YUSHIN Report

2022
Integrated Report

Year Ended March, 2022

555 Kuzetonoshiro-cho, Minami-ku, Kyoto
601-8205 JAPANwww.yushin.com

2022.12

The impossible is the starting point for innovation.

Susumu Kotani, YUSHIN’s Founder

Our technology supports production automation
for manufacturers all over the world.

01

YUSHIN Report 202202

Foreword

INDEX

We sincerely thank you for reading YUSHIN Report 2022.

Vision and Strategy

We have compiled financial and non-financial information in this report to help all of our stakeholders better understandForeword, Business Philosophy and Motto

04

Value Creation Process

07

History of Value-Creation

Message from the President
YUSHIN’s Strength
Risk Management

Business Results

17

Sales by End-User Industry

20

26

Directors and Auditors
Skills Matrix

22
29
35
37

39

Global Network

47

Stock Information

45
49

and other materials during the edit.
Reporting period

The main period covered in this report is the fiscal year ended March 31, 2022 (April 1, 2021 to March 31, 2022).

Scope of report

This report covers YUSHIN PRECISION EQUIPMENT CO., LTD. and its 13 consolidated subsidiaries.

Notes on the forecast and

The forecasts and outlooks contained in this YUSHIN Report 2022 are based on information available at the time of

YUSHIN Report 2022

and courage” in order to earn the trust of our customers
and shareholders.
Look outward far and wide, constantly seek technologicalinnovation and give back to society for all it has given us.
Work cooperatively with our stakeholders in order for us
to grow as a company and make the world a better place
both physically and spiritually.

are creating social and economic value and achieving sustainable growth. We hope that this report will contributeFoundation and "Guidance for Collaborative Value Creation" issued by Ministry of Economy, Trade and Industry,

03

Act fairly and judiciously with all of our “strength, wisdom

YUSHIN Report is intended to help our shareholders, investors and other stakeholders better understand how weto your dialog with us. We referred to "International Integrated Reporting Framework" issued by Value Founding

outlookBusiness Philosophy

32

Financial Information

Corporate Information

Editorial policy

19

ESG – Social

ESG – GovernanceBusiness Philosophy and Motto

18

21

Dialog between the President and Employees

Data Section

16

ESG / SDGs

ESG – Environmental

YUSHIN PRECISION EQUIPMENT CO., LTD.

14

The Three Pillars of YUSHIN
Sales by Region

We will continue to use this report as a communication tool to continuously improve our corporate value.

13

15

Non-Financial Highlights

YUSHIN Group. We hope this report will help you have a dialog with YUSHIN Group.

09

Financial Highlights

Sales by Product Category

Sustainable Management

05

Some of the contents include information outside of this period.

Motto
Today and every day,Devote yourself to even better service
And build even more faith in our company.

preparation and are judged to be reasonable by the Company, and include potential risks, uncertainties and otherfactors. Therefore, actual results may differ from the forecasts and outlooks due to changes in various factors.

04

History of Value-Creation
Since its establishment, YUSHIN PRECISION EQUIPMENT CO., LTD. has made take-out robots for plastic molding as main

Founder’s saying

products, and has moved forward with the development of the industry. We have actively expanded its business overseas,

Quality determines our future.

and despite being the last entrant into take-out robot industry in Japan, has grown to hold the largest share of the global

market in the 2000s. Based on our founder's philosophy of "The impossible is the starting point for innovation." we willcontinue to challenge new technologies and contribute to global society as a leading company of take-out robots.

The impossible is the starting point for innovation.

Starting-up

1973

YUSHIN PRECISION EQUIPMENT
CO., LTD. established at
Higashiyama-ku Kyoto, Japan

Forming the basis

Boosting existing businessand expanding overseas

Accelerating overseas expansion
and challenging new areas

Building the foundation
for growth strategy

1985

1988

2000

2013

2004

2016

Relocated the headquarters toFushimi-ku Kyoto, JapanYUSHIN AMERICA, INC. establishedYUSHIN KOREA CO., LTD. establishedTechnical Center openedin Minami-ku Kyoto, JapanYUSHIN AUTOMATION LTD.
(UK) establishedNon-consolidated sales<Net sales>(Millions of yen)

Executing growth strategy

New Headquarters openedin Minami-ku Kyoto, Japan

Consolidated domestic sales
Consolidated overseas sales

30,00025,00020,00015,00010,000
5,000
0
1974

1978

A swing type take-out robot
released as the YUSHIN’s
first robot

1980~

1989

(First in the Industry)
Servo liner, all servo driven
take-out robot, released

1990~

1996

(First in the Industry)YUSHIN robot equippedwith colored touch-panel
controller

2000~

2002

(The Fastest in Industry)
DRDIII, disc take-out robot,
released with the take-out
time of 0.069 seconds

2010(Optimum Design)
HSA, take-out robot, jointly developedwith Kyoto University, released

Japan Society of MechanicalEngineers Technology Award

05

YUSHIN Report 2022

2010~

2020~

2017

2020

(Active Vibration Control) (IoT)
FRA, high-end take-out robot, released
INTU LINE, IoT service, released

Japan Society of MechanicalEngineers Technology AwardRed Dot
Design Award

Machinery Industrial
Design Award(Venture into New Business)
PA, palletizing robot released

JMF’s Energy-Efficient
Machinery Award

06

Value Creation Process[ Outcome ]Social issues and changing environment
surrounding YUSHIN and the customers● Labor shortage in● Preventing global warming and● Improvement in working● Improvement of living standard

manufacturing industry

environment in manufacturingindustry, especially indeveloping countries● Plastic recycling● Growth opportunity inenergy conservationin countries around the world● Growing geopolitical risks● Serious natural disasternew industries(e.g. Electric vehicle, metaverse)

Social value[ Business activities ]Development
Fab-light company

Develop take-out
robot business tosystem businessContributing to the creation of sustainable societiesin which people around the world
can lead safe and prosperous lives● Raising the standard of living of people aroundthe world by supporting the delivery of high-quality,
low-cost products worldwide (Contributing to lighten
products and to improve sanitation standards throughthe use of plastics)● Responding to environmental conservation(climate change, chemical substance control measures)Technology[ Input ]● Supporting production of biomass and biodegradable
plastic moldings as effort to address plastic issues

Trust● Contributing to demand for labor saving due to labor
shortage● Contributing to the safety and security of factories

Management capital (FY2022)
Financial
capitalEquity capital ratio: 83.5%
Cash and deposit balance: 12,404 million yen

Manufacturing
capitalCapital expenditure: 846 million yen

Intellectual
capitalResearch and development expenditure:
367 million yen
The number of development and engineering staff:
144

Human
capital

Number of employees (consolidated): 692

Continuous user
support for partsand maintenanceserviceNew businesses
Global expansion

Human Resource

Naturalcapital07

YUSHIN Report 2022

Power usage: 2.091 million kWh (non-consolidated)
Water intake 4,499m3 (HQ and factory)

Finance● Enhancing shareholder value

Corporate Culture

Number of overseas employees: 294

The number of bases: 57 bases in 18 countries● Helping client companies generate profits● Helping client factories improve the productivity
and the quality of their products

The impossible is the starting point for innovation.

Social andrelationshipcapitalEconomic value

Susumu Kotani, YUSHIN’s Founder

Sustainable Management
Take-out Robots

Corporate Identity (CI)

“Above all, reach people’s hearts.”

Management[ Output ]Parts and
Maintenance
Services● Improving customer● Improving employee● Increasing the corporate● Cash generation

satisfaction

Philosophy

Custom-Ordered
Equipment

brand value

job satisfaction

08

Message from the President

incorporated functions into the

YUSHIN contributes to the creation

latest model, some of which are theof a sustainable society and enhances

to find out the cause of take-out

diagnostic function to help customers
failure, and the function to help

corporate value by providing safety

customers reduce the cycle time.

Environment, and Our Future Strategies

As stated in SDGs targets, it is vital to create a world in“Maintenance and service” is one

which people can equally live healthy and enriched lives aso f o u r s t r e n g t h s . We k e e p o u rwell as to take good care of the environment. The market

robots the finest quality, but if ourfor plastic molded products is expected to expand overcustomers encounter troubles in

the mid- to long-term to improve the basic standard ofusing robots, we are ready to moveliving of people as the products can be produced in large

over to the customers’ site toquantities, they are stable in quality, light-weight, and cansupport fixing troubles. Our strong

be recycled. Especially, we excel at high-added value

financial strength is the foundation

plastic molded products in automotive, electrical andto support developmental power

medical industries in which reuse and recycle are strongly

that generates great products,

recommended, we expect that the market for theand enables us to ensure to keep

products expands further. Plastics are used in almost all

providing maintenance and services

industries. For example, the shift to EV cars has brought

Relationship with Management Philosophy

to the customers’ robots even

about the adoption of plastics aggressively to make thein a recession. We want to be acars lighter in weight. Plastic components are definitely

YUSHIN was established in 1973 and was initiallysustainable company that puts

used in equipment used in new fields, including virtual

involved in a variety of automated machinery. YUSHIN

importance on maintenance andreality. During COVID-19 pandemic, more plastic molded

entered take-out robot sector for plastic molded products

services.

products are produced for PCR test kits, syringe, pipets

and reliability to customers' factories
and supporting manufacturing that is
highly productive and has minimal
environmental impact.

Business Model and the Source of Competitiveness,in 1978. YUSHIN was the last in entering in the industry in

Another strength is our ability toand containers used to analyze samples, plastic pumps forJapan, but it has grown to be the industry leader and havepropose equipment with the mosthand-disinfecting alcohol as well as electronic components

the largest share in the industry, and we have accelerated

suitable specifications for customers’

and printers, the demand of which was boosted by

the development of systematization in combination withsites. As we have many types ofwork-at-home. In the medical field, demand for plastic

automation equipment for downstream processes. At the

take-out robots in our product line,

molded products is expected to increase as medical

same time, YUSHIN has expanded globally and currently

we propose equipment most suitable

services are expected to expand worldwide.

has 57 bases in 18 countries. YUSHIN also keeps providing

for our customers by interviewing

Plastic molding factories to satisfy such demand forparts and maintenance services globally for the equipment

them in a careful manner to know

plastics have process to take out molded products fromdelivered to the customers.

what they want their factories to be,

injection molding machines, which poses risks such as

what they think is important, andbeing caught in machines when it is done by hand. There

what their constraints are.

are still many plastic molding factories in developing

With one of our management philosophies, “Constantly
seek technological innovation and give back to society
for all it has given us”, we aim to solve our customers’09

Our Recognition for Mid- and Long-Term Market

Representative Director and President,
Ph.D. in Engineering

Takayo Kotani

We have been awarded many best

countries where the take-out is done manually. Take-out

concerns they have in their factories with technologies.

