Sumitomo Mitsui Financial : Financial document (2026 fy e pre)

About this update from Sumitomo Mitsui Financial Group, Inc.

Globally connected. Rooted in Japan. Your most trusted partner. Investor Meeting FY3/2026 May 18, 2026 Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. This document contains "forward-looking statements" (as defined in the U.S. Private Securities Litigation Reform Act of 1995), regarding the intent, belief or current expectations of Sumitomo Mitsui Financial Group, Inc. ("the Company") and its management with respect to the Company's future financial condition and results of operations. This document also contains "sustainability statements" related to the sustainability activities of the Company concerning the environmental, social, and governance matters. In many cases but not all, these statements contain words such as "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "probability," "risk," "project," " should," "seek," "target," "will" and similar expressions. Such statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those expressed in or implied by such forward-looking statements or sustainability statements contained or deemed to be contained herein. The risks and uncertainties which may affect future performance or results include: deterioration of Japanese and global economic conditions and financial markets; declines in the value of the Company's securities portfolio; incurrence of significant credit-related costs; the Company's ability to successfully implement its business strategy through its subsidiaries, affiliates and alliance partners; and exposure to new risks as the Company expands the scope of its business. Given these and other risks and uncertainties, you should not place undue reliance on forward-looking statements or sustainability statements, which speak only as of the date of this document. The Company undertakes no obligation to update or revise any forward-looking statements or sustainability statements. The sustainability initiatives of the Company described in the "sustainability statements" are based on policies and practices that seek to promote and responsive to its risk management and other investment and objectives. Each decision will be made subject to local legal requirements. Please refer to the Company's most recent disclosure documents such as its annual report on Form 20-F and other documents submitted to the U.S. Securities and Exchange Commission, as well as its earnings press releases, for a more detailed description of the risks and uncertainties that may affect its financial conditions, its operating results, and investors' decisions. FX rates (TTM) Mar. 25 Mar. 26 USD 149.53 159.90 EUR 162.05 183.44 FX rates (average) USD 152.57 151.06 EUR 163.65 175.53 ▶ Definitions SMFG Sumitomo Mitsui Financial Group, Inc. SMBC Sumitomo Mitsui Banking Corporation SMBC Trust SMBC Trust Bank SMFL Sumitomo Mitsui Finance and Leasing SMBC Nikko SMBC Nikko Securities SMCC Sumitomo Mitsui Card Company SMBCCF SMBC Consumer Finance SMDAM Sumitomo Mitsui DS Asset Management SMBCAC SMBC Aviation Capital SMICC SMFG India Credit Company Major local subsidiaries SMBC Bank International, SMBC Bank EU, SMBC (China) Expenses (non-consolidated) Excl. non-recurring losses Net business profit Before provision for general reserve for possible loan losses Retail Business Unit (RT) Domestic retail business Wholesale Business Unit (WS) Domestic wholesale business Global Business Unit (GB) International business Global Markets Business Unit (GM) Market / Treasury related businesses Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 1 Agenda Ⅰ Ⅱ Ⅲ Financial Results ////////////////////////////////////////////// 3 ////////////////////////////// New Medium-Term Management Plan /////// 24 Capital Policy ////////////////////////////////////////////////// 52 Appendix ///////////////////////////////////////////////////////// 60 ‌Financial Results of FY3/2026 Achieved record-high net income as strong core businesses continued, exceeding the target of JPY 1.5tn. ROE and EPS also improved substantially in line with profit growth. (JPY bn) Solid business +212 Utilize one-off profits for future measures +36 1,583.0 Interest rate and FX +94 1,178.0 Absence of forward-looking +63 provisions in FY3/25 FY3/25 FY3/26 All figures are after tax FY3/26 (JPY bn) Results YoY vs. target Gross profit 4,844.7 +717.9 - G&A expenses 2,651.5 +249.6 - Overhead ratio 54.7% (3.5)% Net business profit 2,330.9 +611.6 +280.9 Total credit cost 388.4 +43.9 +88.4 Gains (losses) on stocks 446.1 (63.8) - Ordinary profit 2,303.4 +583.9 +193.4 Net income 1,583.0 +405.0 +83.0 ROE 10.4% +2.4% - EPS (JPY) 412 +110 - One-off profits: +224 Measures for future: (188) Higher gains of stocks +110 Forward-looking provisions (46) Higher profits of GM Business Units +100 Bond portfolio rebalancing (42) Receipt of insurance claims +14 Loss from the restructuring (34) on aircraft leasing of an U.S. banking subsidiary Radical allowance for dormant deposits *1 (24) Sales of low-return assets (21) Disposal of NPL at OTO/SOF (21) ▶ Breakdown of net income Aim to achieve net income of JPY 1.7tn, driven by solid growth in underlying businesses while absorbing the impact from the Middle East. Maintain flexibility in addressing downside risks to deliver the target. ▶ Breakdown of net income (JPY bn) 1,700 Solid business +120 1,583.0 Interest rate and FX *1 +30 One-off factors in FY3/26 Absence Absence of of one-off measures profits for future (224) +188 (JPY bn) Results Target FY3/26 FY3/27 YoY Net business profit 2,330.9 2,400 +69.1 Credit cost 388.4 340 (48.4) Ordinary profit 2,303.4 2,390 +86.6 Net income 1,583.0 1,700 +117.0 FY3/26 FY3/27 Net income 1,583.0 +405.0 +34% +83.0 (JPY bn) Gross profit 4,844.7 +717.9 G&A expenses 2,651.5 +249.6 Overhead ratio 54.7% (3.5)% Equity in gains (losses) of affiliates 137.7 +143.2 Net business profit 2,330.9 +611.6 +36% +280.9 Total credit cost 388.4 +43.9 +88.4 Gains (losses) on stocks 446.1 (63.8) Other income (expenses) (85.2) +79.9 Ordinary profit 2,303.4 +583.9 +193.4 Extraordinary gains (losses) (51.6) (32.1) Income taxes 666.9 +153.8 vs. target YoY FY3/26 Gross profit: despite a bond portfolio rebalancing: (60) and sales of low-return assets: (30), increased YoY due to 1 1) increase of net interest income in domestic market increase of fee income in domestic wholesale business, and good performance in wealth management business, 2 payment business and consumer finance. Impact of FX *1 : +65 3 ⚫ G&A expenses: increased YoY mainly due to inflation and higher variable marketing costs, while the overhead ratio significantly 4 improved on top-line growth. Impact of FX *1 : +29 5 ⚫ Equity in gains of affiliates: increased YoY due to absence of 6 the impairment in Vietnam: +135 Impact of FX *1 : +4 7 ⚫ Total credit cost: increased due to 8 1) forward-looking provisions preparing for the potential risks initiated by the Middle East tensions: +65 9 2) disposal of NPL at OTO/SOF: +31 10 ⚫ Gains on stocks: decreased YoY despite Kotak share sales: +94, lower gains on sales of equity holdings: +386 (YoY(99)), and 11 loss on Bank of East Asia share sale: (28) ROE incl. OCI *2 10.4% +2.4% ROE *3 13.8% +3.0% Others: increased due to the absence of an allowance on interest repayment of consumer finance: +140 , despite the loss from forward 12 dealings which aim to mitigate risk of stock prices: (32) 13 and allowance for dormant deposits: (34) Extraordinary losses: decreased due to the loss from the reorganization of an U.S. banking subsidiary: (46) ▶ SMBC ▶ Other Major Group Companies vs. target YoY FY3/26 (left : results of FY3/26 / right : YoY) SMBC Nikko *1 SMCC *2 (JPY bn) 1 Gross banking profit 2,677.9 +421.3 2 o/w Net interest income 1,946.3 +295.0 o/w Gains (losses) on cancellation 3 of investment trusts 65.4 (18.6) 4 Domestic 1,148.0 +300.2 5 Overseas 798.3 (5.1) 6 o/w Net fees and commissions 620.0 +74.1 7 Domestic 298.5 +46.7 8 Overseas 321.4 +27.4 9 o/w Net trading income Net other operating income 107.6 +51.5 10 o/w Gains (lossses) on bonds (96.5) (41.3) 11 Expenses 1,186.0 +113.9 12 Banking profit 1,491.9 +307.5 +111.9 13 Total credit cost 86.0 (64.8) +26.0 14 15 Gains (losses) on stocks Extraordinary gains (losses) 426.7 (59.4) 66.0 +97.6 (JPY bn) Gross profit 586.4 +51.0 884.4 +66.0 *3 (excl. one-off items) Expenses 470.7 +23.8 627.0 +58.1 Net business profit 115.7 +27.2 262.9 +80.1 262.9 +80.1 Net income 128.3 +55.0 105.7 +170.0 105.7 +29.8 (Equity method affiliate) SMBC Trust SMDAM 50% SM *4 50% FL Gross profit 80.7 +8.5 51.6 +7.8 411.2 +105.3 Expenses 45.7 +3.1 35.4 +1.9 179.2 +38.9 Net business profit 35.1 +5.5 16.3 +6.0 240.9 +63.2 Net income 26.4 +4.1 5.8 +2.1 120.1 (13.8) Net income 1,411.7 +343.1 +121.7 Eliminated in consolidated basis dividend from a subsidiary: 150 (YoY +5) reversal of allowance for investment losses from VPBank: 90 16 *1 Incl. profits from SMBC Nikko America and SMBC Capital Markets (managerial accounting basis) *2 Incl. SMBCCF (Ref.) Net Business Profit and Net Income Breakdown ▶ Net Business Profit Breakdown by Business Unit ▶ Net Income Breakdown by Group Company SMCC *3 105.7 SMBC Trust 26.4 SMFL 60.0 SMDAM 5.8 Others SMFG 1,583.0 SMBC 1,411.7 SMBC Nikko *2 128.3 Overseas Banking Subsidiaries 113.1 Eliminated in consolidated basis *1 (240) (JPY bn) (JPY bn) RT WS GB 市場 そ の他 Others 2,330.9 WS +213.5 GB +16.3 GM +39.0 RT +139.4 Absence of impairment of VPBank and FE Credit in Vietnam (+135) 1,719.3 FY3/25 FY3/26 Impact of Rising JPY Interest Rates A +25bps rate hike is expected to add JPY 110bn in year 1, rising to JPY 150bn by year 5 as fixed-rate loans gradually reprice. Further upside from loan volume growth, spread expansion, and JGB portfolio optimization. for every +25bps Reflects the lagged impacts and B/S changes Year 1 Year 5 +JPY 110bn *1 +JPY 150 bn *1 +JPY 100bn JPY B/S as of Mar.26 (JPY tn) Impact on NII (JPY bn) Upside Loan volume growth, spread expansion JGB portfolio optimization 120 110 Investment Funding Loans 70 Deposits 130 Floating rate 40 Saving 90 Fixed rate 20 Time 25 Prime rate 10 Current 15 Market operation 60 BOJ's current account 50 Short-term JGB 3 Mid- to long-term JGB 7 Others 15 Others 15 Yen swap, etc. Capital funding Market funding +100 110 30 110 120 FY3/26 FY3/27 FY3/31 Policy rate 150 150 150 ⇒ 75bps (Dec.25) ⇒ 50bps (Jan.25) Lift of the NIRP *2 (Mar.24) ⇒ 25bps (Jul.24) Gross Profit Net interest income increased by loan growth and higher interest rates. Fee income also increased due to robust corporate activities and higher transaction volumes from Olive. ▶ Net Trading Income + Net Other Operating Income ▶ Net Interest Income ▶ Net Fees and Commissions (JPY bn) SMBC Overseas banking subsidiaries 2,719.6 SMBC Nikko SMCC *1 SMICC Others 269.6 320.3 532.5 595.6 211.7 166.3 545.8 620.0 398.3 65.4 *2 261.7 126.0 382.4 1,946.3 1,651.3 84.0 *2 2,338.2 101.3 258.0 1,820.6 1,559.2 292.8 65.4 88.6 27.1 75.2 27.9 107.6 56.0 66.9 219.6 FY3/25 FY3/26 Eliminated in consolidated basis *3 FY3/25 FY3/26 FY3/25 FY3/26 ▶ Domestic ▶ Overseas Income from loans and deposits increased due to improved loan-to-deposit spread by higher interest rates and loan growth. Loan balances declined excluding FX impact but increased in JPY. Income from loans and deposits decreased due to interest rate cuts and growth in deposit volumes. ▶ Loan Balance ▶ Domestic Loan-to-Deposit Spread 2H 1H YoY FY3/26 (%) Interest earned on loans and bills discounted 1.34 +0.32 1.28 1.40 Interest paid on deposits, etc. 0.20 +0.14 0.18 0.23 Loan-to-deposit spread 1.14 +0.18 1.10 1.17 Balance (JPY tn) Spread (%) FY3/26 YoY *4 FY3/26 YoY (Ref.) Excl. loans to the Japanese government, etc. Interest earned on loans and bills discounted 1.35 +0.31 1.29 1.40 Loan-to-deposit spread 1.15 +0.17 1.11 1.17 ▶ Average Loan Balance and Spread *2 Domestic loans 66.7 +4.4 0.68 (0.01) o/w Large corporations 26.3 +3.6 0.54 (0.05) Mid-sized corporations & SMEs 23.3 +1.5 0.68 +0.02 Individuals 12.1 (0.0) 1.15 +0.01 GBU's interest earning assets *3 362.1 USD bn +13.2 USD bn 1.43 +0.09 *1 SMBC *2 Managerial accounting basis *3 Sum of SMBC, Major local subsidiaries and SMBC Trust, etc. Sum of loans, trade bills, and securities. The spread shows the difference with the cost of funds *4 After adjustments for FX rates, Copyright © 2026 Sumitomo Mitsui Financial Group. Domestic Loans and Deposits *1 Loan balances grew on strong funding demand, supported by major deals with large corporate clients. Retail deposits increased, driven by Olive, while corporate deposits grew by capturing surplus funds from large clients. ▶ Loan Balance *2,3 ▶ Deposit Balance ▶ Loan Average Balance for Corporates *2,4 ▶ Loan Spread for Corporates *2,5 (JPY tn) Mid-sized corporations and SMEs 28 26 24 22 20 18 16 Large corporations 0.8% 0.7% 0.6% 0.5% 0.4% 0.3% Large corporations Mid-sized corporations and SMEs 1Q 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 1Q 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 FY3/23 FY3/24 FY3/25 FY3/26 FY3/23 FY3/24 FY3/25 FY3/26 *1 SMBC *2 Managerial accounting basis *3 Changed the definition of mid-sized corporations and SMEs from Sep.25. The figures before have been adjusted retrospectively *4 Quarterly average (excl. loans to the Japanese government). Figures for SMEs are the outstanding balance of Corporate banking division *5 Loan spread of existing loans (excl. loans to the Japanese government) Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 13 Overseas Loans and Deposits *1 Loan spreads improved despite lower loan balances, reflecting reduction in low-return assets and a shift toward higher margin loans. ▶ Loan Balance ▶ Loan Spread *2,3 (USD bn) Asia Americas EMEA vs Mar.25 ▶ Loan to Deposit Spread excl. FX impact 288 290 285 295 289 80 77 82 86 84 105 117 113 122 123 102 96 90 86 82 (3)% (5)% +0% 8.0% Yield of loans and bills discounted Yield of deposits Loan to deposit spread 6.0% (6)% 4.0% 2.0% Mar.22 Mar.23 Mar.24 Mar.25 Mar.26 *1 Managerial accounting basis. Sum of SMBC and Major local subsidiaries *2 Quarterly average loan spread of