Consolidated Financial Results
for the Three Months Ended June 30, 2024
[Japanese GAAP]
August 8, 2024
Company name: Toshiba Tec Corporation
Stock exchange listing: Tokyo
Code number: 6588
URL: https://www.toshibatec.co.jp/
Representative: Hironobu Nishikori
President and CEO
Contact:
Akira Abe
General Manager of Corporate Communications Division
Phone 03-6830-9151
Scheduled date of commencing dividend payments: Availability of supplementary briefing material on quarterly financial results: Yes
Schedule of quarterly financial results briefing session: Yes(Amounts of less than one million yen are rounded down)
1. Consolidated Financial Results for the Three Months Ended June 30, 2024 (April 1, 2024 to June 30, 2024)(1) Consolidated Operating Results(% indicates changes from the previous corresponding period.)
Profit attributable to
Net sales
Operating profit
Ordinary profit
owners of parent
Million yen%
Million yen%
Million yen%
Million yen%
Three months ended
140,169
14.5
4,276
232.2
4,620
3,442
June 30, 2024
122,374
12.0
1,287
532.3
406
38
June 30, 2023
(Note) Comprehensive income:Three months ended
June 30, 2024
June 30, 2023¥¥

Three months ended June 30, 2024:
Three months ended June 30, 2023:
Basic earnings
per share
Yen
65.03
0.70

4,189 million
2,632 million

Diluted earnings
per share
Yen
65.03
0.70

(2) Consolidated Financial Position
Total assets
As ofJune 30, 2024
March 31, 2024
(Reference) Equity:

Net assets

Million yen

349,726
337,509
As of June 30, 2024:
As of March 31, 2024:

Capital adequacy ratio

Million yen¥¥

97,99496,236
90,577 million
88,060 million

%

25.9
26.1

[
[

59.1 %]
78.3 %]

2. Dividends
Annual dividends
1stquarter-end

2ndquarter-end

3rdquarter-end

Year-end

Total

Yen

Yen

Yen

Yen

Yen

Fiscal year ended March 31, 2024

-

20.00

-

25.00

45.00

Fiscal year ending March 31, 2025

20.00

-

25.00

45.00

Fiscal year ending March 31, 2025 (Forecast)(Note)Revision to the forecast for dividends announced most recently: No
3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2025 (April 1, 2024 to March 31, 2025)(% indicates changes from the previous corresponding period.)
Profit attributable to Basic earnings
Net sales
Operating profit
Ordinary profit
owners of parent
per share%

Million yen%

Million yen%

Yen

Full year
565,000
3.1
18,00013.5(Note) Revision to the financial results forecast announced most recently:

Million yen%

Million yen

15,00036.3

20,000-377.86

Yes*Notes:(1) Changes in significant subsidiaries during the three months ended June 30, 2024
(changes in specified subsidiaries resulting in changes in scope of consolidation): No
New(Company name:
Exclusion:(Company name:))(2) Accounting policies adopted specially for the preparation of quarterly consolidated financial statements: Yes(Note) For details, please refer to “2. Quarterly Consolidated Financial Statements and Notes (3) Notes to the quarterly
consolidated financial statements (Accounting policies adopted specially for the preparation of quarterly consolidated financial
statements)” on page 9 of this report.
(3) Changes in accounting policies, changes in accounting estimates and retrospective restatement
1) Changes in accounting policies due to the revision of accounting standards: Yes
2) Changes in accounting policies other than 1) above: No
3) Changes in accounting estimates: No4) Retrospective restatement: No(Note) For details, please refer to “2. Quarterly Consolidated Financial Statements and Notes (3) Notes to the quarterly
consolidated financial statements (Changes in accounting policies)” on page 9 of this report.
(4) Total number of issued shares (common shares)
1) Total number of issued shares at the end of the period (including treasury shares):
June 30, 2024:
57,629,140 shares
March 31, 2024:
57,629,140 shares2) Total number of treasury shares at the end of the period:
June 30, 2024:
4,699,113 shares
March 31, 2024:
4,700,044 shares
3) Average number of shares during the period:
Three months ended June 30, 2024:
Three months ended June 30, 2023:

52,930,318 shares
55,348,889 shares• Review of the Japanese-language originals of the attached consolidated quarterly financial statements bycertified public accountants or an audit firm: Yes (voluntary)• Proper use of earnings forecasts, and other special matters(Explanation for the proper use of earnings forecasts)
Financial results forecasts are based on information currently available to the Company and certain assumptions deemed reasonable andare not intended to be the Company’s guarantee that they will be achieved. Actual results may significantly vary due to a variety offactors. For the assumptions used as the basis for the earnings forecasts and precautions regarding the use of the earnings forecasts, pleaserefer to “1. Summary of consolidated business results, etc. (3) Consolidated financial results forecast and other forward-looking
information” on page 4 of this report.

