AEON Financial Service (8570) Q2 2027 earnings summary

Executive summary

• H1 FY2027 operating revenue rose 11.9% YoY to ¥311.2bn; operating profit fell 11.0% to ¥25.209bn, while profit attributable to owners rose 14.9% to ¥10.052bn.

• Revenue grew in domestic and overseas businesses, but higher expenses, including ¥7.6bn in domestic core-system costs, weighed on profit; full-year earnings and dividend forecasts were unchanged.

Financial highlights

• Operating expenses increased to ¥285.992bn from ¥249.838bn; ordinary profit declined to ¥25.972bn from ¥29.192bn.

• Q2 revenue was ¥157.3bn, up 11% YoY; operating profit was ¥7.7bn and parent profit was ¥1.0bn.

• H1 financial revenue rose to ¥46.789bn from ¥34.981bn, while financial expenses rose to ¥40.308bn from ¥27.664bn.

• Extraordinary losses fell to ¥1.151bn from ¥12.542bn; prior-period losses included ¥9.539bn on sale of subsidiary shares and ¥2.794bn of impairments.

Outlook and guidance

• FY2027 forecast: operating revenue ¥600bn, operating profit ¥45bn, ordinary profit ¥45bn and parent profit ¥15bn; revenue, operating-profit and parent-profit progress was 52%, 56% and 67%.

• Annual dividend forecast remains ¥53 per share, comprising ¥25 interim and ¥28 year-end; forecast basic EPS is ¥69.48.

• FY2030 targets include ¥100bn operating profit, 10.0% ROE, 60 million active AEON Pay IDs and ¥5.6tn current deposits.