FINANCIAL SUMMARY
FY2006 Semiannual(April 1, 2005 through September 30, 2005)

English translation from the original Japanese-language document

Cautionary Statement with Respect to Forward-Looking Statements

This report contains projections and other forward-looking statements that involve risks and uncertainties. Our use of thewords “expect,” “anticipate,” “estimate,” “forecast,” “plan” and similar expressions is intended to identify such forward-looking
statements. Projections and forward-looking statements are based on the current expectations and estimates of Toyota
Industries Corporation and its Group companies regarding their plans, outlook, strategies and results for the future. All suchprojections 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 of future performance. Toyota Industries and its
Group companies undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of
new information, future events or otherwise. Therefore, it is advised that you should not rely solely upon these projections andforward-looking statements in making your investment decisions. You should also be aware that certain risks and uncertainties
could cause the actual results of Toyota Industries Corporation 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) principal customers, 3) product development capabilities, 4) new businesses, 5) productdefects, 6) price competition 7) reliance on suppliers of raw materials and components, 8) alliances with other companies, 9)exchange rate fluctuations, 10) effects of disasters, power blackouts and other incidents, 11) latent risks associated withinternational activities, 12) official restriction, 13) share price fluctuations and 14) retirement benefit liabilities.

October 28, 2005

Semiannual Consolidated Financial Results for FY2006
TOYOTA INDUSTRIES CORPORATION
Stock exchange listings: Tokyo, Nagoya and Osaka (Ticker code: 6201) ( URL http://www.toyota-industries.com/ )Representative person: Tetsuro Toyoda, President
Location of the head office: Aichi prefecture, Japan
Contact person: Toshifumi Ogawa, General Manager of Accounting Department (Tel. +81-(0)566-22-2511)
Date of the meeting of the Board of Directors for consolidated semiannual financial results for FY2006: October 28, 2005
Name of parent company: Toyota Motor Corporation (Code number:7203 ) Parent company’s shareholding: 24.3%
US GAAP: Not used

1. Financial Highlights for FY2006 Semiannual (April 1, 2005 – September 30, 2005)(1) Consolidated financial results(Amounts less than one million yen are omitted.)change from% change from% change fromyear ) Operating income ( previous year ) Ordinary income ( previous year )( %previous

Net sales
Million yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual

699,028
607,063
1,241,538
Net income((%

Million yen

15.1 )
6.6 )

32,05130,09853,120change fromyear )( %previous

Million yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual((%

Million yen

6.5 )11.4 )

41,57738,89070,912

Net income
per share－basic

(
(

6.9 )
28.9 )Net income
per share－diluted%

25,00823,94543,357

%

(
(

Yen

4.4 )
40.1 )

Yen

78.41
75.31
135.0978.38
75.28
135.03

Notes: 1. Equity in net earnings (loss) of affiliates: FY2006 semiannual－1,267 million yen, FY2005 semiannual－4,210 million yen
FY2005 annual－6,805 million yen
Notes: 2. Average number of shares outstanding for each period: FY2006 semiannual－318,937,523 shares, FY2005 semiannual－317,933,860 shares,
FY2005 annual－318,079,149 shares
Notes: 3. Changes in accounting policies: No change.

(2)Consolidated financial position
Total assets

Shareholders’ equity

Million yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual

Ratio ofshareholders’ equity

Million yen

2,682,651
2,173,329
2,326,824

Shareholders’ equity
per share%

1,326,134
1,098,215
1,115,747

Yen

49.4
50.5
48.0

4,153.23
3,451.12
3,504.80

Note: Number of shares outstanding at the end of each period: FY2006 semiannual－319,302,325 shares, FY2005 semiannual－318,219,881 shares,
FY2005 annual－318,236,815 shares(3)Consolidated cash flows
Cash flows fromoperating activities

Cash flows frominvesting activities

Million yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual

58,75945,198100,095

Cash flows fromfinancing activities

Million yen(114,771)(54,965)(128,230)

Cash and cash equivalents
at the end of period

Million yen

30,187
9,422
50,020Million yen

73,79376,827
100,535(4) Scope of consolidation and equity method
Consolidated subsidiaries: 149 companies
Unconsolidated subsidiaries accounted for under the equity method: 0 company
Affiliates accounted for under the equity method: 21 companies(5) Changes in scope of consolidation and equity method
Consolidated subsidiaries: (increase) 4 companies (decrease) 1 company
Affiliate accounted for under the equity method: (increase) 1 company

2. Forecast of Consolidated Financial Results for FY2006 (April 1, 2005 - March 31, 2006)
Net sales
Ordinary income
Million yen

FY2006 Annual

1,500,000

Million yen

77,000Net income
Million yen

45,000

Reference: (Forecast) Net income per share－basic (annual): 140.93 yen* All projections are based on the information available to management at the time of producing this report and are not guarantees of future performance.
Certain risks and uncertainties could cause the actual results of Toyota Industries to differ materially from any projections discussed in this report.

Overview of Associated Companies
Toyota Industries Corporation and its associated companies (Toyota Motor Corporation which has Toyota Industries Corporation
as an affiliate, Toyota Industries Corporation’s 149 subsidiaries and 32 affiliates) are engaged mainly in manufacture and sales ofautomobiles and related products, materials handling equipment, textile machinery and also in logistics solutions business. The
associated companies’ positions in the businesses and relation to the business segments are shown below
Customers (Toyota Motor Corporation, etc.)(Domestic manufacturing
companies)

Izumi Machine Mfg.
Co., Ltd.

(Domestic sales companies)

Aichi Corporation GroupTOYOTA L&F Tokyo Co., Ltd.

(Domestic othercompanies)(Overseas sales
companies)(Domestic manufacturing
companies)

Asahi Security Co., Ltd.

Toyota Textile
Machinery Europe
Group

TIBC Corporation

Tokyu Co., Ltd.

OthersTaikoh transportation
Group

Tokaiseiki Co.,Ltd.

(Overseas sales companies)

Fuji Logistics Co., Ltd.*

OthersBT Industries Group

Others(Overseas manufacturing
companies)

Toyota Material Handling USA, Inc.

Michigan AutomotiveCompressor, Inc.

OthersST Liquid Crystal
Display Corp.*
OthersToyota Industrial Equipment Europe Group
OthersTD AutomotiveCompressor Georgia,
LLC.
TD Deutsche
Klimakompressor GmbH

.Toyota Motor Industries
Poland Sp.zo.o.*Others(Domestic manufacturing
companies)

Aichi Corporation Group
Others(Overseas manufacturing
companies)

BT Industries Group
Toyota Industrial Equipment
Mfg., Inc.

(Overseas manufacturing
company)

Toyota Industrial Equipment,
S. A.

Kirloskar Toyoda Textile
Machinery Ltd.

OthersAutomobile

Logistics

Materials handling equipment

Textile machinery

Toyota Industries Corporation(Other companies)
Toyota Industries Sweden AB, Toyota Industries Finance International AB, Toyota Industries North America, Inc. Others*Affiliates accounted for under the equity method-1-

OthersManagement Policy
1. Basic Management Policy
The basic management policies of Toyota Industries Corporation and its Group companies(“Toyota Industries”) are upheld as its basic corporate philosophy. We believe putting thefollowing stated beliefs into viable actions by all employees will lead to greater corporate value.
(1)

Toyota Industries is determined to comply with the letter and the spirit of the law, inJapan and overseas, and to be fair and transparent in all its dealings.

(2)

Toyota Industries is respectful of the people, culture and traditions of each country
and region in which it operates. It also works to promote economic growth andprosperity in those countries and regions.

(3)

Toyota Industries believes that economic growth and conservation of the naturalenvironment are compatible. It strives to offer products and services that are clean,safe and of high quality.

(4)

Toyota Industries conducts intensive product research and forward-looking
development activities to create new value for its customers.