Table of Contents of Attachments
1. Summary of consolidated business results, etc.
(1) Summary of consolidated business results etc. for the three months ended June 30, 2024 under review

2(2) Summary of consolidated financial condition etc. for the three months ended June 30, 2024 under review

3(3) Consolidated financial results forecast and other forward-looking information

4

2. Quarterly Consolidated Financial Statements and Notes

5(1) Quarterly Consolidated Balance Sheet

5(2) Quarterly Consolidated Statement of Income and Comprehensive Income

7

Quarterly Consolidated Statement of Income (For the three months)

7

Quarterly Consolidated Statement of Comprehensive Income (For the three months)

8(3) Notes to the quarterly consolidated financial statements

9

Changes in accounting policies

9

Accounting policies adopted specially for the preparation of quarterly consolidated financial statements

9Notes to segment information

10

Notes in the event of significant amount changes in shareholders’ equity

10

Notes on going concern assumption

10

Notes to statements of cash flows

101

1. Summary of consolidated business results, etc.
(1) Summary of consolidated business results etc. for the three months ended June 30, 2024 under review
The world economy for the three months ended June 30, 2024 picked up moderately overall. However, theoutlook still remained uncertain due mainly to ongoing monetary tightening overseas, price rises, and theheightened geopolitical risks.
Amid such conditions, Toshiba Tec Corporation (the “Company”) and its subsidiaries (collectively, the“Group”) have been pursuing the Basic Policy of the FY24-26 Mid-term Business Plan, “To become a global
top solutions partner by generating new value through co-creation with the aim of contributing to theresolution of social issues.” Under the basic policy, the Group has striven to strengthen the profitability ofcore businesses, expand new business areas, transform management, enhance human resources, and promotesustainability, etc. toward sustainable growth. In this way, the Group has strived to contribute to theresolution of social issues with the aim of becoming a global top solutions partner.
In the three months ended June 30, 2024, net sales were ¥140,169 million (up 15% year on year) due mainly
to increased sales of POS systems for the domestic market and multifunction peripherals (MFPs), and theimpact of foreign exchange rates. On the profit front, profitability of MFPs increased significantly and theimprovement in profit and loss of POS systems for the domestic market, resulting in operating profit of¥4,276 million (up 232% year on year), ordinary profit of ¥4,620 million (up ¥4,214 million year on year),and profit attributable to owners of parent of ¥3,442 million (up ¥3,404 million year on year).
Results of reportable segments for the three months ended June 30, 2024 were as follows.

Retail Solutions Business GroupThe Retail Solutions Business Group handles POS systems for domestic and overseas markets, auto ID
systems for domestic market, and related products. Amid a severe business environment in which
intensifying competition with peers continues, the business group has worked on expanding its customer
base etc. for the expansion of new business areas in addition to expanding its solution business through theglobal retail platform “ELERA” and strategic partnership, boosting recurring revenue business andmaintenance services (BPO) covering not only our equipment but also IT equipment of other companies.
Sales of POS systems for the domestic market increased due to efforts to expand sales mainly of selfcheckout systems, payment terminals, and smart receipts, as well as revisions of product sales prices andmaintenance service prices, and special demand related to the redesigned banknotes, despite continued
harsh conditions reflecting soaring raw material prices, rising prices, and other factors.
Sales of POS systems for overseas markets increased mainly in the Americas due to the impact of foreignexchange rates, but excluding the impact of foreign exchange rates, sales remained at the same level as thesame period of the previous fiscal year.
Sales of auto ID systems for the domestic market decreased, due to a decline in sales of high-end model,
although strong sales of portable printers and entry models mainly to specific customers.
As a result, net sales of the Retail Solutions Business Group were ¥78,562 million (up 14% year on year).
On the other hand, operating loss of the business group was ¥94 million (operating loss of ¥828 million in
the same period of the previous fiscal year), reflecting the fact that the loss of POS systems for overseas
markets remained in the red, although POS systems for the domestic market improved due to the increasein net sales and other factors despite the negative impact of foreign exchange rates.

