A sprocket is formed by fine-blanking a steel plate using a die having a cutting edge shaped to produce rounded edges on the back sides of the sprocket tooth heads, and protrusions on the front sides. Thereafter the edges of the front sides of the sprocket tooth heads are formed in a press so that the protrusions are removed, and the edges of the front sides of the sprocket tooth heads have a rounded cross-sectional shape substantially the same as that of the edges of the front sides.