Aeon Financial Service Co., Ltd. · TSE:8570
Aeon Financial Service — FY2025 Earnings Presentation
60 slides from Aeon Financial Service's earnings presentation, Apr 8, 2026
Slide 1: FY2025 IR Presentation Material
This is an abridged translation of the original Japanese document and is provided for informational purposes only. If there are any discrepancies between this document and the original, the original Japanese document prevails. FY2025 IR Presentation Material April 8, 2026 Stock Listing: Tokyo Stock
Slide 2: Contents
目次 １ Outline of Financial Reports for FY2025 ２ Medium-term Management Plan FY２０２６－２０３０ Appendix AEON Financial Service Co., Ltd. 2
Slide 3: The Highlights of the Consolidated Results
The Highlights of the Consolidated Results FY2025 Rate of Consolidated YoY Forecast achievement Domestic YoY Overseas YoY Operating ¥569.3 bn 107% ¥331.6 bn 106% ¥240.4 bn 108% ¥570.0 bn 100% revenue Operating ¥60.6 bn 99% ¥18.5 bn 83% ¥41.8 bn 108% ¥57.0 bn 106% profit Ordinary ¥60.6 bn 97% － － － －
Slide 4: Highlights of Consolidated Results 4Q Accounting Period (3 months)
The Highlights of Consolidated Results 4Q Accounting Period(3 months) Consolidated YoY Domestic YoY Overseas YoY Operating ¥147.8 bn 102% ¥83.2 bn 96% ¥65.2 bn 112% revenue Operating ¥18.9 bn 80% ¥4.9 bn 50% ¥13.9 bn 104% profit Ordinary ¥18.4 bn 78% － － － － profit Profit attributable to owners of ¥
Slide 5: Summary of FY2025 Consolidated Financial Results
Summary of FY2025 Consolidated Financial Results Number of valid IDs reached 59.51 million (an increase of 3.79 million from the beginning of the term), contributing to the expansion of transaction volume and securitized receivables. Operating profit remained at the same level as the previous year d
Slide 6: [ROE Improvement] Progress of Initiatives for FY2025
[ROE Improvement] Progress of Initiatives for FY2025 • Building a growth foundation, starting with acquiring AEON Pay members domestically, is progressing steadily. • ROE is 4.5％（YoY＋1.1ｐｔ）. While this represents a recovery from the previous period, it is still significantly behind the target level,
Slide 7: Domestic Business
Domestic Business AEON Financial Service Co., Ltd. 7
Slide 8: [Domestic] Breakdown of operating profit for FY2025 and differences from last year
[Domestic] Breakdown of operating profit for FY2025 and differences from last year • While credit card revenue and financial revenue increased, profits decreased due to the absence of gains from the securitization of revolving credit receivables implemented last year (-9.9 bn). Other Unit ： bn JPY r
Slide 9: [Domestic] Valid ID Status
Productivity ［Domestic］ Valid ID Status （Increasing revenue） • Increase in number of valid IDs, mainly among members who use the "AEON Pay" code payment service. （million） 39.25million （YoY10９% / ＋３.０９million from 40 beginning of term） 30 0 20 202１ 2022 2023 2024 2025 *Valid ID: Number of customers
Slide 10: [Domestic] Customer Base <AEON Card, AEON Pay>
Productivity [Domestic] Customer Base <AEON Card, AEON Pay> （Increasing revenue） • Number of active card members increased by 0.37 million from the beginning of the term. • AEON Pay has expanded both its membership and the number of locations where it can be used, and the number of locations where i
Slide 11: [Domestic] In-House Payment Transaction Volume
Productivity [Domestic] In-House Payment Transaction Volume （Increasing revenue） • Amidst a continued focus on saving money, the company fell just short of its own payment transaction volume KPI (10 trillion JPY). • AEON Pay is steadily expanding as it promotes usage both within and outside the AEON
Slide 12: [Domestic] Status of high-yield receivables balance
Improvement of ［Domestic］ Status of high-yield receivables balance asset profitability • While cumulative growth fell short of the KPI, the expansion of revolving credit and installment loans led to a record-high balance of high-yield receivables. • The proportion of high-yield receivables in total
