June 3, 2024 Our challenges build our future. Chugin Financial Group, Inc. I.
Earnings Results for FY2023 and Forecasts
for FY2024
Summary . Consolidated for the FG Status of the Group Companies (Non-consolidated for the Bank) Status of the Group Companies (Excluding the Bank) Shareholder Returns Cross-shareholdings . Earnings Forecasts II.
Management Plan (toward enhancement
of corporate value)
4 5 6 7 8 9
III.  Initiatives toward Improvement of ROE
Initiatives toward Improvement of ROE . (logic tree) Point Chugin DX Strategy . Point . Capital Management 16 17 26 . Point Enhancement of FG Functions 28 Conclusion 29
IV. Appendix
32 . Initiatives toward Improvement of ROE . Initiatives toward Improvement of PER . Major Numerical Figures 38 46 11 •   Awareness of the Current Situation and Enhancement of Corporate Value through the Medium-term Management Plan Overview of the Medium-term Management Plan  12 14 Evolution of the Medium-term Point Management Plan Section l Earnings Results for FY2023 and Forecasts for FY2024 3
Profit attributable to owners of parent was 21.3 billion yen (an increase for the fourth consecutive year, up 900 million yen year on year, up 6.3 billion yen from the initial plan) The Chugoku Bank . An increase in net fee income through consulting sales, improvement of profits and losses related to securities, etc. . Lease, securities, etc. An increase in net sales through the enhancement of Group-wide sales 4

YoY
[Net interest income] Down 3.3 billion yen (excluding gains on cancellation of investment trusts, up 0.2 billion yen) • Yen loan interest increased significantly. • Increase in foreign-currency procurement costs, and an absence of gains on cancellation of investment trusts (3.5 billion yen) recorded in the previous year
[Net fee income] Up 1.9 billion yen
• Stable for both retail (assets in custody) and corporate (investment banking, etc.) clients
[Credit cost] Up 3.5 billion yen
• Increase in general allowance for loan losses due to strategic expansion of loans [Profits and losses related to securities] Up 6.5 billion yen • Rebound from the portfolio improvement (recording of a loss on sale of foreign bonds) in the previous year • Recording of gains on sale due to a reduction of cross-held shares
vs. Initial plan
• Increase in net interest income due to expansion of loans • Bottoming out of decline in foreign bond revenues due to improvement of securities portfolio • Increase in general allowance for loan losses, etc. * Forecast published on May 12, 2023
associated with the transition to the holding company system" recorded in the previous year • Group companies total Profit level increased significantly due to synergy effects.
[FY2024] Revise shareholder return policy and significantly increase dividends • Aiming for a dividend payout ratio of around 40%, increase dividends through profit growth (FY2023: +17 yen, FY2024: +6 yen  planned) • Carry out share buybacks flexibly through capital control (In FY2023, purchased 5 billion yen of treasury shares)
On a non-consolidated basis up to FY2019 On a Chugoku Bank-consolidated basis since FY2020 On a Chugin Financial Group-consolidated basis since FY2022 47 yen 53 yen Dividend per share Total amount of returns Share buybacks* Total dividends Share buybacks are those carried out within a year of the general meeting of shareholders. FY2019 FY2020 FY2021 FY2022 7
Our challenges build our future. Chugin Financial Group, Inc. Basic Policy We will limit cross-holdings to cases where it is determined necessary for the sustainable growth and enhancement of the corporate value of the Group and the issuers, and reduce them through dialogue with the issuers from the perspectives of capital efficiency and reduction of the risk of holding the shares. ✓ The appropriateness of cross-shareholdings is determined strictly based on the basic policy. ✓ The reduction rate as of March 31, 2024 was a decrease of 42% compared to the reduction plan by March 31, 2027 (a decrease of 20% compared to March 31, 2022 on a book value basis), achieving the target three years ahead of schedule. ✓ For further reduction, we set a new target of 50% reduction (compared to March 31, 2022 on a book value basis).
