May 14, 2021

SURUGA bank, Ltd.
Consolidated financial results for the fiscal year ended March 31, 2021
<under Japanese GAAP>
Stock exchange listings: Tokyo (code: 8358)
URL:
https://www.surugabank.co.jp
Representative:
Kosuke Saga, President
Dividend payment date: June 14, 2021
(Amounts and percentages are rounded down to the nearest million yen and first decimal places, respectively.)

1. Consolidated financial results for the fiscal year ended March 31, 2021
(1) Consolidated operating results(% represents the change from the previous fiscal year)
Profit attributable
Ordinary profit
to owners of parent

Ordinary income

Millions of yen%
Millions of yen%
Fiscal year ended
March 31, 2021
99,791(15.4)
23,113(44.6)March 31, 2020
118,008(15.4)
41,763(Note) Comprehensive income: (a) Fiscal year ended March 31, 2021: ¥ 30,036 million [97.7 %](b) Fiscal year ended March 31, 2020: ¥ 15,192 million [- %]Earnings per share(diluted)

Earnings per share

Return on
net assets

Millions of yen%

21,43325,324(15.3)-

Ordinary profit
on total assets

yen
yen
%
Fiscal year ended
March 31, 2021
92.52
7.9
March 31, 2020
109.32
10.1(Reference) Equity in gains (losses) of affiliates: (a) Fiscal year ended March 31, 2021: ¥ - million(b) Fiscal year ended March 31, 2020: ¥ 5 million

Ordinary profit
on ordinary income

%

%

0.6
1.2

23.1
35.3

(Note) Earnings per share for the fiscal year ended March 31, 2020 and 2021 are not provided because there are no potentially shares.

(2) Consolidated financial position
Total assets
Total net assets
Net assets ratio
Net assets per share
Millions of yen
Millions of yen
%
Yen
As of
March 31, 2021
3,550,415
285,770
8.0
1,233.18
March 31, 2020
3,481,579
256,892
7.3
1,108.48(Reference) Shareholders’ equity: (a) As of March 31, 2021: ¥285,665 million; (b) As of March 31, 2020: ¥256,781 million(Note) Nets assets ratio = (Total net assets - Non-controlling interests) / Total assets × 100
This ratio is not calculated based on the “Capital Adequacy Ratio Notification”.

(3) Consolidated cash flows
Cash flows fromoperating activities
Fiscal year ended
March 31, 2021
March 31, 2020

Cash flows frominvesting activities

Cash flows fromfinancing activities

Cash and cash equivalents
at year-end

Millions of yen

Millions of yen

Millions of yen

Millions of yen

203,686
460,788(129,269)(7,865)(1,158)(596)

943,263
870,004

2. Dividends on common stock
1st
quarter-end
Fiscal year
ended March 31, 2020
ended March 31, 2021
ending March 31, 2022
(forecast)

Dividends per share
2nd
3rd
Fiscalquarterquarter
year
-end
-end
-end

Total

Total
dividends

Dividend
payout ratio(Consolidated)

Dividend on
net assets
ratio(Consolidated)

yen

yen

yen

yen

yen

Millions of yen

%

%

-

0.00
0.00

-

5.00
5.00

5.00
5.00

1,158
1,158

4.5
5.4

0.4
0.4

-

0.00

-

5.00

5.00

16.5

3. Consolidated earnings forecast for the fiscal year ending March 31, 2022(% represents the change from the same period in the previous fiscal year)
Profit attributable
Ordinary profit
Earnings per shareto owners of parent

Ordinary income
Millions of yen

1H, FY3/2022
FY3/2022

44,00087,000%(13.5)(12.8)

Millions of yen(2,000)8,000%(65.3)

Millions of yen(2,500)
7,000

%

Yen

(67.3)(10.79)30.21

(Notes)(1) Changes in significant subsidiaries during the period (changes in specified subsidiaries that caused changes in the scope of
consolidation): No(2) Changes in accounting policies, changes in accounting estimates and restatements(A) Changes in accounting policies due to revision of accounting standards: No(B) Changes in accounting policies due to reasons other than (A): No(C) Changes in accounting estimates: No(D) Restatements: No(3) Number of issued shares (common stock)(A) Number of issued shares
As of Mar. 31, 2021
(including treasury shares):(B) Number of treasury shares:

As of Mar. 31, 2021

(C) Average number of shares:

Fiscal year ended
Mar. 31, 2021

232,139,248 shares

As of Mar. 31, 2020

232,139,248 shares

490,315 shares

As of Mar. 31, 2020

489,165 shares

231,649,482 sharesFiscal year ended
Mar. 31, 2020

231,650,564 shares(Reference) Summary of non-consolidated financial results

1. Non-consolidated financial results for the fiscal year ended March 31, 2021
(1) Non-consolidated operating results(% represents the change from the previous fiscal year)
Ordinary profit
Net income

Ordinary income
Fiscal year ended
March 31, 2021
March 31, 2020

Millions of yen%

Millions of yen%

Millions of yen%

89,217
104,464(14.5)(18.0)

19,982
39,991(50.0)-

18,941
24,474(22.6)-

Earnings per share(diluted)

Earnings per share
Fiscal year ended
March 31, 2021
March 31, 2020

Yen

yen

81.76
105.65-(2) Non-consolidated financial position
Total assets
Total net assets
Net assets ratio
Net assets per share
Millions of yen
Millions of yen
%
yen
As of
March 31, 2021
3,527,376
265,1627.5
1,144.67
March 31, 2020
3,469,060
245,218
7.0
1,058.57(Reference) Shareholders’ equity: (a) As of March 31, 2021: ¥265,162 million; (b) As of March 31, 2020: ¥245,218 million(Note) Net assets ratio = Total net assets / Total assets × 100
This ratio is not calculated based on the “Capital Adequacy Ratio Notification”.

2. Non-consolidated earnings forecast for the fiscal year ending March 31, 2022(% represents the change from the same period in the previous fiscal year)
Profit attributable
Ordinary profit
Earnings per shareto owners of parent

Ordinary income
Millions of yen

1H, FY3/2022
FY3/2022

39,50078,000%(12.5)(12.5)

Millions of yen(2,500)7,000%(64.9)

Millions of yen(3,000)
6,000

%

Yen

(68.3)(12.95)25.90(Note) This report is outside the scope of audit procedures by certified public accountants or audit firms.
(Note) Explanation on appropriate use of forecast and other special items
The performance forecasts and other forward-looking statements in this report are based on information currently available tothe company and on certain assumptions deemed to be reasonable, and are not intended to guarantee future performance.
Actual performance may differ materially depending on various factors.

Suruga bank, Ltd.

(Appendix)
Table of contents

1. Overview of operating results, etc. ···································································· 2(1) Overview of operating results ······································································ 2(2) Overview of financial position ····································································· 3(3) Future outlook························································································ 4
2. Basic approach to the selection of accounting standards ··········································· 4
3. Consolidated financial statements and notes ························································· 5(1) Consolidated balance sheets········································································ 5(2) Consolidated statements of income and Consolidated statements of comprehensive income ·········· 7(3) Consolidated statements of changes in net assets ·············································

10(4) Consolidated statements of cash flows ·························································

12(5) Notes to consolidated financial statements ·····················································

14(Notes on going-concern assumption) ····························································

14(Changes in accounting policies, changes in accounting estimates and restatements) ·····

14(Changes in representation of consolidated financial statements) ····························

14(Segment information)··············································································

15(Per share data) ······················································································

16(Significant subsequent events) ···································································

16

4. Non-consolidated financial statements ·····························································

17(1) Non-consolidated balance sheets ································································

17(2) Non-consolidated statements of income ························································

19(3) Non-consolidated statements of changes in net assets ········································

21* Financial results for the fiscal year ended March 31, 2021 supplementary information－1－

Suruga bank, Ltd.

1. Overview of operating results, etc.
(1) Overview of operating results
In the fiscal year ended March 31, 2021, consolidated ordinary income decreased by ¥18.217 billion
year-on-year to ¥99.791 billion. This was mainly due to the decline in interest income reflecting the drop ininterest on loans and bills discounted. Meanwhile, ordinary expenses increased by ¥0.432 billion year-on-yearto ¥76.677 billion, mainly due to an increase in credit costs. As a result, ordinary profit decreased by ¥18.650
billion year-on-year to ¥23.113 billion, and profit attributable to owners of parent decreased by ¥3.891 billion
year-on-year to ¥21.433 billion.
Non-consolidated operating results were as follows:(A) Gross operating profit
Gross operating profit decreased by ¥7.810 billion year-on-year to ¥72.535 billion on the back of thedrop (¥9.159 billion) in net interest income.
(B) Expenses
Expenses decreased by ¥3.443 billion year-on-year to ¥40.337 billion.
(C) Net operating profit
Core net operating profit decreased by ¥5.194 billion year-on-year to ¥31.140 billion, mainly due to adrop in net interest income.
Net operating profit increased by ¥13.567 billion year-on-year to ¥50.131 billion, mainly due to adecrease in provision for general allowance for loan losses.
(Note) Core net operating profit = Net operating profit + Provision for general allowance for loan losses- Gains (losses) on bonds(D) Ordinary profit
Ordinary profit decreased by ¥20.009 billion year-on-year to ¥19.982 billion, mainly due to an increasein net credit costs.
(E) Net income
Net income decreased by ¥5.533 billion year-on-year to ¥18.941 billion, mainly due to an increase in net
credit costs.
(F) Net credit costs
Provision for general allowance for loan losses decreased by ¥17.933 billion year-on-year. Disposal of
non-performing loans increased by ¥28.140 billion year-on-year to ¥32.179 billion. As a result, net credit
costs increased by ¥10.437 billion year-on-year to ¥14.246 billion.
Actual credit costs increased by ¥9.831 billion year-on-year to ¥12.288 billion.
(Note) Net credit costs = Provision for general allowance for loan losses+ Disposal of non-performing loans - Reversal of allowance for loan losses(Note) Actual credit costs = Net credit costs - Recoveries on written-off claims－2－Suruga bank, Ltd.

(2) Overview of financial position
As for consolidated major account balances, loans and bills discounted came in at ¥2,319.560 billion, downby ¥183.278 billion year-on-year. This was primarily due to the decrease (¥231.516 billion) in consumer loans(non-consolidated). Securities amounted to ¥267.346 billion, up by ¥133.486 billion year-on-year. Deposits
amounted to ¥3,245.940 billion, up by ¥41.149 billion year-on-year.
Non-consolidated major account balances were as follows:(A) Loans and bills discounted
Loans and bills discounted came in at ¥2,310.982 billion, down by ¥185.175 billion year-on-year.
Consumer loans amounted to ¥2,075.500 billion, down by ¥231.516 billion year-on-year. The averagebalance of loans and bills discounted in the fiscal year amounted to ¥2,414.755 billion, down by ¥250.009
billion year-on-year.
(B) Securities
Securities amounted to ¥270.439 billion, up by ¥132.710 billion year-on-year.
(C) Deferred tax assets (liabilities)
Deferred tax assets amounted to ¥13.284 billion, down by 1.547 billion year-on-year.
(D) Deposits
Deposits amounted to ¥3,250.483 billion, up by ¥39.660 billion year-on-year. Individual yen deposits
amounted to ¥2,633.381 billion, up by ¥1122.099 billion year-on-year. The average balance of deposits inthe fiscal year amounted to ¥3,194.488 billion, up by ¥95.196 billion year-on-year.
As for consolidated cash flows, cash flow from operating activities was a net inflow of ¥203.686 billion(compared to a net inflow of ¥460.788 billion in the previous fiscal year), given that inflows mainly due to anincrease in deposits and a decrease in loan and bills discounted. Cash flow from investing activities was a net
outflow of ¥129.269 billion (compared to a net outflow of ¥7.865 billion in the previous fiscal year), mainly due
to purchase of securities. Cash flow from financing activities was a net outflow of ¥1.158 billion (compared to a
net outflow of ¥0.596 billion in the previous fiscal year), mainly due to cash dividends paid. As a result, cash
and cash equivalents as of March 31, 2021 amounted to ¥943.263 billion, up by ¥73.259 billion year-on-year(compared to ¥870.004 billion as of March 31, 2020).