Slide 13: [Domestic] Bank Deposits
[Domestic] Bank Deposits • Although the pace of deposit acquisition has slowed, the account maintains stable growth, with a difference of +262.5 billion yen from the beginning of the period and a YoY increase of 105%. • The account is being promoted as a lifestyle account by consolidating daily tran
Slide 14: [Domestic] Housing-related Loans
[Domestic] Housing-related Loans • Housing loan volume gradually recovering with each quarter. （Compared to previous year １Q：５3%、2Q：83%、 3Q：１００%、4Q：106%) • Expansion of long-term loans over 35 years which started in April, as well as a rise in the proportion of borrowers 39 years old and younger. Ho
Slide 15: [Domestic] Funding through deposits and investment returns
Productivity [Domestic] Funding through deposits and investment returns • Leveraging AEON Bank's low-cost funding capabilities to expand high-yield assets and strengthen profitability Investment yields Trends in Policy Interest Rates and Deposit Funding Costs Average yield*1 Housing-related Policy i
Slide 16: [Domestic] Trends in bad debt-related expense ratios and personnel expense ratios
［Domestic］ Trends in bad debt-related expense ratios and Productivity personnel expense ratios （Cost control） • The ratio of bad debt expenses to securitized receivables remains low and stable. • The personnel expense ratio improved by 1.3 percentage points compared to the previous fiscal year. Prod
Slide 17: Achievement rate of KPI's for FY2025
Achievement rate of KPI’s for FY2025 • Excluding locations available to use AEON Pay, results fell short of the KPI’s • Expanding the securitized receivables balance, which forms the revenue base, and utilizing low-interest financing options contributed to achieving the announced values. Domestic KP
Slide 18: Overseas Business
Overseas Business AEON Financial Service Co., Ltd. 18
Slide 19: [Overseas] Segment Performance Highlights
[Overseas] Segment Performance Highlights • For the cumulative term, operating revenue reached record highs across all regions. • In the fourth quarter, profits increased in the Malay area but decreased in the China and Mekong areas due to increased bad debt-related expenses. (bn JPY) Overseas busin
Slide 20: [Overseas] Highlights of Performance in China Area
[Overseas] Highlights of Performance in China Area • While revenue remained flat due to strengthened screening and ongoing credit assessment, record profits were achieved through cost reductions in bad debt-related expenses and sales promotion expenses. Breakdown of operating profit Operating revenu
Slide 21: [Overseas] Highlights of Performance in Mekong Area
[Overseas] Highlights of Performance in Mekong Area • Despite the stagnant macroeconomic environment in Thailand and increased loan loss provisions due to flooding, as well as the recording of goodwill (900 million yen expense) related to the acquisition of a Vietnamese subsidiary, profits continued
Slide 22: [Overseas] Highlights of Performance in Malay Area
[Overseas] Highlights of Performance in Malay Area • The volume and outstanding balances of installment sales for mid-sized and large motorcycles increased, sustaining double-digit revenue growth in percentage. • Operating profit grew by over a billion JPY due to stricter screening and strengthened
Slide 23: [Overseas] Balance of Receivables and NPL of Listed Subsidiaries
[Overseas] Balance of Receivables and NPL of Listed Subsidiaries • Hong Kong: Improved credit assessment and early delinquency measures suppressed the increase in delinquent loans, resulting in a decline in the NPL ratio and expense ratio throughout the year. • Thailand: Despite additional provision
Slide 24: Medium-Term Management Plan (Fiscal Years 2026–2030)
Medium-Term Management Plan (Fiscal Years 2026–2030) AEON Financial Service Co., Ltd. 24
Slide 25: Review of the Previous Medium-Term Management Plan