existing loans *3 Changed the definition from FY3/25. The figures before have been adjusted retrospectively 0.0% 1Q 2 3 4 1 2 3 4 1 2 3 4 1 2 3 4 FY3/23 FY3/24 FY3/25 FY3/26 Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 14 Asset Quality ▶ Credit Costs ▶ Non-Performing Loan Ratio *2 and Balance (JPY bn) Consolidated SMBC (JPY bn) Consolidated SMBC 388.4 344.5 340 274.0 210.2 115.5 (10bp) 150.8 (12bp) 96.3 (8bp) 86.0 (7bp) 90 0.52% 0.52% 0.43% 0.71% 0.80% 0.81% 0.97% 0.67% 1,349.3 927.8 586.6 1,023.1 630.0 881.7 536.5 919.3 FY3/23 FY3/24 FY3/25 FY3/26 FY3/27 forecast (JPY bn) Mar.23 Mar.24 Mar.25 Mar.26 Non-performing loan balance *3 (JPY bn) Domestic 651.1 455.4 584.4 Asia 209.9 174.9 246.9 Americas 84.5 117.5 367.3 EMEA 77.6 133.9 150.7 SMBC (excl. claims to substandard borrowers) (JPY tn) Major group companies Claims on borrowers requiring caution YoY FY3/26 SMCC 126 +10 o/w SMBCCF 69 +10 Overseas banking subsidiaries 111 *1 +31 SMICC 43 +12 1.8 1.7 1.2 Total claims (JPY tn) Consolidated 126 131 139 SMBC 120 123 130 *1 Incl. disposal of OTO/SOF NPL: JPY (31) *2 NPL ratio = NPLs based on the Banking Act and the Reconstruction Act (excl. normal assets) / Total claims *3 Managerial accounting basis Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 15 Credit Costs Credit costs were in line with forecast, excluding forward-looking provisions and OTO/SOF NPL disposals. Middle East-related risks, including potential spillover effects, are partly provisioned for and remain closely monitored. (JPY bn, Breakdowns in round figures) 388.4 344.5 provisions for Middle East 65 OTO/SOF 31 340 Forward-looking provisions for U.S. tariffs 90 292.4 Large-borrowers in Brazil 74 Initial forecast 300 Enhance head office oversight and local collection / credit monitoring capabilities Forward-looking Forward-looking provisions for Middle East Middle East tensions Inflation/ Higher rates Assumed Business risks disruptions in the Middle East Production cuts / operational suspensions due to inventory shortages Higher manufacturing Higher interest burden and rising and transportation material prices, costs etc. Target portfolio Resource Petrochemicals, energy, development, etc. transportation, materials, etc. LBO, Project finance under construction phase, etc. Estimate appropriate provision by applying revenue-decline assumptions to each portfolio New provisions in FY3/26: JPY 65bn Spillover effects Direct impact Estimate potential impacts under revenue-decline scenarios for portfolios likely to be affected FY3/25 FY3/26 FY3/27 forecast Forward-looking provision balance JPY 100bn Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 16 Exposure to Private Credit, AI, and the Middle East SMBC Group's Exposure *1 Private Credit JPY 1.2 tn JPY 177tn ≤ 1% BDC *2 JPY 1.2tn (o/w on balance: 0.5tn) Financing secured by BDC-held assets, mainly loans to unlisted mid-sized and small businesses No NPLs Investment Grade: > 80% LTV: c. 20% *3 Senior / Secured: 100% 2% 2% Middle East JPY 3.5 tn AI JPY 4.0 tn Qatar JPY 1.3tn Saudi Arabia JPY 1.1tn UAE JPY 0.6tn Data Centers JPY 2.6tn < 1% of total exposure 80% of off-takers are hyperscalers 1% of total exposure Investment grade: > 80% Financials and Sovereign:70% Software JPY 1.3tn *1 SMBC consolidated, calculated based on location for headquarter, managerial accounting basis *2 Companies providing financial and managerial support to portfolio companies (Business Development Company) *3 Borrowings ranking pari passu with or senior to SMBC / current fund asset value Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 17 Securities ▶ Breakdown of Other Securities (Consolidated) ▶ Yen-Denominated Bonds (SMBC) (JPY bn) (JPY bn) B/S amount Unrealized gains (losses) Mar.26 vs Mar.25 Mar.26 vs Mar.25 Held-to-maturity 4,655.3 +4,380.9 (178.6) (172.5) Available for sale 34,802.3 (4,974.5) 3,220.2 +414.2 Stocks (domestic) 3,503.3 +458.1 2,497.2 +536.3 Bonds (domstic) 7,556.7 (6,336.8) (271.2) (126.4) o/w JGBs 5,476.4 (5,704.1) (120.4) (68.0) Others 23,742.3 +904.2 994.3 *1 +4.3 o/w Foreign bonds 18,534.8 +1,110.0 (300.4) +148.7 1 year or less ■ 1 to 5 years ■ 5 to 10 years ■ More than 10 years ▶ Foreign Bonds (SMBC) Risk volume is controlled by hedging and others (JPY bn) *1 The main difference between foreign bonds and others is unrealized gain on foreign stocks *2 Managerial accounting basis (excl. bonds classified as held-to-maturity, bonds for which hedge-accounting is applied, and private placement bonds) *3 Excl. Held-to-maturity Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 18 Reduction progress reached 52%, ahead of the 40% standard pace. Accelerate reductions through persistent client negotiations toward early