REGISTRATION STATEMENT PURSUANT TO SECTION 12(b) OR (g) OF THE SECURITIES EXCHANGE ACT OF 1934 |
ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the fiscal year ended |
TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from to |
SHELL COMPANY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
Date of event requiring this shell company report |
(Jurisdiction of incorporation or organization) |
(Address of principal executive offices) |
Title of Each Class |
Trading Symbol(s) |
Name of Each Exchange on which registered | ||
* |
Accelerated Filer ☐ |
Non-accelerated Filer ☐ |
Emerging Growth Company |
U.S. GAAP ☐ |
Other ☐ |
• | deterioration of Japanese and global economic conditions and financial markets; |
• | declines in the value of our securities portfolio; |
• | changes in the level or volatility of market rates or prices; |
• | constraints on our operations due to capital adequacy requirements; |
• | problems of other financial institutions; |
• | adverse regulatory developments or changes in government policies; |
• | incurrence of significant credit-related costs; |
• | a significant downgrade of our credit ratings; |
• | exposure to new risks as we expand the scope of our business; |
• | our ability to successfully implement our business strategy through our subsidiaries, affiliates and alliance partners; |
• | the industry specific risks of the consumer finance industry; |
• | the recoverability of deferred tax assets; |
• | insufficient liquidity; |
• | environmental and social risk; and |
• | litigation and regulatory proceedings. |
Item 1. |
Identity of Directors, Senior Management and Advisers |
Item 2. |
Offer Statistics and Expected Timetable |
Item 3. |
Key Information |
For the fiscal year ended and at March 31, |
||||||||||||||||||||
2024 |
2023 |
2022 |
2021 |
2020 |
||||||||||||||||
(In millions, except per share data) |
||||||||||||||||||||
Consolidated income statements data: |
||||||||||||||||||||
Interest income |
¥ | 5,944,398 | ¥ | 3,696,076 | ¥ | 1,747,654 | ¥ | 1,780,370 | ¥ | 2,407,045 | ||||||||||
Interest expense |
4,053,635 | 1,941,006 | 303,716 | 397,245 | 1,090,730 | |||||||||||||||
Net interest income |
1,890,763 | 1,755,070 | 1,443,938 | 1,383,125 | 1,316,315 | |||||||||||||||
Fee and commission income |
1,469,847 | 1,262,734 | 1,248,225 | 1,174,382 | 1,147,132 | |||||||||||||||
Fee and commission expense |
233,715 | 222,920 | 209,762 | 201,723 | 203,822 | |||||||||||||||
Net fee and commission income |
1,236,132 | 1,039,814 | 1,038,463 | 972,659 | 943,310 | |||||||||||||||
Net trading income |
349,520 | 626,043 | 280,339 | 237,746 | 134,069 | |||||||||||||||
Net income (loss) from financial assets and liabilities at fair value through profit or loss |
323,217 | 173,311 | 200,249 | 280,012 | (21,939 | ) | ||||||||||||||
Net investment income |
29,844 | 15,611 | 65,744 | 153,820 | 176,464 | |||||||||||||||
Other income |
119,597 | 180,827 | 108,727 | 138,223 | 155,631 | |||||||||||||||
Total operating income |
3,949,073 | 3,790,676 | 3,137,460 | 3,165,585 | 2,703,850 | |||||||||||||||
Impairment charges on financial assets |
205,096 | 148,464 | 279,978 | 282,486 | 259,938 | |||||||||||||||
Net operating income |
3,743,977 | 3,642,212 | 2,857,482 | 2,883,099 | 2,443,912 | |||||||||||||||
General and administrative expenses |
2,229,701 | 1,965,417 | 1,801,621 | 1,679,115 | 1,696,386 | |||||||||||||||
Other expenses |
466,857 | 502,347 | 368,559 | 283,879 | 488,806 | |||||||||||||||
Operating expenses |
2,696,558 | 2,467,764 | 2,170,180 | 1,962,994 | 2,185,192 | |||||||||||||||
Share of post-tax profit (loss) of associates and joint ventures |
160,370 | 87,428 | (10,838 | ) | 36,373 | 24,031 | ||||||||||||||
Profit before tax |
1,207,789 | 1,261,876 | 676,464 | 956,478 | 282,751 | |||||||||||||||
For the fiscal year ended and at March 31, |
||||||||||||||||||||
2024 |
2023 |
2022 |
2021 |
2020 |
||||||||||||||||
(In millions, except per share data) |
||||||||||||||||||||
Income tax expense |
312,039 | 326,027 | 161,389 | 251,402 | 51,768 | |||||||||||||||
Net profit |
¥ | 895,750 | ¥ | 935,849 | ¥ | 515,075 | ¥ | 705,076 | ¥ | 230,983 | ||||||||||
Profit attributable to: |
||||||||||||||||||||
Shareholders of Sumitomo Mitsui Financial Group, Inc. |
¥ | 873,346 | ¥ | 911,831 | ¥ | 499,573 | ¥ | 687,483 | ¥ | 200,052 | ||||||||||
Non-controlling interests |
8,641 | 12,708 | 4,771 | 4,471 | 18,567 | |||||||||||||||
Other equity instruments holders |
13,763 | 11,310 | 10,731 | 13,122 | 12,364 | |||||||||||||||
Earnings per share: |
||||||||||||||||||||
Basic |
¥ | 657 | ¥ | 668 | ¥ | 364 | ¥ | 502 | ¥ | 145 | ||||||||||
Diluted |
657 | 668 | 364 | 501 | 145 | |||||||||||||||
Weighted average number of common shares in issue (in thousands of shares) |
1,329,026 | 1,364,770 | 1,370,738 | 1,370,214 | 1,375,118 | |||||||||||||||
Dividends per share in respect of each fiscal year: |
||||||||||||||||||||
Common stock |
¥ | 260 | ¥ | 220 | ¥ | 200 | ¥ | 195 | ¥ | 185 | ||||||||||
$ | 1.72 | $ | 1.65 | $ | 1.63 | $ | 1.76 | $ | 1.70 | |||||||||||
Consolidated statements of financial position data: |
||||||||||||||||||||
Total assets |
¥ | 281,271,637 | ¥ | 257,687,038 | ¥ | 248,160,847 | ¥ | 235,024,987 | ¥ | 212,158,463 | ||||||||||
Loans and advances |
121,716,465 | 111,891,134 | 104,635,815 | 97,714,938 | 94,671,818 | |||||||||||||||
Total liabilities |
264,992,539 | 244,150,073 | 235,379,155 | 222,748,837 | 201,223,585 | |||||||||||||||
Deposits |
182,097,319 | 172,927,810 | 162,593,492 | 155,493,654 | 138,431,418 | |||||||||||||||
Borrowings |
16,107,158 | 15,371,801 | 20,584,651 | 19,423,355 | 17,121,362 | |||||||||||||||
Debt securities in issue |
14,075,084 | 11,984,994 | 11,428,437 | 11,228,600 | 10,985,048 | |||||||||||||||
Total equity |
16,279,098 | 13,536,965 | 12,781,692 | 12,276,150 | 10,934,878 | |||||||||||||||
Capital stock |
2,344,038 | 2,342,537 | 2,341,878 | 2,341,274 | 2,339,965 |
• | Deterioration of Japanese and global economic conditions and financial markets. |
• | Declines in the value of our securities portfolio. |
• | Changes in market rates or prices related to financial instruments. |
