Consolidated 2Q Results of FY March, 2013 Takakazu Momozuka Corporate Officer, General Manager of Finance & Accounting Department Copyright© 2012 TDK Corporation. All rights reserved. Performance Briefings First Half of Fiscal Year March, 2013 October 31, 2012 -1- Consolidated 2Q Results of FY March, 2013 (Yen billions） Net Sales FY March 2012 2Q Results FY March 2013 2Q Results (2011.7.1-2011.9.30) (2012.7.1-2012.9.30) 209.9 207.0 8.5 Operating Income Margin Change Yen billions % (2.9) -1.4 11.2 2.7 31.8 4.0% 5.4% 1.4 pt Income from Continuing Operations before Income Taxes 7.7 9.5 1.8 22.9 Net Income 4.3 5.3 1.0 22.3 Operating Income Earning Per Share (JPY) Ex-rate Yen 33.30 Yen 41.74 US$ Yen 77.96 Yen 78.67 EURO Yen 110.42 Yen 98.28 Ex-rate impact to Net sales & Operating Income - - - Deppreciated by 0.9% Appreciated by 11.0% Net sales：Lowered about 1.1billion Yen Operating income：Lowered about 0.2 billion Yen ※Discontinued operation (Display business) were deducted in above results Copyright© 2012 TDK Corporation. All rights reserved. Performance Briefings First Half of Fiscal Year March, 2013 October 31, 2012 -2- Segment Information (FY2012 2Q vs. FY2013 2Q, FY2013 1Q vs.FY2013 2Q) 2Q of FY 2013 Jul 1- Sep 30, 2012 （C） YoY Change （Ｃ）－（Ａ） QoQ Change （Ｃ）－（Ｂ） 2Q of FY 2012 Jul 1- Sep 30, 2011 （Ａ） 1Q of FY 2013 Apr 1- Jun 30, 2012 （B） Capacitor 34.2 31.4 29.2 (5.0) -14.6 (2.2) -7.0 Inductive Device 31.4 28.2 29.6 (1.8) -5.7 1.4 5.0 Other Passive Comp 34.4 31.8 31.7 (2.7) -7.8 (0.1) -0.3 99.9 91.5 90.6 (9.3) -9.3 (0.9) -1.0 53.3 27.7 81.0 22.4 6.6 209.9 59.9 28.3 88.2 23.2 5.8 208.7 55.8 27.6 83.4 27.7 5.2 207.0 2.5 4.7 (4.1) -6.8 (0.1) -0.4 (0.7) -2.5 2.4 3.0 (4.8) -5.4 5.3 23.8 4.5 19.4 (1.4) -21.6 (0.6) -10.3 (2.9) -1.4 (1.7) -0.8 Passive Components 1.3 -2.9 -2.5 (3.8) - Magnetic Application Products 9.5 2.6 -1.2 12.1 -3.7 8.5 14.6 2.1 -0.4 13.4 -4.2 9.2 13.2 5.0 -0.5 15.2 -4.1 11.2 3.7 38.9 (1.4) 2.4 92.2 2.9 0.8 - 3.1 25.6 1.8 13.4 - 0.1 - 31.8 2.0 21.7 4.0% 4.4% 5.4% JPY billion Net Sales Passive Components Recording Divices Other Magnetic Application Products Magnetic Application Products Film Application Products Other Total Operating Income Film Application Products Other Sub total Corporate and Eliminations Total Operating Income margin Ex- US$ rate EURO Copyright© 2012 TDK Corporation. All rights reserved. Yen 77.96 Yen 80.27 Yen 78.67 Yen 110.42 Yen 103.18 Yen 98.28 Yen billions (0.4) 2.7 - % Yen billions - % 0.4 -9.6 138.1 (0.1) - - - ※Discontinued operation (Display business) were deducted in above results Performance Briefings First Half of Fiscal Year March, 2013 October 31, 2012 -3- Breakdown of Operating Income Changes Operating income : +2.7 11.2 billion yen 8.5 Decrease in negative impact by earthquake +0.6 billion yen billion yen Income from insurance (Thai flooding) +5.2 Changes in sales (including utilization, products mix -2.9 Restructuring effect +2.7 Exchange fluctuation （US$=Yen 78.67) -0.2 Rationalization, cost reduction +3.3 Sales price reduction -4.8 FY March 2012 2Q Copyright© 2012 TDK Corporation. All rights reserved. SG&A expenses increase +1.2 Performance Briefings First Half of Fiscal Year March, 2013 FY March 2013 2Q October 31, 2012 -4- Projections for FY March 2013 – Image of change in sales Segment 1Q Results 2Q Results 3Q Projections (versus 2Q) 4Q Projections (versus 3Q) Sales of high-frequency ＋3～5% components and inductive devices will be mainly increased Passive components 91.5 90.6 ＋8～10％ Magnetic application products 88.2 83.4 －1～－2％ －2～－3％ Film application products 23.2 27.7 ＋16～18% ±0％ Other 5.8 5.2 ±0％ ±0％ Total 208.7 207.0 +about 5% ±0％ 80.27 78.67 Forex $/¥ Copyright© 2012 TDK Corporation. All rights reserved. Remarks Sales of secondary batteries will be mainly increased 77.00 (Assumption in second half) Performance Briefings First Half of Fiscal Year March, 2013 October 31, 2012 -5- Cautionary Statements with Respect to Forward-Looking Statements This material contains forward-looking statements, including projections, plans, policies, management strategies, targets, schedules, understandings and evaluations, about TDK or its group companies (TDK Group). These forward-looking statements are based on the current forecasts, estimates, assumptions, plans, beliefs and evaluations of TDK Group in light of information currently available to it, and contain known and unknown risks, uncertainties and other factors. TDK Group therefore wishes to caution readers that, being subject to risks, uncertainties and other factors, TDK Group’s actual results, performance, achievements or financial position could be materially different from any future results, performance, achievements or financial position expressed or implied by these forward-looking statements, and TDK Group undertakes no obligation to publicly update or revise any forward-looking statements after the issue of this material except as provided for in laws and ordinances. The electronics markets in which TDK Group operates are highly susceptible to rapid changes. Risks, uncertainties and other factors that can have significant effects on TDK Group include, but are not limited to, shifts in technology, fluctuations in demand, prices, interest and foreign exchange rates, and changes in economic environments, conditions of competition, laws and regulations. Also, since the purpose of these materials is only to give readers a general outline of business performance, many numerical values are shown in units of a billion yen. Because original values, which are managed in units of a million yen, are rounded off, the totals, differences, etc. shown in these materials may appear inaccurate. If detailed figures are necessary, please refer to our financial statements and supplementary materials. Copyright© 2012 TDK Corporation. All rights reserved. Performance Briefings First Half of Fiscal Year March, 2013 October 31, 2012 -6- Text data including Q&A of performance briefing will be uploaded on following site http://www.global.tdk.com/ir/ir_events/conference/2013/2q_1.htm