May 20, 2009

TOEI ANIMATION

Presentation for FY March 2009

(April 2008 to March 2009)

Toei Animation Co., Ltd.

©ABC, Bird Studio, SHUEISHA, Fuji Television, Toei Animation

Every Sun. @9:00

on Fuji Television network

Every Sun. @8:30

on ABC&TV Asahi network

May 20, 2009

TOEI ANIMATION

FY2004.3 FY2005.3 FY2006.3 FY2007.3 FY2008.3FY2009.3

First Plan

FY2009.3

Result

Net Sales(consolidated)

17,120 16,646 21,561 20,153 21,148 19,500 21,718

Net Sales(non-consolidated)

16,337 16,010 20,487 19,417 20,247 18,600 20,943

Operating Income(consolidated)

3,455 2,242 3,858 3,307 2,726 2,300 3,123

Ordinary Income(consolidated)

3,588 2,601 4,157 3,773 2,938 2,600 3,412

Net Income(consolidated)

2,336 1,553 2,428 3,672 1,685 1,500 492

Ordinary Income(non-consolidated)

3,217 2,105 3,542 3,180 2,356 2,200 2,784

0

5,000

10,000

15,000

20,000

25,000

0

1,500

3,000

4,500

6,000

7,500

FY2009.3 Results -Consolidated-

Income

Achieved the budget!

(Million Yen)

1-2

Net Sales

FY2009.3

First Plan

Achieved 20 billion yen in net sales for

four consecutive terms

Record-setting net sales on both a consolidated & non-consolidated basis

May 20, 2009

TOEI ANIMATION

FY08.3

Results

FY09.3

Full Year

Plan

FY09.3

Results

21,148 19,500 21,718

11,302 11,100 10,810

Movies 900 *** 817

TVs 3,038 *** 2,373

DVDs 4,124 3,000 4,434

Overseas Film 2,291 2,700 2,161

Others 947 *** 1,024

6,497 5,700 7,154

Japan 4,483 4,200 5,252

Overseas 2,013 1,500 1,901

3,367 2,700 3,771

Sales of Goods 2,863 *** 3,309

Events 503 *** 462

16,861 15,300 17,674

4,305 4,200 4,066

18 18

Japan

Overseas

Intra-Company Sales

Net Sales

Film

Licensing

Others

(*) Forecasts for segments such as made-for-theater animations, TV animations, others, goods sales, and events are not disclosed.

(Million Yen)

©2008 Yes! Pretty Cure 5 Go Go! the Movie Production Committee., Eiichiro Oda, Shueisha, Fuji Television,

Yudetamago, ABC, Bird Studio, 2009 NBGI, 2009 KYORAKU SANGYO All Rights Reserved, Toei Animation 2-1

Segment Breakdown -Consolidated-

May 20, 2009

TOEI ANIMATION

7160 57

48 50

813 14

12 13

7 189

10 3

0

20

40

60

80

100

0

500

1000

1500

Number

Transition to new media From excessive animation production to an appropriate market size

Reference) Japan Video Software Association [Market Data], Digital Content Association of Japan [Digital Content White Paper 2008], Data of The Association of Japanese Animations

Number of TV animations broadcast

(30min. program)

0

200

400

600

800

1000

1200

1.00

1.20

1.40

1.60

1.80

Sales of Animation DVD Billion

Yen

Trillion

Yen

Market for

Character Merchandising Market for

Internet & mobile Internet video delivery

Rapid expansion of the Internet & mobile Internet Lack of overwhelming characters

Billion

Yen

2-2

86 91

80 70 66

Animation Market Conditions

Regular broadcast

Satellite

UHF/local broadcast

Japanese Animation Overseas Animation

Blu-ray Disc

Mobile Internet Internet

2005.4 2006.4 2007.4 2008.4 2009.4

2004 2005 2007 2006

2005 2006 2008 2007

2001 2005 2006 2007 2004 2003 2002

97.1

13.1

95.0

8.5

89.5

7.1

77.9

5.8 4.4

May 20, 2009

TOEI ANIMATION

0

5,000

10,000

15,000

20,000

25,000

0

1,000

2,000

3,000

4,000

5,000

FY10.3

Plan

17,700

9,000

Movies ***

TVs ***

DVDs 1,500

Overseas 2,400

Others ***

5,500

Japan 3,500

Overseas 2,000

3,200

Sales of Goods ***

Events ***

13,300

4,400

1,400

1,600

1,000

Net Sales

Film

Licensing

Otehrs

Net Income

Japan

Overseas

Operating Income

Ordinary Income

Decline in sales related to

Pinball Machine

(Million Yen)

The launch of a full list of

major DVD works completed

Good result

due to

licensing To Budget Attainment

3-1

Income Net Sales

Low birthrate and

economic slowdown

Good result

due to

DVD box set

sales & licensing

(*)Forecasts for segments such as made-for-theater animations, TV animations, others, goods sales, and events are not disclosed.