Review of the Previous Medium-Term Management Plan (Fiscal Years 2021–2025) AEON Financial Service Co., Ltd. 25
Slide 26: Performance of Key Financial Indicators | Operating Revenue and Operating Profit
Performance of Key Financial Indicators | Operating Revenue and Operating Profit • Operating revenue : 569.3 bn yen, Operating profit : 60.6 bn yen, both falling significantly short of targets Operating Revenue※ Operating Profit (bn yen) (bn yen) 800 100 Approximately Approx. 39.4 190.7 bn yen short
Slide 27: Status of Key Performance Indicators | Reasons for Missing Targets
Status of Key Performance Indicators | Reasons for Missing Targets • In addition to “insufficient response to customer needs“ and “entrenched high-cost structure” in Japan, the "limitations of the conventional growth model" overseas compounded these issues, resulting in falling short of planned targ
Slide 28: Governance | Recognition of Issues Following the Occurrence of Major Incidents
Governance | Recognition of Issues Following the Occurrence of Major Incidents • Recognized deficiencies in risk management and governance systems across the entire group Major incidents that occurred during the Recognition of challenges for the new Medium-term previous medium-term management plan p
Slide 29: Challenges to Address in Implementing Medium-Term Management Plan
Challenges to Address in Implementing Medium-Term Management Plan • In preparation for the new Medium-term management plan, identified the following as key management challenges: responding to customer needs in line with market changes, fundamentally reviewing the domestic cost structure, and priori
Slide 30: Medium-Term Management Plan (Fiscal Years 2026–2030)
Medium-Term Management Plan (Fiscal Years 2026–2030) AEON Financial Service Co., Ltd. 30
Slide 31: Basic Policies of the Medium-Term Management Plan (FY2026–FY2030)
Basic Policies of the Medium-Term Management Plan (FY2026–FY2030) A Community-based global company that brings Our Vision for 2030 “Finance Closer to Everyone” Demonstrating Profitability Maximize the strength as AEON’s financial entity Key Strategy① Key Strategy② Key Strategy ③ Establishment of the
Slide 32: Targets | Operating Revenue, Operating Profit, ROE
Demonstrating Transition to No. 1 in Safety High-efficiency Targets | Operating Revenue, Operating Profit, ROE Profitability Management and Security • While revenue growth with profit decline in FY 2026 because of the renovation of credit card system, aiming at record high profit in FY 2028, and Ope
Slide 33: Approach to Enhancing Corporate Value
Demonstrating Transition to No. 1 in Safety High-efficiency Approach to Enhancing Corporate Value Profitability Management and Security • Diversify the portfolio through new products such as digital lending, alongside the expansion of account receivables • Aiming for a 10.0% ROE while improving effi
Slide 34: Five-Year Investment Plan
Demonstrating Transition to No. 1 in Safety High-efficiency Five-Year Investment Plan Profitability Management and Security • Through digital investments of 250.0 bn yen, advancing business model in Japan and in overseas as well as demonstrating competitive advantage Investment Amount (5-Year Total)
Slide 35: Expansion of Customer Base centered on AEON Pay
Demonstrating Transition to No. 1 in Safety High-efficiency Expansion of Customer Base centered on AEON Pay Profitability Management and Security • Actively promoting the migration of users from existing users of AEON Card and WAON, stiving to acquire new customers from group and partner companies a
Slide 36: Expansion of Data- & AI-driven Lending Service
Demonstrating Transitionto Transition to No. 1 in Safety High-efficiency High-efficiency Expansion of Data- & AI-driven Lending Service Profitability Management Management and Security Domestic Business Model Roadmap of Strengthening Lending business For Retail For Corporate 1 Expansion of Retail Le
Slide 37: Evolution of Retail x Finance x Digital Model in Key Asian Countries
