Worth reading
72In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Improvement
Direction inferred from the company’s description.Scale
10000
Over ¥1 trillion (net income target for fiscal 2028)Wording
Conditional
How definitive the wording is.Items stated in the management plan
FormulatedNet income for the current fiscal year+0.1%
基準 2,025Target2,028hundred million
ROE+3.0pt
基準 2,025Target2,028％
Each line is the climb from the baseline the document states to the target it sets. The slope is scaled against the largest climb in this document. For metrics expressed as percentages, differences are shown in percentage points (pt).The increase shown by the dotted line is calculated from the two reported figures because the company did not provide the amount of growth.
What happened to the previous planNot disclosed → ¥525.5 billion (fiscal 2025 actual net income)
Total investment planApproximately ¥500 billion (IT investment during the new medium-term management plan period)
Investment amount by sectorField Strategic IT investment, including investment in AI / Amount Approximately ¥125 billion / Period Covered Fiscal years 2026-2028, Field IT investment to ensure stable and sustainable business operations / Amount Approximately ¥375 billion / Period Covered Fiscal years 2026-2028
Statements about the use of capital
Payout ratio / DOE policyThe payout ratio will be approximately 50%, with progressive dividends paid through profit growth. The applicable period is the new medium-term management plan period (fiscal years 2026–2028). At present, the policy is to pay dividends once a year, as a year-end dividend. DOE: Not disclosed.The payout ratio is the proportion of profit paid out as dividends, while DOE is the ratio of dividends to net assets.
Treasury share acquisition policyShare repurchases will be considered as appropriate, taking into account market conditions, growth investment opportunities, and Japan Post Holdings' policy on its holdings of the bank's shares.
Self-assessment of PBR and share priceThe market capitalization temporarily exceeded ¥10 trillion in fiscal 2025. PBR temporarily exceeded 1.0x.PBR is a measure of how many times the share price is the book value per share.
Key initiatives
01Digital Payments Business Strategy
02Consulting Business Strategy
03Market Investment and Asset Management Business Strategy
04Regional and Corporate Solutions Business Strategy
05Collaboration with partner companies
06Promotion of human capital management and corporate culture reform
07Enhancing the management platform
Plan assumptionsBase case: Domestic and overseas interest rates will follow the implied forward rates as of the reference date of the end of March 2026, Base case: Credit spreads and foreign exchange rates will remain at their fiscal 2025 averages, Scenario in which yen interest rates remain at current levels: Yen interest rates will remain flat at their levels as of the end of March 2026, Scenario in which yen interest rates remain at current levels: Assumptions for overseas interest rates, credit spreads and foreign exchange rates are the same as under the base case
Segment targetSegment Digital Payments Business Strategy / Indicator Number of accounts registered on the Yucho Bankbook App / Target 25 million accounts / Timing As of the end of fiscal 2028, Segment Consulting Business Strategy / Indicator Number of users of long-term asset-building programs / Target 1.1 million people / Timing As of the end of fiscal 2028, Segment Market Investment and Asset Management Business Strategy / Indicator Net interest income, etc. / Target Over ¥2.3 trillion (over ¥2.3 trillion) / Timing FY2028, Segment Regional and Corporate Solutions Business Strategy / Indicator Execution of GP investments by subsidiaries / Target 60 investments, totaling approximately ¥60 billion / Timing FY2028
Non-financial targetsIndicator Number of accounts registered on the Yucho Bankbook App / Target 25 million accounts / Timing As of the end of fiscal 2028, Indicator Number of users of long-term asset-building programs / Target 1.1 million people / Timing As of the end of fiscal 2028, Indicator Employee engagement score / Target 52.0 / Timing FY2028
Risks identified by the company
Demographic and social structural changes
Further advances in digital innovation, including generative AI, and the digitalization of finance
Transition to a world with interest rates
Progression of climate change
Widening economic disparities
Further decline in the working-age population
Lifestyle shifts
Increasingly stringent scrutiny from shareholders and the capital markets
Inflation and the ongoing shift from savings to investment
Rising geopolitical risks
Accelerating decline in the birthrate and super-aging of the population
Increasing speed and sophistication of cyberattacks
Growth in accounts used for fraudulent purposes
Interest-rate risk
Reason for revision or withdrawal
Rapid changes continue, including demographic and social structural changes, the advance of social digitalization represented by generative AI and other technologies, and the transition to a world with interest rates, and these changes are expected to accelerate further. The bank also aims to sustainably enhance corporate value.
