Financial Results & Earnings Forecast

Ordinary revenues of Daiichi Life Group, Inc. (hereinafter the "Company" or the "Parent Company") and its consolidated subsidiaries (collectively, the "Group") for the nine months ended December 31, 2025 increased by 481.0 billion yen, or 6.1%, to 8,320.7 billion yen, consisting of (1) 5,091.3 billion yen (0.3% decrease) of premium and other income, (2) 2,747.2 billion yen (18.9% increase) of investment income, and (3) 482.1 billion yen (13.9% increase) of other ordinary revenues, compared to the nine months ended December 31, 2024. Ordinary revenues increased due mainly to the increase in investment income at Daiichi Life Insurance Co., Ltd. and Daiichi Frontier Life Insurance Co., Ltd..
Meanwhile, the Group's ordinary expenses for the nine months ended December 31, 2025 increased by 440.9 billion yen, or 6.1%, to 7,723.0 billion yen, consisting of (1) 4,665.4 billion yen (2.7% decrease) of benefits and claims, (2) 1,488.6 billion yen (52.1% increase) of provision for policy reserves and others, (3) 550.5 billion yen (3.7% increase) of investment expenses, (4) 755.2 billion yen (4.1% increase) of operating expenses, and (5) 263.1 billion yen (4.6% increase) of other ordinary expenses, compared to the nine months ended December 31, 2024. Ordinary expenses increased due mainly to the increase in provision for policy reserves and others at Daiichi Frontier Life Insurance Co., Ltd..
Consequently, the Group's ordinary profit for the nine months ended December 31, 2025, compared to the nine months ended December 31, 2024, increased by 40.0 billion yen or 7.2%, to 597.7 billion yen. Its net income attributable to shareholders of parent company for the nine months, which is ordinary profit after extraordinary gains and losses, provision for reserve for policyholder dividends, and total of corporate income taxes, increased by 4.7%, to 370.3 billion yen.

The Group's total assets as of December 31, 2025, compared to March 31, 2025, increased by 4.0%, to 72,384.6 billion yen, mainly consisting of 54,705.5 billion yen (3.2% increase) of securities, 4,879.4 billion yen (4.9% decrease) of loans, 1,251.4 billion yen (1.7% decrease) of tangible fixed assets, and 1,985.2 billion yen (3.1% decrease) of reinsurance receivable.
The Group's total liabilities as of December 31, 2025 increased by 3.3% to 68,305.1 billion yen, mainly consisting of 60,013.3 billion yen (0.8% increase) of policy reserves and others, compared to March 31, 2025. The Group's total net assets as of December 31, 2025 increased by 17.6% to 4,079.5 billion yen.
Net unrealized gains on securities, net of tax, as of December 31, 2025, which are included in the Group's total net assets, increased by 54.4% to 1,627.9 billion yen.

The Company expects its consolidated ordinary revenues for the fiscal year ending March 31, 2026 to exceed previous forecasts due mainly to an increase in investment income of Daiichi Frontier Life Insurance Co., Ltd.
The Company expects its consolidated ordinary profit, net income attributable to shareholders of parent company and its group adjusted profit for the fiscal year ending March 31, 2026 to exceed previous forecasts due mainly to the increase in gains on sales of securities at Daiichi Life Insurance Co., Ltd., driven by the robust stock prices.

Consolidated Earnings Forecast for the Fiscal Year Ending March 31, 2026