Investor Presentaiton
1. Summary
2. How to Increase
Corporate Value
3. Appendix
4. Financial Data
How to Increase the Corporate Value: Analysis & Assessment (1)
The Bank's PBR is higher than the banking sector simple average, but lower than 1x.
To achieve a PBR of 1x or higher, ROE must exceed the "cost of shareholders' equity minus expected earnings growth rate" by
means of (1) increasing ROE, (2) controlling the cost of shareholders' equity, and (3) increasing the expected earnings growth rate.
PBR Trends*1
1.0 x
(Ref.) PBR as of Sep. 30, 2023*²
0.9 x
- Simple average of the banking sector :0.43x
0.8 x
0.7 x
0.6 x
0.5 x
0.42
0.41
0.40
0.36
0.4 x
0.35
0.3 x
0.2 x
0.1 x
0.52
PBR Analysis
PBR
=
ROE
☑
PER
II
=
ROE
(Cost of Shareholders' Equity - Expected Earnings Growth Rate)
Theoretically, ROE ≥ (cost of shareholders' equity - expected
earnings growth rate) is required for PBR to be 1x or higher.
(Ref.) PBR and ROE Regression Analysis for the Banking Sector (TOPIX)*3
PBR (as of Sep. 30, 2023)
1.0 x
0.9 x
0.8 x
0.7 x
JPB
0.6 x
0.5 x
0.4 x
0.3 x
0.2 x
0.0 x
End
End
End
End
End
End
0.1 x
Mar.
Mar.
Mar.
Mar.
Mar.
Sep.
19
20
21
22
23
23
0.0 x
0%
*1 Excluding treasury stock.
*2 Source: Compiled by Japan Post bank based on financial data from each company
(simple average of the banking sector shares included in the TOPIX)
JP JAPAN POST BANK
BANK
Who ch.080.com
Simple average
-PBR: 0.43x
-ROE: 4.29%
(Ref.) Weighted average
-PBR: 0.65x
-ROE: 6.48%
R² = 0.81
*3 Source: Compiled by Japan
Post bank based on
financial data from each.
4%
8%
10%
company (The graph shows
companies with PBRs of 1x
or less).
2%
6%
Expected ROE
(Based on shareholders' equity and FY23 forecasts)
Copyright© JAPAN POST BANK All Rights Reserved.
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