ENVALITH
第一生命ホールディングス株式会社 logo

Dai-ichi Life Holdings, Inc.

8750・Prime Market・Insurance

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第一生命ホールディングス株式会社 logo
Dai-ichi Life Holdings, Inc.8750

Business

Dai-ichi Life Holdings is an insurance holding company overseeing one of Japan's largest life insurance groups, founded in 1902 (to be renamed Dai-ichi Life Group, Inc. from April 2026). Domestically, it comprises Dai-ichi Life, Dai-ichi Frontier Life, Neo First Life, and others, providing protection, asset formation, and succession services to individuals and corporations. Overseas, it expands globally across North America, Oceania, Europe, and Asia through Protective Life Corporation (U.S.), TAL Dai-ichi Life Australia Pty Ltd (Australia), M&G plc (U.K., equity-method affiliate), and others. With 198 subsidiaries and 255 affiliated companies, consolidated total assets reach approximately ¥74,159,000 million. Under its vision of evolving into an "insurance service business" that transcends the boundaries of traditional life insurance, the group is also expanding into non-insurance domains leveraging Benefit One (with over 10 million members).

Business Model

The main revenue sources are premium and other income (¥69,440 million in FY2026 (ending March 2026)) and investment income (¥37,353 million in the same period). In Japan, the basic model is generating positive spreads through the sale of protection-type and savings-type products combined with long-term asset management. Overseas, Protective Life Corporation (U.S.) is expanding its fee income-based business, while TAL Dai-ichi Life Australia Pty Ltd (Australia) is developing group insurance and retirement businesses. The Asset Management Business (through investments in Canyon Partners, Capula, and others) and fee-based businesses via the Benefit One platform are also being cultivated. The company is promoting "capital circulation management," whereby dividends from group companies are consolidated at the holding company level and allocated to shareholder returns.

Company Strengths

The company operates three segments: Domestic Insurance Business (ordinary revenues of ¥86,696 million), Overseas Insurance Business (¥35,593 million), and Other Businesses (¥4,714 million), achieving diversification across regions and business types. The overseas share of group adjusted profit reached approximately 23% in FY2026 (ending March 2026), with a target of raising it to 50% by FY2030 (ending March 2030). The established track record of expansion into the U.S., Australia, Europe, and Asia serves as a differentiating factor versus competitors.

Dai-ichi Frontier Life's annualized premiums of policies in force expanded to ¥14,463 million (up 17.2% from the previous fiscal year-end) at the end of FY2026 (ending March 2026). Annualized premiums of new policies also maintained high growth at ¥2,697 million (up 17.6% year on year). The agile product lineup of yen-denominated and foreign currency-denominated products, together with sales capabilities leveraging the bank distribution channel, is supporting the capture of domestic asset formation demand.

Group adjusted ROE for FY2026 (ending March 2026) stood at 12.7%, achieving the medium-term management plan target (12% or higher) ahead of schedule. Group adjusted profit increased substantially to ¥5,515 million (up 25.5% from the previous fiscal year). Improvements in capital efficiency have been demonstrated through Dai-ichi Life's reduction of domestic equity holdings (a planned ¥1.2 trillion reduction over three years) and risk profile transformation, with dividend remittances from group companies expected to secure approximately ¥550.0 billion.

ENVALITH's Perspective

For FY2026 (ending March 2026), ordinary profit was ¥753,688 million (down 0.3% year on year), and net income attributable to owners of the parent was ¥436,597 million (down 4.8%), a modest decline. Comprehensive income, however, improved sharply from ¥-75,635 million in the previous period to ¥817,590 million. Net unrealized gains on other securities increased from ¥959,318 million to ¥1,372,692 million, and as an external factor, the recovery in equity markets contributed to the expansion of net assets to ¥4,254,212 million (up 16.9% year on year). The equity ratio also improved from 5.2% to 5.7%.

The main reason net income declined 4.8% year on year was the application, from the end of the current consolidated fiscal year, of the new U.S. insurance accounting standard (FASB ASC Topic 944) at Protective Life Corporation. This decline stems from a one-time, technical factor arising from a change in accounting standards, and should be assessed separately from any deterioration in underlying business fundamentals. Note that the financial statements for the previous consolidated fiscal year have been restated to reflect retrospective application, ensuring comparability.

The company forecasts a substantial increase in profit for FY2027 (ending March 2027), with ordinary profit projected at ¥869,000 million (up 15.3% year on year) and net income attributable to owners of the parent at ¥513,000 million (up 17.5%). The main driver is expected to be increased profit in the Overseas Insurance Business. On the other hand, ordinary revenues are forecast to decline to ¥10,666,000 million (down 5.7%), due to factors such as a decrease in investment income at Protective Life Corporation. Continued attention is warranted regarding the sustainability of a structure achieving profit growth without revenue growth, as well as the risk of fluctuations in the assumed foreign exchange and interest rate premises.

Growth Strategy

Aiming to become a global top-tier group through three pillars: qualitative transformation of domestic insurance, expansion of the overseas business ratio, and building a non-insurance ecosystem

The subsidiarization of Portfolio Holding, Inc. by Protective Life Corporation (U.S.) (completed January 2026) and the execution of an acquisition agreement for Obsidian Insurance Holdings, Inc. (April 2026) are advancing diversification into the U.S. non-life insurance business and the acquisition of a fee income-based business model. Overseas Insurance Business segment profit was ¥112,629 million.

Increased sales of Foreign Currency-Denominated and Variable Insurance (Dai-ichi Frontier Life) drove premium and other income up 2.1% year on year to ¥6,944,066 million. Domestic Insurance Business segment profit of ¥676,269 million accounted for more than half of the total, functioning as a stable earnings base. Rising domestic interest rates also provided a tailwind.

Other Businesses segment profit was ¥340,204 million, the largest among all segments. This was driven by increased dividend income from group companies, strengthening of the Asset Management Business (including the subsidiarization of an affiliate of Canyon Partners), and expanded equity in earnings of affiliates of ¥23,055 million (versus ¥3,526 million in the prior period).

The company forecasts a significant increase in profit, with ordinary profit of ¥869,000 million (up 15.3% year on year) and net income of ¥513,000 million (up 17.5% year on year). Profit growth in the Overseas Life Insurance Business is expected to be the main driver. Dividend per share is planned to increase from ¥54.50 to ¥72.00 (dividend payout ratio of 50.5%).

Last updated: July 19, 2026