• | Failure to satisfy capital adequacy requirements. |
• | Financial difficulties of counterparties and other financial institutions. |
• | Adverse regulatory developments or changes in government policies. |
• | Changes in the competitive environment around financial institutions and financial systems. |
• | Adverse economic conditions affecting our customers and deterioration of their financial condition. |
• | A significant downgrade of our credit ratings. |
• | Challenges in achieving the goals of our business strategy. |
• | Exposure to new risks as we expand the scope of our business. |
• | Failure of our business strategies through our subsidiaries, affiliates and other business alliance partners. |
• | Changes in the legal environment for the consumer finance industry. |
• | The recoverability of deferred tax assets. |
• | Declines in returns on our plan assets or revised actuarial assumptions for retirement benefits. |
• | Insufficient liquidity. |
• | Market price impact and dilution from sales of our shares by us. |
• | Damage or failure of our information technology systems as a result of various incidents including cyberattacks. |
• | Fraud, misconduct or other unlawful behavior by directors, officers and employees or third parties. |
• | Exposure to Iran and other countries and targets that are subject to U.S. or other financial sanctions. |
• | Natural disasters, terrorism, pandemics and other calamities. |
• | Exposure to risks associated with environmental and social issues. |
• | Inability of our risk management policies and procedures to adequately address unidentified or unanticipated risks. |
• | Litigation and regulatory proceedings around the world. |
• | Damage to our reputation. |
• | Improper development, use or failure of our models. |
• | Our failure to establish, maintain and apply adequate internal controls over financial reporting. |
• | Restrictions on U.S. investors’ ability to effect service of process on us or to enforce U.S. court judgments against us. |
• | Limitations on rights of holders of our American Depositary Shares (“ADSs”) as shareholders. |
• | declines in the value of securities; and |
• | increases in risk-weighted assets resulting from business growth, strategic investments, borrower downgrades, changes in parameters such as probability of default (“PD”) or regulatory reforms. |
• | a revised standardized approach for credit risk; |
• | revisions to the internal ratings-based approach for credit risk; |
• | revisions to the credit valuation adjustment framework; |
• | a revised standardized approach for operational risk; |
• | revisions to the measurement of the leverage ratio and a leverage ratio buffer for G-SIBs; and |
• | revisions to the capital floor. |
• | banking groups, including Japan’s other major banking groups; |
• | government-controlled and government-affiliated entities; |
• | regional banking institutions; |
• | major investment banks; |
• | non-bank financial institutions; and |
• | other firms that are engaged in providing similar products and services. |
• | domestic or global economic conditions worsen or do not improve; |
• | our customers do not repay their loans, due to reasons including deterioration of their financial condition; and |
• | the value of collateral declines. |
• | we may have to accept less favorable terms in our transactions with counterparties, including capital raising activities, or may be unable to enter into certain transactions; |
• | foreign regulatory bodies may impose restrictions on our overseas operations; |
• | existing agreements or transactions may be cancelled; and |
• | we may be required to provide additional collateral in connection with derivatives transactions. |
• | the jurisdiction of the foreign court be recognized under laws, regulations, treaties or conventions; |
• | proper service of process be made on relevant defendants, or relevant defendants be given appropriate protection if such service is not received; |
• | the judgment and proceedings of the foreign court not be repugnant to public policy as applied in Japan; and |
• | there exist reciprocity as to the recognition by a court of the relevant foreign jurisdiction of a final judgment of a Japanese court. |
Item 4. |
Information on the Company |
• | We grow and prosper together with our customers, by providing services of greater value to them. |
• | We aim to maximize our shareholders’ value through the continuous growth of our business. |
• | We create a work environment that encourages and rewards diligent and highly-motivated employees. |
• | We contribute to a sustainable society by addressing environmental and social issues. |
• | A trusted global solution provider committed to the growth of our customers and advancement of society. |
• | Integrity: As a professional, always act with sincerity and a high ethical standard. |
• | Customer First: Always look at it from the customer’s point of view, and provide value based on their individual needs. |
• | Proactive & Innovative: Embrace new ideas and perspectives, don’t be deterred by failure. |
• | Speed & Quality: Differentiate ourselves through the speed and quality of our decision-making and service delivery. |
• | Team “SMBC Group”: Respect and leverage the knowledge and diverse talent of our global organization, as a team. |
• | Coal-fired power generation |
• | Biomass energy generation |
• | Hydroelectric power generation |
• | Oil and gas |
• | Coal mining |
• | Tobacco manufacturing |
• | Nature conservation areas |
• | Palm oil plantation development |
• | Deforestation |
• | Manufacturing of cluster bombs and other weapons of destruction |
• | expansion of finance needs and business reorganization; |
• | needs for new financial products and services; and |
• | needs for leasing of decarbonization-related facilities. |
• | In our domestic business, taking into consideration the potential for future interest rate hikes, we seek to build a more stable and efficient business model by expanding our client business in a more effective manner through efforts such as the expansion of digitalization, enhancing our payment business, and revising our marketing framework. |
