,755

10,083

110.2

110.7

27.7

26.3

82.5

84.3

Mar 11Mar 12

143.3
60.4

82.8

Mar 13Book value
77.1

Mar 144,000

018

(Consolidated) Change in Interest-Bearing Liabilities
Short-term(Billions of yen)

Long-term

1000
100

800
80

73.4

70.0

-7.8
65.560060

57.5

20.6

13.2

20.4
400
4052.752.3

2002037.000

Mar 12Mar 13Mar 14

FY2014 (forecast)

11.8％

14.7％

13.8％

ー

Ratio of interestbearing liabilities

19

(Consolidated) Change in Provision for Loss on
Construction Contracts
Architectural Construction(Billion of yen)

25
250

Civil Engineering

23.1
Civil Engineering

2.2

200
20-7.6

15.5
150
15

14.0
2.8

100
1050500

2.1
ArchitecturalConstruction

20.9
13.4

11.2

Mar 12

Mar 13

Mar 1420

(Consolidated) Statement of Cash Flow
(Billions of yen)

62.0

+14.0
48.0

Increase in fund Decrease in fundCash and cash
equivalents atbeginningof period

Income before income taxes
Notes and accounts receivable-trade
Notes and accounts payable-trade
Costs on uncompleted construction contracts
Loss (gain) on sales of securities

12.1

11.4

Operating CF

Investing CF(March 31, 2013)
Sale of stocks+10.1
Sale of property, plant andequipment+3.1
Purchase of property, plant andequipment
(1.6)

+11.0
+41.0
(37.9)(2.4)(4.1)

Cash and cash
equivalents
at end ofperiod(10.2)(March 31, 2014)

Financing CF
Redemption of commercialpapers(11.0)
Dividends paid(1.5)

211-3. Performance Forecasts

22Forecasts for FY2014 (Year Ending March 31, 2015)

FY2014FY2013(Billions of yen)

Forecasts

Change(year on year)

Consolidated net
sales

448.9

427.0

-4.9%

-21.9

Operating income

4.7

3.9

-18.5％-0.8

Ordinary income

6.5

5.3

-19.5％-1.2

Net income

10.2

4.7

-54.1％-5.5

Orders received(Non-consolidated)

454.4

360.0

-20.8%-94.4

23

(Non-consolidated) Forecasts
for the Construction Business(Billions of yen)Orders Received forConstruction

Net Sales of CompletedConstruction Contracts

Gross Profit Margin on Completed
Construction Contracts

(%)

454.4
97.1

360.0
80.0

401.2
CivilEngineering

86.4

383.5
85.5

7.7
7.0

CivilEngineering

5.3
4.9

5.1
4.5
357.2
280.0

Architectural
Construction

314.8

298.0

Architectural
Construction

Architectural Construction
Civil Engineering
Total

FY2013

FY2014(forecast)

FY2013

FY2014(forecast)

FY2013

FY2014(forecast)24

Non-consolidated Forecasts for FY2014
Amount(billions of yen)

Profitability（％）

Net sales

390.0

Gross profit

22.5

5.8

Profits in the construction
business

20.5

5.3

[Architectural construction][14.5][4.9][Civil engineering]

[6.0]

[7.0]

Profits in the real estate business2.030.8

Selling, general and administrative
expenses

19.5

Operating income

3.00.8

Ordinary income

4.3

1.1

Extraordinary income
Net income

Gain on sales ofinvestment securities

04.2

1.1
25

2. Management Initiatives

President Masanori Imai

26

Positioning of Each Term
FY2012FY2013

Implementation of improvement measures
Ensure stringent selection of orders
Reinforce order management system
Closely manage construction profitability,etc.

Operating income
ratio-9.5％

1.1％FY2014

Recovery

FY2015

A resilient
Toda Corp.

Implementation ofreforms
Sales strategy
Business process reform
Human resources strategy, etc.

0.9％

2.0％

(forecast)(medium-term goal)27

2-1. Results and Recognition of Current
Situation28

Improve Performance and Financial Condition

Secure business profitability by ensuring
implementation of improvement measures
Operating income (loss)
Becameprofitable

Equity ratio[ ] denotes
operatingincome ratio

4.7

34.4（％）(billions of yen)

[1.1％]

29.1
24.7

Operating loss for two
consecutive years(7.9)[-1.6％]

Improvement(46.9)[-9.5％]FY2011FY2012FY2013

FY2011FY2012FY201329Order Composition Ratio (Non-consolidated)
Received stable orders from Medical welfare, Officebuildings and Road categories
Architectural Construction

Civil Engineering (by construction category)(by construction category)

(%)

21.3

32.4

10.0
16.0

Note:

Other

Other

Housing

Soil and riverconservationLand
reclamation

Officebuildings

9.0

Production
facilities

13.6

Education
research

27.3

21.9

FY2012FY2013

(%)

12.9
14.3

Water andsewage

10.9

Railways

40.6

46.2

Roads

FY2012FY2013

6.4

Medicalwelfare

denotes priority areas.

30Completed Construction Composition Ratio(Non-consolidated, Architectural Construction)
Construction completed (by year)(billions of yen)
[ ] denotes net sales of completed
construction contracts[314.8][298.0]FY2013

FY2014

100%
80%
60%

Orders from FY2011 and before, aperiod in which large, unprofitableprojects were concentrated,declined.