－3－

Suruga bank, Ltd.

(3) Future outlook
Earnings forecast for the fiscal year ending March 31, 2022 is as follows:
Consolidated

Ordinary income
Ordinary profit
Profit attributable toowners of parent

Non-consolidated

Ordinary income
Core net operating profit
Net operating profit
Ordinary profit
Net income
Actual credit costs
ROE (Net income basis)(Billions of yen)
FY3/2022 (Forecast)First half
Full year
44.0
87.0
(2.0)
8.0
(2.5)

7.0

(Billions of yen)
FY3/2022 (Forecast)First half
Full year
39.5
78.0
11.5
23.0
20.5
23.0
(2.5)
7.0
(3.0)
6.0
14.0

16.0

(2.32)%

2.33%(Note) The performance forecasts and other forward-looking statements in this report are based on
information currently available to the company and on certain assumptions deemed to bereasonable, and are not intended to guarantee future performance. Actual performance may differ
materially depending on various factors.

2. Basic approach to the selection of accounting standards
The Suruga Bank group intends to apply Japanese accounting standards for the foreseeable future, taking into
consideration the comparability of consolidated financial statements across reporting periods and companies. As
for the adoption of International Financial Reporting Standards (IFRS), we will respond appropriately to thevarious developments in Japan and overseas.

－4－

Suruga bank, Ltd.

3. Consolidated financial statements and notes(1) Consolidated balance sheets
As ofMarch 31, 2020
AssetsCash and due from banks
Call loans and bills bought
Trading account securities
Money held in trust
Securities
Loans and bills discounted
Foreign exchanges
Lease receivables and investment assets
Other assets
Tangible fixed assets
Buildings, net
Land
Leased assets, net
Construction in progress
Other tangible fixed assets
Intangible fixed assets
Software
Goodwill
Leased assets
Software in progress
Other intangible fixed assets
Net defined benefit asset
Deferred tax assets
Customers' liabilities for acceptances and guarantees
Allowance for loan losses
Total assets
Liabilities
Deposits
Foreign exchanges
Other liabilities
Provision for bonuses
Provision for bonuses for directors
Provision for retirement benefits
Provision for retirement benefits for directors
Provision for share-based compensation
Provision for reimbursement of deposits
Provision for contingent losses
Deferred tax liabilities
Acceptances and guarantees
Total liabilities－5－（Millions of yen）
As of
March 31, 2021

876,30165
180
978133,860
2,502,838
2,215
6,439
52,98037,507
11,14021,562
28
4,776
21,56919,201
1,553
3
434
375
12,66015,8972,062(183,979)
3,481,579

953,932
19,000103
99
267,346
2,319,560
3,324
5,507
49,08434,6899,963
21,372
38
1,029
2,284
20,43917,599
1,424
14
1,032
369
22,442
11,331
1,565(158,011)
3,550,415

3,204,791
3
15,663
491
35
275
270
245
139
707
2,062
3,224,686

3,245,940
5
14,754
492
41
272
183
305
89
994
1,565
3,264,644

Suruga bank, Ltd.

As of
March 31, 2020
Net assets
Capital stock
Capital surplus
Retained earnings
Treasury shares
Total shareholders' equity
Net unrealized gains (losses) on available-for-sale securities

Deferred gains (losses) on hedges
Remeasurements of defined benefit plans
Total accumulated other comprehensive income
Non-controlling interests
Total net assets
Total liabilities and net assets－6－

30,043
2,045
218,587(561)
250,115
6,276
(23)
412
6,665
111
256,892
3,481,579（Millions of yen）
As of
March 31, 2021
30,043
2,045
238,863(561)
270,391
8,954
(20)
6,341
15,274
104285,770
3,550,415

Suruga bank, Ltd.

(2) Consolidated statements of income and Consolidated statements of comprehensive income
Consolidated statements of income（Millions of yen）
For the fiscal year For the fiscal year
ended
ended
March 31, 2020
March 31, 2021
Ordinary income
118,008
99,791
Interest income
94,016
83,163
Interest on loans and bills discounted
92,607
81,223
Interest and dividends on securities
828
1,111
Interest on call loans and bills bought
80Interest on deposits with banks
529
805
Other interest income
42
22
Fees and commissions
10,372
8,593
Other operating income
5,892
4,727
Gains on sales of bonds
6604
Gains on redemption of bonds
375
912
Other
5,509
3,210
Other income
7,727
3,307
Recoveries on written-off claims
1,838
2,170
Gains on sales of stocks and other securities
5,440
69
Equity in gains of affiliates
5
Other
442
1,067
Ordinary expenses
76,24576,677
Interest expenses
1,578
1,563
Interest on deposits
1,293
1,486
Interest on call money and bills sold(0)0Interest on borrowings and rediscounts
4Interest expenses on cash collateral received for securities lent0
Other interest expenses
280
77
Fees and commissions payments
15,094
11,943
Other operating expenses
3,143
3,408
Losses on sales of bonds
150
Losses on redemption of bonds
152
308
Other
2,991
2,949
General and administrative expenses
47,55943,494
Other expenses
8,869
16,266
Provision for allowance for loan losses
759
3,213
Write-off of loans
2,727
5,171
Losses on sales of stocks and other securities
143
Losses on devaluation of stocks and other securities
6
0
Other
5,233
7,881
Ordinary profit
41,763
23,113－7－

Suruga bank, Ltd.

For the fiscal year
ended
March 31, 2020
47
35
12
9,951
500
9,451
31,858
4,124
2,161
6,285
25,573248
25,324Extraordinary gains
Gains on disposal of non-current assets
Gain on reversal of subscription rights to shares
Extraordinary losses
Losses on disposal of non-current assets
Impairment loss
Income before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
ProfitProfit attributable to non-controlling interests
Profit attributable to owners of parent－8－（Millions of yen）
For the fiscal year
ended
March 31, 2021
670
670
1,012
444
568
22,772
186
1,158
1,344
21,427(6)
21,433

Suruga bank, Ltd.

Consolidated statements of comprehensive income（Millions of yen）
For the fiscal year For the fiscal year
ended
ended
March 31, 2020
March 31, 2021
25,573
21,427

ProfitOther comprehensive income
Net unrealized gains (losses) on available-for-sale securities

Deferred gains (losses) on hedges
Remeasurements of defined benefit plans, net of tax
Total other comprehensive income
Comprehensive income(Breakdown)Comprehensive income attributable to owners of parent
Comprehensive income attributable to non-controlling interests－9－(7,054)
11(3,337)(10,380)
15,192

2,677
3
5,928
8,609
30,036

14,922
270

30,043(6)

Suruga bank, Ltd.

(3) Consolidated statements of changes in net assets
For the fiscal year ended March 31, 2020
（Millions of yen）
Shareholders' equity
CapitalsurplusCapital stock
Balance at beginning ofcurrent period
Changes of items during
period30,043Retainedearnings

1,202

Total
shareholders'equityTreasuryshares193,263(560)

223,948

Dividends of surplus
Change in ownership interest ofparent due to transactions

843

843

with non-controlling interests

Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
shares25,32425,324

(0)

(0)

(0)

0

0

Net changes of items otherthan shareholders' equity

Total changes of items during
periodBalance at end of current
period-843

25,324(0)26,16730,043

2,045

218,587(561)

250,115

Accumulated other comprehensive income
Net unrealized
Remeasuregains (losses) Deferred gains
ments ofon available(losses) on
definedfor-salehedgesbenefitplans
securities

Balance at beginning ofcurrent period
Changes of items during
period13,352

(35)

3,750

Total
accumulated
othercomprehensive income
17,067

Subscription
rights toshares

Noncontrollinginterests

12

1,280

Total net
assets242,308

Dividends of surplus-

Change in ownership interest ofparent due to transactions
with non-controlling interests

843

Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes of items otherthan shareholders' equity

Total changes of items during
periodBalance at end of current
period25,324(0)
0(7,076)11(3,337)(10,401)(12)(1,169)(11,583)(7,076)11(3,337)(10,401)(12)(1,169)14,584

6,276

(23)

412

6,665

-

111

256,892－10－Suruga bank, Ltd.

For the fiscal year ended March 31, 2021
（Millions of yen）
Shareholders' equity
CapitalsurplusCapital stock
Balance at beginning ofcurrent period
Changes of items during
period30,043Retainedearnings

2,045

Dividends of surplus

Total
shareholders'equityTreasuryshares

218,587(561)

250,115(1,158)(1,158)21,433

21,433

Change in ownership interest ofparent due to transactions
with non-controlling interests

Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
shares

(0)

(0)

(0)

0

0

Net changes of items otherthan shareholders' equity

Total changes of items during
periodBalance at end of current
period-(0)20,275(0)

20,27530,043

2,045

238,863(561)

270,391

Accumulated other comprehensive income
Net unrealized
Remeasuregains (losses) Deferred gains
ments ofon available(losses) on
definedfor-salehedgesbenefit planssecurities

Balance at beginning ofcurrent period
Changes of items during
period

6,276

(23)

412

Total
accumulated
othercomprehensive income
6,665

Subscription
rights toshares

Noncontrollinginterests-

111

Total net
assets

256,892

Dividends of surplus(1,158)Change in ownership interest ofparent due to transactions
with non-controlling interests-

Profit attributable toowners of parent
Purchase of treasury
shares
Disposal of treasury
sharesNet changes of items otherthan shareholders' equity

Total changes of items during
periodBalance at end of current
period21,433
(0)
0
2,677

3

5,928

8,609

2,677

3

5,928

8,609

8,954

(20)

6,341

15,274

－11－

(6)

8,602

-

(6)

28,878-104285,770

Suruga bank, Ltd.