(5)

Toyota Industries nurtures the inventiveness and other abilities of its employees. It
seeks to create a climate of cooperation, so that both employees and the Company
can realize their full potential.

2. Basic Policy on the Distribution of Profits
Toyota Industries Corporation regards the benefits of shareholders as one of its mostimportant management policies. Based on this stance, we will strive to strengthen Toyota
Industries’ corporate constitution, promote proactive business development and raise its
corporate value.
Toyota Industries Corporation’s dividend policy is to meet the expectations of shareholders
while giving full consideration to business performance, capital demand, dividend payout ratioon consolidated bases and other factors.
Toyota Industries Corporation will use retained earnings to improve the competitiveness of its
products, augment production capacity in Japan and overseas, as well as expand into new fieldsof business and strengthen its corporate constitution in securing future profits for its
shareholders. It will also use retained earnings to repurchase treasury stock.

3. Medium- to Long-Term Management Strategies
Rooted in its basic philosophy, Toyota Industries “strives to offer products and services thatare clean, safe and of high quality.” We are fully committed to continuing to improve corporate
value for future growth.
Specifically, the Vehicle and Engine businesses will expand their respective scopes ofbusiness by contributing to the global strategy of Toyota Motor Corporation. The Materials
Handling and Car Air-Conditioning Compressor businesses, both of which are the core
operations of Toyota Industries, will strive to solidify the leading global position while further
globalizing business operations to attain higher market share and improved businessperformance. The Textile Machinery Business will firmly maintain the world’s top share in air-jet
looms to realize stable business management. The Electronics Business, which includes powerelectronics components for hybrid vehicles, and the Logistics Solutions Business will engage instabilizing operations to ensure steady growth and develop into future core businesses of Toyota
Industries.
In the medium to long term, we will always place utmost emphasis on product quality. We-2-regard such considerations to the environment, safety and ergonomics as well as theenhancement of competitiveness as important issues to be addressed. Based on this stance,
we will strive to develop and market leading-edge products closely tailored to customer needs.
We will also further promote global consolidated management and build a business structurethat can take advantage of the collective strengths of Toyota Industries while improving work
environments and nurturing personnel of international caliber who will lead the Toyota Industries
Group to the next level of growth.
The successful implementation of these measures will in turn heighten Toyota Industries’
corporate value. Through sincere considerations for the environment and local communities, we
also aim for socially harmonious growth.
The new Medium-Term Management Vision, which started during fiscal 2006 (ending March
31, 2006), targets consolidated net sales of more than 2 trillion yen in fiscal 2010 (ending March
31, 2010).

4. Basic Stance toward Corporate Governance and Measures for Implementation
Toyota Industries deems it highly important to make corporate governance function
effectively for the purpose of management efficiency and corporate soundness. To this end, we
aim to establish an organizational structure that can quickly and flexibly respond to changes in
the management environment, as well as a fair management system with an emphasis on
shareholders.
Toyota Industries’ Board of Directors holds a meeting every month to decide subjects ofmaterial importance and supervise business operations. The Company has also instituted theManagement Committee and the Business Operation Committee. The Management Committee
deliberates upon Company-wide strategies while the Business Operation Committee deliberates
upon strategies in each business segment. Through these bodies, Toyota Industries seeks toestablish responsive and efficient management as well as an effective internal control system.
At Toyota Industries, we maintain a corporate auditor system based on the JapaneseCommercial Code. We have five corporate auditors (including three outside corporate auditors).
We have also set up the Corporate Auditor’s Office with full-time staff to strengthen auditing of
the execution of directors’ duties.
The Company has strengthened the supervision of each division and the internal auditing
structure, and regularly holds meetings of the Code of Conduct Council to ensure that it adheres
fully to the letter of the law and conducts its management and business affairs based on its basic
management policies. Toyota Industries will continue to endeavor to promote its businessactivities with an increased awareness of ethical issues. Moreover, we established a corporate
ethics hotline staffed by outside lawyers, who field queries from employees regarding fraudulent
or unethical conduct, for the purpose of early detection and quick handling of importantcompliance-related irregularities. In addition, we provide clearly articulated action guidelines,
which serve as the basis of employee actions.
Toyota Industries established a department dedicated to investor relations activities topromote better management transparency. Through such efforts, the Company will continue toensure a high level of corporate accountability to shareholders and stakeholders.
The certified public accountants who audited Toyota Industries’ accounting practices are Mr.
Kazunori Tajima, Mr. Fusahiro Yamamoto and Mr. Mitsutaka Kawahara of ChuoAoyama
PricewaterhouseCoopers. Mr. Tajima has 11 years of auditing experience. They are further
supported by an additional six certified public accountants, six junior accountants and two
assistants in auditing Toyota Industries’ accounting practices.
With these measures, Toyota Industries strives to secure further growth, prosperity and profit.
We intend to meet the high expectations of our stakeholders, notably shareholders andcustomers, and sincerely carry out our social responsibilities.

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5．Matters related to the parent company(1) Trade name and other items related to the parent company(As of September 30, 2005)
Parent company Attributes
Percentage of Stock exchanges on which shares issued
voting rights by the parent company are listed
held by parent
company(％)
Toyota Motor
The relevant
24.25
Tokyo Stock Exchange, First Section
Corporation
other company(0.23)
Nagoya Stock Exchange, First Section
when a listed
Osaka Securities Exchange, First Section
company is an
Fukuoka Stock Exchange
affiliatedSapporo Stock Exchange
company of thisNew York Stock Exchange (U.S.)
other company
London Stock Exchange (U.K.)
Notes: The figure shown inside the parenthesis indicates the percentage of indirectly held
voting rights among all voting rights held by the parent company.
(2) Matters related to transactions with the parent company
FY2005 (April 1, 2005 – September 30, 2005)
Details of affiliation
Transaction
Transaction Category
Year-end
detailsamountbalance
Concurrent post of Business(¥ millions)(¥ millions)directors (names) affiliation
Concurrent posts: 4 Sale of products Sale of
230,657
Accounts
38,368
Employmentof the Automobile automobiles
receivabletransfers: 11
Segment
and engines*1
Accounts
34,761
Purchase of 158,393
Payablecomponents
forautomobilesand engines*2
Notes: 1. Transaction conditions and determining policies of transaction conditions*1 Regarding sales of automobiles and engines, the Company presents its desired
prices based on total costs, and settles on prices in a similar manner as forordinary transaction conditions upon undertaking price negotiations for eachfiscal term.
*2 Regarding purchases of components for automobiles and engines, based on theprices presented, the Company settles on prices in a similar manner as forordinary transaction conditions upon undertaking price negotiations for eachfiscal term.
2. There are no matters in the above-mentioned “details of affiliation” and “transaction
details” that would restrict the Company’s independence. There are no monetaryloan debit and credit relationships or guarantee or warranty relationships.

