<Translation>

February 3, 2017

Consolidated Financial Results
for the Nine Months Ended December 31, 2016
<under Japanese GAAP>
Company Name:
Listing:
Securities code:
URL:
Representative:
Inquiries:

YUSHIN PRECISION EQUIPMENT CO., LTD.
First Section of the Tokyo Stock Exchange6482
http://www.yushin.com
Mayumi Kotani, President and Representative Director
Masahito Fukui, Accounting Manager
Tel: +81-75-933-9168 (from overseas)
Scheduled date to submit quarterly report:
February 14, 2017
Scheduled date to commence dividend payments:
Preparation of supplementary materials on the quarterly financial results: None
Holding of quarterly financial results briefing:
None(Amounts less than one million yen are omitted, unless otherwise noted)

1. Consolidated Business Results for the Nine Months Ended December 31, 2016
(from April 1, 2016 to December 31, 2016)(1) Consolidated operating results (Cumulative)(Percentages indicate year-on-year changes)
Net income
attributable toOperating income
Ordinary income
shareholders of theparent company

Net sales
Nine months ended

Millions of yen% Millions of yen% Millions of yen% Millions of yen%

December 31, 2016

13,813(11.0)

1,664(33.2)

1,584(33.4)

1,123(32.6)

December 31, 2015

15,527

22.5

2,494

70.1

2,379

38.9

1,668

54.3

Note: Comprehensive income
Nine months ended December 31, 2016: 1,181 million yen [(24.0) %]Nine months ended December 31, 2015: 1,554 million yen [( 5.1) %]Net income per share
Nine months ended
December 31, 2016
December 31, 2015

Yen

Yen

64.27
95.39

-

(2) Consolidated financial position
Total assets
As of December 31, 2016
As of March 31, 2016

Diluted net income
per share

Net assets

Equity ratio

Millions of yen

Millions of yen%

30,26329,40925,242
24,715

82.8
83.3

Reference: Equity capital (Net assets less non-controlling interests)
As of December 31, 2016: 25,055 million yen
As of March 31, 2016: 24,509 million yen

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

2. Cash Dividends
Annual dividends per share
1Q
FY2016FY2017FY2017 (Forecast)

2Q

3Q

Total

4Q

Yen

Yen

Yen

Yen

Yen

-

15.00
15.00

-

21.00

36.00

21.00

36.00

Note: Revisions to projected dividends most recently announced: None

3. Consolidated Earnings Forecast for the FY2017 (from April 1, 2016 to March 31, 2017)

OperatingincomeNet sales

Millions ofyen

FY2017(Percentages indicate year-on-year changes)
Net income
attributable toNet
Ordinary income
shareholders ofincomethe parent
per sharecompany%

Millions ofyen%Millions ofyen%Millions of
yen

%

Yen

20,000 (5.4)

3,200

3.7

3,000

2.7

1,980

3.7

113.22

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. Other Information (Notes), (2) Adoption of special accounting methods for
preparation of quarterly financial statements” on page 2 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:Yes2) Changes in accounting policies due to other reasons:None3) Changes in accounting estimates:
None4) Restatement:
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 December 31, 2016
17,819,033 shares
As of March 31, 2016
17,819,033 shares
2) Number of shares of treasury stock at the end of the period
As of December 31, 2016
331,436 shares
As of March 31, 2016
331,208 shares
3) Average number of outstanding shares during the period
Nine months ended December 31, 2016 17,487,700 shares
Nine months ended December 31, 2015 17,488,006 shares* Information regarding the implementation of quarterly review proceduresThis quarterly financial information included in this summary is out of scope of quarterly review
procedure under the Financial Instruments and Exchange Act. Quarterly review procedure under the
Financial Instruments and Exchange Act has not been completed at the date of submission of thissummary.

