Tokyo Century upgrades FY2025 forecast on strong Q2, insurance settlement

Tokyo Century Corporation has revised its fiscal year 2025 earnings forecast upwards, driven by strong second-quarter results and a substantial insurance settlement. The company now anticipates a net income attributable to owners of parent of ¥100.0 billion, an increase of ¥7.0 billion from the initial forecast, and an annual dividend of ¥72 per share, up ¥4. This revision follows a Q2 FY225 net income of ¥92.8 billion, a 115% year-over-year increase, significantly boosted by ¥51.9 billion (after-tax) from a Russia-related insurance settlement.

The updated investor relations presentation materials incorporate the latest financial results for Aviation Capital Group LLC (ACG), Tokyo Century's U.S.-based consolidated subsidiary. ACG reported a pre-tax income of $669 million for the nine months ended September 30, 2025, a 444% increase driven by reversals of expenses from insurance settlement proceeds related to Russia exposure. This additional information for ACG's performance and earnings power has been added to pages 22 and 23 of the presentation.

Tokyo Century's segment assets decreased by ¥88.3 billion from the previous fiscal year-end to ¥5,971.6 billion, primarily due to foreign exchange impacts on Specialty Financing and International Business segments. Despite these currency effects, the company's strong operational performance and strategic asset management have positioned it for continued growth, with a revised return on equity target of 18.1% for FY2025.