plan achievement. (JPY tn) 6.09 3.82 Book value of domestic listed stock *1 Market value of domestic listed stock *1 Market value of equity holdings *2 / consolidated net assets 3.12 Reduction Total reduction JPY 309bn FY3/25 JPY 185bn FY3/26 JPY 124bn Consent of sales JPY 69bn 1.01 32.9% 2.76 0.83 27.3% 0.70 27.5% Reduce ahead of schedule Reduction plan (FY3/25-FY3/29) JPY (600)bn Target: <20% Apr.01 Mar.24 Mar.25 Mar.26 Mar.29 Loans JPY 117.6tn (+JPY 6.5tn) Securities JPY 40.0tn (JPY (0.8)tn) Deposits JPY 201.3tn (+JPY 12.7tn) Loan to deposit ratio 58.4% Domestic loans *1 JPY 71.6tn Domestic deposits *1 JPY 135.9tn NCD JPY 15.7tn JGBs *2 JPY 5.5tn Foreign bonds *2 JPY 18.5tn ▶ Consolidated (vs Mar.25) ▶ Domestic Loans and Deposits *3 Cash and due from banks JPY 73.7tn BOJ's current account *1 JPY 50.8tn Others JPY 111.2tn (+JPY 8.4tn) Total net assets JPY 15.9tn (+JPY 1.1tn) Others *4 11% Mortgage,etc. 14% Prime-rate-based Loans 1% Spread-based (fixed rate) 20% Spread-based (Floating rate) 54% Foreign currency 4% NCD 3% Others 2% Time 18% Deposits Current 10% Saving 63% Others JPY170.9tn (+JPY 16.5tn) Total assets JPY 328.5tn (+JPY 22.2tn) Foreign Currency ▶ Non-JPY Balance Sheet *1,2 ▶ Foreign Currency Balance (vs Mar.25) Deposits *3 USD 315bn (+USD 46bn) Mid-long term funding *4 USD 138bn (USD (8)bn) CD／CP USD 93bn (USD (4)bn) Interbank (incl. Repo) USD 82bn (USD (38)bn) （ USD bn ） Loans, etc. 403 382 415 +9% 454 Mid-long term funding Interest earning assets USD 341bn (USD (10)bn) Others USD 203bn (+USD 12bn) Foreign bonds, NCD USD 85bn (USD (6)bn) 400 300 200 100 364 235 263 240 269 315 Yen swaps Bond, etc. Deposits 0 Mar.22 Mar.23 Mar.24 Mar.25 Mar.26 Assets / Liabilities USD 629bn (USD (4)bn) (Ref.) Impact of Change in Foreign Interest Rate Loan/deposit Most of the loans and deposits are based on market rate Net interest income increases by JPY 20bn when interest rate increase by 1%, as a part of the deposits have low sensitivity to interest rate and vice versa *1 Managerial accounting basis. Interest-earning assets redefined (Sep.25); prior figures restated *2 Sum of SMBC and major local subsidiaries Copyright © 2026 Sumitomo Mitsui Financial Group. ▶ Retail ▶ Wholesale Gross profit increased driven by higher income on deposit and solid performance across wealth management business, etc. Overhead ratio improved through steady implementation of YoY *1 FY3/26 cost control initiatives; net income and RoCET1 improved. (JPY bn) Gross profit 1,555.6 +200.2 o/w Income on deposits 192.1 +126.8 Income on loans *2 72.2 (10.1) Wealth management business 383.2 +49.6 Payment business 582.6 +28.2 Consumer finance business 318.1 +17.7 Expenses 1,134.6 +62.4 Overhead ratio 72.9% (1.3)% Net business profit 427.7 +139.4 Total credit cost 126.2 +9.9 Net income 217.8 +227.4 *1 Managerial accounting basis (after adjustments of the changes in exchange rates) Income on loans and deposits increased significantly, driven by loan growth and wider spreads; fee income also rose mainly due to large transactions YoY *1 FY3/26 Net income and RoCET1 increased while gains on sales of equity holdings declined. (JPY bn) Gross profit 1,253.4 +230.2 SMBC o/w Income on deposits 317.1 +143.2 Income on loans 280.8 +24.1 FX and money transfer fees 160.9 +4.8 Loan syndication 63.8 +3.8 Structured finance 88.9 +48.8 Real estate finance 21.0 +2.1 Securities business 91.0 +4.7 Expenses Overhead ratio 407.9 32.5% +27.2 (0.5)% Net business profit 997.1 +213.5 Total credit cost (4.6) (14.6) Gains (losses) on stocks 292.9 (129.8) Net income 918.5 +69.0 RoCET1 21.4% +0.7% Excl. the sales of equity holdings 16.3% +3.3% RWA (JPY tn) 40.0 +2.0 Copyright © 2026 Sumitomo Mitsui Financial Group. ▶ Global Both income on loans and loan-related fee income increased, driven by ROE-disciplined loan growth. Net income and RoCET1 declined as credit costs increased due to few large borrowers. ▶ Global Markets Banking profit increased steadily through nimble operation despite volatile market conditions. Although market turmoil weighed on trading, net income and RoCET1 improved. YoY *1 FY3/26 *2 (JPY bn) FY3/26 YoY *1 Gross profit 1,550.9 +110.1 o/w Income on deposits 187.3 (2.4) Income on loans 587.4 +31.5 Loan related fees 293.3 +49.3 Securities business 116.2 +20.4 Expenses Overhead ratio 1,063.4 68.6% +107.4 +2.5% Equity in gains(losses) of affiliates 123.6 +8.0 Net business profit 655.8 +16.3 Total credit cost 257.9 +90.9 Net income 321.0 (37.6) (JPY bn) Gross profit 697.8 +56.7 o/w SMBC 495.0 +90.4 SMBC Nikko 125.9 (23.7) Expenses 228.5 +23.2 Overhead ratio 32.7% +0.7% Net business profit 508.7 +39.0 Net income 356.2 +28.8 RoCET1 *3 21.7% +1.4% RWA (JPY tn) 7.5 +0.7 *1 Managerial accounting