T&D (8795) Q1 2026 earnings summary

Executive summary

• Group adjusted profit for Q1 FY2025 was ¥39.4 billion, achieving 27% of the full-year forecast of ¥146.0 billion, with strong new policy sales and lower surrender/lapse rates across all three life insurance companies.

• Value of new business for the three life insurance companies reached ¥47.2 billion, 28.1% of the full-year forecast.

• Ordinary revenues for the quarter were ¥891.6 billion, down 6.4% year-over-year, while profit attributable to owners of parent rose 9.2% to ¥37.3 billion.

• Comprehensive income declined 13.6% to ¥68.3 billion, reflecting a decrease in other comprehensive income.

• Full-year earnings forecasts remain unchanged, reflecting confidence in ongoing performance.

Financial highlights

• Ordinary profit increased 4.4% year-over-year to ¥58.6 billion, driven by lower ordinary expenses.

• Adjusted EPS increased year-on-year due to share buybacks, reaching ¥77.49, a 1.4% increase.

• Group MCEV increased by ¥175.9 billion from the previous fiscal year-end to ¥4,121.6 billion.

• Combined new business margin was 7.8%.

• Net assets increased 1.4% to ¥1,429.2 billion, with an equity ratio of 8.5%.

Outlook and guidance

• Full-year consolidated forecasts: ordinary revenues ¥3,010.0 billion, ordinary profit ¥223.0 billion, net income ¥118.0 billion, group adjusted profit ¥146.0 billion.

• Value of new business forecasted at ¥168.0 billion for the year.

• Annual dividend forecast raised to ¥124.00 per share for the year ending March 31, 2026.

• Group adjusted profit is expected to decrease by ¥0.67 billion for every ¥1 appreciation in the yen over the next nine months.

• Management notes uncertainty in forecasts due to external factors such as reciprocal tariffs by the United States.