For this reason, we have contributed to the improvement of

supplier prizes from our customers for our comprehensive

robots are being introduced to free workers fromFor example, if molded products can be taken-out quickly

productivity of our customers by realizing stable high-speed

strength including technical strength, service capabilities,

dangerous working conditions and to deal with risingfrom an injection molding machine, the productivity of theoperation with the vibration being suppressed using ourand proposal capabilities. We will continue to enhancelabor costs. On the other hand, the usage rate of take-out

customer will increase, but as the robot body vibrates with

own unique technology that focuses on the stiffness of the

our credit strength by working diligently and honestly,

robots is already high in developed countries, but plastic

high-speed operation, it takes some time for the vibration

machine body and vibration control. We have interviewed

cherishing our credo “To be a trusted company” which ismolding factories face chronic labor shortages. We haveto go away, which makes it difficult to shorten cycle time.

our customers for their needs in a careful manner, andthe origin of our company name “YUSHIN.”

significant room for growth of our take-out robots withYUSHIN Report 202210the strong need for automation and labor-saving caused

are working to "reduce dangerous work at customer

by labor shortage, and the need for high value-addedsites," "improve productivity," and "reduce environmental

machinery for high quality molding process. In the light ofimpact by reducing energy consumption" as important

our recognition of the market environment, we will expand

issues. Looking back at our business and history, we havetake-out robot business with our Technical strength,

contributed to the sustainable development of the plastic

Support strength, and Proposal strength.

molding industry by co-creating innovations together

Cartesian robots, the most basic type of take-out

with our customers since our foundation by developing

robots, excel in high-speed and operability including

new technologies. We are proud that our contribution toteaching function, and have a feature of being installed

the plastic molding industry, which is easy to reuse andwith small footprint because of its structure. With thesecan be produced in large quantities in a stable manner,features, we will expand our business by focusing on thewill indirectly help to "improve people's basic standard ofdevelopment and sales expansion of Cartesian palletizing

living and realize enriched lives." Our business activities

robots. Moreover, utilizing our technology features andthemselves are part of SDGs, and we expect that further

advantages, we will look for new business opportunities,

promotion of our activities from this perspective will leadand develop growing markets.

to the creation of greater added value as a company.
With regard to governance, we have established
N o m i n a t i o n a n d Re m u n e r a t i o n C o m m i t t e e , w h i c h

Promoting Sustainability Management
and Strengthening ESG Initiatives

The establishment of the Sustainability Committee wasresolved in August 2022. Our aim is to contribute to thecreation of a sustainable society and environment throughour business activities and to enhance our corporate value

is chaired by an external director, to enhance theappropriateness and transparency of management. In
April 2022, we introduced the new board members’
compensation system, which incorporates mid-term
performance-and stock-price-linked bonuses, and will

resources, and collaboration among each department.
We a l s o b e l i e v e t h a t o n e o f o u r m a n a g e m e n t
responsibilities is to create a work environment in which
each and every employee, who is our valuable stakeholders
and working colleagues, can maximize his or her potential

long-term by reflecting engagement with all stakeholders
in management. We will continue to take on challenges
cherishing our founder’s philosophy "The impossible isthe starting point for innovation." We appreciate yourcontinued support for our future.

and continue to work enthusiastically. If each and every
employee can use the Company as a tool to influencesociety and lead a more fulfilling life, the Company will inturn be stronger. In recent years, we have promoted theestablishment and penetration of our corporate identity
through discussions involving young employees on a
department-by-department basis. We will incorporate
our employees’ ideas into our management to build
good working environment where we all can enhance
our creativity.
For our shareholders and investors, in addition tostrengthening our engagement, we plan to pay a dividendof 30 yen per share in fiscal year 2023, an increase of
11 yen from fiscal year 2022, as we celebrate our 50th
anniversary in 2023.
We will enhance corporate value over the mid-to

strive to enhance the effectiveness of Board of Directors
and sustainably increase corporate value.

through sustainable business development. In the future,
we will promote sustainability management by utilizing
this committee to formulate basic policies and measuresrelated to sustainability, as well as materiality.
Using ESG framework to explain our specific initiatives,

Initiatives

we first aim to develop and sell products that contribute

YUSHIN will celebrate its 50th anniversary in 2023. To

to energy conservation at our customers' plants, while atdate, we have endeavored to provide added value by

the same time pursuing our own management that has

identifying social issues, researching and developing

minimal environmental impact. In order to promote energy

solutions to them in a cooperative relationship with all ofconservation in our production, 100% of the electricity

our stakeholders, including our customers and suppliers.

used by all of our sites in Japan that are directly contracted

We will continue to strive to share information andwith electric power companies has been changed tomaintain careful relationships with each stakeholder sorenewable energy. We also announced our support for thethat we can realize co-creation and co-prosperity withrecommendations of the Task Force on Climate-related

them. Within our company, we will steadily implement

Financial Disclosures (TCFD.)

important initiatives and mechanisms for growth, such as

For society, through the development of robots, we

11

Stakeholder Engagement

YUSHIN Report 2022

"For our new growth, we will implement measures
such as penetrating our corporate identity
and strengthening organizational and humanresource development."

organizational restructuring, optimal allocation of human12

YUSHIN’s Strength

Risk Management
YUSHIN management team identifies following risks which may have significant impacts on financial statements, businessTechnology●●

Broad User Base

Stick to the speed●

From larger to smaller companies

Vibration suppressing technology●

Acceleration in globalization(PAT.)●●

Energy-saving products●

IoT support●

Collaboration with universities●

External factor(market trend)

Maintenance and services to keep
customers’ equipment running

Service with use of AI technology●

Delivery on time

External factor(natural disasterand others)●

Carry on non-debt management●

High equity ratio●

Minimum production facility●

Steady maintenance and services
even under economic recession●

Quick decision-making●

Disaster-proof

Internal factor(accident)

YUSHIN Report 2022

●Our business runs in multi-industry markets toyen equivalent of the overseas subsidiaries’
business results●We keep on developing new models and reducing●Price fluctuations in raw materials●Parts supply restrictions from suppliers and●We attempt to manage minimizing purchase●Impact from exchange rate fluctuations on the

discontinued parts●Parts shortage due to demand rise in market●Earthquake and storm damage●Urban lockdown and stay-at-home order due topandemic diseases around the world●Warranty costs due to quality issue●Labor accidents●Cyber accidents such as information leaks, lossof important data, and operating system outage
caused by information security issue (cyberattack, computer virus and unauthorized access)●Operating system outage due to information
technology system failure

prevent impacts from economic fluctuations in aparticular industry
manufacturing cost and SGA expenses

price fluctuation by setting up multiple andreliable supply routes●We maintain system that enables flexible designchangesand “Business continuity plan.” And we havedisseminated the plans to our employees andconduct emergency exercise on regular basis.
We have also set-up “Safety confirmation
system.”●In the event of emergency, we keep our business●We have a strict quality management structure
which complies with an international quality
standard by setting up quality control standard,thorough quality management, and suitablemeasures●We purchase Contractors’ liability insurance andProduct liability insurance●We always pay attention to the health and safetyof the board members and employees toprevent work accidents●We strictly maintain IT security status andstrengthen IT security. We also train and enlighten management and employees●We make efforts to improve working conditions
Internal factor(human resources)

Others13

industryrunning by combating infectious diseases, strict
health check program, staggered commuting,work-at-home, and web meetings

Financial Strength

Workplace support by labor-saving,
automation, and streamlining●Capital expenditure in plastic injection molding

Our efforts●We have prepared “Disaster prevention plan”

Award-winning products●

Related risk

●Low-priced competition

External factor(purchasing)

Reliability●

Financial risk

Advance into multiple Industries

Topmarketshare●

performances and cash flows around YUSHIN Group.

●Weakness in securing human resources for
rapid business development●Resignations and leaves of absence in the areaof specialty

to keep employees and personnel system tosupport motivated employees. With this efforts,
we recruit and develop necessary humanresources to facilitate the development of the
global business expansion●We improve working efficiency by IT technology●We empower women●Sales and costs of goods sold are recorded in the following consolidated fiscal year due to the acceptancestatus of the goods delivered at the end of fiscal year

14

Financial Highlights
Net Sales, Operating Profit, Operating Profit Margin
Net sales

Millions of yen

25,00021,833

20,87820,000Operating profit

Operating profit ratio

20,011

20,874

18,473

13.8%

13.7%

5,000

2,760

0

FY2018FY2019

2,890

2,522

2,309

FY2020

FY2021

FY2022

3,000
2,500

14

1,903

2,000

1,626

1,500

1,532

500

10

0

%

12

People10700

FY2019500

6FY2021

414

%

50

80

71

72

72

69

40

66

30

60

406

407

The rate

100

692

681

The number

People

40

300
200

17.6%

17.5%

17.4%

17.0%

20

16.3%

10

20

100

0

FY2022

689

683

412

403

400

4

FY2020683

Consolidated

600

2
FY2018The Number and Rate of Female Full-time Employee (Non-Consolidated)

Non-consolidated

800

8

7.1%

6.5%

5.7%

1,000

11

2,112

1,827

7.2%

6.3%

Number of Full-Time Employees
ROE

0

FY2018FY2019FY2020

FY20210

FY2022FY2018FY2019FY2020

FY20210

FY2022In FY2022, Net sales increased by 13.0% year on year. In sales of ourleading products, take-out robots, we focused on sales activities for new
products and worked to strictly meet delivery deadlines even amid
continued difficulties in procuring components. As a result, sales grew.
Operating profit increased by 14.6% year on year due to an increase in Net
sales.

In FY2022, Profit attributable to owners of parent increased by 15.6% year
on year due to increased Net sales and foreign exchange gains. ROE was
7.1%, up 0.6pt from the previous fiscal year.

The number of employees has remained almost the same for the past few
years.

The percentage of women among regular employees is close to the averagevalue of women in the manufacturing industry (approximately 16%*.) In
recent years, we have actively promoting female mid-career recruitment.
The ratio of women to all mid-career hires has steadily increased from 0% in
FY2020, 16.7% in FY2021, and 28.6% in FY2022. (*From the FY2022 Basic
Survey of Gender Equality in Employment Management)

EPS, Dividends, Dividend Ratio

Capital Investment, Depreciation, R&D Expenditures

The Number of Employees in Childcare Leave, Rate of Taking Childcare Leave

The Number of Employees Who Take Shortened Working Hours System

Yen

EPS

Cash dividends per share

Dividend ratio

%

100

100

80
60
40

80

46.5

0

54.5

35.5%

30.9%
17

16.5

20

FY2018FY2019

45.0
40.0%
18

FY2020

62.1

53.7
33.5%
18

FY2021

60
40

30.6%
19

FY2022

Capital investment

Millions of yen

1,000

People

652

600

413

400
300
200

0

0

703

256

369

FY2019

5

18

0

1

2

0

0%

FY201820%

00FY2019

0%

50

1

4

FY2022

90

60

2

2

FY2021

People

70

6

367

347

%

100

100%

100%

7

585

125

FY2020100%

Rate of male employees
in the leave

80

3

198

100
FY2018100%

9Rate of female employees
in the leave

Male employees
in the leave

8

643

598

500

10

846

778

800
700

Female employees
in the leave

R&D expenditures

924

900

20

Depreciation

4

40
0

4
6%

FY202030

FY202120

20%

FY2022100Female

Male

20
16
14

2

12

2

1

1

10

0

8
6
4

8

2
0

FY2018910FY2019FY202011

FY2021

13

FY2022In order to achieve stable and continuous shareholder returns, we have set
a consolidated dividend payout ratio target of 30% or more. We intend toraise the level of ordinary dividends by improving our consolidated results.
Due to the 1:2 stock split conducted on April 1, 2018, the figures for
FY2018 have been adjusted.

Depreciation associated with the construction of new headquarters andfactory in 2016 has been decreasing year by year. Capital expenditures in
FY2022 primarily consisted of expenses for the purchase of land in thevicinity of the headquarters. We have been investing in R&D to a certain
extent under any economic conditions.

In addition to helping female employees take childcare leave and return to work, weare proactively taking measures to support all employees who are raising children, suchas publicizing the contents of the system through lectures and roundtable discussions,sharing experiences with employees who have taken the leave, and preparing anddistributing pamphlets to deepen the understanding of the system. In FY2022, no male
employees took childcare leave due to the small number of eligible male employees,
but in FY2023, more than 3 male employees are going to take the leave.

Shortened working hours is available for our employees until their children
move up to the fourth grade in the elementary school while it is up to three
years old in legal requirement. It is the flexible system for the male employees
which enables them to take for short period of time when needed. Over the
past few years, all eligible female employees have used this system andattained to balance work and childcare, and they are getting understanding
and support of the other employees. We will continue to strive to improve theworkplace environment according to the life stages of our employees.

Overseas Sales Ratio

Cash and Bank Deposit, Interest-bearing Debt, Equity Ratio

Paid Vacation Utilization Rate of Full-Time Employees

Power Usage (Non-Consolidated)

Overseas

%

70
60

60.1

57.4

50
40

42.6

39.9

59.2

62.5

Japan

Cash and bankdepositMillions of yen

60.4

14,000Interest-bearing
debt

40.8

37.5

39.6

10,0008,000
6,000

Equity ratio
12,404

11,69012,000

30

80.6%

80.9%

8,646
83.5%

83.5%

90

95

80

85
80

4,000

75

10

2,000

70

FY2018FY2019FY2020

FY2021

FY2022

Overseas sales ratio has been around 60% in recent years.
The domestic sales ratio increased in FY2022 due to a recovery in thedomestic market, which had been sluggish in the previous fiscal year.

