TDK Corporation · TSE:6762

TDK — Q3 FY March 2012 Earnings Presentation

23 slides from TDK's earnings presentation, Jan 31, 2012

  1. Slide 1: Performance Briefings 3Q of Fiscal Year March, 2012

    Performance Briefings 3Q of Fiscal Year March, 2012 TDK Corporation January. 31, 2012

  2. Slide 2: Consolidated 3Q Results of FY March, 2012 and Recording Device Business

    Consolidated 3Q Results of FY March, 2012 Takakazu Momozuka Corporate Officer, General Manager of Finance & Accounting Department Recording Device Business Atsuo Kobayashi Senior Vice President, General Manager of Data Storage & Thin Film Technology Components Business Group Q&A

  3. Slide 3: Consolidated 3Q Results of FY March, 2012

    Consolidated 3Q Results of FY March, 2012 Takakazu Momozuka Corporate Officer, General Manager of Finance & Accounting Department

  4. Slide 4: Consolidated 3Q Results of FY March, 2012

    Consolidated 3Q Results of FY March, 2012 3Q results of FY 2011 3Q results of FY 2012 Change (Yen billions (2010.10.1-2010.12.31) (2011.10.1-2011.12.31) Yen billions ratio Net Sales 219.9 191.8 (28.2) Operating Income 17.2 7.0 (10.2) Operating Income Margin 7.8% 3.7% -4.1pt Income before Income Taxe

  5. Slide 5: Breakdown of Operating Income Changes

    Breakdown of Operating Income Changes Operating Income : - 10.2 billion yen SG&A expenses decrease including sale of land of 4.0 billion yen) +3.6 billion yen Sales price reduction -4.0%) -7.4 billion yen 17.2 Changes in sales and Products mix billion yen -3.2 billion yen Rationalization, Cost reduc

  6. Slide 6: Segment Information

    Segment Information 3Q results of 2Q results of 3Q results of YoY Change QoQ Change FY March 2011 FY March 2012 FY March 2012 (C)-(A) (C)-(B) Oct 1- Dec 31, 2010 Jul 1- Sep 30, 2011 Oct 1- Dec 31, 2011 Yen billions % Yen billions % Yen billions (A) (B) (C) Capacitor 35.2 34.2 30.6 (4.6) -13.1% (3.6)

  7. Slide 7: Consolidated Results through 3Q of FY March, 2012

    Consolidated Results through 3Q of FY March, 2012 FY March 2011 FY March 2012 Change Results through 3Q Results through 3Q (Yen billions (2010.4.1-2010.12.31) (2011.4.1-2011.12.31) Yen billions Ratio Net Sales 662.2 608.9 (53.2) -8.0% Operating Income 54.4 20.8 (33.6) -61.7% Operating Income Margin

  8. Slide 8: Full Year Projection for FY March 2012

    Full Year Projection for FY March 2012 Term FY2012 FY2012 FY2011 (April 1, 2011 - (April 1, 2011 - (April 1, 2010 - March 31, 2012) March 31, 2012) March 31, 2011) vs. FY2011 Changes Forecast in Forecast in Actual January'12 October'11 Item (Yen billions) (Yen billions) (Yen billions) (Yen billions)

  9. Slide 9: Dividends Forecast

    Dividends Forecast of FY March 2012 FY March 2011 FY March 2012 Yen Results Interim dividend 40 40 (Result) Year-end dividend 40 40 (Forecast) Annual dividend 80 80 (Forecast)

  10. Slide 10: Current status of restructuring measures

    Current status of restructuring measures Each restructuring measure proceeding as planned Item Current status Production Announced reorganization of 4 plants out of total 19 plants located in Tohoku region site Announced additional reorganization of 3 plants on January 31 Changes in number of employ

  11. Slide 11: Restructuring cost and projected effect

    Restructuring cost and projected effect Accelerate restructuring activities and decided to implement additional initiatives Yen Announced on The latest plan billions October 31 in 2011 Restructuring FY March 2012 (Second-half) : 3.0 FY March 2012 (Second-half) : 12.3 cost FY March 2013 (Full year) :

  12. Slide 12: Recording Device Business

    Recording Device Business Atsuo Kobayashi Senior Vice President General Manager of Data Storage & Thin Film Technology Components Business Group

