Economic Indicators and Efforts for Sustainability slide image

Economic Indicators and Efforts for Sustainability

Profit and Loss Overview for the First Half of Fiscal 2022 (Bank Consolidated) Profit attributable to owners of parent increased significantly year-on-year due to a decrease in credit costs and an increase in gain (loss) related to securities, in addition to securing a high level of core business gross profit Bank Consolidated (Units: Millions of yen) Core business gross profit First half of First half of fiscal 2022 YOY Increase/ Decrease fiscal 2021 44,969 +26 +0.05% Interest and dividend income 37,727 +692 44,943 37,035 Fees and commissions 4,625 (146) 4,771 Other operating income (Excluding profit/loss related to bonds 2,616 (520) 3,136 including JGBs, etc.) Expenses (-) (Excluding extraordinary retirement benefits, etc.) Personnel expenses Nonpersonnel expenses 26,157 +622 +2.43% 25,535 14,627 (111) 14,738 9,990 +400 9,590 Taxes 1,540 +334 1,206 Core business net income 18,811 (597) (3.07%) 19,408 Credit costs (-) 1+2-3-4 (761) (4,682) 3,921 Provision of reserve for general loan losses 1 - (364) 364 Amortization of non-performing loans ② 312 (3,502) 3,814 Reversal of allowance for loan losses ③ Recoveries of written off claims ④ 923 +923 150 (107) Gain (loss) related to securities 7,520 +3,564 257 3,956 Gain (loss) related to bonds including 5,846 +5,675 171 JGBs, etc. Gain (loss) related to stock, etc. 1,673 (2,112) 3,785 Other temporary gain (loss) 1,822 +94 1,728 Ordinary income 28,915 +7,743 +36.57% 21,172 Extraordinary income (loss) (122) (56) (66) Income before income taxes 28,793 +7,688 21,105 Net income 20,312 +5,379 +36.02% 14,933 Profit attributable to owners of parent 19,877 +5,010 +33.69% 14,867 Ordinary revenue 86,212 +15,587 +22.07% 70,625 Business net income 24,658 +5,443 +28.32% 19,215 Copyright 2022 lyogin Holdings, Inc. All Rights Reserved. Core business gross profit Up ¥26 million YoY Interest and dividend income increased, mainly in foreign-denominated loans and securities. ✓ Other operating income decreased due to decreases in gain (loss) on derivatives and revenue on bond trading. ■Expenses (-) Up ¥622 million YoY ✓ Nonpersonnel expenses such as depreciation increased due to an increase in strategic investments. Also, taxes increased due to an increase in the consumption tax. Credit costs (-) Down ¥4,682 million YoY ✓ Credit costs decreased due to reversal of provision for COVID-19 measures and a decrease in bankruptcies, etc. (Since the amount of reversal exceeded the total amount of provision of reserve for general loan losses and provision of reserve for specific loan losses, reversal of allowance for loan losses was recorded.) Gain (loss) related to securities Up ¥3,564 million YoY ✓ Gain (loss) related to bonds including JGBS, etc. increased due to the recording of a gain on sales of foreign bonds without hedges. Gain (loss) related to stock, etc. decreased due to decreased gain on sales of strategic equity holdings. Profit attributable to owners of parent Up ¥5,010 million YoY -2-
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