February 6, 2015

Name of Listed Company:

ISEKI & CO., LTD.

Company Code:6310 (URL http://www.iseki.co.jp)

Representative:
Enquiries:

Stock Exchange Listing: Tokyo

Title
Title

President
General Manager ofFinancial Department
Date of Submission of Quarterly Report:
Scheduled Date to Commence Dividend Payment:
Supplementary Information for Quarterly Financial Results:
Quarterly Financial Results Briefing:

NameNoriyuki Kimura
NameKazuma Takahashi
Telephone: +81 3 5604 7709
February 6, 2015
—Yes
Yes (for institutional investors and analysts)

Summary Announcement of Consolidated Financial Resultsfor the Nine Months Ended December 31, 2014 (Japanese GAAP)
I. Financial Results for the Nine Months Ended December 31, 2014 (April 1, 2014–December 31, 2014)
A. Results of Operations(Rounded down to a million yen, % indicates change from the previous period)

Nine Months EndedDecember 31, 2014
118,505
831
2,084
1,401

%(6.4)(85.9)(70.4)(72.0)Net Sales
Operating Income
Ordinary Income
Net Income
Net Income per Share (yen)Non-diluted
6.13
Fully Diluted
6.13
Note: Comprehensive income
Nine months ended December 31, 2014: ¥3,125 mil. (-50.3%)
Nine months ended December 31, 2013: ¥6,289 mil. (68.9%)

Nine Months EndedDecember 31, 2013
126,543
5,911
7,052
5,000%
7.3
7.5
29.0
28.7

21.77
—

B. Financial Position(Rounded down to a million yen)

As of December 31, 2014
211,458
69,66132.1%
300.88

Total Assets
Net Assets
Shareholders’ Equity to Total Assets Ratio
Net Assets per Share (yen)Reference: Shareholders’ equity
As of December 31, 2014: ¥67,967 mil.
As of March 31, 2014: ¥67,106 mil.

As of March 31, 2014
197,628
68,73434.0%
292.11

II. Dividends(Yen)

Dividend per ShareYear Ended March 31, 2014
Year Ending March 31, 2015
Year Ending March 31, 2015 (Forecast)End of 1Q——

End of 2Q——

End of 3Q——

Note: Revision of the most recently announced dividend forecast: Yes

Year-end
4.00

Annual
4.00

3.00

3.00

III. Forecast for the Fiscal Year Ending March 31, 2015 (April 1, 2014–March 31, 2015)(Rounded down to a million yen, % indicates change from the previous period)

Full YearNet
Sales%

Operating
Income%Ordinary
Income%Net
Income%158,000(6.6)

1,000(86.4)

1,800(78.3)

900(86.0)

Net Incomeper Share(yen)3.98

Note: Revision of the most recently announced performance forecast: Yes* NotesA. Changes in important subsidiaries during the period (change in specified subsidiaries which accompanies achange in the range of consolidation): None
B. Adoption of unique accounting method for preparing the quarterly consolidated financial statements: None
C. Change in accounting policy, change in accounting estimates and restatements
1) Change in accounting policy which accompanies revision of accounting standards : Yes
2) Change in accounting policy other than 1): Yes
3) Change in accounting estimates: Yes
4) Restatements: None
The above corresponds to Paragraph 5, Article 10 of “Ordinance on Terminology, Forms and Preparation Methods ofQuarterly Consolidated Financial Statements.” For details, please refer to page 5 of the supplementary material, “2.
Matters Concerning Summary Information (Notes) (2) Change in Accounting Policy, Change in Accounting Estimatesand Restatements.”

D. Outstanding shares (common shares)
1) Outstanding shares (including treasury shares)
As of December 31, 2014
As of March 31, 2014
2) Outstanding treasury shares
As of December 31, 2014
As of March 31, 2014
3) Average number of shares during the period
For the nine months ended December 31, 2014
For the nine months ended December 31, 2013

229,849,936 shares
229,849,936 shares
3,957,293 shares
117,254 shares
228,656,218 shares
229,742,793 shares* Statement regarding the implementation of the quarterly review procedure
Although the summary of quarterly financial results is exempted from requiring the quarterly review procedure
under the Financial Instruments and Exchange Act, we have completed the review procedure of the quarterly
financial statements at the time of disclosure.
* Statement regarding the proper use of financial performance forecasts and other notes
The forecast for operating results has been determined based on information presently available, as well as on theassumptions that the Company believes to be reasonable. It is possible that in the future, actual results may differ
from the anticipated figures for a variety of reasons. Please refer to “1. Qualitative Information Regarding
Financial Results for the Period” on page 2 of the supplementary material for the assumptions underlying theforecasts and precautions when using the forecasts.

