栃木銀行（8550） – [Delayed]Consolidated Financial Results for the Fiscal Year Ended March 31, 2022 [Japanese GAAP]

Disclaimer: This document is an English translation of the original document in Japanese and has been prepared solely for reference purposes. In the event of any discrepancy between this English translation and the original in Japanese, the original shall prevail in all respects. Consolidated Financial Results for the Fiscal Year Ended March 31, 2022 [Japanese GAAP] May 12, 2022 Company name: Tochigi Bank, Ltd. Stock exchange listing: Tokyo Stock Exchange Code number: 8550 URL: https://www.tochigibank.co.jp Representative: Junnosuke Kuromoto, President Contact: Hiroyuki Nakada, Director, General Manager of Corporate Planning Division Phone: +81-28-633-1241 Scheduled date of annual general shareholders’ meeting: June 29, 2022 Scheduled date of commencing dividend payments: June 30, 2022 Scheduled date of filing securities report: June 29, 2022 Establishment of specific transaction accounts: None Availability of supplementary explanatory materials on annual financial results: Available Schedule of annual financial results briefing session: Scheduled 1. Consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 – March 31, 2022) (1) Consolidated Operating Results (% indicates changes from the previous corresponding period.) Profit attributable to owners Ordinary income Ordinary profit of parent(Amounts of less than one million yen are rounded down.) Fiscal year ended March 31, 2022 March 31, 2021 (Note) Comprehensive income: Fiscal year ended March 31, 2022: ¥(4,888) million [–%] Fiscal year ended March 31, 2021: ¥10,291 million [–%] Million yen 41,646 40,238 Million yen5,5764,525%23.22.1%3.5(5.2) Million yen 3,628 2,081 Profit per share Diluted profit per share Return on equity Ratio of ordinary profit to total assets Ratio ofordinary profit to ordinary incomeFiscal year ended March 31, 2022 March 31, 2021 (Reference) Equity in earnings of affiliated companies: Yen 34.75 19.94 Yen34.5519.85%2.21.3% 0.2 0.1 Fiscal year ended March 31, 2022: ¥ – million Fiscal year ended March 31, 2021: ¥ – million %74.314.2%13.411.2 (2) Consolidated Financial Position As of March 31, 2022 As of March 31, 2021 (Reference) Equity: As of March 31, 2022: ¥161,155 million As of March 31, 2021: ¥167,024 million Million yen3,516,9893,261,125Total assets Million yen162,657168,317Net assets Equity ratio Net assets per shareYen1,542.791,600.18% 4.6 5.1 (Note) “Equity ratio” is calculated by dividing (Total net assets at end of period − Share acquisition rights at end of period − Non-controlling interests at end of period) by Total assets at end of period. This “Equity ratio” is not the equity ratio provided for in the regulatory notices pertaining to capital adequacy ratio. (3) Consolidated Cash Flows Fiscal year ended March 31, 2022 March 31, 2021 2. Dividends Cash flows from operating activities Cash flows from investing activities Cash flows from financing activities Million yen 279,583 317,901 Million yen(42,956)(43,851)Million yen (545) (1,677) Cash and cash equivalents at end of periodMillion yen887,602651,4661st quarter-end Annual dividends 3rd quarter-end2nd quarter-end Year-end Total dividends(annual) Payout ratio (consolidated) Total Ratio of dividends to net assets (consolidated)%–– YenYenYenYen Yen 2.50 Fiscal year ended March 31, 2021 Fiscal year ended March 31, 2022 Fiscal year ending March 31, 2023 (Forecast) 3. Consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023 (April 1, 2022 – March 31, Million yen3.00 2.50 15.8 20.9 25.1 5.003.006.003.005.502.505745210.30.4% – – ––2023) Ordinary income Ordinary profit Profit per share (% indicates changes from the previous corresponding period.) Profit attributable to owners of parent % Million yen1,5003,000% (30.5) (17.3) Yen14.3628.72 Million yen20,00040,000% Million yen2,5005,000(5.3) (3.9) First half Full year * Notes: (1) Changes in significant subsidiaries during the fiscal year under review (30.7)(10.3)(Changes in specified subsidiaries resulting in changes in scope of consolidation): None (2) Changes in accounting policies, changes in accounting estimates and retrospective restatement 1) Changes in accounting policies due to the revision of accounting standards: Yes 2) Changes in accounting policies other than 1) above: None 3) Changes in accounting estimates: None 4) Retrospective restatement: None (3) Total number of issued and outstanding shares (common shares) 1) Total number of issued and outstanding shares at the end of the year (including treasury shares): March 31, 2022: March 31, 2021: March 31, 2022: March 31, 2021: 2) Total number of treasury shares at the end of the year: 3) Average number of shares during the year: Year ended March 31, 2022: Year ended March 31, 2021: 104,436,634 shares104,378,770 shares109,608,000 shares109,608,000 shares5,151,020 shares5,229,417 shares (Reference) Summary of Non-consolidated Financial Results 1. Non-consolidated Financial Results for the Fiscal Year Ended March 31, 2022 (April 1, 2021 – March 31, 2022) (1) Non-consolidated Operating Results Year ended March 31, 2022 March 31, 2021 Million yen 36,667 35,604 Ordinary income Ordinary profit Profit (% indicates changes from the previous corresponding period.) %3.0(8.8)Million yen4,4123,397%29.9(13.7)Million yen 3,098 1,625 %90.7(7.0) Profit per share Diluted profitper shareYen29.5115.50Yen 29.67 15.57 Year ended March 31, 2022 March 31, 2021 (2) Non-consolidated Financial Position As of March 31, 2022 As of March 31, 2021 (Reference) Equity: As of March 31, 2022: ¥154,661 million As of March 31, 2021: ¥160,878 million Million yen3,501,4513,246,071Total assets Million yen154,798161,011Net assets Equity ratio Net assets per shareYen1,480.621,541.30% 4.4 5.0 (Note) “Equity ratio” is calculated by dividing (Total net assets at end of period − Share acquisition rights at end of period − Non-controlling interests at end of period) by Total assets at end of period. This “Equity ratio” is not the equity ratio provided for in the regulatory notices pertaining to capital adequacy ratio. 2. Non-consolidated Financial Results Forecast for the Fiscal Year Ending March 31, 2023 (April 1, 2022 – March 31, 2023) (% indicates changes from the previous corresponding period.) Ordinary income Ordinary profit Profit Profit per share Million yen 17,100 34,000 % Million yen2,2004,300% Million yen1,3002,600% (30.5) (16.1) (8.3) (7.2) (26.3)(2.5)First half Full year * These consolidated financial results are outside the scope of audit by certified public accountants or an audit firm. * Explanation of the appropriate use of financial results forecast and other notes The financial results forecast and other forward-looking statements herein are based on information currently available to the Bank and certain assumptions deemed reasonable. Actual results, etc. may differ significantly due to various factors. Yen12.4524.89 Table of Contents – Attachments 1. Operating Results (1) Analysis of Operating Results …………………………………………………………………………………………………….. 