MS&AD Insurance Group (8725) Q4 2025 earnings summary

Executive summary

• Net premiums written for FY2024 rose 9.7% year-over-year to ¥4,674.3 billion, with consolidated net income up ¥322.3 billion to ¥691.6 billion and group adjusted profit up ¥351.8 billion to ¥731.7 billion, all record highs.

• Achieved record ordinary income of ¥6,660.8 billion, up 1.3% year-over-year, and ordinary profit of ¥928.9 billion, up 123.1%. Net income attributable to owners rose 87.3% to ¥691.7 billion.

• Strong performance driven by improved profitability in domestic and international insurance segments, business reforms, and digital transformation initiatives.

• Addressed compliance issues, including information leakage and price fixing, with strengthened governance and business reforms.

• Domestic non-life insurance achieved record profits, driven by higher earned premiums, improved fire insurance profitability, and gains on strategic equity holdings.

Financial highlights

• Net premiums written increased by ¥412.5 billion, mainly from overseas subsidiaries (+¥293.5 billion) and domestic non-life (+¥118.9 billion).

• Consolidated net income for FY2024 was ¥691.6 billion, up ¥322.3 billion year-over-year.

• Ordinary income reached ¥6,660.8 billion (+1.3%); ordinary profit was ¥928.9 billion (+123.1%).

• Group adjusted profit reached ¥731.7 billion, up ¥351.8 billion year-over-year.

• ROE (financial accounting basis) improved to 16.3%, up 6.5pp year-over-year.

Outlook and guidance

• FY2025 net premiums written expected to rise 5.2% to ¥4,916.0 billion.

• Consolidated net income forecast to decrease by ¥112.6 billion to ¥579.0 billion, with group adjusted profit expected to fall by ¥60.7 billion to ¥671.0 billion.

• FY2026 forecast: ordinary profit ¥806.0 billion (-13.2%), net income ¥579.0 billion (-16.3%), EPS ¥383.12.

• Annual dividend for FY2025 forecast at ¥155 per share, with a planned share buyback totaling ¥200.0 billion.

• Preparing for voluntary IFRS adoption from FY2025 year-end.