Toyo Engineering Corporation · TSE:6330

Toyo Engineering — Investor Presentation (May 2006)

12 slides from Toyo Engineering's investor presentation, May 12, 2006

  1. Slide 1: Global Toyo for Client Value Enhancement: Mid-term Corporate Strategic Plan

    Global Toyo for Client Value Enhancement Mid-term Corporate Strategic Plan (FY2006 - FY2008) May 12, 2006 Yutaka Yamada President & CEO

  2. Slide 2: Financial target in three year time horizon

    ©2006 May 2006 Global Toyo for Client Value Enhancement Financial target in three year time horizon < Billion yen > Net sales Consolidation ratio 1.2 Consolidation ratio 1.4 260.0 250.0 220.0 195.5 190.0 190.0 185.0 161.9 Consolidated Non-consolidated FY2005 FY2006 FY2007 FY2008 Gross profit Consoli

  3. Slide 3: Financial target in three-year time horizon

    ©2006 May 2006 Global Toyo for Client Value Enhancement Financial target in three-year time horizon ¾¾Consolidated Consolidatednet netsales sales z195.5 z195.5billion billionyen yen/ /FY2005 FY2005 260.0 260.0billion billionyen yen/ /FY2008 FY2008 zSales zSalesgrowth growthin inEPC EPCbusiness busin

  4. Slide 4: Financial target in three year time horizon

    ©2006 May 2006 Global Toyo for Client Value Enhancement Financial target in three year time horizon < Billion yen > Consolidated Non-consolidated FY2005 FY2006 FY2007 FY2008 FY2005 FY2006 FY2007 FY2008 Net sales 195.5 220.0 250.0 260.0 Net sales 161.9 185.0 190.0 190.0 Gross profit 17.8 21.0 26.0 29

  5. Slide 5: Market trend

    ©2006 May 2006 Global Toyo for Client Value Enhancement Market trend Market trend Capital investment of Toyo’s concern zz Oil-substitute Oil-substitute development development (GTL, (GTL, DME, DME, Bio) Bio) 11 Crude Crude oil oil price price hike hike to to continue continue zz New field expl Deep

  6. Slide 6: Voice of Clients

    ©2006 May 2006 Global Toyo for Client Value Enhancement Voice of Clients < Transmar Consult Inc., Houston - Oil&Gas journal April 10,2006 > Favorable Contract Style Contractor Quality 3% 5% 22% 31% 30% 65% Hybrid Cost-reimburse Satisfied Not satisfied EPC Lump-Sum 44% Direct Employment of 3rd Countr

  7. Slide 7: Comparison for buying factors

    ©2006 May 2006 Global Toyo for Client Value Enhancement Comparison for buying factors Quality of Key Personnel 1989 1995 1997 2001 2003 2005 Project M anagement Capability 0 Construction Capability Detailed Engineering Capability 2 Contractor's Price 4 Experience with Similar Work Project Control Sy

  8. Slide 8: Maximize consolidated profit & group value

    ©2006 May 2006 Global Toyo for Client Value Enhancement Maximize consolidated profit & group value ¾¾ Reinforce Reinforceglobal globalsales salesnetwork networktotoimprove improvecontract contractwith withfocused focused clients clients&&regions. regions. ¾¾ Establish Establish“Global “GlobalToyo” T

  9. Slide 9: Global Toyo EPC services delivery network

    ©2006 May 2006 Global Toyo for Client Value Enhancement Global Toyo EPC services delivery network ‹Global ‹GlobalToyo Toyofor forClient ClientValue ValueEnhancement Enhancement TECHEM East Asia TOYO-KOREA Americas TOYO-JAPAN ME & South Asia TOYO-CHINA TOYO-USA TOYO-INDIA TOYO-THAI TOYO- MALAYSIA TOY

  10. Slide 10: Resource augmentation

    ©2006 May 2006 Global Toyo for Client Value Enhancement Resource augmentation (Personnel) 7000 6000 6000 5700 5300 4800 5000 Overseas 3000 subsidiaries 2700 (India, Korea, Thai, 4000 2400 Malaysia, China, etc) 2000 3000 Domestic 1400 1400 subsidiaries 1300 1300 (Toyo Business 2000 Engineering Corp.,

  11. Slide 11: Consolidated gross profit structure

    ©2006 May 2006 Global Toyo for Client Value Enhancement Consolidated gross profit structure < Billion yen > 35 29.0 30 26.0 25 21.0 Subsidiaries 20 17.8 15 10 Toyo-Japan 5 Domestic Biz, IT Overseas Services 0 FY2005 FY2006 FY2007 FY2008 Overseas EPC 11

  12. Slide 12: For further questions on this material, please contact

    For further questions on this material, please contact ; KUNIHIKO MIYAWAKI IR Manager Corporate Planning Unit 2-8-1 Akanehama, Narashino, Chiba, Japan 275-0024 TEL 81-47-454-1167 URL http://www.toyo-eng.co.jp Forward-looking Statements This presentation may contain forward-looking statements about t

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