(4) Consolidated statements of cash flows

Cash flows from operating activities
Income before income taxes
Depreciation
Impairment loss
Amortization of goodwill
Increase (decrease) in allowance for loan losses
Increase (decrease) in provision for bonuses
Increase (decrease) in provision for directors' bonuses

Increase (decrease) in net defined benefit liability
Increase (decrease) in net defined benefit asset
Increase (decrease) in provision for directors' retirement benefits

Increase (decrease) in provision for share-based compensation
Increase (decrease) in provision for reimbursement of deposits

Increase (decrease) in provision for contingent losses

Interest income
Interest expenses
Losses (gains) on securities
Losses (gains) on money held in trust
Losses (gains) on disposal of non-current assets
Gain on reversal of subscription rights to shares
Net decrease (increase) in trading account securities
Net decrease (increase) in loans and bills discounted

Net increase (decrease) in deposit
Net increase (decrease) in borrowed money (excluding subordinated borrowings)

Net decrease (increase) in deposit (excluding deposit paid to Bank of Japan)

Net decrease (increase) in call loans
Net decrease (increase) in foreign exchanges - assets
Net increase (decrease) in foreign exchanges - liabilities
Net decrease (increase) in lease receivables and investment assets
Net decrease (increase) in cash collateral paid for financial instruments assets

Interest received
Interest paid
Other, net
Subtotal
Income taxes paid
Net cash provided by (used in) operating activities－12－

For the fiscal year
ended
March 31, 2020

（Millions of yen）
For the fiscal year
ended
March 31, 2021

31,858
6,346
9,451
129
(26,096)
8
35
(19)
2,715
23
(152)
28
(94,016)
1,578(5,520)
32
465
(12)
(13)
401,548
45,187
(740)
97
496
192
(13)
(70)
10,005
95,057(1,502)(630)
476,470(15,681)460,788

22,772
5,524
568
129
(25,968)1
6(2)(1,191)
(270)
183
59
(49)
(83,163)
1,563(1,126)
(31)
(226)
77
183,277
41,148(4,372)(18,934)(1,108)2931
168
83,929(1,056)(2,029)200,810
2,875
203,686

Suruga bank, Ltd.

Cash flows from investing activities
Purchase of securities
Proceeds from sales of securities
Proceeds from redemption of securities
Increase in money held in trust
Decrease in money held in trust
Purchase of property, plant and equipment
Proceeds from sales of property, plant and equipment

Purchase of intangible assets
Net cash provided by (used in) investing activities
Cash flows from financing activities
Cash dividends paid
Purchase of treasury shares
Proceeds from sales of treasury shares
Payments from changes in ownership interests in subsidiaries that do not result in change in scope of consolidation

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
Cash and cash equivalents at beginning of period
Cash and cash equivalents at year-end－13－

For the fiscal year
ended
March 31, 2020

（Millions of yen）
For the fiscal year
ended
March 31, 2021

(32,926)
23,0194,624(430)(1,102)
182(1,234)(7,865)(151,298)
18,9883,854
847(1,927)2,970(2,704)(129,269)

(0)
0
(596)
(596)
(1)
452,324
417,679
870,004(1,158)(0)0(1,158)
1
73,259870,004
943,263

Suruga bank, Ltd.

(5) Notes to consolidated financial statements(Notes on going-concern assumption)
Not applicable.

(Change in accounting policies, changes in accounting estimates and restatements)
Not applicable.

(Changes in representation of consolidated financial statements)
Income taxes refund, which was included in “Other, net” under “Cash flows from operating activities” inthe previous consolidated accounting period, is included in “Income taxes refund (paid)” from the current
consolidated accounting period due to its increased materiality. The Company reclassifies the consolidated
financial statements for the previous consolidated accounting period to reflect this change in presentation.
As the result, in the consolidated statements of cash flows for the previous consolidated accounting period,
minus ¥627 million presented in “Other, net” under “Cash flows from operating activities” is reclassified tominus ¥630 million, and minus ¥15,683 million presented in “Income taxes refund (paid)” is reclassified tominus ¥15,681 million.

－14－

Suruga bank, Ltd.

(Segment information)
1. Summary of reportable segment
The reportable segments of the Suruga Bank group are components for which discrete financial
information is available, and that are subject to regular review to allocate management resources and toevaluate their results.
The group consists of Suruga Bank, which mainly engages in the banking business, and its consolidated
subsidiaries that engage in businesses such as money lending, leasing, clerical agency services, credit card
services and credit guarantee. “Banking” includes businesses such as deposits, loans, exchange and credit
card services. “Credit guarantee” includes credit guarantee business.
The reportable segment of the Suruga Bank group was “banking”, but from the current consolidated
accounting period, “credit guarantee”, which has been included in “others”, is reclassified to the reportablesegment due to its increasing quantitative importance.
2. Method of calculating ordinary income, profit or loss, assets and other items by reportable segment
Segment profit is reported on an ordinary profit-basis.
Inter-segment internal ordinary income is based on arm’s length prices.
3. Information on ordinary income, profit or loss, assets and other items by reportable segment
For the fiscal year ended March 31, 2021
Reportable segment
CreditBankingguarantee
Ordinary income
Ordinary income toexternal customers
Inter-segment internal
ordinary income
Total
Segment profit
Segment assets
Other items
Depreciation
Impairment losses
Increase in tangible
fixed assets andintangible fixed assets

Others

Total

Adjustments(Millions of yen)Amount recordedin the consolidated
financial statements

89,026

3,187

7,577

99,791-

99,791

191

160

1,478

1,830

(1,830)-89,217
19,982
3,527,376

3,348
2,089
564

9,056
1,171
41,758

101,622
23,2433,569,699(1,830)(129)(19,284)

99,791
23,1133,550,415

5,335

24

165

5,524

-

5,524

537

-

30

568

-

568

4,383

4

244

4,631

-

4,631

(Note1) Ordinary income is equivalent to net sales reported by companies in other industries.
(Note2) “Others” consists of businesses operated by consolidated subsidiaries (such as money lending, leasing,clerical agency services and credit card services) which are not included in the reportable segments.
(Note3) “Adjustments” are as follows:(1) The negative adjustment of ¥129 million in segment profit consists of the following: amortizationof goodwill (- ¥129 million) and deduction of inter-segment transactions (- ¥0 million).
(2) The negative adjustment of ¥19,284 million in segment assets consists of the following: deductionof inter-segment transactions (- ¥28,369 million) and adjustment of net defined benefit assets(¥9,084 million).
(Note4) Segment profit is adjusted to ordinary profit as reported in the consolidated statements of income.

－15－

Suruga bank, Ltd.

(Per share data)

Net assets per shareyen
Earnings per shareyen
Earnings per share (diluted)
yen(Note) The basis for calculation is as shown in the tables below.

For the fiscal year ended
March 31, 2021
1,233.18
92.52-

1. Net assets per share
Total net assets
Amount deducted from total net assetsof which, Subscription rights to sharesof which, Non-controlling interests
Net assets attributable to common stock at
the fiscal year-end
Number of common stock at the fiscal
year-end used for the calculation of net
assets per share

Millions of yen
Millions of yen
Millions of yen
Millions of yen

As of March 31, 2021
285,770
104
104

Millions of yen

285,665

Thousands ofshares

231,648

2. Earnings per share
For the fiscal year ended
March 31, 2021
Earnings per share
Profit attributable to owners of parent
Amount not attributable to commonshareholders
Profit attributable to commonshareholders of parent
Average number of common stock forthe fiscal year

Millions of yen

21,433

Millions of yen-

Millions of yen

21,433Thousands ofshares

231,649

3. Earnings per share for the fiscal year ended March 31, 2021 is not provided because there are no potentiallyshares.

(Significant subsequent events)
Not applicable.

－16－Suruga bank, Ltd.

4. Non-consolidated financial statements(1) Non-consolidated balance sheets
As ofMarch 31, 2020
AssetsCash and due from banks
Cash
Due from banks
Call loans
Trading account securities
Trading government bonds
Trading municipal bonds
Money held in trust
Securities
Government bonds
Municipal bonds
Corporate bonds
StocksOther securities
Loans and bills discounted
Bills discounted
Loans on bills
Loans on deeds
Overdrafts
Foreign exchanges
Due from foreign banks (our accounts)
Foreign bills bought
Foreign bills receivable
Other assets
Prepaid expenses
Accrued income
Initial margins of futures markets
Derivatives other than for trading - assets
Other
Tangible fixed assets
Buildings, net
Land
Leased assets, net
Construction in progress
Other tangible fixed assets
Intangible fixed assets
Software
Software in progress
Other intangible fixed assets
Prepaid pension cost
Deferred tax assets
Customers' liabilities for acceptances and guarantees
Allowance for loan losses
Total assets－17－875,425
39,087
836,337
65
180
58
121
978
137,7292,518
95,8204,808
22,294
12,2882,496,157
1,874
14,7712,255,077
224,434
2,215
1,226
0
988
45,272
1,170
7,071
200
24
36,806
36,466
10,56021,181
325
4,398
19,752
18,957427
367
12,06914,831
2,062(174,146)
3,469,060（Millions of yen）
As of
March 31, 2021
953,21030,479922,730
19,000103
14
88
99
270,439
114,386
4,706
25,074
126,272
2,310,982
1,414
11,333
2,108,722
189,512
3,324
2,086
1,237
41,444
1,552
6,305
11
33,57533,682
9,457
21,011
214
1,029
1,969
18,712
17,321
1,027
363
13,357
13,284
1,565(151,831)
3,527,376

Suruga bank, Ltd.

As of
March 31, 2020
Liabilities
Deposits
Current deposits
Ordinary deposits
Saving deposits
Deposits at noticeTime deposits
Other deposits
Foreign exchanges
Foreign bills sold
Foreign bills payable
Other liabilities
Accrued expenses
Unearned revenue
Deposits received from employees
Lease obligations
Derivatives other than for trading - liabilities
Other
Provision for bonuses
Provision for directors' bonuses
Provision for directors' retirement benefits
Provision for share-based compensation
Provision for reimbursement of deposits
Provision for contingent losses
Acceptances and guarantees
Total liabilities
Net assets
Capital stock
Capital surplus
Legal capital surplus
Other capital surplus
Retained earnings
Legal retained earnings
Other retained earnings
Reserve for advanced depreciation of non-current assets

General reserve
Retained earnings brought forward
Treasury shares
Total shareholders' equity
Net unrealized gains (losses) on available-for-sale securities

Deferred gains (losses) on hedges
Total valuation and translation adjustments
Total net assets
Total liabilities and net assets－18－（Millions of yen）
As of
March 31, 2021

3,210,823
104,108
1,252,287
12,986
18,247
1,768,588
54,604
3
3
0
9,816
2,773
78
682
355
305
5,620
446
35
270
245
139
2,062
3,223,842

3,250,483
66,691
1,280,068
13,592
15,3091,800,727
74,092
5
3
2
9,091
3,235
64
727
233
213
4,616
449
41
183
305
89
1,565
3,262,214

30,043
18,58918,585
3
192,116
30,043
162,07259
103,032
58,981(561)
240,187
5,054
(23)
5,030
245,218
3,469,060

30,043
18,58918,585
3
209,899
30,043
179,856
59
103,032
76,764(561)
257,970
7,211
(20)
7,191
265,1623,527,376

Suruga bank, Ltd.

