MS&AD Insurance Group (8725) Q4 2026 earnings summary

Executive summary

• Group adjusted profit (excluding gains from sales of strategic equity holdings) rose by ¥288.2bn year-over-year to ¥607.6bn for FY2025, with net income up ¥95.6bn to ¥787.3bn.

• Consolidated net income attributable to owners rose 13.8% year-over-year to ¥78.7 billion for the year ended March 31, 2026.

• Ordinary profit increased 20.6% year-over-year to ¥112.0 billion, driven by higher underwriting and investment profits.

• Domestic non-life insurance profit increased by ¥119.7bn, driven by higher premiums and lower catastrophe losses, while international business profit rose by ¥162.1bn.

• Domestic life insurance profit fell by ¥10.0bn due to lower investment income and higher expenses.

Financial highlights

• Net premiums written in non-life insurance grew by ¥330.4bn, led by overseas subsidiaries; domestic non-life premiums rose by ¥122.6bn to ¥3,269.6bn.

• Net premiums written: ¥500.5 billion, up 7.1% year-over-year.

• Group adjusted profit for FY2025 was ¥1,000.9bn, up ¥269.1bn year-over-year.

• Adjusted profit under IFRS for FY2025 was ¥918.7bn.

• Investment profit for domestic non-life insurance subsidiaries increased 14.1% year-over-year.

Outlook and guidance

• FY2026 adjusted profit forecast is ¥800.0bn, down ¥118.7bn year-over-year, mainly due to lower gains from sales of strategic equity holdings.

• Forecasted consolidated insurance revenue for the year ending March 31, 2027 is ¥700.0 billion, an 8.8% increase.

• Net income attributable to owners is forecasted to decrease to ¥42.5 billion due to IFRS adoption and lower expected profits in domestic life insurance.

• Annual dividend for FY2026 is projected at ¥170 per share, with a planned share buyback of ¥80bn during the interim period.

• Assumptions include stable market rates and natural disaster losses of ¥83.0 billion (Mitsui Sumitomo) and ¥67.0 billion (Aioi Nissay Dowa).