FY2015 Financial Results

May 8, 2015

Ⅰ．Financial Summary

1 / 31

Financial Summary<FY2015>

1. Net sales, operating income, ordinary income and net income
marked record highs

2. The favorable results of the materials handling equipment segment
and car air-conditioning compressor business contributed tothe consolidated financial results

3. Increase in net sales and operating income expected for FY 2016
forecast

2 / 31

Performance <FY2015>(Billion yen)
FY2014FY2015

Change2,007.8

2,166.6

158.8

7.9%

Operating income

107.6

117.5

9.9

9.2%

Ordinary income

138.1170.832.7

23.7%

Net income

91.7

115.2

23.5

25.7%

Net incomeper share¥292.76¥367.06¥74.30

-

¥85

¥110

¥25-

Year-end

¥50

¥60

¥10-

Consolidated
payout ratio

29.0%

30.0%

--

Net sales

Dividends per share

・Net sales and income increased
・The materials handling equipment segment and the car air-conditioning compressor
business have driven the financial results
・Revised the distribution of a year-end dividend from ¥50 per share to ¥60 per share
3 / 31

Performance <FY2015>(Billion yen)

FY2014FY2015

ChangeCapitalExpenditures

109.4

126.3

16.915.5%

Depreciation

64.1

70.7

6.6

10.3%

\/US$

¥100

¥110

¥10-\/Euro

¥134

¥139

¥5-

・Capital expenditures increased mainly in the car air-conditioning compressor
and the engine businesses
・Depreciation increased with an increase of capital expenditures
4 / 31

Performance <FY2015>(Billion yen)

As of March As of March
31, 2014
31, 2015

ChangeTotal assets

3,799.0

4,650.8

851.8

22.4%

Total net assets

1,829.3

2,425.9

596.6

32.6%

¥5,640.08 ¥7,500.16¥1,860.08-

Total net assets
per share
Equity ratio

46.6%

50.7%

--Consolidated
subsidiaries

215

214(1)-・Total assets and total net assets increased due to an increase in market valueof investment securities

5 / 31

Segment Information <FY2015>
Net sales[Operating Income](Billion yen )Unit Sales

FY2014FY2015

Vehicle

467.0

459.0

(8.0)

(1.7%)Engine

202.5

192.0

(10.5)(5.2%)

275.7

324.6

48.9

17.7%

RAV4

61.2
74.9
13.7
1,006.6 1,050.7
44.1[ 35.1] [ 35.9] [ 0.8]
809.2
924.9
115.7
[ 58.0] [ 68.8] [ 10.8]
95.3
98.0
2.7
[ 5.1][ 6.2] [ 1.1]
73.1
68.1
(5.0)
[ 5.5][ 2.6] [( 2.9)]
23.4
24.7
1.3
[ 3.4][ 3.7] [ 0.3]
2,007.8 2,166.6
158.8[ 107.6] [ 117.5] [ 9.9]

22.3%
4.4%

Car air-conditioning
compressor
Electoronics parts,
foundry and othres

Automoblie
Materials handlingequipment
Logistics
Textile machinery
Others
Total

Change14.3%
2.8%(Thousand units)
FY2014Vitz (Yaris)

FY2015

ChangeMark X ZiO

129
198
1103
205
-(26)
7(1)

Vehicle

328

308

(20)

DieselGasoline

383
243

355
213

(28)(30)

Engine626568(58)(6.7%)

Car air-conditioning
compressor

5.4%

Materials handlingequipment

199

222

23Air-jet loom

9.3

5.8(3.5)

7.9%

25,480 29,320 3,840

・The vehicle business: Net sales decreased because of a reduction of the unit sales of Vitz
・The engine business :Net sales decreased because of a reduction of the unit sales, mainly KD diesel engine fitted into IMV・The car air-conditioning compressor business :Net sales increased by an increase of overseas sales
・The materials handling equipment segment :Net sales increased by an increase of unit sales and contribution ofCascade and Aichi corporation
6 / 31