• | We seek to enhance our capital efficiency by not relying solely on the expansion of our balance sheet, but by also offering a diverse range of risk solutions and enhancing our fee business. |
• | In our overseas business, we seek to realize robust growth that drives the growth of the entire SMBC Group through our business in the United States and by establishing a second and third franchise in Asia through our “Multi-Franchise Strategy” while at the same time enhancing capital efficiency by replacing the contents of our portfolio. |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
Region: |
||||||||||||
Japan |
36 | % | 47 | % | 58 | % | ||||||
Foreign: |
||||||||||||
Americas |
29 | % | 22 | % | 19 | % | ||||||
Europe and Middle East |
10 | % | 9 | % | 9 | % | ||||||
Asia and Oceania (excluding Japan) |
25 | % | 22 | % | 14 | % | ||||||
Total |
100 | % | 100 | % | 100 | % | ||||||
• | strengthening the risk coverage of the capital framework; |
• | introducing a leverage ratio as a supplementary measure to the Basel II risk-based framework with a view to migrating to a Pillar 1 (minimum capital requirement) treatment based on appropriate review and calibration (for further information, see “Leverage Ratio” below); |
• | introducing measures to promote the build-up of capital buffers in good times that can be drawn upon in periods of stress; and |
• | introducing minimum liquidity standards for internationally active banks that include a 30-day liquidity coverage ratio requirement underpinned by a longer-term structural liquidity ratio (for further information, see “Liquidity Requirement” below). |
• | to meet certain minimum external TLAC requirements (being at least 16% of their risk-weighted assets from March 2019 and at least 18% of their risk-weighted assets from March 2022 as well as at least 6% of their Basel III leverage ratio denominator from March 31, 2019, at least 6.75% from March 31, 2022 and at least 7.10% from April 1, 2024, while excluding amounts of deposits to the BOJ from the total exposure for the purpose of calculation of the applicable Basel III leverage ratio denominator, taking into account exceptional macroeconomic conditions and other circumstances); and |
• | to cause any material subsidiaries or material sub-groups in Japan designated as systemically important by the FSA, or any foreign subsidiaries that are subject to TLAC or similar requirements by the relevant foreign authorities, to maintain a certain level of capital and debt that is recognized as having loss-absorbing and recapitalization capacity (“internal TLAC”). |
• | a revised standardized approach for credit risk; |
• | revisions to the internal ratings-based approach for credit risk, where the use of the most advanced internally modeled approaches for low-default portfolios will be limited; |
• | revisions to the credit valuation adjustment framework, including the removal of the internally modeled approach and the introduction of a revised standardized approach; |
• | a revised standardized approach for operational risk, which will replace the existing standardized approaches and the advanced measurement approach; |
• | revisions to the measurement of the leverage ratio and a leverage ratio buffer for G-SIBs; and |
• | revisions to the capital floor, under which banks’ risk-weighted assets must be no lower than 72.5% of total risk-weighted assets as calculated using only the standardized approaches under the revised Basel III framework, and a requirement that banks disclose their risk-weighted assets based on such standardized approaches. |
• | the Common Equity Tier 1 risk-weighted capital ratio becomes less than 4.5% but not less than 2.25%; |
• | the Tier 1 risk-weighted capital ratio becomes less than 6% but not less than 3%; |
• | the total risk-weighted capital ratio of a bank becomes less than 8% but not less than 4%; or |
• | the leverage ratio becomes less than 3.15% but not less than 1.575%. |
• | the Common Equity Tier 1 risk-weighted capital ratio becomes less than 2.25% but not less than 1.13%; |
• | the Tier 1 risk-weighted capital ratio becomes less than 3% but not less than 1.5%; |
• | the total risk-weighted capital ratio of a bank declines to less than 4% but not less than 2%; or |
• | the leverage ratio becomes less than 1.575% but not less than 0.7875% (in this case, the FSA may order a bank to take actions described in (1) and (3) to (8) of the paragraph above). |
• | the Common Equity Tier 1 risk-weighted capital ratio becomes less than 1.13% but not less than 0%; |
• | the Tier 1 risk-weighted capital ratio becomes less than 1.5% but not less than 0%; |
• | the total risk-weighted capital ratio of a bank declines to less than 2% but not less than 0%; or |
• | the leverage ratio becomes less than 0.7875% but not less than 0%. |
• | the Common Equity Tier 1 risk-weighted capital ratio, Tier 1 risk-weighted capital ratio or the total risk-weighted capital ratio declines below 0%; or |
• | the leverage ratio declines below 0%. |
• | the Common Equity Tier 1 risk-weighted capital ratio of the bank holding company declines to levels below 4.5%, 2.25%, 1.3% or 0%; |
• | the Tier 1 risk-weighted capital ratio of the bank holding company declines to levels below 6%, 3%, 1.5% or 0%; |
• | the total risk-weighted capital ratio of the bank holding company declines to levels below 8%, 4%, 2% or 0%; or |
• | the leverage ratio of the bank holding company declines to levels below 3.15%, 1.575%, 0.7875% or 0%. |
• | a Financial Reorganization Administrator is appointed by the FSA Commissioner and takes control of the management and assets of the failed deposit-taking institution. The administrator is expected to diligently search for a deposit-taking institution which will succeed to the business of the failed institution; |
• | if no successor deposit-taking institution can be immediately found, a “bridge bank” will be established by the DIC for the purpose of temporarily maintaining the operations of the failed deposit-taking institution, and the bridge bank will seek to transfer the failed deposit-taking institution’s assets to another deposit-taking institution or dissolve the failed deposit-taking institution; and |
