Toshiba 2006 Annual Report Download - page 48

Download and view the complete annual report

Please find page 48 of the 2006 Toshiba annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 86

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86

Management’s Discussion and Analysis
Eleven-year Summary
Toshiba Corporation and Subsidiaries
Years ended March 31
2006 2005 2004 2003
Net sales ¥6,343,506 ¥5,836,139 ¥5,579,506 ¥5,655,778
Cost of sales 4,659,795 4,296,572 4,075,336 4,146,460
Selling, general and administrative expenses (Note 1) 1,443,101 1,384,760 1,329,584 1,393,776
Operating income (loss) (Note 2) 240,610 154,807 174,586 115,542
Income (loss) before income taxes and minority interest 178,177 111,232 135,770 55,705
Income taxes 90,142 55,944 102,237 48,532
Net income (loss) 78,186 46,041 28,825 18,503
Per share of common stock:
Net income (loss) (Note 3)
—Basic ¥24.32 ¥14.32 ¥8.96 ¥5.75
—Diluted 22.44 13.53 8.96 5.75
Cash dividends 6.50 5.00 3.00 3.00
Total assets ¥4,727,113 ¥4,571,412 ¥4,462,200 ¥5,238,936
Shareholders’ equity 1,002,165 815,507 754,990 571,064
Capital expenditures (Property, plant and equipment) 338,800 318,394 227,273 230,512
Depreciation (Property, plant and equipment) 228,637 215,844 223,946 237,888
R&D expenditures 372,447 348,010 336,714 331,494
Number of employees 172,000 165,000 161,000 166,000
Notes: 1) ¥4,085 million, ¥4,836 million and ¥48,945 million of “Subsidy received on return of substitutional portion of Employees’ Pension Fund Plan, net of settlement loss of ¥5,045 million in
2006, ¥7,992 million in 2005 and ¥188,106 million in 2004” are classified as a reduction of selling, general and administrative expenses for the fiscal years ended March 31, 2006, 2005 and
2004, respectively.
2) Operating income (loss) has been determined under financial reporting practices generally accepted in Japan and is defined as net sales less cost of sales and selling, general and admin-
istrative expenses.
3) Basic net income per share (EPS) is computed based on the weighted-average number of shares of common stock outstanding during each period.
Diluted EPS assumes the dilution that could occur if convertible bonds were converted or stock acquisition rights were exercised to issue common stock, unless their inclusion would
have an antidilutive effect.
4) Beginning with the fiscal year ended March 31, 2001, Toshiba has adopted Statement of Financial Accounting Standards (SFAS) No. 115,“Accounting for Certain Investments in Debt
and Equity Securities.” Prior-period data for the fiscal years ended from March 31, 1996 through 2000 has been restated to conform with SFAS No. 115.
5) Beginning with the fiscal year ended March 31, 1998, revenues and expenses from financial services, real estate leasing and sales, and other operations are reported as operating activi-
ties whereas they were reported as non-operating activities in prior periods. Prior-period data for the fiscal years ended from March 31, 1996 and 1997 has been reclassified to conform
with the current classification.
6) Beginning with the fiscal year ended March 31, 2006, equity in earnings (losses) of affiliates has been included in income (loss) before income taxes and minority interest. Prior-period
data for the fiscal years ended from March 31, 1996 through 2005 has been reclassified to conform with the current classification.