Change in Ordinary Income
Year-on-year Comparison (FY2014 full year and FY2015 full year)(Billion yen)
Increase in sales volume

16.5

Increase in labor cost

▲ 14.5

Cost reduction

16.2

Increase in depreciation▲ 6.6

Positive impact of exchange rate

9.8

Increase in raw material cost

▲ 2.1

Increase in expenses and others▲ 9.4

fluctuations
Changes in the net amount of

22.8

non-operating income andnon-operating expenses

Increases total

65.3

Total Changes in Ordinary IncomeDecreases total▲ 32.6

32.7

・Increase in sales volume, mainly of the materials handling equipment business,
contributed to an increase of income
・Labor cost increased because of increase of wage and the number of employees
・Depreciation increased because of aggressive business initiatives

7 / 31

Performance <FY2016 Forecast>(Billion yen)
FY2015FY2016

2,166.6

2,200.0

33.4

1.5%

Operating income

117.5

125.0

7.5

6.3%

Ordinary income

170.8

176.0

5.2

3.0%

Net income

115.2

119.0

3.8

3.2%

Net income
per share¥367.06¥378.79¥11.73-¥110¥110¥0-Year-end¥60¥55(¥5)-

Consolidated
payout ratio

30.0%

29.0%

-

-

Net sales

Dividends per share

Change8 / 31

Performance <FY2016 Forecast>(Billion yen)

FY2015FY2016

ChangeCapitalExpenditures

126.3

100.0(26.3)(20.9%)

Depreciation

70.7

79.0

8.3

11.6%

\/US$

¥110

¥115

¥5－\/Euro¥139¥125(¥14)－

9 / 31

Segment Information <FY2016 Forecast>
Net sales[Operating Income](Billion yen)

FY2015
VehicleEngine
Car air-conditioning compressor
Electoronics parts, foundry and othres

Automoblie
Materials handlingequipment
Logistics
Textile machinery
OthersTotal

FY2016

459.0
455.0
192.0
178.0
324.6
348.0
74.9
70.0
1,050.7 1,051.0[ 35.9]924.9955.0[ 68.8]98.0
104.0[ 6.2]
68.1
66.0[ 2.6]
24.7
24.0[ 3.7]
2,166.6 2,200.0[ 117.5]

Change(4.0)(14.0)
23.4
(4.9)
0.3

(0.9%)(7.3%)
7.2%(6.6%)
0.0%

30.1

3.2%

6.0

6.1%

(2.1)

(3.2%)(0.7)(3.1%)

33.4

1.5%

10 / 31

Segment Information <FY2016 Forecast>
Unit Sales(Thousand units)

FY2015FY2016

RAV410320584211(19)6Vehicle308295(13)DieselGasoline

355213285215(70)2Engine568500(68)Car air-conditioning
compressor

29,32031,0001,680

Materials handlingequipment

222231

9Air-jet loom

5.8

5.7(0.1)

Vitz (Yaris)

Change11 / 31Change in Ordinary Income
Year-on-year Comparison (FY2015 full year and FY2016 full year forecast)(Billion yen)
Cost reduction

16.0

Increase in labor cost

▲ 9.0

Increase in sales volume

8.0

Increase in depreciation▲ 8.3

Positive impact of exchange rate

1.5

Increase in expenses and others▲ 0.7

Changes in the net amount of▲ 2.3

fluctuations

non-operating income andnon-operating expenses

Increases total

25.5

Total Changes in Ordinary Income

Decreases total▲ 20.3

5.2

12 / 31

Ⅱ．Our Business Initiatives
toward Medium Term Growth
Solution

Materials Handling
Equipment

Key Components

Car Air-conditioning
Compressor

MobilityEngine13 / 31

Solution / Materials Handling Equipment

Expanding our market share of lift trucks in major markets【Enhancing the appeal of products】【Upgrading sales and service capabilities】

・Developing new products centered on 3E fields

・Expanding sales and service networks【Establishing optimum production structures】