Table of contents for supplementary material
1. Qualitative Information Regarding Financial Results for the Period···················································· 2(1) Explanation Regarding Business Performance ········································································ 2(2) Explanation Regarding Financial Position ············································································· 3(3) Explanation Regarding Forward-looking Statements Including Consolidated Performance Forecast·········· 3
2. Matters Concerning Summary Information (Notes) ······································································· 5(1) Changes in Important Subsidiaries during the Period ································································· 5(2) Change in Accounting Policy, Change in Accounting Estimates and Restatements ·································· 53. Consolidated Financial Statements ·························································································· 7(1) Consolidated Balance Sheets····························································································· 7(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income ················· 9(3) Notes Regarding Consolidated Financial Statements ································································ 11Notes Regarding the Going Concern Assumption ···································································· 11Notes Regarding Significant Changes in Shareholders’ Equity ··················································· 111

1. Qualitative Information Regarding Financial Results for the Period(1) Explanation Regarding Business Performance
During the first nine months of the fiscal year ending March 31, 2015, the Japanese economy remained
uncertain on the whole, with sluggish demand and the cautious economic stance of Japanese companiescontinuing under the lingering influence of the decline in demand following the last-minute surge before thehike in the consumption tax in April 2014, despite the benefits of the yen depreciation enjoyed by someexporters.
In addition, the market environment surrounding the ISEKI Group has continued to be unpredictable. For
instance, the declining price of rice, reflecting a belief that there is a surplus of rice on the Japanese market, hasaffected farmers’ motivation to buy our products.
Under these circumstances, the ISEKI Group has made efforts to secure sales volume through enhanced
customer services in Japan and to expand sales mainly by launching new products for North America andEurope. As a result, consolidated business performance of the ISEKI Group can be summarized as follows.
For the nine months of the fiscal year ending March 31, 2015, net sales decreased ¥8,037 million year on
year to ¥118,505 million (down 6.4%). Domestic net sales dropped ¥6,239 million to ¥101,790 million (down5.8%) as a result of a decrease in agricultural machinery sales, which reflected a reactionary decline following
the last-minute surge before the hike in the consumption tax. Overseas, net sales decreased ¥1,797 million to¥16,715 million (down 9.7%) due to the effect of the deconsolidation of Iseki-Changzhou Mfg. Co., Ltd.,
which offsets a recovery in demand in Europe.
Operating income decreased ¥5,080 million to ¥831 million (down 85.9%) due to a decrease in gross profit
from the domestic agricultural machinery market, an increase in selling, general and administrative expenses
including personnel expenses, and the deconsolidation of Iseki-Changzhou Mfg. Co., Ltd. Ordinary income
decreased ¥4,968 million to ¥2,084 million (down 70.4%), mainly due to a decrease in foreign exchange gains.
Net income decreased ¥3,598 million to ¥1,401 million (down 72.0%) despite negative goodwill resulting fromthe acquisition of stock of a European distributor in order to make it a subsidiary.
Sales by product are as follows.
(Domestic)
Sales of cultivating & mowing machinery (tractors, tillers, etc.) were ¥24,551 million (down 4.0% year onyear), and sales of planting machinery (rice transplanters and vegetable transplanters) were ¥8,044 million(down 10.9%). Sales of harvesting and processing machinery (combine harvesters, etc.) were ¥17,099 million(down 13.0%). Sales of spare parts and farming implements were ¥26,168 million (down 4.2%). Other
agriculture-related sales (construction of facilities, etc.) were ¥25,926 million (down 1.8%).
(Overseas)
Sales of cultivating & mowing machinery (tractors, etc.) were ¥13,787 million (up 18.7% year on year), andsales of planting machinery (rice transplanters, etc.) were ¥985 million (down 79.7%). Sales of harvesting andprocessing machinery (combine harvesters, etc.) were ¥273 million (down 65.9%). Sales of spare parts andfarming implements were ¥1,192 million (up 30.6%). Other agriculture-related sales were ¥475 million (up44.9%).
2

