<Translation>
November 5, 2018

Consolidated Financial Results for the Six Months
Ended September 30, 2018 <under Japanese GAAP>
Company Name: YUSHIN PRECISION EQUIPMENT CO., LTD.
Listing:First Section of the Tokyo Stock Exchange
Securities code: 6482
URL:
https://www.ype.co.jp/en/
Representative: Mayumi Kotani, President and Representative Director
Inquiries:
Masahito Fukui, Executive Officer and General Manager of Corporate Management Department
Tel: +81-75-933-9555 (from overseas)
Scheduled date to submit quarterly report:
November 14, 2018
Scheduled date to commence dividend payments:
December 3, 2018
Preparation of supplementary materials on financial results: Yes
Holding of financial results briefing:
Yes (for Analysts)(Amounts less than one million yen are omitted, unless otherwise noted)

1. Consolidated Business Results for the Six Months Ended September 30, 2018(from April 1, 2018 to September 30, 2018)(1) Consolidated operating results (Cumulative)

Net sales
Six months ended(Percentages indicate year-on-year changes)
Net income attributable
Ordinary income
to shareholdersof the parent

Operating income

Millions of yen%

Millions of yen% Millions of yen

September 30, 2018

10,586

8.7

1,203

21.5

September 30, 2017

9,743

8.9

990

(26.3)%

Millions of yen

%

1,228

18.2

861

15.6

1,039

(9.6)

745

(12.3)

Note: Comprehensive income Six months ended September 30, 2018: 1,001 million yen [ 13.8 %]Six months ended September 30, 2017: 880 million yen [ 96.7 %]Net income per share
Six months ended

Diluted net income per share
Yen

Yen

September 30, 2018

24.63

September 30, 2017

21.31

-

Note: The Company carried out a stock split on April 1, 2018, at a ratio of two shares per one common share.
Accordingly, Net income per share has been calculated presuming that this stock split was carried out at the startof the previous consolidated fiscal year.

(2) Consolidated financial position
Total assets
As of September 30, 2018
As of March 31, 2018

Reference: Equity capital
As of September 30, 2018:

Net assets

Equity ratio

Millions of yen

Millions of yen%

32,82632,572

27,123
26,472

81.9
80.6

26,889 million yen

As of March 31, 2018:26,243 million yen

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

2. Cash Dividends
Annual dividends per share
1Q

2Q

3Q

Total

4Q

Yen

Yen

Yen

Yen

Yen

-

15.00
8.00

-

18.00

33.00

-

9.00

17.00

FY2018FY2019FY2019 (Forecast)

Note 1: Revisions to projected dividends most recently announced: None
Note 2: The Company carried out a stock split on April 1, 2018 at a ratio of two shares per one common share.
The actual dividend amount prior to the stock split is noted here for the fiscal year ended in March 2018
(FY2018).

3. Consolidated Earnings Forecasts for the FY2019 (from April 1, 2018 to March 31, 2019)
OperatingincomeNet sales

FY2019(Percentages indicate year-on-year changes)
Net income
Net
attributable toOrdinary income
incomeshareholders
per shareof the parent

Millions ofyen%Millions ofyen%Millions ofyen%

22,000

5.4

2,600

10.2

2,600

6.9

Millions of
yen

%

Yen

1,800 10.6

51.47

Note: Revisions to projected results most recently announced: None

* Notes(1) Changes in significant subsidiaries during the period (Changes in specified subsidiaries accompanying
changes in scope of consolidation): None
(2) Adoption of the special accounting methods: Yes
Note: Please refer to “2. Quarterly Consolidated Financial Statements and Notes, (3) Notes related toquarterly consolidated financial statements < Adoption of special accounting methods for preparation ofquarterly financial statements >” on page 7 of [Attached Material] for further information.
(3) Changes in accounting policies, changes in accounting estimates, and restatement
1) Changes in accounting policies due to revisions to accounting standards and other regulations:
2) Changes in accounting policies due to other reasons:3) Changes in accounting estimates:
4) Restatement:

None
None
None
None

(4) Number of issued shares (Common stock)1) Number of issued shares at the end of the period (including shares of treasury stock)
As of September 30, 201835,638,066 shares
As of March 31, 201835,638,066 shares
2) Number of shares of treasury stock at the end of the period
As of September 30, 2018
664,018 shares
As of March 31, 2018
663,964 shares
3) Average number of outstanding shares during the period
Six months ended September 30, 2018 34,974,090 shares
Six months ended September 30, 2017 34,974,588 shares
Note: The Company carried out a stock split on April 1, 2018, at a ratio of two shares per one common share.
Accordingly, Number of issued shares (Common stock), Number of shares of treasury stock at the endof the period, and Average number of outstanding shares during the period has been calculated
presuming that this stock split was carried out at the start of the previous consolidated fiscal year.