2

Workplace Solutions Business Group
The Workplace Solutions Business Group handles multifunction peripherals (MFPs) for domestic andoverseas markets, auto ID systems for overseas markets, inkjet heads for domestic and overseas markets,and related products. Amid a severe business environment in which the declining printing volume due towork style reforms and office DX promotion and intensifying competition with peers continue, thebusiness group focused on strengthening the profitability of core businesses and worked on developing the
MFP solutions business, the auto ID solutions business, and customer support business.
Sales of MFPs increased due to the impact of foreign exchange rates in addition to strong sales in all
regions, reflecting a recovery from product supply disruptions.
Sales of auto ID systems for overseas markets increased as a result of increased sales in all regions andthe impact of foreign exchange rates.
Sales of inkjet heads increased due mainly to increased sales to domestic and overseas customers.
As a result, net sales in the Workplace Solutions Business Group were ¥62,880 million (up 15% year onyear). Operating profit for the business group soared to ¥4,371 million (up 107% year on year) due to theincrease in net sales resulting from recovery from product supply disruptions, the increased selling prices
and other factors and effects of structural reform and structural transformation implemented so far, etc.
Furthermore, the Company transferred the Group's business of the development and manufacturing of
MFPs and auto ID systems to ETRIA CO., LTD., the joint venture between the Company and Ricoh
Company, Ltd., effective from July 1, 2024.
Moreover, the Company transferred all of the Group's business of the inkjet head to RISO Technologies
Corporation, a wholly-owned subsidiary of RISO KAGAKU CORPORATION, effective from July 1,
2024.
(Note) An auto ID system is a system that uses hardware and software devices to recognize and manage data
content by automatically scanning barcode and RFID tag data.
(2) Summary of consolidated financial condition etc. for the three months ended June 30, 2024 under review
Assets at the end of the first quarter of the fiscal year ending March 31, 2025 increased by ¥12,217 million
from the end of the previous fiscal year to ¥349,726 million. This was mainly because merchandise andfinished goods in current assets increased by ¥9,479 million, and property, plant and equipment in noncurrent assets increased by ¥3,911 million, and “Other” in investments and other assets increased by ¥2,686
million, although cash and deposits, and notes and accounts receivable - trade, and contract assets in current
assets declined by ¥3,493 million and ¥1,846 million, respectively.
Liabilities increased by ¥10,460 million from the end of the previous fiscal year to ¥251,732 million. Thiswas mainly because notes and accounts payable - trade and “Other” in current liabilities and "Other" in noncurrent liabilities increased by ¥2,899 million, ¥4,110 million, and ¥2,773 million, respectively.
Net assets increased by ¥1,757 million from the end of the previous fiscal year to ¥97,994 million. This wasprimarily due to an increase in retained earnings owing to the recording of profit attributable to owners ofparent of ¥3,442 million, although a decrease in retained earnings owing to the payment of dividends of¥1,323 million.

3(3) Consolidated financial results forecast and other forward-looking information
The Company revised its consolidated financial results forecast for the fiscal year ending March 31, 2025
announced on May 10, 2024 as follows.

Revision to consolidated financial results forecasts for the fiscal year ending March 31, 2025
(Million yen)
Net sales

Operating profit

Ordinary profit

Profit attributableto owners ofparentBasic earnings per
share (Yen)Previously announced
forecast (A)550,000

18,00015,00020,000377.86

Revised forecast (B)565,000

18,00015,00020,000377.86

Change (B)−(A)15,000

-

-

-

-

2.7

-

-

-

-

548,135

15,854

11,004(6,707)(123.92)

Change (%)
Reference: results of theprevious fiscal year (ended
March 31, 2024)

Revision to consolidated sales forecasts by segment for the fiscal year ending March 31, 2025
Previously
announced
forecast (A)Revised forecast(B)

Change (B) − (A)(Million yen)
Reference: results ofthe previous fiscal
year (ended March
31, 2024)

Change (%)

Retail Solutions

318,000

323,000

5,000

1.6

311,004

Workplace Solutions

235,000

246,000

11,0004.7

241,631

Eliminations(3,000)(4,000)(1,000)-(4,500)Net sales

550,000

565,000

15,0002.7

548,135

Consolidated operating profit forecasts by segment for the fiscal year ending March 31, 2025
Previously
announced
forecast (A)Revised forecast(B)

Change (B) − (A)(Million yen)
Reference: results ofthe previous fiscal
year (ended March
31, 2024)

Change (%)

Retail Solutions

8,000

8,000

-

-

2,251

Workplace Solutions

10,00010,000--13,602

Operating profit

18,00018,000--15,854

Net sales of the Retail Solutions Business Group and Workplace Solutions Business Group have beenrevised upward due mainly to the impact of exchange rate. Operating profit, ordinary profit, and profit
attributable to owners of parent remain unchanged from the previously announced forecast. Based on thesefactors, we have revised our consolidated financial results forecasts for the fiscal year ending March 31,
2025 as stated above.
The reference exchange rates used in the consolidated financial results forecast for the fiscal year ending
March 31, 2025 are ¥152.20 to the US dollar and ¥162.81 to the euro.