2 (2) Analysis of Financial Position …………………………………………………………………………………………………….. 2 (3) Basic Policy on Distribution of Profit and Dividends for the Fiscal Year under Review and the Following Fiscal Year ………………………………………………………………………………………………………………….. 3 2. Basic Policy on Selection of Accounting Standards …………………………………………………………………………… 3 3. Consolidated Financial Statements and Principal Notes (1) Consolidated Balance Sheets ……………………………………………………………………………………………………… 4 (2) Consolidated Statements of Income and Comprehensive Income ……………………………………………………. 6 (3) Consolidated Statements of Changes in Equity …………………………………………………………………………….. 8 (4) Consolidated Statements of Cash Flows …………………………………………………………………………………….. 10 (5) Notes to Consolidated Financial Statements (Notes on going concern assumption) ……………………………………………………………………………………… 12 (Significant accounting policies for preparation of consolidated financial statements) …………………… 12 (Changes in accounting policies)…………………………………………………………………………………………….. 12 (Segment information, etc.) ………………………………………………………………………………………………….. 12 (Per share information) ………………………………………………………………………………………………………… 16 (Significant subsequent events) …………………………………………………………………………………………….. 16 4. Non-consolidated Financial Statements (1) Non-consolidated Balance Sheets ……………………………………………………………………………………………… 17 (2) Non-consolidated Statements of Income …………………………………………………………………………………….. 19 (3) Non-consolidated Statements of Changes in Equity …………………………………………………………………….. 21 Financial Results Presentation Material I Overview of Financial Results for Fiscal Year Ended March 31, 2022 1. Status of Profit and Loss [Non-consolidated] [Consolidated] ………………………………………………………. 24 2. Main Accounts [Non-consolidated] ………………………………………………………………………………………….. 27 3. Margin [Non-consolidated] ……………………………………………………………………………………………………… 28 4. Securities-Related Profit and Loss [Non-consolidated] ……………………………………………………………….. 28 5. Valuation Gain and Loss on Securities with Market Value [Non-consolidated] [Consolidated] ………….. 29 6. Capital Adequacy Ratio (domestic standard) [Non-consolidated] [Consolidated] …………………………… 30 II Status of Loans and Bills Discounted, Etc. [Non-consolidated] 1. Status of Loans Based on the Banking Act and the Financial Reconstruction Act [Non-consolidated] ……………………………………………………………………………………………………………………………. 31 2. Status of Preservation of Loans Based on the Financial Reconstruction Act [Non-consolidated] ……….. 31 3. Status of Loans Based on the Banking Act and the Financial Reconstruction Act [Consolidated] …….. 32 4. Loans and Bills Discounted by Business Type …………………………………………………………………………… 33 5. Consumer Loan Balance …………………………………………………………………………………………………………. 33 1 1. Operating Results (1) Analysis of Operating Results Operating Results for the Fiscal Year Under Review The financial results for the fiscal year under review were as follows: Ordinary income increased by 1,407 million yen from the previous fiscal year to 41,646 million yen due in part to an increase in fees and commissions. in part to an increase in loss on sale of bonds. Ordinary expenses increased by 356 million yen from the previous fiscal year to 36,069 million yen due As a result, ordinary profit increased by 1,051 million yen from the previous fiscal year to 5,576 million yen and profit attributable to owners of parent increased by 1,547 million yen from the previous fiscal year to 3,628 million yen. As for the status of the segments by business type, in the Banking Business, ordinary income increased by 993 million yen from the previous fiscal year to 37,606 million yen and segment profit increased by 989 million yen from the previous fiscal year to 4,394 million yen. In the Financial Instruments Business, ordinary income increased by 3,025 million yen from the previous fiscal year to 470 million yen and segment profit increased by 79 million yen from the previous fiscal year to 871 million yen. The Bank has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. and the “Accounting Standard for Fair Value Measurement” (ASBJ Statement No. 30, July 4, 2019), etc. starting from the beginning of the fiscal year under review. An impact of the application is minor, and therefore, the analysis has been made using figures for the previous fiscal year, without any adjustment. Outlook for the following fiscal year As for the consolidated financial results forecast for the fiscal year ending March 31, 2023, the Bank expects ordinary income of 40,000 million yen, ordinary profit of 5,000 million yen, and profit attributable to owners of parent of 3,000 million yen. While the above financial results forecast is based on currently available information, actual business performance may vary due in part to changes in the business environment in the future, including an impact of the spread of COVID-19. Should any matter requiring disclosure arise, the Bank will make a prompt announcement. (2) Analysis of Financial Position (i) Status of assets, liabilities, and net assets Assets at the end of the fiscal year under review increased by 255.8 billion yen from the end of the previous fiscal year to 3,516.9 billion yen due in part to an increase in securities. Liabilities increased by 261.5 billion yen from the end of the previous fiscal year to 3,354.3 billion yen due in part to an increase in deposits. Net assets decreased by 5.6 billion yen from the end of the previous fiscal year to 162.6 billion yen due in part to a decrease in valuation difference on available-for-sale securities. The status of main accounts is as follows: Deposits The balance of deposits increased by 91.6 billion yen from the end of the previous fiscal year to 3,014.8 billion yen due in part to an increase in personal deposits. Loans and bills discounted The balance of loans and bills discounted decreased by 7.1 billion yen from the end of the previous fiscal year to 1,954.7 billion yen. Securities Investment has been made with a close attention to market trends. As a result, the balance of securities increased by 25.7 billion yen from the end of the previous fiscal year to 604.2 billion yen. 2 (ii) Status of cash flows The status of cash flows is as follows: Net cash provided by operating activities was 279,583 million yen due in part to an increase in deposits (a decrease of 38,318 million yen from the previous fiscal year). Net cash used in investing activities was 42,956 million yen due in part to purchase of securities (an increase of 894 million yen from the previous fiscal year). Net cash used in financing activities was 545 million yen due in part to dividends paid (an increase of 1,131 million yen from the previous fiscal year). As a result of the above, the balance of cash and cash equivalents at the end of the fiscal year under review increased by 236,136 million yen from the end of the previous fiscal year to 887,602 million yen. (3) Basic Policy on Distribution of Profit and Dividends for the Fiscal Year under Review and the Following Fiscal Year In