Kyushu Financial Group,Inc.
7180・Prime Market・Banks
Leasing Business
Leasing and lending segment for corporate clients that complements the Group's banking business
| Period | Current | Previous | Change |
|---|---|---|---|
| Ordinary income (external customers, full year) | ¥40,707 million | ¥38,867 million | ↑ |
| Segment profit (full year) | ¥1,388 million | ¥1,696 million | ↓ |
| Segment assets (full-year end) | ¥129,908 million | ¥121,985 million | ↑ |
| Depreciation (full year) | ¥167 million | ¥160 million | ↑ |
| Increase in tangible and intangible fixed assets (full year) | ¥268 million | ¥215 million | ↑ |
Business Details
A reporting segment engaged in leasing operations and lending operations at consolidated subsidiaries of Kyushu Financial Group, Inc. Within a group centered on banking, this segment provides equipment leasing and financing options to corporate customers, playing a role that complements the Group's comprehensive financial services. The business area is centered on Kumamoto, Kagoshima, and Miyazaki prefectures in central and southern Kyushu. Internal ordinary income between segments also maintains a certain scale.
Recent Overview
Ordinary income increased, but segment profit decreased ¥308 million year on year, reflecting declining profitability
In the Leasing Business segment for FY2026 (ending March 2026), ordinary income from external customers increased to ¥40,707 million (up ¥1,840 million year on year), while segment profit decreased to ¥1,388 million, down ¥308 million year on year. Rising fund procurement costs and other factors are seen as having pressured profit, with profitability continuing to decline. Segment assets increased ¥7,923 million year on year to ¥129,908 million, indicating that the business scale itself is expanding.
Key Products
Growth Drivers
- Expanding capital expenditure demand from corporations in the central and southern Kyushu region (increased capital expenditure in the semiconductor-related industry driven by TSMC's entry into Kumamoto)
- Creation of cross-selling opportunities through collaboration with the Banking segment
- Continued securing of internal Group ordinary income (inter-segment transactions)
- Improvement in corporate capital expenditure appetite driven by a gradual recovery in the regional economy and wage increases
Risks
- Risk of spread compression due to rising fund procurement costs amid rising interest rates (segment profit has trended down for two consecutive periods)
- Risk of further decline in profitability, as segment profit decreased year on year versus the previous consolidated fiscal year
- Risk of declining corporate capital expenditure demand amid a shrinking regional economy (due to the declining birthrate, aging population, and outflow of the working-age population)
- Risk of diminishing presence due to competition with, or substitution by, the Banking segment
Last updated: June 25, 2026