Translation
Notice: This document is an excerpt translation of the original Japanese document and is only for reference purposes. In the event of any
discrepancy between this translated document and the original Japanese document, the latter shall prevail.

Consolidated Financial Results for the Year Ended March 31, 2024
(Based on Japanese GAAP)May 10, 2024
Company name:Yamaguchi Financial Group, Inc.
Stock exchange listing: Tokyo
Stock code:
Representative:

8418
URL https://www.ymfg.co.jp
President and CEO

Inquiries:

General Manager of Accounting
Office,Corporate Planning Department

Keisuke MukunashiKentaro Hama

Scheduled date of ordinary general meeting of shareholders:
Scheduled date to file Securities Report:

June 27, 2024
June 28, 2024

Scheduled date to commence dividend payments:
Trading accounts:

June 28, 2024
Yes

Preparation of supplementary material on financial results:
Holding of financial results meeting:

Yes
Yes

TEL

083-223-5511(for institutional investors and analysts)(Amounts less than one million yen are rounded down)

1. Consolidated financial results for the year ended March 31, 2024 (from April 1, 2023 to March 31, 2024)(1) Consolidated operating results
Percentages indicate year-on-year changes
Profit attributable toOrdinary income
Ordinary profit
owners of parent
Millions of yen% Millions of yen% Millions of yen%
Year ended March 31, 2024
184,753
17.4
37,282
45.1
25,216
40.9
Year ended March 31, 2023
157,324
7.0
25,698–17,894–
Profit attributable toOrdinary profit/total
owners ofassets
parent/equity
Yen%%
114.17
4.0
0.3
77.39
2.9
0.2

Diluted earnings pershare

Earnings per shareYen
114.1977.41

Year ended March 31, 2024
Year ended March 31, 2023

Ordinary
profit/ordinary
income%20.2
16.3(2) Consolidated financial position
Total assets
As of March 31, 2024
As of March 31, 2023

Net assets

Equity ratio

Millions of yen
12,548,539
12,211,645

Millions of yen
655,736
614,665

Cash flows fromoperating activities
Millions of yen
31,956(143,348)

Cash flows frominvesting activities
Millions of yen(493,727)(155,575)

Net assets per share%
5.2
5.0

Yen
3,009.37
2,718.04(3) Consolidated cash flows

Year ended March 31, 2024
Year ended March 31, 2023

Cash flows from
Cash and cash equivalents
at end of period
financing activities
Millions of yen
Millions of yen(18,397)
1,374,505
1,764
1,854,674

2. Cash dividends
Annual dividends per share
1st quarter-end 2nd quarter-end 3rd quarter-end Fiscal year-end

Year ended March 31, 2023
Year ended March 31, 2024
Year ending March 31, 2025
(Forecast)of dividends
Total cash
Dividend payout Ratio
to net assets
dividends (Total) ratio (Consolidated) (Consolidated)

Total

Yen

Yen

Yen

Yen

Yen

Millions of yen%%

––

15.00
21.00

––

16.00
22.0031.00
43.00

7,098
9,480

40.0
37.7

1.2
1.5–

30.00

–

30.00

60.00

139.4

3. Forecast of consolidated financial results for the year ending March 31, 2025 (from April 1, 2024 to March 31, 2025)
Percentages indicate year-on-year changes
Profit attributable toOrdinary profit
Earnings per shareowners of parent
Millions of yen% Millions of yen%Yen
Six months ending
September 30, 2024
Full year

20,5002.8

14,3005.4

65.93

47,50027.4

33,00030.9152.14

4. Notes(1) Changes in significant subsidiaries during the year ended March 31, 2024
(changes in specified subsidiaries resulting in the change in scope of consolidation):No(2) Changes in accounting policies, changes in accounting estimates, and restatement of prior period financial statements
Changes in accounting policies due to revisions to accounting standards and other regulations:No
Changes in accounting policies due to other reasons:
Changes in accounting estimates:

No
No

Restatement of prior period financial statements:

No(3) Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares)
As of March 31, 2024

234,767,616 shares As of March 31, 2023

264,353,616 shares

Number of treasury shares at the end of the period
As of March 31, 2024

17,855,208 shares As of March 31, 2023

39,260,405 shares

220,836,113 shares Year ended March 31, 2023

231,170,754 shares

Average number of shares during the period
Year ended March 31, 20242

Consolidated financial statements
Consolidated balance sheets(Millions of yen)
As of March 31, 2023