-4-

Business Results and Financial Position
1. Business Results
During the first half of fiscal 2006 (the six months ended September 30, 2005), the economy
continued on its slow path to recovery as private-sector capital investment increased on the back ofimproved corporate earnings. Consumer spending also picked up. Overseas, the overall economic
outlook was bright. The U.S. economy continued to expand, the European economy maintained its
underlying strengths and the Chinese economy moved full speed ahead.
In this operating environment, Toyota Industries posted total consolidated net sales of 699.0
billion yen, an increase of 92.0 billion yen, or 15%, compared with the first half of fiscal 2005 (the six
months ended September 30, 2004). The following is a review of operations for the major businesssegments.
Net sales of the Automobile Segment totaled 337.7 billion yen, an increase of 29.1 billion yen, or
9%, over the first half of fiscal 2005.
Within this segment, net sales of the Vehicle Business totaled 154.7 billion yen, an increase of
15.4 billion yen, or 11%, over the first half of fiscal 2005. Sales of the fully remodeled Vitz, which
was re-launched in February 2005 in Japan, were strong. Overseas, sales of the Yaris (European
version of the Vitz) and the RAV4 increased.
Net sales of the Engine Business totaled 65.4 billion yen, an increase of 8.9 billion yen, or 16%,
over the first half of fiscal 2005. This increase was due largely to an increase in sales of the ADdiesel engine (successor to the CD diesel engine), which is mounted on the Avensis for Europe, as
well as the commencement in June 2005 of production of the KD diesel engine for Toyota Motor
Corporation’s (TMC) Innovative International Multi-Purpose Vehicle (IMV) Project. Toyota Industry
Automotive Parts (Kunshan) Co., Ltd., which was established in Jiangsu Province, China, in April
2004 to meet an increase in demand in foundry parts for engines, began operations in April 2005.
Net sales of the Car Air-Conditioning Compressor Business totaled 105.0 billion yen, an increaseof 3.8 billion yen, or 4%, over the first half of fiscal 2005. While sales in the domestic market wereapproximately the same level as for the first half of fiscal 2005, sales overseas increased as a resultof a rise in sales to North America and Europe. In May 2005, Toyota Industries, DENSO Corporation,
Toyota Tsusho Corporation and Toyota Industry (Kunshan) Co., Ltd. jointly established TD
Automotive Compressor Kunshan, Co., Ltd. to meet expanding demand in car air conditioning in the
Chinese market. Production of fuel-efficient variable-displacement car air-conditioning compressors
is slated to start in April 2006.
Net sales of the Materials Handling Equipment Segment of Toyota Industries totaled 281.5 billion
yen, an increase of 41.6 billion yen, or 17%, over the first half of fiscal 2005. This increase was a
result of robust sales in both the Japanese and overseas markets on the back of global economic
recovery. During the period, Toyota Industries strove to enhance its global sales network andimplemented vigorous sales promotion activities. For example, in August 2005, we established the
Toyota National Customer Center, an experience-based showroom, in the U.S. state of Indiana.
Also, Toyota Industries strengthened its product line by equipping the GENEO Series (7 Series
overseas) lift trucks with the operator presence sensing system as a standard specification toenhance operator safety.
Net sales of the Logistics Solutions Segment totaled 30.6 billion yen, a significant increase fromthe first half of fiscal 2005, due in large part to the contribution by Asahi Security Co., Ltd., whichbecame one of Toyota Industries’ subsidiaries in March 2005. Toyota Industries focused on
expansion of the logistics solutions business, which undertakes total logistics operations on an
outsourced basis directed toward lowering the logistics costs of customers, as well as implemented
vigorous sales promotion activities.
Net sales of the Textile Machinery Segment totaled 24.0 billion yen, an increase of 1.8 billion yen,or 8%, from the first half of fiscal 2005. This increase was attributable mainly to strong sales of
air-jet looms, our flagship product, and an increase in sales of spinning machinery in India, Thailand
and Indonesia.
During the first half of fiscal 2006, Toyota Industries’ ordinary income amounted to 41.5 billion
yen, an increase of 2.7 billion yen, or 7%, over the first half of fiscal 2005. Despite the effects of arise in raw materials costs and increases in depreciation and personnel expenses, this increase waslargely achieved due to an increase in global sales, Group-wide cost-reduction activities and anincrease in non-operating income.
Cash flows from operating activities increased by 58.7 billion yen during the first half of fiscal-5-

2006, due largely to income before income taxes in an amount of 41.5 billion yen. Net cash
provided by operating activities increased by 13.6 billion yen from 45.1 billion yen in the first half offiscal 2005. Cash flows from investing activities resulted in a decrease in cash by 114.7 billion yen
during the first half of fiscal 2006, attributable primarily to payments for acquisition of fixed assets
amounting to 95.5 billion yen. Net cash used in investing activities increased by 59.8 billion yen
from 54.9 billion yen for the first half of fiscal 2005. Cash flows from financing activities resulted in
an increase in cash by 30.1 billion yen during the first half of fiscal 2006, due mainly to proceedsfrom issuance of commercial paper in an amount of 52.3 billion yen. Net cash provided by financing
activities increased by 20.7 billion yen from 9.4 billion yen for the first half of fiscal 2005.
After translation adjustments, cash and cash equivalents as of September 30, 2005 stood at 73.7
billion yen, a decrease of 3.1 billion yen, or 4%, over the first half of fiscal 2005.

2. Distribution of Profits

Toyota Industries Corporation will distribute an interim cash dividend of 18 yen per commonshare, an increase of 5 yen per common share over the first half of fiscal 2005.

3. Forecast for the Fiscal Year Ending March 31, 2006

Toyota Industries expects the global economy to continue along a steady path toward recovery.
Uncertainties persist regarding the temporary deceleration of the U.S. economy due to hurricane
damages, exchange rate fluctuations and the rising prices of raw materials worldwide.
For fiscal 2006, ending March 31, 2006, Toyota Industries forecasts consolidated net sales of
1,500.0 billion yen, ordinary income of 77.0 billion yen and net income of 45.0 billion yen. We aredetermined to heighten the comprehensive capabilities of the Toyota Industries Group as a wholethrough the development of appealing new products matched to customer needs with anunwavering emphasis on quality, as well as the enhancement of sales, service and cost-reduction
activities Group-wide.
Our projections are based on an exchange rate of ¥110.0 = US$1.

4. Risk Information

The following represent risks that could have a material impact on Toyota Industries’ financial
condition, business results and share prices. The forward-looking statements herein are based on
information known to management as of September 30, 2005.

Principal Customers

Toyota Industries’ automobile and engine products are sold primarily to TMC. During the first halfof fiscal 2006, net sales to TMC accounted for 33.0% of consolidated net sales. Therefore, TMC’s
vehicle sales could have an impact on Toyota Industries’ business results. As of September 30,
2005, TMC held 24.3% of total shares issued.

Product Development Capabilities
Based on the concept of “developing appealing new products,” Toyota Industries proactively
develops new products by utilizing its leading-edge technologies, as it strives to anticipate
increasingly sophisticated and diversifying needs of the market and ensure the satisfaction of its
customers. R&D activities are focused mainly on developing and upgrading products in current
business fields and peripheral sectors. Toyota Industries expects that revenues derived from thesefields will continue to account for a significant portion of total revenues and anticipates that future
growth will be contingent on the development and sales of new products in these fields. Toyota
Industries believes that it can continue to develop appealing new products. However, Toyota
Industries may not be able to forecast market needs and develop and introduce appealing new
products in a timely manner. This could result in lower future growth and have an adverse impact on
Toyota Industries’ financial condition and business results. Such a situation could result from risks
that include no assurance Toyota Industries can allocate sufficient future funds necessary for thedevelopment of appealing new products; no assurance that product sales will be successful, as
forecasts of products supported by the market may not always be accurate; and no assurance that
newly developed products and technologies will always be protected as intellectual property.
Intellectual Property Rights
In undertaking its business activities, Toyota Industries has acquired numerous intellectual
property rights, including those acquired overseas, such as patents related to its products, productdesigns and manufacturing methods. However, not all patents submitted will necessarily be
registered as rights, and these patents could thus be rejected by patent authorities or invalidated by-6-

