FY 2014 First Six Months
Consolidated Business Results

October 29, 2014

© 2014 Toshiba Tec Corporation

Forward-looking statements concerning TOSHIBA TEC's future
performance contained in this presentation represent certain
reasonable assumptions based on economic, financial andcompetitive data and information currently available. However,actual results will be affected by the business and competitiveenvironment and may differ materially from forecasts.

© 2014 Toshiba Tec Corporation2

Key Points of First Six Months of FY2014
Net sales, operating income, ordinary income, and PBT for the first half of 2014 were highest
ever record for the first half results.
Net sales, operating income and net income resulted as forecasted.
Net Sales:
256.3 billion yen (YoY*: +14.7 billion yen, 6% growth ) Domestic Business The impact of the consumption tax increase was not as severe as expected
and resulted in 3% growth against the same period a year earlier.
 Overseas Business The printing business maintained a stable performance while sales in theretail business recovered from 1Q to 2Q and resulted in 8% growthagainst the same period a year earlier.
Operating Income: 12.2 billion yen (YoY: +1.6 billion yen)
 Increased mainly due to the sales increase of domestic business, existing business overseas andcurrency exchange improvement.
 EBITA resulted in 14.5 billion yen, which is 5.7% of net sales.
Free Cash Flows: 10.5 billion yen (YoY: +36.0 billion yen)
Improved significantly due to the improvement of cash flows from operating activities and the decreaseof payment to acquire the business of GCS (21.8 billion yen -> 0.0 billion yen).
Dividend
The interim dividend of 6 yen per share (YoY: +2 yen) has been determined.
For your reference: Our record-high figures for the first half results in the past are as follows.
Net sales 251.8 billion yen(FY07/1H**), Operating income 10.6 billion yen(FY13/1H), Ordinary income
9.8 billion yen(FY13/1H), PBT 8.6 billion yen(FY13/1H), Net income 6.5 billion yen(FY97/1H)
YoY*: year-on-year comparison
1H**: First Six Month© 2014 Toshiba Tec Corporation3

FY2014 First Six Months Results
Billions of yen

FY14/1H

FY13/1H

FY14 FC*Difference
vs. FY13/1H

Net Sales
Growth rate %vs. FC

256.3

241.6

250.0

14.7
106%

6.3
103%

Operating Income

12.2
4.8%

10.6
4.4%

12.0
4.8%

1.6
0.4%

0.2
0.0%

Ordinary Income

9.9
3.9%

9.7
4.0%

11.0
4.4%

0.2
-0.1%

-1.1
-0.5%

Income before income taxes
and minority interests

9.3
3.6%

8.6
3.6%

10.0
4.0%

0.7
0.0%

-0.7
-0.4%

Net income

5.1
2.0%

3.9
1.6%

5.0
2.0%

1.2
0.4%

0.1
0.0%

102.52 yen
139.10 yen

98.03 yen
128.29 yen

100.00 yen
138.00 yen

4.49 yen
10.81 yen

2.52 yen
1.10 yen

Foreign currency exchange rate
USDEURFC* : Forecast© 2014 Toshiba Tec Corporation4Operating Income Analysis, FY2014 First Six Months
Business ResultsIncreased due to sales increase and currency exchange improvement.
The effect of currency exchange rate change adds up to +1.2 billion yen.
Billions of yen

Gross Profit (+6.4)

Others-0.5+2.8
FY13/1H
Operating
Income+4.1

Increase inNet Sales

SG&A (-4.8)

Currency
Exchange-2.9

R&D

-1.1

Others+0.8-1.6

FY14/1H
Operating
IncomePersonnel
ExpenseCurrency
Exchange

12.2
10.6© 2014 Toshiba Tec Corporation

5FY2014 First Six Months Results by Segment
Billions of yen

Difference

Net Sales

FY14/1H

FY13/1H

FY14 FC
vs. FY13/1Hvs. FC

System Solutions Business Group

97.3

94.1

94.3

3.2

3.0

Global Solutions Business Group

166.0

154.2

163.2

11.8

2.8

Total

263.3

248.3

257.5

15.0

5.8

-7.0

-6.7

-7.5

-0.3

0.5

256.3

241.6

250.0

14.7

6.3

Adjustment
Consolidated Total

Difference
Operating Income

FY14/1H

FY13/1H

FY14 FC
vs. FY13/1Hvs. FC

System Solutions Business Group

4.8

3.8

4.4

1.00.4Global Solutions Business Group

7.4

6.8

7.6

0.6

-0.2

Consolidated Total

12.2

10.6

12.0

1.6

0.2

© 2014 Toshiba Tec Corporation

6

System Solutions Business Group
Ratio of Products toNet Sales by Business97.3 billion yen(YoY: 103%)

94.1 billion yen

14%

14%
OfficeSolutions
Business

86%

86%

13/1H

14/1H

RetailSolutions
Business◆ Retail Solutions:
Net sales from POS systems for
shopping centers and specialty storesexpanded. As a result, YoY net sales
increased by 3%.
◆ Office Solutions:
Sales expansion of color MFP andthe successful launch of new monochrome MFP led the office solutions
business. As a result, YoY net sales
increased by 5%.

