T&D (8795) Q3 2025 earnings summary

Executive summary

• Group adjusted profit rose 44.9% year-over-year to JPY 102.1 billion for the nine months ended December 31, 2024, driven by higher interest and dividends income in domestic life insurance, with the full-year forecast revised upward to JPY 130 billion.

• Profit attributable to owners of parent increased 83.8% year-over-year to JPY 119.1 billion, aided by temporary valuation gains from Fortitude and robust business performance.

• Ordinary revenues for the nine months rose 7.1% year-over-year to JPY 2,529.8 billion, driven by higher insurance premium income and growth across core subsidiaries.

• Strong sales of new policies across all three life insurance companies, with annualized premiums of new policies up 10.0% year-over-year to JPY 167.3 billion.

• Upward revision of consolidated earnings forecasts for FY2024 announced on February 14, 2025, reflecting robust business performance.

Financial highlights

• Ordinary revenues increased 7.1% year-over-year to JPY 2,529.8 billion; income from insurance premiums rose 9.1% to JPY 2,019.6 billion.

• Group MCEV increased by 5.5% from the previous fiscal year-end to JPY 4,327.6 billion.

• Consolidated solvency margin ratio improved to 1,023.4% from 995.7% at the previous fiscal year-end.

• Adjusted profit for T&D United Capital increased by JPY 5.6 billion year-over-year to JPY 12.3 billion.

• Net income per share for the nine months was JPY 226.88, up from JPY 119.54 a year earlier.

Outlook and guidance

• Full-year group adjusted profit forecast revised upward to JPY 130 billion, achieving the long-term vision target one year ahead of schedule.

• Full-year forecast for the year ending March 31, 2025, projects ordinary revenues of JPY 3,580.0 billion, ordinary profit of JPY 190.0 billion, and profit attributable to owners of parent of JPY 117.0 billion.

• Dividend forecast for the year ending March 31, 2025, is JPY 80.00 per share, marking the 10th consecutive year of dividend increases.

• Expectation of flat insurance income for next fiscal year, with operating expenses rising due to wage increases and inflation.

• Continued reduction of strategic shareholdings, aiming for zero by March 2031 (excluding business partners).