FY08.3

Plan

FY08.3

Result

FY09.3

Plan

FY09.3

Result

FY10.3

Plan

Net Sales 18,900 21,148 19,500 21,718 17,700

Operating Income 2,400 2,726 2,300 3,123 1,400

Ordinary Income 2,700 2,938 2,600 3,412 1,600

Net Income 1,600 1,685 1,500 492 1,000

Consolidated Projection for FY Ending March 2010

May 20, 2009

TOEI ANIMATION

Rejuvenation

of the

Library

TV Animation

for Children

Co-production

Theatrical

Animated

Film

Internet &

Mobile

Internet

3-2

Strategies for Further Growth

May 20, 2009

TOEI ANIMATION

CG

Flash

３D image

Original

Theatrical Animation

(2D)

Animation for

Mobile Internet

３DCG Theatrical Animation

3D Images

for Movies GE-GE-GE NO KITARO

-Yokai Japan Rally 3D-

©Purittu Matsumoto, SHUFUNOTOMO, 3 Daughters Project, KeihinKazoku Project, Disney, Mizuki Production, Fuji Television, Toei Animation

4-1

・TV Animation

・Theatrical Animation

of TV Series

2D/for Children

Enhancing Production Capability

May 20, 2009

TOEI ANIMATION

09年3月

テレビアニメの長編の収益拡大

Asataro, the Onion Samurai

earns good reviews! It has expanded its coverage for

Kyushu Asahi Broadcasting and

Nagasaki Culture Telecasting.

Every Sun. @6:30 on TV Asahi et al.

Collaboration! Sun. @9:00 Dragon Ball Kai & Sun. @9:30 One Piece

Household Rating(%)

“Dream 9” makes high rating!

©Eiichiro Oda, Shueisha, Fuji Television, Bird Studio, Kazuyoshi Iino, Fukuinkan Shoten, TV Asahi, Toei Animation

0

100

200

300

400

06/03 07/03 08/03 09/03

Jan. Feb. Mar. Apr.

avg. avg. avg. 1st wk 2nd wk 3rd wk 4th wk 5th wk avg.

GeGeGe no Kitaro 8.3 8.2 8.2 - - - - - -

Doragon Ball Kai - - - 11.3 9.8 9.6 11.1 8.8 10.1

One Piece 8.3 8.4 8.9 9.9 8.8 10.1 11.7 9.4 10.0

Apr.

Jan. Feb. Mar. Apr.

avg. avg. avg. 1st wk 2nd wk3rd wk 4th wk 5th wk avg.

1.6 1.9 2.9 3.1 3.1 3.5 3.2 2.5 3.1

Apr.

Licensing Sales of

One Piece in Japan

Million

Yen

4-2

Household Rating(%)

Dream 9 block: back to back action time-slot

May 20, 2009

TOEI ANIMATION

Marie & Gali An original short animation,

and 31 years of animations for NHK

Every Tue. @19:25

on the NHK Educational Channel

within Suiensa

Developing Products: A Good Start!

HENSHIN KEITAI TECHOU LINKRUN The top three positions on the

“Ranking of Girls Toy Sales” in March

Jan. Feb. Mar. Apr.

avr. avr. avr. 1st wk 2nd wk 3rd wk 4th wk 5th wk avr.

Yes! Pretty Cure5 Go Go! 5.1

Fresh Pretty Cure! 7.1 6.2 6.2 7.4 7.8 7.0 7.3 7.1

Apr.

Rating/Share Rating Share Rating Share Rating Share Rating Share Rating Share Rating Share

Fresh Pretty Cure! 7.1 13.1 15.4 55.4 4.8 30.2 3.5 16.4 7.2 37.2 5.3 21.7

Dragon Ball Kai 10.5 20.1 16.6 57.9 10.1 56.1 5.2 25.0 7.7 38.9 7.2 28.5

One Piece 10.1 21.5 11.8 50.8 12.4 67.3 4.9 25.6 8.8 44.4 6.9 29.3

HouseholdMale/Female Male Male

ages 4-12 ages 20-34

Female

ages 35-49 ages 20-34 ages 35-49

FemaleAverage demographic

Rating for April 2009 Response to

the falling birthrate

associated audience

©ABC, NHK Educational, Toei Animation

5-1 Reference) Toy Journal editorial office [Ranking of Toy Sales]

Animation for Children (2)

Household Rating (%)

May 20, 2009

TOEI ANIMATION

Commencing broadcasting of the HD-remastered classic

DRAGON BALL Z, for high-definition terrestrial television to

acquire new fans and encourage a resurgence in popularity.