2027 * Book value: Including listed shares, unlisted shares, and deemed holding shares 8
<Reference: Non-consolidated for The Chugoku Bank>
Earnings Forecasts Consolidated net income 24.0 billion yen (up 2.7 billion yen YoY) Business expansion through solving local issues • Increase in net interest income • Expansion of fee business Accelerating innovation-related strategic investments, etc. Profit attributable to owners of parent (billion yen) FY2021 FY2022 FY2023 FY2024 FY2026 Forecasts Medium-term Management 9 Section II Management Plan (toward enhancement of corporate value)
10

Trends and targets for ROE/PBR Cost of capital - our understanding - Calculated value based on the PBR/ROE results Around 10% Estimated value based on the CAPM Around 6%
Toward the improvement of PBR
The ROE has declined since the introduction of the negative interest rate. Recently, the ROE has steadily improved thanks to the structural and action reforms based on the Long-term Management Plan. However, the PBR has remained low. Structural reforms (Strengthening of hardware aspects) o BPR investments (A shift from administrative affairs to sales activities) Action reforms (Strengthening of software aspects) o Autonomous sales system and personnel system Acceleration of the development of o new businesses 。 Transition to a holding company system Through the three growth strategies toward the improvement of PBR: Stage Further improvement and enhancement of ROE Accumulation of high-quality assets, expansion of business pillars, etc. Apr. 2023 to Mar. 2027 Improvement of PER (reducing cost of capital) Sustainable growth of profits through regional revitalization SDGs, and others -11
Strategies 1 “Deepening” of regional revitalization SDGs We will contribute to the “sustainable development of communities” by drawing out its appeal and potential. Corresponding materiality (priority issues)
2 Creation of innovations
We will create “new value” toward the next phase of growth.

Corresponding materiality (priority issues) Promotion of DX Active participation by diverse human resources 3 Strengthening of the Group business base
We will build a “solid foundation” to implement growth strategies.
Corresponding materiality (priority issues) Active participation by diverse human resources Sophistication of governance Promotion of DX
(On a consolidated bases for the FG, unless indicated otherwise)
The ROE is based on the TSE standards (including the valuation difference on available-for-sale securities)
and diesel oil) and Scope 2 (indirect emissions from the use of electricity and heat supplied by other companies) (Achieving net zero for Scopes 1 and 2 has been separately set as the target for FY2030.) *2 The cumulative amount of investments and loans from FY2020 including financing for social sectors (healthcare, nursing care, childcare, education, etc.) and environmental sectors (solar, wind, biomass, EV, etc.), as well as support for regional revitalization and SDG/ESG initiatives Annual number of cases handled in relation to testamentary trusts, inheritance support services, etc. *4 *5 Amount invested in employees, such as training- and education-related expenses, study incentives, Chugin Open Lab activity expenses, and personnel expenses for training and secondment
> In the first year of the Medium-term Management Plan (FY2023), steady progress was made in terms of both business performance and measures. ▷ From FY2024, we will formulate the Chugin DX Strategy, change the Capital Management policy, and implement the Enhancement of FG Functions. > Aiming for further upside from the initial Medium-term Management Plan Evolution of the Medium-term Management Plan (Enhancement of strategy, appropriate capital management, improvement of organizational structure) Growth exceeding the initial Medium-term Management Plan FY2026 KPI (initial Medium-term Management Plan) • Net income: 30 billion yen • ROE: 5% or more Three growth strategies of the Medium-term Management Plan • “Deepening” of regional revitalization SDGs • Creation of innovations • Strengthening of the Group business base PBR Transition to a holding company system (becoming an FG) • Expansion of operation pillars • Appropriate allocation of management resources Evolution of Group governance Section III Initiatives toward Improvement of ROE
II Boosting net sales ▷ An increase in net interest income through the accumulation of high-quality assets ▷ An increase in interest on loans and discounts on account of interest rate hikes ▷ Expansion of consultation revenues of the entire Group ▷ Expansion of business pillars Profitability RORA (Net income/RWA) X Capital efficiency Financial leverage ratio (RWA/capital adequacy) Appropriate allocation of management resources Control and strategic use of capital Shareholder Returns ▷ Targeting a dividend payout ratio of around 40% Expansion of dividends through profit growth and flexible share buybacks through capital control DX Strateg hancement of FG Functi Capital
nagemen ▷ Risk-taking through the use of capital ▷ Reduction of cross-shareholdings ▷ Actions taking into account the acceleration of DX * RORA = Return On Risk weighted Asset * RWA = Risk Weighted Asset 16
Our DX vision is to “co-create” a prosperous future with our customers. As a scenario for realizing this vision, we will first become a DX company ourselves and support the DX of local customers. On this basis, we will create a prosperous future together with our customers. Realizing the future DX Vision Scenario Becoming a DX company ourselves first Developing the infrastructure to support DX 17
Starting from the digitalization that we have been laying the foundation for under the Future Co-creation Plan I/II, we will realize our big vision by quickly advancing initiatives with a strong company-wide promotion structure. | High-dimensional digital assets The in-house development team with over 100 members enables development without relying on external parties. Digital expertise of our Group consulting company Expand R&D capabilities for cutting-edge digital technologies such as generative Al (Innovation Lab) Strong promotion structure (making initiatives company-wide projects) Big scope, small start President of Chugin FG committed to transformation as the project owner 2 Establishment of a command post organization to manage and promote company-wide transformation (Innovation Promotion Center/C Cuber Consulting) Start small and expand flexibly while aiming for the big vision 18
By building partnerships with leading companies in other industries that possess cutting- edge technologies and know-how, we will consider providing our customers with optimal services in a speedy manner. ←Collaborative partners→ Aims Provision of new services primarily for individuals and small businesses Leveraging extensive contacts with individuals and businesses and diverse data, we will provide optimal services for our customers.
