Summary of Financial Results
Summary of Financail Results for FY2021
Sumitomo Mitsui Trust Holdings (Consolidated)
- ”Net business profit before credit costs” <1> increased by 51.3 billion yen from FY2020 to 346.0 billion yen and renewed the highest profit record since integration. The main factor was strong performance from businesses typical of a trust bank group, such as asset management business and client related fee business including investment management consulting and real estate brokerage, etc. In addition, improvement on loan deposit spread and favorable market conditions including stock price hike also contributed.
- ”Net income attributable to owners of the parent” <3> increased by 26.8 billion yen from FY2020 to 169.0 billion yen. “Other net non-recurring profit” improved, while “Credit cost” <5> increased due to occurrence of new credit cost events from deterioration in business conditions of some clients and additional loan loss provision from a review of the scope. Regarding “Net gains on stocks”, a part of unrealized losses of hedging transactions was realized to mitigate earnings volatility risk.
(Billions of Yen)
| FY2020 | FY2021 | Change | ||
|---|---|---|---|---|
| Net business profit before credit costs*1 | 1 | 294.7 | 346.0 | 51.3 |
| Ordinary profit | 2 | 183.1 | 229.7 | 46.5 |
| Net income attributable to owners of the parent | 3 | 142.1 | 169.0 | 26.8 |
| Total credit costs | 4 | (7.8) | (41.5) | (33.7) |
|---|---|---|---|---|
| Net gains on stocks | 5 | (43.5) | (38.3) | 5.1 |
| Shareholder ROE | 6 | 5.41% | 6.25% | 0.84% |
|---|
(Per share information)
| Earnings per common share (EPS) | 7 | 379.65 | 451.40 | 71.75 |
|---|---|---|---|---|
| Net assets per common share (BPS) | 8 | 7,192 | 7,249 | 57 |
(Difference from non-consolidated financial results)*2
| Net business profit before credit costs | 9 | 88.1 | 103.9 | 15.8 |
|---|---|---|---|---|
| Net income attributable to owners of the parent *3 | 10 | 46.2 | 55.7 | 9.4 |
| Total credit costs | 11 | (1.5) | 0.8 | 2.3 |
|---|---|---|---|---|
| Net gains on stocks | 12 | 0.6 | (0.9) | (1.6) |
*1Consolidated net business profit before credit costs = Net business profit before credit costs of Sumitomo Mitsui Trust Bank (Non-consolidated) + Ordinary profit of other subsidiary companies (non-recurring effect adjusted) + Ordinary profit of affiliates (non-recurring effect adjusted) x Ratio of equity holdings – Intra-group transaction (dividends, etc.)
*2Difference from Sumitomo Mitsui Trust Bank (Non-consolidated)
*3Differences between Net income attributable to owners of the parent (Consolidated) and Net income (Non-consolidated).
<Reference>Sumitomo Mitsui Trust Bank (Non-consolidated)
(Billions of Yen)
| FY2020 | FY2021 | Change | ||||
|---|---|---|---|---|---|---|
| Gross business profit | 13 | 451.9 | 490.6 | 38.6 | ||
| Gross business profit | Net interest income and related profit | 14 | 229.9 | 275.2 | 45.3 | |
| Gross business profit | Net fees and commissions and related profit | 15 | 163.9 | 180.8 | 16.8 | |
| Gross business profit | Net trading profit | 16 | (33.2) | 13.4 | 46.6 | |
| Gross business profit | Net other operating profit | 17 | 91.3 | 21.1 | (70.1) | |
| Gross business profit | Net other operating profit | o/w Net gains on foreign exchange transactions | 18 | 79.1 | 22.2 | (56.9) |
| Gross business profit | Net other operating profit | o/w Net gains on bonds | 19 | (7.8) | (17.8) | (9.9) |
| Gross business profit | Net other operating profit | o/w Net gains from derivatives other than for trading or hedging | 20 | 22.4 | 19.0 | (3.3) |
| General and administrative expenses | 21 | (245.4) | (248.5) | (3.1) | ||
| Net business profit before credit costs | 22 | 206.5 | 242.0 | 35.5 | ||
| Net non-recurring profit | 23 | (92.5) | (91.2) | 1.2 | ||
| Net non-recurring profit | Total credit costs | 24 | (6.3) | (42.4) | (36.1) | |
| Net non-recurring profit | Net gains on stocks | 25 | (44.2) | (37.3) | 6.8 | |
| Net non-recurring profit | Others | 26 | (42.0) | (11.5) | 30.5 | |
| Ordinary profit | 27 | 114.0 | 150.8 | 36.8 | ||
| Extraordinary profit | 28 | 15.6 | (1.6) | (17.3) | ||
| Income before income taxes | 29 | 129.6 | 149.1 | 19.4 | ||
| Total income taxes | 30 | (33.7) | (35.7) | (2.0) | ||
| Net income | 31 | 95.9 | 113.3 | 17.4 | ||
| Overhead ratio (OHR) (-21 / 13) | 32 | 54.31% | 50.66% | (3.65%) |
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