• | in order to facilitate or encourage a deposit-taking institution to succeed to a failed business, financial aid may be provided by the DIC to any successor deposit-taking institution to enhance its capital after succession or to indemnify it for losses incurred as a result of the succession. |
• | the DIC may subscribe for shares or other instruments issued by the relevant deposit-taking institution or the holding company thereof and require the institution to submit to the DIC a plan to reestablish sound management (Item 1 measures) ( dai ichigo sochi |
• | once the deposit-taking institution fails, financial aid exceeding the cost of pay-off may be available to the institution (Item 2 measures) (dai nigo sochi |
• | if the failed institution is a bank and the problem cannot be avoided by other measures, then the DIC may acquire all of the shares of the bank (Item 3 measures) ( dai sango sochi |
• | underwriting and dealing in Japanese government bonds, Japanese municipal bonds, Japanese government guaranteed bonds, commercial paper and certain bonds issued by special purpose companies; |
• | selling beneficiary certificates of investment trusts and securities issued by an investment company; and |
• | dealing in listed or OTC securities or derivatives transactions as well as in the securities intermediary business. |
• | sales practices; |
• | trade practices of broker-dealers; |
• | use and safekeeping of customers’ funds and securities; |
• | capital structure; |
• | record-keeping; |
• | the financing of customers’ purchases; and |
• | the conduct of directors, officers and employees. |
4.C. |
ORGANIZATIONAL STRUCTURE |
(1) | These companies are our associates or joint ventures. |
(2) | Chart indicates the classification of SMBC Group companies into each of SMBC Group-wide business segments. |
(3) | Sumitomo Mitsui Card Company, Limited merged with SMBC Finance Service Co., Ltd. on April 1, 2024. |
(4) | The Japan Research Institute, Limited became the wholly owned subsidiary of JRI Holdings, Limited, the holding company newly established by SMBC Group, following the sale of shares held by SMFG to JRI Holdings, Limited on April 1, 2024. |
• | group strategy and management; |
• | group resource allocation; |
• | group financial accounting; |
• | investor relations; |
• | capital strategy; |
• | group IT strategy; |
• | HR management for group executives; |
• | group risk management, internal control and compliance; |
• | compensation schemes; and |
• | efficiently harmonizing our operations on an SMBC Group-wide basis. |
Company Name |
Proportion of Ownership Interest (1) |
Proportion of Voting Rights (1) |
Main Business | |||||||
(%) |
(%) |
|||||||||
Sumitomo Mitsui Banking Corporation |
100.0 | 100.0 | Commercial banking | |||||||
SMBC Trust Bank Ltd. |
100.0 | 100.0 | Trust Banking | |||||||
SMBC Guarantee Co., Ltd. |
100.0 | 100.0 | Credit guarantee | |||||||
SMBC Nikko Securities Inc. |
100.0 | 100.0 | Securities | |||||||
Sumitomo Mitsui Card Company, Limited (2) |
100.0 | 100.0 | Credit card | |||||||
SMBC Finance Service Co., Ltd (2). |
100.0 | 100.0 | Credit card, consumer credit and installment transaction | |||||||
SMBC Consumer Finance Co., Ltd. |
100.0 | 100.0 | Consumer lending | |||||||
The Japan Research Institute, Limited (3) |
100.0 | 100.0 | System development, data processing, management consulting and economic research | |||||||
Sumitomo Mitsui DS Asset Management Company, Limited |
50.1 | 50.1 | Investment management, and investment advisory and agency | |||||||
Alternative Investment Capital Limited |
60.0 | 60.0 | Investment management and investment advisory | |||||||
SMBC Venture Capital Co., Ltd. |
100.0 | 100.0 | Venture capital | |||||||
SMBC Consulting Co., Ltd. |
98.3 | 98.3 | Management consulting and information services | |||||||
Japan Pension Navigator Co., Ltd. |
69.7 | 69.7 | Operational management of defined contribution pension plans |
(1) | Percentages of proportion of ownership interest and proportion of voting rights have been truncated. |
(2) | Sumitomo Mitsui Card Company, Limited merged with SMBC Finance Service Co., Ltd. on April 1, 2024. |
(3) | The Japan Research Institute, Limited became the wholly owned subsidiary of JRI Holdings, Limited, the holding company newly established by SMBC Group, following the sale of shares held by SMFG to JRI Holdings, Limited on April 1, 2024. |
Company Name |
Country of Incorporation |
Proportion of Ownership Interest (1) |
Proportion of Voting Rights (1) |
Main Business | ||||||||
(%) |
(%) |
|||||||||||
SMBC Bank International plc |
U.K. | 100.0 | 100.0 | Commercial banking | ||||||||
Sumitomo Mitsui Banking Corporation (China) Limited |
China | 100.0 | 100.0 | Commercial banking | ||||||||
PT Bank BTPN Tbk |
Indonesia | 98.5 | 91.0 | (2) |
Commercial banking | |||||||
SMBC Americas Holdings, Inc. |
U.S.A. | 100.0 | 100.0 | Bank holding company | ||||||||
SMBC MANUBANK |
U.S.A. | 100.0 | 100.0 | Commercial banking | ||||||||
Banco Sumitomo Mitsui Brasileiro S.A. |
Brazil | 100.0 | 100.0 | Commercial banking | ||||||||
JSC Sumitomo Mitsui Rus Bank |
Russia | 100.0 | 100.0 | Commercial banking | ||||||||
SMBC Bank EU AG |
Germany | 100.0 | 100.0 | Commercial banking | ||||||||
Sumitomo Mitsui Banking Corporation Malaysia Berhad |
Malaysia | 100.0 | 100.0 | Commercial banking | ||||||||
SMBC Leasing and Finance, Inc. |
U.S.A. | 100.0 | 100.0 | Leasing | ||||||||
SMBC Nikko Securities America, Inc. |
U.S.A. | 100.0 | 100.0 | Securities | ||||||||
SMBC Nikko Capital Markets Limited |
U.K. | 100.0 | 100.0 | Securities | ||||||||
SMBC Capital Markets, Inc. |
U.S.A. | 100.0 | 100.0 | Derivatives | ||||||||
TT International Asset Management Ltd |
U.K. | 100.0 | 100.0 | Investment management, and investment advisory and agency | ||||||||
SMFG India Credit Company Limited |
India | 100.0 | 100.0 | Financial services |
(1) | Percentages of proportion of ownership interest and proportion of voting rights have been truncated. |