Joint promotion of DX in local communities
We will jointly promote information provision and service development related to generative AI for local business partners, and provide sustainable support for problem solving and business growth.
Utilization of data
By receiving data analysis knowledge and know-how, we will upgrade our operations and provide proposals that are tailored to our customers.
Establishment of a new regional revitalization model
Through collaboration, we will customize the wide-ranging knowledge and consulting know-how that have been accumulated through the global network to meet local needs, thereby helping to solve local issues.
As we have started operational process reforms on an End-to-End (across the Group) basis since FY2023, we will concentrate our human resources more than ever on providing added value to communities and customers. End-to-End visualization of operational processes Operational process reforms fully utilizing digital technology usiness transformation Implement operational reforms in all areas without exceptions and visualize all operational processes. Promote transformation of operations to increase added value for customers. Areas where reform has been implemented
Reform examples Allowing housing loan operations to be completed on a non-face-to-face basis Improving the efficiency and sophistication of business loan screening Improving the efficiency of expense reimbursement and invoice payment Automation of the settlement process Automation of concentrated administration Reallocate human resources throughout the organization and shift the focus to providing added value to local communities and customers Visualized operations of 1,500 people We are also working on other operation areas. Operation volume reduction target: Currently, the efficiency improvement target for operations of 600 people has been expanded from a decrease of 30% to an increase of 10% under the Future Co-creation Plan Stage III Operational shift From administrative work to value-added areas Shifting operations to growth and strategic and sales areas by improving operational efficiency
Through thorough streamlining of operations, we will shift our operation focus from administration to sales and growth and strategic areas. We will also effectively implement reskilling and strategically assign people to the right jobs according to their aptitude. Image of operational shift in the Group Key points for achieving the Now FY2030
We support DX in local communities by developing businesses that are close to our customers’ daily lives through open innovation initiatives that are not limited to proving our own know-how to external parties or trying to complete everything on our own. Proposing solutions / Providing support Consulting on management issues Chugin FG Established in Sep. 2022 •  An organization composed mainly of specialist personnel • Extensive services through collaboration
DX support Solution support
By expanding into non-financial businesses and building a co-creation platform through cross-industry collaboration, we will work together with local customers to create a prosperous future with DX. Development of new businesses Promoting DX with local communities by developing services that extend beyond the financial industry Until now From now on Focused on funding Digital knowledge, talent introduction, etc. Cross-industry collaboration Solving local issues by building a co-creation platform
We will take on back-office operations such as accounting of our local customers to help create an environment that allows them to focus on their core business operations. We will also create jobs in the region by undertaking operations of companies outside the region. Local residents Trial start in Feb. 2023 (expected to expand to 100 people by 2026) * BPO: business process outsourcing
Setting high revenue targets (moonshot targets), we foster an organizational culture of continuously taking on challenges. Figure of FY2026 Medium- term Management Plan * The DX investment amount has already been factored into the current Medium-term Management Plan. FY2030 target Supplementary explanation . . Expansion of existing businesses Improving business efficiency through operational reform, operational shift through reskilling, expanding local business loans through resource reallocation, expanding strategic investment management Expansion of business area Digital-driven customer acquisition and convenience improvement, etc. Creation of new businesses Regional BPO services, re-skilling platform, etc. Reviewing revenue targets based on DX progress and acceleration of effects
Change in the capital control indicator <Previously> Consolidated for the FG Total capital adequacy ratio: 11.0% to 13.0% <After change> Consolidated for the FG Ratio of common equity Tier 1 (excluding valuation difference on available-for-sale securities, etc.): 11.0% to 12.0%
Purpose of change
Further effective use of capital to improve ROE
(Improving financial leverage) - Implement a capital policy (asset strategy) that is not affected by market fluctuations - Continue to control soundness based on the total capital adequacy ratio (Assuming fluctuations in valuation difference will be covered by B3T2 bonds, etc.) [Management policy] Consolidated for the FG Strengthening growth investment • Additional shareholder returns (Share buybacks, etc.) Control range (Aiming to maintain this range in the medium to long term) • Capital accumulation • Control of risk assets Ratio of common equity Tier 1 (excluding the valuation difference on available-for- sale securities,etc.) *  After taking into account the 5 billion yen share buyback in FY2023 Mar. 31, 2024 Mar. 31, 2025 (Result) (Forecast) Mar. 2023
Mar. 2024
FY ended FY ended
Capital allocation [Consolidated for the FG] Ratio of common equity Tier 1 (excluding the valuation difference on available-for-sale securities, etc.) 12.01% Control range Mar. 31, 2023
For flexible and steady implementation of strategies and measures, enhancement of FG functions is planned. Previously  – Before becoming FG– (until Oct. 2022) Organizational structure centered on the Bank > ✓ Group companies are the Bank’s subsidiaries composed mainly of former Bank employees.