・Strengthening service capabilities

・Supplying products from optimally locatedproduction bases
・Established a production base in Brazil
・Completed relocating a plant in China andexpanded its production capabilities
・Supplying components (motors) from a plant inVietnam【Expand our business domain】

(%)

(%)

5040252008

2009

・Made U.S.-based Cascade, a manufacturer oflift truck attachments into Toyota Industries’
subsidiary(%)
30Japan

NorthAmerica

Europe5%UP

2%UP

3%UP

201020112012

20132014 (CY)20200820092010

2011

2012

2013

2014 (CY)

02008

2009

2010

2011

2012

2013

2014 (CY)

14 / 31

Solution / Materials Handling Equipment

Product development centered on 3Es
Internal-combustion Lift Truck
Wide range of lineup from 0.5- to 43-ton

Toyota GENEO

EnginePersistent demands for outdoor logistics sites
Improving fuel efficiency and meeting exhaustemissions regulations by developing thecomponents such as engines in-house

Turbocharger

Electric Lift Truck30%
reduction

Responding various customers needs byoffering counterbalanced lift truck, reach lift
truck and powered pallet truck
Increasing demands for indoor logistics sites
Increasing operation time and improving
power performance by developing thecomponents such as motors

PreviousModelNewGENEO

Reduced fuelconsumption up to 30%
than the previous model**varies by the conditions of use and othersAwards: iF design award
Good design award
German Design Award (Special Award)
Nikkan Kogyo Shinbun 10 Great New products

15 / 31

Solution / Materials Handling Equipment

Development of fuel cell lift truck
Aim for the realization of both high environmental performanceand economic performance
Equipped with a high-efficient fuel cell system for lift trucks
No CO2 emission during
operation

Utilize as the movable power-generating
equipment at the time of disaster8 -hours continuous operation
with hydrogen filling in 3 minutes

Unnecessary to charge or replace the battery
during operation

Carried out field tests with the government (at Kansai International Airport since 2015)
・ Newly develop and introduce a practical use model fitted fuel cell same as that is
installed in Toyota Motor’s fuel cell vehicle, “MIRAI”

Accelerating efforts toward the practical use

16 / 31

Solution / Materials Handling Equipment

Upgrading Sales and Service Capabilities
Implementing appropriate measures for each region, such as integration ofdistribution channels and enhancement in the quality of services

Training for service techniciansof overseas dealers

1) Europe・Completed to integrate separately operated sales channels for TOYOTA- and BT-brand lift trucks throughout Europe
・Upgrading sales capabilities by the establishment of a sales company in Russia
・Appealing the products and services by participating exhibitions

2) North America
・Upgrading sales capabilities by making distributors into subsidiaries
・Enhancing the response to key-account business by strengthening sales structure of TOYOTA- and Raymond-brandand channels

3) ALOMA* and China*：Asia, Latin America, Oceania, Middle East, Africa

・Further enhancing the sales and service networks in major region by strengthening the structures ofthe China distributor (TMHS)
・Enhancing the response to customers through the incorporated office in Singapore
・Upgrading sales and service capabilities by providing a variety of training and tools

4) Japan・ Improving the level of service of dealers by continuously holding the TMHJ Service Skills Contest
17 / 31

Solution / Materials Handling Equipment

Strengthening sales finance business
Acquisition of material handling business of U.S.-based
Toyota Motor Credit Corporation (TMCC)
TMCC’s strengths
TMCC is one of the world’s top sales finance business companies
and has a great deal of know-how and skill
Sales finance business know-how for materials handling equipment business,accumulated over a long period of time
Excellent structure and system of management, including management of risks such as
credit management and residual value
A wide range of financial products lineup

The image of sales finance ratio ofour lift truck sales after acquisition of TMCC’smaterial handling business

Customers’ funds
and others
Sales financethrough othercompanies

The approval in the US is expected in the second half of FY2016
Promoting preparation for starting business

TICO’s sales finance(Increase up to about 50%
from 30% of total salesfinance)

By utilizing a great deal of TMCC’s
know-how, we strengthen our sales financebusiness and expand the business globally
18 / 31