third parties. Also, a third party could circumvent a patent of Toyota Industries and introduce acompeting product into the market. Moreover, Toyota Industries’ products utilize a wide range oftechnologies. Therefore, Toyota Industries could become a party subject to litigation involving theintellectual property rights of a third party.
Product Defects
Guided by the basic philosophy of “offering products and services that are clean, safe and of highquality,” Toyota Industries makes its utmost efforts to enhance quality. However, Toyota Industries
cannot guarantee all its products will be defect-free and that product recalls will not be made in the
future. Toyota Industries is insured for product liability indemnity. However, Toyota Industries cannot
guarantee that this insurance will sufficiently cover final indemnity amounts incurred. Productdefects that could lead to large-scale recalls and product liability indemnities could result in large
cost burdens and have a significant negative impact on the evaluation of Toyota Industries. It could
also have an adverse effect on Toyota Industries’ financial condition and business results due to adecrease in sales, deterioration of profitability and decrease in share prices of Toyota Industries.
Price Competition
Toyota Industries faces extremely harsh competition in each of the industries in which it conducts
business, including its Automobile and Materials Handling Equipment businesses, which are thecore of Toyota Industries’ earnings foundation. Toyota Industries believes it offers high-value-added
products that are unrivalled in terms of technology, quality and cost. Amid an environment
characterized by intensifying price competition, however, Toyota Industries may be unable tomaintain or increase market share against low-cost competitors or to maintain profitability. This
could have an adverse impact on Toyota Industries’ financial condition and business results.
Reliance on Suppliers of Raw Materials and Components
Toyota Industries’ products rely on various raw materials and components from suppliers outside
the Toyota Industries Group. Toyota Industries has concluded basic business contracts with theseexternal suppliers and assumes it can carry out stable transactions for raw materials andcomponents. However, Toyota Industries has no assurances against future shortages of raw
materials and components, which arise from a global shortage due to tight supply or an unforeseen
accident involving a supplier. Such shortages could have a negative effect on Toyota Industries’
product production and cause an increase in costs, which could have an adverse impact on Toyota
Industries’ financial condition and business results.
Environmental Regulations
In view of its social responsibilities as a company, Toyota Industries strives to reduce any burden
on the environment resulting from its production processes, as well as strictly adheres to applicable
environmental laws and regulations. However, various environment-related regulations could also
be revised and strengthened in the future. Accordingly, any expenses necessary for continuous
strict adherence to these environmental regulations could result in increased business costs andhave an adverse impact on Toyota Industries’ financial condition and business results.
Alliances with Other Companies
Aiming to expand its businesses, Toyota Industries engages in joint activities with othercompanies through alliances and joint ventures. However, a wildly fluctuating market trend or adisagreement between Toyota Industries and its partners, owing to business, financial or otherreasons, could prevent Toyota Industries from deriving the intended benefits of its alliances.
Exchange Rate Fluctuations
Toyota Industries’ businesses encompass the production and sales of products and the provisionof services worldwide. Generally, the strengthening of the yen against other currencies (especiallyagainst the U.S. dollar and the euro, which account for a significant portion of Toyota Industries’
sales) has an adverse impact on Toyota Industries’ business, while a weakening of the yen has afavorable impact. Consequently, in businesses that Toyota Industries manufactures products inJapan for export, the strengthening of the yen against other currencies reduces the relative pricecompetitiveness of Toyota Industries’ products on a global basis. Such currency trends could havean adverse impact on Toyota Industries’ financial condition and business results.

-7-

Share Price Fluctuations
Toyota Industries held marketable securities, and therefore bears the risk of price fluctuation ofthese shares. Based on fair market value of these shares at the end of this period, Toyota Industries
had unrealized gains. However, unrealized gains on marketable securities could worsen depending
on future share price movements. Additionally, a fall in share prices could reduce the value ofpension assets, leading to an increase in the pension shortfall.
Effects of Disasters, Power Blackouts and Other Incidents
Toyota Industries carries out regular checks and inspections of its production facilities tominimize the effect of production breakdown. However, there is no assurance Toyota Industries cancompletely prevent or lessen the impact of man-made or natural disasters, including malfunctions of
production facilities, fires at production facilities and power blackouts. For example, the majority of
Toyota Industries’ domestic production facilities and most of its business partners are situated in the
Chubu region. Therefore, a major earthquake such as the Tokai Earthquake, or an incident that
affects other operations, could delay or stop the production or shipment activities. Such prolonged
delays and stoppages could have an adverse impact on Toyota Industries’ financial condition andbusiness results.
Latent Risks Associated with International Activities
Toyota Industries manufactures and sells products and provides services in various countries.
Such unforeseen factors as social chaos, including political disruptions, terrorism and wars, as well
as changes in economic conditions, could have an adverse impact on Toyota Industries’ financial
condition and business results.
Retirement Benefit Liabilities
Toyota Industries’ employee retirement benefit expenses and liabilities are calculated based on
expected rates of return on pension assets as well as assumptions upon making actuarial
calculations that incorporate discount rates and other factors. Therefore, differences between actual
results and assumptions as well as changes in the assumptions could have a significant impact onrecognized expenses and calculated liabilities in future accounting periods.

-8-Consolidated Balance Sheets
FY2005

FY2006As of
As of( September
30, 2005 ) ( March 31, 2005 )Increase(Decrease)

FY2005
As of( September
30, 2004 )(Assets)
438,719

462,973(24,254)369,099

89,766

84,915

4,851

56,945

181,764

173,459

8,305

150,569

Marketable securities

10,05740,056(29,999)

20,021Inventories

96,36094,024

2,336

86,524

Deferred tax assets

15,942

20,379(4,437)

19,879Other current assets
Less - allowance for doubtful
accounts

47,07752,491(5,414)37,524(2,248)(2,351)103(2,365)2,243,931

1,863,850

380,081

1,804,230

Property, plant and equipment

496,835

457,078

39,757409,970

Buildings and structures

144,990

132,419

12,571

129,127

Machinery, equipment and vehicles

214,067

185,424

28,643

170,712Tools, furniture and fixtures

20,052

18,833

1,219

15,806Land

83,00378,658

4,345

72,289Construction in progress

34,721

41,742(7,021)

22,035

108,141

116,971(8,830)95,924

Software12,823

12,410413

12,155

Goodwill

95,318104,561(9,243)

83,7691,638,954

1,289,799

349,155

1,298,334

1,572,060

1,222,658

349,402

1,233,265

9,018

9,804

(786)

9,624

11,966

13,218(1,252)

13,725

6,513

7,234

(721)

6,074

39,60837,2142,394

35,910

(212)

(330)

118

(266)

2,682,651

2,326,824

355,827

2,173,329

561,735

541,382

20,353

527,407

3,899
6,538,315
Shares

29,054
7,603,825
shares(25,155)(1,065,510)
shares12,566
7,620,759
shares

4,927

5,234

(307)

4,832

Current assets
Cash and deposits
Trade notes and accounts receivable

Fixed assets

Intangible assets

Investments and other assets
Investments in securities
Long-term loans
Long-term prepaid expenses
Deferred tax assets
Other investments and other assets
Less - allowance for doubtful
accounts
Total assets
Notes: 1. Accumulated depreciation ofproperty, plant and equipment
Notes: 2. Liabilities for guarantees
Notes: 3. Number of shares of treasury stock
Notes: 4. Allowance for retirement and severance
benefits for directors and corporate auditors( included in allowance for retirement benefits)-9-

(Million yen; amounts less than one million yen are omitted.)(

FY2006

FY2005As of
September 30, 2005

As ofMarch 31, 2005

) ()

FY2005

Increase(Decrease)

As of( September
30, 2004 )(Liabilities)
419,659

421,539(1,880)366,248

159,589

160,231(642)

134,552

Short-term loans

29,97659,945(29,969)

75,671

Commercial paper

50,876-50,87615,000Current portion of bonds

15,00020,300(5,300)20,300

Other payables

24,72545,461(20,736)

18,573

Accrued expenses

62,361

59,356

3,005

55,116

Accrued income taxes

10,445

15,297(4,852)

13,550

Deposits received from employees

20,70420,054650

19,861

Deferred tax liabilities

3,759

4,066

(307)

3,144

Other current liabilities

42,22036,826

5,394

10,476Long-term liabilities

893,007748,633

144,374

670,644

220,394

230,000(9,606)

180,000

98,82673,491

25,33541,389511,529

381,787

129,742

388,322

Allowance for retirement benefits

44,13044,462(332)

42,486

Other long-term liabilities

18,12518,891(766)

18,447

Total liabilities

1,312,667

1,170,172

142,495

1,036,893

43,84940,904

2,945

38,220Common stock

80,46280,462-80,462

Capital surplus

105,669

105,600

69

105,621

Retained earnings
Net unrealized gain onother securities
Translation adjustments

342,075

325,330

16,745

310,054788,774

591,218

197,556

598,868

23,542

29,861(6,319)19,967

Treasury stock at cost

(14,389)(16,726)

2,337(16,759)

Total shareholders’ equity

1,326,134

1,115,747

210,387

1,098,215

Total liabilities andshareholders’ equity

2,682,651

2,326,824

355,827

2,173,329

Current liabilities
Trade notes and accounts payable

Bonds
Long-term loans
Deferred tax liabilities

Minority interests inconsolidated subsidiaries(Shareholders’ equity)- 10 -

Consolidated Statements of Income(Million yen; amounts less than one million yen are omitted.)