Now  –After becoming FG–
(from Oct. 2022)
> Becoming a comprehensive service provider focusing on finance ✓ Group companies have autonomy as fellow subsidiaries of the Bank, accepting enhanced secondment of active employees from the Bank. ✓ Expansion of operation pillars with newly established companies (Group company Expansion of operation pillars
Future – Strengthening FG functions –
(from Jun. 2024)
✓  One-and-a-half years after becoming a FG, we plan to restructure the organization to further strengthen functions. Transition to a unit system (planned) To clarify roles within FG, strengthen functions and make speedy decisions in response to changes in the environment. Position investment businesses as a growth driver. Establishment of the Innovation Promotion Dept. (planned) Strengthen initiatives to create innovation across the Group Investment strategy unit Conclusion
Chugin DX Strategy
•  Shifting operations to sales and growth and strategic areas through operational process reform (Operation volume reduction: 40%≒600 people) Generating human resources Capital Management • Consistent risk-taking, not affected by market fluctuations X Evolution of the Medium-term Management Plan Generating extra capacity for asset utilization Enhancement of FG functions (organizational support) FY ended Mar. 2024 results Approx. 3.9% At the time of formulation of the Medium-term Management Plan for FY ending Mar. 2027 At least 5% Evolution of the Medium-term Management Plan for FY ending Mar. 2027 Medium to long term PER Approx. 0.5% At least 0.6% ROE To 7% or more PBR To more than 1 time
At least 8 times Approx. 11 times Continuous improvement
Skills matrix Kenichi Fukuhara
Career history 1976 Joined Nomura Securities Co., Ltd. Director, Nomura Securities Co., Ltd. 2000 2004 Retired from Nomura Securities Co., Ltd. Senior Managing Executive Officer, Benesse Corporation (currently, Benesse Holdings, Inc.) and Representative Director and President, Benesse Style Care Co., Ltd. 2007 Representative Director and Vice President, Benesse Corporation (currently, Benesse Holdings, Inc.) Retired from Benesse Style Care Co., Ltd. 2016 Representative Director and President, Benesse Holdings, Inc. Representative Director and Executive Vice Chairman, Benesse Holdings, Inc. 2016 2019   Special Advisor, Benesse Holdings, Inc. (current position) Representative Director and Vice Chairman, Benesse Foundation for Children (current 2020 position) Special Advisor, Fukutake Foundation (current position) 2023 Outside Director, Chugin Financial Group (current position) Section IV Appendix Appendix 1 Initiatives toward Improvement of ROE
Opening of the Singapore Branch and Strengthening of Ship Finance Purpose
Opening of the Singapore Branch (Jun. 2023)
▷ Support for finance-related services (deposits, loans, and payment functions), which are the most needed by customers’ overseas subsidiaries ▷ Expand trade with not only local companies but also overseas subsidiaries of listed companies, etc. ▷ Strengthen finance for the maritime industry in the region Accumulate high-quality projects and enhance our presence in the ship sector Expand business in fields such as decarbonization and SX High profitability (SP rate and RORA) Development of specialized human resources (accumulation of know-how, etc.) Taking on challenges and pursuing new business opportunities overseas Strengthening of profitability Objectives of the Singapore Branch Aim for a total asset balance of 100.0 billion yen (strengthening of ship finance) 1.20% (as of the end of Mar. 2024) • Reference Local development 0.82% Singapore Branch • Strengthening of domestic offices (Setouchi) • Sustainable finance and others Strengthening of ship finance Accumulation of Loans Capturing local demand for funds (Medium-term Management Plan) Local development Medium-term (average balance) Management Plan +300.0 billion yen Personal loans (average balance) Medium-term Management Plan +200.0 billion yen Addition based on the extra capacity for risk taking (beyond the Medium-term Management Plan) Further increase in assets starting from H2 of FY2023 • Local development, structured finance, etc. Addition + Approx. 470.0 billion yen FY2026 FY2022