(2) Non-consolidated statements of income

Ordinary income
Interest income
Interest on loans and bills discounted
Interest and dividends on securities
Interest on call loans
Interest on deposits with banks
Other interest income
Trust fees
Fees and commissions
Fees and commissions on domestic and foreign exchanges

Other fees and commissions
Other operating income
Gains on foreign exchange transactions
Gains on sales of bonds
Gains on redemption of bonds
Other
Other income
Reversal of allowance for loan losses
Recoveries on written-off claims
Gains on sales of stocks and other securities
Gains on money held in trust
Other
Ordinary expenses
Interest expenses
Interest on deposits
Interest on call money
Interest expenses on cash collateral received for securities lentInterest on interest swaps
Other interest expenses
Fees and commissions payments
Fees and commissions on domestic and foreign exchanges

Other fees and commissions
Other operating expenses
Losses on trading account securities transactions
Losses on sales of bonds
Losses on redemption of bonds
General and administrative expenses
Other expenses
Provision for allowance for loan losses
Write-off of loans
Losses on sales of stocks and other securities
Losses on devaluation of stocks and other securities
Losses on money held in trust
Other
Ordinary profit－19－

For the fiscal year
ended
March 31, 2020
104,464
86,57885,213
785
8
529
42
0
8,118
2,026
6,091
2,408
37
6
375
1,988
7,358
229
1,351
5,472
304
64,472
1,613
1,293
(0)
3
315
14,994864
14,130153
1152
42,974
4,737
1,556
117
52
32
2,979
39,991（Millions of yen）
For the fiscal year
ended
March 31, 2021
89,21777,36975,476
1,065
0
805
22
0
7,492
1,971
5,521
1,557
40
604
912
2,797
1,957
69
31
739
69,234
1,563
1,486
0
0
3
72
11,860775
11,085
460
1
150
308
40,414
14,935
5,171
4,888
0
4,875
19,982

Suruga bank, Ltd.

Extraordinary gains
Gains on disposal of non-current assets
Gain on reversal of subscription rights to shares
Extraordinary losses
Losses on disposal of non-current assets
Impairment loss
Income before income taxes
Income taxes - current
Income taxes - deferred
Total income taxes
Net income－20－

For the fiscal year
ended
March 31, 2020
12
12
9,920
469
9,451
30,083
3,529
2,079
5,609
24,474（Millions of yen）
For the fiscal year
ended
March 31, 2021
670
670
967
429
537
19,68672672
744
18,941

Suruga bank, Ltd.

(3) Non-consolidated statements of changes in net assets
For the fiscal year ended March 31, 2020
（Millions of yen）
Shareholders' equity
Capital surplus

Balance at beginning ofcurrent period
Changes of items during
periodRetained earnings
Other retained earnings
Reserve for
Total capital Legal retained advanced
surplusearnings
depreciationof non-current
assetsCapital stock

Legal capitalsurplus

Other capitalsurplus30,043

18,585

3

18,58930,04359

Retainedearnings
brought
forwardGeneralreserve

103,032

34,506

Dividends of surplus
Net income

24,474

Provision of reserve for
reduction entry
Purchase of treasury
shares
Disposal of treasury
shares

0

(0)

(0)

(0)

Net changes of items otherthan shareholders' equity

Total changes of items
during period
Balance at end of current
periodBalance at beginning ofcurrent period
Changes of items during
period

-

-

(0)

(0)

-

0

-

24,47430,043

18,585

3

18,58930,043

59

103,032

58,981

Shareholders' equity
Valuation and translation adjustments
Retained
Total
Net
unrealized
Total
Deferred gains
earnings
valuation andTreasurygains (losses) on
shareholders'(losses) on
available-fortranslation
sharesTotal retained
hedgesequitysale
securities
adjustments
earnings

Subscription
rights toshares167,641(560)

215,714

12,250(29)

12,221

Total net
assets12

Dividends of surplus
Net income
Provision of reserve for
reduction entry
Purchase of treasury
shares
Disposal of treasury
shares24,47424,47424,474

-

-

-

(0)

(0)

(0)

0

0

0

Net changes of items otherthan shareholders' equity

Total changes of items
during period
Balance at end of current
period227,947(7,196)

6(7,190)(12)(7,202)

24,474(0)24,473(7,196)

6(7,190)(12)

17,270

192,116(561)

240,187

5,054

(23)

5,030

-

245,218－21－

Suruga bank, Ltd.

For the fiscal year ended March 31, 2021
（Millions of yen）
Shareholders' equity
Capital surplus

Balance at beginning ofcurrent period
Changes of items during
periodCapital stock

Legal capitalsurplus

Other capitalsurplus30,043

18,585

3

Retained earnings
Other retained earnings
Reserve for
Total capital Legal retained advanced
surplusearnings
depreciationof non-current
assets
18,58930,04359

Retainedearnings
brought
forwardGeneralreserve

103,032

58,981Dividends of surplus(1,158)Net income

18,941

Provision of reserve for
reduction entry
Purchase of treasury
shares
Disposal of treasury
shares(0)(0)

Net changes of items otherthan shareholders' equity

Total changes of items
during period
Balance at end of current
periodBalance at beginning ofcurrent period
Changes of items during
period

-

-

(0)

(0)

-

-

-

17,78330,043

18,585

3

18,58930,043

59

103,032

76,764

Shareholders' equity
Valuation and translation adjustments
Retained
Total
Net unrealized Deferred gains
Total
earnings
Treasury
valuation andgains (losses) on(losses) on
shareholders' available-fortranslation
sharesTotal retained
equityhedgessale
securities
adjustments
earnings

Subscription
rights toshares192,116(561)

240,187

5,054

(23)

5,030

Total net
assets-245,218

Dividends of surplus(1,158)(1,158)(1,158)Net income

18,941

18,941

18,941

Provision of reserve for
reduction entry
Purchase of treasury
shares
Disposal of treasury
shares

(0)

(0)

(0)

0

0

0

Net changes of items otherthan shareholders' equity

Total changes of items
during period
Balance at end of current
period

2,157

3

2,160

-

2,160

17,783(0)

17,783

2,157

3

2,160

-

19,943

209,899(561)

257,970

7,211

(20)

7,191

-

265,162－22－

Financial Results
For the fiscal year ended March 31, 2021

- Supplementary Information -SURUGA bank, Ltd.

Table of contents
Ⅰ. Financial highlights for the fiscal year ended March 31, 2021
1. Financial results

Non-consolidated

・・・・・・・・

2. Major accounts

Non-consolidated

・・・・・・・・

3. Management indicesNon-consolidated

・・・・・・・・

4. Own capital

Non-consolidated

・・・・・・・・

5. Unrealized gains (losses) on securities

Non-consolidated

・・・・・・・・

6. Earnings forecast for the fiscal year ending March 31, 2022

1
3
7
8
9

Non-consolidated, Consolidated

7. Asset quality

Non-consolidated

・・・・・・・・

8. Credit costs

Non-consolidated

・・・・・・・・

10
11

9. Dividends

Non-consolidated

・・・・・・・・・・・・・・・・

12
13

・・・・・・・・

14

15
16

Ⅱ. Financial data for the fiscal year ended March 31, 2021
1. Details of financial results

Non-consolidated
Consolidated

2. Net operating profit

Non-consolidated

3. Interest margins

Non-consolidated

4. ROA and ROE

Non-consolidated

5. Gains (losses) on securities

Non-consolidated

6. Capital adequacy ratio (domestic standard)

Non-consolidated, Consolidated

・・・・・・・・

7. Composition of own capital (domestic standard)

Non-consolidated, Consolidated

・・・・・・・・

Non-consolidated

・・・・・・・・

1. Risk-monitored loans

Non-consolidated, Consolidated

・・・・・・・・

2. Allowance ratio for risk-monitored loans

Non-consolidated, Consolidated

・・・・・・・・

17
18
19

3. Allowance for loan losses

Non-consolidated, Consolidated

・・・・・・・・

20

・・・・・・・・

21

・・・・・・・・

22

Ⅲ. Status of Loans, etc.
Comparison of asset disclosure by standard

4. Non-performing loans based on the Financial Reconstruction Law
5. Status of coverage of non-performing loans based on
the Financial Reconstruction Law

Non-consolidated
Non-consolidated

6. Loan breakdown by industry, etc.
(1) Loan breakdown by industry

Non-consolidated(2) Breakdown of risk-monitored loans by industry

Non-consolidated(3) Consumer loans

Non-consolidated(4) The ratio of loans to small- and medium-sized enterprises, etc.

Non-consolidated

7. Loan breakdown by country(1) Loans to specific foreign countries

Non-consolidated(2) Loans to Asian countries

Non-consolidated

8. Deposits and loans

Non-consolidated

9. Number of branches

Non-consolidated

Ⅳ. Unrealized gains (losses) on securities
1. Unrealized gains (losses)

Non-consolidated, Consolidated

Ⅴ. Retirement benefits
1. Retirement benefit expenses

Non-consolidated, Consolidated

Suruga bank, Ltd.

Ⅰ. Financial highlights for the fiscal year ended March 31, 2021
1. Financial results (Non-consolidated)
FY3/2021(a)
72,53575,806(4,367)39
71,47840,33731,14031,1401,057
32,197(17,933)
50,131
32,1791,957
69
19,982241537
18,941Gross operating profit
Net interest income
Net fees and commissions
Net other operating income (Note1)
Core gross operating profit
Expenses (-)
Core net operating profit (Note2)
Excluding gains (loss) on cancellation of investment trusts
Gains (losses) on bonds
Actual net operating profit (Note3)
Provision for general allowance for loan losses (-) (Note4)
Net operating profit
Disposal of non-performing loans (-)
Reversal of allowance for loan losses (Note4)
Recoveries on written-off claims
Gains (losses) on stocks
Ordinary profit
Gains (losses) on disposal of non-current assets
Impairment loss
Net income(Millions of yen)
FY3/2020(b)
80.34584,965(6,876)
2,025
80,11543,78036,33436,334230
36,56436,564
4,039
229
1,351
5,303
39,991(469)
9,451
24,474(a) - (b)(7,810)(9,159)2,509(1,986)(8,637)(3,443)(5,194)(5,194)827(4,367)(17,933)
13,56728,140(229)
606(5,234)(20,009)710(8,914)(5,533)

Net credit costs
14,246
10,437
3,809
Actual credit costs (Note5)
12,2889,831
2,457(Note1) Excludes Gains (losses) on bonds.
(Note2) Core net operating profit = Net operating profit + Provision for general allowance for loan losses- Gains (losses) on bonds(Note3) Actual net operating profit = Net operating profit + Provision for general allowance for loan losses(Note4) For the fiscal year ended March 31, 2020, the net amount of reversal of specific allowance for loan losses and provision
for general allowance for loan losses is recorded in reversal of allowance for loan losses, given that the former exceeded
the latter during period.
(Note5) Actual credit costs = Net credit costs (Provision for general allowance for loan losses + Disposal of non-performing loans- Reversal of allowance for loan losses) - Recoveries on written-off claims(1) Gross operating profit: ¥72.5billion
・Net interest income decreased by ¥9.1 billion year-on-year, mainly due to a decrease in interest on loans andbills discounted.
・Loan-deposit income decreased by ¥10.0 billion year-on-year.
・Core gross operating profit decreased by ¥8.6 billion year-on-year, mainly due to a decrease in net interest income.
・Gross operating profit decreased by ¥7.8 billion year-on-year.

(Billions of yen)

112.9

Net interest income

118.3

Loan-deposit income(Billions of yen)

109.5

103.9
84.9

113.2

99.7
83.9

75.8

FY3/17 FY3/18 FY3/19 FY3/20 FY3/21

73.9

FY3/17 FY3/18 FY3/19 FY3/20 FY3/21－1－

Suruga bank, Ltd.