light of its public nature as a bank, it is the basic policy of the Bank to strive for sound management and greater internal reserves and maintain stable dividend distribution to secure the trust of customers and local communities. The Bank intends to pay 3.00 yen per share, an increase of 0.50 yen per share, as the year-end dividend for the fiscal year ended March 31, 2022, in appreciation of the support of shareholders, considering the facts such as that the financial performance remained strong. As a result, combining the interim dividend of 2.50 yen, the annual dividend per share will be 5.50 yen. As announced on May 12, 2022, the Bank has formulated its shareholder returns policy for the purposes of clarifying the policy on shareholder returns and enhancing the appeal of investing in shares of the Bank. Under the policy, the Bank has set the total return ratio to profit attributable to owners of parent, combining dividend payment and purchase of treasury shares, to be around 30% to 35%. In line with this policy, for the dividends for the following fiscal year, the Bank plans to pay an annual dividend of 6.00 yen per share, consisting of an interim dividend of 3.00 yen per share and a year-end dividend of 3.00 yen per share. The Bank intends to make effective use of the internal reserves by continuing investment in branches and IT to improve services for customers as well as to enhance the management base and strengthen the management structure. 2. Basic Policy on Selection of Accounting Standards The Group’s business is currently limited to operations in Japan, without activities in overseas countries. Accordingly, the Group intends to apply the Japanese accounting standards for the time being. It is the Group’s policy to consider the application of the International Financial Reporting Standards (IFRS) taking into consideration the future trends in the application of the IFRS by other Japanese companies in the same industry. 3 3. Consolidated Financial Statements and Principal Notes (1) Consolidated Balance Sheets As of March 31, 2021 As of March 31, 2022 (Million yen) 895,5222,63415834604,2721,954,73292934,51020,4276,21712,6221371,4506234611613,7798,1582,424(11,876)3,516,9893,014,849990313,7991119,58193320268125822189612,4243,354,331658,8594,038671,135578,5571,961,8832,52736,89121,8356,74713,3201261,6405843052792,5924,4172,804(15,070)3,261,1252,923,18311,812132,7333219,49095334238–26820971,0392,8043,092,807 Assets Cash and due from banks Call loans and bills bought Trading securities Money held in trust Securities Loans and bills discounted Foreign exchanges Other assets Tangible fixed assets Buildings, net Land Construction in progress Other tangible fixed assets Intangible fixed assets Software Other intangible fixed assets Retirement benefit asset Deferred tax assets Customers’ liabilities for acceptances and guarantees Allowance for loan losses Total assets Liabilities Deposits Negotiable certificates of deposit Borrowed money Foreign exchanges Other liabilities Provision for bonuses Provision for bonuses for directors (and other officers) Retirement benefit liability Provision for retirement benefits for directors (and other officers) Provision for reimbursement of deposits Provision for contingent loss Reserves under special laws Deferred tax liabilities for land revaluation Acceptances and guarantees Total liabilities 4 Net assets Share capital Capital surplus Retained earnings Treasury shares Total shareholders’ equity Valuation difference on available-for-sale securities Revaluation reserve for land Remeasurements of defined benefit plans Total accumulated other comprehensive income Share acquisition rights Non-controlling interests Total net assets Total liabilities and net assets (Million yen)As of March 31, 2021 As of March 31, 2022 27,40830,036113,473(2,346)168,572(2,022)(793)1,268(1,547)1321,159168,3173,261,12527,40830,036116,366(2,311)171,500(10,676)(843)1,175(10,344)1371,365162,6573,516,989 5 (2) Consolidated Statements of Income and Comprehensive Income Consolidated Statements of Income For the fiscal year ended March 31, 2021 For the fiscal year ended March 31, 2022 (Million yen) Ordinary income Interest income Interest on loans and discounts Interest and dividends on securities Interest on call loans and bills bought Interest on deposits with banks Other interest income Fees and commissions Other ordinary income Other income Recoveries of written off receivables Other Ordinary expenses Interest expenses Interest on deposits Interest on negotiable certificates of deposit Interest on borrowings and rediscounts Other interest expenses Fees and commissions payments Other ordinary expenses General and administrative expenses Other expenses Provision of allowance for loan losses Other Ordinary profit Extraordinary income liabilities Extraordinary losses Gain on disposal of non-current assets Reversal of reserve for financial instruments transaction Loss on disposal of non-current assets Provision of reserve for financial instruments transaction liabilities Impairment losses Profit before income taxes Income taxes – current Income taxes – deferred Total income taxes Profit Profit attributable to non-controlling interests Profit attributable to owners of parent 6 40,238 26,382 20,923 5,052 3 401 0 8,375 1,816 3,664 267 3,397 35,713 410 374 6 25 4 3,496 1,217 25,041 5,547 2,231 3,316 4,525 98 96 1 348 43 – 305 4,274 1,615 199 1,814 2,459 378 2,081 41,646 25,606 20,446 4,300 2 856 0 8,990 2,267 4,781 274 4,507 36,069 239 211 0 27 0 3,608 3,456 24,038 4,727 1,370 3,356 5,576 58 58 – 1,187 51 1 1,135 4,448 503 86 589 3,858 229 3,628 Consolidated Statements of Comprehensive Income Profit Other comprehensive income Valuation difference on available-for-sale securities Remeasurements of defined benefit plans, net of tax Comprehensive income Comprehensive income attributable to Comprehensive income attributable to owners of parentComprehensive income attributable to non-controlling interests For the fiscal year ended March 31, 2021 For the fiscal year ended March 31, 2022 (Million yen) 2,459 7,831 5,174 2,657 10,291 9,903 387 3,858(8,746)(8,653)(93)(4,888)(5,118)229 7 (3) Consolidated Statements of Changes in Equity Fiscal year ended March 31, 2021 (from April 1, 2020 to March 31, 2021) Shareholders’ equity Share capital Capital surplusTreasury shares 27,408Retained earnings 112,012 (521)2,081 (98) 26,235 3,801 (Million yen) Total shareholders’ equity 163,310(521)2,081(0)(98)3,801(2,346) (0) –27,4083,801 30,036 1,460 113,473 (0) (2,346) 5,262168,572Accumulated other comprehensive income Valuation difference on available-for-sale securities Revaluation reserve for land Remeasurementsof defined benefit plans (7,188) (892)(1,388) Total accumulated other comprehensive income (9,468)Share acquisition rights Non- controlling interests Total net assets 5,727 107 159,677 (521)2,081 (0)(98)3,801 5,165 5,165 (2,022) 9898(793)2,657 2,657 1,268 7,9207,920(1,547)25 25 132 (4,568)3,377 (4,568)1,1598,639 168,317 Balance at