Improvement of ROE Sustainable Finance Consulting service menu Local governments Support for realization of carbon neutrality of local communities Support for the planning and development of community decarbonization initiatives Support for the formulation of plans to introduce renewable energy for public facilities, etc. Support for the use of renewable energy to solve local issues Project support, grant application support, and so forth C Cube Chugin Energy Consulting Support for the realization of customers' SX Large enterprises, etc. Support for the calculation and reduction of greenhouse gas emissions Support for the development of SX strategies and the roadmap Support for business portfolio reforms and so forth Promote and support customers' initiatives toward the SDGs and decarbonization Medium- standing companies Chugin SDGs Support Small and Chugin Decarbonization Consulting medium enterprises, etc. Business matching preparation and public announcement of the SDG declaration, and so forth ilculation of greenhouse gas emissions/support for achieving emissions reduction targets, and so onitoring and managing CO bool ators, and so forth Being involved in local issues from upstream, capturing them from a wide perspective Toward the accumulation of high-quality assets 1,500.0 Cumulative amount of sustainable finance executed (billion yen) FY2020 FY2021 FY2022 FY2023 Improvement of RORA FY2018  FY2019 FY2020  FY2021  FY2022  FY2023 Initiatives for structured finance (loans to the headquarters) Composition ratio (as of the end of Mar. 2024) Structured finance trends (average balance, billion yen) * Japanese yen : foreign currency = 5:5 RORA on loans * Based on SP mote improvement of the sustainability
 34 fentification of issues, support for
An Increase in Consulting Revenues through Collaboration within the Chugin Group People Chugin Human Innovations SETONOWA Products Chugin Energy C Cube Consulting Money Chugin Capital Partners The Chugin Card Chugin Group’s solutions Trends in net fee income, etc. FY2022 FY2023 FY2021 Group collaboration system ■Lease Number of cases referred by the Bank Up 6% YoY (FY2023) ■Card Organized an inter-group “Cashless Promotion Team” in collaboration with the Bank ■ Asset management Organized an investment trust “Setouchi Supporting Stock Fund" Connected investors and local companies
Number of contracted consultation cases (KPI)
* Annual number of contracted consultation cases related to business succession, the environment, etc. (for the entire Chugin Group) Unit: No. of cases FY2022   FY2023 460 The Chugin Lease Chugin Asset Management Chugin Securities The Chugoku Bank The Chugin Operation Center The Chugin Credit Guarantee ■CBS FY2026 BK: The Bank; Gr: Group companies excluding the Bank

C Cube Consulting
A consulting company centered on DX and SX with a small group of elite professionals About half of them are from major consulting firms (President: Former PwC employee) PwC Consulting Deloitte Tohmatsu Accenture Promoting solutions to local social issues with the comprehensive capabilities of the Chugin Group Initiative example DX  —Support for DX promotion for small and medium-sized companies in Okayama Prefecture一Participated in “DX Sunrise Okayama,” a community to support collaboration among industries, academic institutions, governments, and financial institutions. (Jul. 2023) Supporting DX of local SMEs in the region through collaboration with Okayama University and companies within the Prefecture. University and local companies C Cube Consulting Sharing company information Sharing DX support know-how Small and medium-sized enterprises in Okayama Prefecture Providing various solutions Economic organizations, local governments, etc. The Chugoku Bank A local energy company that promotes decarbonization Strongly promoting decarbonization and SX in local communities with direct involvement by the Chugin Group as the business operator Initiative example Establishment of a new power company to promote zero carbon in Setouchi City (Feb. 2024) Utilizing government subsidy programs, etc., the new company aims to achieve local production and consumption of energy by promoting the introduction of solar power generation, mainly in public facilities and general households, and selling solar-derived electricity generated in the region.
Chugin Energy

Alliance Strategy
We aim to co-create new value through active collaboration with various stakeholders, including different industry players.