(2) Expenses; OHR: 55.6%
・Expenses decreased by ¥3.4 billion year-on-year in accordance with the policy to reduce expenses as statedin the mid-term management plan.
・OHR rose year-on-year to 55.6%.
(OHR(%) = Expenses / Gross operating profit × 100)

Gross operating profit

Expenses(Billions of yen)

OHR

115.1

110.8

42.6%

40.5%

55.6%

54.4%

46.8%

99.9

80.3
47.2

46.8

46.7

FY3/17

FY3/18

FY3/19

72.5
43.7

40.3

FY3/20FY3/21(3) Core net operating profit: ¥31.1 billion, Net operating profit: ¥50.1 billion
・Core net operating profit decreased by ¥5.1 billion year-on-year, mainly due to a decrease in net interest income.
・Net operating profit increased by ¥13.5 billion year-on-year, mainly due to a decrease in provision for generalallowance for loan losses.

(Billions of yen)Core net operating profit

63.4 63.6

68.1
52.6
26.4

21.9
FY3/17

Net operating profit

FY3/18

FY3/1950.1

36.3 36.5

31.1

FY3/20FY3/21(4) Ordinary profit: ¥19.9 billion
・Ordinary profit decreased by ¥20.0 billion year-on-year, mainly due to an increase in net credit costs.

(5) Net income: ¥18.9 billion
・Net income decreased by ¥5.5 billion year-on-year, mainly due to a decrease in ordinary profit.

(6) Actual credit costs: ¥12.2 billion･Net credit costs increased by ¥10.4 billion year-on-year, mainly due to an increase (¥28.1 billion) in disposal of
non-performing loans and a decrease (¥17.9 billion) in provision for general allowance for loan losses.
･Actual credit costs, calculated as net credit costs (¥14.2 billion) minus the amount of recoveries of written-off claims (¥1.9
billion) amounted to ¥12.2 billion.

－2－

Suruga bank, Ltd.

2. Major accounts (Non-consolidated)(1) Loans and bills discounted
・Loans and bills discounted decreased by ¥185.2 billion, or 7.4% year-on-year.
・Consumer loans decreased by ¥231.5 billion, or 10.0% year-on-year.
・Yield on loans and bills discounted dropped by 7 basis point year-on-year to 3.12%.

Mar. 31, 2021(a)
Loans and bills discounted (period-end balance)(Billions of yen)Mar. 31, 2020(b)(a) - (b)2,310.9(185.2)

2,496.1

2,075.5(231.5)2,307.0

Secured loans

1,905.4(193.6)2,099.0

Unsecured loans

170.0(37.9)

207.9

2,414.7(250.0)2,664.7

Consumer loans

Loans and bills discounted (average balance)

Mar. 31, 2021
(a)(Billions of yen)Mar. 31, 2020(b)(a) - (b)New consumer loans

22.6

16.3

6.2

New asset management company loans for property investment

14.9

14.6

0.2

Subtotal

37.5

31.1

6.4

New structured finance

30.3

23.9

6.4

Total

67.9

55.1

12.8

Loans and bills discounted (period-end balance)
Consumer loans (period-end balance)

Yield on loans and bills discounted(Billions of yen)
3,253.7
3,245.9
2,925.9 2,898.82,664.8
2,907.3

Mar. 17Mar. 18

Mar. 19

2,496.1
2,307.0 2,310.9
2,075.5

Mar. 20

Mar. 21

－3－

3.62%

3.61%

3.32%

3.19%

3.12%

Mar. 17Mar. 18

Mar. 19

Mar. 20

Mar. 21

Suruga bank, Ltd.

Consumer loans
Outstanding balance, yield, delinquency rate by loan category(Billions of yen)Mar. 31, 2021
Dec. 31, 2020
Period-end
Yield
Yield
Delinquency Period-end
Delinquency
balanceratebalancerate
1,905.4
3.08%
4.93%
1,989.2
3.05%
6.69%
497.9
2.83%
0.27%
509.9
2.84%
0.31%
167.8
3.39%
1.58%
173.7
3.39%
1.71%
1,096.0
3.24%
3.50%
1,115.8
3.24%
3.69%
107.1
1.40%
49.06%
152.4
1.45%
58.52%
36.4
4.73%
0.58%
37.2
4.80%
1.16%
170.0
10.32%
2.17%
176.7
10.29%
2.15%
112.8
11.69%
0.82%
116.9
11.65%
0.84%
57.1
7.63%
4.83%
59.8
7.64%
4.71%
2,075.5
3.66%
4.71%
2,166.0
3.63%
6.33%

Loan category
Secured loans
Housing loans
Studio apartment loans
Single building apartment loans
Share house loans
Other secured loans
Unsecured loans
Card loans
Unsecured certificate loans
Consumer loans (A)Consumer loans(excluding share house-related loans)
Corporate loans for property investment(B)

1,939.8-

2.14%

1,978.7

-

2.19%

48.6

2.18%

-

27.2

2.29%

-

Total (A) + (B)2,124.1
3.63%
4.60%
2,193.3
3.59%
6.25%(Note1) Delinquency rate = Loans past due 3 months or more / Loans(Note2) Yield: Yield for customers (excluding guarantee fee, accrued interest), period-end balance basis(Note3) Yield and delinquency rate of Studio apartment loans, secured loans and consumer loans are calculated based on
originals claims before securitization.
(Note4) Corporate loans for property investment: Corporate loans for property investment and structured finance that are
defined as new business fields in the mid-term management plan.

Share house loans (Non-performing loans based on the Financial Reconstruction Law)
(Billions of yen)(Non-performing loans)
Total

Mar. 31, 2020
Jun. 30, 2020
Sep. 30, 2020
Dec. 31, 2020
Mar. 31, 2021

192.1
190.4
189.1
187.3
135.7

Claims against
bankrupt andsubstantiallybankrupt obligors
45.9
50.2
56.1
80.6
53.3

Claims withcollection risk

28.9
38.3
58.3
43.6
31.5

Claims for
specialattention

100.7
87.4
62.4
52.2
40.1

Subtotal

175.5
176.0
177.0
176.4
124.9

Normal assets

16.5
14.4
12.1
10.8
10.7
(Billions of yen)

Total

Collateral or
guarantees,
etc.
B
72.7
72.1
71.8
72.2
52.5

UnsecuredportionAllowance

Coverageratio

Share house claims
CD(B＋D)／A
Mar. 31, 2020
192.1
154.7
119.3
102.5
91.29%
Jun. 30, 2020
190.4
154.0
118.2
103.7
92.36%
Sep. 30, 2020
189.1
153.5
117.3
106.5
94.31%
Dec. 31, 2020
187.3
152.5
115.1
106.1
95.20%
Mar. 31, 2021
135.7
107.2
83.1
76.7
95.24%(Note1) Based on obligors of share house loans(Note2) Covered amount: Estimated amount, calculated by multiplying the covered amount including collateral, etc.
with a certain ratio.
(Note3) Total credit balance, share house loan receivables: Loans and bills discounted, suspense payments equivalent
to loans and bills discounted, and accrued interest on loans and bills discounted.
A－4－

Suruga bank, Ltd.

Actual credit costs and Allowance for loan losses(Billions of yen)
ItemMar. 31, 2021
Actual credit costs

Allowance

Share house-related loans

(0.4)

76.7

Investment property loans

12.0

59.5

Housing loans

0.2

4.3

Unsecured loans

0.1

2.7

Business financing loans, etc.

0.3

8.3

Total

12.2

151.8

(Note) Investment property loans: Studio apartment loans, Single building apartment loans, Other secured loans－5－Suruga bank, Ltd.

(2) Deposits
・Deposits increased by ¥39.6 billion, or 1.2% year-on-year.
・Individual deposits increased by ¥122.3 billion, or 4.8% year-on-year.
・Yield on deposits is 4 basis points.

Mar. 31, 2021
(a)(Billions of yen)Mar. 31, 2020(b)(a) - (b)Deposits (period-end balance)

3,250.4

39.6

3,210.8

Individual deposits

2,637.4

122.3

2,515.1

Deposits (average balance)

3,194.4

95.2

3,099.2

Deposits (period-end balance)

Yield on deposits

Individual deposits (period-end balance)(Billions of yen)
4,089.6
3,250.4
3,191.8 3,165.6 3,210.8
3,190.8
2,637.4
2,515.1
2,505.7

4,105.4

Mar. 17Mar. 18

Mar. 19

Mar. 20

0.10%
0.08%

Mar. 17Mar. 21Mar. 18

0.04%

0.04%

0.04%

Mar. 19

Mar. 20

Mar. 21(3) Net fees and commissions
・Net fees and commissions increased by ¥2.5 billion year-on-year, mainly due to a decrease (¥0.6 billion)in fees and commissions, a decrease (¥3.1 billion) in fee and commissions payments.

Net fees and commissions

Fees and commissions

Fees and commissions payments(Millions of yen)
14,327
12,002(2,324)

FY3/17

14,925
11,417(3,507)

FY3/1814,994

13,9699,510(4,458)

FY3/19－6－

11,8608,118(6,876)

FY3/20

7,492(4,367)

FY3/21

Suruga bank, Ltd.

(4) Individual deposit assets
・Individual deposit assets increased by ¥125.5 billion year-on-year.
・The ratio of investment products to total individual deposit assets was 4.0%.

125,524

2,618,226(Millions of yen)Sep. 30, 2020(c)
2,683,959

2,633,381

122,099

2,511,282

2,575,551

Mar. 31, 2021(a)2,743,750

Individual deposit assets
Yen deposits
Investment products

Mar. 31, 2020(b)(a) - (b)110,369

3,426

106,943

108,407

Foreign currency deposits

4,111

254

3,857

3,918

Public bonds

6,035(1,160)

7,195

6,568

Mutual funds

68,0508,16559,88563,655

Personal pension plans

18,093(3,219)21,312

19,91914,078(615)

14,693

14,345

4.0%

0.0%

4.0%

4.0%

Single premium life insurance
The ratio of investment products tototal individual deposit assets

3. Management indices (Non-consolidated)(1) Interest margins
・Loan-deposit margin (after deduction of expenses) expanded by 7 basis points year-on-year to 1.81%.
・Net interest margin shrunk by 20 basis points year-on-year to 0.94%.
(%)
FY3/2021(a)
Loan-deposit margin
Loan-deposit margin(after deduction of expenses)
Net interest margin

FY3/2020(b)

3.07(a) - (b)(0.08)

1.81

0.07

1.74

0.94

(0.20)

1.14

3.15

Loan-deposit margin
Loan-deposit margin (after deduction of expenses)
Net interest margin
3.52%
2.35%

1.54%

FY3/17

3.52%

3.27%

3.15%

3.07%

1.93%

1.74%

1.81%

2.37%

1.68%

FY3/181.45%

FY3/19－7－

1.14%
FY3/200.94%
FY3/21

Suruga bank, Ltd.

