Tokio Marine Holdings (8766) Q3 2025 earnings summary

Executive summary

• 3Q FY2024 adjusted net income (excluding capital gains) reached JPY472.5bn, or 89.5% of the full-year projection; including capital gains, adjusted net income was JPY991.0bn, or 95.3% of the projection.

• Ordinary income for the nine months ended December 31, 2024 rose 10.9% YoY to JPY6,249.7bn, driven by strong underwriting and investment income.

• Net income attributable to owners of the parent increased 73.0% YoY to JPY895.2bn, reflecting higher ordinary profit and investment gains.

• Full-year adjusted net income projection was revised upward by JPY140.0bn to JPY1.18tn, driven by accelerated equity sales and strong international underwriting.

• Comprehensive income fell sharply to JPY251.8bn from JPY1,117.9bn, mainly due to a decline in unrealized gains on available-for-sale securities.

Financial highlights

• Adjusted net income for 3Q increased by JPY470.6bn YoY, mainly from accelerated equity sales and higher international profits.

• Ordinary profit more than doubled YoY to JPY1,219.1bn, up 106.7%.

• Net premiums written for 3Q rose 3.0% YoY (5.1% excluding FX); full-year projection revised to +5.7% YoY.

• Life insurance premiums fell 25.1% YoY in 3Q; full-year projection revised to -14.1% YoY.

• Investment income surged 78.6% YoY to JPY1,580.9bn, with gains on sales of securities up 385.1%.

Outlook and guidance

• Full-year adjusted net income (actual basis) revised up to JPY1.18tn (+JPY140.0bn from November), with normalized basis at JPY1.071tn (+JPY47.0bn).

• Revised full-year forecast: ordinary profit of JPY1,380.0bn (+11.3% vs. previous forecast), net income attributable to owners of the parent of JPY1.0tn (+13.6%).

• International business expected to exceed projections by JPY98.0bn, supported by FX effects, one-off gains, and strong performance.

• Net premiums written projected at JPY5,300.0bn and life insurance premiums at JPY960.0bn for FY2024.

• Assumptions include stable interest rates, stock market, and currency exchange rates; natural catastrophe losses projected at JPY116.0bn (Japan) and JPY78.0bn (overseas).