As of March 31, 2024

AssetsCash and due from banks

1,878,858

1,386,904

Call loans and bills bought
Monetary claims bought

934
2,457

–
1,940

Trading account assets
Money held in trust

3,976
17,404

4,058
31,035

1,534,139
8,347,832

2,065,414
8,589,933

Foreign exchanges
Lease receivables and investments in leases

36,77219,80527,31424,047

Other assets
Tangible fixed assets

250,907
81,121

290,459
82,181

Buildings, net
Land19,443
52,91020,90851,767

Leased assets, net
Construction in progress

93245

114
4

Other tangible fixed assets
Intangible fixed assets

8,428
6,577

9,386
7,092

5,349359

5,959
308

0868

–
824

Retirement benefit asset
Deferred tax assets

34,3359,964

44,768
1,684

Customers' liabilities for acceptances and guarantees
Allowance for loan losses

58,967(72,410)

63,917(72,214)

12,211,645

12,548,539

Securities
Loans and bills discounted

Software
Goodwill
Leased assets
Other intangible fixed assets

Total assets3

(Millions of yen)
As of March 31, 2023

As of March 31, 2024

Liabilities
Deposits
Negotiable certificates of deposit

9,954,008
371,711

10,057,923
286,100

Call money and bills soldCash collateral received for securities lent

340,052
285,322

438,028
194,308

Trading account liabilities
Borrowed money

1,813
403,303

1,730
615,961

Foreign exchanges
Bonds payable

98
42,400116
42,400

Other liabilities
Provision for bonuses

123,479
2,695

169,149
3,334

2,588

2,501

281

279

13

13

Provision for reimbursement of deposits
Provision for point card certificates

359
124

235
138

Provision for management board benefit trust
Provision for employee stock ownership plan trust

427
–543
45

Reserves under special laws
Deferred tax liabilities

1768319
7,691

8,628
58,967

8,363
63,917

11,596,980

11,892,802

Retirement benefit liability
Provision for retirement benefits for directors (and otherofficers)
Provision for loss on interest repayment

Deferred tax liabilities for land revaluation
Acceptances and guarantees
Total liabilities
Net assets
Share capital

50,00050,000Capital surplus
Retained earnings

58,639522,893

33,116
540,429

Treasury shares(34,847)(19,276)

Total shareholders' equity

596,685

604,270

Valuation difference on available-for-sale securities(17,237)

5,251

Deferred gains or losses on hedges
Revaluation reserve for land

11,253
19,432

17,535
18,826

Remeasurements of defined benefit plans

1,678

6,887

Total accumulated other comprehensive income

15,126

48,5004323

Share acquisition rights
Non-controlling interests
Total net assets
Total liabilities and net assets

4

2,809

2,941

614,665

655,736

12,211,645

12,548,539

Consolidated statements of income and consolidated statements of comprehensive income
Consolidated statements of income(Millions of yen)
Fiscal year ended
March 31, 2023

Fiscal year ended
March 31, 2024Ordinary income
Interest income
Interest on loans and discounts
Interest and dividends on securities
Interest on call loans and bills boughtInterest on deposits with banks
Other interest income
Trust fees
Fees and commissions
Gain on trading account transactions
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 call money and bills soldInterest expenses on cash collateral received for securities
lentInterest on borrowings and rediscounts
Interest expenses on bonds
Other interest expenses
Fees and commissions payments
Other ordinary expenses
General and administrative expenses
Other expenses
Provision of allowance for loan losses
Other

157,324
104,859
85,78016,724
556
1,754
42
0
25,9401,094
13,011
12,417912,408
131,625
17,188
3,575
17
1,942

184,753
132,702
105,920
24,780
474
1,487
38
0
28,828998
13,250
8,973
37
8,935
147,471
32,575
4,946
23
2,899

4,579

9,396

52
261
6,758
9,156
32,217
61,155
11,908
6,243
5,664

93
405
14,811
9,662
33,52663,328
8,378
4,408
3,969

Ordinary profit

25,69837,282Extraordinary income
Gain on disposal of non-current assets
Gain on extinguishment of tie-in shares
Gain on bargain purchase
Gain on step acquisitions
Extraordinary losses
Loss on disposal of non-current assets
Impairment losses
Provision of reserve for financial instruments transaction
liabilities