basis (after adjustments of the changes in exchange rates) *2 Excl. bond portfolio rebalancing Copyright © 2026 Sumitomo Mitsui Financial Group. ‌New Medium-Term Management Plan (FY3/27-FY3/29) Net income and EPS set new record highs. Each Business Unit steadily executed its initiatives, with Retail and Wholesale delivering particularly strong growth in net business profit and RoCET1. Net income / EPS RWA / RoCET1 *1 Achieved the highest record Net income (JPY bn) EPS (JPY) 412 RoCET1 (%) 30 FY3/23 FY3/26 197 242 805.8 962.9 302 1,178.0 JPY 1,583.0bn 25 20 15 Global Markets Retail Wholesale RoCET1 (consolidated) FY3/26 FY3/23 FY3/24 FY3/25 FY3/26 Financial targets 10 FY3/23 RoCET1 Base expenses CET1 ratio FY3/26 15.2 % Maintained flat Cost control JPY (160)bn 10.3 % Targets ≥9.5% Reduction vs. FY3/23 c. 10% 5 Global *2 0 0.00 0.20 0.40 0.60 0 20 40 60 *1 Bubble size is proportional to profit indexed to the FY3/26 (base:FY3/23 net business profit=1) Percentage in total RWA (%) FY3/23 figures are restated on FY3/26 basis Copyright © 2026 Sumitomo Mitsui Financial Group. Retail Wholesale Global Growth *1 JPY (8.7)tn 62.7 Balance of retail deposit Credit card sales handled (JPY tn) 41.9 30.2 # of card holders FY3/23 ⇒ FY3/26 *1 + 39 % SMBC Peer C +27% +19% FY3/23 FY3/26 (JPY tn ） Loan spread 1.43% 1.13% Reallocate RWA Invest JPY + 7.8tn Reduce FY3/23 FY3/26 41.5 + 27 % + 8 % Peer A +4% Peer B +3% Mar.23 Mar.26 Balance of corporate loan (JPY tn) 52.9 Growth *1 57.9 SMBC +27% Peer A +20% Peer B +15% Mar.23 Mar.26 +8% SMBC Expanded competitive advantages in deposits and credit cards by leveraging group-wide strengths. Achieved strong growth in loan growth vs. peers, with expanded fee income through ancillary transactions. Improved spreads by reducing low-return assets while growing securities business through collaboration with Jefferies. (JPY tn) 73.2 (JPY bn ） Non-interest income 6,555 Balance of corporate deposit Securities business Foreign currency (JPY bn) 5,102 + 28 % 65.1 + 12 % 89.3 116.2 deposit (USD bn ） 315 263 Mar.23 Mar.26 + 77 % + 20 % 3.0 2.5 13 Consumer finance outstanding (JPY tn ） 23 (JPY tn) AM / foreign currency balance League table *2 + 30 % Exit from low-return businesses US IG bond league table *3 FY3/23 FY3/26 Share 2.5% 3.2% Ranking 14th 12th FY3/23 FY3/26 FY3/23 FY3/26 + 20 % Mar.23 Mar.26 FY3/23 FY3/26 M&A 2nd 4th Equity 6th 4th Bonds 5th 2nd Mar.23 Mar.26 Mar.23 Mar.26 *1 Based on company disclosures *2 SMBC Nikko Securities, based on data from LSEG *3 SMBC Nikko Securities, based on Bloomberg data (U.S.-issued investment-grade corporate bonds) Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 26 30 25 The Group started under a challenging business environment, burdened by non-performing loans and public funds. Continuous structural reforms and initiatives for future growth built a foundation to become a true global player. (JPY bn) Net income (left side) Market cap (right side) 1,500 (JPY tn) 20 JPY 20 tn 15 1,000 10 500 5 0 0 FY / 01 02 03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ▲ 500 Global financial crisis Tightening of Basel regulations Beginning of NIRP COVID-19 Lift of NIRP NPL resolution / public fund repayment Expansion of business and regional wings Evolution of group management Challenge for growth Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 27 New vision Globally connected. Rooted in Japan. Your most trusted partner. 17% 17% 16-18% 15-17% 14% SMBC Group JP Morgan HSBC BofA Goldman Sachs Barclays Net income ROTE Profitability targets *1 SMBC Group *1 Medium-to long-term ROTE or ROTCE targets of each company ROTE ： Numerator ＝ net income + goodwill amortization, Denominator= shareholders' equity - intangible assets Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 28 Reallocate RWA to high-growth areas to achieve 15% ROTE. Strengthen stable domestic loan and asset-light business to become best in class across all segments. RWA *1 Domestic loans, payment business, consumer finance Overseas loans Net income Deposits, Transaction Banking Wealth Management, Asset Management Multi-franchise strategy IB, S&T ROTE 2% 1% 4% JPY 113tn 38% 44% FY3/26 Gains on sales of equity holdings FY3/26 11.4% 1 2 Medium-to long-term IB, S&T +5 % +7 % Multi-franchise 10% 9% (JPY tn) Mid-to *2 strategy 1% (12) % JPY 130tn 32% 39% long-term 15 % Overseas loans Lending business Asset- light business High- growth areas Portfolio transformation strategy Optimize Capitalize Build Next Core *1 Finalized Basel lll basis, excl. net unrealized gains on other securities *2 The mid-to long-term macro assumptions: Policy rate Japan:1.25%, US:3.0% FX: USD1=JPY150, no gains from the sales of equity