(2) | During the fiscal year ended March 31, 2020, we disposed of a 3.7% equity interest in PT Bank BTPN Tbk to a third-party investor. Subsequently, in the fiscal year ended March 31, 2024, we disposed of an additional 3.7% to other third-party investors. The disposals were undertaken to ensure that PT Bank BTPN Tbk is compliant with the free float requirement under the Indonesia Stock Exchange’s Rule. We had also entered into a commercial arrangement where the economic exposure resulting from the disposals is being retained. Therefore, the disposals have not resulted in a decrease in our ownership interests. |
At March 31, 2024 |
||||
(In millions) |
||||
Land |
¥ | 475,296 | ||
Buildings |
335,180 | |||
Right of use assets |
397,746 | |||
Others |
138,871 | |||
Total |
¥ | 1,347,093 | ||
Item 4A. |
Unresolved Staff Comments |
Item 5. |
Operating and Financial Review and Prospects |
For the fiscal year ended March 31, |
||||||||||||||||||||||||||||||||
2023 |
2024 |
|||||||||||||||||||||||||||||||
1Q |
2Q |
3Q |
4Q |
1Q |
2Q |
3Q |
4Q |
|||||||||||||||||||||||||
Japanese GDP |
1.2 | % | (0.2 | %) | 0.3 | % | 1.1 | % | 1.0 | % | (0.9 | %) | 0.1 | % | (0.5 | %) |
• | the amount of interest-earning assets and interest-bearing liabilities; |
• | the interest spread; |
• | the general level of interest rates; and |
• | the proportion of interest-earning assets to interest-bearing liabilities. |
At March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
Short-term prime rate |
1.475 | % | 1.475 | % | 1.475 | % | ||||||
Three-month TIBOR |
0.261 | 0.075 | 0.067 | |||||||||
Ordinary deposit rate |
0.001 | 0.001 | 0.001 | |||||||||
Long-term prime rate |
1.600 | 1.450 | 1.100 | |||||||||
Ten-year swap rate |
0.903 | 0.713 | 0.320 |
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions, except per share data) |
||||||||
Interest income |
¥ | 5,944,398 | ¥ | 3,696,076 | ||||
Interest expense |
4,053,635 | 1,941,006 | ||||||
Net interest income |
1,890,763 | 1,755,070 | ||||||
Fee and commission income |
1,469,847 | 1,262,734 | ||||||
Fee and commission expense |
233,715 | 222,920 | ||||||
Net fee and commission income |
1,236,132 | 1,039,814 | ||||||
Net trading income |
349,520 | 626,043 | ||||||
Net income from financial assets and liabilities at fair value through profit or loss |
323,217 | 173,311 | ||||||
Net investment income |
29,844 | 15,611 | ||||||
Other income |
119,597 | 180,827 | ||||||
Total operating income |
3,949,073 | 3,790,676 | ||||||
Impairment charges on financial assets |
205,096 | 148,464 | ||||||
Net operating income |
3,743,977 | 3,642,212 | ||||||
General and administrative expenses |
2,229,701 | 1,965,417 | ||||||
Other expenses |
466,857 | 502,347 | ||||||
Operating expenses |
2,696,558 | 2,467,764 | ||||||
Share of post-tax profit of associates and joint ventures |
160,370 | 87,428 | ||||||
Profit before tax |
1,207,789 | 1,261,876 | ||||||
Income tax expense |
312,039 | 326,027 | ||||||
Net profit |
¥ | 895,750 | ¥ | 935,849 | ||||
Profit attributable to: |
||||||||
Shareholders of Sumitomo Mitsui Financial Group, Inc. |
¥ | 873,346 | ¥ | 911,831 | ||||
Non-controlling interests |
8,641 | 12,708 | ||||||
Other equity instruments holders |
13,763 | 11,310 | ||||||
Earnings per share: |
||||||||
Basic |
¥ | 657.13 | ¥ | 668.12 | ||||
Diluted |
656.94 | 667.89 |
For the fiscal year ended March 31, |
||||||||||||||||||||||||
2024 |
2023 |
|||||||||||||||||||||||
Average balance (3) |
Interest income |
Average rate |
Average balance (3) |
Interest income |
Average rate |
|||||||||||||||||||
(In millions, except percentages) |
||||||||||||||||||||||||
Interest-earning assets: |
||||||||||||||||||||||||
Interest-earning deposits with banks: |
||||||||||||||||||||||||
Domestic offices |
¥ | 773,938 | ¥ | 7,039 | 0.91 | % | ¥ | 825,919 | ¥ | 8,889 | 1.08 | % | ||||||||||||
Foreign offices |
11,070,392 | 572,765 | 5.17 | % | 10,400,549 | 300,815 | 2.89 | % | ||||||||||||||||
Total |
11,844,330 | 579,804 | 4.90 | % | 11,226,468 | 309,704 | 2.76 | % | ||||||||||||||||
Call loans and bills bought, reverse repurchase agreements and cash collateral on securities borrowed: |
||||||||||||||||||||||||
Domestic offices |
11,379,074 | 79,841 | 0.70 | % | 11,158,315 | 27,777 | 0.25 | % | ||||||||||||||||
Foreign offices |
8,536,516 | 328,524 | 3.85 | % | 6,192,287 | 102,839 | 1.66 | % | ||||||||||||||||
Total |
19,915,590 | 408,365 | 2.05 | % | 17,350,602 | 130,616 | 0.75 | % | ||||||||||||||||
Investment securities (1) : |
||||||||||||||||||||||||
Domestic offices |
18,289,128 | 236,610 | 1.29 | % | 18,999,935 | 82,984 | 0.44 | % | ||||||||||||||||
Foreign offices |
7,843,093 | 257,098 | 3.28 | % | 6,051,591 | 135,027 | 2.23 | % | ||||||||||||||||
Total |
26,132,221 | 493,708 | 1.89 | % | 25,051,526 | 218,011 | 0.87 | % | ||||||||||||||||
Loans and advances (2) : |
||||||||||||||||||||||||
Domestic offices |
69,795,241 | 1,203,417 | 1.72 | % | 66,849,437 | 1,002,229 | 1.50 | % | ||||||||||||||||
Foreign offices |
47,182,431 | 3,259,104 | 6.91 | % | 46,551,468 | 2,035,516 | 4.37 | % | ||||||||||||||||
Total |
116,977,672 | 4,462,521 | 3.81 | % | 113,400,905 | 3,037,745 | 2.68 | % | ||||||||||||||||
Total interest-earning assets: |
||||||||||||||||||||||||
Domestic offices |
100,237,381 | 1,526,907 | 1.52 | % | 97,833,606 | 1,121,879 | 1.15 | % | ||||||||||||||||
Foreign offices |
74,632,432 | 4,417,491 | 5.92 | % | 69,195,895 | 2,574,197 | 3.72 | % | ||||||||||||||||
Total |
¥ | 174,869,813 | ¥ | 5,944,398 | 3.40 | % | ¥ | 167,029,501 | ¥ | 3,696,076 | 2.21 | % | ||||||||||||
For the fiscal year ended March 31, |
||||||||||||||||||||||||
2024 |
2023 |
|||||||||||||||||||||||
Average balance (3) |
Interest expense |
Average rate |
Average balance (3) |
Interest expense |
Average rate |
|||||||||||||||||||
(In millions, except percentages) |
||||||||||||||||||||||||
Interest-bearing liabilities: |
||||||||||||||||||||||||
Deposits: |
||||||||||||||||||||||||
Domestic offices |
¥ | 103,168,004 | ¥ | 217,776 | 0.21 | % | ¥ | 101,243,116 | ¥ | 99,999 | 0.10 | % | ||||||||||||
Foreign offices |