4. Own capital・Capital adequacy ratio (Non-consolidated) rose by 185 basis points year-on-year to 12.13%.

Non-consolidated(Millions of yen)Mar. 31, 2020

Mar. 31, 2021
Capital adequacy ratio

12.13%

10.28%

Own capital (Core capital)

258,806

241,438

Core capital: instruments and reserves

281,357

265,899

Core capital: regulatory adjustments (-)

22,55024,461

Risk-weighted assets

2,133,374

2,347,582

Total required capital

82,25890,574

Consolidated(Millions of yen)Mar. 31, 2020

Mar. 31, 2021
Capital adequacy ratio

12.39%

10.42%

Own capital (Core capital)

269,590249,228Core capital: instruments and reserves

300,308

276,418

Core capital: regulatory adjustments (-)

30,717

27,189Risk-weighted assets

2,175,140

2,390,570

Total required capital

83,92992,293

Capital adequacy ratio （non-consolidated）
Own capital (non-consolidated)(Billions of yen)

11.96%

12.15%
10.28%

8.80%

307.2

324.7
213.7

Mar. 17

12.13%

Mar. 18

Mar. 19

241.4

258.8

Mar. 20

Mar. 21－8－

Suruga bank, Ltd.

5. Unrealized gains (losses) on securities (Non-consolidated)
・Net unrealized gains on securities increased by ¥2.7 billion year-on-year.
(Millions of yen)Mar. 31, 2021
(a)
Available-for-sale securities

Mar. 31, 2020(b)(a) – (b)

9,518

2,733

6,785

Stocks

8,646

2,796

5,850

Bonds

324

48

276

Others

546

(113)

659

6. Earnings forecast for the fiscal year ending March 31, 2022
Consolidated(Billions of yen)
FY3/2022 (forecast)First half

Full year

Ordinary income

44.0

87.0

Ordinary profit
Profit attributable toowners of parent

(2.0)

8.0

(2.5)

7.0

Non-consolidated(Billions of yen)
FY3/2022 (forecast)First half

Full year

Ordinary income

39.5

78.0

Core net operating profit

11.5

23.0

Net operating profit

20.5

23.0

Ordinary profit

(2.5)

7.0

Net income

(3.0)

6.0

Actual credit costs

14.0

16.0

(Note) The performance forecasts and other forward-looking statements in this report are based on information currently
available to the company and on certain assumptions deemed to be reasonable, and are not intended to guarantee future
performance. Actual performance may differ materially depending on various factors.

－9－Suruga bank, Ltd.

7. Asset quality (Non-consolidated)(1) Non-performing loans based on the Financial Reconstruction Law
・Non-performing loans based on the Financial Reconstruction Law decreased by ¥23.1 billion year-on-year.
Non-performing loan ratio rose by 12 basis points year-on-year to 14.02%.

Outstanding balance(Millions of yen, %)Mar. 31, 2021(a)

Claims against bankrupt andsubstantially bankrupt obligors
Claims with collection risk

Claims for special attention(a) - (b)(a) - (c)Sep. 30, 2020(b)Mar. 31, 2020(c)

100,433

(292)

7,794

100,725

92,63991,253(27,320)

10,577

118,573

80,676

134,362(23,214)(41,561)

157,576

175,923

Total

(A)

326,048(50,827)(23,190)376,875

349,238

Total claims(B)2,325,053(108,319)(187,026)

2,433,372

2,512,079

(A/B)

14.02

(1.46)

0.12

15.48

13.90

Non-performing loans(A)

Claims against
bankrupt andsubstantiallybankrupt
obligors
100,433

Covered amount (C+D)
Portion secured by collateralor guarantees, etc.
Allowance for loan losses(B)

Non-performing loan ratio
Status of coverage(Millions of yen, %)Claims withcollection risk

Claims for
specialattention

Total

Change from
Mar. 31, 2020

91,253

134,362

326,048(23,190)

100,433

66,16566,348232,946(32,255)(C)

38,16834,77235,271

108,212(10,396)(D)

62,264

31,39331,076

124,734(21,859)

Coverage ratio (B/A)

100.00

72.50

49.37

71.44

(4.49)

Unsecured portion (A-C)(E)
Allowance ratio for unsecured portion(D/E)

62,26456,481

99,091

217,836(12,794)

100.00

55.58

31.36

57.26

(6.30)

56,94549,427124,260

230,630

100.00

58.94

48.69

63.56

(Reference) As of Mar. 31, 2020
Unsecured portion
Allowance ratio for unsecured portion(2) Risk-monitored loans(Millions of yen, %)Mar. 31, 2021
(a)(a) - (b)(a) - (c)Sep. 30, 2020(b)Mar. 31, 2020(c)

Loans to bankrupt obligors

1,510

(172)

(19)

1,682

1,529

Non-accrual delinquent loans

188,492(27,041)

18,511

215,533

169,981Loans past due 3 months or more
Restructured loans
Total
Coverage ratio

4,758(3,590)(1,764)

8,348

6,522

129,603(19,624)(39,797)

149,227

169,400

324,365(50,427)(23,068)

374,792

347,433

71.74(2.98)(4.57)

74.72

76.31

－10－

Suruga bank, Ltd.

8. Credit costs (Non-consolidated)(Millions of yen, %)FY3/2021(a)

FY3/2020(b)(a) - (b)Provision for general allowance for loan losses(1)(17,933)(17,933)-

Disposal of non-performing loans(2)32,17928,140

4,039

Write-off of loans

4,888

3,332

1,556

Provision for specific allowance for loan losses

23,104

23,104-Losses on sales of delinquent loans

4,145

1,735

2,410

40

(32)

72

Provision for allowance for contingent losses
Reversal of allowance for loan losses

(3)

-

(229)

229

Recoveries on written-off claims

A

1,957

606

1,351

(4) (= (1) + (2)－(3) )14,246

10,437

3,809

(4)－A

12,288

9,831

2,457

2,414,755(250,009)

2,664,764

Net credit costs ratio

0.58

0.44

0.14

Actual credit costs ratio

0.50

0.41

0.09

Net credit costs
Actual credit costs

Loans and bills discounted (average balance)(Note1) Net credit costs ratio = Net credit costs / Loans and bills discounted (average balance)(Note2) Actual credit costs ratio = Actual credit costs / Loans and bills discounted (average balance)

9. Dividends
・As a result of comprehensively considering the performance trends for the current year, the earnings outlook in the mid-term
management plan, and future financial conditions, the company decided to pay a year-end dividend of ¥5 per share.
(yen)
FY3/2020(result)

FY3/2021
Annual dividend per share

5.00

5.00

Interim dividend

0.00

0.00

Year-end dividend

5.00

5.00

－11－

Suruga bank, Ltd.

Ⅱ. Financial data for the fiscal year ended March 31, 2021
1. Details of financial results (Non-consolidated)

Gross operating profit(excluding gains (losses) on bonds)
Domestic gross operating profit(excluding gains (losses) on bonds)
Net interest income
Net fees and commissions
Net other operating income(of which, Gains (losses) on bonds)
International gross operating profit(excluding gains (losses) on bonds)
Net interest income
Net fees and commissions
Net other operating income(of which, Gains (losses) on bonds)
Expenses (excluding non-recurring losses)
Personnel expenses
Non-personnel expenses
Taxes
Actual net operating profit
Core net operating profit
Excluding gains (loss) on cancellation of
investment trust
Provision for general allowance for loan losses (Note)
Net operating profit
Gains (losses) on bonds
Non-recurring gains (losses)
Reversal of allowance for loan losses (Note)
Recoveries on written-off claims
Gains (losses) on stocks
Ordinary profit
Extraordinary gains (losses)
Gains (losses) on disposal of non-current assets
Impairment loss
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Net income

（
（

（
（

（

(1)Provision for general allowance for loan losses (Note)(2)Disposal of non-performing loans
Write-off of loans
Provision for specific allowance for loan losses (Note)
Losses on sales of delinquent loans
Provision for allowance for contingent losses
Reversal of allowance for loan losses (Note)(3)Net credit costs (1)+(2)-(3)(4)Recoveries on written-off claims(5)Actual credit costs (4)-(5)FY3/2021(a)
72,53571,47872,34571,28875,681(4,391)
1,056
1,057
189
189
125
23
40
40,337
14,86822,601
2,867
32,19731,140(a) - (b)(7,810)(8,637)(7,733)(8,559)(9,080)2,510(1,161)
827
(78)
(78)
(79)
(1)
3
(3,443)(7)(3,002)(435)(4,367)(5,194)(Millions of yen)
FY3/2020(b)
80,345
80,115 ）80,07879,847 ）84,761(6,901)
2,217
230 ）
267
267 ）
204
24
37
- ）
43,78014,87525,603
3,302
36,56436,334

31,140(5,194)36,334(17,933)
50,131
1,057(30,148)
1,957
69
19,982
(296)
241
537
19,68672672
744
18,941(17,933)
13,567827(33,575)(229)
606(5,234)(20,009)
9,612
710(8,914)(10,397)(3,457)(1,407)(4,865)(5,533)36,564
230
3,427
229
1,351
5,303
39,991(9,908)(469)
9,451
30,083
3,529
2,079
5,609
24,474(17,933)
32,1794,888
23,104
4,145
40
14,246
1,957
12,288(17,933)
28,1403,332
23,104
1,735
(32)
(229)
10,437
606
9,831

4,039
1,556
2,410
72
229
3,809
1,351
2,457

(Note)For the fiscal year ended March 31, 2020, the net amount of reversal of specific allowance for loan losses and provision
for general allowance for loan losses is recorded in reversal of allowance for loan losses, given that the former exceeded
the latter during period.

－12－Suruga bank, Ltd.

Details of financial results (Consolidated)(Millions of yen)

Consolidated gross profit
Net interest income
Net fees and commissions
Net other operating income
Expenses (excluding non-recurring losses)
Actual credit costs
Gains (losses) on stocks
Equity in gains (losses) of affiliates
OthersOrdinary profit
Extraordinary gains (losses)
Income before income taxes
Income taxes-current
Income taxes-deferred
Total income taxes
Profit attributable to non-controlling interests
Profit attributable to owners of parent(1)Provision for general allowance for loan losses(2)Disposal of non-performing loans
Write-off of loans
Provision for specific allowance for loan losses
Losses on sales of delinquent loans
Provision for allowance for contingent losses(3)Net credit costs (1)+(2)(4)Recoveries on written-off claims(5)Actual credit costs (3)-(4)FY3/2021(a)
79,567
81,599(3,350)1,318
43,41813,33969
234
23,113(341)
22,772
186
1,158
1,344
(6)
21,433(a) - (b)(10,898)(10,839)
1,372(1,430)(4,947)
7,035(5,221)(5)(438)(18,650)
9,563(9,086)(3,938)(1,003)(4,941)(254)(3,891)

FY3/2020(b)
90,46592,438(4,722)
2,748
48,365
6,304
5,290
5
672
41,763(9,904)31,858
4,124
2,161
6,285
248
25,324(19,587)
35,0975,171
22,8007,085
40
15,5102,170
13,339(25,671)
33,0382,444
28,125
2,500
(32)
7,367
332
7,035

6,084
2,059
2,727
(5,325)
4,585
72
8,143
1,838
6,304

(Note) Consolidated gross profit = (Interest income - Interest expenses) + (Fees and commissions - Fees and commissions
payments) + (Other operating income - Other operating expenses)(Reference)
Consolidated net operating profit

55,737

19,722(Millions of yen)
36,015(Note) Consolidated net operating profit = Consolidated gross profit - Consolidated expenses - Consolidated provision for generalallowance for loan losses(Number of consolidated subsidiaries and affiliates)
Consolidated subsidiaries
Equity-method accounted affiliates

6
-

(3)
-

(Companies)
9-

2. Net operating profit (Non-consolidated)(Millions of yen)
FY3/2021(a)
50,131
34,644

Net operating profit
Per employee (Thousands of yen)

－13－(a) - (b)13,567
10,236

FY3/2020(b)
36,564
24,408

Suruga bank, Ltd.

