Notice Regarding Unrealized Losses on Securities at the End of the First Quarter of the Fiscal Year Ending March 2027
T&D Holdings, Inc.
Bonds held to maturity and bonds held to match policy reserves
The company explained that a rise in interest rates causes the market value of assets to decline, but did not identify this explicitly as the direct cause of the unrealized losses in this case.
¥1,881,574 million (unrealized losses on securities; no accounting classification such as non-operating expenses or extraordinary losses was specified)
The full-year consolidated earnings forecasts for the fiscal year ending March 2027 remain unchanged from the earnings and dividend forecasts announced on 15 May 2026.
The bonds held to maturity and bonds held to match policy reserves are held as assets corresponding to insurance liabilities. The company stated that the decline in the market value of the assets is offset by the decline in the economic value of the corresponding insurance liabilities, and therefore has no direct impact on financial soundness.
The company will promptly disclose any matters that arise requiring disclosure.
| Item | Details |
|---|---|
| Event name | Notice Regarding Unrealized Losses on Securities at the End of the First Quarter of the Fiscal Year Ending March 2027 |
| Date of occurrence | 30 June 2026 (end of the first quarter) |
| Subject Entity | T&D Holdings, Inc. |
| Target Locations / Products | Bonds held to maturity and bonds held to match policy reserves |
| Cause | The company explained that a rise in interest rates causes the market value of assets to decline, but did not identify this explicitly as the direct cause of the unrealized losses in this case. |
| Amount of Impact on Business Performance | ¥1,881,574 million (unrealized losses on securities; no accounting classification such as non-operating expenses or extraordinary losses was specified) |
| Impact on Earnings Forecast | The full-year consolidated earnings forecasts for the fiscal year ending March 2027 remain unchanged from the earnings and dividend forecasts announced on 15 May 2026. |
| Outlook | The bonds held to maturity and bonds held to match policy reserves are held as assets corresponding to insurance liabilities. The company stated that the decline in the market value of the assets is offset by the decline in the economic value of the corresponding insurance liabilities, and therefore has no direct impact on financial soundness. |
| Planned follow-up disclosure | The company will promptly disclose any matters that arise requiring disclosure. |
Items this document does not state (16)
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 company explained that it holds the relevant bonds as assets corresponding to insurance liabilities. When interest rates rise, the market value of the assets declines, but the economic value of the corresponding insurance liabilities also declines, offsetting the decrease. Accordingly, there is no direct impact on financial soundness.