*Financial results forecasts are based on information currently available to the Company and certain
assumptions deemed reasonable, and are not intended to be the Company’s guarantee that they will beachieved. Actual results may significantly vary due to a variety of factors.

4

2. Quarterly Consolidated Financial Statements and Notes(1) Quarterly Consolidated Balance Sheet(Million yen)
As of March 31, 2024

As of June 30, 2024

AssetsCurrent assets
Cash and deposits
Notes and accounts receivable - trade, andcontract assets

48,59245,09986,52084,674Merchandise and finished goods

43,206

52,685Work in process

2,749

2,791

Raw materials and supplies

12,734

13,439Other

31,227

32,117

Allowance for doubtful accounts(1,458)(1,520)Total current assets

223,572

229,286

48,23952,150

357

351

Other

11,212

11,117

Total intangible assets

11,56911,46954,53557,221

Non-current assets
Property, plant and equipment
Intangible assets
Goodwill

Investments and other assets
Other
Allowance for doubtful accounts

(408)

(401)

Total investments and other assets

54,12656,820Total non-current assets

113,936

120,440

337,509349,726

Total assets

5

(Million yen)
As of March 31, 2024

As of June 30, 2024

Liabilities
Current liabilities
Notes and accounts payable - trade

65,84568,744

Short-term borrowings

2,871

3,130

Current portion of long-term borrowings

3,696

3,696

Income taxes payable

5,245

5,204

Other

98,147102,257

Total current liabilities

175,807

183,033

Long-term borrowings

11,533

11,901Retirement benefit liability

28,03728,130Other

25,894

28,667

Total non-current liabilities

65,46568,698241,272

251,732

Share capital

39,97039,970Capital surplus

950

486

Non-current liabilities

Total liabilities
Net assets
Shareholders' equity

Retained earnings

31,14533,264

Treasury shares(13,382)(13,380)

Total shareholders' equity

58,68360,341

1,013

365

Accumulated other comprehensive income
Valuation difference on available-for-sale securities

46

(109)

Foreign currency translation adjustment

23,33025,123

Minimum pension liability adjustments

(320)

(312)

Deferred gains or losses on hedges

Remeasurements of defined benefit plans

5,307

5,169

Total accumulated other comprehensive income

29,37630,236

Share acquisition rights

19

14

Non-controlling interests

8,156

7,401

Total net assets

96,23697,994

337,509349,726

Total liabilities and net assets

6

(2) Quarterly Consolidated Statement of Income and Comprehensive Income
Quarterly Consolidated Statement of Income (For the three months)(Million yen)
For the three months
ended June 30, 2023

For the three months
ended June 30, 2024

Net sales

122,374

140,169

Cost of sales

73,10982,850Gross profit

49,26457,319Selling, general and administrative expenses

47,97753,042

Operating profit

1,287

4,276

Interest income

92

97

Dividend income

59

62

Foreign exchange gains

891

903

Other

121

278

1,164

1,341

Non-operating income

Total non-operating income
Non-operating expenses
Interest expenses

134

209

1,172

305

737

483

2,044

997

406

4,620

Gain on sale of investment securities

6

257

Total extraordinary income

6257

Loss on sale of investment securities-

3

Loss on valuation of investment securities-

1

Restructuring cost

158

144

Total extraordinary losses

Loss on valuation of derivatives
Other
Total non-operating expenses
Ordinary profit
Extraordinary income

Extraordinary losses

158

149

Profit before income taxes

254

4,728

Income taxes

135

1,569

Profit119

3,158

Profit (loss) attributable to non-controlling interests

80

(284)

Profit attributable to owners of parent

38

3,442

7

Quarterly Consolidated Statement of Comprehensive Income (For the three months)(Million yen)
For the three months
ended June 30, 2024

For the three months
ended June 30, 2023
Profit

119

3,158

(103)

(647)

Other comprehensive income
Valuation difference on available-for-sale securities
Deferred gains or losses on hedges
Foreign currency translation adjustment
Minimum pension liability adjustment
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income

34

(156)

2,676

1,964

47

8

(143)

(138)

2,512

1,030

2,632

4,189

2,247

4,302

384

(113)

