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Fukuoka Financial Group
Financial Highlights
First Quarter of FY2025August 7, 2025
Executive Summary
Financial Results for First Quarter of FY2025 [Consolidated Results]
-
Consolidated core business profit was ¥33.7 billion (+¥5.9 billion year-on-year). This represents steady progress of 27.1% against the annual projection of ¥124.5 billion.
≫ Core gross business profit increased by ¥9.1 billion year-on-year, driven by an increase in domestic net interest income from interest on deposits and loans and revenue in the markets division, as well as recording revenue from external system sales related to Minna Bank. Overhead expenses increased by ¥3.2 billion, primarily due to an increase in base pay and DX-related growth investments.
-
Consolidated net income was ¥22.8 billion (+¥1.9 billion year-on-year). This represents strong progress of 28.5% against the annual projection of ¥80.0 billion.
≫ Gains (losses) on securities were at a similar level to the previous year at ¥1.4 billion. Credit cost increased by ¥3.0 billion year-on-year, due primarily to a turnaround from the recovery of large loans (reversal of allowance for loan losses) in the previous year. However, new bankruptcies and rating changes remained at a level similar to the previous year, and credit cost as a percentage of the annual projection of ¥16.9 billion remains low at 15.4%.
- Average loan and deposit balances maintained an upward trend, and unrealized gains (losses) on securities (after considering hedges) improved by ¥19.0 billion compared to March 2025.
≫ The average loan balance (excluding loans to Government, etc.) increased by ¥339.9 billion year-on-year (annual rate of +2.2%), and the average balance of deposits, etc. increased by ¥69.2 billion (annual rate of +0.3%). Both loans and deposits are maintaining an upward trend.
≫ Unrealized gains (losses) on securities (after considering hedges) improved to -¥0.3 billion, primarily due to an increase in unrealized gains from investment trusts and stocks, driven by factors such as rising stock prices.
Profit & Loss … P3-11 | |||
- Profit & Loss Summary | … | P3 | |
- Top Line (Consolidated Core Business Profit) | … | P4 | |
- Bottom Line (Consolidated Net Income) | … | P5 | |
- Core Business Profit (banks total) | … | P6 | |
- Net Interest Income (banks total) | … | P7 | |
- Interest Rates on Domestic Loans | … | P8 | |
- Consolidated Non-interest Income (excluding gains (losses) on bonds) | … | P9 | |
- Consolidated Expenses | … | P10 | |
- Consolidated Credit Cost | … | P11 | |
Assets and Liabilities, etc. … P12-16 | |||
- Loans | … | P12 | |
- Deposits, etc. (including CDs) | … | P13 | |
- Asset Management Products | … | P14 | |
- Securities | … | P15 | |
- NPLs Disclosed under the FRL, Reserve for Possible Loan Losses | … | P16 | |
Minna Bank … P17 | |||
Definitions of terms and figures used in this document
In cases where definitions are different from those listed below, details are stated on each page.
FFG consolidated | Consolidated financial results of Fukuoka Financial Group |
Banks total | Simple sum of the non-consolidated figures of the Bank of Fukuoka, the Kumamoto Bank, the Juhachi-Shinwa Bank and the Fukuoka Chuo Bank(Note) |
Group total | Banks total + FFG Securities |
Related to Minna Bank | Total of Minna Bank and Zerobank Design Factory (ZDF) |
Net income | Net income for the period (interim, quarter) for non-consolidated and banks combined |
Consolidated net income | Net income for the period (interim, quarter) attributable to owners of the parent |
Loans to Government, etc. | Total of loans to Government and Bank of Fukuoka loans to FFG |
Note: About the figures of the Fukuoka Chuo Bank
Business integration between the Company and the Fukuoka Chuo Bank took effect on October 1,
2023.
Regarding the Fukuoka Chuo Bank, profit (loss) figures since the second half of FY2023 (six months) and balance figures since the business integration have been consolidated and combined after making necessary adjustments. Figures before the end of September 2023 do not include figures for the Fukuoka Chuo Bank.
