Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Summary of Consolidated Financial Results
for the Year Ended March 31, 2018
(Based on Japanese GAAP)May 9, 2018
Company name:Toshiba Machine Co., Ltd.

Stock exchange listing: Tokyo
Stock code:
6104
Representative:
Inquiries:

URL

http://www.toshiba-machine.co.jp

President and Chief Operating Officer
Executive Officer and General Affairs

Department Senior ManagerScheduled date of ordinary general meeting of shareholders:

Takahiro Mikami
Kazuya Ogawa

TEL

055-926-5141

June 22, 2018

Scheduled date to file Securities Report:
Scheduled date to commence dividend payments:

June 22, 2018
June 4, 2018

Preparation of supplementary material on financial results:
Holding of financial results meeting:

Yes
Yes

(for analysts)(Amounts less than one million yen are rounded down)
1. Consolidated financial results for the year ended March 31, 2018 (from April 1, 2017 to March 31, 2018)(1) Consolidated operating results
Net salesYear ended March 31, 2018Year ended March 31, 2017

Operating profit

Millions of yen
116,862
111,327% Millions of yen
5.0
4,640(5.1)
4,473

Earnings per share

Diluted earnings pershare

Profit attributable toOrdinary profit/total Operating profit/net
owners ofassets
sales
parent/equity
Yen%%%
–
6.3
4.8
4.0
–
2.1
3.6
4.0

Yen
41.57
11.87

Year ended March 31, 2018Year ended March 31, 2017

%
3.7
17.5

Percentages indicate year-on-year changes
Profit attributable toOrdinary profit
owners of parent
Millions of yen% Millions of yen%
6,982
29.1
5,016 182.4
5,406
8.9
1,776
(63.0)(2) Consolidated financial position
Total assets
As of March 31, 2018
As of March 31, 2017

Net assets

Equity ratio

Millions of yen
151,232
140,530

Millions of yen
81,334
77,120Cash flows fromoperating activities
Millions of yen
6,813
9,948

Cash flows frominvesting activities
Millions of yen(3,921)(2,983)

Net assets per share%
53.8
54.9

Yen
673.96638.99(3) Consolidated cash flows

Year ended March 31, 2018Year ended March 31, 2017

Cash flows from
Cash and cash equivalentsat end of period
financing activities
Millions of yen
Millions of yen(2,102)30,798(19,089)
30,0602. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended March 31, 2017
Year ended March 31, 2018Year ending March 31, 2019
(Forecast)of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen%%

––

6.00
7.00

––

6.00
7.00

12.00
14.00

1,636
1,689

101.1
33.7

1.9
2.1

–

7.50

–

7.50

15.00

131.8

3. Forecast of consolidated financial results for the year ending March 31, 2019 (from April 1, 2018 to March 31, 2019)
Net sales
Millions of yen
Six months ending
September 30, 2018
Full year

Percentages indicate year-on-year changes
Profit attributable toOperating profit
Ordinary profit
Earnings per shareowners of parent% Millions of yen% Millions of yen% Millions of yen%
Yen

66,000

17.6

2,800

58.9

3,100(19.4)

2,400(14.5)

19.89

135,000

15.5

6,900

48.7

7,700

10.35,700

13.6

47.23

4. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2018(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:No
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

NoNo

Restatement of prior period financial statements:

No(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2018

194,885,530 shares As of March 31, 2017

166,885,530 shares

Number of treasury shares at the end of the period
As of March 31, 201829,203,575 shares As of March 31, 201746,195,547 shares

120,686,561 shares Year ended March 31, 2017

149,609,370 shares

Average number of shares during the period
Year ended March 31, 20182

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2017

As of March 31, 2018Assets
Current assets
Cash and deposits
Notes and accounts receivable - trade29,91439,44430,39438,531

Securities
Merchandise and finished goods

146
6,529

404
8,811

Work in process
Raw materials and supplies

20,10082

24,76578

Deferred tax assets
Other

2,772
2,823

2,922
4,290

Allowance for doubtful accounts

(197)

(67)

101,615

110,129

36,28539,227

Accumulated depreciation(26,907)(27,282)

Buildings and structures, net

9,377

11,944

Total current assets
Non-current assets
Property, plant and equipment
Buildings and structures

Machinery, equipment and vehicles

25,32024,339

Accumulated depreciation(23,119)(22,171)

2,200

2,167

Land

Machinery, equipment and vehicles, net

6,439

6,450

Leased assets
Accumulated depreciation

227(180)

209
(132)

Leased assets, net

46

76

Construction in progress
Other

2,603
7,114

105
7,321

(6,656)(6,760)

Accumulated depreciation
Other, net

458

560

21,12521,305749

740

Total intangible assets

749

740

Investments and other assets
Investment securities

16,346

18,255

2387

1991

Other
Allowance for doubtful accounts

687
(104)