Furthermore, Iseki-Hokkaido Co., Ltd., a consolidated subsidiary, underwent an on-the-spot inspection by theJapan Fair Trade Commission on July 29, 2014, on suspicion of a violation of the Antimonopoly Act
concerning the “construction of drying, processing and storage facilities for grains and facility equipment to beinstalled in the facilities that are ordered by agricultural cooperatives and local public bodies located inHokkaido.” The Company and Iseki-Hokkaido Co., Ltd. are cooperating fully with the Japan Fair Trade
Commission in this inspection.

(2) Explanation Regarding Financial Position
As of December 31, 2014, total assets increased ¥13,830 million from the previous fiscal year-end to ¥211,458
million. The changes mainly resulted from a ¥5,195 million increase in cash and deposits, a ¥7,355 million
decrease in notes and accounts receivable – trade, a ¥4,006 million increase in inventories, a ¥4,792 million
increase in property, plant and equipment, and a ¥3,768 million increase in other under investments and otherassets. Total liabilities increased ¥12,903 million from the previous fiscal year-end to ¥141,796 million, mainly
as a result of a ¥5,127 million decrease in notes and accounts payable – trade, and a ¥19,601 million increase in
short-term loans payable and long-term loans payable. Net assets increased ¥926 million from the previous
fiscal year-end to ¥69,661 million. This was attributable mainly to posting net income of ¥1,401 million,
dividend of surplus of ¥918 million, a ¥956 million decrease due to the purchase of treasury shares, a ¥951
million increase in valuation difference on available-for-sale securities, and remeasurements of defined benefit
plans, net of tax of ¥791 million.

(3) Explanation Regarding Forward-looking Statements Including Consolidated Performance Forecast
During the first nine months of the fiscal year ending March 31, 2015, operating income and ordinary income
both decreased due mainly to a decrease in gross profit from the domestic agricultural machinery market andan increase in selling, general and administrative expenses, including personal expenses, in addition to adecline in net sales.
This year the ISEKI Group is celebrating its 90th anniversary since its founding. In Japan, despite thenegative impact of the declining price of rice, we will engage in further sales expansion efforts under theGroup’s slogan “Supporting the full of dreams farming industry,” such as anniversary sales campaigns andpromotional activities in line with the Group’s motto “Gratitude and Support,” the provision of high-quality
marketing services and reinforcement of customer support capabilities to make proposals that match ourcustomers’ agribusiness management. We will also endeavor to expand overseas sales by launching andpromoting strategic products for the European market, which has seen brisk activity, as well as the North
American and Chinese markets.
With respect to future prospects, we believe the ISEKI Group’s business environment will continue to beunpredictable as the decline in demand following the last-minute surge before the hike in the consumption taxin April 2014 and the declining trend in the price of rice may continue to push down sales of domestic
agricultural machinery. On the other hand, the favorable conditions may continue overseas, mainly in Europe.
In view of these circumstances, we have revised the consolidated business performance forecast for thefiscal year ending March 31, 2015 announced on November 7, 2014. Please refer to the “Notice on the revision3

of the business performance forecast for the fiscal year ending March 31, 2015 and the revision of dividendforecast” released on February 6, 2015 for details concerning the revised figures.
The latest business performance forecast uses estimated foreign exchange rates of ¥118 per U.S. dollar and¥140 per Euro (revised from ¥106 per U.S. dollar and ¥135 per Euro). The valuation rate used for
euro-denominated accounts receivable at end of the period is ¥132 to the euro (changed from ¥135).