Solution / Materials Handling Equipment

Promoting initiatives aimed at further growth【Enhancing the appeal of products】

Global Lift Truck Market andToyota Industries’ Unit Sales(Thousandunits)(Thousandunits)

300

1,200

【Strengthening supply structure】

MarketToyota Industries’Unit Sales

800

Units sales (FY)Market (CY)

1,000

・Further enhancing the appeal of products
centered on 3E fields
・Developing key components internally・Offering products suit to each market

200

Others600

Europe・Supplying from optimally located production
bases and increase production capabilities
・Expanding key components supply to Toyota
Industries’ group【Upgrading sales and service capabilities】
・Expanding sales and service networks
・Strengthening service capabilities
・Strengthening sales finance business100400NorthAmerica200Japan

0070809101112131415(plan)

020 (CY/FY)

CY: calendar year ended Dec 31; FY: fiscal year ended Mar. 31 of the following year

Expanding product lineup meeting eachmarket needs
Further expanding unit sales by thehigh-quality products and services
Improving profitability＊Estimated by Toyota Industries Corporation

19 / 31＊

Ⅱ．Our Business Initiatives
toward Medium Term GrowthSolution

Materials Handling
Equipment

Key Components

Car Air-conditioningCompressor

MobilityEngine20 / 31

Key components / Car air-conditioning Compressor

Our Technology and Sales Expansion（Thousandunits）

30,000（Forecast）

Further improving the appeal of each product type
Fixeddisplacement
type•Developing the price competitivemodels for emerging countries

Variabledisplacement
type•Developing next-generation
models with further greater fuelefficiency

Electric type

•Developing more compact andlighter weight , improve quiet andfuel-efficient models(31,000)

Electric type25,00020,00015,000

Variabledisplacement type10,0005,000

Fixed-displacement type081 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 （FY）

21 / 31

Key components / Car air-conditioning Compressor

In-house experimental installation recreating an environment
close to the actual vehicle-fitted condition
DriverVehicle
Car air-conditioning system
Compressor
Efficiency
Noise, Vibration
Working load (Power)
WeightDurability

Cooling performance
Quietness
Fuel efficient
Reliability

CoolQuiet
Fuel efficientTough

Recreating an environment close tothe actual vehicle-fitted condition● Promptly responding to customers needs by evaluation under an environment
close to the actual vehicle-fitted condition● Clarifying our product competitiveness by high accurate evaluation● Preventing the leakage of technology information since technologies are stored in a black box

Further improving our market competitiveness22 / 31

Key components / Car air-conditioning Compressor

Establishing production and supply structure
North AmericaEurope

・ Responding the increasing demandof variable-displacement type
・ Increase local procurement ratio

・ Increase local procurement ratio

China
・ Responding the increasing
demand in ChinaJapanSupporting other production
bases as mother factories byenhancing its basis of quality（Thousand units /year）
and productivity

ASEAN
Consolidated
production bases

・ Increasing production capability
as a global production base offixed-displacement type

Overseas
production
12,5002001

Domesticproduction2015 2021 （F Y）

Establishing the global networks centered the factories in Japan
23 / 31

Key components / Car air-conditioning Compressor

Unit sales by car makers
FY2015 Unit Sales
29,320 thousand
RenaultOpel

FIAT

Others
AUDI/VWFord
NissanNissanToyotaToyotaNissanHyundai

OthersChrysler

Honda

ChinaEurope
8,660 thousand

Peugeot

Others3,110 thousand

North America
9,520 thousand

Ford

Honda
AUDI/VWBMW

Daimler

Honda

OthersToyotaSuzukiJapan
5,290 thousand

GMToyota

Daihatsu
OthersToyotaFordOthers
Honda

2,740 thousand

Daihatsu

Further expanding sales to car makers worldwide
24 / 31

Key components / Car air-conditioning Compressor

Utilizing technologies cultivated in the Compressor Business
Our functional components are adopted in the Toyota Motor’s Fuel Cell Vehicle, “ MIRAI”
Oxygen supplying air compressor
Suck and compress air and supply oxygen to the FC stack,a power-generation equipment of fuel cell vehiclesHydrogen
circulation pump
Circulate hydrogen
unused in the FC
stack as well aswater generated