Rejuvenate the Library Again

DVD BOX

Dragon Ballstarts

Dragon Ball GT underway

86 87 88 89 90 91 92 93 94 95 96 97 98 99 01 02 03 04 05 06 07 08 09

Dragon Ball Z underway

CS broadcasting

Single DVD

Molibe Internet

Export of animated films

Expansion of overseas merchandise

17 Movies

Restart of Merchandising

Rerun on Fuji Television

Movies (rental VHS)

Movies (sell LD)

Movies (sell VHS)

In French theaters Full-scale in U.S. Hong Kong France Popularity

resurgent through

exposure and

marketing

effective for each

generation

Internet

©Bird Studio, Shueisha, Fuji Television, Toei Animation

START Revival! Reenlargement!!

Games introduced in the U.S.

5-2

Rejuvenation of the Library (1)

May 20, 2009

TOEI ANIMATION

186 TV series, 196 Movies,

More than 10,100 episodes!

(Reruns, mobile Internet, VOD) DVD & Blu-ray

Produce new content/

invest aggressively in new projects

Profit through

content management

Toei Robot Girls Held on May 29, 2009

A wealth of content

Refreshing works using events

Revitalization

New package media

Merchandise

©Takehiko Inoue, IT Planning, Yudetamago, Kinniku Mania 2009 Executive Committee, Mizuki Production, Fuji Television, Shueisha, Bird Studio, PansonWorks, 2009 NBGI, Masami Kurumada, Toei Animation

6-1

Possessing the largest volume of content in Japan and one of the

largest volumes in the world

Rejuvenation of the Library (2)

May 20, 2009

TOEI ANIMATION

Box-office comparison Million Yen

2005 2008

Japanese movie

(animation)18,700 34,300

Japanese movie

(live-action)81,800 115,900

Foreign movie

(animation & live-action)116,400 79,000

Rainbow-Colored Fireflies: The Eternal Summer Vacation~

Other original projects are underway!

LA ROSE DE VERSAILLES

Producing an original full-length animated feature

Six theatrical animated films made more

than one billion yen at the box office in 2008

to be released

２００９

Fresh Pretty Cure

the movie

To be premiered in

the fall of 2009

A

B

Achieve record-

setting box-

office for the

series:

1 billion yen!

Pretty Cure All Stars DX

released on March 2009

10th anniversary

movie

ONE PIECE FILM

Strong World

To be premiered on

December 12, 2009

Turning TV Animations into Films

<The advantages of movies> ・The market has room to grow

・We can advertise our brand (quality) as

a production studio to the consumer public

・A concentration of various image technologies

・Box-office hits bring high profits

©Yoriko Ikeda, Masayuki Kawaguchi, Alphapolis, 2009 Pretty Cure All Stars DX the Movie Production Committee, Toei Animation

6-2

Theatrical Animated Films

May 20, 2009

TOEI ANIMATION

Launched a comprehensive portal to offer hit

animations originating from the Shonen Jump

weekly magazine, introducing a strong line-up

to the expanding distribution market.

Results of Internet & Mobile Internet

of Toei Animation

● Now showing at the theater

Shinjuku WALD 9

● Tie-up with SHORT SHORTS

FILM FESTIVAL & ASIA 2009

● Appearing in ads of TOKIWA

Pharmaceutical Co., Ltd.

● Tie-up with other major companies

Mobile Animation

Million

Yen

ケータイ３キャリア揃い踏み 2008年12月4日 auスタート

©Bird Studio, Shueisha, Masami Kurumada, Yudetamago, Marvelous Entertainment, Akira Toriyama, Keihin Kazoku Project, ABC, Purittu Matsumoto, Shufunotomo, 3 Daughters Project, Toei Animation 7-1

Expansion of lineup

1,000

500

0

2006.3 2007.3 2008.3 2009.3

Internet & Mobile Internet

Toei Anime BB Premium

May 20, 2009

TOEI ANIMATION

Toei Animation Co., Ltd.

(Tokyo)

TOEI ANIMATION

EUROPE S.A.S.