Overhead expen
Profit & Loss SummaryFFG consolidated | 2025/1Q | 2024/1Q | ||||||
(Unit: bil.) | YoY chg. | |||||||
Core gross business profit (*) | 76.2 | +9.1 | 67.2 | |||||
Overhead expenses | (-) | 42.5 | +3.2 | 39.3 | ||||
Core business profit | 1 | 33.7 | +5.9 | 27.8 | ||||
Credit cost | (-) | 2 | 2.6 | +3.0 | -0.4 | |||
Gains (losses) on securities | 3 | 1.4 | -0.6 | 2.0 | ||||
Gains (losses) on bonds Gains (losses) on stocks | -0.4 1.8 | -0.6 -0.0 | 0.2 1.8 | |||||
Ordinary profit | 32.6 | +1.9 | 30.7 | |||||
Extraordinary profit (loss) | -0.0 | +0.4 | -0.4 | |||||
Consolidated net income | 4 | 22.8 | +1.9 | 20.9 | ||||
Banks total | 2025/1Q | 2024/1Q | |
(Unit: bil.) | YoY chg. | ||
Core gross business profit (*) | 65.6 +3.4 | 62.2 | |
Overhead expen
Net interest income 58.6 +4.8 53.8
Domestic International
Non-interest income
(excluding bond-related income)
Overhead expenses
54.6
4.0
+4.2
+0.5
50.4
3.4
7.0
-1.4
8.4
(-)
32.7
+2.0
30.7
Profit & Loss
FY2025 | |
projected* | Progress |
-
Financial highlights (FFG consolidated)
1
▶See P4, 6
Core business profit: ¥33.7 billion (YoY chg. +¥5.9 billion)
124.5 | 27.1% |
16.9 | 15.4% |
8.0 | 17.6% |
117.0 | 27.8% |
[Progress against annual projection of ¥124.5 billion is 27.1%: Steady progress]
Core gross business profit increased by ¥9.1 billion year-on-year, driven by buildup of net interest income (domestic) and recording of revenue from external system sales related to Minna Bank
Overhead expenses increased by ¥3.2 billion year-on-year, primarily due to increases in base pay and system-related costs
2
▶See P11
Credit cost: ¥2.6 billion provision (YoY chg. +¥3.0 billion)
Increased by ¥3.0 billion, primarily due to a shift from a reversal of allowance for loan losses in the previous year due to the recovery of large loans, etc. to a provision on a banks total basis
FY2025
projected*
Progress
- Progressing as planned (Fund revenue, etc. to be recorded in 2Q)
28.5%
80.0
3
Gains (losses) on securities: ¥1.4 billion (YoY chg. -¥0.6 billion)
Generally remained at the same level as FY2024 (2025/1Q gains (losses) on stocks was ¥1.8 billion: Cross-held shares +¥0.7 billion, pure investment etc. +¥1.1 billion)
4
▶See P5
Consolidated net income: ¥22.8 billion(YoY chg. +¥1.9 billion)
[Progress against annual projection of ¥80.0 billion is 28.5%: Steady progress]
(Unit: ¥ bil.) | 2025/1Q | YoY chg. | 2024/1Q | |
Net income (banks total) | 24.4 | -1.3 | 25.8 | |
FFG non-consolidated | -4.4 | -0.6 | -3.8 | |
Related to Minna Bank | 2.0 | +4.0 | -1.9 | |
Subsidiary income | 1.1 | -0.1 | 1.1 | |
Other consolidation adjustments | -0.3 | +0.0 | -0.3 | |
Consolidated net income | 4 | 22.8 | +1.9 | 20.9 |
- Consolidation difference in bottom line
Year-on-year change factors
[FFG non-consolidated: -¥0.6 billion]
Core business profit | 32.8 | +1.4 | 31.5 | 139.0 | 23.6% | ||
Ordinary profit | 32.9 | -2.5 | 35.5 | 136.0 | 24.2% | ||
Net income | 24.4 | -1.3 | 25.8 | 100.4 | 24.4% | ||
Credit cost | (-) | 1.3 | +3.0 | -1.7 | 11.0 | 12.0% |
Overhead expenses increased, such as base pay and system-related costs
[Related to Minna Bank +¥4.0 billion]
Recorded revenue from external system sales
[Subsidiary income -¥0.1 billion, Other consolidation adjustments +¥0.0 billion]
Generally remained at the same level as FY2024
Core business profit (FFG consolidated)
(Unit: ¥ bil.)
[Non-interest income] Excluding gains (losses) on bonds, [Overhead expenses] Excluding non-recurring expenses
Profit & Loss
FY2025 projected
124.5
Breakdown of year-on-year changes (FFG consolidated)
(Unit: ¥ bil.)
YoY chg. +¥5.9 billion
93.4
100.4
49.4
119.1
54.4
Consolidated net interest income
+4.8
Domestic +4.2
Consolidated non-interest income
+4.3
+5.1*
242.8
54.2
-172.4
Net interest
Non-interest Overhead expenses
33.7
50.0
+3.0 +0.5 +0.0 -3.2
Consolidated expenses
Other non-interest income (subsidiaries, consolidation adjustment, etc.)
Corporate-related fees
Investment trusts & insurance
Other net interest income (subsidiaries, consolidation adjustment, etc.)
International division
Securities, other fund transactions
Interest on deposits and loans
184.1
201.2
225.0
+¥5.9 billion
17.7
58.5
Total
27.8 33.7
Non-interest income
13.5
-42.5
Net interest income
53.7
Banks total
Net interest income +48
27.8
+1.2
-0.7
▶See P6
-0.1
Overhead expenses
-140.6
-150.2
-160.3
-39.3
FY2022 FY2023 FY2024 2024/1Q 2025/1Q
2024/1Q 2025/1Q