Demonstrating Transition to No. 1 in Safety Profitability High-efficiency and Security Evolution of "Retail × Finance ⅹ Digital " Model in Key Asian Countries Management • Investing strategically into Vietnam, Malaysia and Cambodia -economies experiencing significant growth and considered to have gr
Slide 38: Expansion in Vietnam
Demonstrating Transition to No. 1 in Safety High-efficiency Expansion in Vietnam Profitability Management and Security Aeon store expands more than three times in 2030 nation-wide FY2026 (Current) FY2027 FY2030 Building a Credit Business Expansion of the credit Enhancing our presence in Vietnam Foun
Slide 39: Domestic Cost Structure Reform
Demonstrating Transition to No. 1 in Safety Domestic Cost Structure Reform Profitability High-efficiency Management and Security • By the end of FY 2027, fundamentally reform our cost structure to build a lean and agile organization, while aiming to expand operating profit through growth investments
Slide 40: Realizing Resilient Corporate Governance
Demonstrating Transition to No. 1 in Safety High-efficiency Realizing Resilient Corporate Governance Profitability Management and Security • Restructuring resilient management foundation promptly, and strive to evaluate and improve it thereafter ✓ ◼ Improving the effectiveness of governing ✓◼ Fundam
Slide 41: Human Capital Strategy
Demonstrating Transition to No. 1 in Safety High-efficiency Human Capital Strategy Profitability Management and Security • With the goal of "empowering every employee," we will enhance engagement through systems designed to improve the quality of human capital and achieve numerical targets Upgrading
Slide 42: Sustainability
Demonstrating Transition to No. 1 in Safety High-efficiency Sustainability Profitability Management and Security • Establish targets to be achieved by 2030 for four key materiality, and strive to address them to realize sustainable growth. Materiality Key Indicators (2030) ✓• Digital provision of al
Slide 43: Shareholder Return Policy
Shareholder Return Policy • Aim to maintain a dividend payout ratio of 30–40% and balance investments for sustainable growth with shareholder returns • Anticipate cumulative shareholder returns of approximately 70 bn yen over the five-year period from 2026 to 2030 68 68 68 68 Operating profit 1000 7
Slide 44: FY 2026 Earnings Forecast
FY 2026 Earnings Forecast FY2025 Results FY2026 Forecast 2030 Target Unit: bn yen unless stated Consolidated Consolidated YoY Domestic Overseas Consolidated Operating Revenue 569.3 600.0 +30.7 355.0 245.0 780.0 Operating income 60.6 45.0 ▲15.6 5.0 40.0 100.0 Operating Profit Margin 10.7% 7.5% ▲2.7pt
Slide 45: Our Purpose
［Our Purpose］ AEON Financial Service Co., Ltd. 45
Slide 46: Appendix
Appendix AEON Financial Service Co., Ltd. 46
Slide 47: List of KPIs Managed Under the Medium-Term Management Plan
List of KPIs Managed Under the Medium-Term Management Plan KPI for 2025 2026 2027 2028 2029 2030 Unit Number of Active AEON (10,000 Pay ID persons) 1,208 3,000 4,000 4,700 5,500 6,000 Outstanding Balance of (trillion Current Deposit yen) 3.2 3.4 3.7 4.1 4.7 5.6 Transaction volume of (trillion cashle
Slide 48: [Domestic] Customer Base
［Domestic］ Customer Base Domestic Valid IDs 39.25 million (YoY 109%, Increase from beginning of term+3.09 million) AEON Pay members Card members ※1 No. of AEON bank accounts E-money WAON ※2 12.08 million 26.54 million 8.91 million 6.30 million (Increase of 3.92 million (Increase of 0.37 million (Inc
Slide 49: [Domestic] Securitized Receivables Balance Trends Per-Person
[Domestic] Securitized Receivables Balance Trends Per-Person Shopping Cash Advance Receivables revolving/Installment loans （Thousand JPY） （Thousand JPY） 400.0 400.0 362 362 363 365 365 354 356 359 349 342 345 330 334 337 325 326 300.0 281 285 284 300.0 276 267 269 255 247 233 237 215 215 220 224 206
Slide 50: [Domestic] Fourth Quarter Balance Sheet Status