Basic stance
んんCo-creation and promotion of measures that contribute to the enhancement of corporate value of the Group Co-creation and promotion of measures that contribute to the sustainable growth of communities
Wide-area collaboration TSUBASA Alliance Aim to maximize synergies in both net sales and costs generated by leveraging the largest economies of scale as a regional bank munity collaboration kayama Co-creation Partnership JFO日本政第全融公園●  Alliance for Co-creation of Future of Okayama ●  Okayama Consortium for Promotion of Community Decarbonization Further promote a system of collaboration with diverse partners in the community to solve local issues and promote regional revitalization Collaboration among  different industry players ● Agreement for collaboration concerning regional revitalization (PwC Consulting) ●  Investments in ventures by Chugin Capital Partners Chugin Infinity Fund Build a local ecosystem with startups Appendix 2 Initiatives toward Improvement of PER
Measures to Improve PER (Aggregate Market Value (Stock Price)/Net Income) II Expectations for continuous growth Decrease in costs of shareholders’ equity Implementation of corporate philosophy Co-creation of a prosperous future •Communities •Customers •Employees ▷ Initiatives that capture the community from a wide perspective (collaboration with municipal governments) ▷ Startup ecosystem ▷ Overseas consulting ▷ Asset formation ▷ Transformation into next-generation channels through DX ▷ Human capital investments ➤ Re-skilling ➤ Engagement ▷ Diversity and inclusion ▷ Organizational culture Engagement improvement (IR, SR, etc.) Improved external ratings Improvement of PER
Initiatives that capture the community from a wide perspective (collaboration with municipal governments) Community collaboration has made further progress, as exemplified by contracted operations performed by C Cube Consulting and investments made by Chugin Energy in new electricity services for the communities. SX in Okayama Prefecture Comprehensive agreement related to regional revitalization SDGs in Kagamino-cho Agreement concerning comprehensive cooperation related to regional revitalization SDGs
SDGs in Maniwa-shi
Agreement concerning comprehensive cooperation related to regional revitalization SDGs SDGs in Shinjo-son Agreement concerning comprehensive cooperation related to regional revitalization SDGs Forestation project aimed at building sustainable forests DX promotion support business SDGs in Takahashi-shi Agreement concerning comprehensive cooperation related to regional revitalization SDGs
SX in Fuchu-shi
Operations to analyze the regional economy toward the realization of a decarbonized society, and to conduct surveys on the potential for the introduction of renewable energy SX in Fukuyama-shi Comprehensive agreement related to regional revitalization SX in Kurashiki-shi Comprehensive agreement related to regional revitalization
DX and SX in Mitoyo-shi
Industrial development utilizing AI, IoT, and other advanced technologies Agreement concerning collaboration toward the realization of a decarbonized society SX in Tsuyama-shi Operations to support applications for certification as a Decarbonization Leading Area SX in Nishi-awakura-son Areas' SX in Mimasaka-shi Comprehensive agreement related to regional revitalization
SX in Wake-cho
Comprehensive agreement related to collaboration and cooperation related to regional decarbonization SX and SDGs in Okayama-shi Comprehensive agreement related to regional revitalization Agreement on the dissemination of the SDGs Collaboration Partners Program and the promotion of activities of registered businesses
SX in Setouchi-shi
Co-proposal for "Decarbonization Leading Areas" Establishment of a new local electricity company SX in Tamano-shi Comprehensive agreement related to regional revitalization The red font color indicates contracted operations performed by C Cube Consulting. The blue font color indicates investments made by Chugin Energy.
Startup ecosystem Support for startups aimed at creating companies that represent the communities Number of newly established companies under the startup ecosystem 26 companies (Cumulative total from FY2017 to the end of FY2023) Asset formation Number of NISA Encourage “a shift from savings to investments” by also utilizing the new NISA system Revenues from inheritance-related business Support smooth transfer of assets focusing on affluent elderly customers
Transformation into next-generation channels through DX •Chugin App •Chugin Business Portal Introduction to Data analysis, staffed chat services, recommendations, etc. Contact Center Marketing systems Sales departments (including sales offices) 500,000 users (FY2026) Non-face-to-face sales at the More accurate and speedier credit management headquarters Dissemination of information to persons responsible for face-to-face sales •Expansion of web-based transactions Rate of transactions that can be completed on a non-face-to-face basis (BK)・ •Strengthening of database marketing FY2021 FY2022 FY2023 FY2024 FY2025 FY2026 Aiming for 90% Realization of “personalization” and “timeliness” Improvement of PER