FY2006

FY2005

April 1, 2005 April 1, 2004 ( September
30, 2005 ) ( September 30, 2004 )Increase(Decrease)

FY2005
April 1, 2004 ( March
31, 2005 )Net sales

699,028

607,063

91,965

1,241,538

Cost of sales

586,753505,90280,851

1,041,780

Gross profit

112,274

101,161

11,113

199,758

Selling, general andadministrative expenses

80,22371,062

9,161

146,638

Operating income

32,05130,098

1,953

53,120Non-operating income

21,834

18,932

2,902

38,284

Interest income

4,406

3,934

472

8,159

Dividends income

10,687

7,060

3,627

13,760

Other non-operating income

6,739

7,936

(1,197)

16,363Non-operating expenses

12,308

10,141

2,167

20,491

Interest expenses

5,258

4,589

669

9,735

Other non-operating expenses

7,049

5,551

1,498

10,756

41,57738,8902,687

70,912

-

414

(414)

558

-

414

(414)

558

Income before income taxes
and minority interests

41,57738,476

3,101

70,353

Income taxes – current

11,827

15,483(3,656)26,808

Income taxes – deferred

2,204(3,232)

5,436(4,557)

Minority interests inconsolidated subsidiaries

2,536

2,280

256

4,744

25,00823,945

1,063

43,357

Ordinary income
Extraordinary losses
Impairment loss of fixed assets

Net income- 11 -

Consolidated Statements of Retained Earnings(Million yen; amounts less than one million yen are omitted.)

FY2006

FY2005

April 1, 2005 April 1, 2004 ( September
30, 2005) ( September 30, 2004)

FY2005

Increase(Decrease)

April 1, 2004 ( March
31, 2005 )(Capital surplus)
Capital surplus
at beginning of period

105,600

105,743(143)

105,743

Increase in capital surplus

68

-

68

-

Gain on disposal of treasury stock

68

-

68

-

Decrease in capital surplus

-

121

(121)

142

Loss on disposal of treasury stock

-

121

(121)

142

105,669

105,62148

105,600

325,330

294,672

30,658294,672

Increase in retained earnings

25,00823,945

1,063

43,357

Net income for the period

25,00823,945

1,063

43,357

Decrease in retained earnings

8,263

8,562

(299)

12,699

6,046

3,811

2,235

7,948

395

331

64

331

-

4,419

(4,419)

4,419

1,821

-

1,821

-

342,075

310,054

32,021

325,330

Capital surplus at end of period(Retained earnings)
Retained earnings
at beginning of period

Cash dividends
Bonuses to directors andcorporate auditors
Net decrease due to minimum
pension liability adjustments ofconsolidated subsidiaries
Decrease due to increase inaffiliates accounted for under theequity method
Retained earnings at end of period- 12 -

Consolidated Statements of Cash Flows(Million yen; amounts less than one million yen are omitted.)(

FY2006

FY2005

April 1, 2005 September 30, 2005

April 1, 2004 September 30, 2004

) ()

FY2005

Increase(Decrease)(

April 1, 2004 March 31, 2005)

58,75945,19813,561

100,095

41,57738,476

3,101

70,35339,1697(15,094)
5,258(1,267)(11,695)(3,737)(479)
9,274
63,01415,090(5,278)(14,067)

32,707414
23(10,995)
4,589(4,210)(5,295)(8,527)
3,704(1,399)49,487
11,025(4,557)(10,756)

6,462
(414)
(16)
(4,099)669
2,943(6,400)4,790(4,183)
10,673
13,527
4,065(721)(3,311)

70,213558
371(21,920)
9,735(6,805)(22,923)(12,851)
26,893(4,063)
109,561
21,971(8,710)(22,727)

Cash flows from investing activities
Payments for purchases of property, plant andequipment
Proceeds from sales of property, plant andequipment
Payments for purchases of investment securities
Proceeds from sales of investment securities
Payments for acquisition of subsidiaries' stock
resulting in change in scope of consolidation
Payments for loans madeProceeds from collections of loans
Others, net(114,771)(54,965)(59,806)(128,230)(95,546)(45,870)(49,676)(110,111)

3,976

985

2,991

10,043(21,375)
2,153(9,029)1,100(12,346)
1,053(9,562)
3,299

-

-

-

(16,943)(2,393)
1,055(2,641)

(839)
1,943
(3,255)(1,554)(888)
614(2,370)2,783(5,368)Cash flows from financing activities
Increase (decrease) in short-term loans
Increase (decrease) in commercial paper
Proceeds from long-term loans
Repayments of long-term loans
Proceeds from issuances of bonds
Repayments of bonds
Payments for purchase of treasury stocks
Cash dividends paid
Cash dividends paid for minority shareholders
Others, net
Translation adjustments of cash and cash
equivalents

30,187(29,942)
52,30328,413(2,531)
5,692(20,300)(22)(6,041)
(616)
3,232

9,422
5,739
7,773
(2,140)(16)(3,813)
(485)
2,365

20,765(35,681)
52,303
20,640(391)
5,692(20,300)(6)(2,228)(131)867

50,020(13,686)(15,000)
40,785(6,964)50,000(52)(7,948)
(667)
3,554

(918)

(39)

(879)

1,438

(26,742)(384)(26,358)

23,323

100,535

77,212

23,323

77,21273,79376,827(3,034)

100,535

Note: Breakdown of cash and cash equivalents by accounts on the consolidated balance sheets:
Cash and deposits
63,79356,807
Marketable securities
10,00020,020

6,986(10,020)

60,53040,005

Cash flows from operating activities
Income before income taxes and minority
interests
Depreciation and amortization
Impairment loss of fixed assets
Increase (decrease) in allowance for doubtful
Interest and dividends income
Interest expenses
Equity in earnings of affiliates(Increase) decrease in receivables(Increase) decrease in inventories
Increase (decrease) in payables
Others, net
SubtotalInterest and dividends received
Interest paid
Income taxes paid

Net increase (decrease) in cash and cash
equivalents
Cash and cash equivalents
at beginning of period
Cash and cash equivalents at end of period- 13 -

Basis of Presenting Consolidated Financial Statements
1. Scope of consolidation and equity method(1) Scope of consolidation
Companies