1,783
371
–
907
504
795
203
592

560
546
14–
–
632
286
343

–

2

Profit before income taxes

26,686

37,210

Income taxes - current
Income taxes - deferred

7,530
1,111

11,641220

Total income taxes

8,64111,861

Profit18,04425,349150

132

17,89425,216

Profit attributable to non-controlling interests
Profit attributable to owners of parent

5Consolidated statements of comprehensive income(Millions of yen)

ProfitOther comprehensive income

Fiscal year ended

Fiscal year ended

March 31, 2023

March 31, 2024

18,044(19,346)

25,34933,979Valuation difference on available-for-sale securities
Deferred gains or losses on hedges(25,428)
6,503

22,488
6,282

Remeasurements of defined benefit plans, net of tax(422)

5,208(1,302)

59,328(1,433)59,196131

132

Comprehensive income
Comprehensive income attributable toComprehensive income attributable to owners of parent
Comprehensive income attributable to non-controllinginterests

6

Consolidated statements of changes in equity
Fiscal year ended March 31, 2023
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning ofperiod

Capital surplus

50,000Retained earnings

58,648511,253

Total shareholders'equityTreasury shares(25,045)594,855

Changes during period
Dividends of surplus(6,822)(6,822)

Profit attributable toowners of parent

17,894

17,894Purchase of treasury
shares
Disposal of treasury
shares(10,000)(10,000)

198

208

9

Purchase of shares of
consolidated subsidiaries

(18)

(18)

Reversal of revaluation
reserve for land

568

568

Net changes in items
other than shareholders'equityTotal changes during
periodBalance at end of period–(8)

11,640(9,801)

1,829

50,00058,639522,893(34,847)

596,685

Accumulated other comprehensive income
Valuation
Deferred gains
difference onor losses onavailable-forhedges
sale securities
Balance at beginning of
period

8,171

4,749

TotalRevaluation
reserve forland

Remeasurements

accumulatedof definedotherbenefit planscomprehensive

Shareacquisitionrights

Noncontrollinginterests

81

6,382

Total net
assetsincome20,001

2,101

35,023636,344

Changes during period
Dividends of surplus(6,822)

Profit attributable toowners of parent

17,894Purchase of treasury
shares(10,000)

Disposal of treasury
shares

208

Purchase of shares ofconsolidated subsidiaries(18)

Reversal of revaluation
reserve for land568

Net changes in items
other than shareholders'equity(25,409)

6,503

(568)

(422)

(19,897)(38)(3,572)(23,508)

Total changes duringperiod(25,409)

6,503

(568)

(422)

(19,897)(38)(3,572)(21,678)

Balance at end of period(17,237)

11,253

19,432

1,678

15,126

43

2,809

614,665

7

Fiscal year ended March 31, 2024
(Millions of yen)
Shareholders' equity
Share capital
Balance at beginning ofperiod

Capital surplus

50,000Retained earnings

58,639522,893

Total shareholders'equityTreasury shares(34,847)

596,685

Changes during period
Dividends of surplus(8,286)(8,286)

Profit attributable toowners of parent

25,21625,216

Purchase of treasury
shares(10,757)(10,757)

(22)

828

806

(25,500)

25,500–

Disposal of treasury
sharesCancellation of treasury
shares
Reversal of revaluation
reserve for land

605

605

Net changes in items
other than shareholders'equityTotal changes during
periodBalance at end of period–(25,522)

17,536

15,570

7,584

50,00033,116

540,429(19,276)

604,270

Accumulated other comprehensive income
Valuation
Deferred gains
difference onor losses onavailable-forhedges
sale securities
Balance at beginning ofperiod(17,237)

11,253

Total

Revaluation
reserve forland

Remeasurements

accumulatedof definedotherbenefit planscomprehensive

Shareacquisitionrights

Noncontrollinginterests

43

2,809

Total net
assetsincome19,432

1,678

15,126614,665

Changes during period
Dividends of surplus(8,286)

Profit attributable toowners of parent

25,216

Purchase of treasury
shares(10,757)

Disposal of treasury
shares806

Cancellation of treasury
shares–

Reversal of revaluation
reserve for land

605

Net changes in items
other than shareholders'equity22,488

6,282(605)5,20833,373(19)

