Tsubakimoto Chain : Consolidated Financial Statements for the nine-month period ended December 31, 2018

February 7, 2019

CONSOLIDATED FINANCIAL STATEMENTS

For the nine-month period ended December 31, 2018

Name of the company: Tsubakimoto Chain Co.

Code number:

Stock exchange listings: URL:

6371 Tokyohttp://tsubakimoto.com/

Representative: Inquiries:

Yasushi Ohara, President and Representative Director

Kenji Kawai, Manager, Corporate Communications Department Tel [phone]

Scheduled quarterly report issuance date:

February 8, 2019

*Amounts less than ¥1 million are omitted.

1. Consolidated Operating Results for the Nine Months Ended December 31, 2018

(1) Consolidated Results of Operation

(% figures show change compared to the same period of the previous year.)

Net sales

Operating incomeOrdinary income

Net incomeMillions of yen Millions of yen Millions of yen Millions of yen 9-month period ended

December 31, 2018 9-month period ended December 31, 2017

176,180 155,574

% 13.2 7.5

17,644 15,207

% 16.0 (0.7)

18,197 16,321

% 11.5 2.4

12,944 11,287

% 14.7 7.8

Note: Comprehensive income

9-month period ended December 31, 2018 : ¥ 10,115 million :(40.5%) 9-month period ended December 31, 2017 : ¥ 16,987 million : 113.8%

Net income per share	Net income per share (diluted)
9-month period ended December 31, 2018 9-month period ended December 31, 2017	Yen 341.97 298.18	Yen - -

Note: We consolidated common shares at the ratio of five shares to one share on October 1, 2018. The figures for the net income per share are amounts on the assumption that we consolidate common shares on the beginning of previous fiscal year.

(2) Consolidated Financial Position

Total assets	Net assets	Equity ratio
As of December 31, 2018 As of March 31, 2018	Millions of yen 304,192 283,574	Millions of yen 175,051 169,765	% 57.0 59.2

Note: Shareholders' equity

As of December 31, 2018 : ¥ 173,313 million As of March 31, 2018 : ¥ 167,916 million

2. Dividends

Dividends per share
1st quarter end	2nd quarter end	3rd quarter end	Fiscal year end	Total
FYE2018 FYE2019	Yen - -	Yen 11.00 12.00	Yen - -	Yen 13.00	Yen 24.00
FYE2019 (Forecasted)	60.00	―

Note: Revision of cash dividends forecast in quarter under review: No

We consolidated common shares at the ratio of five shares to one share on October 1, 2018. Accordingly, the amount of the year-end dividend per share for the year ending March 31, 2019 (Forecast) takes this share consolidation into account and disclosure of the total annual dividends per share are described as "-". The scheduled year-end dividends per share for the year ending March 31, 2019 (Forecast) without taking into account the share consolidation are 12 yen, and annual dividends per share are 24 yen.

3. Outlook for Consolidated Operating Results for the 12 Months Ending March 31, 2019

(% figures show change compared to the same period of the previous year.)

Net sales

Ordinary income

Net income per share

Millions of yen Millions of yen Millions of yen Millions of yen 12-month period

ending March 31, 2019

% 239,000 10.8

% 4.9

21,900

% 0.7

% 3.6

Yen 401.58

Note: Revision of outlook for consolidated operating results in quarter under review: No

Net income per share of the outlook for consolidated operating results for the 12 months ending March 31, 2019 takes into consideration the impact of the share consolidation.

* Notes

• (1) Significant changes in scope of consolidation (indicates changes in specified subsidiaries involving changes in the scope of consolidation): Yes

  Number of subsidiaries newly consolidated：1

  Name of subsidiaries newly consolidated：Central Conveyor Company, LLC

• (2) Adoption of specific accounting procedures for preparing quarterly consolidated financial statements: None

• (3) Changes in accounting policies, accounting estimates, and restatement of corrections:

  • 1. Changes in accounting policies due to the revision of accounting standards and other regulations: None

  • 2. Other changes in accounting policies: None

  • 3. Changes in accounting estimates: None

  • 4. Restatement of corrections: None

• (4) Number of shares issued (common shares)

  1 Number of shares issued at end of period (including treasury shares)

As of December 31, 2018 :	38,281,393 shares
As of March 31, 2018 :	38,281,393 shares
2 Number of treasury shares at end of period
As of December 31, 2018 :	430,542 shares
As of March 31, 2018:	427,847 shares
3 Average number of shares during the period
As of December 31, 2018 :	37,852,163 shares
As of December 31, 2017 :	37,854,783shares
* Implementation status of the quarterly review

These quarterly financial statements are exempt from the quarterly review procedure required by the Financial Instruments and Exchange Act. The quarterly review based on the Financial Instruments and Exchange Act has not been completed at the time of disclosure of these financial statements.

* Explanation regarding the appropriate usage of consolidated operating results and other items

The outlook for consolidated operating results is based on information available at the present juncture and certain assumptions believed to be reasonable. However, it includes risks and uncertainties. Actual business results may differ materially from the figures of the outlook for consolidated operating results due to changes in business conditions, market trends, or fluctuation in currency exchange rates. Furthermore, factors that may affect business results are not limited to those factors.