Toshiba 2010 Annual Report Download - page 67

5
DIVIDEND
The Company, while giving full consideration to such factors as the strategic investments necessary to secure medium to long
term growth, seeks to achieve continuous increases in its actual dividend payments, in line with a payout ratio in the region of
30 percent, on a consolidated basis.
As a result of strenuous efforts to recover business performance throughout FY2009, the Group’s operating income has
substantially improved over the previous term. However, net income (loss) attributable to shareholders of Toshiba
Corporation on a consolidated basis and net income (loss) on a non-consolidated basis remained in the red. In terms of its
financial position, the Group is tackling improvements in cash flow and reduction of debt, in order to reinforce its financial
structure and to support future growth. In light of these circumstances, we regret that the Company is forced to forgo paying
a dividend from earnings on both an interim and year-end basis.
The Company will carefully examine and decide on the dividend plan for the next term, FY2010, in light of the Group’s
financial position and strategic investment plans, and will announce the dividend for FY2010 as soon as it is determined.
RESULTS BY INDUSTRY SEGMENT
Billions of yen
Net Sales Operating Income (loss)
Year ended March 31 — Change (%) — Change
Digital Products 2,363.6 –4% 13.3 27.5
Electronic Devices 1,309.1 –1% (24.2) 299.0
Social Infrastructure 2,302.9 –4% 136.3 23.1
Home Appliances 579.8 –14% (5.4) 21.7
Others 315.8 –6% (4.3) –4.8
Eliminations –489.6 — 1.5 —
Total 6,381.6 –4% 117.2 367.4
DIGITAL PRODUCTS
Digital Products saw overall sales decrease by 103.9 billion yen to 2,363.6 billion yen. The Visual Products business saw sales
increase, mainly on a healthy performance by TVs in Japan. This reflected a high evaluation of product quality and perfor-
mance, an improved brand image through successful promotions and advertising, and positive results from the eco-point sys-
tem, the Japanese government’s program to stimulate domestic demand. The acquisition of Fujitsu’s hard disk drive business
also contributed to higher sales in the Storage Products business. The PC business saw lower sales, mainly due to the trend
to low priced machines and changes in exchange rates. Retail Information Systems and Office Equipment and Mobile
Phones also saw lower sales.
Overall segment operating income (loss) improved by 27.5 billion yen to 13.3 billion yen and moved into the black. While
the PC business’s profitability suffered, due to the penetration of low priced machines and increases in the cost of parts, the
Visual Products business and Storage Products business recorded higher operating income on higher sales and success in
cutting costs.
ELECTRONIC DEVICES
Electronic Devices saw sales decrease by 15.8 billion yen to 1,309.1 billion yen. The Semiconductor business recorded higher
sales: sales in Memories rose, reflecting an improved supply and demand balance and price stability for NAND Flash memo-
ries, and sales in Discretes were at the same level as a year earlier, compensating for lower sales in System LSIs. The LCD
business also saw a significant sales decline.
Overall segment operating income (loss) improved substantially by 299.0 billion yen to -24.2 billion yen. The
Semiconductor business saw a significant improvement and returned to profit, mainly reflecting the performance in
Memories and System LSIs, which saw higher sales, effective cost reductions, and an improved supply and demand balance
and price stability that compensated for shifts in exchange rates. The LCD business recorded a weak performance.