Employees Human capital investments . Expand human capital investments in line with our business strategy, such as secondment to external organizations for training FY2023 0.41 billion yen FY2026 (target) 0.5 billion yen In addition to the items on the left, <FY2023> • Wage raise by 4% (including regular pay raise) a Started operation of thetalent management system, etc. <From FY2024> • Wage raise by 5.4% (including regular pay raise) •   Raise in starting salaries, etc. Re-skilling * Program to support changes of job functions (changes of job functions to corporate sales): To be expanded (currently being implemented) Second career support: Systemized in FY2023 Engagement Introduced in Nov. 2023 Pulse surveys Surveys are conducted at high frequency. • Emotional aspects of employees • Reactions to the Company's messages are monitored on a regular basis. Improvement of PER
Diversity and Inclusion (D&I) Establishment of the D&I NEXT 10 Promotion Department Next 10 Promotion Office (from Jun. 2015) Plans and promotes various measures, always with an eye on the next 10 years (CS/ES, diversity, and "Chugin Values")
Acceleration of Group-wide
initiatives
D&I NEXT 10 Promotion Department (from Jun. 2023)
• Expansion of D&I promotion areas (career support, workstyle reform, organizational culture reform, health and productivity management) • Aim to improve employee well-being and engagement Promotion of active participation by women Ratio of female managers and supervisors
17.7%
(FY2030 target) Mid-career recruitment and specialized course Number of mid-career recruits (FY2023 result) (plan for Apr. 2023 to Mar. 2027) 2 1 Recruitment policy [New graduates : Mid-career hires]
Nijiiro (rainbow) Heart Project
• Launched as a working group to utilize women's perspectives and sensitivities in management and various measures (from 2014) • Project proposals have led to the implementation of flextime systems, side jobs, etc. (Opinions within the project are also reflected in measures such as personnel system revisions.) The fifth period started in April 2024. Started in Apr. 2024
Women's  Mirai-Juku (academy for the future)
A long-term training program (about a year) in which participants work to solve . organizational problems and acquire leadership and management skills in line with the times •    Held for female chiefs and senior managers with the aim of promoting women’s participation in the workplace
• External ratings
In 2018, our company was granted "Platinum Kurumin" certification as a company that implements childcare support measures at a higher level among childcare support companies. In addition, the company acquired "Platinum Kurumin Plus" certification (the second in the Chugoku region and the first in Okayama Prefecture) in recognition of its measures to enable employees to balance infertility treatment and work. (Apr. 2024) The company was granted the “Eruboshi” 2 stars certification for its excellent initiatives in promoting female participation and advancement. (Jan. 2024) Based on the recognition that the maintenance and promotion of the physical and mental health of our employees and their families is essential for the growth of our Group, we practice health and productivity management. 44
Organizational culture
Chugin Open Lab
An internal venture system that started in 2021 (cumulative total of 49 teams and over 200 participants to date) Chugin CM service “MITAI” —Broadcasting of customer PR videos at sales offices, etc.一<Examples of commercialization> Standardization of inheritance procedures —Improving customer convenience in cooperation with neighboring financial institutions一Chugin Energy ーA local energy company operating decarbonization- related businesses一15 Appendix 3 Major Numerical Figures 46
[Factors behind change in net interest income] [Loan yield] • Yen net interest income Loan interest: Up 2.0 billion yen year-on-year, mainly due to an increase in the balance. Securities interest: Down 2.7 billion yen year-on-year, mainly due to the absence of gains on cancellation of investment trusts (3.5 billion yen) recorded in the previous year. Foreign currency net interest income Decreased 0.9 billion yen year-on-year due to a hike in procurement costs caused by overseas interest rates remaining high. 47

Status of yen deposits and loans
Stable BS structure supported by a wealth of very low-liquid core deposits Composition ratio by interest rate system (Based on the average balance of FY2023) * Reference • Yen securities: 1.9 trillion yen Of which, yen bonds: 1.6 trillion yen Yen loans: 5 trillion yen • Of which, short-term prime rate- based:  0.3 trillion yen • Of which, market-floating: 1.3 trillion yen •  Of which, mortgage floating: 0.6 trillion yen •  Of which, market fixed: 1.2 trillion yen •  Of which, mortgage fixed:
0.3 trillion yen •  Of which, apartment fixed: 0.2 trillion yen • Of which, municipal governments: 0.4 trillion yen Yen deposits + NCD: 8 trillion yen Impact on interest on loans and discounts caused by interest rate hikes Loan interest is expected to significantly increase due to future revisions to the monetary policy Impact on yen Ioan interest in the final fiscal year of the Medium- term Management Plan (FY2026) ✿✿ Abolition of YCC and lifting of negative interest rate: + approx. 6.5 billion yen ①① Short-term prime rate hike and further hike in long-term + approx. 3.0 billion yen interest rate: (Preconditions) * Factors for increases and decreases in balance are not taken into consideration. * Roughly estimated with a pass-through of 80% ● Abolition of YCC: The long-term interest rate (10 years) 1% level continues. ✪ Lifting of the negative interest rate: Policy interest rate 0%, TIBOR increases by 10 bp ✪ Short-term prime rate: Policy interest rate 0.1%, short-term prime rate increased by 20 bp 😊 TIBOR swap rates for each maturity period increase by 10 bp. � and � have been incorporated in the interest rate scenarios in the Medium-term Management Plan �   48 Chugin Financial Group, Inc.