42. Matters Concerning Summary Information (Notes)(1) Changes in Important Subsidiaries during the Period
Not applicable(2) Change in Accounting Policy, Change in Accounting Estimates and Restatements(Application of accounting standard, etc., for retirement benefits)
Effective from the first quarter of the fiscal year ending March 31, 2015, we have applied “AccountingStandard for Retirement Benefits” (ASBJ Statement No. 26, May 17, 2012. Hereafter the “Retirement Benefits
Accounting Standard”) and “Guidance on Accounting Standard for Retirement Benefits” (ASBJ Guidance No.
25, May 17, 2012. Hereafter the “Retirement Benefits Guidance”) in relation to provisions stipulated in themain clause of Paragraph 35 of the Retirement Benefits Accounting Standards and the main clause ofParagraph 67 of the Retirement Benefits Guidance; and we have reviewed the calculation method for
retirement benefit obligations and service costs, having changed the method for attributing the estimatedamount of retirement benefits from the straight-line method to the benefit formula basis, and we have alsochanged the method of determining the discount rate from the method based on approximate averageremaining service years for employees to a method using the single weighted-average discount rate that reflects
the estimated timing of retirement benefit payments and the amount of benefit payment for each estimatedpayment period.
With respect to the application of the Retirement Benefits Accounting Standard and Retirement Benefits
Guidance, we adjusted the impact of the change in the calculation method for retirement benefit obligations
and service costs with retained earnings at the beginning of the nine months of the fiscal year ending March 31,
2015, in accordance with the transitory treatment stipulated in Paragraph 37 of the Retirement Benefits
Accounting Standard.
As a result, net defined benefit liability increased ¥554 million and retained earnings decreased ¥360
million at the beginning of the nine months of the fiscal year ending March 31, 2015. Furthermore, operating
income, ordinary income and income before income taxes and minority interests decreased ¥23 million
respectively.
(Change in the accounting policy that is difficult to distinguish from the change in accounting estimates)
Previously, the Company and its domestic consolidated subsidiaries applied the declining-balance method(however, the straight-line method was applied to tools and newly acquired buildings on and after April 1, 1998
(excluding facilities attached to buildings)) as the calculation method for the depreciation of property, plant andequipment (excluding leased assets), and the Company and its domestic consolidated subsidiaries changed tothe straight-line method from the first quarter of the fiscal year ending March 31, 2015.
With respect to the business environment surrounding the ISEKI Group, while the shrinking of demand foragricultural machinery, mainly for replacements, has ceased in recent years, major changes in agriculture areexpected in future, such as revisions of agricultural policy in Japan. On the other hand, expansion of theoverseas market for agricultural machinery, especially in Asia, is expected, and we foresee that the global
agricultural machinery market will continue to advance steadily.
Under the circumstances, and for further global expansion, we have decided to make major capital5

investments in state-of-the-art manufacturing facilities that excel as energy saving/multi-functional/all-purpose
properties to improve domestic productivity, and investments in new overseas manufacturing/sales sites, alongwith structural cost reforms in response to drastic changes within and outside Japan. We have reexamined thecalculation method for the depreciation of property, plant and equipment in light of the full-fledged operationof these facilities from the first quarter of the fiscal year ending March 31, 2015.
Responding to the constant change in demand for agricultural machinery and by building low-cost
production systems, we have established a stable customer base in the domestic market. Furthermore, we have
set up a globally oriented production system as a core plant to meet demand from growing Asian markets. As aresult, we expect a stable long-term operation of production facilities, etc., which has led us to determine thatthe straight-line method to allocate expenses evenly over the useful life of facilities would reflect the businessof the ISEKI Group more properly.
With this change, compared with the previous method, depreciation expenses decreased ¥619 million,
operating income increased ¥614 million and ordinary income and income before income taxes and minority
interests each increased ¥619 million.

63. Consolidated Financial Statements(1) Consolidated Balance Sheets
FY2014(as of Mar. 31, 2014)(Millions of yen)
3Q FY2015(as of Dec. 31, 2014)

AssetsCurrent assets
Cash and deposits8,228

13,424

Notes and accounts receivable - trade41,59834,243Merchandise and finished goods

36,88942,129Work in process

4,882

3,765

Raw materials and supplies

1,548

1,431

Other

4,739

6,665

Allowance for doubtful accounts

(107)

(113)

97,779101,547

Buildings and structures, net

16,602

19,268Land

51,01550,706

Others, net

19,534

21,969Total property, plant and equipment

87,152

91,945

1,006

1,117

Investment securities

7,269

8,634

Other

4,885

8,654

Allowance for doubtful accounts

(464)