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)* Cautionary statement with respect to forward-looking statements and other special remarks
The forecast above is 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 forecast, pleaserefer 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 ofthese 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. Other Information (Notes) ······························································································· 2(1) Changes in significant consolidated subsidiaries ·································································· 2(2) Adoption of special accounting methods for preparation of quarterly financial statements ················· 2(3) Changes in accounting principles, accounting estimates and retrospective restatement ····················· 3
3. Quarterly Consolidated Financial Statements ········································································· 4(1) Quarterly consolidated balance sheets ·············································································· 4(2) Quarterly consolidated statements of income and consolidated statements of comprehensive income ··· 6
Quarterly consolidated statements of income ······································································ 6
Quarterly consolidated statements of comprehensive income ··················································· 7(3) Notes related to quarterly consolidated financial statements ···················································· 8< Notes related to going concern assumption > ····································································· 8< Notes in the event of significant changes in shareholders’ equity > ··········································· 8< Segment information > ······························································································· 8
4. Supplemental Information ······························································································· 9(1) Orders, backlog and sales ····························································································· 9(2) Overseas sales ·········································································································· 91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 nine months ended December 31, 2016, as a whole, remained in amoderate recovery trend with the economy centered around developed countries. US economy had
maintained a stable tendency along with a brisk of individual consumptions. And there was a temporary“Brexit” impact on the European economy. Therefore, European economy had been on a mild recovering
trend. Regarding Asian economy, there seemed that the economy in China was still in a slowdown trend
and some emerging countries in Asia, there also seemed to be in stagnation of economy. However, it isuncertain on the US economy to forecast influences from the economic and trade policies worked out by a
new administration in Washington.
In these circumstances, Yushin Group has strived to expand operation in a new business area, to develop
new products and to obtain new world-class customers. In December 2016, Yushin Group constructed a
new headquarters and factory to improve productivity and streamline business processes and then took
another first step there. However, due to a Japanese Yen appreciation in first half of this fiscal year,
consolidated net sales decreased by 11.0% year on year to 13,813 million yen. Operating income decreased
by 33.2% year on year to 1,664 million yen because of a decline in consolidated net sales and recording
expenses for relocating to the new facility, and ordinary income decreased by 33.4% year on year to 1,584
million yen. As the result, net income attributable to the parent company decreased by 32.6% year on year
to 1,123 million yen.
(2) Explanation on the financial condition<Assets>
Total assets increased by 853 million yen from the end of the previous fiscal year to 30,263 million yen.
This was mainly due to decrease of “Construction in progress” in “Other, net” in “Property, plant andequipment” for a construction of the new headquarters and factory by 4,583 million yen, and increase of“Buildings and structures, net” by 4,166 million yen and “Notes and accounts receivable - trade” by 588
million yen.
<Liabilities>
Total liabilities increased by 327 million yen from the end of the previous fiscal year to 5,020 million
yen. This was mainly due to increase of “Notes and accounts payable - trade” by 575 million yen.
<Net assets>
Net assets increased by 526 million yen from the end of the previous fiscal year to 25,242 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 FY2017 released on
August 3, 2016.

2. Other Information (Notes)(1) Changes in significant consolidated subsidiaries
None(2) Adoption of special accounting methods for preparation of quarterly financial statements
The effective tax rate on income before income tax for the consolidated fiscal year after the applicationof tax effect accounting is reasonably estimated, and this estimated rate is applied to net income for thequarterly period under review.
Income taxes–deferred are included in income taxes in the consolidated statements of income.

2

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)(3) Changes in accounting principles, accounting estimates and retrospective restatement(Application of guidance on “Recoverability of Deferred Tax Assets”)
The company has applied “Guidance on Recoverability of Deferred Tax Assets” (Accounting Standards
Board of Japan [ASBJ] Guidance No.26, March 28, 2016; hereafter “Guidance on Recoverability”) fromthe beginning of the current fiscal year and revised a part of the accounting procedure for recoverability ofdeferred tax assets.
The Company has applied “Guidance on Recoverability” in accordance with the provisions ontransitional implementation indicated in Article 49(4) of “Guidance on Recoverability.” The differences
between the amount of Deferred tax assets and Deferred tax liabilities in applying Article 49(3)① through③ of “Guidance on Recoverability” at the beginning of the current fiscal year, and the amount of Deferred
tax assets and Deferred tax liabilities at the end of the previous fiscal year have been added to Retained
earnings and Accumulated other comprehensive income at the beginning of the current fiscal year.
As the result, at the beginning of the current fiscal year, Deferred tax assets (“Investments and otherassets”) increased by 20,367 thousand yen and Retained earnings increased by 20,367 thousand yen.