[Net fee income] • Assets in custody Up 0.5 billion yen year-on-year, mainly in investment trusts Other . • Investment banking business Up 0.6 billion yen due to consulting sales Up 0.6 billion yen year-on-year mainly due to an increase in housing loan handling fees 49
[Corporate solutions-related revenues] (unit: million yen) *1: A total of gross margin for Lease, and operating revenues from Card, Human Innovations, and C Cube Consulting (after deducting internal transactions) *2: Investment banking business recorded in net fee income • FG as a whole Decreased year-on-year due to a fallback after a significant growth of derivative revenues from customers recorded in the previous fiscal year. . Group companies Up 385 million yen, due to a wide range of solutions proposed across the Group. 50 Chugin Financial Group, Inc.
*1: Total of operating revenues for Securities and Asset Management (after deducting internal transactions) . FG as a whole Up 1,216 million yen year-on-year mainly due to an increase in revenues from investment trusts and expansion of Group-wide collaboration • Inheritance-related Increasing steadily due to the discovery of asset succession needs 51 [Expenses] • Total expenses Implemented strategic investments such as personnel investments and DX investments, as well as investments in various measures Business management fee . Paid on a full-year basis from FY2023 (offset on a FG consolidated basis)
52

[Credit costs]
(billion yen)
[Non-performing loans (NPL) (Loans disclosed
under the Financial Revitalization Act)]
(billion yen) □ Other credit costs* * The Chugoku Bank does not carry out partial direct write-offs. ■ Calculation method of general allowance for loan losses •  The expected loss rate is calculated based on the actual loan loss rates for three consecutive calculation periods, with one period being three years. (Each calculation period is moved half a year forward.) •  The expected loss rate shall be either the "most recent three-period average" or the "most recent five-period average," or the "long-lerm average starting from the fiscal year ended in September 2008," whichever is larger (changed from the fiscal year ended September 2022). • Loans to healthy accounts and accounts requiring caution I are adjusted by taking into consideration the average remaining period of the receivables. • Credit costs The general allowance for loan losses increased in line with accumulation of the loan balance. • NPO ratio Remained low (1% level) due to focus on management support after COVID-19. 53
[Capital adequacy ratio (consolidated for the FG)] [Status of capital adequacy (consolidated for the FG)] (%) Ratio of common equity Tier 1 (excluding the valuation difference on available-for-sale securities,etc.)
End of Mar. End of Mar. 2022 2023 End of Mar. 2024 • Total capital adequacy Total capital adequacy increased due to an increase in valuation difference on available-for-sale securities, etc. • Risk assets, etc. Risk assets, etc. decreased slightly due mainly to a reduction in the risk weight following the finalization of Basel III. 54
Chugin Financial Group, Inc. Investment trusts are based on net assets (including defined contribution pensions). • Deposits + NCD Increased steadily for both retail and corporate clients thanks to stable deposit pipelines . Assets in custody Showed stable performance mainly in insurance and investment trusts
*2  Urban: Tokyo and Osaka *3  Loans to the headquarters: Non-Japanese loans and SF centers • Local development Increased due to capturing of funding needs based on consulting sales • Personal loans Increased steadily mainly in housing loans 56
4.3 1.2 [Average balance of securities] Foreign currency bonds: Includes foreign currency investment trusts FY2021 FY2022 FY2023 End of Mar. 2022 End of Mar. 2023 End of Mar. 2024 Average balance Down 25.8 billion yen year-on-year mainly due to a decrease in yen bonds Unrealized gains/losses Unrealized gains on equity and investment trusts increased significantly, while unrealized losses on bonds were partially covered by asset swaps. Duration of bonds With an eye on a further interest rate hike, durations were shortened for both yen and foreign currency bonds by reducing the interest rate risk amount for the time being. 57 Chugin Financial Group, Inc. This material contains forward-looking statements. These statements do not guarantee our future business performance and include risks and uncertainties. It should be noted that future performance may differ from the targets mentioned herein due to changes in the management environment and other factors. For inquiries regarding this document, please contact: Management Planning Department, Chugin Financial Group, Inc. (Shimizu or Matsuo) TEL: +81-86-234-6519 Email: souki01@chugin.jp