holdings Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 29 Set 13% ROTE for FY3/29 as a milestone on the path to 15% ROTE. Aim for JPY 2tn in net income through cost discipline and improved RORA. Next Five Years and Beyond ROTE 15 % FY3/26 results 11.4 % FY3/29 target 13 % 12 % Net income Net business profit Net income JPY 2tn Net business profit Gross profit Overhead ratio Low- 50 % Gross profit RWA *3 + 0.5 RWA Tangible common equity RORA CET1 ratio target c. 10.5% Improve financial leverage ROE Total expenses *2 flat or lower % by utilizing unrealized gains 10.4 % *1 Macro assumption : Policy rate Japan: 1.25%, US: 3.0% FX: USD1=JPY150 *2 Excl. environmental factors, one-off factors, revenue linked variable costs, cost related to IT investment *3 Excl. impact from JPY interest rates rise Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 30 Assume solid three-year growth supported by strong domestic funding demand. Closely monitor potential stress scenarios stemming from heightened geopolitical risks. Strong domestic corporate funding demand Changes in investor/ fund capital flow Mar.22 Mar.23 Mar.24 Mar.25 Feb.26 Mar.10 Mar.15 Mar.20 Mar.24 Mar.25 Feb.26 391 373 354 Domestic corporate loan balance *1 (JPY tn) 432 405 Domestic deposit balance *3 (JPY tn) 640 637 506 629 255 338 (JPY tn) Cashless payment amount *2 200 Cashless payment ratio 13 % 46 % Code payments 100 Credit card 0 2010 2015 2020 2025 Further penetration of digital services Growth opportunities Transformation of financial services through technology Intensifying competition for deposits Economic slowdown reducing customer activity Temporary increase in credit costs Risks Rapid rise in geopolitical risks Emergence of financial crises Stress scenario *1 BOJ Time-Series Data (Loans/end of Period/Banking Accounts/Domestically Licensed Banks) *2 METI " Changes in the cashless payment amount and cashless payment ratios in Japan" *3 BOJ Time-Series Data (Ordinary Deposits/Liabilities and Stockholder's Equity) Copyright © 2026 Sumitomo Mitsui Financial Group. All Rights Reserved. 31 Achieve market leadership in the domestic businesses I Transform business model in overseas II Position technology as a core management pillar III Business strategy Corporate infrastructure Aim higher through bold transformation Deliver results through execution excellence IV Elevate social value creation efforts V Focus on seven key strategic areas to build the targeted business portfolio. Evolve the business model by expanding our customer base, enhancing earnings power, and generating synergies. I. Achieve market leadership in the domestic businesses II. Transform business model in overseas 6 Asset management Increase interest / fee income 2 Wealth management 3 Domestic wholesale Support Japanese global companies 4 CIB / S&T business Solve complex challenges 5 Asia Increase deposit 1 Digital platform 7 Global transaction banking Transaction banking in Asia Leverage technology III. Position technology as a core management pillar 1. Establish Japan's Leading Digital Platform Achieve market leadership in the domestic businesses I ‌Olive and Trunk continue to expand steadily, leveraging their superior convenience. Olive net business profit is expected to reach JPY 110bn in FY3/29, with higher interest rates as an additional tailwind. FY3/29 FY3/26 + JPY 16tn 39 55 (JPY tn) Sales handled *3 Mar.29 Mar.26 65.7 (JPY tn) + JPY 3tn 62.7 Retail deposit FY3/29 15mn FY3/28 12mn FY3/26 7.5mn # of accounts Expected profit net business profit update # of accounts / deposit balance FY3/26 FY3/29 JPY 80bn ⇒ JPY 110bn 54 K 300K Cross-sell ratio *1 70 % Active user ratio *2 90 % Wealth management Expanded features (Scheduled in FY3/27) Accounting / DX End-to-end digital management of the transaction flow Finance Factoring Corporate card Corporate account Payment Deposit JPY 10bn JPY 10bn + JPY 80bn 20% of new companies apply JPY 3tn Achieving profitability JPY 20bn FY3/25 FY3/26 FY3/29 of Continuously enhance services e.g. PayPay integration and AI-Olive *1 Annual ancillary transaction usage rate of Olive members in FY3/25 (credit card payments, FX deposits, investment trusts, etc. users / members) *2 Deposits/withdrawal transaction usage rate of Olive members in FY3/25 (excl. interest income). Copyright © 2026 Sumitomo Mitsui Financial Group. 