3

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

3. Quarterly Consolidated Financial Statements(1) Quarterly consolidated balance sheets(Thousands of yen)

As of March 31, 2016

As of December 31, 2016

<ASSETS>
Current assets
Cash and deposits

5,341,166

4,594,058

Notes and accounts receivable - trade

6,026,195

6,615,084

Merchandise and finished goods

762,329

903,614Work in process

625,4131,010,737

Raw materials and supplies

2,286,051

2,274,597

Consumption taxes receivable

102,232

476,064

Deferred tax assets

625,342

582,198

Other

218,723

520,183

Allowance for doubtful accounts(30,483)(23,749)

15,956,972

16,952,789

Buildings and structures, net

1,855,686

6,022,639

Land

5,779,928

5,777,059

Other, net

4,801,374

406,117

Total property, plant and equipment

12,436,989

12,205,816

369,502405,222

Investment securities

185,438

234,292

Net defined benefit asset

266,874

267,496

Other

193,840

197,529

Allowance for doubtful accounts

(14)

(61)

Total investments and other assets

646,137

699,258

13,452,630

13,310,296

29,409,602

30,263,085

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

Intangible assets
Investments and other assets

Total non-current assets
Total assets

4

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)(Thousands of yen)

As of March 31, 2016

As of December 31, 2016

2,169,103

2,744,961

Accounts payable - other776,774

678,533

Income taxes payable

548,986

162,707

Advances received

278,867

517,282

Provision for bonuses

236,000

132,806

Provision for directors’ bonuses

29,96022,050

Provision for product warranties

148,441

128,372

Other

204,559

350,021

4,392,694

4,736,735

Provision for directors’ retirement
benefits

66,78066,780Net defined benefit liability

44,04346,650

Deferred tax liabilities

123,350

107,941

Other

67,06562,851

Total non-current liabilities

301,239284,223

4,693,933

5,020,959

Capital stock

1,985,666

1,985,666

Capital surplus

2,023,903

2,023,903

Retained earnings

20,502,208

21,016,927

Treasury stock(352,731)(353,520)

24,159,047

24,672,976

33,92067,810266,643

264,41350,24550,199350,808

382,423

205,812

186,725

Total net assets

24,715,668

25,242,126

Total liabilities and net assets

29,409,602

30,263,085<LIABILITIES>Current liabilities
Notes and accounts payable - trade

Total current liabilities
Non-current liabilities

Total liabilities<NET ASSETS>
Shareholders' equity

Total shareholders’ equity
Accumulated other comprehensive income
Valuation difference on
available-for-sale securities
Foreign currency translation
adjustment
Remeasurements of defined benefit
Plans
Total accumulated other comprehensive
IncomeNon-controlling interests

5

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)(2) Quarterly consolidated statements of income and consolidated statements of comprehensive
incomeQuarterly consolidated statements of income(Thousands of yen)Ninemonths ended
Nine months ended
December 31, 2015
December 31, 2016
Net sales
15,527,582
13,813,418
Cost of sales

8,964,585

8,130,020

Gross profit

6,562,997

5,683,398

Selling, general and administrative expenses

4,068,843

4,018,499

Operating income

2,494,154

1,664,898

Interest income

10,3084,761

Dividends income

4,722

4,683

Purchase discounts

11,216

9,800

Subsidy income

12,208

11,672

Other

15,71912,289Total non-operating income

54,175

43,206617

857

167,910

116,673

214

5,829

168,742

123,361

2,379,586

1,584,744

Gain on sales of non-current assets

121

905

Gain on sales of investment securities

1,104

-

Total extraordinary income

1,226

905

Loss on sales and retirement of non-current
assets833

48,909Total extraordinary losses

833

48,909

Income before income taxes

2,379,980

1,536,739

Income taxes

648,369

389,535

Net income

1,731,610

1,147,204

63,42623,293

1,668,184

1,123,910

Non-operating income

Non-operating expenses
Sales discounts
Foreign exchange losses
Other
Total non-operating expenses
Ordinary income
Extraordinary income

Extraordinary loss

Net income attributable to non-controllinginterests
Net income attributable to shareholders of theparent company

6

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

Quarterly consolidated statements of comprehensive income
Nine months ended
December 31, 2015
Net income(Thousands of yen)
Nine months ended
December 31, 2016

1,731,610

1,147,204

Valuation difference on available-for-salesecurities(12,256)

33,890Foreign currency translation adjustments(161,467)

304(3,335)(45)(177,060)

34,1491,554,550

1,181,353

1,510,040

1,155,525

44,50925,828Other comprehensive income

Remeasurements of defined benefit plans, netof taxTotal other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable toshareholders of the parent company
Comprehensive income attributable to noncontrolling interests

7

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< Segment information >Nine Months of FY2016 (from April 1, 2015 to December 31, 2015)
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 ofincome *2

Japan

U.S.A.

