Jimoto Holdings,Inc.
7161・Standard Market・Banks
Business
Jimoto Holdings, Inc. is a bank holding company established in October 2012 through a joint stock transfer by Kirayaka Bank, Ltd. and The Sendai Bank, Ltd. With Miyagi Prefecture and Yamagata Prefecture as its main operating area, the group's core business is Banking, centered on the Deposit Business, Lending Business, Exchange & Other Business, Securities Investment Business, and Over-the-Counter Sales (Investment Trusts, Insurance, Public Bonds), and it also operates Leasing (through Kirayaka Lease) and peripheral financial services such as Credit Card & Credit Guarantee Business, Consulting & Venture Capital Business, and Computer System Development, Maintenance & Operation Outsourcing Business. The group consists of 8 consolidated subsidiaries and upholds a management philosophy centered on supporting small and medium-sized enterprises and contributing to the local community. The company has entered into a capital and business alliance with SBI Holdings, and is promoting the provision of new financial services and improved management efficiency through group collaboration.
Business Model
The main revenue source is net interest income centered on interest on loans (FY2026 (ending March 2026): ¥24,905 million), which is generated by procuring low-cost funds from individual, corporate, and public deposits and deploying them in loans to small and medium-sized enterprises, consumer loans, and securities investment. This is supplemented by net fees and commissions (¥2,571 million) and leasing revenue (¥6,144 million). The majority of revenue is accounted for by the Banking segment (ordinary income of ¥37,371 million), with Leasing and Other complementing this structure.
Company Strengths
The combined loan balance of Kirayaka Bank and Sendai Bank reached ¥1,944,192 million (as of the end of March 2026), with the consumer loan balance increasing by ¥29,154 million year on year to ¥686,035 million. Loans to small and medium-sized enterprises accounted for the majority of total loans at ¥1,075,789 million, reflecting the company's position as a major provider of SME financing in Miyagi and Yamagata Prefectures.
In November 2020, the company concluded a capital and business alliance with SBI Holdings, and in December 2023 conducted a third-party allotment of shares (¥1.96 billion) to SBI Regional Bank Holdings. The company has decided to adopt the next-generation banking system (AWS-based, cloud-type core banking system) provided by the SBI Group, and is utilizing it as a foundation for cost reduction, expansion of new services, and promotion of DX.
The combined balance of assets under custody at the two banks reached ¥206,453 million (up ¥16,261 million year on year), with investment trust over-the-counter sales income of ¥372 million and insurance over-the-counter sales income of ¥743 million recorded. Personal deposit balances also expanded steadily to ¥1,498,769 million (up ¥20,895 million year on year), supporting both the funding base and fee income.
ENVALITH's Perspective
Performance Trend
Consolidated ordinary income for FY2026 (ending March 2026) was ¥44,080 million (up 15.1% year on year), ordinary profit was ¥3,159 million (up 48.2% year on year), and profit attributable to owners of parent was ¥2,584 million (up 65.3% year on year). The primary external factor was the Bank of Japan's policy rate hike, which drove interest on loans up ¥3,990 million year on year to ¥27,613 million. On the other hand, interest on deposits also surged by ¥3,020 million to ¥4,468 million, and total funding costs increased by ¥3,567 million to ¥5,415 million. The provision for allowance for doubtful accounts was ¥1,105 million (¥1,226 million in the prior period), indicating improved credit costs as well. Comprehensive income improved substantially to ¥5,235 million (versus a loss of ¥966 million in the prior period). For FY2027 (ending March 2027), ordinary profit is forecast at ¥4,000 million and net income at ¥3,600 million. Net income attributable to owners of parent over the past five periods was ¥2,585 million in FY2022, -¥7,082 million in FY2023, -¥23,462 million in FY2024, ¥1,563 million in FY2025, and ¥2,584 million in FY2026, showing that a recovery trajectory from substantial losses is becoming established.
Growth Strategy
Aiming to strengthen profitability and repay public funds through three pillars: deepening SME support, promoting DX, and strengthening the SBI Group alliance
With lending to SMEs in Miyagi and Yamagata prefectures as the core focus, the combined SME lending balance of the two banks stood at ¥1,764,063 million (ratio 90.73%). Sendai Bank's ending loan balance expanded by ¥29,557 million year-on-year, reflecting continued growth in consumer loans and SME lending. Collaboration with the Consulting & Venture Capital Business is also being strengthened.
Advancing digitalization and operational efficiency by leveraging collaboration with the SBI Group. The combined OHR (expense ratio) for the two banks on a core gross business profit basis stood at 80.19% (a 1.74 point improvement from the previous period), reflecting the results of efficiency initiatives. Collaboration with JimoTec, which handles system development, maintenance, and operation outsourcing, also continues.
Actively leveraging collaboration with the SBI Group, a capital and business alliance partner, to advance the provision of new financial services, sophistication of management administration, and deepening of SME support. In FY2026 (ending March 2026), consolidated ordinary profit improved significantly, up 48.2% year-on-year, with the effects of this collaboration increasingly reflected in performance.
Kirayaka Bank and Sendai Bank are curbing the expansion of valuation losses by switching fund-managed assets to short-term bonds. In collaboration with the SBI Group, the policy is to apply investment returns from highly creditworthy medium- to long-term bonds toward resolving the valuation losses. The consolidated total securities valuation loss remains substantial at ¥29,061 million, and resolution is expected to require a considerable period of time.
Repayment of public funds related to Class B, C, D, and E preferred shares (totaling ¥78,000 million) is the most critical medium- to long-term challenge. At the current level of net income—¥2,584 million in FY2026 (ending March 2026) and a projected ¥3,600 million in FY2027 (ending March 2027)—accumulating the funds needed for repayment is expected to take a long time. Sustained improvement in profitability is a prerequisite.
Last updated: July 19, 2026