beginning of period Changes during period Dividends of surplus Profit attributable to owners of parent Purchase of treasury shares Reversal of revaluation reserve for land Change in ownership interest of parent due to transactions with non-controlling interests Net changes in items other than shareholders’ equity Total changes during period Balance at end of period Balance at beginning of period Changes during period Dividends of surplus Profit attributable to owners of parent Purchase of treasury shares Reversal of revaluation reserve for land Change in ownership interest of parent due to transactions with non-controlling interests Net changes in items other than shareholders’ equity Total changes during period Balance at end of period 8 Fiscal year ended March 31, 2022 (from April 1, 2021 to March 31, 2022) Share capital Capital surplusTreasury shares Shareholders’ equity Retained earnings Balance at beginning of period 27,40830,036113,473 (2,346) 168,572 Cumulative effects of changes in accounting policies Restated balance Changes during period Dividends of surplus Profit attributable to owners of parent Purchase of treasury shares Disposal of treasury shares Transfer of loss on disposal of treasury shares Reversal of revaluation reserve for land Change in ownership interest of parent due to transactions with non-controlling interests Net changes in items other than shareholders’ equity Total changes during period Balance at end of period Cumulative effects of changes in accounting policies Restated balance Changes during period Dividends of surplus Profit attributable to owners of parent Purchase of treasury shares Disposal of treasury shares Transfer of loss on disposal of treasury shares Reversal of revaluation reserve for land Change in ownership interest of parent due to transactions with non-controlling interests Net changes in items other than shareholders’ equity Total changes during period Balance at end of period (2,022) (8,653) (8,653) (10,676) 27,40830,036(15)15(248)113,225 (522)3,628 (15)50 Total income (1,547)1,268 (Million yen) Total shareholders’ equity (248)168,323(522)3,628(0)19–50–(2,346) (0) 35 (248)168,068 (522)3,628(0)19–50–132 4 4 137 (93)(8,796)205(8,586)(93)1,175 (8,796)(10,344)2051,365(5,410)162,657(50)(50)(843) 9 –27,408–30,0363,141 116,366 35 (2,311) 3,176171,500Accumulated other comprehensive income Valuation difference on available-for-salesecurities Revaluation Remeasurementsaccumulated reserve for land of defined other benefit plans comprehensive Share acquisition rights Non- controlling interests Total net assets Balance at beginning of period (2,022) (793)1,268 132 1,159168,317(793)(1,547)1,159(4) Consolidated Statements of Cash Flows For the fiscal year ended March 31, 2021 For the fiscal year ended March 31, 2022 (Million yen) 4,2741,2203052,008648–(538)–(7)(13)(26,382)410847(2)10(53)(13,739)212,788(14,670)129,773(1,557)(341)(104)226,490(524)(484)319,784(1,887)3317,901 4,448 1,219 1,135 (3,193) (20) (13) (1,321) 30 1 (9) 11 (25,606) 239 2,205 (4) (55) (7) 7,150 90,674 (10,821) 181,066 463 1,404 1,598 (21) 26,022 (312) 4,069 280,351 (887) 119 279,583 Cash flows from operating activities Profit before income taxes Depreciation Impairment losses Increase (decrease) in allowance for loan losses Increase (decrease) in provision for bonuses Increase (decrease) in provision for bonuses for directors (and other officers) Decrease (increase) in retirement benefit asset Increase (decrease) in retirement benefit liability Increase (decrease) in provision for retirement benefits for directors (and other officers)Increase (decrease) in provision for reimbursement of deposits Increase (decrease) in provision for contingent loss Interest income Interest expenses Loss (gain) related to securities Loss (gain) on money held in trust Foreign exchange losses (gains) Loss (gain) on disposal of non-current assets Net decrease (increase) in loans and bills discounted Net increase (decrease) in deposits Net increase (decrease) in negotiable certificates of deposit Net increase (decrease) in borrowed money Net decrease (increase) in due from banks (excluding due from Bank of Japan) Net decrease (increase) in call loans Net decrease (increase) in foreign exchanges – assets Net increase (decrease) in foreign exchanges – liabilities Interest received Interest paid Other, net Subtotal Income taxes paid Income taxes refund Net cash provided by (used in) operating activities 10 For the fiscal year ended March 31, 2021 For the fiscal year ended March 31, 2022 Cash flows from investing activitiesPurchase of securities Proceeds from sale of securitiesProceeds from redemption of securities Decrease in money held in trustPurchase of tangible fixed assets Proceeds from sale of tangible fixed assets Purchase of intangible fixed assets Payments of leasehold and guarantee deposits Proceeds from refund of leasehold and guarantee depositsNet cash provided by (used in) investing activitiesCash flows from financing activities Dividends paid Dividends paid to non-controlling interests Proceeds from share issuance to non-controlling shareholders Purchase of treasury shares Proceeds from sale of treasury shares Purchase of shares of subsidiaries not resulting in change in scope of consolidation Net cash provided by (used in) financing activitiesEffect of exchange rate change on cash and cash equivalentsNet increase (decrease) in cash and cash equivalents Cash and cash equivalents at beginning of period Cash and cash equivalents at end of period (Million yen) (190,207) 138,996 8,843 305 (773) 229 (385) (31) 66 (42,956) (522) (23) – (0) 0 – (545) 55 236,136 651,466 887,602 (140,384)80,60816,756281(1,263)282(180)(4)53(43,851)(521)(14)280(0)–(1,420)(1,677)(10)272,363379,102651,466 11 (5) Notes to Consolidated Financial Statements (Notes on going concern assumption) Not applicable. Not applicable. (Significant accounting policies for preparation of consolidated financial statements) (Changes in accounting policies) (Application of the Accounting Standard for Revenue Recognition, etc.) The Company has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020, hereinafter referred to as “Revenue Recognition Accounting Standard”), etc. from the beginning of the fiscal year under review, and has decided to recognize revenue in the amount expected to be received in exchange for promised goods or service when the control of the goods or service is transferred to customers. Accordingly, the Bank now recognizes revenue from certain fees, etc. upon the fulfillment of the performance obligations through the transfer of a good or service to a relevant customer based on a contract, which was previously recognized upon the receipt of consideration (recorded principally as fees and commissions). The application of the Revenue Recognition Accounting Standard, etc., is subject to the transitional treatment provided for in the proviso to Paragraph 84 of the Revenue Recognition Accounting Standard. The cumulative effect of the retrospective application of