<Translation>
November 2, 2017

Consolidated Financial Results for the Six Months
Ended September 30, 2017 <under Japanese GAAP>
Company Name: YUSHIN PRECISION EQUIPMENT CO., LTD.
Listing:First Section of the Tokyo Stock Exchange
Securities code: 6482
URL:
http://www.yushin.com
Representative: Mayumi Kotani, President and Representative Director
Inquiries:
Masahito Fukui, Executive Officer and General Manager of Corporate Management Department
Tel: +81-75-933-9168 (from overseas)
Scheduled date to submit quarterly report:
November 14, 2017
Scheduled date to commence dividend payments:
December 1, 2017Preparation of supplementary materials on financial results: Yes
Holding of financial results briefing:
Yes (for Analysts)* 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.

(Amounts less than one million yen are omitted, unless otherwise noted)

1. Consolidated Business Results for the Six Months Ended September 30, 2017(from April 1, 2017 to September 30, 2017)(1) Consolidated operating results (Cumulative)

Net sales
Six months ended(Percentages indicate year-on-year changes)
Net income attributable
Ordinary incometo shareholders of theparent company

Operating income

Millions of yen%

Millions of yen% Millions of yen%

Millions of yen%

September 30, 2017

9,743

8.9990(26.3)

1,039(9.6)

745(12.3)

September 30, 2016

8,949

(9.8)

1,343

(10.6)

1,150 (20.3)

849(16.2)

Note: Comprehensive income Six months ended September 30, 2017: 880 million yen [ 96.7 %]Six months ended September 30, 2016: 447 million yen [(50.1) %]Net income per share
Six months ended
September 30, 2017
September 30, 2016

(2) Consolidated financial position
Total assets
As of September 30, 2017
As of March 31, 2017

Diluted net income per share
Yen

Yen

42.61
48.60

-Net assets

Equity ratio

Millions of yen

Millions of yen%

31,30830,76125,93925,451

82.2
82.1

Reference: Equity capital (Net assets less non-controlling interests)
As of September 30, 2017: 25,736 million yen
As of March 31, 2017:25,258 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
15.00

-

21.00

36.00

-

18.00

33.00FY2017
FY2018FY2018 (Forecast)

Note: Revisions to projected dividends most recently announced: None

3. Consolidated Earnings Forecasts for the FY2018 (from April 1, 2017 to March 31, 2018)

Operatingincome

Net sales

FY2018(Percentages indicate year-on-year changes)
Net income
attributable toNet
Ordinary income
shareholders ofincomethe parent
per sharecompany

Millions ofyen%Millions ofyen%Millions ofyen%

21,000

8.5

2,700

27.8

2,700

31.2

Millions ofyen%

Yen

1,900 37.7

108.65

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) Adoption of special
accounting methods for preparation of quarterly financial statements” on page 7 of [Attached Material] forfurther 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, 2017
17,819,033 shares
As of March 31, 2017
17,819,033 shares
2) Number of shares of treasury stock at the end of the period
As of September 30, 2017
331,797 shares
As of March 31, 2017
331,715 shares
3) Average number of outstanding shares during the period
Six months ended September 30, 2017 17,487,294 shares
Six months ended September 30, 2016 17,487,740 shares* Information regarding the implementation of quarterly review proceduresThis quarterly financial information included in this summary is out of scope of quarterly review.
* 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].

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 ············· 22. 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
First six months ········································································································ 5
Quarterly consolidated statements of comprehensive income
First six months ········································································································ 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< Segment information > ······························································································· 73. 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, 2017 continued to recover moderately.
In the United States, employment environment continued to improve, individual consumption was steady,and the economy continued to expand gently. Similarly in Europe, the employment environment improved
and individual consumption continued to recover, and the economy remained on a recovery trend. In China,
as a result of infrastructure investment, business confidence remained firm, and in other emerging
economies, the economy remained favorable in general due to exports.
In these circumstances, Yushin Group has continued to expand operation in a new business area, todevelop new products and to obtain new world-class customers. Despite sluggish sales of custom-ordered
equipment in new business area, net sales increased by 8.9% year on year to 9,743 million yen due tostrong sales of take-out robots, mainly in Japan and Asia. However, operating income decreased by 26.3%
year on year to 990 million yen, due to the fact that development costs for new-type take-out robots
concentrated in the first half and depreciation expenses of the new head quarter increased. Ordinary income
decreased by 9.6% year on year to 1,039 million yen due to continued depreciation of the yen. As a result,net income attributable to the parent company decreased by 12.3% year on year to 745 million yen.
(2) Explanation on the financial condition<Assets>
Total assets increased by 546 million yen from the end of the previous fiscal year to 31,308 million yen.
This was mainly due to increase of “Raw materials and supplies” by 769 million yen.
<Liabilities>
Total liabilities increased by 58 million yen from the end of the previous fiscal year to 5,368 million yen.
<Net assets>
Net assets increased by 487 million yen from the end of the previous fiscal year to 25,939 million yen.
This was due to increase of “Retained earnings” by 377 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 FY2018 released on
May 10, 2017.