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)* This “Consolidated Financial Results for the Six Months” report is not subject to quarterly review procedures bycertified public accountant or by auditing firm.
* Cautionary statement with respect to forward-looking statements and other special remarks
The forecasts above are based on the information currently available. A number of factors could cause actual
results to differ materially from expectations. For more information about these assumptions and notes
regarding the use of earnings forecasts, please refer to “1. Qualitative Information on Quarterly Consolidated
Financial Performance, (3) Explanation on the forecast information including consolidated earnings forecast
and others” on page 2 of [Attached Material].

* Disclaimer:This English version is not an official translation of the original Japanese document. In cases where any differences occur between the English
version and the original Japanese version, the Japanese version shall prevail. YUSHIN PRECISION EQUIPMENT CO., LTD. shall accept no
responsibility or liability for damages or loss caused by any error, inaccuracy, misunderstanding or misspelling with regard to this translation.
This translation may be used only for reference purposes. YUSHIN PRECISION EQUIPMENT CO., LTD. maintains the right to claim
compensation from violators for any damage or loss it may suffer from the violation of these conditions.

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)[Attached Material]

INDEX

1. Qualitative Information on Quarterly Consolidated Financial Performance ······································ 2(1) Explanation on the business results ················································································· 2(2) Explanation on the financial condition·············································································· 2(3) Explanation on the forecast information including consolidated earnings forecast and others ············· 2
2. Quarterly Consolidated Financial Statements and Notes ···························································· 3(1) Quarterly consolidated balance sheets ·············································································· 3(2) Quarterly consolidated statements of income and consolidated statements of comprehensive income ··· 5
Quarterly consolidated statements of income ······································································ 5
Quarterly consolidated statements of comprehensive income ··················································· 6(3) Notes related to quarterly consolidated financial statements ···················································· 7< Notes related to going concern assumption > ····································································· 7< Notes in the event of significant changes in shareholders’ equity > ··········································· 7< Adoption of special accounting methods for preparation of quarterly financial statements > ············· 7< Additional information > ···························································································· 7< Segment information > ······························································································· 7
3. Supplemental Information ······························································································· 8(1) Orders, backlog and sales ····························································································· 8(2) Overseas sales ·········································································································· 81YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

1. Qualitative Information on Quarterly Consolidated Financial Performance(1) Explanation on the business results
The world economy during the six month ended September 30, 2018 continued to expand moderately
while concerns about trade friction between the U.S. and China were increasing. In the U.S., employment
environment continued to improve and individual consumption was steady. Similarly, in Europe, theeconomy remained steady in general based on improvements in the employment environment and income
environment. In Asia, the economy remained relatively stable despite signs of economic slowdown in the
Chinese economy, and in other emerging economies, the economy remained on recovery trend. However,
the outlook for the economy is uncertain as crude oil prices rise, currencies of emerging countries decline
and the impact on the world economy due to trade friction between the U.S. is concerned.
In these circumstances, Yushin Group has strived to obtain new world-class customers. Therefore, thebooking remained steady in the six months ended September 30, 2018. The consolidated net sales increasedby 8.7% year on year to 10,586 million yen due to the increase of sales of take-out robots in Japan, the U.S.
and Southeast Asia, and custom-ordered equipment in Europe. In spite of increase in purchasing prices due
to materials procurement difficulties, etc., operating income increased by 21.5% year on year to 1,203
million yen because of decrease in depreciation expenses and normalization of development expenses
which was concentrated in the previous fiscal year for development of new model. Ordinary income
increased by 18.2% year on year to 1,228 million yen, net income attributable to the parent increased by
15.6% year on year to 861 million yen.
(2) Explanation on the financial condition<Assets>
Total assets increased by 253 million yen from the end of the previous fiscal year to 32,826 million yen.
This was mainly due to increase of “Cash and deposits” by 489 million yen.
<Liabilities>
Total liabilities decreased by 398 million yen from the end of the previous fiscal year to 5,702 million
yen. This was mainly due to decrease of “Income taxes payable” by 304 million yen.
<Net assets>
Net assets increased by 651 million yen from the end of the previous fiscal year to 27,123 million yen.
This was due to increase of “Retained earnings” by 546 million yen.
(3) Explanation on the forecast information including consolidated earnings forecast and others
No revisions for full year have been made to consolidated earnings forecasts for the FY2019 released on
May 10, 2018.