Respond quickly and flexibly to the rapid changes taking place around the world

Became a 100% subsidiary on December 2008

TOEI ANIMATION INCOPORATED（在 アメリカ、04年設立） TOEI ANIMATION EUROPE S.A.S.（在 フランス、04年設立） TOEI ANIMATION PHILS., INC.（在 フィリピン、86年設立） TOEI ANIMATION SHANGHAI REP. （駐在員事務所 在 上海）

海外拠点の整備

全拠点が100%子会社

日本 合作

一流の技術

世界のノウハウ

Co-production

TOEI ANIMATION

ENTERPRISES LIMITED TOEI ANIMATION

INCORPORATED

TOEI ANIMATION

PHILS., INC. TOEI ANIMATION

SHANGHAI REP.

Overseas video delivery via the internet

Market

&

Consumer

海外パートナー

●Digitization has shortened the lead

time for transmitting works and

information to markets and

consumers worldwide.

● We can distribute directly to

consumers (business for the global

market)

● Production of titles for worldwide

distribution.

● Step up collaboration with overseas media

(networks).

(Plans are currently underway for four

projects.)

<Simulcast in the U.S. and Canada> We will distribute animations on the official website

just one hour after the broadcast ends in Japan

©2006 Cartoon Network, Aniplex & TV Tokyo.・KBS.・DONGSEO UNIV.・ICONIX・JM ANIM, Disney, Eiichiro Oda, Shueisha, Fuji Television, Toei Animation

7-2

(Philippines)

(Shanghai) (France)

(America)

(Hong Kong)

Overseas Business

May 20, 2009

TOEI ANIMATION

June 21, 2009 on-sale September 9, 2009 on-sale

GEGEGE NO KITARO THE MOVIE

- Japan on Fire! -

GALAXY EXPRESS 999 THE MOVIE

Blu-ray Disc Box

A comic starting from the Web

Blu-ray Disc Original Character

Create a limited-time

shop selling character

goods in collaboration

with PansonWorks,

including nintea,

Mr. Muscleman, and

GeGeGe no Kitaro in

each place

Web Comic

Launching initial titles for the expanding

Blu-ray Disc market from 2009

Toei Robot Girls

A project in which we refine

animation robot characters in

an innovative way and make

buried masterpieces known to

the public. We are starting it as

a four-frame cartoon.

©Mizuki Production, Fuji Television, 2008 Gegege no Kitaro the Movie Production Committee, Leiji Matsumoto, Yudetamago, Shueisha, Fujio Akatsuka, PansonWorks, Toei Animation

8-1

New Initiatives in 2009

May 20, 2009

TOEI ANIMATION

0

5

10

15

20

25

30

35

40

45

2005.3 2006.3 2007.3 2008.3 2009.3

Special dividend

Ordinary dividend

Dividend

10 yen increase in the dividend

Ordinary 20 yen

＋

Special dividend 10 yen

(1) Sustained and stable dividends

(2) Comprehensively considering financial results and securing internal

funds for aggressive business development in the medium to long terms

Dividend policy

(Yen)

The Company conducted a 2-for-1 stock split on August 1, 2006. The dividends before the term ended March 2006 reflected the policy.

8-2

Planned dividend

Dividend Policy

May 20, 2009

TOEI ANIMATION

Billion Yen

Trends in Market for animation

from 1975

Reference) Dentsu Communication Institute Inc. [A Research for Information and Media Society 2009], Data of Media Development Research Institute Inc.

Production of animated theatrical films

Production of

TV animation

Production of TV animation related character business

Progress by Toei Animation

Established in 1956

9-1

Respond

quickly and

flexibly to the

new media age,

by enhancing

production and

development

ability

(The extent of animation market above: Movie, TV, Video Soft, and Internet Delivery)

As a Leader in the Animation Industry

46120

261

1069

1611 1588 1637 16511519

1593

1860

21352257

2415

1903

2339 2302

0

500

1000

1500

2000

2500

3000

55 60 65 70 75 80 85 90 95 96 97 98 99 00 01 02 03 04 05 06 07 08 09

May 20, 2009

TOEI ANIMATION

One Piece Every Sun. @9:30

on Fuji Television et al.

Asataro, the Onion

Samurai Every Sun. @6:30 on TV Asahi et al.

My 3 Daughters Every

Tue. @17:30 on TV Tokyo network

Dragon Ball Kai Every Sun. @9:00

on Fuji Television network

Marie & Gali within Suiensa

Every Tue. @19:25 on NHK Educational Channel

©Kazuyoshi Iino, Fukuinkan Shoten, TV Asahi, ABC, Bird Studio, Shueisha, Fuji Television, Eiichiro Oda, Purittu Matsumoto, Shufunotomo, 3 Daughter Project, NHK Educational, Toei Animation 9-2

Fresh Pretty Cure! Every Sun. @8:30

on ABC & TV Asahi network

New TV Lineup 2009