(Quarterly financial statements are unaudited)

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Listed company name: YASKAWA Electric Corporation
http://www.yaskawa.co.jp/en/
President: Koji Toshima
Stock exchange listings: Tokyo, Fukuoka
Stock ticker number: 6506

1. Summary of Results for the Third Quarter of Fiscal Year 2004
  (March 21, 2004 to December 20, 2004)
  (Quarterly results were released beginning this year, meaning previous year results and ratios are currently unavailable)

The Japanese economy in the first three quarters of FY 2004 experienced, among other things, an increase in exports and domestic capital expenditures, leading to improved corporate results. While the recovering trends in business conditions continued, rising prices in raw materials, most notably oil, a continued appreciation of the yen and inventory adjustments in the semiconductor field contributed to a sense of a slowdown in business conditions since the beginning of the fall season.

In the midst of these conditions, the YASKAWA Group will implement all of the planned policies and is planning this year to be one of increased added value and expanded business through market strategy and innovation. Markets related to machine tools, metal working machinery, AC Drives and automobiles grew steadily in the first half of the fiscal year, but entering the second half, results were influenced by a decrease in the semiconductor-, LCD- and electronic component-related markets.

Results, as shown above, were net sales of 219,332 million yen, ordinary income of 10,873 million yen and net income of 4,662 million yen. The projected consolidated results for the fiscal year have been lowered accordingly.

Results by segments are as follows:

Motion Control
In the first half of the fiscal year, the markets related to semiconductors, LCD and electronic components showed strong growth, and domestic sales as well as sales to North America and Asia increased. However, the growth in domestic orders slowed entering into the second half. There was steady growth in the markets related to machine tools, metal working machinery and AC Drives. Sales for this segment totaled 93,616 million yen and operating income totaled 7,950 million yen.

Robotics Automation
New robots that were introduced in the previous fiscal year experienced strong growth. Included in these were two of our core products that we increased market share in, which were our robots for arc welding and spot welding for large automobile and parts manufacturers. Also, new generation robots for the market related to the transferring of larger LCD panels were timely introduced to the market. Sales for this segment totaled 75,075 million yen and operating income totaled 4,770 million yen.

System Engineering
As a result of a slowdown in public investment and intense competition, sales totaled 24,693 million yen and there was an operating loss of 3,251 million yen.

Information Technologies
In the information services industry, there was a downturn in investments related to IT and demand for information appliances, which had both been growing slowly up until now. Also, there were limited investments related to IT and intense market competition, and the intense market competition from the previous fiscal year continued in the computer peripherals business. Sales for this segment totaled 16,731 million yen and there was an operating loss of 91 million yen.

Other
Sales for this segment totaled 9,215 million yen and operating income totaled 1,369 million yen.

(3) Summary of Consolidated Statements of Cash Flows
	(Millions of yen)
	9 months ended December 20, 2004	9 months ended December 20, 2003	Year ended March 20, 2004
Net cash provided by (used in) operating activities	(9,609)	-	18,504
Net cash provided by (used in) investing activities	(3,888)	-	1,118
Net cash provided by (used in) financing activities	11,990	-	(18,877)
Cash and cash equivalents at end of period	15,612	-	17,098

Cash flows from operating activities ended at a negative 9,609 million yen. Trade receivables increased due to a decrease in discounted bills, and inventories expanded to meet predicted sales after the third quarter.

Cash flows from investing activities ended at a negative 3,888 million yen. While proceeds from sales of property, plant and equipment totaled 2,484 million yen, expenditures such as purchases of property, plant and equipment and intangible assets totaled 4,866 million yen and purchases of investment securities totaled 1,168 million yen.

Combining cash flows from operating activities with cash flows from investing activities, free cash flow ended at a negative 13,497 million yen.

Cash flows from financing activities ended at a positive 11,990 million yen. Although repayments of long-term debt totaled 3,706 million yen, proceeds from the issuance of convertible bonds totaled 14,903 million yen.

As a result of these activities, cash and cash equivalents slightly decreased from the end of last fiscal year by 1,486 million yen to end the third quarter at 15,612 million yen.

2.Projected Consolidated Results for the Fiscal Year Ending March 20, 2005 (Revision)

Warning
The information within this document is made as of the date of writing. Any forward-looking statements are made according to the assumptions of management and are subject to change as a result of risks and uncertainties. YASKAWA Electric undertakes no obligation to update or revise these forward-looking statements, whether as a result of new information, future events, or otherwise.