769
(77)Total investments and other assets

17,03919,05738,915

41,103

140,530

151,232

Total property, plant and equipment
Intangible assets
OtherLong-term loans receivable
Deferred tax assets

Total non-current assets
Total assets3

(Millions of yen)
As of March 31, 2017

As of March 31, 2018

Liabilities
Current liabilities
Notes and accounts payable - trade

26,097

29,835

Short-term loans payable
Income taxes payable

10,590573

14,390865

Accrued expenses
Provision for product warranties

4,785
530

5,247
597

Other4,904

6,890

Total current liabilities

47,481

57,827Long-term loans payable
Long-term accounts payable - other

4,300
5–
5

Deferred tax liabilities
Provision for directors' retirement benefits

2,275
29

2,582
30

Net defined benefit liability
Asset retirement obligations

9,244
49

9,312
50

Non-current liabilities

Other

25

89

15,92912,07063,41069,898

Capital stock
Capital surplus

12,484
19,60012,484
11,538Retained earnings
Treasury shares

67,534(25,898)

69,514(16,373)

Total shareholders' equity

73,722

77,164

Total non-current liabilities
Total liabilities
Net assets
Shareholders' equity

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

3,210

3,684

Deferred gains or losses on hedges
Foreign currency translation adjustment

11,6002
1,606

Remeasurements of defined benefit plans(1,415)(1,123)

Total accumulated other comprehensive income
Total net assets
Total liabilities and net assets

4

3,397

4,170

77,12081,334

140,530

151,232

Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
March 31, 2017

Fiscal year ended
March 31, 2018

Net sales
Cost of sales

111,327
79,350116,862
83,712Gross profit

31,97733,150

Selling, general and administrative expenses
Sales commission
Packing and transportation expenses
Provision for product warranties
Employees' salaries and allowances
Retirement benefit expenses
Depreciation
Rent expenses
Traveling and transportation expenses
Research and development expenses
Subcontract expenses
Other

1,912
3,649
442
11,256
692
665
750
1,236
1,032
576
5,288

2,448
3,814
507
11,456672
7187551,272
1,258
612
4,994

27,50328,509Operating profit

Total selling, general and administrative expenses

4,473

4,640

Non-operating income
Interest income
Dividend income
Rent income
Share of profit of entities accounted for using equity method
Foreign exchange gains
cancellation fee income
Other

33
235
59
1,462––
150

50
402
42
1,031
52
1,309
92

1,941

2,982

113
469
192
231

100
–
125
414

Total non-operating income
Non-operating expenses
Interest expenses
Foreign exchange losses
Brand fee expense
Other
Total non-operating expenses
Ordinary profit
Extraordinary income
Gain on sales of non-current assets
Gain on sales of investment securities
Total extraordinary income
Extraordinary losses
Loss on disposal of non-current assets
Amortization of goodwill
Loss on valuation of shares of subsidiaries and associates
Impairment loss
Total extraordinary losses

1,008

640

5,406

6,982

4–

1416

4

31

9
1,877–
–

107
–
44
1

1,887

152

Profit before income taxes

3,523

6,860

Income taxes - current
Income taxes - deferred

1,528
218

1,903(59)

Total income taxes

1,747

1,844

Profit1,776

5,016

Profit attributable to owners of parent

1,776

5,016

5Consolidated statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income

Fiscal year ended

Fiscal year ended

March 31, 2017

March 31, 2018
1,776

5,016

Valuation difference on available-for-sale securities
Deferred gains or losses on hedges

308
1464
0

Foreign currency translation adjustment
Remeasurements of defined benefit plans, net of tax

(267)
468

6288

Share of other comprehensive income of entities accounted
for using equity method

(19)

12492

7722,268

5,789

2,268

5,789––

Total other comprehensive income
Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

6Consolidated statements of changes in equity
Fiscal year ended March 31, 2017
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current
periodCapital surplus

12,484Retained earnings

19,600Total shareholders'equity

Treasury shares

67,623(10,044)

89,663

Changes of items during period
Dividends of surplus(1,824)(1,824)

Profit attributable to ownersof parent

1,776

1,776

Purchase of treasury shares(15,853)(15,853)

Retirement of treasury shares
Effect of fiscal year change ofconsolidated subsidiaries

(40)

(40)

Net changes of items otherthan shareholders' equity
Total changes of items during
periodBalance at end of current period

––

(88)

(15,853)(15,941)

12,484

19,60067,534(25,898)

73,722

Accumulated other comprehensive income

Balance at beginning of current
periodValuationdifference on
available-for-salesecurities

Deferred gains orlosses on hedges

Foreign currencytranslation
adjustment

Remeasurementsof defined benefit
plans

Total accumulated
othercomprehensive
income

2,901

–

2,643

(1,864)

3,681

Total net assets

93,345

Changes of items during period
Dividends of surplus(1,824)