Asia

Europe7,597,719

2,647,127

3,976,678

1,306,057

15,527,582-

15,527,582

3,416,953

11,636

249,024

2,670

3,680,285(3,680,285)-

11,014,672

2,658,763

4,225,703

1,308,727

19,207,867(3,680,285)

15,527,582

1,096,468

315,987

691,999

301,5392,405,996

88,1572,494,154

Net sales
Sales tocustomers
Inter-segment
sales or transfers
Total
Segment profit*Notes 1: The 88,157 thousand yen adjustment to segment profit includes eliminations for inter-segment
transactions of 59,586 thousand yen and inventory adjustments of 28,571 thousand yen.
*Notes 2: Segment profit is adjusted to be consistent with operating income shown on the quarterly consolidated
statements of income.

Nine Months of FY2017 (from April 1, 2016 to December 31, 2016)
Information related to sales and profit or loss for each reportable segment(Thousands of yen)
Reportable segment
Total
EuropeAdjustment*1

Amounts
shown onquarterly
consolidated
statements ofincome *2

Japan

U.S.A.

Asia

7,942,648

2,386,574

3,194,568

289,627

13,813,418-

13,813,418

2,839,287

9,220

171,886445

3,020,838(3,020,838)-

10,781,935

2,395,794

3,366,454

290,072

16,834,257(3,020,838)

13,813,418

Net sales
Sales tocustomers
Inter-segment
sales or transfers
Total

Segment profit
1,029,164
235,281
277,753(13,353)
1,528,845
136,052
1,664,898(loss)*Notes 1: The 136,052 thousand yen adjustment to segment profit includes eliminations for inter-segment
transactions of 39,795 thousand yen and inventory adjustments of 96,257 thousand yen.
*Notes 2: Segment profit is adjusted to be consistent with operating income shown on the quarterly consolidated
statements of income.

8

YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

4. Supplemental Information(1) Orders, backlog and sales
a. Orders
1) Order received
Products(Thousands of yen)
Nine Months of FY2016

Nine Months of FY2017

Change(%)

Take-out robots

10,044,719

10,016,915

99.7

Custom-ordered equipment

1,984,828

2,674,262

134.7

Parts and maintenance service

2,456,912

2,322,984

94.5

Total

14,486,460

15,014,163

103.6

2) Backlog of orders
Products(Thousands of yen)
As of December 31, 2015

As of December 31, 2016

Change(%)

Take-out robots

2,044,648

2,418,198

118.3

Custom-ordered equipment

1,550,709

1,331,984

85.9

Parts and maintenance service

230,125

231,969

100.8

Total

3,825,483

3,982,152

104.1

b. Net sales
Products(Thousands of yen)
Nine Months of FY2016

Nine Months of FY2017

Change(%)

Take-out robots

10,505,087

9,519,868

90.6

Custom-ordered equipment

2,596,941

2,007,452

77.3

Parts and maintenance service

2,425,553

2,286,097

94.3

Total

15,527,582

13,813,418

89.0(2) Overseas sales
Nine Months of FY2016 (from April 1, 2015 to December 31, 2015)
North
Asia
EuropeAmerica
I Overseas sales

2,819,756

6,465,736(Thousands of yen)
Other areas

1,238,477

322,333

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

18.2

41.6

8.0

2,730,397

4,692,385

2.1

69.9

(Thousands of yen)
Other areas

490,895

297,789

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

10,846,303
15,527,582

Nine Months of FY2017 (from April 1, 2016 to December 31, 2016)
North
Asia
EuropeAmerica
I Overseas sales

Total

Total
8,211,468
13,813,418

19.8

34.0

9

3.6

2.2

59.4