Dai-ichi Life Holdings (8750) Q2 2026 earnings summary

Executive summary

• Adjusted profit for H1 FY2025 reached JPY 231.1 billion, 56% of the initial forecast, driven by security sales and reduced expenses, and ahead of plan.

• Full-year adjusted profit outlook raised to JPY 470 billion, supported by strong domestic equity sales and robust overseas performance.

• Overseas operations now contribute over JPY 100 billion, about a quarter of group profits, with continued focus on capital-light business models and strategic investments.

• Dividend per share forecast increased to JPY 51, up JPY 3 from the previous forecast, reflecting higher profit expectations.

• PLC announced the acquisition of Portfolio, a U.S.-based asset protection business, expected to contribute $50-100 million to profit annually over the medium to long term.

Financial highlights

• Share payout increased by JPY 3, with total expected payout reaching JPY 280 billion.

• Remittance from subsidiaries projected at JPY 830 billion, up by JPY 600 billion for current and next fiscal years.

• Free cash flow and cash position improved, with Dai-ichi Holdings' cash at JPY 440 billion after raising JPY 210 billion in subordinated loans.

• Group EV increased by approximately 11% to JPY 9.1 trillion, mainly due to higher domestic equity valuations.

• Asset management segment revenue approaching JPY 20 billion, with steady growth in AUM.

Outlook and guidance

• Adjusted profit forecast for FY2025 revised upward from JPY 410 billion to JPY 470 billion.

• Group adjusted ROE expected at 11.8% for FY2025, targeting 12% in the near term and 14% by FY2030.

• Dividend per share forecast for FY2025 is JPY 51, based on a 45% payout ratio.

• Domestic equity sales for FY2025 expected to reach approximately JPY 700 billion, supporting further growth investment and shareholder returns.

• Positive spread is expected to expand steadily, with annual improvement of about JPY 25 billion from bond portfolio rebalancing.