Aozora Bank (8304) Q2 2026 earnings summary

Executive summary

• Interim net revenue reached 52.1 billion yen, up 10.6 billion yen year-over-year, with profit attributable to owners of parent at 13.6 billion yen, a 14% increase year-over-year, driven by domestic net interest and non-interest income growth.

• Ordinary profit increased 53.9% year-over-year to 15,380 million yen, with net income per share (basic) at 98.20 yen.

• Strategic Investments Business and the alliance with Daiwa Securities Group were key growth drivers, with the latter contributing 1.2 billion yen in business profit and rapid AUM growth in retail fund wraps.

• GMO Aozora Net Bank achieved positive interim net income for the first time, with corporate accounts exceeding 200,000 and deposits surpassing 1 trillion yen.

Financial highlights

• Net revenue: 52.1 billion yen (+10.6 billion yen YoY); business-related profit: 21.3 billion yen (+7.2 billion yen YoY, 61% of full-year plan).

• Profit attributable to owners of parent: 13.6 billion yen (+1.6 billion yen YoY, 62% of full-year plan).

• Total assets increased to 8,165,591 million yen from 7,762,434 million yen as of March 31, 2025.

• Dividend per share for 2Q: 22 yen (+3 yen YoY); full-year forecast: 88 yen.

• Net interest income and net fees and commissions both improved year-over-year.

Outlook and guidance

• FY2025 profit attributable to owners of parent forecast at 22.0 billion yen; ROE target for FY2027 is approximately 7%, aiming for 8% or higher by FY2029.

• CET1 ratio target is 8% or higher, with a long-term goal of 9%+.

• Full-year FY2025 ordinary profit forecast is 30,000 million yen, up 70.8% year-over-year.

• Strategic Investments and GMO Aozora Net Bank expected to remain primary growth drivers.