the new accounting policy, assuming it has been applied to the periods prior to the beginning of the fiscal year under review, has been added to or subtracted from retained earnings at the beginning of the fiscal year under review, and the new accounting policy has been applied from the said beginning balance. As a result, retained earnings at the beginning of the fiscal year under review decreased by 248 million yen, and other liabilities and deferred tax assets increased by 319 million yen and 70 million yen, respectively. A resulting impact on the consolidated financial statements for the fiscal year under review is minor. (Application of the Accounting Standard for Fair Value Measurement, etc.) The Bank has applied the “Accounting Standard for Fair Value Measurement” (ASBJ Statement No. 30, July 4, 2019, hereinafter referred to as “Fair Value Measurement Accounting Standard”), etc. from the beginning of the fiscal year under review, and prospectively applies the new accounting policy determined by the Fair Value Measurement Accounting Standard, etc. in accordance with the transitional treatment set forth in Paragraph 19 of the Fair Value Measurement Accounting Standard and Paragraph 44-2 of the “Accounting Standard for Financial Instruments” (ASBJ Statement No. 10, July 4, 2019).” Accordingly, the Bank has conducted valuation of credit derivatives at market value, which has previously been deemed extremely difficult to ascertain the market value and treated in accordance with treatment of guarantee of obligations. However, a resulting impact on the consolidated financial statements for the fiscal year under review is minor. (Segment information, etc.) 1. Overview of reportable segments The Group engages in businesses related to financial service including not only the core banking business but also the leasing business, the credit card business and the financial instruments business. The reportable segments consist of “Banking Business” and “Financial Instruments Business,” and the “Others” segment includes leasing business, credit card business, etc. “Banking Business” engages in deposit operations, lending operations, domestic/foreign exchange operations, etc., and includes the Bank and two consolidated subsidiaries which mainly engage in operations 12 entrusted by the Bank. “Financial Instruments Business” is comprised of Tochigin Tokai Tokyo Securities Co., Ltd., a consolidated subsidiary which engages in securities brokerage, etc. 2. Method for calculating amount of ordinary income, profit or loss, assets and other items by reportable segment The accounting method for the reported business segments is the same as the accounting method used in preparing the consolidated financial statements. Profit figures for reportable segments are based on ordinary profit, and the inter-segment transactions are based on third-party prices. As the Bank has applied the “Accounting Standard for Revenue Recognition” (ASBJ Statement No. 29, March 31, 2020), etc. from the beginning of the fiscal year under review, the method for calculating the amount of profit or loss of the business segments has been changed likewise, starting from the fiscal year under review. An impact of the change on the segment information is minor. The segment information for the previous fiscal year is calculated based on the accounting standards before the change. 13 3. Information concerning amount of ordinary income, profit or loss, assets and other items by reportable segment For the fiscal year ended March 31, 2021 (from April 1, 2020 to March 31, 2021) Others Total Adjustments Reportable segment Banking Business Financial Instruments Business Total 36,128 2,55438,6821,555 40,238 40,238(Million yen) Amount recorded in Consolidated Financial Statements – Ordinary income Ordinary income from outside customers Inter-segment ordinary income Total Segment profit Segment assets Other items Depreciation Interest income Interest expenses Provision (reversal) of allowance for loan losses 484 0485866 1,351 (1,351) –36,613 3,404 3,245,944 1,051 26,409 380 2,195 2,5547929,54939,1674,1973,255,4931,08426,43440332242202,422 350 13,022 26 4 45 41,590 4,547 3,268,516 1,110 26,439 448 (1,351) (22) (7,391) 110 (57) (37) 40,2384,5253,261,1251,22026,3824102,19535 2,231 (0) 2,231Increases in tangible fixed assets and intangible fixed assets (Notes) 1. Ordinary income is stated for each segment in lieu of net sales of general companies. 1,144 1,261 1,153107 9182 1,4442. “Others” is a business segment that is not included in the reportable segments, which is comprised of the leasing business, the credit card business, etc. 3. Adjustments represent eliminations for inter-segment transactions. 4. Segment profit is adjusted with ordinary profit in the Consolidated Statements of Income. 14 Ordinary income Ordinary income from outside customers Inter-segment ordinary income Total Segment profit Segment assets Other items Depreciation Interest income Interest expenses Provision (reversal) of allowance for loan losses For the fiscal year ended March 31, 2022 (from April 1, 2021 to March 31, 2022) Others Total Adjustments Reportable segment Banking Business Financial Instruments Business Total 37,008 3,02340,0311,614 41,646 41,646(Million yen) Amount recorded in Consolidated Financial Statements – 598 1600715 1,315 (1,315) –37,606 4,394 3,501,391 1,031 25,653 211 1,411 3,0258719,21940,6315,2663,510,6101,09125,681235602823–2,329 352 13,045 35 5 43 42,961 5,618 3,523,655 1,127 25,687 279 (1,315) (41) (6,666) 92 (80) (39) 41,6465,5763,516,9891,21925,6062391,411(40)1,370 0 1,370Increases in tangible fixed assets and intangible fixed assets (Notes) 1. Ordinary income is stated for each segment in lieu of net sales of general companies. 1,107 1,078872 20629 51 1,1582. “Others” is a business segment that is not included in the reportable segments, which is comprised of the leasing business, the credit card business, etc. 3. Adjustments represent eliminations for inter-segment transactions. 4. Segment profit is adjusted with ordinary profit in the Consolidated Statements of Income. 