  13. Slide 13: Recording Device Business: HDD head shipments

    Recording Device Business HDD head shipment volume in 3Q decreased significantly due to flooding in Thailand, but it is expected to recover in 4Q drastically Recording Device Sales (Left, including HDD Head (HGA) and HDD Suspention) HDD Head Shipment Index (Right) Index transition based on shipment

  14. Slide 14: Supplementary Data

    {TDI Supplementary Data

  15. Slide 15: Current status and future outlook of manufacturing sites in Thailand

    Current status and future outlook of manufacturing sites in Thailand Company name City Current status and future outlook Rare-earth Drainage of flood water in the premises as well as magnets, cleaning and disinfection has been completed, and recording media, repair work has now been started. and sen

  16. Slide 16: Quarterly Sales and Operating Income by Segment

    Quarterly Sales and Operating Income by Segment FY March 2011 FY March 2012 Yen billions 1Q 2Q 3Q 4Q Total 1Q 2Q 3Q 4Q Total Capacitors 38.0 37.7 35.2 34.5 145.4 36.1 34.2 30.6 Inductive Devices 32.1 33.6 32.6 31.9 130.2 32.9 31.4 28.6 Other Passive Components 34.6 37.5 39.3 38.6 150.0 32.8 34.4 30.

  17. Slide 17: Sales transition by market

    Sales transition by market Quarterly results in FY March 2011 and in FY March 2012 23.1% 24.0% 25.2% 27.8% 26.7% 25.6% 24.8% Industrial Equipment and others 12.7% 12.0% 12.5% 12.7% 14.1% 16.9% 13.3% Car Electronics 15.4% 17.0% 17.6% 16.0% 16.8% 16.9% 19.6% Communications 48.7% 47.0% 44.6% 42.0% 44.6

  18. Slide 18: Financial Position

    Financial Position Q on Q JPY billion Mar End, 2011 Sep End, 2011 Dec End, 2011 Change Total Asset 1,060.9 1,049.8 1,045.9 -3.9 Total Liability 521.1 537.5 544.3 6.8 Interest-bearing Debt 245.0 268.0 281.9 13.9 Stockholders's Equity 534.3 499.2 488.1 -11.1 (comprehensive income) -218.0 -258.2 -252.1

  19. Slide 19: Expenses

    Expenses Results through 3Q FY March 2011 FY March 2012 Change Results through 3Q Results through 3Q (Yen billions (2010.4.1-2010.12.31) (2011.4.1-2011.12.31) Yen billions % Capital expenditures 54.1 76.3 22.3 41.2% Depreciation and amortization 57.5 56.2 (1.3) -2.3% Research and development 38.9 39

  20. Slide 20: Net Sales, Operating Income and R&D trends

    {TDI (aon of yen) Net Sales & Overseas Sales Ratio (7) ions of yen) Operating Income, Net Income & Operating Income Ratio 0 1,000,000 100 2 9 0 m3 8 800,000 80 Oo 0 ee 6 = 655,792 S78 7 604965 7 4 600,000 564,286 oo « 2 0 400,000 0 2 bed 4 200,000 2 4 10 4 0 " , 0 -10 2002/3 20038 = 20043 20053 «= 2

  21. Slide 21: Total Assets, Equity, ROE, Dividends, Employees

    (tions of ye) Total Assets, Stockholders’ Equity & Stockholders’ Equity Ratio ee) ROI, ROE & ROA 1,000,000 %” 5 1,101,096 4001,458 1,060,863 —=O=" FO! 79 7e4 71 ma 748 . ao ==O== ROE 10 mms ROA som “ar Bate n 15 1 935.533 75, 749910 747337 rie I wo 5 808,001 600,000 702,419 576,219 11 200,000 «Total

  22. Slide 22: Cautionary Statements with Respect to Forward-Looking Statements

    Cautionary Statements with Respect to Forward-Looking Statements This material contains forward-looking statements, including projections, plans, policies, management strategies, targets, schedules, understandings and evaluations, about TDK or its group companies (TDK Group). These forward-looking s

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TDK — Q3 FY March 2012 Earnings Presentation on 6ix