FY2025 Results Briefing Materials | Sony Financial Group Inc. (8729) timely disclosure

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Direction

Mixed performance

Direction inferred from the company’s description.

Scale

% (year-on-year increase in consolidated adjusted net income)

Wording

Conditional

How definitive the wording is.

Contents of this document

Presentation materials for financial resultsFY202511 items taken from the company’s own explanation

Financial Results Figures (The key points of this material are explained below)

Net Sales¥28,710 100 million +9.6%ordinary revenues, J-GAAP

Ordinary income¥845 100 million +88.4%J-GAAP

Net income¥554 100 million -29.6%net income attributable to owners of the parent, J-GAAP

Full-year earnings forecast

Consolidated adjusted net income

1,100 Hundreds of millions of yen

Life insurance business

850 Hundreds of millions of yen

Non-life insurance business

120 Hundreds of millions of yen

Banking Business

150 Hundreds of millions of yen

Dividend per share

¥8

What the company explained in this material

Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.

Life insurance business: impact of the tax rate change210 Hundreds of millions of yen
Life insurance business: lower repo costs and other factors120 Hundreds of millions of yen
Life insurance business: increase in loss components-90 Hundreds of millions of yen
Life insurance business: increase in CSM amortization and other factors60 Hundreds of millions of yen
Non-life insurance business: decrease in loss components in fire insurance and other factors40 Hundreds of millions of yen
Non-life insurance business: effect of increased revenue from automobile insurance10 Hundreds of millions of yen
Banking business: improvement in net interest income37 Hundreds of millions of yen
Banking business: increase in operating expenses, including system costs-29 Hundreds of millions of yen

Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.

40-year JGB compound yield

3.7 %

Market conditions impactAssumes no significant changes from the levels as of the end of March 2026

New initiatives

Sony Life is conducting customer verification to prevent and detect misconduct at an early stage
The progress of customer verification and the schedule going forward are scheduled to be announced at the end of May
Financial improvement measures involving the use of derivatives, bond sales, subordinated financing, and changes to foreign exchange hedging

Key KPIsA metric the company considers important as a management benchmark.

Consolidated adjusted net income1,051 Hundreds of millions of yen
Year on year against the same period last year+71.0%
Consolidated ESR177 %
Year on year against the same period last yearDown 12 pt from the previous fiscal year-end
Combined ratio92.8 %
Year on year against the same period last yearImproved year on year
Lapse and surrender rate (Sony Life overall)5.7 %
Year on year against the same period last yearImproved from the previous fiscal year
Foreign-currency deposit balance7,705 Hundreds of millions of yen
Year on year against the same period last yearSlightly down from the end of FY24
Number of customer accounts2,146 Thousand accounts