15 (Per share information) 1. Net assets per share and the basis for calculation Net assets per share (Basis for calculation) Total net assets Amount deducted from total net assets (Share acquisition rights) (Non-controlling interests) Yen Million yen Million yen Million yen Million yen Million yen Net assets relating to common shares at end of period Number of shares of common shares at end of period used to calculate net assets per share Thousand shares2. The basis for calculation of profit per share and diluted profit per share (1) Profit per share (Basis for calculation) Profit attributable to owners of parent Amount not attributable to common shareholders Profit attributable to owners of parent relating to common shares Average number of common shares during period (2) Diluted profit per share (Basis for calculation) Adjustment for profit attributable to owners of parent relating to common shares Increase in number of shares of common shares (Share acquisition rights) Overview of potentially dilutive shares not included in the calculation of diluted profit per share due to their non-dilutive effect (Significant subsequent events) Not applicable. Yen Million yen Million yen Million yen Thousand sharesYen Million yen Thousand sharesThousand shares As of March 31, 2022 For the fiscal year ended March 31, 20221542.79162,6571,5021371,365161,155104,45634.75 3,628 – 3,628 104,436 34.55 – – 581 581 16 As of March 31, 2021 As of March 31, 2022 (Million yen) 892,98242,026850,9552,6341515834606,964167,38658,425116,04213,216251,8921,955,1984,34279,1101,764,023107,72292992919,6422,234–17,40719,9546,13212,543307137834491335331222,0888,5992,424(11,308)3,501,451655,61239,796615,8164,03867671,135581,248104,80064,581115,84214,456281,5671,962,9954,37879,3761,778,903100,3362,5272,52722,5552,059020,49621,3646,70813,223419126886550277212527674,8882,804(14,484)3,246,071 4. Non-consolidated Financial Statements (1) Non-consolidated Balance Sheets Assets Cash and due from banks Cash Due from banks Call loans Trading securities Trading government bonds Money held in trust Securities Government bonds Local government bonds Corporate bonds Stocks Other securities Loans and bills discounted Bills discounted Loans on bills Loans on deeds Overdrafts Foreign exchanges Other assets Accrued revenue Financial derivatives Other Tangible fixed assets Buildings, net Land Leased assets, net Construction in progress Other tangible fixed assets Intangible fixed assets Software Leased assets Other intangible fixed assets Prepaid pension costs Deferred tax assets Due from foreign banks (our accounts) Customers’ liabilities for acceptances and guarantees Allowance for loan losses Total assets 17 As of March 31, 2021 As of March 31, 2022 (Million yen) Liabilities Deposits Current deposits Ordinary deposits Savings deposits Deposits at notice Time deposits Installment savings Other deposits Negotiable certificates of deposit Borrowed money Borrowings from other banks Foreign exchanges Foreign bills payable Other liabilities Income taxes payable Accrued expenses Unearned revenue Reserve for interest on installment savings Financial derivatives Lease liabilities Other Provision for bonuses Provision for bonuses for directors (and other officers) Provision for retirement benefits Provision for reimbursement of deposits Provision for contingent loss Deferred tax liabilities for land revaluation Acceptances and guarantees Total liabilities Net assets Share capital Capital surplus Legal capital surplus Retained earnings Legal retained earnings Other retained earnings General reserve Retained earnings brought forward Treasury shares Total shareholders’ equity Valuation difference on available-for-sale securities Revaluation reserve for land Total valuation and translation adjustments Share acquisition rights Total net assets Total liabilities and net assets 18 2,925,90564,5731,821,44137,4671,910979,51111,1569,84411,812130,200130,200323211,977336710751004819,69578525–2682091,0392,8043,085,06027,40826,15026,150112,4871,745110,742106,9873,755(2,346)163,699(2,027)(793)(2,821)132161,0113,246,0713,017,38768,0351,939,93437,342601951,22110,8009,449990311,200311,200111112,36689609991014736210,16577312432582219612,4243,346,65227,40826,15026,150114,9371,745113,191106,9876,204(2,311)166,184(10,680)(843)(11,523)137154,7983,501,451 For the fiscal year ended March 31, 2021 For the fiscal year ended March 31, 2022 (Million yen) (2) Non-consolidated Statements of Income Ordinary income Interest income Interest on loans and discounts Interest and dividends on securities Interest on call loans Interest on deposits with banks Other interest income Fees and commissions Fees and commissions on domestic and foreign exchanges Other fees and commissions Other ordinary income Gain on foreign exchange transactions Gain on sale of bonds Other Other income Recoveries of written off receivables Gain on sale of equity securities Gain on money held in trust Other Ordinary expenses Interest expenses Interest on deposits Interest on negotiable certificates of deposit Interest on borrowings and rediscounts Fees and commissions payments Fees and commissions on domestic and foreign exchanges Other fees and commissions Other ordinary expenses Net loss on trading securities transactions Loss on sale of bonds Loss on devaluation of bonds Loss on financial derivatives Other General and administrative expenses Other expenses Provision of allowance for loan losses Written-off of loans Loss on sale of equity securities Loss on devaluation of equity securities Other Ordinary profit 19 35,604 26,409 20,936 5,067 3 401 0 7,621 1,725 5,896 468 26 90 352 1,104 266 179 2 655 32,206 380 374 6 0 3,792 336 3,455 1,217 0 824 15 – 377 23,145 3,670 2,193 1,025 154 65 232 3,397 36,667 25,653 20,458 4,336 2 856 0 8,157 1,573 6,583 633 19 153 460 2,223 272 1,367 4 577 32,255 211 211 0 0 3,871 238 3,633 3,456 0 3,009 – 183 263 21,840 2,874 1,387 528 588 128 241 4,412 Extraordinary income Gain on disposal of non-current assets Extraordinary losses Loss on disposal of non-current assets Impairment losses Profit before income taxes Income taxes – current Income taxes – deferred Total income taxes Profit For the fiscal year ended March 31, 2021 For the fiscal year ended March 31, 2022 (Million yen) 45 45 1,164 50 1,113 3,292 118 74 193 3,098 86 86 348 43 305 3,135 1,174 336 1,510 1,625 20 (3) Non-consolidated Statements of Changes in Equity Fiscal year ended March 31, 2021 (from April 1, 2020 to March 31, 2021) (Million yen) Shareholders’ equity Capital surplus Retained earnings Other retained earnings Share capital Legal capital Total capital surplus surplus Legal retained earnings General reserve Retained earnings brought forward Total retained earnings 27,408 26,15026,1501,745106,987 2,750 111,482 Balance at beginning of period Changes during period Dividends of surplus Profit Purchase of treasury shares Reversal of revaluation reserve for land Net changes in items other than shareholders’ equity Total changes during period Balance at end of period Balance at beginning of period Changes during period Dividends of surplus Profit Purchase of treasury shares Reversal of revaluation reserve for land Net changes in items other than shareholders’ equity Total changes during period (0) – –––– 1,004 1,00427,408 26,15026,1501,745106,987 3,755 112,487Shareholders’ equity Valuation and translation adjustments Valuation Treasury shares Total shareholders’ equity difference on available-for-sale securities Revaluation reserve for land Total valuation and translation adjustments Share acquisition rights Total net assets (2,346) 162,694(7,187)(892)(8,079)107 154,723 (521) 1,625 (521)1,625(98) (98) (521)1,625(0)(98)(521)1,625(0)(98) 21 5,1595,25825 5,2839898(0) 1,0045,1595,25825 6,288Balance at end of period (2,346) 163,699(2,027)(793)(2,821)132 161,011 Fiscal year ended March 31, 2022 (from April 1, 2021 to March 31, 2022) (Million yen) Shareholders’ equity Capital surplus Retained earnings Other retained earnings Share capital Legal capital surplus Other capital surplus Total capital surplus Legal retained earnings General reserve Retained earnings brought forward Total retained earnings 27,408 26,150–26,150 1,745106,987 3,755 112,48726,150–1,74526,150 (15)15(15)15 (161) (161)3,593 (522) 3,098 112,325 (522)3,098106,987 (15) 50 (15)50 – 27,408 –26,150––– 26,150 –1,745– 106,987 2,611 6,204 2,611114,937Balance at beginning of period Cumulative effects of changes in accounting policies Restated balance Changes during period Dividends of surplus Profit Purchase of treasury shares Disposal of treasury shares Transfer of loss on disposal of treasury shares Reversal of revaluation reserve for land Net changes in items other than shareholders’ equity Total changes during period Balance at end of period 27,408 22 Shareholders’ equity Valuation and translation adjustments Valuation Treasury shares Total shareholders’ equity difference on available-for-sale securities Revaluation reserve for land Total valuation and translation adjustmentsShare acquisition rights Total net assets (2,346) 163,699(2,027)(793)(2,821)132 161,011Restated balance (2,346) 163,538(2,027)(793)(2,821)132 160,849 Balance at beginning of period Cumulative effects of changes in accounting policies Changes during period Dividends of surplus Profit Purchase of treasury shares Disposal of treasury shares Transfer of loss on disposal of treasury shares Reversal of revaluation reserve for land Net changes in items other than shareholders’ equity Total changes during period (0) (0)(161)(522)3,09819–5035 (8,652)(50)(8,702)35 2,646(8,652)(50)(8,702)Balance at end of period (2,311) 166,184(10,680)(843)(11,523)137 154,798 4 4 (161) (522)3,098(0)19–50(8,698)(6,051) 23 Fiscal year ended March 2022 Change from fiscal year ended March 2021 (Million yen) Fiscal year ended March 2021 (2,205) 29,109Financial Results Presentation Material I Overview of Financial Results for Fiscal Year Ended March 31, 2022 1. Status of Profit and Loss [Non-consolidated] Gross operating profit (Excluding gains (losses) on government bonds and other securities) Domestic gross profit (Excluding gains (losses) on government bonds and other securities) Net interest income Fees and commissions income Other operating income International gross profit (Excluding gains (losses) on government bonds and other securities) Net interest income Fees and commissions income Other operating income Expenses (excluding extraordinary adjustments) Personnel expenses Non-personnel expenses Taxes Substantial net business profit (Note 1) Core net business profit (Note 2) Core net business profit (excluding gains (losses) from cancellation of investment trust) Provision of general allowance for loan losses (1) Net business profit Of which, gains (losses) on government bonds and other securities Unusual profits and losses Bad loans disposed (2) Written-off of loans Provision of individual allowance for loan losses Loss on sale of receivables Provision for contingent loss Cost borne under joint responsibility system of credit guarantee corporations (Costs for loans written-off (1) + (2)) Reversal of provision for contingent loss (3) 24 26,90329,76026,81029,66625,3684,284(2,842)93937301922,19812,5438,2271,4274,7057,5627,4666044,101(2,856)3101,45652878325111072,061–(99) (2,190) (83) (583) 460 (2,067) (15) (15) (3) (4) (7) (488) (314) (105) (68) (1,717) 389 1,638 (723) (993) (2,106) 2,008 (576) (496) (81) 25 11 (35) (1,300) (13) 29,85929,00129,75025,9513,824(775)1081087742622,68612,8578,3331,4956,4237,1725,8281,3285,094(749)(1,697)2,0331,025864––1423,36113 Recoveries of written off receivables Gains (losses) related to equity securities Gain on sale of equity securities Loss on sale of equity securities Loss on devaluation of equity securities Other unusual profits and losses Ordinary profit Extraordinary income and losses Of which, loss (gain) on disposal of non-current assets Gain on disposal of non-current assets Loss on disposal of non-current assets Of which, impairment losses Profit before income taxes Income taxes – current Income taxes – deferred Total income taxes Profit 2726501,3675881288444,412(1,119)(5)45501,1133,292118741933,0986 689 1,187 434 63 748 1,014 (857) (48) (41) 7 808 157 (1,055) (261) (1,316) 1,473 266(39)17915465963,397(261)4386433053,1351,1743361,5101,6253,348Costs for loans written-off (1) + (2) – (3) 2,061(1,287) (Note 1) Substantial net business profit = Net business profit (before transfer to general allowance for loan losses) (Note 2) Core net business profit = Substantial net business profit – Gain (loss) on bonds 25 [Consolidated] (Million yen) Fiscal year ended March 2022 Change from fiscal year ended March 2021 Fiscal year ended March 2021 Consolidated gross profit Net interest income Fees and commissions income Other operating income General and administrative expenses Costs for loans written-off (1) Written-off of loans Provision of individual allowance for loan losses Provision of general allowance for loan losses Loss on sale of receivables Provision for contingent loss Cost borne under joint responsibility system of credit guarantee corporations Reversal of provision for contingent loss (2) Recoveries of written off receivables Gains (losses) related to equity securities Others Ordinary profit Extraordinary income and losses Profit before income taxes Income taxes – current Income taxes – deferred Total income taxes Profit attributable to non-controlling interests Profit attributable to owners of parent 29,56025,3675,382(1,188)24,0382,1025867745962511107–2746501,2325,576(1,128)4,448503865892293,628(1,889) (604) 503 (1,788) (1,003) (1,357) (498) (150) (710) 25 11 (35) (13) 6 698 (112) 1,051 (877) 173 (1,112) (112) (1,224) (148) 1,547 31,44925,9714,87859925,0413,4591,0859241,306––14213267(48)1,3444,525(250)4,2741,6151991,8143782,0813,446Costs for loans written-off ((1) – (2)) 2,102(1,344) (Note) Consolidated gross profit = (Interest income – Interest expenses) + (Fees and commissions – Fees and commissions payments) + (Other ordinary income – Other ordinary expenses) (Number of companies in the scope of consolidation) Number of consolidated subsidiaries Number of equity-method affiliated companies Fiscal year ended March 2022 Change from fiscal year ended March 2021 – – 5–(No. of companies) Fiscal year ended March 2021 5– 26 Loans and bills discounted Loans and bills discounted for individuals, SMEs, etc. Liquid deposits Balance of securities Securities Government bonds Balance of deposit assets 2. Main Accounts [Non-consolidated] Balance of deposits (Million yen) March 31, 2022 Change from September 30, 2021 Change from March 31, 2021September 30, 2021 March 31, 2021Deposits Time deposits Liquid deposits *Excluding negotiable certificates of deposit. 