2

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

2. Quarterly Consolidated Financial Statements and Notes(1) Quarterly consolidated balance sheets(Thousands of yen)
As of March 31, 2018

As of September 30, 2018

<ASSETS>
Current assets
Cash and deposits

5,655,106

6,144,601

Notes and accounts receivable - trade

7,042,925

6,654,159

825,365

810,637

Work in process

1,117,029

1,470,091

Raw materials and supplies

3,542,893

3,809,453

Other764,426

488,306

Allowance for doubtful accounts(20,151)(20,962)

18,927,595

19,356,286

Buildings and structures

5,424,201

5,183,821

Land

6,133,446

6,142,361

Other

325,771

392,115

11,883,420

11,718,298

494,152

453,253

Investment securities

276,387

278,201

Net defined benefit asset

274,331271,764

Deferred tax assets

574,606

577,774

Other

162,895

190,602

Allowance for doubtful accounts(20,501)(20,011)

Total investments and other assets

1,267,720

1,298,332

13,645,293

13,469,883

32,572,888

32,826,170

Merchandise and finished goods

Total current assets
Non-current assets
Property, plant and equipment

Total property, plant and equipment
Intangible assets
Investments and other assets

Total non-current assets
Total assets

3

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)(Thousands of yen)
As of March 31, 2018

As of September 30, 2018

<LIABILITIES>Current liabilities
Notes and accounts payable - trade2,905,292

2,745,687

Accounts payable - other505,356

457,320

Income taxes payable

608,628

303,638

Advances received

1,175,887

1,309,481

Provision for bonuses

256,847

288,842

Provision for directors’ bonuses

29,84016,878Provision for product warranties

145,325

139,185

Other

270,318

225,274

5,897,496

5,486,307

Provision for directors’ retirement benefits

66,78066,780Net defined benefit liability

51,48664,399Deferred tax liabilities

32,85531,902

Other

52,23653,355

Total non-current liabilities

203,358

216,437

6,100,854

5,702,744

Capital stock

1,985,666

1,985,666

Capital surplus

2,023,903

2,023,903

Retained earnings

22,270,517

22,817,261

Treasury stock(354,848)(354,910)

25,925,238

26,471,921

Valuation difference on available-for-sale securities

97,10398,321

Foreign currency translation adjustment

164,323

264,484

Remeasurements of defined benefit plans

56,98254,870Total accumulated other comprehensive income

318,409417,676

228,385

233,827

Total net assets

26,472,034

27,123,425

Total liabilities and net assets

32,572,888

32,826,170

Total current liabilities
Non-current liabilities

Total liabilities<NET ASSETS>
Shareholders' equity

Total shareholders’ equity
Accumulated other comprehensive income

Non-controlling interests

4

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)(2) Quarterly consolidated statements of income and consolidated statements of comprehensive income
Quarterly consolidated statements of income
First six months(Thousands of yen)Six months ended
September 30, 2017

Six months ended
September 30, 2018

Net sales

9,743,897

10,586,849

Cost of sales

5,714,118

6,437,841

Gross profit

4,029,779

4,149,007Selling, general and administrative expenses

3,039,183

2,945,828

990,595

1,203,178

Interest income

2,893

2,999

Dividends income

2,337

2,538

Purchase discounts

7,279

6,950

Foreign exchange gains

24,829-Other

12,594

17,408

Total non-operating income

49,93429,896

258

435

-

3,789

Other

330

0

Total non-operating expenses

588

4,224

1,039,942

1,228,851

Gain on sales of non-current assets

4,522

722

Total extraordinary income

4,522

722

Loss on sales and retirement of non-current
assets

670

9,278

Other

92

-

Total extraordinary losses

763

9,278

Income before income taxes

1,043,701

1,220,295

Income taxes

271,591

323,823

Net income

772,109

896,472

Net income attributable to non-controlling interests

26,927

34,961

Net income attributable to shareholders of the parent

745,181861,511

Operating income
Non-operating income

Non-operating expenses
Sales discounts
Foreign exchange losses

Ordinary income
Extraordinary income

Extraordinary loss

5

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

Quarterly consolidated statements of comprehensive income
First six months(Thousands of yen)Six months ended
September 30, 2017

Net income

Six months ended
September 30, 2018772,109

896,472

Valuation difference on available-for-sale securities

34,2501,218

Foreign currency translation adjustments

73,780106,362

Remeasurements of defined benefit plans

230(2,112)

108,261

105,468

880,370

1,001,940

846,035

960,778

34,335

41,162Other comprehensive income

Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to shareholdersof the parent
Comprehensive income attributable to noncontrolling interests

6

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)(3) Notes related to quarterly consolidated financial statements< Notes related to going concern assumption > None
< Notes in the event of significant changes in shareholders’ equity > None
< Adoption of special accounting methods for preparation of quarterly financial statements >Calculation method for tax expenses
The effective tax rate on income before income tax for the consolidated fiscal year after the application of tax effectaccounting is reasonably estimated, and this estimated rate is applied to net income for the quarterly period under review.