Segment results

Life insurance business

Ordinary revenue

25,350 Hundreds of millions of yen+9.4%

Ordinary income

594 Hundreds of millions of yen+188.2%

Non-life insurance business

Ordinary revenue

1,913 Hundreds of millions of yen+13.3%

Ordinary income

125 Hundreds of millions of yen+73.9%

Banking Business

Ordinary revenue

1,298 Hundreds of millions of yen+11.0%

Ordinary income

167 Hundreds of millions of yen-11.5%

Medium-term management plan targets

Number of life planners

7,000 People

Target fiscal yearFY30

Number of agency supporters

400 People

Target fiscal yearFY30

Financial targets

Adjusted ROE

10.6 %

Target level for consolidated ESR

Downside floor165 %

Limit215 %

Number of employees

Number of life planners

6,034 people

Number of agency supporters

318 people

Annual Dividend

FY25

¥3.8 per share

BreakdownYear-End

FY26 forecast

¥8 per share

BreakdownInterim ¥4.0, year-end ¥4.0

Payout ratio

49 %

PolicyTargeting a payout ratio of 40–50% of IFRS adjusted net income

Acquisition of treasury shares

Buyback limit

1,000 Hundreds of millions of yen

Amount executed

698 Hundreds of millions of yen

Period29 September 2025–8 August 2026

Contents of this document
Item	Details
Document type	Presentation materials for financial results
Fiscal Period Covered	FY2025
Net Sales	¥28,710 100 million (ordinary revenues, J-GAAP) (YoY +9.6%)
Ordinary income	¥845 100 million (J-GAAP) (YoY +88.4%)
Net income	¥554 100 million (net income attributable to owners of the parent, J-GAAP) (YoY -29.6%)
Full-year earnings forecast	Consolidated adjusted net income 1,100 Hundreds of millions of yen / Life insurance business 850 Hundreds of millions of yen / Non-life insurance business 120 Hundreds of millions of yen / Banking Business 150 Hundreds of millions of yen / Dividend per share ¥8
Segment results	Life insurance business Ordinary revenue 25,350 Hundreds of millions of yen (YoY +9.4%) / Ordinary income 594 Hundreds of millions of yen (YoY +188.2%) / Non-life insurance business Ordinary revenue 1,913 Hundreds of millions of yen (YoY +13.3%) / Ordinary income 125 Hundreds of millions of yen (YoY +73.9%) / Banking Business Ordinary revenue 1,298 Hundreds of millions of yen (YoY +11.0%) / Ordinary income 167 Hundreds of millions of yen (YoY -11.5%)
Breakdown of Factors Affecting the Change	Factors Life insurance business: impact of the tax rate change / Amount 210 Hundreds of millions of yen, Factors Life insurance business: lower repo costs and other factors / Amount 120 Hundreds of millions of yen, Factors Life insurance business: increase in loss components / Amount -90 Hundreds of millions of yen, Factors Life insurance business: increase in CSM amortization and other factors / Amount 60 Hundreds of millions of yen, Factors Non-life insurance business: decrease in loss components in fire insurance and other factors / Amount 40 Hundreds of millions of yen, Factors Non-life insurance business: effect of increased revenue from automobile insurance / Amount 10 Hundreds of millions of yen, Factors Banking business: improvement in net interest income / Amount 37 Hundreds of millions of yen, Factors Banking business: increase in operating expenses, including system costs / Amount -29 Hundreds of millions of yen
Key KPIs	Indicator name Consolidated adjusted net income / Value 1,051 Hundreds of millions of yen / Year on year against the same period last year 71 Hundreds of millions of yen, Indicator name Consolidated ESR / Value 177 % / Year on year against the same period last year Down 12 pt from the previous fiscal year-end, Indicator name Combined ratio / Value 92.8 % / Year on year against the same period last year Improved year on year, Indicator name Lapse and surrender rate (Sony Life overall) / Value 5.7 % / Year on year against the same period last year Improved from the previous fiscal year, Indicator name Foreign-currency deposit balance / Value 7,705 Hundreds of millions of yen / Year on year against the same period last year Slightly down from the end of FY24, Indicator name Number of customer accounts / Value 2,146 Thousand accounts / Year on year against the same period last year Not disclosed
Number of employees	Number of life planners 6,034 people / Number of agency supporters 318 people
Assumptions Underlying the Business Outlook	40-year JGB compound yield 3.7 % / Market conditions impact Assumes no significant changes from the levels as of the end of March 2026
Medium-term management plan targets	Number of life planners 7,000 People / Number of agency supporters 400 People
Financial targets	Adjusted ROE 10.6 % / Target level for consolidated ESR Downside floor 165 % / Limit 215 %
Annual Dividend	FY25 ¥3.8 per share / FY26 forecast ¥8 per share
Payout ratio	49 %
Acquisition of treasury shares	Buyback limit 1,000 Hundreds of millions of yen / Amount executed 698 Hundreds of millions of yen / Period 29 September 2025–8 August 2026
New initiatives	Sony Life is conducting customer verification to prevent and detect misconduct at an early stage, The progress of customer verification and the schedule going forward are scheduled to be announced at the end of May, Financial improvement measures involving the use of derivatives, bond sales, subordinated financing, and changes to foreign exchange hedging

Items this document does not state (14)

Operating profitGross Profit MarginOperating profit marginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planUnit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookCapital expendituresOrders received and order backlogMarket Size / ShareKey points of the Q&A

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 increase in adjusted net income was mainly attributable to higher earnings in the life insurance and non-life insurance businesses. In the life insurance business, factors included the reversal of the impact of the tax rate change and lower repo costs. In the non-life insurance business, factors included a decrease in loss components in fire insurance, lower incurred claims, and the effect of increased revenue from automobile insurance. Regarding ESR, the company explained that although rising interest rates had an impact, financial improvement measures and the accumulation of new contracts limited the decline.

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