T&D (8795) Q4 2026 earnings summary

Executive summary

• Group adjusted profit for FY2026 reached a record ¥158.5 billion, up 13.1% year-over-year and surpassing forecasts, driven by strong domestic life insurance performance.

• Profit attributable to owners of parent rose 10.0% to ¥138.9 billion, supported by higher interest and dividend income.

• Dividend per share for FY2026 is forecast at ¥164, up from ¥130, marking the 12th consecutive annual increase.

• Value of new business for the three life insurers totaled ¥169 billion; Group EV rose by ¥292.9 billion to ¥4,238.6 billion, with ROEV at 12.1%.

• Comprehensive income surged to ¥373.9 billion from a loss of ¥1.5 billion in the prior year.

Financial highlights

• Adjusted EPS increased 19.1% year-on-year, aided by share buybacks.

• Core profit in the domestic life insurance business surged 48.0% to ¥239.8 billion.

• Investment income jumped 53.2% to ¥747.9 billion; insurance premium income rose 2.2% to ¥2,635.7 billion.

• Dividend per share for FY2027 is forecast at ¥164, up ¥34, marking the 12th consecutive year of increases.

• Domestic and foreign equities worth ¥296 billion were sold; interest income from yen bond replacement rose by ¥6.5 billion.

Outlook and guidance

• FY2027 group adjusted profit is forecast at ¥172 billion, up ¥13.4 billion year-on-year, with adjusted ROE expected at 11%.

• Ordinary revenues for FY2027 are forecast at ¥3,000.0 billion, down 13.8%; ordinary profit expected at ¥235.0 billion, down 8.6%.

• Dividend per share is projected to rise to ¥164.

• Strategic shareholdings to be reduced to 0% by March 2031, with a 40% reduction target by March 2028.

• Profit attributable to owners of parent projected at ¥135.0 billion, down 2.9%.