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, 2017

As of September 30, 2017<ASSETS>
Current assets
Cash and deposits

5,734,493

6,187,314

Notes and accounts receivable - trade

6,479,748

6,021,311

Merchandise and finished goods

769,815

1,129,741

Work in process

884,830

937,383

2,179,141

2,948,845

Deferred tax assets

431,885

448,145

Other

890,084

548,627

Allowance for doubtful accounts(21,298)(21,001)

17,348,701

18,200,369

Buildings and structures, net

6,041,212

5,742,647

Land

5,784,160

5,734,710

430,441

407,456

12,255,813

11,884,813

473,285

495,456

Investment securities

220,783

270,127

Net defined benefit asset

292,959

291,610

Other170,444

165,817

Allowance for doubtful accounts

(251)

(189)

Total investments and other assets

683,936

727,365

13,413,034

13,107,635

30,761,736

31,308,005

Raw materials and supplies

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

Other, net
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, 2017

As of September 30, 2017

<LIABILITIES>Current liabilities
Notes and accounts payable - trade2,992,278

3,042,227

Accounts payable - other

750,992

552,774

Income taxes payable

100,112

255,089

Advances received

604,929

651,155

Provision for bonuses

252,861

264,455

Provision for directors’ bonuses

22,71019,248Provision for product warranties

122,870

119,000

Other

253,458

227,521

5,100,213

5,131,472

Provision for directors’ retirement benefits

66,78066,780Net defined benefit liability

53,85350,818Deferred tax liabilities

29,73962,323

Other59,431

57,227

Total non-current liabilities

209,805

237,1495,310,018

5,368,622

Capital stock

1,985,666

1,985,666

Capital surplus

2,023,903

2,023,903

Retained earnings

21,273,290

21,651,238

Treasury stock(353,994)(354,241)

24,928,866

25,306,567

Valuation difference on available-for-sale securities

58,54592,796

Foreign currency translation adjustment

203,291

269,664

Remeasurements of defined benefit plans

67,69967,929Total accumulated other comprehensive income

329,536

430,390

193,315

202,425

Total net assets

25,451,718

25,939,383

Total liabilities and net assets

30,761,736

31,308,005

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, 2016

Six months ended
September 30, 2017

Net sales

8,949,104

9,743,897

Cost of sales5,161,701

5,714,118

Gross profit

3,787,403

4,029,779

Selling, general and administrative expenses

2,443,935

3,039,183

Operating income

1,343,467

990,595

Interest income

3,445

2,893

Dividends income

2,346

2,337

Purchase discounts

6,595

7,279

-

24,829Subsidy income

11,672

-

Other

9,686

12,594

Total non-operating income

33,74449,934594

258

226,161-0330

226,755588

1,150,456

1,039,942

Gain on sales of non-current assets

809

4,522

Total extraordinary income

809

4,522

2,004

670

-

92

Total extraordinary losses

2,004

763

Income before income taxes

1,149,261

1,043,701

Income taxes

283,167

271,591

Net income

866,093772,109

Net income attributable to non-controlling interests

16,19926,927

Net income attributable to shareholders of the parent
company

849,893745,181Non-operating income

Foreign exchange gains

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

Extraordinary loss
Loss on sales and retirement of non-current
assetsOther5YUSHIN PRECISION EQUIPMENT CO., LTD. (6482)

Quarterly consolidated statements of comprehensive income
First six months(Thousands of yen)Six months ended
September 30, 2016

Net income

Six months ended
September 30, 2017

866,093772,109(1,426)34,250(417,037)

73,780(30)

230(418,494)

108,261

447,599

880,370

447,204

846,035

394

34,335

Other comprehensive income
Valuation difference on available-for-sale securities
Foreign currency translation adjustments
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to shareholdersof the parent company
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 theapplication of tax effect accounting is reasonably estimated, and this estimated rate is applied to net
income for the quarterly period under review.
Income taxes–deferred are included in income taxes in the consolidated statements of income.
< Segment information >First Six Months of FY2017 (from April 1, 2016 to September 30, 2016)
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*2JapanU.S.A.

AsiaEurope

5,111,803

1,559,267

2,070,539

207,492

8,949,104-

8,949,104

2,043,290

6,118

109,121220

2,158,750(2,158,750)-

7,155,094

1,565,386

2,179,661

207,712

11,107,855(2,158,750)

8,949,104

837,398

180,789

202,434

10,653

1,231,275

112,192

1,343,467

Net sales
Sales to customers
Inter-segment sales
or transfers
TotalSegment profit*Notes 1: The 112,192 thousand yen adjustment to segment profit includes 51,764 thousand yen eliminations for inter-segment
transaction and 60,428 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 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
TotalAdjustment*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

214,13012,267,494(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
TotalSegment 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.
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 FY2017

ChangeFirst Six Months of FY2018(%)

Take-out robots

6,596,083

8,043,701

121.9

Custom-ordered equipment

2,074,220

892,795

43.0

Parts and maintenance service

1,569,186

1,610,484

102.6

10,239,490

10,546,981

103.0

Total

(Thousands of yen)

2) Backlog of orders
Products

As of September 30, 2016

ChangeAs of September 30, 2017(%)

Take-out robots

2,405,354

3,225,197

134.1

Custom-ordered equipment

1,426,145

903,275

63.3

Parts and maintenance service

240,293342,206

142.4

4,071,793

4,470,680

109.8

Total

(Thousands of yen)b. Net sales
Products

First Six Months of FY2017

ChangeFirst Six Months of FY2018(%)

Take-out robots

6,111,880

7,239,436

118.4

Custom-ordered equipment

1,313,248

1,029,431

78.4

Parts and maintenance service

1,523,975

1,475,029

96.8

8,949,104

9,743,897

108.9

Total

(2) Overseas SalesFirst Six Months of FY2017 (from April 1, 2016 to September 30, 2016)
North AmericaIOverseas sales1,946,749

Asia(Thousands of yen)

Europe3,023,244

Other areas

326,871

Total

188,418

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

8,949,104
21.8

33.8

3.7

2.1

North America
Overseas sales

1,442,697

Asia

Europe3,965,606

Other areas

317,698

242,557

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

61.3(Thousands of yen)First Six Months of FY2018 (from April 1, 2017 to September 30, 2017)

I

5,485,283

Total
5,968,559
9,743,897

14.840.7

8

3.3

2.5

61.3