YUSHIN Report 2022

0

0

0

0

0

0

FY2018FY2019FY2020

FY2021

FY202265

Over the past few years, there have been no major expenditures, and cash
and deposits have increased. We will make preparations so that we canmeet future demand increase and make flexible investments in an
appropriate timely manner.

1,000kWh

100

100

90

85.3%

6,362

5,655

%

%

20

0

15

Profit attributable toowners of parent

Millions of yen

12
11.5%

2,358

%

13

12.6%
11.3%

Profit Attributable to Owners of Parent, ROE
15

15,00010,000Non-Financial Highlights

3,000
2,500

70
60

56

57

57

62

59

50

2,304

2,000

2,086

2,056

2,091

FY2020

FY2021

FY2022

1,500

40

1,000

30
20

500

10
0

2,547

FY2018FY2019FY2020

FY2021

FY2022The percentage of employees taking paid holidays decreased by 3pt from theprevious fiscal year to 59% because the year was transition period after theunification of paid holidays granted and the increase of the special holidays including
congratulation and condolence leave. Since 2021, we have been working to create anenvironment that makes it easier for employees to take paid holidays, such as byestablishing days on which employees are encouraged to take paid holidays.

0

FY2018FY2019As operation transfer from old headquarters are progressing, theenergy-saving equipment in the new headquarters are creating its effect.

16

The Three Pillars of YUSHIN

Sales by Product Category
Take-out Robots

Take-out Robots

16,00015,449(Millions of yen)

15,512
12,7708,000

Approximately two-thirds of plastic molded products are

manufacturing a variety of plastic molded products,

made in the process called “injection molding.” Plastic

ranging from small parts inside smartphones to large

melted at high temperature is injected into the mold, andparts such as automotive bumpers.

then cooled to form molded products. Dedicated robot for

Until now, YUSHIN has actively introduced a variety ofremoving plastic products from molds is called “take-out

industry-first technologies in pursuit of the speed ofrobot,” which is installed on many injection molding

robots. (Ref. p5, p6)

Overseas sales

9,704

0

FY2018Future Growth Strategy

Overseas sales

9,256

FY2019Overseas sales

7,256

FY202014,282
11,904

Overseas sales

7,718

FY2021

Sales ratio●Increased by 2,378 million yen
Overseas sales

8,911(20.0%) from the previous FY to
14,282 million yen.

●Sales increased due to capital

FY2022

investment picking up while
economic activity was restarting.

Take-out Robots

68%

FY2022

We will continue to develop products that meet regional and industry characteristics. In addition, we will make further
efforts to develop products that reduce the environmental impact and increase the added value of take-out robots.

machines. Take-out robot is playing an active role in

Custom-Ordered Equipment(Millions of yen)

5,000

4,056

Custom-Ordered
Equipment

3,422

2,880
2,500

2,204
Overseas sales

2,866

We provide equipment that supports the automation of

In June 2020, we launched palletizing robot system,

each process before and after the take-out of moldedwhich automates the loading of cardboard and other items

products. They are mainly stock systems, gate-cut systems,

on pallets during the shipping process. Inquiries from new

and insert systems.

users, such as the food industry, are increasing.

Overseas sales

0

3,124

947

FY2018Future Growth Strategy

Overseas sales

Overseas sales

2,034

1,375

FY2019FY2020

FY2021

Overseas sales

1,840●Decreased by 297 million yen(8.7%) from the previous FY to3,124 million yen.

●Sales did not increase for medicalﬁelds, but demand for automation are increasing in various
industries.

Sales ratio
Custom-Ordered
Equipment
FY202215%

FY2022In response to the growing need for automation in Japan and overseas, we will focus on businesses that have synergy with take-out
robots. In addition, through the palletizing robot launched in 2020, we will work to expand our products beyond the plastics industry.

Parts and Maintenance Services

Parts and

(Millions of yen)

5,000

Maintenance
Services

3,223

3,440

3,185

3,147

3,467

Overseas sales

1,701

We have established an extensive maintenance andhigh-quality service to keep customers’ production runningsupport system all over Japan and around the globe so thatby quickly responding to consumable parts replacement forusers can use our robots and custom-ordered equipment

the robots.

with confidence after their introduction. We deliver

17

YUSHIN Report 2022

0

FY2018Future Growth Strategy

1,810

FY2019Overseas sales

1,728

FY2020Overseas sales

1,784

FY2021●Increased by 319 million yen(10.2%) from the previous FY to3,467 million yen.

2,500
Overseas sales

Sales ratio

Overseas sales

1,971

FY2022●Sales increased as the customers’
factory operating ratio increased
due to the various regulations of
COVID-19 pandemic have beenrelaxed.

FY2022
Parts and Maintenance
Services17%

One of our competitive advantages over other companies is our network, which is the best in the industry. We will continue tofocus on securing and training human resources to support our global expansion and develop high quality services worldwide.

18

Sales by Region

Sales by End-User Industry
YUSHIN Robots Are Used in a Wide Range of IndustriesJapan
10,000

9,304

8,335

(Millions of yen)

8,159

6,936

8,262

●Increased by 1,325 million yen

Japan(19.1%) from the previous FY to8,262 million yen.

5,000

0

Sales ratio●Sales increased due to the recovery
FY2018FY2019FY2020

FY2021

FY2022

FY2022of the capital investment toautomotive products and electronicparts.

40%

medical industry is engaged in the mass production of plastic products in consideration of hygiene, so we can quite go wellwith the industry as our forte is speed and accuracy. We also expect growth in products brought by new movements such as

In FY2022, we ranked the automotive sector the largest, due to steady sales of take-out robots in the Japanese and North

American markets. In sales to the electronic parts sector, sales of take-out robot for electronic devices grew, mainly in the

Chinese market. Custom-ordered equipment sales in the domestic market also contributed to sales. Sales to the medical

sector, which had the highest ratio in the previous fiscal year, declined due to the impact of COVID-19 pandemic on sales of(Millions of yen)

10,000

8,062

7,692
5,900

5,786

6,940

Sales ratio●Increased by 1,154 million yen(19.9%) from the previous FY to
6,940 million yen.

5,000

●Take-out robot sales increased
FY2018FY2019FY2020

FY2021

FY2022

mainly for electronic parts andmedical products due to thedemand increase in China.

FY2022
Asia

33%

4,103
3,172

3,233

3,343

3,375

●Increased by 728 million yen●Take-out robot sales increased
mainly for automotive products
and electronic parts.

FY2018FY2019FY2020

FY2021

Sales (Millions of yen)

25,00020,000(21.6%) from the previous FY to4,103 million yen.

2,500

Chinese market and other markets, and the sales are gradually increasing. In addition, YUSHIN brand is earning a strong

20,878(Millions of yen)

5,000

large-scale custom-ordered equipment to Europe. On the other hand, demand for medical products is increasing in the
reputation for the high-speed and accuracy of the take-out robot.

North America0

are being replaced by plastics in the automotive industry, and there are also needs for lighter components for EV cars and thevirtual reality.

Asia

0

YUSHIN robots play an active part in the production plant for plastic injection molding products. For this reason, we are

expanding our business into a variety of industries that handle plastics. We expect growth in the future as many components

Sales ratio
North America

20%

FY2022

1,799

15,000

3,187
1,981

10,000

FY2022

565
1,342

1,087

21,833
657
704

2,079
1,500
687
0

FY2018

1,782

939

FY2019FY2020

FY2021

1,075

FY2022●Decreased by 706 million yen(39.7%) from the previous FY to
1,075 million yen.

●Sales remained low in custom-ordered equipment for medical
applications due to COVID-19
pandemic.

Sales ratio

478
465
1,276

3,195

2,110

501
624
1,496

2,229

1,966

1,653

2,705

4,303

FY2022

1,765

3,698

0

657 Disc and optical
650 instruments
1,350 Containers
Electrical
1,873 appliance
Sundry2,471 products
Medical3,633 productsElectronic
4,653 parts

3,617
3,305

5,000

Europe 5%18,473

1,916

Europe(Millions of yen)

20,874 Others

4,878

4,807

3,000

20,011

6,106

6,724

FY2018FY20195,792

FY20204,247

FY2021

Automotive
5,582 products

FY2022Other Regions(Millions of yen)

1,000
620

663

500

0

19

FY2018YUSHIN Report 2022

FY2019527

FY2020593

FY2021

492

Sales ratio●Increased by 101 million yen(17.0%) from the previous FY to
492 million yen.

FY2022
Other
Regions 2%

Future Growth Strategy

We believe that plastic needs in the automotive and medical industries, where demand for lighter weight or sanitary
products is strong, will be stronger than ever, and we expect these industries to become drivers of businessdevelopment in the future. In addition, we will focus on product development that meets needs of each industry.
Currently, we diverse our risks by expanding into a wide range of industries in case a specific industry goes into
recession. In the future, we will aim to further diversify target industries by meeting the needs of new industries(such as food industry.)

FY2022

20

ESG / SDGs

E: Environmental - Environmental Policy< Environmentally-Friendly Products >SDGs YUSHIN
Focuses on• Won the JMF’s Energy-Efficient Machinery Award• Continuous development of energy-saving products(e.g. Design optimization)
Without optimization

133.6 kg

25.5%
WeightReduction

With optimizationE

99.5 kg(Environmental)

Weight comparison ofdrive component in
YD2-1025D

Environmental Action Policy
YUSHIN will contribute to the environment in product development
andworks to reduce environmental impact as a common initiative for all employees

DECENT WORK AND
ECONOMIC GROWTH

Product Development Initiatives

1
INDUSTRY, INNOVATION
AND INFRASTRUCTURE

Company-Wide Initiatives

Continuous development of energy-saving products

2

Details

Details

environmental impact, and that are compatible withefficient operations

Reduction in paper consumption by promoting more

YUSHIN will endeavor to develop products that have low
environmental conservation by using technologies that are

Take-out robot YD series< Efforts to Fight Climate Change and Decarbonize >• Promotion of environmental management system (ISO 140041)• Switched to the power generated by renewable energy source• Information disclosure based on TCFD recommendations

3

friendly to people and the environment.
RESPONSIBLE
CONSUMPTION
AND PRODUCTION<Recent Examples>

Reduction of CO₂ emissions

Details• Awarded at the Energy-Efficient Machinery and System• YUSHIN

Awards of the Japan Machinery Federation (FRA series)

will

take

the

optionofreducing

theenvironmental impact when constructing and expanding• Developed new products that are environmentally conscious
CLIMATEACTION

Paperless promotion

the plants or purchasing company vehicles. (use of LED

and contribute to Carbon Neutral (Smart ECO Vacuum: RC-SE

lighting, purchase of electricity from renewable energy

Series, YD Series)

sources, purchase of environmentally conscious vehicles)• YUSHIN will cut down the use of company vehicle byworking-at-home and video meeting.

< Human Rights >• YUSHIN Group Human Rights Policy and risk identification< Working Style Reform for Customer Factories >• Supply of automation system for entire plant

S(Social)PARTNERSHIPSFOR THE GOALS< Safety and Security>• Supply of robots with the highest safety standard of the world< Improvement of Working Environment >• Promotion of safety and health• Maternity leave and shorter working hours (better than required by law)
• YUSHIN mama’s meeting held to support working mothers

Constant Effort to Develop Energy Saving Products
GOOD HEALTH
AND WELL-BEING• Supporting to develop next generation and sponsoring rescue
robot contest< Governance Enhancement >YUSHIN Report 2022

– our unique technology to save air consumption. Thisand System Awards of the Japan Machinery Federation. ThisQUALITYEDUCATION

feature can reduce up to 78% of air consumption maximum,Awards was formerly called Energy-Efficient Machine Awardand can lower electricity consumption of the compressor.

which our YC robots had received. We are confident that

our continuous efforts to develop energy saving products

Reductionsof up toAir
consumption

CLEAN WATER
AND SANITATION

SuctionSDGs YUSHIN willaccomplish with customers

Workpiece

Take-out robot RC-SE seriesAir
consumption

Air
consumption
Vacuum pressure
auto monitoring
ECO valve
Suction pad

Without ECO VacuumTM

Workpiece

78 %SuctionClose

21

has Smart ECO Vacuum (PAT.P) evolved from ECO VacuumTM

JMF’s President Award at the Energy-Efficient MachineryOpen• 2 of 8 members are women

In July 2021, we have rolled out a new robot RC-SE which

Close< Diversity >such as design optimization, are highly evaluated.