MIRAI

25 / 31

Ⅱ．Our Business Initiatives
toward Medium Term GrowthSolution

Materials Handling
Equipment

Key Components

Car Air-conditioning
Compressor

MobilityEngine26 / 31

Mobility／Engine

Features of diesel engines
More fuel-efficient and less CO2 emission than gasoline engines
Powerful driving by high torque performance＋Development of technology to clean exhaust gases

Expecting to increase diesel vehicles in emerging countries
in addition to Europe（million units）

60%

Proportion of diesel vehicles

Indian Sales Unit of Automobiles
450%
Others40%

Gasoline Vehicles

30%3220%
1
Source : Fuji Keizai’s “Current situation andfuture perspective in the relative marketof electric vehicles”

Diesel Vehicles

011 12 13 14 15 16

10%0%
21 （FY）

27 / 31

Mobility／Engine

Expanding our role of engine businesscentered on diesel engines
Our production unit
（ThousandCommenced
production of KD type
diesel engines（Installed in IMV andLAND CRUISERPRADO）

Commenced
production of VD
type diesel engines（Installed in LANDCRUISER ）units）

800
700
600
500
400

Engaged in production of maindiesel engines including C typeEngaged in development of AD andVD type diesel engines

Commenced
production of C type
diesel engines

Commenced
production of AD
type diesel engines（Installed in AVENSISand RAV4）（Installed in CORONAand CARINA

Contributing to expand the appeal of
our lift trucks through production ofindustrial diesel engines

300200100Gasoline Engine
Diesel Engine

054 56 58 60 62 64 66 68 70 72 74 76 78 80 82 84 86 88 90 92 94 96 98 00 02 04 06 08 10 12 14 16（FY）
Including lift truck engines, excluding CKD
28 / 31

Mobility／EngineConsolidate Toyota Group’s diesel engine development and production to Toyota Industries

Development: Development regarding technologies ofdiesel engines will be consolidated to our company gradually
Current
situation

Technologies
specific to only
diesel engines

Technologies
common toboth diesel
and gasoline
engines

FutureToyota MotorCorporation

Our company

Technologies
specific to only
diesel engines

Technologies
common toboth diesel
and gasoline
engines

Production: We will engage in the production from coming models launched in the future
Current
situation

DieselFuture

DieselMid-term strategy
Developing and producing more competitive diesel engines by deepening our expertise ofthe engine business and creating a more efficient business structure
29 / 31

Dividends
Dividend ratio (%)
26.0

26.3

33.0

32.3
26.6

23.3

50

28

50

50

252555222006

2007

110

Year-end
55

50

30

30

Interim

20
18

110

40
10

28

29.0

60

60

32

30.0

85

Dividends per
share (yen)

38

29.0

30

202525252011

2012

2013

5055

2015

2016

35102008

2009

2010

2014

*We do not calculate dividends ratio for fiscal 2009 and 2010 because of posting net loss

(Fiscal year)(plan)

30 / 31

Cautionary Statement with Respect toForward-Looking Statements
This presentation contains projections of business results as well as statements regarding
business plans, forecasts, strategies, and other forward-looking statements that are not to betaken as historical fact. Projections and forward-looking statements are based on the current
expectations and estimates of Toyota Industries and its Group companies. All such projections
and forward-looking statements are based on management’s assumptions and beliefs derived
from the information available to it at the time of producing this report and are not guarantees offuture performance. You should also be aware that certain risks and uncertainties could cause theactual results of Toyota Industries and its Group companies to differ materially from any
projections or forward-looking statements appearing in this report. These risks and uncertainties
include, but are not limited to, the following: 1) economic trends, 2) various competitive pressures,3) changes in relevant laws and regulations, and 4) fluctuations in exchange rates.

31 / 31