AEON Financial Service (8570) Q4 2025 earnings summary

Executive summary

• Consolidated operating revenue rose 9.8% year-over-year to ¥533,262 million, with operating profit up 22.8% to ¥61,485 million and ordinary profit up 22.2% to ¥62,554 million.

• Profit attributable to owners of parent declined 6.6% to ¥19,527 million, mainly due to ¥9,945 million in extraordinary losses from bad debt related to fraudulent credit card use.

• Major strategic moves included the acquisition of Post and Telecommunication Finance Company Limited in Vietnam and the transfer of 85.1% of AEON Allianz Life Insurance shares to Meiji Yasuda Life Insurance.

Financial highlights

• Total assets increased to ¥7,760,375 million, up ¥814,803 million from the previous year, driven by higher loans and securities.

• Net assets rose to ¥589,649 million, with retained earnings up by ¥19,527 million, offset by dividend payments and valuation losses on securities.

• Cash and cash equivalents at year-end were ¥795,068 million, up ¥169,586 million year-over-year.

• Net cash provided by operating activities was ¥347,337 million; investing activities used ¥158,479 million; financing activities used ¥19,919 million.

• Annual dividend maintained at ¥53 per share, with a payout ratio of 58.6%.

Outlook and guidance

• For FY ending February 2026, operating revenue is forecast to rise 6.9% to ¥570,000 million, while operating profit is expected to decrease 7.3% to ¥57,000 million.

• Net profit attributable to owners of parent is projected to increase 7.5% to ¥21,000 million.

• Annual dividend forecast remains at ¥53 per share.