24/7 at customers’ site.

Open

G

• 3 of 8 board members are from outside• Improvement of Board of Directors by effectiveness evaluation• Nomination and remuneration committee chaired by an external
director

We constantly develop energy saving products working
In 2019, FRA robots, our flagship model, received the< Social Engagement >(Governance)

Energy Saving Products

SuctionAuto

Workpiece

With ECO VacuumTM With Smart ECO Vacuum

YUSHIN measurements

22

E: Environmental - Efforts to Fight Climate Change and Decarbonization
Reduction of CO₂ Emissions• The CO₂ emissions in FY2025 is estimated to be cut

E: Environmental – Disclosure Based on TCFD Recommendations■ The Company-wide CO₂ emissions(t-CO₂/year)

1,500

down by 799.53t- CO₂ /year compared to FY2021 levels(approx. 66%.)

In April, 2022, YUSHIN has declared to support for the recommendations of Task Force on Climate-related• We aim at reducing the total of Scope 1 and 2 by 70% at

1,000

the end of FY2031 compared to FY2021 levels. Scope 1

70

emissions are direct emissions from in-house fuels.
Scope 2 emissions are indirect emissions from electric

500

power and heat purchased by in-house fuels.

Financial Disclosures which is created by Financial Stability Board (FSB.) YUSHIN will further promote its
effort against climate change to date, and enhance its disclosure based on the recommendations of TCFD.

% reduction

Governance<*Calculated based on the following assumptions>• Electricity: All domestic bases use the renewably generated

0

powers.

• Vehicles: All vehicles in the domestic bases are hybrid.

21
20 t
FY esul

23

20

FY

r

24

20

FY

25

20

FY

Electricity

31

20

FY

Gasoline

Center, and the regional sales offices directly contracted with power supply

The facilities consume 2 million kWh electricity in a year. YUSHIN estimates thatthe switching can reduce CO₂ emission by 740 ton in a year (100% reduction

Solar panels on the roof of the headquarters
The panels generate as much power as thebranch office requires where the renewableenergy is not available.

from FY2021.)

Facilities using Renewable Energies
Facilities using Private Solar Power Generation System

Toyama Sales Office
Nagano Sales Office

Hiroshima Sales Office

Iwate Satellite Office

Fukuoka Sales Office

Tohoku Sales Office
Higashi-Nihon General Sales Office

Tsukuba Sales Office
Shizuoka Sales Office

Nishi-Kanto Sales Office

Gradual Transition to Environmentally Friendly Vehicle (hybrid vehicles)

YUSHIN aims to increase the number of hybrid vehicles to

76 by the end of FY2028. The number is 6 out of 99 as ofApril 2022. YUSHIN will contribute to the protection of theenvironment by increasing the hybrid rate.

23

YUSHIN Report 2022

result of the enforcement are to be reported to Board of
Directors.

Goals:• 76 hybrid vehicles as of March 2028 (76.7% hybrid rate)

excluding the hybrid vehicles YUSHIN already has at the
moment and the vehicles cannot be replaced with hybrid
vehicles (MPV.) The number of vehicle is 6 out of 99 as ofApril, 2022.

• CO₂ emissions from the vehicle will be reduced from455.28t-CO₂/ year to 313.64t- CO₂/ year

climate change and assess the impact on business.

YUSHIN clarifies the impact of climate change on

procurement risks on energy and raw materials, risk in

The worldwide movement for environment is changing

temperature rise, and sea level rise. YUSHIN will reduce theseenvironmental impact.

drastically from day to day, which has to be addressed

properly. YUSHIN identifies risks and opportunities related toType

Niigata Satellite Office

Oita Satellite Officemanagement meeting and sustainability committee, and theenvironment in product development and reducing

Risks Related to "Physical" Changes
Risks related to the transition to a low-carbon economy
due to Climate Change

Headquarters & Factoryvehicles) for another environmental activity.

are both chaired by the Representative Director and■ Climate change-related risks

Chubu General Sales Office

Nagoya-Nishi Sales Officegradual transition to environmentally friendly vehicles (hybrid

body for business execution. The meeting and the committee

employees are committed to contributing to thepurchasing the renewable powers and using the solar power generated on site.

improving fuel efficiency. In March 2022, we decided to makeand opportunities. The basic policy resolved at the

YUSHIN’s “Environmental Action Policy” is that allcompanies, to renewably generated powers since April 2022. This is achieved by

YUSHIN has promoted eco-driving with the aim of

The management meeting is the supreme decision-making

climate change and the identification and assessment of risks

Strategy and Scenario Analysis

YUSHIN has switched all of power consumption at the headquarters, Technical

Nishi-Nihon General Sales Officedirectors discuss the progress of their commitments on

President. At the meeting and the committee, all inside

Switching to Electricity Derived from Renewable Energies

Technical Center

YUSHIN takes climate change as an issue to be addressedin the governance and management system for sustainability.

Policies andregulations

Technology

Marketcustomer needs change, risk of extreme weather, averagerisks and turn them to opportunities.

Frequency of occurrence*

Risk

DetailImpact on business

Carbon tax Introduction
and its hike by
governments• Rise in raw material procurement costs

YES

YES

YES Low• Rise in renewable energy procurement costs• Rise in cost of switching company car from gas
vehicle to environmentally friendly vehicles

YES

YES

YES Medium

YES

YES

Political interventions such as GHG
emission regulations and energy
efficiency improvement targets

The development cost of robots with
low-carbon technologies cannot be • Rise in investment costs
recovered at an early stage.
The material shortagedue to the spread of lowcarbon technologies

Short Medium Long Evaluation• Cost rise in procurement the related parts• Impact on the production due to the parts
unavailability

How YUSHIN responses to the risk

View the costs should be borne by the entire supply
chain for the benefit of a sustainable society

Medium View this as future growth investments

YES

YES Medium

Purchase from multiple companies by cultivating
suppliers

YES

YES

High

Actively develop environmentally friendly products
such as improved energy-saving functions

YES

YES

• Decrease in sales and increase in expenses due tothe shutdown of the headquarters and TechnicalCenter, which are responsible for production

Promote information disclosure with the support ofMedium Task Force on Climate-related Financial Disclosures(TCFD)

YES

YES

YES

Average temperature rise

• Electricity consumption rise and cost increase
for measures against heat stroke in order tomaintain a comfortable working environment
for factory workers and service workers

YES

YES

YES Low

Sea level rise

• Need for production site relocation (mainly
Guangzhou Plant) with water damage risk
exceeding allowable values

Stricter environmental
policy by customers

Reputation

Changes in stakeholder
behavior

Acute

Occurrence of extreme
weather (typhoon, flood,
tornado, heavy snow)

Chronic• Loss of sales opportunities due to delay
in addressing environmental friendship• Decline in corporate evaluation due to delays in
responding to environmental considerations anda lack of disclosure of environmental information

YES

Low to • Implement Business Continuity Plan (BCP)
Medium • Take measures against typhoons and floods
Prioritize the improvement of the work environment
for employees (Costs are absorbable and have a small
impact.)

Low toConduct risk assessment continually
Medium*Short-term means it happens within 3 years, medium-term by 2030, and long-term by 2050.

24

S: Social – Human Rights■ Climate change-related opportunities

Energy source

Products&
Services

Markets

Utilize energy-efficient building• Improvement of employee satisfaction through utilization of head office factories, suchas promoting comfortable temperature control and CO� concentration control, andimproving workplace environments for employees• Cost reductions associated with improved safety levels

Promote recycling• Cost reductions through efforts to increase reuse opportunities

Realize efficient transportation• Reducing costs by pursuing efficient transportation by promoting product weight reduction
and reduction of materials used for transportation

Decrease transportation use• Reducing sea transport costs by promoting local production

Utilize low-carbon energy sources• Reducing the impact of possible cost increase in fossil fuel and GHG emission regulations
by promoting renewable energy, and GHG emission regulations

Expanse development and salesof energy-saving and low-carbon
products• Sales increase due to increased demand for environmentally friendly robots• Sales increase by increasing product value, including ECO VacuumTM, Smart ECO Vacuum, and ECO mode
• Increase in service revenues due to the demand for long-life robots to reduce environmental impact

Cope with to average temperaturerise• Increased need for automation as work environment worsens for workers• Demand increase for the development of the products that can run in harsh environments

Sales increase due to market demand
increase for heat stroke control
products or medical-related products• Demand increase for YUSHIN products as capital expenditures increase for those products• Demand increase for YUSHIN products due to production increase for plastic-related partsdue to weight reduction and the newcomers to plastic related parts

Worldwide shift fromgasoline-powered vehicles toenvironmentally conscious vehicles
Relocation of customers’
production sites due to climatechangeResilience

Impact on business

Establishment of multiple assembly
partners and parts suppliers to
observe delivery deadline strictly.

Assumed time of occurrence* Opportunity
Short Medium Long evaluation
YES

YES

YES LowYES

YES LowYES

YES LowYES

YES LowYES

YES

YES LowYES

YES

YES HighYES

YES LowYES

YES

YES Medium

YES

YES

MediumYES• Demand increase for YUSHIN products due to expansion of capital expenditures• Improve capability to meet demand increase of the products

YES Medium
YES

YES

YES Low*Short-term means it is assumed to happen within 3 years, medium-term by 2030, and long-term by 2050.

Risk Management
YUSHIN sees what hampers business management as

information is compiled in a timely manner and shared byrisk, and analyzes and assesses the urgent risks of climate

Board of Directors and the executive meetings. Underchange and the risks that may occur in the future.

the leadership of Representative Director and President,

To manage such risks, YUSHIN identifies, analyzes andevaluates the risks in all aspects of the businesses. SuchYUSHIN takes prompt and appropriate measures to reduce
the risks.

YUSHIN has established a “YUSHIN Group Human Rights
Policy,” (hereinafter referred to as the Policy) based on “TheUN Guiding Principles on Business and Human Rights,” as a
guide for all YUSHIN Group to promote to respect humanrights and fulfill the obligations.
(1) Basic Thinking
The YUSHIN Group’s ongoing mission is to contribute to
global society by producing innovative technologies, basedon our business philosophy of “Respect for People.”
YUSHIN respects international standards on humanrights including the “International Bill of Human Rights”
and the UN International Labor Organization’s “Declarationof Fundamental Principles and Rights at Work.” YUSHIN
expects all our Group board members and employees, aswell as all 3rd party business partners involved in our
products and services, to understand, support, andimplement the Policy.
(2) Compliance with Applicable Laws and Regulations
YUSHIN complies with the laws and regulations of thecountries and regions where YUSHIN conducts businessactivities. When the local laws of the regions in which we
operate conflict with internationally agreed human rights
standards, YUSHIN will pursue ways to adhere to theinternational standards to the fullest possible extent.
(3) Performing Due Diligence for Human Rights Matters
YUSHIN works to identify, prevent, or mitigate adverse
impacts on human rights through the establishment andapplication of company rules founded on “The UN Guiding
Principles on Business and Human Rights.”(4) Dialog and Deliberation
YUSHIN consults with relevant stakeholders on any
potential or actual impacts on human rights.
(5) Information Disclosure
YUSHIN discloses the progress and results of our respectfor human dignity initiatives publicly, via our website orother means.
(6) Education and Training
YUSHIN provides adequate training and education to all
Group board members and employees so that the Policy
takes root across the entire organization, is fully understood,
and is effectively implemented in corporate objectives.
(7) Relief
YUSHIN affirms we will never knowingly violate thehuman rights of others. Should we learn of any instancesof our business activities causing or fomenting negative
impacts to others, YUSHIN will take appropriate corrective
measures consistent with the Policy.
If business partners of YUSHIN are linked directly withadverse effects on human rights, YUSHIN will cooperatewith stakeholders to take improvement steps in accordancewith our commitment to respecting human rights.
When prioritization is required, YUSHIN will prioritize andaddress the most serious impacts on human rights inconsideration of the scale, scope, and degree of difficulty
for correction and redress.
This Policy has been reviewed and approved by YUSHIN’s
Board of Directors.