Comprehensive income attributable to
Owners of parent
Non-controlling interests8(3) Notes to the quarterly consolidated financial statements
Changes in accounting policies
Application of Accounting Standard for Current Income Taxes
The Company has applied the “Accounting Standard for Current Income Taxes” (Accounting Standards Board ofJapan (“ASBJ”) Standard No. 27, October 28, 2022; the “Revised Accounting Standard of 2022”) from the
beginning of the first quarter ended June 30, 2024.
The amendment to categories in which current income taxes should be recorded (taxes on other comprehensive
income) follows the transitional treatment prescribed in the proviso of paragraph 20-3 of the Revised AccountingStandard 2022 and the transitional treatment prescribed in the proviso (2) of paragraph 65-2 of the Implementation
Guidance on Tax Effect Accounting (ASBJ Guidance No.28, October 28, 2022; hereinafter referred to as the“Revised Implementation Guidance 2022”). Additionally, this change in accounting policies has no impact on thequarterly consolidated financial statements.
For the amendment related to the revised accounting treatment for consolidated financial statements when gains orlosses on sale of shares in subsidiaries resulting from transactions between consolidated companies were deferred
for tax purposes, the Revised Implementation Guidance 2022 has been adopted from the beginning of the firstquarter ended June 30, 2024. This change in accounting policies was applied retrospectively. Hence, the quarterly
consolidated financial statements for the same quarter of the prior fiscal year and the consolidated financial
statements for the prior fiscal year have been modified retrospectively. Additionally, this change in accounting
policies has no impact on the quarterly consolidated financial statements for the same quarter of the prior fiscal year
and the consolidated financial statements for the prior fiscal year.

Accounting policies adopted specially for the preparation of quarterly consolidated financial
statements
Calculation of tax expenses
Tax expenses are calculated by reasonably estimating the effective tax rate after the application of tax effectaccounting for profit before income taxes for the consolidated fiscal year ending March 31, 2025 including thefirst quarter under review and multiplying profit before income taxes by the estimated effective tax rate.
Provided, however, that if calculation using the estimated effective tax rate turns out to be significantly
unreasonable, calculations are made pursuant to Paragraph 15 (Method of using the statutory effective tax rate)of the Implementation Guidance on Tax Effect Accounting for Interim Financial Statements (AccountingStandards Board of Japan (ASBJ) Guidance No. 29, February 16, 2018), according to the provisions ofParagraph 19 of the Implementation Guidance on Accounting Standard for Quarterly Financial Reporting(ASBJ Guidance No. 14, March 31, 2020).
Income taxes - deferred are included in income taxes.

9Notes to segment information
I Three months ended June 30, 2023
Amounts of net sales, profit or loss by reportable segment(Million yen)
Reportable segments

Consolidated
amount(Note)

Adjustment

Retail Solutions

Workplace
Solutions

69,06853,305

122,374

–

55

1,170

1,225

(1,225)

122,374–

69,12454,475

123,600(1,225)

122,374

–

1,287

Total

Net sales
Sales to external customers
Intersegment sales and transfers
Total

Segment profit (loss)
(828)
1,287
2,115
(Note) Segment profit (loss) corresponds with operating profit in the quarterly consolidated statement of income.

II Three months ended June 30, 2024
Amounts of net sales, profit or loss by reportable segment(Million yen)
Reportable segments
Retail Solutions

Workplace
Solutions

Consolidated
amount(Note)

Adjustment
Total

Net sales
61,630140,169–

Intersegment sales and transfers

78,538
23

1,249

1,273

(1,273)

Total

78,56262,880141,443(1,273)–

Sales to external customers

140,169–
140,169

(94)
4,371
4,276
Segment profit (loss)(Note) Segment profit (loss) corresponds with operating profit in the quarterly consolidated statement of income.

4,276*Supplementary information
Three months ended June 30, 2023

Three months ended June 30, 2024

135.79155.04147.93167.06

Average exchange rate
(Yen to the US dollar)
Average exchange rate
(Yen to the euro)

Notes in the event of significant amount changes in shareholders’ equity
Not applicable
Notes on going concern assumption
Not applicable
Notes to statements of cash flows
Quarterly consolidated statements of cash flows are not prepared for the three months ended June 30, 2024.
“Depreciation” (including amortization of intangible assets other than goodwill) and “Amortization of
goodwill” for the three months ended June 30, 2024 are as follows:(Million yen)
For the three months
ended June 30, 2023
Depreciation

3,900
67

Amortization of goodwill

10

For the three months ended
June 30, 2024
4,31660