Q2 FY2025 Consolidated Financial Results announced on November 14, 2025

Net income increased by 49.3% year on year to ¥93.8 billion, as a result of decrease in the increased burden of regular policy reserves in the first year of new policies and an increase in positive spread, etc. caused by an improvement in the market environment, etc.

Adjusted profit amounted to ¥95.0 billion, which increased by 12.8% year on year, as a result of excluding the decrease in the increased burden of regular policy reserves in the first year of new policies, etc., from net income.

The number of new policies for individual insurance decreased by 52.3% year on year to 248 thousand due to the impact of the decrease in sales of lump-sum payment whole life insurance, etc.

The number of policies in force decreased by 3.1% to 18,219 thousand from the end of the previous fiscal year. We continue to aim for a swift turnaround and recovery in the new category*.

• “New category” shows individual insurance policies underwritten by Japan Post Insurance. “Postal Life Insurance category” shows postal life insurance policies reinsured by Japan Post Insurance from Organization for Postal Savings, Postal Life Insurance and Post Office Network.

EV*1 for Q2 FY2025 increased by 8.0% from the end of the previous fiscal year to ¥4,255.1 billion due to an increase in unrealized gains in domestic stocks, etc. caused by an increase in the share prices of domestic stocks.
The value of new business*2 decreased by 3.6% year on year to ¥36.4 billion as a result of the decrease in the number of new policies, although there was an increase due to higher interest rates.

• EV is an abbreviation for Embedded Value, and one of the corporate value indicators for life insurance companies.
  The profit-loss structure in the life insurance business involves a loss at the time of sale and profit over a policy’s duration. A loss occurs temporarily at the time of sale, caused by a considerable amount of expenses generally incurred with the sale of a policy. Future profit is generated as the policy’s long duration serves to provide revenues over a long period of time, covering these initial expenses.
  Under the current statutory accounting practices in Japan, gains and losses are recognized as they occur in each fiscal year. EV, on the other hand, is used to represent the present value of gains and losses that cover the entire duration. EV is the sum of the adjusted net worth, which reflects gains/losses from business activities in the past, and the value of in-force covered business, which is the present value of the expected future profits from the in-force covered business.
• Value of new business is the value as at the time of sale of the new business issued in the relevant year.
• With regard to methodology and assumptions for the calculation of EV (Embedded Value) and value of new business, please refer to disclosure document for EV or Conference Call Material for each period.

For details, please check the latest ‘Conference Call Material’ and ’Performance and Financial Data’

• Conference Call
• Performance and Financial Data

FY2025 Consolidated Financial Results Forecast revised on Nov 14, 2025

The forecasts for net income and adjusted profit for the fiscal year ending March 31, 2026 have been revised upward, mainly due to an increase in investment income caused by an improvement in the market environment, etc. and a decrease in operating expenses. The revised forecast for net income is ¥159.0 billion, up ¥23.0 billion from the initial forecast. Adjusted profit is expected to be around ¥162.0 billion, up ¥20.0 billion from the initial forecast.

(Billions of yen)

[Definition of adjusted profit (to be introduced from FY2024)]

In order to partially adjust for the effect unique to life insurance companies whose net income is reduced in the short term as new policies increase, from FY2024 we introduce “adjusted profit” taking into account the adjustment for the increased burden of regular policy reserves after tax in the first year of new policies.
In addition, We will recognize goodwill from our investment in Daiwa Asset Management Co. Ltd. from Q3 FY2024. The definition of adjusted profit has been revised to add back the amortization of this goodwill.