Classification of Risks
This table shows how YUSHIN classifies specific risks for humanrights.

Indicators and Targets
The end of FY2031: Reduce CO₂ emissions by 70% compared to FY2021

25

Stakeholders

70% compared to FY2021 by the end of FY2031. YUSHIN is
promoting to purchase renewable-energy-based electricity

Following the adoption of the Paris Agreement in 2015,

and introduce environmentally friendly vehicles. YUSHIN

the Japanese government announced that it would aim towill review its targets from a medium- and long-term

reduce greenhouse gas by 46% compared to 2013 by 2030.

perspective.

YUSHIN aims to reduce the sum of Scope1 and 2 (direct

YUSHIN will set the reduction goal for Scope3 as well,emissions from in-house fuels and indirect emissions fromand work to reduce CO₂ throughout the supply chain andelectric power and heat purchased by in-house fuels) bydisclose the goal.

YUSHIN Report 2022

Business partners
Customers, Business
partners
Group employees
Affiliated companies
Group employees andsociety

Human Rights Abuse Risks
Labor conditions, interns’ human rights, children’s humanrights, sexual discrimination, freedom of association
Safety of life and limb
Safety and health, labor hours and wages, sexual
discrimination, power harassment
Intellectual property rights, personal information, trade
secrets, confidential information
Anti-bribing, environment

The chart on the right is an analysis of the risks listed above.
Through this analysis, YUSHIN has identified the challenges on
which we should focus, as follows.

Date of enactment July 7, 2022
YUSHIN PRECISION EQUIPMENT CO., LTD.
Representative Director and President
Takayo Kotani
High

Impact on human rights

Resource
efficiency

Climate-related opportunities(Severity, number affected and repairability)

Type

YUSHIN Group Human Rights Policy

Environment Life and limb Product and service safety(Community) (Customer) (Business partner, customer)
Intern/Trainee
Exploitation(Business partner)

Child labor(Business partner)

Safety and health(Employee)

Labor safety(Business partner)

Power harassment
Sexism(Business partner) (Business partner)
Labor condition(Business partner)

Power harassment Sexism(Employee)(Employee)
Religious Freedom(Employee)Intellectual
property right(Affiliated company)
Trade secret(Employee)

Bribery(Employee and community)

Low
Low

Connection to company and business

High

26

S: Social - Social Engagement
The Challenges YUSHIN should Focus on
Basic Thought on Our BusinessSupport to Develop Next Generation
gender, nationality, disability, age, and sexual orientation.

YUSHIN develops, manufactures, and sells CartesianThis standard extends to our suppliers and subcontractors

robots and other industrial equipment and systems for

who provide components or help manufacture YUSHIN

factory automation globally.

products.

At the core of YUSHIN’s business activities is the desire
to reduce the number of people working in hazardous
conditions and thereby improve worker safety.

Challenges in YUSHIN’s Work Environment
YUSHIN strives to promote worker health and safety, anddevelop a comfortable, optimized workplace.

Challenges in Procurement and Manufacturing

YUSHIN applies our best efforts to prohibit all forms of

YUSHIN does not tolerate human rights abuses such as

discrimination and prevent harassment.

excessive or unfair labor conditions, child labor, violating
the rights of foreign laborers including technical interns or
trainees, or discrimination on the grounds of race, religion,

YUSHIN reviews all important issues as needed through■ YUSHIN’s contribution to Japan Super Science Fair (JSSF)

power of science for the world,” “networks for future

designated as “Super Science High School (SSH)” (atogether through various activities that stimulate scientific

Ritsumeikan Senior High School, which has beenstate-backed high school providing advanced science andmathematics education) for 19 consecutive years by the
Ministry of Education, Culture, Sports, Science andsuccess,” and “big dreams for the future.” Students learn

and global thinking, such as science workshops and sciencelectures, focusing on research presentations.

YUSHIN has accepted high school students fromTechnology, has been holding Japan Super Science Fair

Ritsumeikan Senior High School and other countries

JSSF is an international student conference where

tours and technical presentations, YUSHIN hopes that

(JSSF) as part of SSH projects since 2003.

participating students from all over the world exchange

scientific ideas on the international stage with the purposeof obtaining “a sense of mission to contribute with thearound the world eight times since 2012. Through plantparticipants will improve their global perspective and their
willingness to learn about science.

dialog and cooperation with the stakeholders.

S: Social – Quality and Safety
Robot Compliant with the Most Stringent
International Safety Regulations

safe speeds are not exceeded and jobs can be performed

safely.

YUSHIN’s Support to Rescue Robot Contest■ Compliant with International Safety Standards

The Rescue Robot Contest, a contest for robots featuringresources through improving robotics technologies.

lifesaving activities in large-scale urban disasters, has been

YUSHIN has been sponsoring contest every year since

under EN/ISO 12100, EN 60204 and EN/ISO 10218, andheld since 2001 to educate society about disaster2016 (cancelled in 2020 due to COVID-19 pandemic.)

Our FRA robots qualify as Safety Category 3 devices

comply with safety requirements under CE, GB and KCs.

prevention and mitigation, and to develop human■ Safety Keeps Productions Running

Protection circuits are placed in the signal and power■ Safety Circuit

FRA series

There is no compromise at YUSHIN when it comes tosafety. As the bottom-line, redundant safety circuits

maintain functional capacity in the unlikely event that a
primary circuit goes down.

■ Speed Monitoring

Robot movements are monitored during teaching so that27

YUSHIN Report 2022

supply lines. This prevents the system from being

destroyed widely from rapid voltage changes, which isespecially effective in foreign countries. In addition, noise
filters, electrical conductivity on opening section of thecontrol box (for C2 types only), and shielded harnesses

provide measures against malfunctions that is caused byunpredictable external noises. These environmental

countermeasures, developed with the operating resultsaround the world, has achieved robustness that keeps
productions running.

28

Dialog between the President and Employees

In 2021, YUSHIN changed its management structure.
YUSHIN has set up a forum for young employees from various divisions
to discuss the new organization. Let’s listen to their honest opinions.
(from left)

Entering a New Phase of Growth of YUSHIN

Personality to Accelerate the Company to Grow

into things. You can grow by looking back why things gowrong at work. When I teach my juniors at work, I try toOver the last decade, YUSHIN has been at sales

Kotani It’s important to increase the number of employees

think about it together by saying "Why do you think itlevel of 20 billion yen. We will be able to keep 20 billion

who can create the future of YUSHIN with us together.

didn't work?"

yen if we take our jobs seriously. However, we shouldn’t

What sort of people do you think are necessary for us?

N (Domestic Sales Division)

repeat the same pattern if we think about further growth. I

Y (R&D Division)

I felt the importance of communication

kind of employees are required by talking about what kind

will change the Company where anybody can speak out soskills when I accepted an intern the other day. People withof people we need. I realized I actually didn’t understand

KotaniI was able to find out whatthat I can gather their ideas to choose the path I shouldcloser to our customers.

communication skills can come up with a lot of ideas, which

what people in other department thought or how they didfollow. I believe if we become an organization whose

Y (R&D Division)

We need to take measures to make our

moves the conversation going, and leads to new ideas. By

their jobs. What you have said really hit me. I would like toemployees get the business going with their own ideas,

products and technologies to be well known throughout thethe way, when I was a student, there were no 3D printers.

keep sharing our ideas like we did today.

that will promote our further growth. Our next growth

Company. To this end, it is necessary to have a system in

The student today have experienced what I haven’t gone

Kotanitarget is to achieve the sales of 30 billion yen. What do you

place to directly deliver customers’ feedback to every corner

through. Opinions and ideas from the people with that

future seriously. Through this roundtable discussion, I was

think of that?

of the Company. We have to explore market conditions andbackground were very unique and stimulating. I once again

able to learn about the form of the organization you arecustomer needs. I would like everyone in the Company to let

felt that it is important to have a conversation regardless oflooking for. This kind of talk is important. I would like tofiscal year, the sales of 22 billion yen, if each of us does theme know what they want us to do without hesitation.

age or experience in making things.

aim for an organization where each person's serious

best. It is not easy to achieve the sales of 30 billion yen.

T (Public Relations Office)

T (Overseas Sales Division)

Self-motivation is important.

thoughts can lead to results, where both the people who

What we should do is that we do our best in our section,

the growth of the business by distributing information that

When self-motivated persons get together, they become

are currently working here and who would be can fulfill

and we work together across sections to generate synergy

the Company wants to spread in a timely manner. Freshness

aware, "I want to do this!" and "This is not enough for that!"

their fullest potential and grow. Thank you for today.

effect.

counts for information. Expression changes as time changes.

Behavior to shape that awareness leads to personal growthEveryone

Releasing new products, like

Information must be suited from country to countries. I will

and to company growth.

palletizing robots or products that help automation, canactively listen to many kinds of people in order to send

S (Purchasing Division)

show us the way to achieve the sales of 30 billion yen.

appropriate information out promptly.

essential as we negotiate when purchasing. Also, we needT (Overseas Sales Division)

N (Domestic Sales Division)

the ability to take act. Depending on the social situation, it

S (Purchasing Division)

We can achieve the target of thisN (Domestic Sales Division)

29

T (Public Relations Office), Y (R&D division), Takayo Kotani (Representative Director and President),
T (Overseas Sales division), S (Purchasing Division), N (Domestic Sales Division)

Overseas sales are expected

I would like to contribute to

As all of you have said, we

employees need to get closer to each other over the

may be difficult to purchase specific materials.

our sales targets, if we can gather more feedback from end

sections. But I have a feeling we won’t get far with that way

If one procurement channel is closed, we have to findusers in Europe at exhibitions and other events andonly to achieve the target. We may also need to enhanceanother. Before you think you have no way out, you havecommunicate it to other departments more, we can find ahuman resources.

to switch your mind and do something. We need that kindof ability.

the sections by sharing information, so that we can get us

T (Public Relations Office)YUSHIN Report 2022

Thank you very much.

Communication skills are

to respond more quickly than before. In terms of achieving

business opportunity. It is important to fill the gap between

I felt anew that each of you is thinking about the

It is the ability to dig deeper

30

S: Social – Health and Safety

G: Governance

Health Promoting Actions

Basic Views on Corporate Governance■ Health Manifesto

The Company aims at achieving sustainable growth and maximizing the enterprise value for medium- and long- term under

YUSHIN has received Health Manifesto from Kyoto

the management philosophy with obtaining credibility from all stakeholders surrounding us including shareholders.

branch of Japan Health Insurance Association. The

We strive to strengthen corporate governance with the basic policy of following five items.

manifesto is provided to business facilities that makeconcrete efforts for safety and health of the employees.

1. The Company respects the rights of shareholders and ensures equality, as well as strives to improve the environment for
executing rights appropriately and protect rights.

■ Health Support by ICT

2. The Company strives to sincerely cooperate with good sense with stakeholders excluding our shareholders.

To improve the quality of life of the employees, YUSHIN

3. The Company strives to ensure the transparency by appropriately making disclosure according to laws and regulations andprovides them with health checkups. Based on the results,

YUSHIN gives health guidance to the ones who have a risk oflifestyle-related diseases. YUSHIN recommends them to havethe re-examination if necessary to raise the consultation rate.

The employees who is posted abroad or returned fromvoluntarily providing information excluding the disclosure.

enables employees to resolve their problems without
disclosing their personal information.

overseas assignment are required to undergo periodic■ Walking Eventthat they can work in a healthy manner.

together!” with the aim of promoting employees’ healthcollaboration with the industrial physician using ICT system.