Consolidated
subsidiaries

149

Aichi Corporation Group (5 companies), TIBC Corporation, Asahi Security Co., Ltd.,TOYOTA L&F Tokyo Co., Ltd., Logistics Planning Tokyo Co., Ltd., Altex Co., Ltd.,Sun River Co., Ltd., Izumi Machine Mfg. Co., Ltd., TOYOTA L&F Keiji Co., Ltd., Tokyu Co., Ltd.,
Mino Tokyu Co., Ltd., Advanced Logistics Solutions Co., Ltd., Teionshokuhin Ryutsu Inc.,
Toyoda High System, Incorporated, Nishina Industrial Co., Ltd., Suzaka Nishina Industrial Co., Ltd.,ALTRAN Corporation, KTL Co., Ltd., Tokaiseiki Co., Ltd., TF Logistics Co., Ltd.,
Taikoh transportation Group (5 companies), SKE Inc., SK Maintenance Inc., Unica Co., Ltd.,
Iwama Loom Works, Ltd., Kawamoto System Corporation, Nagao kogyo Co., Ltd.,TOYOTA L&F Shizuoka Co., Ltd., Hara Corporation, Mizuho Industry Co., Ltd.,Sun Valley Group (2 companies), Sun Staff, Inc., ALT Logistics Co., Ltd., Shine’s Inc.,
Toyota Industries Well Support Corporation,
Toyota Industries Sweden AB, BT Industries Group (63 companies),
Toyota Industries Finance International AB, Michigan Automotive Compressor, Inc.,TD Automotive Compressor Georgia, LLC., Kirloskar Toyoda Textile Machinery Ltd.,
Toyota Industries North America, Inc., Toyota Industrial Equipment Mfg., Inc.,
Toyota Material Handling USA, Inc., ACTIS manufacturing Ltd., LLC,
Toyota-Lift of Los Angeles, Inc., Toyoda Textile Machinery, Inc.,
Toyota Textile Machinery, Europe Group (2 companies),
Toyota Industries Personnel Service of America Inc., TD Deutsche Klimakompressor GmbH,
Toyota Industry (Kunshan) Co., Ltd., Toyota Industry Automotive Parts (Kunshan) Co., Ltd,
Toyota Truck Norge Group (4 companies), Toyota Industrial Equipment, S.A.,
Toyota Industries Mercosur Ltda., Toyota Industries Corporation Australia (10 companies),
TD Automotive Compressor Kunshan, Co., Ltd., Toyota Material Handling (Shanghai) Co., Ltd,
Toyota Industries Trading & Logistics (China) Co., Ltd., Toyota Gabelstapler Deutschland GmbH,
Toyota Industrial Equipment (UK) Group (2 companies),
Toyota Industrial Equipment Europe Group (3 companies)(2) Scope of equity method
Companies

Affiliates

21

Aichi Corporation Group (2 companies), ST Liquid Crystal Display Corp., Fuji Logistics Co., Ltd.,BT Industries Group (16 companies), Toyota Motor Industries Poland Sp.zo.o.

2. Changes in scope of consolidation and equity method
Consolidated subsidiaries
Companies(Increase)4(Decrease)1

Toyota Industries Corporation Australia (1 company),
TD Automotive Compressor Kunshan, Co., Ltd.,
Toyota Industries Trading & Logistics (China) Co., Ltd.,
Toyota Industrial Equipment Europe Group (1 company)
BT Industries Group (1 company)

Affiliates accounted for the equity method
Companies(Increase)1

Toyota Motor Industries Poland Sp.zo.o.

3. Fiscal years of consolidated subsidiaries
Some consolidated subsidiaries have a closing date other than September 30. The details are given below.
June 30

Toyota Industries Sweden AB, BT Industries Group (63 companies),
Toyota Industries Finance International AB, Toyota Material Handling (Shanghai) Co., Ltd.,
Toyota Industry (Kunshan) Co., Ltd., Toyota Industry Automotive Parts (Kunshan) Co., Ltd.,TD Automotive Compressor Kunshan, Co., Ltd., Toyota Industries Trading & Logistics (China) Co., Ltd.

- 14 -

4. Significant accounting policies(1) Valuation of significant assets
a. Marketable securities
Other securities with market valueb. Inventories

Other securities without market value…. Fair value method using market price at the end of period(Unrealized gains and losses are recorded as a portionof shareholders’ equity. Sales cost of marketablesecurities is determined by the moving averagemethod.)…. At cost determined by the moving average method…. Mainly at cost determined by the moving average method(2) Depreciation and amortization
Depreciation expenses of property, plant and equipment are computed mainly by the declining-balance method.
Amortization of intangible assets is computed by the straight-line method.
(3) Significant allowancesa. Allowance for doubtful accounts is estimated by such means as using the percentage of historical experiences in credit
losses for ordinary receivables and by examining the feasibility of collection individually for receivables that seem to beuncollectible.
b. For the purpose of preparation for future payments of employees' retirement benefits, allowance for retirement benefits isrecorded at the amount incurred based on projected benefit obligations and pension assets at the end of period. Provision
for retirement and severance benefits for directors and corporate auditors are recorded at the amounts required at the endof period by a internal rule describing the retirement benefits for directors and corporate auditors.
(4) Accounting for significant lease transactions
Financing leases other than those that are deemed to transfer the ownership of the leased properties to lessees aremainly accounted for by the method similar to that applicable to ordinary operating leases.
(5) Hedge accounting method
Mainly the deferral method of hedge accounting is applied. In case of foreign currency forward contracts, the hedged items
are translated at contracted forward rate if certain conditions are met. In this period, interest rate swap contracts are used
for hedging risk of change in interest rate relating loans. Foreign exchange forward contracts and foreign currency option
contracts are also used for hedging risk of change in foreign exchange rate relating to foreign currency transactions.
(6) Other significant accounting policies for preparing consolidated financial statements
The consumption tax : computed based on the net-of-tax method

5. Scope of cash and cash equivalents on the consolidated statements of cash flows
Cash and cash equivalents on the consolidated statements of cash flows include cash on hand, bank deposits to be withdrawn
at any time and short-term investments with original maturities of three months or less, that are readily convertible to known
amounts of cash and are so near maturity that they present insignificant risk of changes in fair value.

- 15 -

Segment Information
1.Business segment information(1)FY2006 Semiannual (April 1, 2005 - September 30, 2005)(Million yen; amounts less than one million yen are omitted.)

Automobile

Materials
handling
equipment

Logistics

Textilemachinery

OthersTotal

Eliminations Consolidated(1) Outside customer sales

337,751

281,597

30,61524,09424,968699,028-

699,028(2) Intersegment transactions

10,195

137

2,786

10

8,823

21,953(21,953)-

Total

347,946

281,735

33,402

24,10433,792

720,981(21,953)

699,028

Operating expenses

336,528

263,415

32,87423,91331,673

688,406(21,429)

666,976

Operating income

11,41818,319

528

191

2,118

32,575(523)

32,051

Net sales

Notes: 1. Business segments are divided by the type and nature of the product.
2. Main products of each segment:
Automobile ………………………Passenger vehicles, diesel and gasoline engines, car air-conditioning compressors
Materials handling equipment ...Counterbalanced forklifts, warehouse equipment, automated storage and retrieval system, truck mountaerial work platforms
Logistics …………………………Transportation services, logistics planning, operation of distribution centers, collection and delivery ofcash and management of sales proceeds
Textile machinery ………………Ring spinning frames, air jet looms, water jet looms
Others ……………………………Ball grid array-type plastic package substrates for IC chipsets
3. Changes in business segment
The logistics-related business, which was included in the Others Segment until the previous fiscal year, has been separated and declared
independently as the Logistics Segment starting from this fiscal year (fiscal 2006). Sales of the Logistics Segment for FY2005
semiannual were 17,540 million yen and an operating loss of 75 million yen. For FY2005 annual, the segment recorded sales of 37,913
million yen and an operating loss of 650 million yen.

(2)FY2005 Semiannual (April 1, 2004 - September 30, 2004)(Million yen; amounts less than one million yen are omitted.)