[Domestic] Fourth Quarter Balance Sheet Status • Most domestic funding comes from bank deposits. We aim to reduce funding costs by increasing the proportion of demand deposits • Increase the proportion of high-yield receivables* in assets to enhance asset profitability Loans Average Yield*1 *High-yi
Slide 51: Impact of partial changes to transactions in the domestic segment
Impact of partial changes to transactions in the domestic segment • Due to the acquisition of the WAON Value Issuer business and a partial review of internal transactions, there has been a partial change in the accounting of revenues and expenses between ABK(retail) and AFS(solutions). This is a cha
Slide 52: Cumulative Results of Overseas Listed Companies (Local Currency)
Cumulative Results of Overseas Listed Companies (Local Currency) FY 2024 FY 2025 Full year Full year YoY results Results AEON Revenue 1,７５９,３１６ 1,825,357 １04% CREDIT SERVICE Profit before tax ４７６,８１６ 561,844 118% (ASIA) HK$’000 Profit for the term ４００,４７８ 468,199 117% AEON Revenue 22,101,767 21,775,
Slide 53: Cumulative Results of Overseas Listed Companies (Yen conversion)
Cumulative Results of Overseas Listed Companies （Yen conversion） FY 202４ FY 202５ Full year Full year Exchange rates YoY results results Revenue 34.4bn 35.1bn 102% AEON (JPY/ HKD） CREDIT Profit before tax 9.3bn 10.8bn 116% ・ FY202４ ： ¥19.５７ SERVICE ・ FY202５ ： ¥19.25 (ASIA) Profit for the term 7.8bn 9
Slide 54: Transaction Volumes and Operating Receivables of Overseas Business
Transaction Volumes and Operating Receivables of Overseas Business China Area Mekong Area Malay Area Overseas Business (Hong Kong) (Thailand) (Unit ： Bn JPY） YoY YoY YoY YoY (Change) (Change) (Change) (Change) Transaction volume 280.8 106% 294.7 85% 102.9 129% 678.5 98% Credit card Operating Receiva
Slide 55: Balance Sheet Status
Balance Sheet Status FY 202５ FY 202５ (Unit: Bn JPY) Results for the year YTD Results for the year YTD Cash and deposits 676.8 ▲ 137.9 Deposits 5,482.0 +275.8 Accounts Operating Loans 1,059.2 +79.2 payable-trade 392.8 +75.0 Loans and bills Interest-bearing discounted for 2,840.7 +170.3 debt 1,439.3 +
Slide 56: Segment Performance
Segment Performance Domestic Overseas Consol. （Unit ： Bn JPY） China Malay Total ※ Retail Solutions Total ※ Area Mekong Area Area Total ※ Operating 331.6 242.9 189.8 240.4 35.9 102.8 101.7 569.3 Revenue YoY 106% 126% 99% 108% 101% 107% 112% 107% Operating 18.5 5.1 13.5 41.8 10.8 16.0 14.9 60.6 Profit
Slide 57: Results by Area
Results by Area Transaction Operating （Unit：Bn JPY） YoY receivables YTD volume （Before securitization） Credit card 8,241.6 105% 1,929.3 +68.9 Credit card shopping 7,866.6 105% 1,494.0 +61.4 Domestic （Of which, revolving and installment） - - 395.1 +33.6 Cash advance 375.0 101% 435.3 +7.4 Housing loan
Slide 58: Allowance for Doubtful Accounts and Provision for Loss on Interest Repayment by Segments
Allowance for Doubtful Accounts and Provision for Loss on Interest Repayment by Segments 【Allowance for doubtful accounts】 Domestic Overseas Consol. （Unit： Bn JPY） China Mekong Malay Retail Solutions Area Area Area Total Total Total Opening allowance for ５7.2 1.7 55.9 66.3 5.0 32.9 28.3 124.4 doubtf
Slide 59: AEON Bank's progress in response to the business improvement order
AEON Bank's progress in response to the business improvement order • AEON Bank's improvement plan is progressing without delay • For completed items, continue enhancing operational sophistication through measures like introducing external services to strengthen the frameworkTraining for responsible
Slide 60: Forward-looking statements
Statements contained in this report with respect to the Company’s management strategies, business policies and results forecasts are forward- looking statements about the future performance of the Company, which are based on the assumptions and beliefs in light of the information currently available
AEON Financial Service — FY2025 Earnings Presentation on 6ix