(439)

Total investments and other assets

11,69016,84899,848109,910

197,628

211,458

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

Intangible assets
Investments and other assets

Total non-current assets
Total assets

7FY2014(as of Mar. 31, 2014)(Millions of yen)
3Q FY2015(as of Dec. 31, 2014)

Liabilities
Current liabilities
Notes and accounts payable - trade47,53642,409

Short-term loans payable

20,132

31,612Current portion of long-term loans payable

6,387

13,292

Income taxes payable

1,788

937

Provision for bonuses

3501,295

Provision for loss on construction contracts

33

―

Other

13,688

11,132

Total current liabilities

89,916100,680

Long-term loans payable

17,87019,085

Deferred tax liabilities for land revaluation

6,644

6,644

Provision for directors’ retirement benefits

126

118

Net defined benefit liability

6,660

6,752

Asset retirement obligations

264

260

Other

7,411

8,254

Total non-current liabilities

38,977

41,116

128,893

141,796

Capital stock

23,344

23,344

Capital surplus

13,454

13,454Retained earnings

17,266

17,379

(30)

(986)

54,03453,191

Valuation difference on available-for-sale securities

1,338

2,290

Revaluation reserve for land

11,831

11,831

Foreign currency translation adjustment

1,170

1,130

Remeasurements of defined benefit plans(1,269)(477)

Total accumulated other comprehensive income

13,072

14,775―45

Minority interests

1,628

1,648

Total net assets

68,734

69,661

197,628

211,458

Non-current liabilities

Total liabilities
Net assets
Shareholders’ equity

Treasury shares
Total shareholders’ equity
Accumulated other comprehensive income

Subscription rights to shares

Total liabilities and net assets8(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income
Consolidated Statements of Income
For the Nine Months Ended December 31, 2013 and 2014
(Millions of yen)
Nine Months of FY2014 Nine Months of FY2015(Apr. 1, 2013–(Apr. 1, 2014–
Dec. 31, 2013)
Dec. 31, 2014)
Net sales

126,543

118,505

Cost of sales

87,98983,791Gross profit

38,55334,714

Selling, general and administrative expenses

32,64133,883Operating income

5,911

831

Interest income

134

166

Dividend income

130

146

1,061

683

790

1,0372,116

2,034Interest expenses

563

458

Other

411

322

Total non-operating expenses

975

781

7,052

2,084

Gain on sales of non-current assets

2327

Gain on bargain purchase―794

Gain on change in equity―

589

Compensation income

37

16

Gain on sales of investment securities

32

25

Total extraordinary income

92

1,453

Loss on sales and retirement of non-current assets

158

236

Other

108

Total extraordinary losses

169

244

Income before income taxes and minority interests

6,976

3,293

Income taxes - current

2,013

1,982

Income taxes - deferred(60)(111)

Total income taxes

1,952

1,870

Income before minority interests

5,023

1,422

2320

5,000

1,401

Non-operating income

Foreign exchange gains
OtherTotal non-operating income
Non-operating expenses

Ordinary income
Extraordinary income

Extraordinary losses

Minority interests in income
Net income

9Consolidated Statements of Comprehensive Income
For the Nine Months Ended December 31, 2013 and 2014
(Millions of yen)
Nine Months of FY2014 Nine Months of FY2015(Apr. 1, 2013–(Apr. 1, 2014–
Dec. 31, 2013)
Dec. 31, 2014)
Income before minority interests5,023

1,422

Valuation difference on available-for-sale securities

743

948

Foreign currency translation adjustment

498

(320)

Remeasurements of defined benefit plans, net of tax―

791

Share of other comprehensive income of entities accounted
for using equity method

23

284

1,265

1,703

6,289

3,125

Comprehensive income attributable to owners of parent

6,260

3,104

Comprehensive income attributable to minority interests

2920

Other comprehensive income

Total of other comprehensive income
Comprehensive income(Comprehensive income attributable to)10(3) Notes Regarding Consolidated Financial Statements(Notes Regarding the Going Concern Assumption)
Not applicable(Notes Regarding Significant Changes in Shareholders’ Equity)
Not applicable11