Automobile

Materials
handling
equipment

Textilemachinery(1) Outside customer sales

308,666

239,90922,272(2) Intersegment transactions

8,814

64

Total

317,481

Operating expenses
Operating income

Total

Eliminations Consolidated

36,213607,063-

607,063

9

9,684

18,572(18,572)-

239,974

22,28245,898625,636(18,572)

607,063

302,291

227,932

22,42342,559595,206(18,241)

576,964

15,19012,041

(141)

3,339

30,430(331)

30,098Others

Net sales(3)FY2005 (April 1, 2004 - March 31, 2005)(Million yen; amounts less than one million yen are omitted.)

Automobile

Materials
handling
equipment

Textilemachinery(1) Outside customer sales

616,200

503,989

43,902(2) Intersegment transactions

18,222

148

Total

634,422

Operating expenses
Operating income

Total

Eliminations Consolidated

77,446

1,241,538-

1,241,538

24

21,57939,975(39,975)-

504,138

43,92799,025

1,281,514(39,975)

1,241,538

611,659

478,053

44,69893,782

1,228,193(39,775)

1,188,418

22,76326,084

(771)

5,243

53,320(200)

53,120

Others

Net sales- 16 -

2.Geographical segments(1) FY2006 Semiannual (April 1, 2005 - September 30, 2005)
North
Japan
America
Net sales
461,876
119,484(1) Sales to external customers(2) Inter-segment sales and53,537742transfers
Total
515,413120,227
Operating expenses
490,894
116,133
Operating income
24,5194,093(2)FY2005 Semiannual (April 1, 2004 – September 30, 2004)
North
Japan
America
Net sales
398,524
105,517(1) Sales to external customers(2) Inter-segment sales and48,299466
transfers
Total
446,823
105,984
Operating expenses
421,828
102,216
Operating income
24,995
3,768(Million yen; amounts less than one million yen are omitted.)

EuropeOperating income

Total

Eliminations Consolidated

102,181

15,485

699,028-

699,028

4,183

1,749

60,213(60,213)-106,365
103,235
3,129

17,235
16,631
604

759,242
726,895
32,346(60,213)(59,918)(295)

699,028
666,976
32,051(Million yen; amounts less than one million yen are omitted.)

EuropeOthersTotal

Eliminations Consolidated

90,067

12,955607,063-

607,063

3,618

1,389

53,775(53,775)-

93,686
91,1732,512

14,345
14,409(64)

660,839
629,627
31,211(53,775)(52,662)(1,112)607,063
576,964
30,098(3)FY2005 (April 1, 2004 - March 31, 2005)

Net sales(1) Sales to external customers(2) Inter-segment sales andtransfers
Total
Operating expenses

Others(Million yen; amounts less than one million yen are omitted.)

Japan

North
America

Europe815,039

212,253

188,668

99,464

1,125

914,503

Total

Eliminations Consolidated

25,576

1,241,538-

1,241,538

7,221

2,776

110,588(110,588)-

213,379

195,890

28,352

1,352,126(110,588)

1,241,538

870,928207,068

191,20227,712

1,296,911(108,493)

1,188,418

43,575

6,311

4,688

639

55,214(2,094)

53,120- 17 -

Others3.Overseas sales(1)FY2006 Semiannual (April 1, 2005 – September 30, 2005)(Million yen; amounts less than one million yen are omitted.)

North America

118,995

Overseas sales

Europe119,210

Others

58,83317.0%

Ratio of overseas sales to consolidated sales(2)FY2005 Semiannual (April 1, 2004 - September 30, 2004)

17.1%

8.4%

104,062

Europe109,480

Others51,65717.2%(3)FY2005 (April 1, 2004 - March 31, 2005)

265,200

18.0%

8.5%

43.7%

(Million yen; amounts less than one million yen are omitted.)

North America

208,675

EuropeOthersTotal

225,409104,917539,0021,241,538

Consolidated sales
Ratio of overseas sales to consolidated sales

Total

607,063

Consolidated sales

Overseas sales

42.5%(Million yen; amounts less than one million yen are omitted.)

North America

Ratio of overseas sales to consolidated sales

297,039
699,028

Consolidated sales

Overseas sales

Total

16.8%

- 18 -

18.2%

8.4%

43.4%

Breakdown of Consolidated Net Sales(Million yen; amounts less than one million yen are omitted.)(

FY2006

FY2005

April 1, 2005 September 30, 2005

April 1, 2004 September 30, 2004

AmountAutomobile

)

(

Ratio

AmountIncrease(Decrease))

FY2004(% Change

Ratio%

Amount%)April 1, 2003 –March 31, 2004

Ratio
%

%

Vehicle154,701

22.1

139,368

22.9

15,33311.0

278,841

22.5

Engine65,4149.4

56,507

9.3

8,907

15.8

113,295

9.1

Car air-conditioning
compressor

105,000

15.0

101,252

16.7

3,748

3.7

197,984

15.9

Foundry, Electronics
parts and others

12,635

1.8

11,538

1.9

1,097

9.5

26,0792.1

Subtotal

337,75148.3

308,666

50.8

29,085

9.4

616,200

49.6

Materials handlingequipment

281,59740.3

239,90939.5

41,68817.4

503,989

40.6

Logistics

30,615

4.4--

30,615---

Textile machinery

24,094

3.4

22,272

3.7

1,822

8.2

43,902

3.5

Others24,968

3.6

36,213

6.0(11,245)(31.1)

77,446

6.3

Total

699,028100.0

607,063

100.0

91,96515.1

1,241,538

100.0

Notes: The logistics-related business, which was included in the Others Segment until the previous fiscal year, has been separated
and declared independently as the Logistics Segment starting from this fiscal year (fiscal 2006). Sales of the Logistics Segment for
FY2005 semiannual and annual were 15,541 million yen and 33,306 million yen, respectively.

- 19 -

October 28, 2005

Semiannual Non-consolidated Financial Results for FY2006
TOYOTA INDUSTRIES CORPORATION
Stock exchange listings: Tokyo, Nagoya and Osaka (Ticker code: 6201) (URL http://www.toyota-industries.com/ )Representative person: Tetsuro Toyoda, President
Location of the head office: Aichi prefecture, Japan
Contact person: Toshifumi Ogawa, General Manager of Accounting Department (Tel. +81-(0)566-22-2511)
Date of the meeting of the Board of Directors for non-consolidated semiannual financial results for FY2006: October 28, 2005
Provision for interim cash dividends: Provision exists
Date of starting actual payment of interim cash dividends: November 25, 2005
Number of shares in unit share system: 100 shares

1. Financial Highlights for FY2006 Semiannual (April 1 – September 30, 2005)(1) Non-consolidated financial results(Amounts less than one million yen are omitted.)

Million yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual

434,957
386,317784,399
Net income%((

17,593
15,95626,320change fromyear )( %previous

Million yen

12.6 )
5.6 )17,172
18,94830,075%((change fromyear )( %previous

Million yen- 9.4 )
6.5 )

%

(
(

Ordinary
income25,18423,80839,785

%

(
(

5.8 )
20.2 )Net income
per share - basic

change fromyear )( %previous

Million yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual

Operatingincomechange fromyear )( %previous

Net sales

Yen

10.3 )
28.9 )

55.16
50.19
81.87

Notes: 1. Average number of shares issued each year
FY2006 Semiannual－318,937,523 shares, FY2005 Semiannual－317,933,860 shares, FY2005 Annual－.318,087,484 shares
Notes2. Changes in accounting policies: No change(2) Cash dividends
Interim cash dividends
per share

Cash dividends
per share

Yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual

Yen

18
13
－

－
－
32

(3) Non-consolidated financial position
Total assets

Shareholders’ equity

Million yen

FY2006 Semiannual
FY2005 Semiannual
FY2005 Annual

2,332,538
1,870,875
1,980,211

Ratio ofshareholders’ equity

Million yen

Shareholders’ equity
per share%

1,267,713
1,058,418
1,056,828

Yen

54.3
56.6
53.4

3,970.26
3,326.06
3,320.01

Note: 1. Number of shares outstanding at the end of period
FY2006 Semiannual－319,302,325 shares, FY2005 Semiannual－318,219,881 shares, FY2005 Annual－ 318,236,815 shares
2. Number of treasury stock at the end of period
FY2006 Semiannual－6,538,315 shares, FY2005 Semiannual－7,620,759 shares, FY2005 Annual－7,603,825 shares