There were 101 participants of 23 teams from Japan andmedical checkups once a year to manage their health so
YUSHIN is also working to enhance health support in■ Health Seminar

Seminars are conducted on the following four themes inorder to improve health literacy:

1)Women’s Specific Diseases, 2)Cancer Prevention,3)Smoking Cessation, 4)Mental Health.

“Promotion of Smoking Cessation” seminar was also heldby the industrial physician. The participants were briefed on
the risks of cancer due to smoking, health risks such as

YUSHIN held a walking event called “Walk, Talk and Workand improving communications among the employees.

abroad, who competed for the average number of steps
per day using a smartphone app for walking.

■

BLS (Basic Life Support) Training

For emergency procedures, YUSHIN conducts annual

training programs once a year to develop human resources
who can operate AED and perform cardiopulmonary
resuscitation.

4. Board of Directors strives to execute its roles and duties appropriately for transparent/fair and flexible decision-making.

5. The Company strives to positively communicate with shareholders after sharing the direction of its stable growth forlong-term.

Ensuring Effectiveness of Board of Directors
and Board of Corporate Auditors
Under rapidly changing business environment andadvancement of globalization, the Company appoints

found out the issues to be improved about the way how

viewpoints. There are 8 Directors in the Board including

shared.

knowledge, experience and expertise, diversity and global
External Directors at the moment. The Company will keep

quick-decision making with each of them providing theirexpertise and exchanging ideas.

External Directors and External Corporate Auditors who

also serves for other companies are annually disclosed at

ended successfully.

enables them to manage their health. The app can show

Shareholders,” “Securities Report” and “Corporate

them calorie and the number of steps they took.

YUSHIN promotes safety and health in workplace based

Board of Directors(8 members)

Board of Auditors(3 members)

3 Independent
Directors

2 Independent
Auditors“the Notice of Convocation for the General Meeting ofGovernance Report.”

To improve Board of Directors further, YUSHIN conducts

Safety and Healththe business report is made and how the documents are

the Board in appropriate number to enable them to make■ Health Apps

YUSHIN introduced health app for the employees thatOn the survey conducted in January 2022, the Company

candidates of Directors with a focus on balance among

cerebral and cardiovascular infarction, and the effects ofsmoking cessation aids. The seminars were practical andothers), analyses the result, and improves the Board.

the annual survey on the effectiveness of Board of Directors(roles, responsibilities, agendas, operations, structure andon the Safety and Health Policy.

<<Safety and Health Policy>>■

Mental HealthYUSHIN has set up Health Support Center to encourage

employees to consult with public health nurse or industrial
physician at any time if they are worried about something.
In addition, YUSHIN has set up a consultation desk

operated by external resources as a welfare program, which

31

YUSHIN Report 2022

1. Develop a workplace where employees can work
actively and stay healthy.

2. Clarify where responsibility lies to perform safety
and health management activities properly.
3. Conduct necessary safety and health educationand training, and foster people who put safety
before everything else.

4. Comply with safety and health-related laws andplant rules.

The Nomination and Remuneration Committee
The Nomination and Remuneration Committee has been established as the advisory body for Board of Directors to

reinforce fairness, transparency, and objectivity of the procedure to nominate the board members, set the remunerations, andothers. Since June 22, 2022, Yasuo Nishiguchi (External Director) has chaired the committee where five members sit: Takayo

Kotani (Representative Director and President), Hiroshi Matsuhisa (External Director), Reiko Nakayama (External Director),
Hiroho Kamakura (External Corporate Auditor), Naohiro Tsuda (External Corporate Auditor), which makes six in total. The
committee was held four times during FY2022 in which executive appointment and the revision of executive compensation
system were discussed.

32Corporate Governance Structure

The Board Members’ Compensation System
YUSHIN board members’ compensation system is aimed at improving motivation to secure and retain excellent humanresources, and improving performance for the sustainable growth and enhancement of competitiveness of YUSHIN.

Internal Director / Auditor

External Director / Auditor

YUSHIN has decided a new policy for the board members’ compensation at the board meeting held on March 7th, 2022.
General Meeting of Shareholders

Nomination and Remuneration Committee accepted the consultations and approved the decision.
Appointment /Dismissal

The outline of the new board members’ compensation system

Appointment /Dismissal

Appointment /Dismissal• Setting compensation standard in reference to industry standards.

Nomination and Remuneration Committee• Strengthening efforts to improve mid-term performance and to drive up the stock price• Improving objectivity and fairness in compensation deciding process.

Board of Corporate
Auditors

ReportChairperson

Audit

The board members’ compensation consists of basic compensation (monthly compensation), short-term performance

Board of Directors
Appointment / Dismissal /Supervision

bonuses, and mid-term performance bonuses and stock-price-linked bonuses. The compensation levels are set according to
the position with reference to the standard of the same industry and of the companies of the same size.
Cooperation
Cooperation

bonuses are decided by reflecting two coefficients - mid-term performance coefficient based on the growing rate of earningper share (EPS), and stock-price-linked coefficient based on the growing rate of the stock price.
The compensation for the external board members consists of fixed compensations. In terms of independency inperforming operation, performance-linked compensation is not paid.

Accounting
AuditorCooperation

Audit

Internal

Basic Compensation

Directors
External

Auditors

Proposal / Report

Representative Director

The short-term bonuses is decided by measuring the degree of contribution based on target management evaluationreflecting the achievement of the consolidated ordinary income. The mid-term performance bonuses and stock-price-linked

Advisory

Supervision /Instruction

Instruction /Supervision

Proposal /ReportReportAdvisory

Proposal /ReportReportExecutive Meeting

Internal
Supervision /Audit OfficeInstruction

Supervision /Instruction

Training /Guidance

Internal Audit

Short-Term Bonus
Long-Term Bonus
Stock-Price-Linked Bonus

Committee ofInternal Control

Sustainability
Committee
Instruction

Departments / Subsidiaries

Basic Compensation
Basic Compensation

The Committee of Internal Control and the Sustainability Committee
The Committee of Internal Control makes representations necessary to elevate the level of the internal control as theadvisory body to Representative Director and President.
YUSHIN also has established the sustainability committee in August 2022 to increase the corporate value throughsustainable business activities while the Company contributes to build sustainable society and environment through thebusiness activities. The committee consists of the members headed by Representative Director and President. It formulates thebasic policy for sustainability and reports the result to Board of Directors.

33

YUSHIN Report 2022

34

Directors and Auditors
External Independent

Nomination and Remuneration Committee
Representative Director and President

Takayo Kotani<August 26, 1977>

April 2008
October 2008
April 2009
April 2019
June 2019
June 2020
October 2020
June 2021

Joined the Company
Manager of R&D Section
General Manager of R&D Department
Executive Officer and General
Manager of R&D Department
Executive Officer and General
Manager of R&D Division
Managing Director and General
Manager of R&D Division
Director, Executive Vice President andGeneral Manager of R&D Division
Representative Director andPresident (to present)

Number of shares held:

Yasushi Kitagawa<August 12, 1958>

Number of shares held:

11,000 shares

Kota Oda<June 10, 1978>

October 2015 Joined the Company as General
Manager of General Affairs
Department
April 2019
Executive Officer and General
Manager of General Affairs
Department
June 2020
Director and General Manager ofGeneral Affairs Department
June 2021
Managing Director and General
Manager of General Affairs
Department
June 2022
Director and Executive Vice
President and General Manager ofGeneral Affairs Department (topresent)

September 2007 Joined the Company
November 2007 Deputy General Manager of Manufacturing
Division
April 2008
Deputy General Manager of Manufacturing
Division and Quality Assurance Department
April 2009
Executive Officer, Deputy General Manager
of Manufacturing Division and Quality
Assurance Department
August 2009
Executive Officer, General Manager of
Manufacturing Division and Quality
Assurance Department
June 2010
Director and General Manager of
Manufacturing Division and Quality
Assurance Department
June 2013
Managing Director and General Manager of
Manufacturing Division and Quality
Assurance Department
June 2017
Executive Managing Director and General
Manager of Manufacturing Division andQuality Assurance Department
July 2020
Executive Managing Director and General
Manager of Manufacturing Division
June 2021
Executive Managing Director and General
Manager of Manufacturing Division andGeneral Manager of Purchase Division (topresent)

35

Full-time Corporate Auditor

1989
Joined the Company
Tomohiro Inano June
August 2005 General Manager of YUSHIN<December 13, 1962>

Number of shares held:

3,400 shares<June 30, 1960><October 9, 1943>YUSHIN Report 2022

Research Assistant of School ofPrecision Engineering in Faculty ofEngineering at Kyoto University
October 1987 Assistant Professor
April 1994
Professor (transferred to graduate
school of department of MechanicalEngineering and Science by areorganization in 1995)
April 2012
Professor Emeritus at Kyoto
University (to present)
June 2014
External Director of the Company(to present)
June 2016
Outside Corporate Auditor ofTechnology Seed Incubation Co.,Ltd.
June 2018
Retired from Outside Corporate
Auditor of Technology Seed
Incubation Co., Ltd.

15,000 shares

Managing Director
General Manager of Sales Division

External Director

5,000 shares<August 5, 1947>

June 1976

External Independent
External Director<April 2, 1959>

Number of shares held:

15,062 shares

PRECISION EQUIPMENT TRADING(SHENZHEN) CO., LTD.
General Manager of Chinese Area
April 2008
and YUSHIN PRECISION EQUIPMENTTRADING (SHENZHEN) CO., LTD.
July 2009
Assistant to General Manager ofSales Division
February 2010 Deputy General Manager of Sales
Division
March 2011
General Manager of Sales Division
March 2014
Executive Officer and General
Manager of Sales Division
June 2017
Director and General Manager ofSales Division
June 2022
Managing Director and General
Manager of Sales Division (topresent)

October 2013 Joined the Company as General
Manager of Internal Audit Office
July 2015
General Manager of Accounting
Department
April 2017
Executive Officer and General
Manager of Corporate Management
Department and General Manager
of Accounting Department
April 2020
Executive Officer and General
Manager of Corporate Management
Department
June 2020
Director and General Manager ofCorporate Management
Department
June 2022
Director and Corporate Management (to present)

Yasuo Nishiguchi June 1987

March 1975
June 1992
June 1997
June 1999
June 2003
June 2005
April 2006
June 2009
June 2014
March 2015
June 2016

Number of shares held:

54,300 shares

March 2018
April 2020

Katsumi Noda
<October 19, 1959>

Number of shares held:

Joined Japan Associated Finance Co.,
Ltd. (currently JAFCO Group Co., Ltd)
January 1997 Joined Marusan Securities Co., Ltd.
March 2000 General Manager of Investment
Information
October 2004 General Manager of Underwriting
October 2008 Part-Time Director of LivTech, Inc.
February 2009 Director and Head of Administrative
H.Q. of LivTech, Inc.
March 2013
Retired from the Office of Directorof LivTech, Inc.
March 2015
Outside Director of LUCKLAND
CO.,LTD
March 2016
Director of LUCKLAND CO.,LTD(Audits Committee) (to present)
June 2018
External Director of the Company(to present)
June 2019
Outside Director of Mandom
Corporation (to present)

External Corporate Auditor

Hiroho Kamakura<January 27, 1947>

Nomination andRemuneration Committee

November 1971 Joined Tohmatsu Aoki & Co. (currently“Deloitte Touche Tohmatsu LLC”)
May 1973
Registered as CPA
June 2012
Resigned from Deloitte Touche
Tohmatsu LLC
July 2012
External Corporate Auditor of theCompany (to present)
Outside Corporate Auditor of Trusco
Nakayama Corporation (to present)
March 2013
Outside Corporate Auditor of FUJIO
FOOD SYSTEM CO., LTD. (currently“FUJIO FOOD GROUP INC.”) (topresent)
February 2018 Outside Corporate Auditor of
SymEnergy Inc. (to present)

Number of shares held:

9,014 shares

Chairperson of Nomination andRemuneration Committee

Joined Kyoto Ceramic Co., Ltd.
(currently Kyocera Corporation)
Director
Senior Managing Director andRepresentative Director
Executive Vice president andRepresentative Director
President and Representative Director
President and Representative Director
and President and Executive Officer
Chairman of the Board andRepresentative Director, and Chief
Executive Officer
Advisor and Director
Retired from the office of Director
External Director of the Company (topresent)
Chairman and CEO of Socionext Inc.
Outside Director of YAMADA
Consulting Group Co., Ltd.
Retired from Chairman and CEO of
Socionext Inc.
Chairman of YAMADA Consulting
Group Co., Ltd. (to present)

April 1982
Joined the Company
Manager of Manufacturing Section 3
March 1999
December 2001 Manager of Sales Engineering
Department
April 2005
Manager of System Engineering
Department
October 2010 General Manager of System
Engineering Department
October 2019 Mandatory Retired
June 2020
Full-time Corporate Auditor of theCompany (to present)

Nomination andRemuneration Committee

Reiko Nakayama April 1983

External Independent

Director and Corporate Management

Number of shares held:

Hiroshi Matsuhisa

Number of shares held:

15,000 shares

External Independent

Masahito Fukui

External Director

Number of shares held:

1,968,532 shares

Executive Managing Director
General Manager of
Manufacturing Division andGeneral Manager ofPurchasing Division

Director and Executive Vice President
General Manager of Administration Division

Nomination andRemuneration Committee

9,600 shares

External Independent

Nomination andRemuneration Committee

NOTE: The number of shares is as of September 30, 2022.