3. Interest margins (Non-consolidated)
Overall(%)
FY3/2021(a)

Return on investments(A)
Yield on loans and bills discounted
Yield on securities
Yield on interest bearing liabilities(B)
Yield on deposits
Loan-deposit margin(after deduction of expenses)
Net interest margin(A) - (B)FY3/2020(b)(a) - (b)
2.25
3.12
0.52
1.31
0.04

(0.35)(0.07)(0.10)(0.15)
0.00

2.60
3.19
0.62
1.46
0.04

1.81

0.07

1.74

0.94

(0.20)

1.14

Domestic(%)
FY3/2021(a)

Return on investments(A)
Yield on loans and bills discounted
Yield on securities
Yield on interest bearing liabilities(B)
Yield on deposits
Loan-deposit margin(after deduction of expenses)
Net interest margin(A) - (B)FY3/2020(b)(a) - (b)
2.26
3.13
0.52
1.27
0.04

(0.33)(0.06)(0.10)(0.14)
0.00

2.59
3.19
0.62
1.41
0.04

1.85

0.07

1.78

0.98

(0.20)

1.18

4. ROA and ROE (Non-consolidated)(%)
FY3/2021
(a)
ROA
ROE

Net operating profit basis
Net income basis
Net operating profit basis
Net income basis

FY3/2020(b)(a) - (b)
1.44
0.54
20.94
7.91

0.35
(0.19)
4.00(3.43)

1.09
0.73
16.94
11.34

5. Gains (losses) on securities (Non-consolidated)(Millions of yen)
FY3/2021(a)

FY3/2020(b)(a) - (b)Gains (losses) on bonds
Gains on sales
Gains on redemptions
Losses on sales
Losses on redemptions
Losses on devaluation

1,057
604
912
150
308
-

827
598
537
150
156
-

230
6
375
152
-

Gains (losses) on stocks
Gains on sales
Losses on sales
Losses on devaluation

69
69
0

(5,234)(5,403)
(117)
(52)

5,303
5,472
117
52

－14－

Suruga bank, Ltd.

6. Capital adequacy ratio (domestic standard)
Non-consolidated

Capital adequacy ratio
Own capital (Core capital)
Core capital: instruments and reserves
Core capital: regulatory adjustments (-)
Risk-weighted assets

Total required capital(Millions of yen)Mar. 31, 2021
(a)12.13%
258,806
281,357
22,5502,133,374
82,258(a) - (b)1.85%
17,36815,458(1,911)(214,208)(8,316)

Consolidated

Capital adequacy ratio
Own capital (Core capital)
Core capital: instruments and reserves
Core capital: regulatory adjustments (-)
Risk-weighted assets

Total required capitalMar. 31, 2020(b)
10.28%
241,438
265,899
24,461
2,347,582
90,574(Millions of yen)Mar. 31, 2021
(a)12.39%
269,590
300,308
30,7172,175,140
83,929－15－(a) - (b)1.97%
20,362
23,8903,528(215,430)(8,364)Mar. 31, 2020(b)
10.42%
249,228
276,418
27,1892,390,570
92,293

Suruga bank, Ltd.

7. Composition of own capital (domestic standard)Core capital: instruments and reserves(1)
Directly issued qualifying common stock or preferred stock mandatorily convertible into common
stock capital plus related capital surplus and retained earnings
Capital and capital surplus
Retained earnings
Treasury shares (-)
Earnings to be distributed (-)
Accumulated other comprehensive income included in Core capital
Remeasurements of defined benefit plans
Subscription rights to acquire common stock or preferred stock mandatorily convertible into common
stockAdjusted non-controlling interests (amount allowed to be included in Core capital)
Reserves included in Core capital: instruments and reserves
General allowance for loan losses
Eligible non-cumulative perpetual preferred stock subject to transitional arrangement included in Core
capital: instruments and reserves
Eligible capital instrument subject to transitional arrangement included in Core capital: instruments
and reserves
Capital instrument issued through the measures for strengthening capital by public institutions
included in Core capital: instruments and reserves
45% of revaluation reserve for land included in Core capital: instruments and reserves
Non-controlling interests included in Core capital subject to transitional arrangementsCore capital: instruments and reserves(A)Core capital: regulatory adjustments(2)
Total intangible fixed assets (net of related tax liability, excluding those relating to mortgage servicing
rights)Goodwill (including those equivalent)
Other intangible fixed assets other than goodwill and mortgage servicing rights
Deferred tax assets that rely on future profitability excluding those arising from temporary differences(net of related tax liability)
Shortfall of eligible provisions to expected losses
Gains on sale related to securitization transactions
Gains (losses) due to changes in own credit risk on fair valued liabilities
Prepaid pension cost
Net defined benefit asset
Investments in own shares (excluding those reported in the net assets)
Reciprocal cross-holdings in relevant capital instruments issued by other financial institutions
Investments in the capital of banking, financial and insurance entities that are outside the scope of
regulatory consolidation (“Other financial institutions”), net of eligible short positions, where the bankdoes not own more than 10% of the issued share capital (amount above the 10% threshold)Amount exceeding the 10% threshold on specified items
Significant investments in the common stock of Other financial institutions, net of eligible shortpositions
Mortgage servicing rights
Deferred tax assets arising from temporary differences (net of related tax liability)
Amount exceeding the 15% threshold on specified items
Core capital: regulatory adjustments(B)
Total capital
Total capital
(A-B)
(C)
Risk-weighted assets(3)
Credit risk-weighted assets
Total of items included in risk-weighted assets subject to transitional arrangements
Amount equivalent to market risk × 12.5
Amount equivalent to operational risk × 12.5
Credit risk-weighted assets adjustments
Amount equivalent to operational risk adjustments
Total amount of risk-weighted assets(D)
Capital adequacy ratio (non-consolidated)
Capital adequacy ratio (non-consolidated)(C/D)
Capital adequacy ratio (consolidated)
Capital adequacy ratio (consolidated)
(C/D)

－16－

(Millions of yen）
Mar. 31, 2021
Consolidated
Non-consolidated
256,812269,232

48,632
209,899
561
1,158
-

32,089238,863
561
1,158
6,341
6,341

-

-

24,54424,54424,70324,703

-

-

-

-

-

-

281,35731
300,308

13,061

14,696

13,061

1,424
13,272

-

205

9,323
-

15,664
-

-

-

165

149

-

-

165
22,550149
30,717

258,806

269,590

1,963,705
169,669
2,133,374

1,976,353
198,786
2,175,140

12.13%--

12.39%

Suruga bank, Ltd.

Ⅲ. Status of loans, etc.
Comparison of asset disclosure by standard
Non-consolidated (As of March 31, 2021)
Classification and status of coverage by disclosure standard
Self-assessment result(by obligor classification)* Includes total claims (“Claims for special
attention” includes only loans and bills
discounted).

* Includes total claims.

Classification

Category
Creditbalance

Nonclassification

Classification
Ⅱ

506

1,022

Category

Classification
Ⅲ

ClassificationⅣ

Creditbalance

Bankrupt obligors
1,529
[465]
Effectively bankrupt
obligors

62,07036,833--98,904[61,799][465][61,799]

Potentiallybankrupt obligors
35,67730,487

91,253[31,393]

Substandard
obligors
Obligors
requiring
cautionNon-performing loans based on
the Financial Reconstruction Law

25,087[31,393]-

Claimsagainstbankrupt
andsubstantiallybankrupt
obligors

CollateralorAllowance
guarantees,
etc.

38,16862,264* Includes loans andbills discounted.

Coverage
ratio

34,772

31,39372.50%

91,253Claims for
specialattention
260

163,865--

35,271

31,076

Category

Outstandingbalance

Loans tobankrupt
obligors

1,510

Non-accrualdelinquentloans

188,492

Loans pastdue 3 months
or more4,758

Restructuredloans

129,603

Total

324,365

100%

100,433

Claims withcollection
risk(Millions of yen)
Risk-monitoredloans

49.37%

134,362
Subtotal

164,125

108,212

124,734

71.44%

326,048

Other
obligors
requiring
caution12,911

844,081--856,993
Normal obligors

Normalassets1,999,004

1,112,247---

1,223,674 1,076,290

25,087[31,393][62,264]

1,112,247
Total
2,325,053[93,657]

Total
2,325,053(Note1) “Total claims” includes “Loans and bills discounted”, “Customers’ liabilities for acceptances and guarantees”, “Foreignexchanges”, “Securities lent”, “Suspense payment” and “Accrued interest”.
(Note2) Numbers shown in brackets under “Self-assessment result” represent the reserved amount for each category.

－17－

Suruga bank, Ltd.

1. Risk-monitored loans
The following table shows figures after deduction of partial direct write-off of loans.
The amounts of partial direct write-off of loans for the fiscal year ended March 31, 2021 were as follows:(a) Non-consolidated: ¥9,684 million; (b) Consolidated: ¥9,684 million
Loans to “Potentially bankrupt obligors”, “Effectively bankrupt obligors” and “Bankrupt obligors” under self-assessment areplaced on non-accrual status.
Non-consolidated

Loans to bankrupt obligors
Non-accrual delinquent loans

Riskmonitored Loans past due 3 months or moreloans
Restructured loans
Total
Loans and bills discounted(period-end balance)
Loans to bankrupt obligors％ to loans Non-accrual delinquent loans
and bills Loans past due 3 months or morediscounted Restructured loans
Total(Millions of yen, %)Mar. 31, 2021
(a)
1,510
188,492
4,758
129,603324,365(a) - (b)(172)
(27,041)(3,590)(19,624)(50,427)(a) - (c)(19)
18,511(1,764)(39,797)(23,068)

Sep. 30, 2020
(b)
1,682
215,533
8,348
149,227
374,792

Mar. 31, 2020
(c)
1,529
169,981
6,522
169,400
347,433

2,310,982(107,435)(185,175)

2,418,417

2,496,157

0.06
8.15
0.20
5.60
14.03

0.00
(0.76)(0.14)(0.57)(1.46)

0.00
1.35(0.06)(1.18)
0.12

0.06
8.91
0.34
6.17
15.49

0.06
6.80
0.26
6.78
13.91

Consolidated

Loans to bankrupt obligors
Non-accrual delinquent loans
Riskmonitored Loans past due 3 months or moreloans
Restructured loans
Total
Loans and bills discounted(period-end balance)
Loans to bankrupt obligors％ to loans Non-accrual delinquent loans
and bills Loans past due 3 months or morediscounted Restructured loans
Total(Millions of yen, %)Mar. 31, 2021
(a)
1,680
192,8124,758
129,603
328,854(a) - (b)(557)
(27,742)(3,590)(19,624)(51,514)(a) - (c)(2,479)16,758(1,764)(39,797)(27,282)

Sep. 30, 2020
(b)
2,237
220,554
8,348
149,227
380,368

Mar. 31, 2020
(c)
4,159
176,0546,522
169,400
356,1362,319,560(103,762)(183,278)

2,423,322

2,502,838

0.07
8.31
0.20
5.58
14.17

(0.02)(0.79)(0.14)(0.57)(1.52)(0.09)
1.28(0.06)(1.18)(0.05)

0.09
9.10
0.34
6.15
15.69

0.16
7.03
0.26
6.76
14.22

－18－

Suruga bank, Ltd.