| Item | Details |
|---|---|
| Plan name | Medium-Term Management Plan (FY2026-FY2028) |
| Plan period | Fiscal years 2026-2028 |
| Progress against the plan | Formulated |
| Net income target | ¥525.5 billion (fiscal 2025 actual) → Over ¥1 trillion (fiscal 2028 plan) |
| ROE target | 5.3% (fiscal 2025 actual) → Approximately 10% (fiscal 2028) |
| Payout ratio / DOE policy | The payout ratio will be approximately 50%, with progressive dividends paid through profit growth. The applicable period is the new medium-term management plan period (fiscal years 2026–2028). At present, the policy is to pay dividends once a year, as a year-end dividend. DOE: Not disclosed. |
| Treasury share acquisition policy | Share repurchases will be considered as appropriate, taking into account market conditions, growth investment opportunities, and Japan Post Holdings' policy on its holdings of the bank's shares. |
| Self-assessment of PBR and share price | The market capitalization temporarily exceeded ¥10 trillion in fiscal 2025. PBR temporarily exceeded 1.0x. |
| Total investment plan | Approximately ¥500 billion (IT investment during the new medium-term management plan period) |
| Investment amount by sector | Field Strategic IT investment, including investment in AI / Amount Approximately ¥125 billion / Period Covered Fiscal years 2026-2028, Field IT investment to ensure stable and sustainable business operations / Amount Approximately ¥375 billion / Period Covered Fiscal years 2026-2028 |
| Segment target | Segment Digital Payments Business Strategy / Indicator Number of accounts registered on the Yucho Bankbook App / Target 25 million accounts / Timing As of the end of fiscal 2028, Segment Consulting Business Strategy / Indicator Number of users of long-term asset-building programs / Target 1.1 million people / Timing As of the end of fiscal 2028, Segment Market Investment and Asset Management Business Strategy / Indicator Net interest income, etc. / Target Over ¥2.3 trillion (over ¥2.3 trillion) / Timing FY2028, Segment Regional and Corporate Solutions Business Strategy / Indicator Execution of GP investments by subsidiaries / Target 60 investments, totaling approximately ¥60 billion / Timing FY2028 |
| Non-financial targets | Indicator Number of accounts registered on the Yucho Bankbook App / Target 25 million accounts / Timing As of the end of fiscal 2028, Indicator Number of users of long-term asset-building programs / Target 1.1 million people / Timing As of the end of fiscal 2028, Indicator Employee engagement score / Target 52.0 / Timing FY2028 |
| Plan assumptions | Base case: Domestic and overseas interest rates will follow the implied forward rates as of the reference date of the end of March 2026, Base case: Credit spreads and foreign exchange rates will remain at their fiscal 2025 averages, Scenario in which yen interest rates remain at current levels: Yen interest rates will remain flat at their levels as of the end of March 2026, Scenario in which yen interest rates remain at current levels: Assumptions for overseas interest rates, credit spreads and foreign exchange rates are the same as under the base case |
| Key initiatives | Digital Payments Business Strategy, Consulting Business Strategy, Market Investment and Asset Management Business Strategy, Regional and Corporate Solutions Business Strategy, Collaboration with partner companies, Promotion of human capital management and corporate culture reform, Enhancing the management platform |
| Results under the previous plan | Not disclosed → ¥525.5 billion (fiscal 2025 actual net income) |
| Reason for revision or withdrawal | Rapid changes continue, including demographic and social structural changes, the advance of social digitalization represented by generative AI and other technologies, and the transition to a world with interest rates, and these changes are expected to accelerate further. The bank also aims to sustainably enhance corporate value. |
| Risks identified | Demographic and social structural changes, Further advances in digital innovation, including generative AI, and the digitalization of finance, Transition to a world with interest rates, Progression of climate change, Widening economic disparities, Further decline in the working-age population, Lifestyle shifts, Increasingly stringent scrutiny from shareholders and the capital markets, Inflation and the ongoing shift from savings to investment, Rising geopolitical risks, Accelerating decline in the birthrate and super-aging of the population, Increasing speed and sophistication of cyberattacks, Growth in accounts used for fraudulent purposes, Interest-rate risk |
| Date of board resolution | 15 May 2026 |
| Publication date | 15 May 2026 |
Items this document does not state (6)
Sales TargetOperating profit targetOperating profit margin targetROIC targetCost of capitalSize of the Target Market
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.The environment surrounding the bank is changing rapidly, including demographic and social structural changes, the digitalization of society driven by generative AI and other technologies, and the transition to a world with interest rates. In addition, the bank aims to sustainably enhance corporate value and realize its medium- to long-term vision of where it wants to be in 15 years.
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