First Bank of Toyama raises profit and dividend forecasts

The First Bank of Toyama announced an upward revision to its consolidated and non-consolidated earnings forecasts for the fiscal year ending March 31, 2026. For the first half, consolidated ordinary profit is now projected at JPY 9,600m, up from JPY 5,600m, while profit attributable to owners of parent is revised to JPY 6,600m from JPY 3,700m. Full-year consolidated ordinary profit is expected to reach JPY 14,700m, an increase from JPY 9,200m, with profit attributable to owners of parent revised to JPY 10,000m from JPY 6,000m.

These revisions are primarily attributed to an expected increase in gains related to securities, surpassing initial estimates in the non-consolidated earnings forecast. As a result of the improved outlook, the bank has also revised its annual dividend forecast upward.

The annual dividend forecast has increased from JPY 36.00 yen to JPY 56.00 yen per share, with both the Q2 and fiscal-year end dividends revised to JPY 28.00 yen each. This decision aligns with the bank's updated shareholder return policy, adopted on April 25, 2025, which targets a dividend payout ratio of 35% or more of profit attributable to owners of parent. The bank also stated it will consider purchasing its own shares for future shareholder returns.