3,017,387 964,974 2,052,413 16,113(29,355)45,46891,481(30,364)121,8453,001,273 994,329 2,006,944 2,925,905995,3381,930,567Balance of loans and bills discounted (Million yen, %) March 31, 2022 Change from September 30, 2021 Change from March 31, 2021September 30, 2021 March 31, 20211,955,198 7,312(7,796)1,947,886 1,962,9951,484,601 5,748(23,151)1,478,853 1,507,75275.93 0.01(0.87)75.92 76.80March 31, 2022 Change from September 30, 2021 Change from March 31, 2021September 30, 2021 March 31, 2021606,964 167,386 34,70037,30225,71562,586572,263 130,083 581,248104,800(Million yen) (Million yen) March 31, 2022 Change from September 30, 2021 Change from March 31, 2021September 30, 2021 March 31, 202113,238(727)12,8671,09823,582(2,109)25,931(239)385,117 24,250 124,670 236,197 374,77425,632111,607237,535Deposit assets Public bonds Investment trusts Individual pension, etc. 398,356 23,522 137,538 237,295 27 3. Margin [Non-consolidated] (1) Yield on assets (A) (A) Yield on discounted (B) Yield on securities (2) Funding costs (B) loans and bills (A) Yield on deposits, etc. (B) Yield on external liabilities (3) Total interest margin (A) – (B) (Reference) Deposit and loan margin (domestic) (Reference) Total (domestic) interest margin Gains (losses) on government bonds and other securities Gains on sales Gains on redemption Losses on sales Losses on redemption Write-offs Gains on sales Losses on sales Write-offs Gains (losses) on equity securities Fiscal year ended March 2022 Change from fiscal year ended March 2021 Fiscal year ended March 2021 (%) (0.06) (0.02) (0.17) (0.07) (0.01) – 0.01 0.03 0.02 (2,106) 63 – 2,184 – (15) 689 1,187 434 63 0.891.060.900.770.010.000.120.270.12(749)90 – 824 – 15 (39)179 154 65 4. Securities-Related Profit and Loss [Non-consolidated] Fiscal year ended March 2022 Change from fiscal year ended March 2021 Fiscal year ended March 2021 (Million yen) 0.831.040.730.700.000.000.130.300.14(2,856)153 3,009 – – – 650 1,367 588 128 28 (15,441) (12,432) 17,643(3,008) Total (15,441) (12,432) 5. Valuation Gain and Loss on Securities with Market Value [Non-consolidated] March 31, 2022 (Million yen) March 31, 2021 Evaluation gain Evaluation loss Evaluation gain Evaluation loss Valuation gain and loss Held to maturity Stocks of subsidiaries and affiliates Other securities Stocks Bonds Others Stocks Bonds Others [Consolidated] Held to maturity Stocks of subsidiaries and affiliates Other securities Stocks Bonds Others Stocks Bonds Others YoY change – – (388) (3,728) (8,315) (388) (3,728) (8,315) YoY change – – (388) (3,728) (8,317) (388) (3,728) (8,317) Valuation gain and loss – – 1,235 (5,537) (11,139) 1,235 (5,537) (11,139) Valuation gain and loss – – 1,235 (5,537) (11,127) 1,235 (5,537) (11,127) ––2,2011,964401972,2011,96440197 ––2,2171,964402132,2171,96440213 29 – – 7,865 801 2,076 4,987 7,865 801 2,076 4,987 – – 7,866 801 2,076 4,988 7,866 801 2,076 4,988 7295,57711,33617,6437295,57711,336––––7295,57711,34017,6477295,57711,340– – 1,623 (1,808) (2,823) (3,008) 1,623 (1,808) (2,823) – – 4,857 2,425 268 2,164 4,857 2,425 268 2,164 – – 1,623 (1,808) (2,809) (2,994) 1,623 (1,808) (2,809) ––4,8712,4252682,1784,8712,4252682,178March 31, 2022 March 31, 2021 (Million yen) Evaluation gain Evaluation loss Evaluation gain Evaluation loss Valuation gain and loss (15,429) (12,434) 17,647(2,994) Total (15,429) (12,434) 6. Capital Adequacy Ratio (domestic standard) [Non-consolidated] (1) Capital adequacy ratio (2) / (3) (2) Non-consolidated equity capital (3) Risk assets (4) Total non-consolidated equity capital requirements (3) × 4% [Consolidated] (1) Capital adequacy ratio (2) / (3) (2) Consolidated equity capital (3) Risk assets (4) Total consolidated equity capital requirements (3) × 4% March 31, 2022 Change from September 30, 2021 Change from March 31, 2021 (Million yen, %) September 30, 2021 March 31, 2021 11.79 (0.15)0.1611.94 11.63169,481 5312,141168,950 167,3401,437,146 22,726(1,519)1,414,419 1,438,66557,485 909(60)56,576 57,546March 31, 2022 Change from September 30, 2021 Change from March 31, 2021 (Million yen, %) September 30, 2021 March 31, 2021 12.06 (0.15)0.1612.21 11.90175,171 6312,452174,539 172,7181,451,982 23,3601,428,621 1,451,08658,079 93457,144 58,04389535 30 II Status of Loans and Bills Discounted, Etc. [Non-consolidated] 1. Status of Loans Based on the Banking Act and the Financial Reconstruction Act [Non-consolidated] (Million yen) March 31, 2022 September 30, 2021 March 31, 2021 Change from September 30, 2021 Change from March 31, 2021 1,129 (2,125)(793)3,254 1,922Doubtful loans 42,022 (2,905)(1,279)44,928 43,3021,331 (131)521 1,463 28 (26)5 54 1,302 (105)516 1,408 80922786Subtotal (A) 44,483 (5,162)(1,550)49,646 46,033Normal assets 1,934,603 15,426(1,356)1,919,176 1,935,959Total (total claims) (B) Ratio to total claims (A) / (B) 1,979,086 2.24% 10,263(0.28)%(2,906)1,968,822 1,981,993(0.08)%2.52% 2.32%2. Status of Preservation of Loans Based on the Financial Reconstruction Act [Non-consolidated] (Million yen) March 31, 2022 September 30, 2021 March 31, 2021 Change from September 30, 2021 Change from March 31, 202128,554 6,134 (5,059)(3,379)(2,781)(3,636)33,613 9,513 31,3359,770 Bankrupt and quasi-bankrupt loans Special attention loans Accruing loans contractually past due 3 months or more Restructured loans Amount preserved (C) Allowance for loan losses Provision for possible loss on specific borrowers Collateral and guarantees, etc. Preservation rate (C) / (A) – –– – –22,420 (1,680)855 24,100 21,56464.19% (3.51)%(3.88)%67.70% 68.07% 31 Bankrupt and quasi-bankrupt loans Special attention loans Accruing loans contractually past due 3 months or more Restructured loans Total (total claims) (B) 3. Status of Loans Based on the Banking Act and the Financial Reconstruction Act [Consolidated] (Million yen) March 31, 2022 September 30, 2021 March 31, 2021 Change from September 30, 2021 Change from March 31, 2021 1,346 (2,124)(789)3,471 2,136Doubtful loans 42,115 (2,907)(1,292)45,023 43,4081,331 (131)521 1,463 28 (26)5 54 1,302 (105)516 1,408 80922786Subtotal (A) 44,793 (5,164)(1,560)49,957 46,354Normal assets 1,933,829 15,637(699)1,918,192 1,934,5281,978,623 10,473(2,259)1,968,150 1,980,882Ratio to total claims (A) / (B) 2.26% (0.27)%(0.08)%2.53% 2.34% 32 Total loans and bills discounted Manufacturing Agriculture and forestry Fishery Mining, quarrying, and gravel Construction Utilities Communication and information services Transport and postal activities Wholesale and retail Finance and insurance Real estate and goods rental and leasing Services Municipal government Other (individuals) Balance of housing Balance of other loans loans Total 4. Loans and Bills Discounted by Business Type March 31, 2022 Change from September 30, 2021 Change from March 31, 2021(Million yen) September 30, 2021 March 31, 2021 1,947,886 1,962,995144,620 151,5486,805 760 2,466 93,123 30,733 7,5817602,41794,73132,921(7,796)(8,638)791 (0)6 4,168 (4,141)(1,716)151,090 153,237(2,586)47,638 50,459(9,408)26,430 191,083 256,448 200,464239,551(432)642,975 643,01410,111 (1,737)(1,929)11,849 12,04166,432 1,447(539)64,985 66,972297,494 (5,811)(9,800)303,306 307,2941,955,198 142,909 8,373 759 2,424 98,899 28,779 151,520 47,872 191,055 265,