< Additional information >Adoption the "Partial Amendments to Accounting Standard for Tax Effect Accounting, etc.
Effective beginning the three-month period ended June 30, 2018, Yushin Group has adopted the "Partial Amendments
to Accounting Standard for Tax Effect Accounting, etc. (ASBJ Guidance No.28 of February 16, 2018)." As a result of
adoption, deferred tax assets have been classified in the section of investments and other assets, and deferred tax
liabilities have been classified in the section of non-current liabilities.

< Segment information >First Six Months of FY2018 (from April 1, 2017 to September 30, 2017)
Information related to sales and profit or loss for each reportable segment(Thousands of yen)
Reportable segment
Total

Adjustment*1

Amounts shown onquarterly consolidated
statements of income
*2

Japan

U.S.A.

Asia

Europe5,390,230

1,523,325

2,618,146

212,195

9,743,897-

9,743,897

2,369,497

5,669

146,494

1,935

2,523,597(2,523,597)-

7,759,727

1,528,995

2,764,641

214,130

12,267,494(2,523,597)

9,743,897

526,147

138,713324,361

45,323

1,034,545(43,949)

990,595

Net sales
Sales to customers
Inter-segment sales
or transfers
Total
Segment profit*Notes 1: The (43,949) thousand yen adjustment to segment profit includes 4,449 thousand yen eliminations for inter-segment
transaction and (48,399) thousand yen inventory adjustments.
*Notes 2: Segment profit is adjusted to be consistent with operating income shown on the quarterly consolidated statements ofincome.

First Six Months of FY2019 (from April 1, 2018 to September 30, 2018)
Information related to sales and profit or loss for each reportable segment(Thousands of yen)
Reportable segment
Total

Adjustment*1

Amounts shown onquarterly consolidated
statements of income
*2

Japan

U.S.A.

Asia

Europe5,759,160

1,767,171

2,647,226

413,290

10,586,849-

10,586,849

2,386,511

11,282

143,8823,129

2,544,805(2,544,805)-

8,145,672

1,778,453

2,791,108

416,419

13,131,654(2,544,805)

10,586,849

778,850

151,830

304,441

31,881

1,267,003(63,825)

1,203,178

Net sales
Sales to customers
Inter-segment sales
or transfers
Total
Segment profit*Notes 1: The (63,825) thousand yen adjustment to segment profit includes 5,694 thousand yen eliminations for inter-segment
transaction and (69,519) thousand yen inventory adjustments.
*Notes 2: Segment profit is adjusted to be consistent with operating income shown on the quarterly consolidated statements ofincome.

7

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

3. Supplemental Information(1) Orders, backlog and sales
a. Orders
1) Order received
Products(Thousands of yen)First Six Months of FY2018

Take-out robots

ChangeFirst Six Months of FY2019(%)

8,043,701

8,272,842

102.8

Custom-ordered equipment

892,795

1,604,414

179.7

Parts and maintenance service

1,610,484

1,781,783

110.6

10,546,981

11,659,040

110.5

Total

(Thousands of yen)

2) Backlog of orders
Products

As of September 30, 2017

Take-out robots

ChangeAs of September 30, 2018(%)

3,225,197

3,549,567

110.1

Custom-ordered equipment

903,275

2,728,948

302.1

Parts and maintenance service

342,206

330,603

96.6

4,470,680

6,609,118

147.8

Total

(Thousands of yen)b. Net sales
Products

First Six Months of FY2018

ChangeFirst Six Months of FY2019(%)

Take-out robots

7,239,436

7,690,986

106.2

Custom-ordered equipment

1,029,431

1,197,376

116.3

Parts and maintenance service

1,475,029

1,698,486

115.1

9,743,897

10,586,849

108.7

Total

(2) Overseas SalesFirst Six Months of FY2018 (from April 1, 2017 to September 30, 2017)
North America
I

Overseas sales

1,442,697

Asia(Thousands of yen)

Europe3,965,606

Other areas

317,698

Total

242,557

II Consolidated net sales
III Ratio of overseas sales toconsolidated net sales (%)

9,743,897
14.8

40.7

3.3

2.5

North America
Overseas sales

1,610,706

Asia

Europe4,042,449

Other areas

589,602364,502

II Consolidated net sales
III Ratio of overseas sales toconsolidated net sales (%)

61.3(Thousands of yen)First Six Months of FY2019 (from April 1, 2018 to September 30, 2018)

I

5,968,559

Total
6,607,260
10,586,849

15.2

38.2

8

5.6

3.4

62.4