External Corporate Auditor

1990
Naohiro Tsuda April
April 1990

<August 14, 1956>

Registered as attorney
Joined Honda Mutsushi Law Office.
October 1995 Joined Naniwabashi Law Office(currently “Naniwabashi Law Office
LPC”)
June 2003
Outside Corporate Auditor of TOYOSHUTTER CO., LTD. (to present)
June 2009
Senior Partner of Naniwabashi Law
Office LPC (to present)
June 2021
External Corporate Auditor of theCompany (to present)

Number of shares held:- shares36

Skills Matrix
We have identified skills (knowledge, experience, and ability) necessary for our Board of Directors to exercise their abilities
for decision making and management auditing to proceed towards the realization of persistent growth from now onwards inthe context of YUSHIN’s business environment and characteristic.
Our Board of Directors is composed of members with diverse experience, knowledge and abilities, and makes decisions
quickly and appropriately. Our Board of Directors fulfills its roles and responsibilities as a Board of Directors by realizing highly

Governance,
Risk management
and Compliance

✓

Kota
Oda

Director andExecutive
Vice President

Male

✓

Yasushi
Kitagawa

Executive
Managing
Director

Male✓

Tomohiro
Inano

Managing
Director

Male✓

Masahito
Fukui

Director

Male

✓

Yasuo
Nishiguchi

External
Director

Male✓

HiroshiMatsuhisa

External
Director

Male

Reiko
Nakayama

External
DirectorFemale✓KatsumiNoda

Full-time
Corporate
Auditor

Male✓

HirohoKamakura

External
Corporate
Auditor

Male

✓

✓

✓

Naohiro
Tsuda

External
Corporate
Auditor

Male

✓

✓

✓

IT and DX✓

Finance andAccounting

Development,
Engineering,and Quality

FemaleGlobalManagement

Representative
Directorand President

Sales andMarketing

GenderTakayoKotaniName

Position

Human resource
Development
and Sustainability

effective supervisory functions.

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

✓

Data Collection

✓

✓

✓

This table shows the three primary skills of each personnel excluding “Management.”
This table does not show all knowledge or experience of each director and auditor.

37

YUSHIN Report 2022

38

Financial Information
Key Indicators(Millions of yen)

FY2013

FY2014FY2015FY2016FY2017FY2018FY2019FY2020

FY2021

FY2022

Net sales

14,721

17,90917,79921,14819,346

20,87821,83320,011

18,473

20,874Gross profit

5,770

7,640

7,277

8,442

7,666

8,461

8,741

8,020

7,875

8,991

39.2%

42.7%

40.9%

39.9%

39.6%

40.5%

40.0%

40.1%

42.6%

43.1%

1,498

2,792

2,304

3,086

2,112

2,358

2,760

2,309

2,522

2,890

10.2%

15.6%

12.9%

14.6%

10.9%

11.3%

12.6%

11.5%

13.7%

13.8%

1,746

3,095

2,542

2,921

2,058

2,432

2,791

2,205

2,608

3,085

11.9%

17.3%

14.3%

13.8%

10.6%

11.7%

12.8%

11.0%

14.1%

14.8%

1,114

1,893

1,683

1,908

1,380

1,626

1,903

1,532

1,827

2,112

7.6%

10.6%

9.5%

9.0%

7.1%

7.8%

8.7%

7.7%

9.9%

10.1%

23,74426,252

29,46329,40930,761

32,57233,19731,93334,68836,892

4.8%

7.6%

6.0%

6.5%

4.6%

5.1%

5.8%

4.7%

5.5%

5.9%

-

-

-

-

-

-

-

-

-

-

Net assets

19,86521,87523,97024,71525,451

26,472

27,11727,471

29,19931,047

Equity ratio

83.4%

82.9%

80.6%

83.3%

82.1%

80.6%

80.9%

85.3%

83.5%

83.5%

Return on equity

5.8%

9.1%

7.4%

7.9%

5.5%

6.3%

7.2%

5.7%

6.5%

7.1%

Gross profit to net sales
Operating profit
Operating profit to net sales
Ordinary profit
Ordinary profit to net sales
Profit attributable to owners of parent
Profit attributable to owners of parent to net sales

Total assets
Return on assets
Interest-bearing debt

(Millions of yen)

39

FY2013

FY2014FY2015FY2016FY2017FY2018FY2019FY2020

FY2021

FY2022

Cash flows from operating activities

520

2,575

2,104

2,218

1,626

1,223

2,291

3,558

3,487

2,083

Cash flows from investing activities(781)(2,389)(256)(5,105)(471)(2,511)(61)(1,475)(1,987)(1,341)

Cash flows from financing activities

(351)

(569)

(560)

(677)

(678)

(659)

(1,316)

(946)

(561)

(763)

Cash and cash equivalents at end of period

7,564

7,506

9,089

5,297

5,690

3,763

4,669

5,652

6,846

7,055

Capital investment

1,225

1,924

682

4,754

546

652

256

198

125

846

Depreciation

170

282

277

268

474

924

778

703

643

585

R&D expenses

591

448

472

510

619

598

413

369

347

367

No. of shares issued (1,000 shares)

17,81917,81917,81917,81917,81917,81935,63835,63835,63835,638

No. of treasury shares (1,000 shares)

329

330

330

331

331

331

1,333

1,602

1,602

1,602

Earnings per share (yen)63.74

108.2496.26

109.14

78.93

93.03

54.54

45.01

53.70

62.06

Book value per share (yen)1,131.63

1,243.88

1,357.36

1,401.54

1,444.38

1,500.75

783.03800.04850.95904.77

Dividends per share (yen)

30

30

30

36

36

33

17

18

18

19

Dividend payout ratio

47.1%

27.7%

31.2%

33.0%

45.6%

35.5%

30.9%

40.0%

33.5%

30.6%

Employees (persons)

588

589

601

636

663

683

683

689

681

692

YUSHIN Report 2022

40

Financial Information
Consolidated Balance Sheets (Fiscal Year-End)(Millions of yen)

FY2018FY2019FY2020

FY2021(Millions of yen)

FY2022ASSETSLIABILITIESCurrent assets

Current liabilities

FY2019FY2020

FY2021

FY2022

Cash and deposits

5,655

6,362

8,646

11,69012,404

Notes and accounts payable - trade

1,764

1,331

895

1,933

1,710

Notes and accounts receivable - trade

7,042

6,844

5,410

5,563

5,905

Electronically recorded obligations - operating

1,140

1,035

803

839

935

Merchandise and finished goods

825

717

772

1,007

1,074

Accounts payable - other

505

492

418

542

519

Work in process

1,117

1,696

1,120

987

1,203

Income taxes payable

608

523

137

400

560

Raw materials and supplies

3,542

3,619

3,165

2,987

3,571

Advances received

1,175

1,755

1,270

789

1,162

Consumption taxes receivable

197

34

19

71

87

Provision for bonuses

256

273

267

282

300

Other

567

707

276

236

261

Provision for bonuses for directors

29

37

23

42

32

Allowance for doubtful accounts

(20)

(18)

(19)

(36)

(7)

Provision for product warranties

145

147

178

162

137

18,927

19,964

19,391

22,50924,500

Other

270

262

256

328

310

5,897

5,860

4,250

5,321

5,668

Provision for retirement benefits for directors

66

66

66

-

-

Retirement benefit liability

51

65

62

87

100

Deferred tax liabilities

32

37

34

35

24

Total current assets

Total current liabilities

Non-current assets

Non-current liabilities

Property, plant and equipment
Buildings and structures, net
Machinery, equipment and vehicles, net
LandConstruction in progress
Other, net
Total property, plant and equipment

5,424

4,995

4,554

4,166

3,849

162

147

137

116

119

6,133

6,130

6,107

6,129

6,812

4

8

10

22

12

Other

52

49

46

43

51

158

126

96

97

132

Total noncurrent liabilities

203

219

210

167

176

11,883

11,408

10,905

10,531

10,926

6,100

6,079

4,461

5,489

5,845

Share capital

1,985

1,985

1,985

1,985

1,985

Capital surplus

2,023

2,023

2,023

2,024

2,024

Total liabilities
NET ASSETS

Intangible assets
Other

494

429

358

254

186

Total intangible assets

494

429

358

254

186

Investments and other assets

Shareholders' equity

Investment securities

276

218

159

285

263

Retained earnings

22,27023,57924,531

25,84827,212Retirement benefit asset

274

294

285

296

264

Treasury shares(354)(1,039)(1,355)(1,355)(1,355)

Deferred tax assets

574

705

658

621

647

Total shareholders’ equity

25,92526,54927,18528,50329,866

Other

162

196

193

209

181

Accumulated other comprehensive income

Allowance for doubtful accounts

(20)

(19)

(20)

(20)

(78)

Valuation difference on available-for-sale securities

97

56

16

103

88

Total investments and other assets

1,267

1,394

1,277

1,393

1,279

Foreign currency translation adjustment

164

184

(34)

290

796

Total non-current assets

13,645

13,232

12,541

12,17912,392Remeasurements of defined benefit plans

56

69

62

64

41

Total assets

32,57233,19731,93334,68836,892

Total accumulated other comprehensive income

318

311

44

458

927

228

256

242

236

253

Total net assets

26,472

27,11727,471

29,19931,047

Total liabilities and net assets

32,57233,19731,93334,68836,892

Non-controlling interests

41

FY2018YUSHIN Report 2022

42

Financial Information
Consolidated Statements of Income

Order, Backlog and Sales(Millions of yen)