2. Build Japan's largest wealth management AUM base Achieve market leadership in the domestic businesses I Develop the wealth management business group-wide under the "SMBC Wealth" brand. Significantly expand AUM by combining face-to-face and digital channels tailored to customer needs. SMBC Wealth A group-wide integrated operation framework Enhanced sales structure Location network Product development AM *1 /Foreign currency deposit balance Mar. 26 JPY 23tn Mar. 29 JPY 28tn Face-to-face approach Digital approah Release in FY3/27 Olive Consulting Year 5 AUM JPY 10tn Deposit JPY 10tn Corporate owners Needs for both corporates / individuals Deliver specialized solutions on a group-wide basis Provide digital wealth management services through the app AI chat Online Face-to-face Olive Infinite Visa's highest tier HNWIs Needs for wealth accumulation Offer group products through a one-stop solution Additional points for credit card installment investment Flexible consulting Flexible consultation channels Capture strong funding demand in Japan by strengthening coverage and solution capabilities across all segments. Enhance frontline capabilities through AI to build a competitive advantage in Japan's corporate banking business. Gross profit / ROTE Group-wide and global collaboration Large-corporates Strengthen global corporate coverage and capture large transactions (JPY bn) Large corporates Mid-corporates Expect around ROTE *1 2,000 Focus resources on growth areas Enhance CIB business 1,500 1,000 P.34 SMEs Mid-corporates Strengthen the securities business 500 0 14.7 % 11.4% 20 % ROTE (Consolidate） 13% Profitability FY3/26 FY3/29 Deepen customer relationships League table FY3/26 FY3/29 target M&A 4th 2nd Equity 4th 1st Bond 2nd 1st Selectively allocate assets Reduce low-return assets Sophisticate ROE management Frontline Execution Excellence Gross profit per employee *2 FY3/23 JPY 90mn FY3/26 JPY 150 mn Elevate performance through AI Shift from an asset-heavy model toward an asset-light, capital-efficient business model. Accelerate Global CIB through collaboration with Jefferies and establish S&T as another key growth driver. Global CIB/S&T gross profit (JPY bn) 1,500 Reallocate business portfolio Exited U.S. digital banking business Freight car leasing Ongoing Selective origination Sales of low-return assets ROTE 5.8% Asset business Asset-light business 8.2% Collaborate with Jefferies ECM/M&A coverage Profit from collaborations* 1 (JPY bn) 14 9.6 4.9 FY3/24 FY3/25 FY3/26 # of collaborated deals 470 (FY3/26 cumulative) Enhance S&T business Japan and Asia edge USD business S&T revenue (JPY bn) 500 377 FY3/26 FY3/29 Expand underwriting and asset turnover Underwriting and securitization U.S. CLO league table *2 (Share) BofA Citi JPM BNP MS SMFG 0% 10% 12th Top 5 ranking (FY3/26) (FY3/29) 1,000 … 500 0 FY3/26 FY3/29 Leverage our combined strengths in joint marketing to expand our presence and build a solid track record. Capture large-scale and global transactions through an integrated approach in Japanese equities. Collaborative marketing leveraging combined strengths From Jan.27 Joint Venture of the Japan equities business Broad client coverage Deep sector expertise Our challenges Large-scale and global deals Wide range of financial solutions ECM M&A Japan Research SMBC Nikko (JPY bn) 1.9 1.8 5.5 (JPY bn) 0.7 Japan Sales Japan ECM 2.5 3.7 Reach to global investors Global ECM Jefferies FY3/24 FY3/25 FY3/26 Tekscend Photomask Global IPO of a TOPPAN Holdings spin-off FY3/24 FY3/25 FY3/26 AT&T Acquisition of spectrum licenses from EchoStar Research Coverage For issuers Win large-scale, global ECM mandates from large Japanese corporates Sophisticated IT platform For investors Enhance product capabilities for corporates and institutional investors Profit Contribution (Profit from collaborations and dividend income) FY3/26 JPY 22 bn FY3/31 JPY 50 bn Large corporates - SMBC - Business expansion/ Fee business growth (JPY tn) 1.5 Loan balance (JPY tn) 5.0 Mid-size / SMEs - YES BANK - Growth / Profitability improvement Loan balance / ROA No.6 by assets Retail - SMICC - Asset quality improvement (JPY tn) 1.5 Loan / NPL ratio 2.0% 1.0 0.8% 1.0 2.5 0.5 0.2% 0.5 1.2% 0.0 0.0 0.0 FY3/ 22 23 24 25 FY3/ 22 23 24 25 FY3/22 23 24 25 Target the No.1 foreign bank position India Net income contribution / ROI *1 Target No.1 among foreign banks in India, our top-priority market, through collaboration among SMBC, YES BANK, and SMICC. Accelerate initiatives in the other three countries to catch-up to the initial profit targets. ROTE ROI *2 20% 8.9% 9% 140 3.8% Initial target 120 (JPY bn) 50 Liquidity deposit ratio Net income (JPY bn) Net Interest Margin (FY3/23) (FY3/26) (2022) (2025) (2022) (2025) High-margin retail lending grew x 2.6 over three years The Philippines Grow deposits and high-margin lending Vietnam Capture V-shaped recovery 2.9 (13.3) FE Credit 146.1 VPBank 94.7 Indonesia Optimize funding costs 3.7% 4.8% 35.0% 40.6% FY3/26 FY3/29 Copyright © 2026 Sumitomo Mitsui Financial Group.

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