41,198,120 | 1,955,469 | 4.75 | % | 38,080,063 | 968,751 | 2.54 | % | ||||||||||||||||
Total |
144,366,124 | 2,173,245 | 1.51 | % | 139,323,179 | 1,068,750 | 0.77 | % | ||||||||||||||||
Call money and bills sold, repurchase agreements and cash collateral on securities lent: |
||||||||||||||||||||||||
Domestic offices |
12,475,833 | 360,268 | 2.89 | % | 11,764,350 | 108,498 | 0.92 | % | ||||||||||||||||
Foreign offices |
8,390,852 | 448,131 | 5.34 | % | 7,620,598 | 190,693 | 2.50 | % | ||||||||||||||||
Total |
20,866,685 | 808,399 | 3.87 | % | 19,384,948 | 299,191 | 1.54 | % | ||||||||||||||||
Borrowings and other interest- bearing liabilities: |
||||||||||||||||||||||||
Domestic offices |
16,314,414 | 112,145 | 0.69 | % | 16,888,382 | 67,692 | 0.40 | % | ||||||||||||||||
Foreign offices |
1,480,614 | 85,426 | 5.77 | % | 1,152,211 | 58,928 | 5.11 | % | ||||||||||||||||
Total |
17,795,028 | 197,571 | 1.11 | % | 18,040,593 | 126,620 | 0.70 | % | ||||||||||||||||
Debt securities in issue: |
||||||||||||||||||||||||
Domestic offices |
10,362,345 | 609,554 | 5.88 | % | 9,129,232 | 314,173 | 3.44 | % | ||||||||||||||||
Foreign offices |
2,443,321 | 131,215 | 5.37 | % | 2,564,817 | 59,140 | 2.31 | % | ||||||||||||||||
Total |
12,805,666 | 740,769 | 5.78 | % | 11,694,049 | 373,313 | 3.19 | % | ||||||||||||||||
Premiums for deposit insurance and others: |
||||||||||||||||||||||||
Domestic offices |
— | 26,579 | — | — | 20,696 | — | ||||||||||||||||||
Foreign offices |
— | 107,072 | — | — | 52,436 | — | ||||||||||||||||||
Total |
— | 133,651 | — | — | 73,132 | — | ||||||||||||||||||
Total interest-bearing liabilities: |
||||||||||||||||||||||||
Domestic offices |
142,320,596 | 1,326,322 | 0.93 | % | 139,025,080 | 611,058 | 0.44 | % | ||||||||||||||||
Foreign offices |
53,512,907 | 2,727,313 | 5.10 | % | 49,417,689 | 1,329,948 | 2.69 | % | ||||||||||||||||
Total |
¥ | 195,833,503 | ¥ | 4,053,635 | 2.07 | % | ¥ | 188,442,769 | ¥ | 1,941,006 | 1.03 | % | ||||||||||||
Net interest income and interest rate spread |
¥ | 1,890,763 | 1.33 | % | ¥ | 1,755,070 | 1.18 | % | ||||||||||||||||
(1) | Taxable investment securities and non-taxable investment securities are not disclosed separately because the aggregate effect of these average balances and interest income would not be material. In addition, the yields on tax-exempt obligations have not been calculated on a tax equivalent basis because the effect of such calculation would not be material. |
(2) | Loans and advances include impaired loans and advances. The amortized portion of net loan origination fees (costs) is included in interest income on loans and advances. |
(3) | Average balances are generally based on a daily average. Weekly, month-end or quarter-end averages are used for certain average balances where it is not practical to obtain applicable daily averages. The allocations of amounts between domestic and foreign are based on the location of the office. |
Fiscal year ended March 31, 2024 compared to fiscal year ended March 31, 2023 Increase / (decrease) |
||||||||||||
Volume |
Rate |
Net change |
||||||||||
(In millions) |
||||||||||||
Interest income: |
||||||||||||
Interest-earning deposits with banks: |
||||||||||||
Domestic offices |
¥ | (536 | ) | ¥ | (1,314 | ) | ¥ | (1,850 | ) | |||
Foreign offices |
20,511 | 251,439 | 271,950 | |||||||||
Total |
19,975 | 250,125 | 270,100 | |||||||||
Call loans and bills bought, reverse repurchase agreements and cash collateral on securities borrowed: |
||||||||||||
Domestic offices |
563 | 51,501 | 52,064 | |||||||||
Foreign offices |
50,361 | 175,324 | 225,685 | |||||||||
Total |
50,924 | 226,825 | 277,749 | |||||||||
Investment securities: |
||||||||||||
Domestic offices |
(3,242 | ) | 156,868 | 153,626 | ||||||||
Foreign offices |
47,212 | 74,859 | 122,071 | |||||||||
Total |
43,970 | 231,727 | 275,697 | |||||||||
Loans and advances: |
||||||||||||
Domestic offices |
45,684 | 155,504 | 201,188 | |||||||||
Foreign offices |
27,938 | 1,195,650 | 1,223,588 | |||||||||
Total |
73,622 | 1,351,154 | 1,424,776 | |||||||||
Total interest income: |
||||||||||||
Domestic offices |
42,469 | 362,559 | 405,028 | |||||||||
Foreign offices |
146,022 | 1,697,272 | 1,843,294 | |||||||||
Total |
¥ | 188,491 | ¥ | 2,059,831 | ¥ | 2,248,322 | ||||||
Fiscal year ended March 31, 2024 compared to fiscal year ended March 31, 2023 Increase / (decrease) |
||||||||||||
Volume |
Rate |
Net change |
||||||||||
(In millions) |
||||||||||||
Interest expense: |
||||||||||||
Deposits: |
||||||||||||
Domestic offices |
¥ | 1,961 | ¥ | 115,816 | ¥ | 117,777 | ||||||
Foreign offices |
85,126 | 901,592 | 986,718 | |||||||||
Total |
87,087 | 1,017,408 | 1,104,495 | |||||||||
Call money and bills sold, repurchase agreements and cash collateral on securities lent: |
||||||||||||
Domestic offices |
6,931 | 244,839 | 251,770 | |||||||||
Foreign offices |
21,044 | 236,394 | 257,438 | |||||||||
Total |
27,975 | 481,233 | 509,208 | |||||||||
Borrowings and other interest-bearing liabilities: |
||||||||||||
Domestic offices |
(2,370 | ) | 46,823 | 44,453 | ||||||||
Foreign offices |
18,273 | 8,225 | 26,498 | |||||||||
Total |
15,903 | 55,048 | 70,951 | |||||||||
Debt securities in issue: |
||||||||||||
Domestic offices |
35,548 | 259,833 | 295,381 | |||||||||
Foreign offices |
(6,304 | ) | 78,379 | 72,075 | ||||||||
Total |
29,244 | 338,212 | 367,456 | |||||||||
Premiums for deposit insurance and others: |
||||||||||||
Domestic offices |
5,883 | — | 5,883 | |||||||||
Foreign offices |
54,636 | — | 54,636 | |||||||||
Total |
60,519 | — | 60,519 | |||||||||
Total interest expense: |
||||||||||||
Domestic offices |
47,953 | 667,311 | 715,264 | |||||||||
Foreign offices |
172,775 | 1,224,590 | 1,397,365 | |||||||||
Total |
¥ | 220,728 | ¥ | 1,891,901 | ¥ | 2,112,629 | ||||||
Net interest income: |
||||||||||||
Domestic offices |
¥ | (5,484 | ) | ¥ | (304,752 | ) | ¥ | (310,236 | ) | |||
Foreign offices |
(26,753 | ) | 472,682 | 445,929 | ||||||||
Total |
¥ | (32,237 | ) | ¥ | 167,930 | ¥ | 135,693 | |||||
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Fee and commission income from: |
||||||||
Loans |
