Japan Exchange Group (8697) Q2 2026 earnings summary

Executive summary

• Operating revenue for Q2 FY2025 rose 9.2% year-over-year to JPY 89,322 million, with net income up 6.9% to JPY 34,553 million and operating income up 7.5% to JPY 51,279 million.

• The group implemented a new Medium-Term Management Plan and revised its revenue breakdown to six categories, reflecting strategic business development.

• All revenue categories increased, driven by a vibrant Japanese stock market and significant growth in clearing services revenue from deposited collateral assets related to interest rate swap transactions.

Financial highlights

• Operating expenses increased 11.1% year-over-year to JPY 38,917 million, mainly due to higher returns to clearing participants and a sharp 85.1% rise in other operating expenses after new system launches.

• EBITDA for Q2 FY2025 was JPY 30,808 million, up 6.3% year-over-year.

• Basic earnings per share for the period was JPY 33.46, up from JPY 31.05 year-over-year, adjusted for a 2-for-1 share split effective October 1, 2024.

• Total assets as of September 30, 2025, were JPY 79,154,759 million, down from JPY 85,396,761 million at March 31, 2025, mainly due to a decrease in clearing business financial assets.

• Cash equities trading value increased 9.5% year-over-year, while financial derivatives trading volume declined 18.6%.

Outlook and guidance

• FY2025 operating revenue forecast revised upward to JPY 176,000 million, with net income forecast at JPY 65,000 million and EPS at JPY 63.09.

• Dividend per share forecast maintained at JPY 50.0, with a payout ratio of approximately 80%.

• Average daily trading value for cash equities expected at JPY 6 trillion for FY2025.