Transforming the Business into a Highly Profitable Structure and Reducing Total Costs

「To expand its share in the rapidly growing Indian market, the company added a new plant to its Indian facility, increased production of hydraulic injection molding machines and began producing electric injection molding machines. It also opened a technical center to support further sales growth. To reduce costs and strengthen competitiveness in China's injection molding machine market, the company proceeded with the transition to a system of outsourcing OEM production to partner companies in China. In addition, it established a new local manufacturing subsidiary in Anhui Province, China, to improve operating efficiency, while closing its existing local manufacturing subsidiary in Shanghai, China.」

「In the rapidly growing Indian market, the company added a new plant to its Indian facility, increased production of hydraulic injection molding machines and began producing electric injection molding machines. To improve the profitability of its injection molding machine business in China, the company reduced its workforce at its Chinese plant and began transitioning to OEM production by a Chinese partner company.」

「Against this economic backdrop, our group is implementing initiatives based on the basic policies of the medium-term management plan “Chukei 2026” (fiscal years ending March 2025 to March 2027), including restructuring the business portfolio, shifting the focus toward sales of system engineering equipment and direct sales that contribute to improved customer productivity, a human resources strategy linked to the business portfolio restructuring, and the promotion of ESG management. These initiatives include developing and providing products related to a decarbonized society, EVs, renewable energy, and improved labor productivity, as well as promoting our DX strategy.」

「Against this economic backdrop, based on the medium-term management plan, the Management Reform Plan, for which the current consolidated fiscal year is the final year, the Group is promoting management reforms centered on organizational restructuring, investments targeting growth fields, and financial strategies aimed at improving capital efficiency (ROE), with the goal of transforming into a highly profitable company.」

「Based on the medium-term management plan, the Management Reform Plan, for which the current consolidated fiscal year is the final year, the Group is promoting management reforms centered on organizational restructuring, investments targeting growth fields, and financial strategies aimed at improving capital efficiency, with the goal of transforming into a highly profitable company.」

「Against this economic backdrop, based on the medium-term management plan, the Management Reform Plan, for which the current consolidated fiscal year is the final year, the Group is promoting management reforms centered on organizational restructuring, investments targeting growth fields, and financial strategies aimed at improving capital efficiency (ROE), with the goal of transforming into a highly profitable company.」

「Against this economic backdrop, our group is pursuing management reform centered on organizational restructuring, promoting investment in growth areas, and implementing a financial strategy aimed at improving capital efficiency (ROE), in order to transform into a highly profitable company under the medium-term management plan, the “Management Reform Plan.” At the same time, we are promoting DX (digital transformation) to create high-value-added products that address social issues and achieve highly efficient production.」

「Against this economic backdrop, our group is pursuing management reform centered on organizational restructuring, promoting investment in growth areas, and implementing a financial strategy aimed at improving capital efficiency (ROE), in order to transform into a highly profitable company under the medium-term management plan, the “Management Reform Plan.” At the same time, we are promoting DX (digital transformation) to create high-value-added products that address social issues and achieve highly efficient production.」

「Against this economic backdrop, our group is pursuing management reform centered on organizational restructuring, promoting investment in growth areas, and implementing a financial strategy aimed at improving capital efficiency (ROE), in order to transform into a highly profitable company under the medium-term management plan, the “Management Reform Plan.” At the same time, we are promoting DX (digital transformation) to create high-value-added products that address social issues and achieve highly efficient production.」

「Against this economic backdrop, our group is pursuing management reform centered on organizational restructuring, promoting investment in growth areas, and implementing a financial strategy aimed at improving capital efficiency (ROE), in order to transform into a highly profitable company under the medium-term management plan, the “Management Reform Plan.”」

「Against this economic backdrop, our group is pursuing management reform centered on organizational restructuring, promoting investment in growth areas, and implementing a financial strategy aimed at improving capital efficiency (ROE), in order to transform into a highly profitable company under the medium-term management plan, the “Management Reform Plan.”」

「Against this economic backdrop, our group is pursuing management reform centered on organizational restructuring, promoting investment in growth areas, and implementing a financial strategy aimed at improving capital efficiency (ROE), in order to transform into a highly profitable company under the medium-term management plan, the “Management Reform Plan.”」