¥ | 160,758 | ¥ | 145,078 | ||||
Credit card business |
432,983 | 380,345 | ||||||
Guarantees |
82,323 | 71,612 | ||||||
Securities-related business |
196,019 | 119,403 | ||||||
Deposits |
18,437 | 18,230 | ||||||
Remittances and transfers |
152,121 | 146,507 | ||||||
Safe deposits |
4,321 | 4,228 | ||||||
Trust fees |
8,195 | 6,753 | ||||||
Investment trusts |
166,532 | 144,940 | ||||||
Agency |
9,538 | 9,368 | ||||||
Others |
238,620 | 216,270 | ||||||
Total fee and commission income |
1,469,847 | 1,262,734 | ||||||
Fee and commission expense from: |
||||||||
Remittances and transfers |
30,197 | 28,885 | ||||||
Others |
203,518 | 194,035 | ||||||
Total fee and commission expense |
233,715 | 222,920 | ||||||
Net fee and commission income |
¥ | 1,236,132 | ¥ | 1,039,814 | ||||
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Net trading income: |
||||||||
Interest rate |
¥ | 179,954 | ¥ | 351,815 | ||||
Foreign exchange |
148,064 | 317,203 | ||||||
Equity |
26,626 | (40,691 | ) | |||||
Credit |
(4,668 | ) | (3,902 | ) | ||||
Others |
(456 | ) | 1,618 | |||||
Total net trading income |
¥ | 349,520 | ¥ | 626,043 | ||||
Net income from financial assets and liabilities at fair value through profit or loss: |
||||||||
Net income from financial assets mandatorily at fair value through profit or loss: |
||||||||
Net income from debt instruments |
¥ | 328,657 | ¥ | 115,291 | ||||
Net income from equity instruments |
6,062 | 1,439 | ||||||
Net income (loss) from financial liabilities designated at fair value through profit or loss |
(11,502 | ) | 56,581 | |||||
Total net income from financial assets and liabilities at fair value through profit or loss |
¥ | 323,217 | ¥ | 173,311 | ||||
Net investment income: |
||||||||
Net loss from disposal of debt instruments |
¥ | (85,823 | ) | ¥ | (89,150 | ) | ||
Dividend income |
115,667 | 104,761 | ||||||
Total net investment income |
¥ | 29,844 | ¥ | 15,611 | ||||
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Loans and advances |
¥ | 222,894 | ¥ | 138,176 | ||||
Loan commitments |
(13,875 | ) | 8,016 | |||||
Financial guarantees |
(3,923 | ) | 2,272 | |||||
Total impairment charges on financial assets |
¥ | 205,096 | ¥ | 148,464 | ||||
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Personnel expenses |
¥ | 1,028,875 | ¥ | 922,452 | ||||
Depreciation and amortization |
276,534 | 262,702 | ||||||
Building and maintenance expenses |
8,992 | 7,847 | ||||||
Supplies expenses |
17,101 | 14,571 | ||||||
Communication expenses |
31,650 | 31,182 | ||||||
Publicity and advertising expenses |
172,807 | 143,500 | ||||||
Taxes and dues |
100,428 | 84,020 | ||||||
Outsourcing expenses |
144,994 | 123,293 | ||||||
Office equipment expenses |
81,430 | 70,151 | ||||||
Others |
366,890 | 305,699 | ||||||
Total general and administrative expenses |
¥ | 2,229,701 | ¥ | 1,965,417 | ||||
Wholesale Business Unit |
Retail Business Unit |
Global Business Unit |
Global Markets Business Unit |
Head office account and others |
Total |
|||||||||||||||||||
(In billions) |
||||||||||||||||||||||||
Consolidated gross profit (1) |
¥ | 835.2 | ¥ | 1,290.0 | ¥ | 1,375.9 | ¥ | 526.2 | ¥ | (288.5 | ) | ¥ | 3,738.8 | |||||||||||
General and administrative expenses |
(311.0 | ) | (1,079.9 | ) | (809.3 | ) | (165.3 | ) | 114.9 | (2,250.6 | ) | |||||||||||||
Others (2) |
107.9 | 5.6 | 78.3 | 29.0 | (148.8 | ) | 72.0 | |||||||||||||||||
Consolidated net business profit |
¥ | 632.1 | ¥ | 215.7 | ¥ | 644.9 | ¥ | 389.9 | ¥ | (322.4 | ) | ¥ | 1,560.2 | |||||||||||
For the fiscal year ended March 31, 2023: |
||||||||||||||||||||||||
Wholesale Business Unit |
Retail Business Unit |
Global Business Unit |
Global Markets Business Unit |
Head office account and others |
Total |
|||||||||||||||||||
(In billions) |
||||||||||||||||||||||||
Consolidated gross profit (1) |
¥ | 742.0 | ¥ | 1,170.0 | ¥ | 1,216.2 | ¥ | 461.8 | ¥ | (419.8 | ) | ¥ | 3,170.2 | |||||||||||
General and administrative expenses |
(286.2 | ) | (996.7 | ) | (708.0 | ) | (150.5 | ) | 192.2 | (1,949.2 | ) | |||||||||||||
Others (2) |
101.5 | 4.7 | 15.5 | 28.8 | (95.1 | ) | 55.4 | |||||||||||||||||
Consolidated net business profit |
¥ | 557.3 | ¥ | 178.0 | ¥ | 523.7 | ¥ | 340.1 | ¥ | (322.7 | ) | ¥ | 1,276.4 | |||||||||||
(1) | Consolidated gross profit = (Interest income – Interest expenses) + Trust fees + (Fee and commission income – Fee and commission expenses) + (Trading income – Trading losses) + (Other operating income – Other operating expenses). |
(2) | “Others” includes share of profit or loss of equity-method associates and joint ventures and cooperated profit and loss, that is, profit and loss double counted within our business segments in the managerial accounting. |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Cash and deposits with banks |
¥ | 78,750,443 | ¥ | 76,465,511 | ||||
Call loans and bills bought |
5,336,280 | 5,684,812 | ||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
14,148,667 | 11,024,084 | ||||||
Trading assets |
6,512,061 | 4,585,915 | ||||||
Derivative financial instruments |
9,909,272 | 8,649,947 | ||||||
Financial assets at fair value through profit or loss |
2,376,129 | 1,488,239 | ||||||
Investment securities |
30,149,837 | 27,595,598 | ||||||
Loans and advances |
121,716,465 | 111,891,134 | ||||||
Investments in associates and joint ventures |
1,552,645 | 1,141,250 | ||||||
Property, plant and equipment |
1,347,093 | 1,832,241 | ||||||
Intangible assets |
1,025,548 | 905,028 | ||||||
Other assets |
8,327,942 | 6,167,202 | ||||||
Current tax assets |
61,175 | 190,267 | ||||||
Deferred tax assets |
58,080 | 65,810 | ||||||
Total assets |
¥ | 281,271,637 | ¥ | 257,687,038 | ||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Manufacturing |
¥ | 11,280,268 | ¥ | 10,654,680 | ||||
Agriculture, forestry, fisheries and mining |
243,528 | 379,701 | ||||||
Construction |
1,107,013 | 949,426 | ||||||
Transportation, communications and public enterprises |
6,320,575 | 6,464,350 | ||||||
Wholesale and retail |
6,222,405 | 6,143,314 | ||||||
Finance and insurance |
3,877,554 | 3,901,580 | ||||||
Real estate and goods rental and leasing |
