Fukuoka Financial : Financial Highlights in August,2022

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Financial Highlights

First Quarter of FY2022

August 2022

Financial Highlights FY2022/1Q

Profit & Loss Summary

(* Figures rounded to nearest unit)

Profit & loss (3 banks total)

3 banks non-

consolidated total

[FY projected] 22/1Q

YoY chg.

Gross business profit

Net interest income

Domestic

International

Non-interest income

Net fees and commissions

Specified trading income + other income (excl. bonds)

Bond-related income

Expenses (-)

Real net business profit

General reserve for possible loan losses (-)

Business profit

Core net business profit

Non-recurring gains (losses)

Ordinary profit

Extraordinary gains (losses)

Income (loss) before income taxes

Income taxes (-)

Net income

Credit cost (-)

Profit & loss (FFG consolidated)

22/1Q

YoY chg.

Gross business profit

Real net business profit

Core net business profit

Ordinary profit

Consolidated net income *

* Refers to net income attributable to owners of the parent.

Bank of Fukuoka	Kumamoto Bank	Juhachi-Shinwa Bank
(non-consolidated)	(non-consolidated)	(non-consolidated)
22/1Q	YoY chg.	22/1Q	YoY chg.	22/1Q	YoY chg.

22/1Q

YoY chg.

Consolidation adjustments	FFG non-consolidated
	Adjustment related to Minna Bank
	Subsidiary gains (losses)
	Other consolidation adjustments
	Consolidation adjustment

• Core net business profit increased 5.6 billion yen year-on-year due in part to an increase in net
  interest income and a decrease in expenses (Progress on FY2022 projection: 28.6％)
• Consolidated net income increased 1.8 billion yen year-on-year due in part to an increase in core net
  business profit, despite an increase in credit cost (Progress on FY2022 projection: 29.9％)

Core net business profit (3 banks total)

							(¥ bil.)
					97.5	100.0
FY22		83.9		79.7			(Target
	78.9		announced for
					FY2022)
2-4Q		63.0			74.5
	60.5	59.8
1Q		20.9	18.4	19.9	23.0 +5.6	28.6
		FY18	FY19	FY20	FY21		FY22
		FFG consolidated net income
			110.8				(¥ bil.)
FY22	51.6	128.7	44.6	54.1		57.0
					(Target
			～			announced for
2-4Q	37.5	34.3	38.9		FY2022)
1Q	14.2	15.2 +1.8	17.0
	10.3
	-18.1
		FY18	FY19	FY20	FY21		FY22
		Former Eighteenth		Post-integration basis
		Bank
		pre-integration basis

1

Core Net Business Profit

Core net business profit, year-on-year change

* Excluding loans to Government, etc.

(¥ bil.)

Net interest income

Non-interest income

YoY chg.

+2.6

+1.4

+5.6

Domestic interest on

deposits and loans -0.2

+1.4

+1.5

28.6

23.0

+2.8

+0.0

+0.6

+0.0

-0.8

1

2

3

4

21/1Q

factorsyieldLoan

factorsvolumeLoan

CDsanddepositonInterest

/securitiesMarketable .etcsegment,International

trustinvestmentfromFees insuranceand

incomeinterest-nonOther

Expenses

22/1Q

results

results

1

Domestic securities: -0.6, Domestic, others: +1.9, International division,

etc.: +1.4

2

Investment trust: -0.3, Insurance: +0.3

3

Corporate-related fees: +0.2, Gains (losses) on foreign exchange

derivatives: +1.4, etc.

4 Personnel Expenses: +0.4, Non-personnel expenses: +0.9, Taxes: +0.2

Financial Highlights FY2022/1Q

Changes in core net business profit

(3 banks total, ¥ bil.)

YoY chg. +5.6

	23.0	25.0	26.9		22.6	28.6
	Changes in domestic loan interest
							(3 banks total, ¥ bil.)
				YoY chg. -0.2
			35.0	35.2
	35.0		34.5	34.8
	21/1Q	21/2Q	21/3Q	21/4Q	22/1Q

(Reference) Changes in net income

(FFG consolidated, ¥ bil.)

