Fukuoka Financial Group (8354) Q4 2025 earnings summary

Executive summary

• Net income attributable to owners of the parent rose 17.9% year-over-year to ¥72.1 billion for FY2024, driven by higher core business profit and lower credit costs.

• Core business profit increased to ¥119.1 billion, reflecting higher domestic net interest income and robust non-interest income.

• Ordinary income increased 12.6% year-over-year to ¥455.7 billion, with consolidated ordinary profit up 81.9% to ¥103.6 billion.

• Integration of Fukuoka Chuo Bank in October 2023 contributed positively to consolidated results.

Financial highlights

• Net interest income (banks total) increased by ¥22.8 billion year-over-year, mainly from higher domestic rates and Fukuoka Chuo Bank addition.

• Non-interest income (excluding bond gains/losses) grew by ¥4.9 billion year-over-year, with strong investment trust commissions and corporate-related fees.

• Net income per share was ¥381.54, up from ¥324.76 in the previous year.

• Loans balance at period-end was ¥15,956.7 billion, up ¥292.3 billion year-over-year (+1.9%).

• Deposits balance at period-end reached ¥21,876.9 billion, up ¥135.1 billion year-over-year (+0.6%).

Outlook and guidance

• FY2025 consolidated net income projected at ¥80.0 billion, up 10.9% year-over-year, with ordinary profit expected at ¥117.0 billion (+12.9%) and core business profit at ¥124.5 billion.

• Interim FY2025 guidance: net income of ¥40.5 billion, ordinary profit of ¥59.0 billion.

• Credit cost anticipated to increase to ¥11.0 billion, and gains on securities projected to improve to ¥8.0 billion.