Profit attributable to ownersof parent

1,776

Purchase of treasury shares(15,853)

Retirement of treasury shares
Effect of fiscal year change ofconsolidated subsidiaries(40)

Net changes of items otherthan shareholders' equity308

1(1,043)

449

(283)

(283)

Total changes of items during
period308

1(1,043)449(283)(16,225)

Balance at end of current period

3,210

11,600(1,415)

3,397

77,1207

Fiscal year ended March 31, 2018
(Millions of yen)
Shareholders' equity
Capital stock
Balance at beginning of current
periodCapital surplus

12,484Retained earnings

19,600Total shareholders'equity

Treasury shares

67,534(25,898)

73,722

Changes of items during period
Dividends of surplus(1,568)(1,568)

Profit attributable to ownersof parent

5,016

5,016

Purchase of treasury shares

(5)

(5)

(8,062)(1,467)9,530––(8,062)

1,979

9,524

3,441

12,484

11,53869,514(16,373)

77,164Retirement of treasury shares
Effect of fiscal year change ofconsolidated subsidiaries
Net changes of items otherthan shareholders' equity
Total changes of items during
periodBalance at end of current period

Accumulated other comprehensive income

Balance at beginning of current
periodValuationdifference on
available-for-salesecurities

Deferred gains orlosses on hedges

Foreign currencytranslation
adjustment

Remeasurementsof defined benefit
plans

Total accumulated
othercomprehensive
income3,210

11,600(1,415)

3,397

Total net assets

77,120Changes of items during period
Dividends of surplus(1,568)

Profit attributable to ownersof parent

5,016

Purchase of treasury shares(5)

Retirement of treasury shares–

Effect of fiscal year change ofconsolidated subsidiaries
Net changes of items otherthan shareholders' equity

473

06

292

772

772

Total changes of items during
period

473

06292

772

4,214

Balance at end of current period

3,684

2

1,606(1,123)

4,170

81,3348Consolidated statements of cash flows(Millions of yen)
Fiscal year ended
March 31, 2017

Fiscal year ended
March 31, 2018

Cash flows from operating activities
Profit before income taxes
Depreciation

3,523
1,730

6,860
2,049

Amortization of goodwill
Impairment loss

2,294
––
1

Increase (decrease) in allowance for doubtful accounts
Increase (decrease) in provision for product warranties

52(58)(156)
67

Increase (decrease) in provision for directors' retirement
benefits(2)

1

Increase (decrease) in net defined benefit liability
Interest and dividend income491(269)356(453)

Interest expenses
cancellation fee income

113–100(1,309)

Loss on valuation of shares of subsidiaries and associates
Loss (gain) on sales of investment securities–(0)44(16)

Loss (gain) on sales and retirement of property, plant andequipment and intangible assets

592

Share of loss (profit) of entities accounted for using equity
method(1,462)(1,031)

Decrease (increase) in notes and accounts receivable - trade
Decrease (increase) in inventories

2,993
2,803912(6,942)

Increase (decrease) in notes and accounts payable - trade
Increase (decrease) in advances received

(582)
520

4,985
1,785

Increase (decrease) in accrued expenses
Increase (decrease) in deposits received

(104)
(12)

464
325

Increase (decrease) in accounts payable - other
Other, net

74
(494)

(154)
(1,433)

11,617

6,550

495
(125)

679
(102)

cancellation fee income received
Income taxes (paid) refund–(2,038)

1,309(1,622)

Net cash provided by (used in) operating activities

9,948

6,813

SubtotalInterest and dividend income received
Interest expenses paid

Cash flows from investing activities
Purchase of property, plant and equipment(2,322)(3,221)

Proceeds from sales of property, plant and equipment
Purchase of intangible assets

4(195)

20(214)Purchase of investment securities
Proceeds from sales of investment securities(499)
0(499)
0

Decrease (increase) in short-term loans receivableCollection of long-term loans receivable(0)140
3Other, net

17(10)(2,983)(3,921)

Net cash provided by (used in) investing activities

9

(Millions of yen)
Fiscal year ended
March 31, 2017Fiscal year ended
March 31, 2018

Cash flows from financing activities
Net increase (decrease) in short-term loans payable
Repayments of long-term loans payable

(885)
(500)

–(500)(15,853)(1,824)(5)(1,568)

(26)

(28)

Net cash provided by (used in) financing activities(19,089)(2,102)

Effect of exchange rate change on cash and cash equivalents

(341)

(51)

Purchase of treasury shares
Cash dividends paid
Other, net

Net increase (decrease) in cash and cash equivalents(12,466)

738

Cash and cash equivalents at beginning of period
Increase (decrease) in cash and cash equivalents resulting from42,93230,060(406)–

30,06030,798change of accounting period of consolidated subsidiaries
Cash and cash equivalents at end of period10