YoY chg. +1.8

15.2	12.7	16.2	9.9	17.0
21/1Q	21/2Q	21/3Q	21/4Q	22/1Q	2

Financial Highlights FY2022/1Q

Total Loans

Total loans (average balance) (3 banks total)

(¥ bil.)

(¥ bil.)

2.8%

Annual rate	(4.9%)	-1.8%
(Excluding loans to		(3.4%)
Government, etc.)

* Including loans to Government, etc.

-0.9%	-0.5%	-1.0%
(2.8%)
(3.6%)	(0.8%)

	Total loans (average	11,220.9	11,146.8	11,172.7	11,511.5	11,640.0
	balance)
					Annual rate
Fukuoka	Annual rate
Retail	2,354.9	2,373.4	2,400.0	2,418.1	2,448.1
SMEs	4,460.3	4,493.6	4,534.8	4,603.0	4,612.4
of

3 banks total

17,157.2 16,995.6

16,926.7

16,990.3

16,978.0

Bank	Large-sized enterprises	1,546.4	1,531.8	1,528.1 1,550.0 1,554.7
Government institutions	2,080.1	1,982.0	1,938.7

International	794.2	784.5
Government
institutions	4,296.9	4,112.1
(including to
Government)

Large-sized

enterprises 2,004.7 1,981.1

790.2	768.0	678.9
		[-14.5%]
3,949.4	3,906.0	3,947.7
		[-8.1%]
1,976.9	2,002.2	2,002.9
		[-0.1%]

					2,194.3	2,369.8
	International	779.0	765.7	771.0	745.9	654.7
	Total loans (average	1,847.8	1,881.9	1,823.7	1,817.8	1,896.8
Bank	balance) Annual rate					Annual rate
Retail	524.6	529.9	536.3	540.7	546.8
Kumamoto	SMEs	627.6	623.3	635.0	636.8	631.2
Large-sized enterprises	60.4	59.4	58.9	58.8	56.2
Government institutions	635.0	669.1	593.4	581.4	662.5
	International	-	-	-	-	-

SMEs	6,322.5	6,353.2	6,406.0	6,485.0	6,475.6
					[+2.4%]

Retail	3,738.7	3,764.5	3,804.0	3,828.9	3,872.7
					[+3.6%]

	Total loans (average	40885	3,966.8	3,930.2	3,660.8	3,441.2
Bank	balance) Annual rate					Annual rate
-Shinwa	Retail	8591	861.0	867.6	870.0	877.7
SMEs	12345	1,236.2	1,236.1	1,245.1	1,232.0
Juhachi	Large-sized enterprises	3978	389.8	389.8	393.2	391.9
Government institutions	15817	1,460.9	1,417.3	1,130.2	915.3
	International	152	18.8	19.2	22.1	24.1

21/1Q 21/2Q 21/3Q 21/4Q 22/1Q

Figures in square brackets [ ] are annualized by sector	3

Financial Highlights FY2022/1Q

Retail Loans

Housing loans (average balance) (3 banks total)

(¥ bil.)					3,389.0
		3,282.2	3,317.8	3,345.4
3 banks total	3,253.9	[+4.2%]
Juhachi-		743.6	748.9	752.4	760.5
741.7	[+2.5%]
Shinwa
Kumamoto	468.9	474.4	480.5	485.7	491.6
[+4.8%]

Consumer loans (average balance) (3 banks total)

(¥ bil.)
3 banks total 313.9	312.9	315.9	315.0	319.7
[+1.8%]

Juhachi-	83.4	82.9	83.3	82.1	82.5
Shinwa	[-1.1%]
Kumamoto	29.7	29.4	29.7	29.5	29.8
[+0.5%]

Fukuoka	2,043.1	2,064.0	2,088.3	2,107.1	2,136.9
					[+4.6%]

Fukuoka	200.8	200.5	202.8	203.3	207.3
					[+3.2%]

21/1Q	21/2Q	21/3Q	21/4Q	22/1Q	21/1Q	21/2Q	21/3Q	21/4Q	22/1Q
				[Annual rate]					[Annual rate] 4