FY201240%
20%0%Operating margin upon receipt oforders in FY2013 improved thanks
to stringent selection of orders.

FY2011
andbefore

FY2013

Construction work orders
received in FY2013
contributed main part ofearningsFY2014(forecast)31

Reform of Head Office Structure (as of Jan 1, Apr 1)
Four new organizational entities set up for
realizing the policy*All equivalent to supervisory or business divisions[Structure for realizing the policy][Policy]
Toda Corporation as avaluable company
Strengthening ofstrategic fields
Environment &Energy
Investment &Development

InternationalGroup
companies

Value Creation Promotion
OfficeOverseas Business Division
Investment & Development
Project OfficeGroup Control Office32

Restructuring Aftercare Business

Strengthen initiatives overconstruction life cycle
New construction, extension andrenovation, RN

Toda CorporationEstablishment of Customer
Center and StockManagement Dept.

Building management, RN

Creation ofnew value

Toda Bldg. Partners
Merger of Chiyodatochitatemono Co., Ltd.
and Toda Reform Co., Ltd.
*Restructuring and strengthening ofGroup companies

Collaboration from the sales aspect
Sharing of information base33

Summary of FY2013
Shifted focus to concrete activities aimed atreviving earning power
Issues and successes of FY2013
1. Take all possible
measures to ensureprofitability
2. Revive earning power

Ensure profits, improvefinancial standing
Rebuild internal
infrastructure(Structural reform, restructuring ofgroup companies, etc.)34

2-2. Initiatives for FY2014

35

Future Direction: Value Creation
Improve corporate value(social responsibility, performance improvement)

Value for customers

Productivity（Select orders, solutions)(Process, support tools)
Human resources
value(Cultivate human resources,right person in right position)
36

Positioning of New Organization
Ensure responsibilities and promotion structure thatwould realize value creation
Established

Value for customers

Sep 2013

Customer center

Jan 2014

Investment & Development
Project Office

Productivity

Human resources value

Value Creation Promotion OfficeGroup Control OfficeMarApr

Stock Management Dept.

BIM-CM Office

Engg. & Design Dept.

Risk Management
OfficeHuman Resources
Strategy Office

Overseas BusinessDept.
37

Productivity Improvement
Benchmarks per employee (Non-consolidated; FY1991=100)
Added value per employee=labor productivity

Even as the work remained
busy on site, the current
situation came about without
effective productivity
improvement measures

Net sales per employee

78.4

57.6

FY1989FY1993

FY1998FY2003

FY2008

Necessity ofreforms

FY201338

Implementation of BPR(Business Process Re-engineering)
Review the business process and further streamline itusing ICT (information and communication technology)

BPR

Completein 3 years

Rebuild from zero

Rebuild ICT
Draft and implement
medium-term plan

Project implementation being led by
Value Creation Promotion Office (ICT Strategy Unit)* BPR: Business Process Re-engineering
ICT: Information and Communication Technology39

Strategic area

Overseas and Real Estate Businesses
Performance Forecast

Target for FY2015: Net sales of ¥30.0 billion

Target for FY2015: Gross profit of ¥4.0 billion

Net sales of overseas construction(consolidated)

Income from real estate, etc.
(consolidated)Line graph signifies net orders received

25.0

23.2

19.5FY2013

FY2014(forecast)(billions of yen)(billions of yen)

Note:

15.3

3.3

3.6

FY2013

FY2014(forecast)

FY2014 estimated rate: US$1=¥103.040

Strategic area

Overseas Business: Regional Strategy
Overseas construction orders received(by region)[15.3 billion yen][25.0 billion yen]

1.5
(billions of yen)

Sluggish growth, politicalinstability, weak yen

0.6
5.1
1.1

8.5

Southeast
Asia

2.0

China

Focus on local hospitals andschools in addition to production
facilities of Japanese and nonJapanese businesses.
In the medium-term, we plan toenter the civil engineering fieldwith an eye on M&As, etc.

[Southeast Asia]
13.0

8.2

FY2013

ODA, etc.

[Brazil]

FY2014(forecast)Brazil

Focus on unearthing the latentneeds for entry of Japanesecompanies
Implement re-assessment ofeach region and local branchwith Thailand as the base41

Strategic area

Environmental Initiatives
Power generation fromfloating offshore wind turbines

2MW Demonstration unit (Goto, Nagasaki)

Demonstration project aimed atcommercialization in progress

Marine inverse dam

Conceptual rendering

Established a consortium to realize
the project42

Performance TargetsOperating income ratio

Implementation ofreforms

2.0（％）

1.10.9Extension ofstatus quo

FY2013

FY2014(forecast)

Implement reforms
with the aim ofachieving goals
Implement structural andoperational reform and build
a structure that would
increase profits steadily.

FY2015(target)43

Strengthening the Functions of the Board of Directors
Ensure Firm Governance for Sustainable GrowthAppointment of two external directors
Establish Human Resources Committee

Note:

Director appointment plan to be discussed at the 91st ordinary general meeting of shareholders.
Members of the Human Resources Committee to be appointed in the Board of Directors meeting
to be held following the ordinary general meeting of shareholders (committee chairman: externaldirector).

44

45