FY2018FY2019FY2020

FY2021

FY2022

Net sales

20,87821,83320,011

18,473

20,874

Order received by product

Cost of sales

12,417

13,092

11,991

10,598

11,883

59.5%

60.0%

59.9%

57.4%

8,461

8,741

8,020

40.5%

40.0%

Selling, general and administrative expenses

6,102

Operating profit

FY2018FY2019FY2020

FY2021

FY2022

Take-out robots

15,996

15,54911,885

12,785

14,402

56.9%

Custom-ordered equipment

3,486

3,679

2,997

2,784

3,910

7,875

8,991

Parts & maintenance services

3,264

3,418

3,168

3,145

3,519

40.1%

42.6%

43.1%

Total

22,74722,647

18,051

18,715

21,832

5,980

5,710

5,353

6,100

2,358

2,760

2,309

2,522

2,890

11.3%

Backlog of orders by product

12.6%

11.5%

13.7%

13.8%

Take-out robots

2,967

3,004

2,120

3,000

3,120

Interest income

5

5

6

6

6

Custom-ordered equipment

2,321

3,120

2,061

1,423

2,209

Dividend income

4

5

6

5

6

Parts & maintenance services

247

225

208

207

259

Purchase discounts

14

13

10

6

7

5,536

6,350

4,390

4,631

5,589

Foreign exchange gains

-

-

-

34

96

Subsidy income

89

49

-

15

-

Other

14

36

22

19

78

Take-out robots

15,44915,512

12,77011,904

14,282

Total non-operating income

129

109

46

88

195

Custom-ordered equipment

2,204

2,880

4,056

3,422

3,124

Parts & maintenance services

3,223

3,440

3,185

3,147

3,467

Sales discounts

0

1

1

0

-

Total

20,87821,83320,011

18,473

20,874Foreign exchange losses

54

77

147

-

-

Other

0

0

1

0

1

Total non-operating expenses

55

79

150

1

1

Japan

8,335

9,304

8,159

6,936

8,262

2,432

2,791

2,205

2,608

3,085

China & Taiwan

3,468

2,816

2,395

2,753

3,318

11.6%

12.8%

11.0%

14.1%

14.8%

Other Asia

4,594

4,876

3,504

3,032

3,622

687

939

2,079

1,782

1,075

Gain on sales of non-current assets

7

2

5

1

1

3,172

3,233

3,343

3,375

4,103

Gain on sales of investment securities

-

-

-

-

-

Others

620

663

527

593

492

Total extraordinary income

7

2

5

1

1

Total

20,87821,83320,011

18,473

20,874

Loss on sales and retirement of non-current assets

1

9

1

0

0

Other

0

0

1

-

-

Automotive products

6,106

6,724

5,792

4,247

5,582

Total extraordinary losses

1

10

2

0

0

Medical products

1,087

2,705

4,303

4,878

3,633

Profit before income taxes

2,438

2,783

2,208

2,610

3,086

Electronic parts

4,807

3,698

3,617

3,305

4,653

755

819

629

752

952

Electrical appliance

3,187

3,195

2,110

1,653

1,873

1,682

1,963

1,579

1,857

2,133

Sundry products

1,981

2,229

1,966

1,764

2,471

Profit attributable to non-controlling interests

56

60

46

29

21

Containers

1,799

1,916

1,276

1,496

1,350

Profit attributable to owners of parent

1,626

1,903

1,532

1,827

2,112

Discs and optical instruments

1,342

704

465

624

650

Profit attributable to owners of parent to net sales

7.8%

8.7%

7.7%

9.9%

10.1%

Others

565

657

478

501

657

Total

20,87821,83320,011

18,473

20,874

Cost to net sales
Gross profit
Gross profit to net sales

Operating profit to net sales
Non-operating income

Non-operating expenses

Ordinary profit
Ordinary profit to net sales
Extraordinary income

Extraordinary losses

Total income taxes
Profit43(Millions of yen)

YUSHIN Report 2022

Total

Sales by product

Sales by region

EuropeNorth America

Sales by end-user categories

44

Stock Information
Dividends per Share *2

Stock Information
FY2018FY2019FY2020

FY2021

FY2022(yen)

No. of shares issued (shares)

17,819,033

35,638,066

35,638,066

35,638,066

35,638,066

No. of treasury shares (shares)

331,982

1,333,548

1,602,454

1,602,518

1,602,804

No. of shareholders (persons)

3,370

4,307

4,348

4,320

5,316

Cash dividends (yen)

33

17

18

18

19

Dividend payout ratio

35.5%

30.9%

40.0%

33.5%

30.6%

(%)

50

40

36

47.1%

30

30

30

<Stock price>

31.2%

27.7%

10

10

(yen)

1:2 Split

20

20

2,000

0

1,900
1,800
1,700

*2

1,600

10

10

10

FY2013

FY2014FY2015

36
45.6%

30

10

20

Stock Price and Volume Trends *175

1:2 Split

21

21

15

FY201615FY2017Year-end dividend

33
18
35.5%

33.0%

Commemorate dividend

60

15FY2018

45

40.0%
33.5%

30.9%
18

17
9

10

8

8

FY2019FY2020

30.6%
19

18

Interim dividend
Dividend payout ratio

30

10

13

15
9

5

FY2021

FY20220

The figures in the table show the actual dividend amount.

1,500
1,400
1,300
1,200

Distribution of Stockholders
(%)

1,100

100

1,000

11.21

900
800
600

0.50

34.85

0.85

1.32

1.22

21.88

24.89

10.39

12.56

10.90

34.86

34.78

34.47

25

(Thousands of shares)

0

40,00030,000

34.60

35.12

24.95

24.02

FY2018

1.86

FY201927.45
3.74

FY20204.50

FY2021

4.50

FY2022

Securities firms
Individuals
Foreign corp. and others
Other corporations

7

21.95

2/

4

'2

1

2/
'2

2/

'2

10

7

'2

1/

4

1/
'2

1/

1

'2

1/

10

'2

0/

7

'2

4

0/
'2

1

0/
'2

'2

0/

10

7

9/
'1

9/

4

'1

1

9/
'1

'1

9/

10

7

8/
'1

4

8/

8/

'1

1

'1

8/

10
7/

'1

'1

7

4

7/

7/

'1

'1

12.79
13.52

34.77

50

500

<Cumulative stock trading volume>

16.26

75

700

0.78

Financial institutions
4.50

Treasury stock

20,00010,000

*1

45

7

'2

FY2018FY2019FY2020

FY2021

FY2022Highest price (yen)

1,940

1,734

1,258

1,037

933

Lowest price (yen)

1,295

774

645

593

641

Closing price (yen)

1,727

1,005

673

891

672

Total market value of shares (millions of yen)

61,54735,81623,98431,75423,949Cumulative stock trading volume (1,000 shares)

30,204

19,684

11,242

14,81010,683

Dividend yield

1.0%

1.7%

2.7%

2.0%

2.8%

Price earnings ratio

37.13

18.43

14.95

16.59

10.83

Price book-value ratio

2.30

1.28

0.84

1.05

0.74

Trading values prior to the stock split date have been revised to take into account the stock split.

YUSHIN Report 2022

No. of shares held (Thousands)

Percentage of shares held (%)

Yushin Industry Co., Ltd.

11,992

35.2

The Master Trust Bank of Japan, Ltd. (Trust Account)

2,868

8.4

Takayo Kotani

1,968

5.8

Miki Murata

1,847

5.4

Custody Bank of Japan, Ltd. (Trust Accounts)

1,308

3.8

The Kyoto Chuo Shinkin Bank, Ltd.

1,088

3.2

Mayumi Kotani

1,040

3.1

RBC IST 15 PCT NON LENDING ACCOUNT - CLIENT ACCOUNT

862

2.5

MUFG Bank, Ltd.

849

2.5

STATE STREET BANK AND TRUST COMPANY 505001

839

2.5

Shareholder's name

2/

4

1

2/

'2

2/

'2

'2

1/
10

7

4

1/

'2

1

1/

'2

1/

'2

7
0/
10
'2

4

0/

'2

0/

1

'2

0/

'2

9/
7
9/
10
'1

4

'1

'1

9/

1
9/

'1

7
8/
10

8/

'1

'1

4

'1

8/

1
8/

'1

7/
10

7
7/

'1

'1

'1

7/

4

0

Major Shareholders *3, *4*3

As of September 30, 2022

*4

Excluding 1,602,938 of treasury stock from the above table.

46

Global Network
With the widest global network in the industry,
we deliver the best service to the customers’ plant in the world.
USA

Korea

UK

Niigata Satellite Office
Nagano Sales OfficeToyama Sales Office

Headquarters& Factory■■■Subsidiaries■Branch offices, etc.
<Korea>■YUSHIN KOREA CO., LTD.

■
■

■
■ ■
■
India
■■
Thailand■ Mexico■DAEGU BRANCHYUSHIN Report 2022

■

China

■

<China/Taiwan>■YUSHIN PRECISION EQUIPMENT TRADING(SHANGHAI) CO., LTD.
■TIANJIN BRANCH■YUSHIN PRECISION EQUIPMENT TRADING(SHENZHEN) CO., LTD.
■GUANGZHOU YUSHIN PRECISION EQUIPMENT CO., LTD.
■YUSHIN PRECISION EQUIPMENT (TAIWAN) CO., LTD.
■TAICHUNG BRANCH■PT. YUSHIN PRECISION EQUIPMENT INDONESIA<Indonesia>■YUSHIN PRECISION EQUIPMENT (VIETNAM) CO., LTD.
<Vietnam>■HO CHI MINH REPRESENTATIVE OFFICE■YUSHIN PRECISION EQUIPMENT SDN. BHD.
<Malaysia>■JOHOR BAHRU OFFICE■YUSHIN PRECISION EQUIPMENT (THAILAND) CO., LTD.
<Thailand>■YUSHIN PRECISION EQUIPMENT (INDIA) PVT. LTD.
<India>■GURGAON BRANCH■BENGALURU OFFICE■PUNE OFFICE■GUJARAT OFFICE■HARIDWAR OFFICE■YUSHIN EUROPE GMBH
<Germany>■YUSHIN AUTOMATION LTD.
<UK>
■YUSHIN AMERICA, INC.
<USA>
■NORTH CAROLINA OFFICE■GEORGIA OFFICE■OHIO OFFICE■TEXAS NORTH OFFICE■TEXAS OFFICE■CALIFORNIA OFFICE■MEXICO BRANCH<Mexico>47■Turkey

■

■

■
■
■
■

■
■

■
■

Korea
■
■

Japan

Malaysia■YUSHIN PRECISION EQUIPMENT CO., LTD.

PHILIPPINES REPRESENTATIVE OFFICE■Sole Agent<New Zealand><Australia><Turkey><Canada>■TASMAN MACHINERY LTD.

■TASMAN MACHINERY PTY LTD.

■TEKKAN PLASTIK SAN. ve TIC. A.S.
■EN-PLAS, INC.

Fukuoka Sales Office

Tsukuba Sales Office

Shizuoka Sales OfficeTaiwanVietnam■ Philippines

Chubu General Sales Office
Oita Satellite Office

Nagoya-Nishi Sales Office■
Indonesia■
Australia<Philippines>

Higashi-Nihon General
Sales Office

Hiroshima Sales Office

Nishi-Kanto Sales Office■■Representative Office

Tohoku Sales Office

Nishi-Nihon General
Sales Office■ Germany

Canada■■ USA

Iwate Satellite Office

Technical Center

UK ■New Zealand■● Headquarters & Factory
555 Kuzetonoshiro-cho, Minami-ku, Kyoto,
Japan 612-8205● Technical Center

487 Kuzetsukiyama-cho, Minami-ku, Kyoto,
Japan 601-8203

Headquarters & Factory

Technical Center48

Corporate Information

Company nameYUSHIN PRECISION EQUIPMENT CO., LTD.

President

Takayo Kotani

Address

555 Kuzetonoshiro-cho, Minami-ku, Kyoto, 601-8205 JAPAN

Established

October, 1973

Capital1,985 million yen

No. of employees

692 persons <as of March 31, 2022>

No. of shares issued

35,638 thousand shares

Securities code

TSE Prime: 6482

Fiscal year

From April 1 to March 31 of the following year

Ordinary General Meetingof Shareholders

June

Business description

Development, manufacture and sale of Cartesian robots and other industrial equipment and systems for factory automation.

Main products

Take-out robots for injection-molded plastic products, automated stock systems and labor-saving automation equipment.

Directors & Auditors

Representative Director and President

Takayo Kotani

Director and Executive Vice President

Kota Oda

Executive Managing Director

Yasushi Kitagawa

Managing Director

Tomohiro Inano

Director

Masahito Fukui

External Director

Yasuo Nishiguchi

External Director

Hiroshi Matsuhisa

External Director

Reiko Nakayama

Full-time Corporate Auditor

Katsumi Noda

External Corporate Auditor

Hiroho Kamakura

External Corporate Auditor

Naohiro Tsuda<as of Sep. 30, 2022>

49

YUSHIN Report 2022