Tokio Marine Holdings Reports Significant Increase in Net Income and Revises Full-Year Forecasts Upward
Tokio Marine Holdings has released its financial results for the fiscal year ending March 31, 2025, showing a substantial rise in net income and a positive revision to its full-year forecasts. The company reported a net income of ¥695.81 billion for fiscal 2024, nearly double the ¥374.61 billion recorded in the previous year.
This increase is primarily attributed to improved underwriting performance in key markets such as North America and Brazil, as well as a reduction in natural catastrophe losses within its Japan property and casualty operations. The company also benefited from accelerated sales of business-related equities, contributing to overall earnings growth. Revenue for the year rose to ¥7.42 trillion, up from ¥6.61 trillion in the prior fiscal year.
The growth in revenue was driven by multiple business lines, fueled by robust demand and ongoing strategic initiatives. In response to these results, Tokio Marine raised its full-year adjusted net income forecast to ¥1.04 trillion, representing an increase of ¥40 billion from the earlier guidance. The company projects this momentum to continue into fiscal 2025, with an adjusted net income forecast of ¥1.10 trillion, marking a 3% year-on-year rise.
The adjusted return on equity (ROE) target is set at 20.7%. Additionally, Tokio Marine has increased its dividend guidance for fiscal 2024 to ¥162 per share, a 32% rise compared to the previous year’s dividend. For fiscal 2025, the dividend per share is expected to increase further to ¥210.
Alongside the dividend increases, the company announced an expanded share buyback program of ¥220 billion, up ¥20 billion from its original plan. Tokio Marine’s capital strength remains robust, with an Economic Solvency Ratio (ESR) of 147% as of September 30, 2024, providing a solid buffer to support ongoing growth and risk management initiatives.
The company highlighted its ongoing efforts to enhance underwriting discipline, optimize its portfolio mix, and invest in digital transformation to improve customer engagement and operational efficiency. Tokio Marine also reiterated its commitment to sustainable growth through environmental, social, and governance (ESG) initiatives.
