Sony Financial Group (8729) Investor update summary

Group strategy and structural updates

• Completed spin-off and listing on TSE Prime Market in October 2025, following regulatory approvals and restructuring steps since May 2023.

• Group strategy centers on integrating life insurance, non-life insurance, and banking, leveraging brand strength and technology.

• Focus on unified management, cross-company marketing, and expansion into non-financial services, especially for seniors and families.

• New financial infrastructure integrates insurance and banking, with enhanced employee benefits and consulting services.

• Expansion of online channels and collaboration with the broader Sony Group to offer new services, including in nursing care and rehabilitation.

Life insurance business: performance and initiatives

• New policy acquisition remained strong in FY25.1H, with annualized premiums from policies in force growing steadily.

• IFRS adjusted net income declined due to higher interest rates, but financial soundness (ESR) remains appropriate.

• Lapse and surrender rates for both yen and foreign currency policies have turned downward after previous increases.

• Strategic focus on accelerating growth in the corporate market, enhancing sales productivity, and leveraging digital tools.

• Product mix shifting toward capital-light products, with SOVANI variable annuity as a new earnings pillar.

Non-life insurance business: performance and outlook

• Direct premiums written grew 14.1% YoY in FY25.1H, driven by auto and fire insurance.

• IFRS adjusted net income increased due to lower loss ratios and effective cost control.

• Maintaining growth and profitability through premium rate revisions, reinsurance, and marketing investments.

• Aiming to expand auto insurance market share and develop new products and channels.