[Attachment]
1. Third Quarter Consolidated Balance Sheet (summary)
	(Millions of Yen)
		As of December 20, 2004				As of September 20, 2004				As of March 20, 2004
Assets		% of Total				% of Total				% of Total
Current assets
	Cash and time deposits	15,685				16,054				16,194
	Trade notes and accounts receivable	90,335				91,461				84,186
	Short-term investments	152				1,152				1,142
	Inventories	64,837				60,500				54,345
	Deferred tax assets	4,892				6,147				5,337
	Other current assets	10,702				11,342				9,235
	Allowance for doubtful accounts	(628)				(790)				(830)
Total current assets		185,978		69.3		185,869		69.4		169,611		67.9
Fixed assets
	Property, plant and equipment	37,348				37,644				36,844
	Intangible fixed assets	12,949				13,707				13,997
	Investments	16,851				15,994				14,857
	Deferred tax assets	11,976				11,547				10,784
	Investments and other assets	3,486				3,391				4,029
	Allowance for doubtful accounts	(344)				(351)				(295)
Total fixed assets		82,267		30.7		81,933		30.6		80,217		32.1
Total Assets		268,246		100.0		267,802		100.0		249,829		100.0
Liabilities
Current liabilities
	Trade notes and accounts payable	63,902				64,765				63,382
	Short-term bank loans	41,222				39,161				40,372
	Current portion of convertible notes	15,000				15,000				15,000
	Accrued expenses	3,081				16,147				14,812
	Other current liabilities	29,864				19,953				19,097
Total current liabilities		153,071		57.1		155,027		57.9		152,664		61.1
Long-term liabilities
	Corporate bonds	10,000				10,000				10,000
	Convertible bonds	15,000				15,000				-
	Long-term debt	11,324				12,396				14,590
	Accrued retirement benefits for employees	32,041				30,883				29,276
	Other long-term liabilities	2,747				2,702				2,320
Total long-term liabilities		71,113		26.4		70,983		26.5		56,188		22.5
Total liabilities		224,184		83.5		226,010		84.4		208,852		83.6
Minority interests		3,678		1.4		3,858		1.4		4,261		1.7
Shareholders' equity
	Common stock	15,540		5.8		15,540		5.8		15,540		6.2
	Additional paid-in capital	14,000		5.2		14,000		5.2		13,999		5.6
	Retained earnings	10,092		3.8		7,589		2.9		6,171		2.5
	Net unrealized holding gain on securities	1,301		0.5		1,008		0.4		1,040		0.4
	Foreign currency translation adjustments	(284)		(0.1)		53		0.0		154		0.1
	Treasury stock, at cost	(268)		(0.1)		(257)		(0.1)		(191)		(0.1)
Total shareholders' equity		40,383		15.1		37,933		14.2		36,715		14.7
Total liabilities, shareholders' equity		268,246		100.0		267,802		100.0		249,829		100.0

[Attachment]
2.Third Quarter Consolidated Statements of Income (summary)
	(Millions of Yen)
		Nine months ended December 20, 2004				Three months ended December 20, 2004				Year Ended March 20, 2004
		% of Total				% of Total				% of Total
Net sales		219,332		100.0		73,279		100.0		263,045		100.0
Cost of sales		162,390		74.0		54,642		74.6		192,786		73.3
Gross profit		56,941		26.0		18,636		25.4		70,259		26.7
Selling, general and   administrative expenses		46,131		21.0		14,874		20.4		57,851		22.0
Operating income		10,810		4.9		3,761		5.1		12,407		4.7
Non-operating income		1,408		0.6		358		0.6		2,333		0.9
Non-operating expenses		1,344		0.6		446		0.6		2,730		1.0
Ordinary income		10,873		5.0		3,672		5.0		12,010		4.6
Extraordinary gains		2,014		0.8		1,654		2.3		5,481		2.0
Extraordinary losses		4,385		2.0		1,117		1.5		6,402		2.4
Income before income taxes and minority interests		8,502		3.9		4,210		5.7		11,089		4.2
Provision for income   taxes- current		4,811		2.2		1,352		1.8		4,206		1.6
Provision for income   taxes- deferred		(806)		(0.4)		544		0.8		796		0.3
Minority interests		(164)		0.0		(188)		(0.3)		265		0.1
Net income		4,662		2.1		2,501		3.4		5,819		2.2

[Attachment]
3. Third Quarter Consolidated Statements of Cash Flows (summary)
	(Millions of Yen)
		9 months ended December 20, 2004		Year Ended March 20, 2004
Cash flows from operating activities
	Income before income taxes and minority interests	8,502		11,089
	Depreciation and amortization	4,782		6,047
	Gain on sales of investment securities	(338)		(1,883)
	(Increase) decrease in trade receivables	(6,431)		(13,226)
	(Increase) decrease in inventories	(10,876)		(202)
	Increase (decrease) in trade payables	729		14,253
	Income taxes paid	(4,393)		(3,978)
	Other, net	(1,584)		6,405
Net cash provided by (used in) operating activities		(9,609)		18,504
Cash flows from investing activities
	Purchases of property, plant and equipment and   intangible assets	(4,866)		(6,178)
	Proceeds from sales of property, plant and equipment	2,484		1,359
	Purchases of investment securities	(1,168)		(1,404)
	Proceeds from sales of investment securities	459		3,254
	Other, net	(796)		4,087
Net cash provided by (used in) investing activities		(3,888)		1,118
Cash flows from financing activities
	Increase (decrease) in short-term debt	996		(14,071)
	Proceeds from long-term debt	672		7,846
	Repayments of long-term debt	(3,706)		(12,210)
	Proceeds from issuance of convertible bonds, net	14,903		-
	Other, net	(875)		(441)
Net cash provided by (used in) financing activities		11,990		(18,877)
Effect of exchange rate changes on cash and cash   equivalents		21		(31)
Net increase (decrease) in cash and cash equivalents		(1,486)		714
Cash and cash equivalents at beginning of year		17,098		16,267
Increase due to inclusion of subsidiaries in consolidation		-		148
Decrease due to exclusion of subsidiaries from consolidation		-		(32)
Cash and cash equivalents at end of year		15,612		17,098

[Attachment]

4. Segment Information