© 2014 Toshiba Tec Corporation7Global Solutions Business Group
Ratio of Products toNet Sales by Business166.0 billion yen(YoY: 108%)154.2 billion yen

60%

61%

PrintingSolutions
Business

RetailSolutions
Business

40%

39%

13/1H

14/1H

◆ Printing Solutions:
Sales of color MFP expanded andspread to the vertical market of
distribution, logistics andmanufacturing making use of ourretail customer base. YoY net sales
increased by 8% helped also by thecurrency exchange improvement.
◆ Retail Solutions:
Increased owing to sales expansion ofstrategic new products & solutions
and the currency exchange
improvement.
YoY net sales increased by 7%.

© 2014 Toshiba Tec Corporation

8

Net Sales by Geographic Area
Net Sales by Geographic Area
256.3 billion yen
241.6 billion yen

9%[23.4]

20%[48.1](YoY: 106%)9% [24.3]
21%[53.5]

Asia andOthers
Europe30%

30%[76.4][72.0]

Americas41%40%[98.1][102.1]

13/1H

14/1HJapan◆ Japan:
As a result of stable performance ofboth retail solutions business andoffice solution business, net salesgrew by 4% against the previousyear.
◆ Overseas:
Both retail solutions business andprinting solutions businessmaintained a stable performance.
Sales increased as well due to thecurrency exchange rate improvement.
Sales increased 6% in the Americas,
11% in Europe, 4% in Asia and others
against the previous year.

Note: Figures in parentheses represent the net sales by geographic area (billions of yen).
© 2014 Toshiba Tec Corporation

9

Consolidated Balance Sheets (1)Assets
410.0 billion yen
394.0 billion yen(+16.0 billion yen)

12%

14%

[47.4][56.7]

25%

25%[98.6][103.5]

CashEquivalents
Intangible
assets63%61%[248.0][249.8]

14/3E

14/9E

◆ Cash Equivalents:
Increased by 9.3 billion yen due to theimprovement of free cash flow.
◆ Intangible Assets:
Increased by 4.9 billion yen, mainly
through the investment of assets
related to GCS’s IT systems.

OthersNote: Figures in parentheses represent the itemized balance (billions of yen).
© 2014 Toshiba Tec Corporation

10

Consolidated Balance Sheets (2)Liabilities and Net Assets◆ Liabilities:
Although accounts payable
increased by 6.2 billion yen,noncurrent liabilities decreased by
6.5 billion yen due to the change inretirement benefit plan that thecompany adopted. Total liabilities
increased by 1.7 billion yen.

410.0 billion yen
394.0 billion yen

53%[208.6](+16.0 billion yen)51%
[210.3]Liabilities

Net Assets

47%

49%

[185.4][199.7]

14/3E

14/9E

◆ Net Assets:
Increased by 14.3 billion yen, due tothe increase in retained earnings
associated with the change ofretirement benefit plan, andincrease in the net income and also
the increase in foreign currencytranslation adjustments associatedwith the yen depreciation.

Note: Figures in parentheses represent the itemized balance (billions of yen).
© 2014 Toshiba Tec Corporation

11

Cash Flows
Cash flows from operating activities

Billions of yen

Cash flows from investing activities
Free cash flows (underline)

+10.5
16.7
2.9
-6.2

-28.4

◆ Cash Flows from operating activities:
Increased by 13.8 billion yen against theprevious year due to the improvement inworking capital.
◆ Cash Flows from investing activities:
Decreased by 22.2billion yen against theprevious year due to the decrease ofpayment to acquire GCS business (21.8billion yen -> 0.0 billion yen).

-25.5

FY13/1H

FY14/1H© 2014 Toshiba Tec Corporation

12

FY2014 Forecast, Overall
Billions of yen

FY14FC
as of Oct.29
Net Sales

FY13
ResultFY14FC
as of Apr.28

Difference
vs. FY13vs. FC
as of Apr.28

520.0

498.9

520.0

21.1
104%

0.0
100%

Operating Income

28.0
5.4%

23.1
4.6%

28.0
5.4%

4.9
0.8%

0.0
0.0%

Ordinary Income

26.0
5.0%

20.1
4.0%

26.0
5.0%

5.9
1.0%

0.0
0.0%

Net income

12.0
2.3%

7.1
1.4%

12.0
2.3%

4.9
0.9%

0.0
0.0%

105.00 yen
138.00yen

99.75 yen
133.37 yen

100.00 yen
138.00 yen

5.25 yen
4.63 yen

5.00 yen
0.00 yen

Growth rate %Foreign currency exchange rate
USDEUR© 2014 Toshiba Tec Corporation

13

FY2014 Forecast by Segment
Billions of yen

Net Sales

FY14
as of Oct.29

FY13
Result

FY14 FC
as of Apr.28

Difference
vs. FY13

vs. FC as ofApr.28

System Solutions Business Group

195.0

195.3

195.0

-0.3

0.0

Global Solutions Business Group

340.0

317.5

340.0

22.50.0

Total

535.0

512.8

535.022.20.0

Adjustment

-15.0

-13.9

-15.0

-1.10.0

Consolidated Total

520.0

498.9

520.0

21.1

0.0

Operating Income

FY14
as of Oct.29

FY13
ResultFY14FC
as of Apr.28

Difference
vs. FY13

vs. FC as ofApr.28

System Solutions Business Group

11.0

9.7

11.0

1.3

0.0

Global Solutions Business Group

17.0

13.4

17.0

3.60.0Consolidated Total

28.0

23.1

28.0

4.90.0© 2014 Toshiba Tec Corporation14© 2014 Toshiba Tec Corporation15