2. Forecast of Non-consolidated Financial Results for FY2006 (April 1, 2005 - March 31, 2006)
Net sales
Million yen

FY2006 Annual

960,000

Ordinary income
Million yen

46,000Net income
Million yen

31,000

Reference: (Forecast) Net income per share－basic (annual): 97.09 yen- 20 -

Annual cash dividends per share
Year end
Yen

18

Yen

36

Non-consolidated Balance Sheets(

FY2006

FY2005As of
September 30, 2005

As ofMarch 31, 2005)()

FY2005

Increase(Decrease)

As of( September
30, 2004 )(Assets)
Current assets

236,592

255,513(18,921)

195,31146,811

28,721

18,09026,927

414

725

(311)

1,386

104,058

94,04810,01082,655

10,00040,005(30,005)

20,003Finished goods

2,322

1,724

598

2,474

Raw materials

277

472

(195)

373

Work in process

21,554

21,318236

19,471

5,180

4,731

449

4,099

Prepaid expenses

334

124

210

267

Deferred tax assets

9,939

13,526(3,587)

13,95535,71250,128(14,416)

23,706

Cash and deposits
Trade notes receivable
Trade accounts receivable
Marketable securities

Supplies

Other current assets
Less - allowance for doubtful
accounts
Fixed assets

(13)

(14)

1

(9)

2,095,946

1,724,698

371,248

1,675,564

Property, plant and equipment

301,144

277,90723,237

241,383

Buildings

82,51875,1587,360

73,764Structures

10,594

8,987

1,607

9,017

123,777

104,011

19,766

93,520

1,346

1,200

146

1,041

Tools, furniture and fixture

11,823

11,160

663

8,930

Land

50,40246,096

4,306

41,162

Construction in progress

20,68331,291(10,608)

13,946

Intangible assets

9,405

9,407

(2)

9,799

Software

9,405

9,407

(2)

9,799

Investments and other assets

1,785,394

1,437,383

348,012

1,424,381

Investments in securities

1,572,055

1,223,995

348,060

1,237,571

Investments in subsidiaries

181,761

181,231530

154,934

11,908

11,85553

10,794

9,136

10,029(893)

10,79010,615

10,442

173

10,403

(81)

(171)

90

(112)

2,332,538

1,980,211

352,327

1,870,875

3 7 8 , 9 8 5

3 6 8 , 9 3 7

1 0 , 0 4 8

3 6 2 , 3 2 7

3 7 , 7 5 9

2 8 , 3 5 4

9 , 4 0 5

3 , 1 4 9

4 , 3 3 1

4 , 5 3 2

( 2 0 1 )4 , 2 5 9

Machinery and equipment
Vehicles and delivery equipment

Long-term loans
Long-term prepaid expenses
Other investments and other assets

Less - allowance for doubtful
accounts
Total assets
Notes : 1. Accumulated depreciation ofproperty, plant and equipment
2. Liabilities for guarantees
3. Allowance for retirement and severance
benefits for directors and corporate auditors( included in allowance for retirement benefits)- 21 -

(Million yen; amounts less than one million yen are omitted.)(

FY2006

FY2005As of
September 30, 2005

As ofMarch 31, 2005

) ()

Increase(Decrease)

FY2005
As of( September
30, 2004 )(Liabilities)
Current liabilities
Trade notes payable
Trade accounts payable
Commercial paper
Current portion of bonds
Other payables
Accrued expenses
Accrued income taxes
Advance received
Deposits received
Deposits received from employees
Other current liabilities

237,724
1,577
109,41225,00015,00017,39330,143
4,144
706
13,47920,606260

238,536941
112,543
20,00038,616
29,614
8,221
999
7,342
19,965
290

(812)
636
(3,131)
25,000(5,000)(21,223)529(4,077)
(293)
6,137
641
(30)

201,315
1,089
91,182
15,00020,00014,20026,400
9,008
418
4,073
19,778163

Long-term liabilities

827,100

684,846

142,254611,142

Bonds
Long term loan
Deferred tax liabilities
Allowance for retirement benefits
Other long-term liabilities
Total liabilities

215,000
82,500507,168
21,172
1,258
1,064,824

230,000
55,000376,610
20,8562,378
923,382(15,000)
27,500130,558316(1,120)141,442

180,000
25,000383,639
20,153
2,350
812,457(Shareholders’ equity)
Common stock
Capital surplus
Capital reserve
Other capital reserve
Gain on disposal of treasury stock
Retained earnings

80,462
105,647
101,766
3,880
3,880
308,355

80,462
105,579
101,766
3,812
3,812
297,087

68
68
68
11,26880,462
105,585
101,766
3,819
3,819
290,860

17,004200,943679

17,004
180,844711

20,099(32)

17,004
180,844
711

263

133

130

133

200,000

180,000

20,000180,000

90,407

99,238(8,831)

93,011<17,593><26,320><(8,727)><15,956>

Net unrealized gainon other securities

787,637

590,426

197,211598,268

Treasury stock(14,389)(16,726)

2,337(16,759)

1,267,713
2,332,538

1,056,828
1,980,211

210,885
352,327

1,058,418
1,870,875

Legal reserve
General reserves
Reserve for special depreciation
Reserve for reduction of
acquisition cost of fixed assets
General reserves
Unappropriated retained
earnings at end of period<Included net income for period>

Total shareholders’ equity
Total liabilities and- 22 -

Non-consolidated Statements of Income(Million yen; amounts less than one million yen are omitted.)(

FY2006

FY2005

April 1, 2005 September 30, 2005

April 1, 2004 September 30, 2004

) ()

FY2005

Increase(Decrease)(

April 1, 2004 March 31, 2005)

(Ordinary profits and losses)
Operating revenue and expenses
Operating revenue

434,957

386,317

48,6407 8 4 , 3 9 9434,957

386,317

48,6407 8 4 , 3 9 9Operating expenses

417,785

367,369

50,4167 5 4 , 3 2 2Cost of sales
Selling, general andadministrative expenses
Operating income

387,204

338,567

48,6376 9 5 , 5 6 430,58128,801

1,780

5 8 , 7 5 817,172

18,948(1,776)

3 0 , 0 7 5

15,492

10,166

5,326

2 0 , 6 5 3Interest and dividends income

11,852

7,915

3,937

1 4 , 9 3 6Other non-operating income

3,639

2,251

1,388

5 , 7 1 6

Non-operating expenses

7,480

5,306

2,174

1 0 , 9 4 3Interest expenses

2,240

1,732

508

3 , 7 0 0

Other non-operating expenses

5,240

3,574

1,666

7 , 2 4 2

25,18423,8081,376

3 9 , 7 8 5

-

-

-

1 4 4

-

-

-

1 4 4

25,18423,8081,376

3 9 , 6 4 1

Income taxes - current

4,374

9,940

(5,566)

1 6 , 8 0 2

Income taxes - deferred

3,216(2,088)5,304( 3 , 4 8 1 )Net income

17,593

15,9561,637

2 6 , 3 2 0

Unappropriated retained earnings
brought forward

72,814

77,055(4,241)7 7 , 0 5 5

-

-

-

4 , 1 3 6

90,40793,011(2,604)9 9 , 2 3 8Net sales

Non-operating income and expenses
Non-operating income

Ordinary income(Extraordinary gains and losses)
Extraordinary losses
Impairment loss of fixed assets
Income before income taxes

Interim cash dividends

Unappropriated retained
earnings at end of period- 23 -