The Shiga Bank (8366) Q2 2027 earnings summary

Executive summary

• H1 FY27 ordinary profit rose 42.3% YoY to ¥22,249m and profit attributable to owners of parent rose 33.4% to ¥15,198m; interim profit reached a record high.

• Earnings growth was driven by higher net interest income, which offset higher expenses, weaker net fees and commissions, and increased credit costs.

Financial highlights

• Consolidated net interest income was ¥47,321m, up ¥10,737m YoY; net fees and commissions were ¥6,388m, down ¥381m, and net other ordinary income was negative ¥7,935m.

• Non-consolidated gross business profit was ¥44.4bn, up ¥8.2bn YoY; net business profit before general loan-loss allowance rose ¥6,346m to ¥17,967m.

• Consolidated profit attributable to owners of parent was ¥15,198m, up 33.4% YoY; basic EPS was ¥66.12 versus ¥49.40 in H1 FY26.

• Non-consolidated expenses rose ¥1.9bn YoY to ¥26.4bn, reflecting human capital and systems investments.

• Comprehensive income more than doubled YoY to ¥83,657m, including ¥64,255m of gains on available-for-sale securities.

Outlook and guidance

• Revised FY27 consolidated forecasts: ordinary profit ¥45,800m and profit attributable to owners of parent ¥31,500m; forecast EPS is ¥137.03.

• Revised non-consolidated forecasts: ordinary profit ¥45.0bn and profit ¥31.5bn; gross business profit is forecast at ¥69.7bn and net interest income at ¥95.8bn.

• FY27 average-balance forecasts are deposits and negotiable certificates of deposit ¥6,000.0bn and loans ¥4,657.9bn; forecast yields are 0.43% on deposits, 1.63% on loans and 2.73% on securities.