Yamaguchi Financial Group (8418) Q2 2027 earnings summary

Executive summary

• H1 FY2027 ordinary income was ¥146,224 million, up 28.7% YoY; ordinary profit reached ¥35,283 million and profit attributable to owners of parent was ¥24,837 million.

• Core net business profit rose to ¥52,465 million from ¥28,108 million; excluding investment trust and interest-rate-swap cancellation gains, it was ¥36,719 million.

• Full-year guidance remains ¥67,500 million ordinary profit and ¥45,000 million profit attributable to owners of parent; the forecast was unchanged.

Financial highlights

• Net interest income increased to ¥76,845 million from ¥53,317 million; interest on loans and discounts rose to ¥71,524 million from ¥59,617 million.

• Net fees and commissions declined to ¥7,780 million from ¥8,403 million, while net other business profit widened to a loss of ¥29,671 million from a loss of ¥8,395 million.

• Operating expenses excluding non-recurring losses increased to ¥34,901 million from ¥33,322 million; ordinary profit rose to ¥35,283 million from ¥26,732 million.

• Profit attributable to owners of parent was ¥24,837 million, up 15.4% YoY; basic EPS was ¥122.60 versus ¥102.01.

• Comprehensive income fell to ¥29,016 million from ¥50,560 million, alongside a smaller securities valuation gain in other comprehensive income.

Outlook and guidance

• FY ending March 2027 guidance: ordinary profit ¥67,500 million, up 49.9% YoY; profit attributable to owners of parent ¥45,000 million, up 36.3%; basic EPS ¥222.70.

• The full-year financial results forecast was unchanged; the dividend forecast was revised to ¥100 per share, comprising ¥48 interim and ¥52 year-end.

• Forecasts rely on currently available information and assumptions; actual results may differ due to future factors.