Lifenet Insurance Company (7157) Q1 2027 earnings summary

Executive summary

• Achieved comprehensive equity of ¥174,854mn, up 2.6% year-over-year, and annualized premium of policies-in-force at ¥37,810mn, up 7.4% year-over-year as of June 30, 2026.

• Net income attributable to owners for 1Q FY2026 was ¥1,637mn, a 24.8% decrease year-over-year.

• Insurance revenue increased to ¥9,030mn, up 9.8% year-over-year.

• Surrender and lapse ratio for individual life improved to 5.2% in 1Q FY2026.

• Advanced strategic alliances, including a capital transaction with JAL and launching new GCL business with The Kyoto Shinkin Bank.

Financial highlights

• Insurance service results declined to ¥2,104mn, down 28.5% year-over-year, mainly due to higher claim payments in group credit life insurance.

• Financial results rose to ¥323mn, up 76.7% year-over-year, driven by increased interest income from higher corporate bond holdings.

• Total assets as of June 30, 2026 were ¥120,166mn, with investment securities at ¥72,821mn.

• Operating expenses ratio improved to 14.4% in 1Q FY2026.

• Equity stood at ¥94,683mn, slightly down from March 31, 2026.

Outlook and guidance

• Maintained FY2026 business forecasts: annualized premium of policies-in-force expected to reach ¥41,300mn, insurance service results forecasted at ¥11,200mn, insurance revenue at ¥37,500mn, and net income at ¥8,200mn.

• Aims for comprehensive equity of ¥200-240bn and stock price above ¥3,000 by FY2028, targeting approx. 10% annual CE per share growth.