Rakuten Bank (5838) Corporate presentation summary

Business performance and financial highlights

• Operating revenue grew from JPY314.4bn in FY12/23 to JPY375.4bn in FY12/25, with operating profit rising to JPY48.3bn and net income to JPY29.8bn.

• Q2/26 saw a 20.1% YoY increase in operating revenue and a 36.9% YoY rise in operating profit.

• Cards issued reached 34.3 million and shopping transaction volume hit JPY7.1tn in Q2/26, both showing strong multi-year growth.

• Shopping revolving payment and cash advance balances increased YoY, supported by effective promotional measures.

• Credit loss-related expense ratio declined steadily, remaining at a low level despite higher outstanding balances.

Market position and growth potential

• Holds the No.1 position in Japan for credit card shopping transaction volume, with JPY27.7tn (+9.1% YoY) as of June 2026.

• Cards issued have nearly tripled and transaction volume increased more than sixfold over the past decade.

• Cashless payment ratio in Japan is rising, with significant market opportunity as government targets 80% penetration.

Revenue structure and fee initiatives

• Revenue streams include merchant fees, revolving and installment payment fees, cash advance interest, and payment processing fees.

• Installment payment fee income grew 12.1% YoY in Q2/26, more than 2.5x over six years due to shifting customer preferences.

• Fee rates for revolving and installment payments were raised in 2025 and 2026 to ensure sustainable service provision.