2. Allowance ratio for risk-monitored loans
Non-Consolidated

Risk-monitored loans(A)
Collateral or guarantees, etc.
(B)
Allowance for loan losses(C)
Allowance ratio(C/A)
Coverage ratio(B+C)/(A)Mar. 31, 2021(a)
324,365
108,182
124,560
38.39
71.74

(a) - (b)(50,427)(17,054)(30,314)(2.92)(2.98)(a) - (c)(23,068)(10,406)(22,023)(3.79)(4.57)(Millions of yen, %)Sep. 30, 2020
Mar. 31, 2020(b)(c)
374,792
347,433
125,236
118,588
154,844
146,553
41.31
42.18
74.72
76.31

(a) - (c)(27,282)(12,383)(24,462)(3.91)(4.86)(Millions of yen, %)Sep. 30, 2020
Mar. 31, 2020(b)(c)
380,368
356,136
126,613
120,588
157,392
151,629
41.37
42.57
74.66
76.43

(a) - (c)(22,315)(29,890)
7,574(Millions of yen)Sep. 30, 2020
Mar. 31, 2020(b)(c)
178,933
174,146
88,063
66,42586,083
112,508(a) - (c)(25,968)(31,544)
5,576

Sep. 30, 2020(b)
186,092
70,191
115,900(Millions of yen)Mar. 31, 2020(c)
183,979
92,45091,529(a) - (c)Sep. 30, 2020(b)(Millions of yen)Mar. 31, 2020(c)

Consolidated

Risk-monitored loans(A)
Collateral or guarantees, etc.
(B)
Allowance for loan losses(C)
Allowance ratio(C/A)
Coverage ratio(B+C)/(A)Mar. 31, 2021(a)
328,854
108,205
127,167
38.66
71.57

(a) - (b)(51,514)(18,408)(30,225)(2.71)(3.09)

3. Allowance for loan losses
Non-consolidated

Allowance for loan losses
General allowance for loan losses
Specific allowance for loan losses

Mar. 31, 2021(a)
151,831
58,17393,657(a) - (b)(27,102)(8,252)(18,851)

Consolidated

Allowance for loan losses
General allowance for loan losses
Specific allowance for loan losses

Mar. 31, 2021(a)
158,01160,906
97,105(a) - (b)(28,081)(9,285)(18,795)

4. Non-performing loans based on the Financial Reconstruction Law
Non-consolidated
Mar. 31, 2021(a)
Claims against bankrupt andsubstantially bankrupt obligors
Claims with collection risk
Claims for special attention
Total

(A)

(a) - (b)100,433

(292)

7,794

100,725

92,63991,253
134,362
326,048(27,320)(23,214)(50,827)

10,577(41,561)(23,190)

118,573
157,576
376,875

80,676
175,923
349,238

5. Status of coverage of non-performing loans based on the Financial Reconstruction Law
Non-consolidated

Total coverage
Allowance for loan losses
Collateral or guarantees, etc.
Coverage ratio(B)Mar. 31, 2021(a)
232,946
124,734
108,212(a) - (b)(47,143)(30,086)(17,057)(a) - (c)(32,255)(21,859)(10,396)

(B/A)

71.44

(2.87)(4.49)－19－(Millions of yen, %)Sep. 30, 2020
Mar. 31, 2020(b)(c)
280,089
265,201
154,820
146,593
125,269
118,608
74.31

75.93

Suruga bank, Ltd.

6. Loan breakdown by industry, etc.
(1) Loan breakdown by industry (Non-consolidated)
Mar. 31, 2021(a)
Domestic offices (excluding Japan
offshore banking accounts)
Manufacturing
Agriculture and forestry
Fishery
Mining, quarrying and gravel
Construction
Utilities
Information and communication
Transportation and postal service
Wholesale and retail trade
Finance and insurance
Real estate, goods rental and leasing

Services
Government and municipal government

Others(Millions of yen)Sep. 30, 2020(b)Mar. 31, 2020(c)(a) - (b)(a) - (c)2,310,982(107,435)(185,175)

2,418,417

2,496,157

42,1994,210
8263
12,282125
1,574
12,71429,46014,07664,25037,3599,249
2,083,202

544
(131)
4
12
878
(54)
411
(1,848)(299)(6,062)
24,8217,170
2,730(135,612)

4,214
(206)
1
14
(5)
(7)
398
(1,201)(1,229)(6,232)36,822
10,162
5,079(232,987)

41,6554,341
4
251
11,404179
1,163
14,56229,75920,13839,42930,1896,519
2,218,814

37,9854,416
7249
12,287132
1,176
13,91530,68920,30827,42827,1974,170
2,316,189(2) Breakdown of risk-monitored loans by industry (Non-consolidated)
Mar. 31, 2021(a)
Domestic offices (excluding Japan
offshore banking accounts)
Manufacturing
Agriculture and forestry
Fishery
Mining, quarrying and gravel
Construction
Utilities
Information and communication
Transportation and postal service
Wholesale and retail trade
Finance and insurance
Real estate, goods rental and leasing

Services
Government and municipal government

Others (Note)(a) - (b)(Millions of yen)(a) - (c)Sep. 30, 2020(b)Mar. 31, 2020(c)

324,365(50,427)(23,068)

374,792

347,433

8,197
819
4
120
4
5,903
109
674
308,533

1,270
(31)
0
(1)
0
(234)
(800)
(30)
(487)
(50,113)

997
(34)
0
(3)
0
(402)
(470)
(30)
(1,215)(21,909)

6,927
850
4
121
4
6,137
800
139
1,161
358,646

7,200
853
4
123
4
6,305
470
139
1,889
330,442(Note) “Others” includes real estate financing for rent to individuals.

－20－

Suruga bank, Ltd.

(3) Consumer loans (Non-consolidated)

Consumer loans
Secured loans
Housing loans
Unsecured loans(Millions of yen)Mar. 31, 2021(a)2,075,500
1,905,484
497,982
170,015(a) - (b)(135,378)(119,960)(24,796)(15,419)(a) - (c)(231,516)(193,608)(53,405)(37,909)

Sep. 30, 2020(b)2,210,878
2,025,444
522,778
185,434

Mar. 31, 2020(c)
2,307,016
2,099,092
551,387
207,924(4) The ratio of loans to small- and medium-sized enterprises, etc. (Non-consolidated)
Mar. 31, 2021
(a)
The ratio of loans to small- andmedium-sized enterprises, etc.

97.02(a) - (b)(%)(a) - (c)(0.55)(0.90)

Sep. 30, 2020(b)Mar. 31, 2020
(c)

97.57

97.92

(Note) “Loans to small- and medium-sized enterprises” includes consumer loans which comprise 89.81% of this total.

7. Loan breakdown by country(1) Loans to specific foreign countries (Non-consolidated)
Not applicable.
(2) Loans to Asian countries (Non-consolidated)
Not applicable.

8. Deposits and loans (Non-consolidated)(Millions of yen)

Deposits
Loans

period-end balance
average balance
period-end balance
average balance

Mar. 31, 2021(a)
3,250,483
3,194,488
2,310,982
2,414,755(a) - (b)63,351
4,723(107,435)(42,315)(a) - (c)39,66095,196(185,175)(250,009)

Sep. 30, 2020(b)
3,187,132
3,189,765
2,418,417
2,457,070

Mar. 31, 2020(c)
3,210,823
3,099,292
2,496,157
2,664,764

9. Number of branches (Non-consolidated)(Branches)

Number of branches

Mar. 31, 2021
(a)
123

－21－

(a) - (b)(a) - (c)(3)(7)

Sep. 30, 2020(b)
126

Mar. 31, 2020(c)
130

Suruga bank, Ltd.

Ⅳ. Unrealized gains (losses) on securities
1. Unrealized gains (losses)
Non-consolidated
Fair
value

(Millions of yen)Mar. 31, 2020

Mar. 31, 2021

Sep. 30, 2020

Net unrealized gains (losses)

Net unrealized gains (losses)

Fair
value

Fair Net unrealized gains (losses)
value
Gains Losses

Gains Losses
Gains Losses
Available-for-sale258,452 9,518 10,481
963 193,730 8,535 8,948
412 118,691 6,785 7,386
securities
Stocks
16,922 8,646 8,840
193
15,235 6,960 7,172
212 14,125 5,850 6,193
Bonds
119,092324
402
78 116,584417
458
41 103,146
276
368
Others122,437
546 1,238
691
61,910 1,158 1,316
158
1,419
659
824
(Note1) Stocks of subsidiaries and affiliates are not included since they are not valuated with fair value.
(Note2) Unrealized gains (losses) represent the difference between the fair value as of period-ends and acquisition costs.
Consolidated
Fair
value

343
92
165

(Millions of yen)Mar. 31, 2020

Mar. 31, 2021

Sep. 30, 2020

Net unrealized gains (losses)

Net unrealized gains (losses)

Fair
Value

600

Fair Net unrealized gains (losses)
value
Gains Losses

Gains Losses
Gains Losses
Available-for-sale261,833 12,679 13,643
963 196,874 11,459 11,871
412 121,297 9,171 9,772
securities
Stocks17,781 9,409 9,603
193
16,102 7,730 7,943
212 14,844 6,472 6,816
Bonds
119,092324
402
78 116,584417
458
41 103,146
276
368
Others124,959 2,945 3,636
691
64,187 3,311 3,469
158
3,306 2,422 2,587(Note1) Stocks of subsidiaries and affiliates are not included since they are not valuated with fair value.
(Note2) Unrealized gains (losses) represent the difference between the fair value as of period-ends and acquisition costs.

600
343
92
165

Ⅴ. Retirement benefits
1. Retirement benefit expenses
Non-consolidated
494
103
(800)
(96)
216
(81)

(Millions of yen)
FY3/2020
504
105
(879)
(877)
216
(929)

522
103
(800)
(96)
233
(37)

(Millions of yen)
FY3/2020
532
105
(879)
(877)
228
(889)

FY3/2021
Service cost
Interest cost
Expected returns on plan assets
Amortization of unrecognized net actuarial gains (losses)
Others (non-recurring extra retirement payments, etc.) (Note1)
Retirement benefit expenses(Note1) “Others” includes contribution to a defined contribution pension plan.
Consolidated
FY3/2021
Service cost (Note1)
Interest cost
Expected returns on plan assets
Amortization of unrecognized net actuarial gains (losses)
Others (non-recurring extra retirement payments, etc.) (Note2)
Retirement benefit expenses(Note1) Retirement benefit expenses of consolidated subsidiaries adopting a simplified method are included in “Service cost”.
(Note2) “Others” includes contribution to a defined contribution pension plan.

－22－