FUJI MACHINE MFG : First Quarter 2017 Financial Statements

August 9, 2016

(Amounts less than one million yen have been truncated)

1. Consolidated Financial Results (From April 1, 2016 to June 30, 2016)

2. Consolidated Operating Results

   (Percentages indicate year-on-year changes)

   Net sales		Operating income		Ordinary income		Profit attributable to owners of parent
   Three months ended June 30, 2016	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%
   	23,130	-8.1	3,316	-30.8	3,052	-41.1	2,104	-37.2
   Three months ended June 30, 2015	25,182	21.5	4,793	69.7	5,186	77.5	3,350	60.4

   Note: Comprehensive income Three months ended June 30, 2016: -¥1,261 million (―%)

   Three months ended June 30, 2015: ¥4,458 million (87.8%)

   Profit per share	Diluted profit per share
   Three months ended June 30, 2016	Yen	Yen
   	22.11	20.61
   Three months ended June 30, 2015	34.28	―

   Reference: Shareholders' equity	As of June 30, 2016	: ¥127,503 million
   As of March 31, 2016	: ¥131,901 million

3. Consolidated Financial Position

   Total assets	Net assets	Equity ratio
   As of June 30, 2016	Millions of yen	Millions of yen	%
   	153,276	127,685	83.2
   As of March 31, 2016	156,958	132,069	84.0

4. Dividends

   Dividends per share
   First quarter- end	Second quarter- end	Third quarter- end	Year-end	Total
   Fiscal year ended March 31, 2016	Yen	Yen	Yen	Yen	Yen
   	―	14.00	―	14.00	28.00
   Fiscal year ending March 31, 2017	―
   Fiscal year ending March 31, 2017 (Forecast)	15.00	―	15.00	30.00

   Note: Revision of dividend forecast since last announcement: None

5. Forecast of Consolidated Results for the Fiscal Year Ending March 31, 2017 (From April 1, 2016 to March 31, 2017)

   (Percentages indicate year-on-year changes)

   Net sales		Operating income		Ordinary income		Profit attributable to owners of parent		Profit per share
   First half	Millions of yen	%	Millions of yen	%	Millions of yen	%	Millions of yen	%	Yen
   	45,000	-0.6	5,700	-17.6	5,900	-18.8	4,100	-16.7	42.65
   Full year	87,000	0.4	10,000	-16.0	10,300	-14.1	7,300	0.9	75.94

   Note: Revision of results forecast since last announcement: None

   *Notes

6. Changes in significant subsidiaries during the period under review (Changes in specified subsidiaries involving changes in scope of consolidation): None

   New Company: ― Exclusion: ―

7. Application of accounting treatments specific to the preparation of quarterly consolidated financial statements: None

8. Changes in accounting policies, accounting estimates, and retrospective restatements

9. Changes in accounting policies in accordance with revision of accounting standards: Yes

10. Changes in accounting policies other than item 1) above: None

11. Changes in accounting estimates: None

12. Retrospective restatements: None

    Note: For further details, please refer to "2. Summary Information (Notes) (3) Changes in Accounting Policies, Accounting Estimates, and Retrospective Restatements" on page 4.

13. Number of shares issued (common stock)

14. Number of shares issued as of end of period (including treasury shares) As of June 30, 2016: 97,823,748 shares

    As of March 31, 2016: 97,823,748 shares

15. Number of treasury shares as of end of period

    As of June 30, 2016: 3,333,536 shares

    As of March 31, 2016: 1,698,068 shares

16. Average number of shares during the period

17. Three months ended June 30, 2016: 95,189,826 shares

    Three months ended June 30, 2015: 97,756,731 shares

    Implementation status for quarterly review procedures

    The quarterly review procedures for quarterly consolidated financial statements pursuant to the Financial Instruments and Exchange Act have not been completed at the time of the disclosure of this document.

    Explanation regarding appropriate use of results forecasts and other special remarks

    The forward-looking statements, including results forecasts, contained in these materials are based on information available to the Company and on certain assumptions deemed to be reasonable as of the date of release of this document and they are not meant to be a commitment by the Company. Also, actual business results may differ substantially due to a number of factors.

    Contents

18. Qualitative Information on Quarterly Financial Results 2

19. Explanation of Operating Results 2

20. Explanation of Financial Position 3

21. Explanation of Forward-Looking Information including Forecast of Consolidated Results 3

22. Summary Information (Notes) 4

23. Changes in Significant Subsidiaries during the Period under Review 4

24. Application of Accounting Treatments Specific to the Preparation of Quarterly Consolidated Financial Statements 4

25. Changes in Accounting Policies, Accounting Estimates, and Retrospective Restatements 4

26. Additional Information 4

27. Consolidated Financial Statements 5

28. Consolidated Balance Sheets 5

29. Consolidated Statements of Income and Comprehensive Income 7

    (Consolidated Statements of Income) 7

    (For the Three Months Ended June 30, 2015 and 2016) 7

    (Consolidated Statements of Comprehensive Income) 8

    (For the Three Months Ended June 30, 2015 and 2016) 8

30. Consolidated Statements of Cash Flows 9

31. Notes to Consolidated Financial Statements 10

    (Notes to assumption of going concern) 10

    (Notes to a significant change in shareholders' equity) 10

    (Segment information) 10

32. Supplementary Information 12

33. Orders and Sales 12

34. Information by Region 13

35. 1