132

33,486

Total changes during
period22,488

6,282

(605)

5,208

33,373(19)

132

41,070

Balance at end of period

5,251

17,535

18,826

6,887

48,50023

2,941

655,7368

Consolidated statements of cash flows(Millions of yen)

Cash flows from operating activities
Profit before income taxes

Fiscal year ended

Fiscal year ended

March 31, 2023

March 31, 2024
26,686

37,210Depreciation
Impairment losses

5,037
592

4,372
343

Amortization of goodwill
Gain on bargain purchase67(907)50–Loss (gain) on step acquisitions
Loss (gain) on extinguishment of tie-in shares

(504)
––
(14)

Share of loss (profit) of entities accounted for using equity
method(16)

1

Increase (decrease) in allowance for loan losses
Increase (decrease) in provision for bonuses(8,938)
(182)

(195)
639

Decrease (increase) in retirement benefit asset
Increase (decrease) in retirement benefit liability(1,607)(63)(10,432)(87)

Increase (decrease) in provision for retirement benefits for
directors (and other officers)

(5)

(2)

Increase (decrease) in provision for share awards for directors(and other officers)

(60)

115

–

45

(4)
(171)

(0)
(124)

41–

132

(104,859)
17,188(132,702)
32,575

7,612
1,288

9,152
312

(12,176)(167)(28,189)(259)

Net decrease (increase) in trading account assets
Net increase (decrease) in trading account liabilities

(875)
434

(82)
(83)

Net decrease (increase) in loans and bills discounted
Net increase (decrease) in deposits(203,835)
22,778(242,100)
103,914

Net increase (decrease) in negotiable certificates of deposit
Net increase (decrease) in borrowed money (excluding(31,616)(85,611)(223,243)

212,657(95)

11,78433,763

1,451

261,974

97,976(29,635)(91,013)(6,731)

9,457

(72)

17(106)(4,242)

Increase (decrease) in provision for employee stock
ownership plan trust
Increase (decrease) in provision for loss on interest repayment
Increase (decrease) in provision for reimbursement of deposits
Increase (decrease) in provision for point card certificates
Increase (decrease) in reserves under special laws
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

subordinated borrowings)
Net decrease (increase) in due from banks (excluding duefrom Bank of Japan)
Net decrease (increase) in call loans
Net increase (decrease) in call money
Net increase (decrease) in cash collateral received forsecurities lent
Net decrease (increase) in foreign exchanges - assets
Net increase (decrease) in foreign exchanges - liabilities
Net decrease (increase) in lease receivables and investments
in leases9(Millions of yen)
Fiscal year ended

Fiscal year ended

March 31, 2023

March 31, 2024

Interest received
Interest paid

99,259(16,386)

126,549(32,064)

Other, net

21,50918,649Subtotal(144,031)

40,087(6,336)(10,791)

Income taxes paid
Income taxes refund
Net cash provided by (used in) operating activities

107,018

2,660(143,348)

31,956

(Millions of yen)

Cash flows from investing activities
Purchase of securities

Fiscal year ended

Fiscal year ended

March 31, 2023

March 31, 2024

(820,504)(937,227)

Proceeds from sale of securities
Proceeds from redemption of securities

622,10730,140426,51437,870

Increase in money held in trust
Decrease in money held in trust(4,960)21,126(7,010)(7,710)Purchase of tangible fixed assets
Proceeds from sale of tangible fixed assets(2,018)
1,362(5,239)2,112

Purchase of intangible assets
Purchase of shares of subsidiaries resulting in change in scope(2,446)(3,037)(382)–(155,575)(493,727)

22,270(6,822)–(8,286)(2)–(3,679)(108)(10,000)(10,757)0755

1,764(18,397)

70of consolidation
Net cash provided by (used in) investing activities
Cash flows from financing activities
Issuance of subordinated bonds
Dividends paid
Dividends paid to non-controlling interests
Purchase of shares of subsidiaries not resulting in change inscope of consolidation
Purchase of treasury shares
Proceeds from disposal of treasury shares
Net cash provided by (used in) financing activities
Effect of exchange rate change on cash and cash equivalents
Net increase (decrease) in cash and cash equivalents(297,151)(480,169)

Cash and cash equivalents at beginning of period

2,151,826

1,854,674

Cash and cash equivalents at end of period

1,854,674

1,374,505

11