「As part of management reform centered on organizational restructuring, we abolished the business division structure and adopted a company structure, while establishing an R&D Center and a Production Headquarters responsible for common functions to improve production efficiency and strengthen QCD (Quality, Cost, Delivery). We have also implemented personnel transfers and voluntary retirement programs to achieve optimal resource allocation and reduce fixed costs.」

「In light of progress on various initiatives and recent market conditions, our group has reviewed the Revolution E10 Plan. To achieve its basic policies, we have designated the following 3 items as the most important initiatives and will move forward with their implementation at speed: ② Achieving fixed-cost reductions and optimal resource allocation」

「Accordingly, we have worked with full commitment on initiatives to improve our business structure, share and strengthen product capabilities, and enhance corporate value through growth investment.」

「Accordingly, we have pursued initiatives to improve our business structure, share and strengthen product capabilities, and enhance corporate value through growth investment. We will evolve into a “value co-creation manufacturer” that creates value together with customers through “the power to create new industries.”」

「To achieve steady growth in global markets where future growth is expected, we have pursued initiatives including reducing total costs, conducting production innovation activities to improve profitability, establishing an optimal procurement network, developing new markets, developing new products for priority markets in Japan and overseas, and expanding orders.」

「To achieve steady growth in global markets where future growth is expected, we have pursued initiatives including reducing total costs, conducting production innovation activities to improve profitability, establishing an optimal procurement network, developing new markets, developing new products for priority markets in Japan and overseas, and expanding orders.」

「Total orders across the Other businesses were ¥2.945 billion, down 9.0% year on year, sales were ¥3.613 billion, up 18.9%, and operating profit was ¥330 million, up 539.6%, due in part to the effects of cost-reduction initiatives for industrial robots and micro-patterning equipment.」

「Under “transformation into a highly profitable business structure,” we have launched a production innovation project aimed at halving the production lead time from production planning to shipment, and the project is beginning to deliver results in improving production efficiency.」

「Sales for the nine months ended 31 December were ¥85.199 billion, up 9.0% year on year. Regarding earnings, operating profit was ¥2.947 billion, up 30.2% year on year, as profit improvement, mainly in the Injection Molding Machinery segment, continued as a result of various cost-reduction initiatives.」

「Regarding earnings, operating profit was ¥1.762 billion, up 23.3% year on year, as continued profit improvement, mainly in the Injection Molding Machinery segment, resulted from various cost-reduction initiatives.」

「Although profit improvement in the Injection Molding Machinery segment was achieved through various cost-reduction initiatives, the decline in sales in the Machine Tools segment resulted in an operating loss of ¥152 million, compared with an operating loss of ¥97 million in the previous year.」

「Operating profit was ¥4.473 billion, up 17.5% from the previous consolidated fiscal year, as a result of advancing various cost-reduction initiatives.」

「To achieve steady growth in global markets where future growth is expected, we are pursuing initiatives including reducing total costs, conducting production innovation activities to improve profitability, establishing an optimal global procurement network to address foreign exchange risk, developing new markets, developing new products for priority markets in Japan and overseas, and expanding orders.」

「Sales for the six months ended 30 September were ¥50.836 billion, down 13.2% year on year, due to stagnant economic conditions in China and Southeast Asian countries, which are priority markets for us. Although earnings were significantly affected by foreign exchange movements, operating profit was ¥1.429 billion, down 1.3% year on year, as a result of advancing various cost-reduction initiatives.」

「Our group launched the new medium-term management plan, the “TM－PΣ Plan” (Toshiba Machine Profit Sigma Plan), on 1 April 2016. While carrying forward our previous concept of “advancement and expansion,” we adopted “transformation into a highly profitable business structure” and “selection and concentration” as our new basic policies. To achieve steady growth in global markets where future growth is expected, we are pursuing initiatives including reducing total costs, conducting production innovation activities to improve profitability, establishing an optimal global procurement network, developing new markets, developing new products for priority markets in Japan and overseas, and expanding orders.」

「Under “transformation into a highly profitable business structure,” we will steadily implement initiatives to reduce total costs in order to restore profitability, an urgent issue for our group.」