Toshiba 2014 Annual Report Download - page 7

President’s Perspective
Performance and Achievements in FY2013
During this past year since I became president of Toshiba I have carried out action plans for Growth through Creativity and
Innovation by seeking Value Creation, pursuing Productivity Improvement, globally developing diverse creative talent and
moving forward with CSR management. In terms of the concrete measures that were executed in FY2013, I would like to point to
our investment for Yokkaichi Operations to strengthen our memory business and our steps to improve our business operation
structure to help us expand into growing emerging markets, such as the Energy & Infrastructure segment’s proactive measures
in the power generation and T&D businesses in India. In the Healthcare Systems & Services segment, which we have decided to
further develop as a new third business pillar, we have integrated various healthcare systems and services that were developed
in different organizations within Toshiba Group into one business domain. We have moved ahead aggressively with the
restructuring of our Lifestyle Products & Services segment. In our TV/PC businesses, we closed and sold LCD TV manufacturing
bases in China and Europe and carried out the shifting of personnel to other departments. In addition, we discontinued the
Optical Disk Drive business. In October, we carried out a large-scale reorganization of our business groups for the  rst time in a
decade and changed our business structure to better allow us to propose solutions to customers’ needs and to maximize the
added value of a customer-oriented business structure. At the same time, we strengthened corporate strategic functions by
streamlining Head O ce departments and promoting global shared services. We worked hard to foster New Concept Innovation
by establishing a New Business Development Division to carry out the creation of new businesses and took stock of our technical
strengths and identi ed potential customer needs. Although full-scale commercialization of new businesses is yet to start, from
now on New Concept Innovation will unearth latent needs, and our e orts in this area are progressing steadily.
As a result of carrying out these action plans, in FY2013 net sales increased by 13.5% year on year to ¥6,502.5 billion.
Starting with our Electronic Devices & Components segment achieving a great increase in sales from continued higher sales of
memories throughout the fiscal year, all of our business segments, especially our Energy & Infrastructure and Community
Solutions segments, achieved a solid business performance compared to the year-earlier period. Operating income also saw a
great increase of ¥93.1 billion to ¥290.8 billion. Although the Energy & Infrastructure segment recorded a one-time loss in its
nuclear business, the Electronic Devices & Components segment recorded its highest-ever operating income, and both
Community Solutions and Healthcare Systems and Services achieved higher operating income. With regard to the Lifestyle
Products & Services segment, which includes our TV and PC businesses, there was a shrinkage in the market and a rise in
procurement costs due to the depreciation of the yen, and these latter businesses did not return to pro tability; however, with
FY2009 FY2010 FY2011 FY2012 FY2013 FY2009 FY2010 FY2011 FY2012 FY2013
6,270.7
5,994.3
6,502.5
117.6
202.6 197.7
5,200
5,400
5,600
5,800
6,000
6,200
6,400
6,600
50
52
54
56
58
60
62
64
0
50
100
150
200
250
300
350
1.0
2.2
3.4
4.6
5.8
7.0
Ratio of overseas sales (%)Net Sales (Billions of yen) Operating Income (Billions of yen)
6,129.9
5,727.0
54.5 53.7
58.0
53.5 54.1
238.7
290.8
1.9
3.4 3.5
3.8
4.5
Operating Income ratio (%)
President’s Perspective
05
TOSHIBA Annual Report 2014