16,921,046 | 15,604,512 | ||||||
Services |
5,449,640 | 4,896,764 | ||||||
Municipalities |
573,667 | 687,606 | ||||||
Lease financing |
48,492 | 12,712 | ||||||
Consumer (1) |
16,426,993 | 15,886,487 | ||||||
Others (2) |
2,691,225 | 2,109,447 | ||||||
Total domestic |
¥ | 71,162,406 | ¥ | 67,690,579 | ||||
(1) | The balance in Consumer mainly consists of housing loans. The housing loan balances amounted to ¥11,008,530 million and ¥10,784,572 million at March 31, 2024 and 2023, respectively. |
(2) | The balance in Others includes loans and advances to the Government of Japan. |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Public sector |
¥ | 598,598 | ¥ | 291,238 | ||||
Financial institutions |
10,874,863 | 9,283,249 | ||||||
Commerce and industry |
33,669,222 | 30,369,262 | ||||||
Lease financing |
276,063 | 295,199 | ||||||
Others |
6,604,968 | 5,214,300 | ||||||
Total foreign |
¥ | 52,023,714 | ¥ | 45,453,248 | ||||
At March 31, 2024 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit- impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Allowance for loan losses: |
||||||||||||||||
Balance at April 1, 2023 |
¥ | 187,455 | ¥ | 240,494 | ¥ | 436,165 | ¥ | 864,114 | ||||||||
Net transfers between stages |
(4,779 | ) | (9,283 | ) | 14,062 | — | ||||||||||
Provision for loan losses |
2,428 | 15,774 | 204,692 | 222,894 | ||||||||||||
Charge-offs (1) |
— | — | 184,608 | 184,608 | ||||||||||||
Recoveries |
— | — | 16,904 | 16,904 | ||||||||||||
Net charge-offs |
— | — | 167,704 | 167,704 | ||||||||||||
Others (2) |
11,221 | 10,557 | 37,918 | 59,696 | ||||||||||||
Balance at March 31, 2024 |
¥ | 196,325 | ¥ | 257,542 | ¥ | 525,133 | ¥ | 979,000 | ||||||||
At March 31, 2023 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit- impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Allowance for loan losses: |
||||||||||||||||
Balance at April 1, 2022 |
¥ | 162,919 | ¥ | 247,020 | ¥ | 583,115 | ¥ | 993,054 | ||||||||
Net transfers between stages |
(11,154 | ) | (10,157 | ) | 21,311 | — | ||||||||||
Provision (credit) for loan losses |
29,264 | (5,591 | ) | 114,503 | 138,176 | |||||||||||
Charge-offs (1) |
— | — | 310,284 | 310,284 | ||||||||||||
Recoveries |
— | — | 16,948 | 16,948 | ||||||||||||
Net charge-offs |
— | — | 293,336 | 293,336 | ||||||||||||
Others (2) |
6,426 | 9,222 | 10,572 | 26,220 | ||||||||||||
Balance at March 31, 2023 |
¥ | 187,455 | ¥ | 240,494 | ¥ | 436,165 | ¥ | 864,114 | ||||||||
(1) | Charge-offs consist of the reduction of the allowance through the sales of loans and write-offs. |
(2) | Others mainly include foreign exchange translations for the fiscal years ended March 31, 2024 and 2023. |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Potentially bankrupt, virtually bankrupt and bankrupt (loans and advances): |
||||||||
Domestic: |
||||||||
Manufacturing |
¥ | 87,636 | ¥ | 47,760 | ||||
Agriculture, forestry, fisheries and mining |
1,939 | 2,415 | ||||||
Construction |
6,733 | 7,085 | ||||||
Transportation, communications and public enterprises |
29,069 | 47,951 | ||||||
Wholesale and retail |
75,109 | 55,636 | ||||||
Finance and insurance |
148 | 1,412 | ||||||
Real estate and goods rental and leasing |
25,541 | 30,191 | ||||||
Services |
135,939 | 78,124 | ||||||
Consumer |
135,310 | 128,853 | ||||||
Others |
8,887 | 6,539 | ||||||
Total domestic |
506,311 | 405,966 | ||||||
Foreign: |
||||||||
Financial institutions |
10,254 | 18,048 | ||||||
Commerce and industry |
388,047 | 281,326 | ||||||
Others |
70,674 | 31,609 | ||||||
Total foreign |
468,975 | 330,983 | ||||||
Total |
975,286 | 736,949 | ||||||
Past due three months or more (loans): |
||||||||
Domestic |
47,350 | 29,589 | ||||||
Foreign |
26,954 | 3,962 | ||||||
Total |
74,304 | 33,551 | ||||||
Restructured (loans): |
||||||||
Domestic |
196,398 | 199,370 | ||||||
Foreign |
43,680 | 94,443 | ||||||
Total |
240,078 | 293,813 | ||||||
Other impaired (loans and advances): |
||||||||
Domestic |
39,041 | 103,206 | ||||||
Foreign |
9,735 | 3,143 | ||||||
Total |
48,776 | 106,349 | ||||||
Gross impaired loans and advances |
1,338,444 | 1,170,662 | ||||||
Less: Allowance for loan losses for impaired loans and advances |
(525,133 | ) | (436,165 | ) | ||||
Net impaired loans and advances |
¥ | 813,311 | ¥ | 734,497 | ||||
At March 31, 2024 |
||||||||||||||||
Amortized cost (1) |
Gross unrealized gains |
Gross unrealized losses |
Fair value |
|||||||||||||
(In millions) |
||||||||||||||||
Debt instruments at amortized cost: |
||||||||||||||||
Domestic: |
||||||||||||||||
Japanese government bonds |
¥ | 78,561 | ¥ | — | ¥ | 466 | ¥ | 78,095 | ||||||||
Japanese municipal bonds |
142,557 | 28 | 966 | 141,619 | ||||||||||||
Japanese corporate bonds |
12,977 | 14 | 15 | 12,976 | ||||||||||||
Total domestic |
234,095 | 42 | 1,447 | 232,690 | ||||||||||||
Foreign: |
||||||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
77,578 | 204 | 126 | 77,656 | ||||||||||||
Mortgage-backed securities |
2,703 | 16 | 10 | 2,709 | ||||||||||||
Other debt instruments |
2,016 | 6 | — | 2,022 | ||||||||||||
Total foreign |
82,297 | 226 | 136 | 82,387 | ||||||||||||
Total |
¥ | 316,392 | ¥ | 268 | ¥ | 1,583 | ¥ | 315,077 | ||||||||
Debt instruments at fair value through other comprehensive income: |
||||||||||||||||
Domestic: |
||||||||||||||||
Japanese government bonds |
¥ | 7,601,999 | ¥ | 88 | ¥ | 54,710 | ¥ | 7,547,377 | ||||||||
Japanese municipal bonds |
1,075,879 | 1 | 22,548 | 1,053,332 | ||||||||||||
Japanese corporate bonds |
823,255 | 2 | 28,337 | 794,920 | ||||||||||||
Other debt instruments |
316 | — | — | 316 | ||||||||||||
Total domestic |
9,501,449 | 91 | 105,595 | 9,395,945 | ||||||||||||
Foreign: |
||||||||||||||||
U.S. Treasury and other U.S. government agency bonds |
6,505,963 | 2,207 | 446,045 | 6,062,125 | ||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
4,244,042 | 6,174 | 105,881 | 4,144,335 | ||||||||||||
Mortgage-backed securities |
3,725,055 | 13,290 | 192,780 | 3,545,565 | ||||||||||||
Other debt instruments |
866,513 | 2,460 | 759 | 868,214 | ||||||||||||
Total foreign |
15,341,573 | 24,131 | 745,465 | 14,620,239 | ||||||||||||
Total |
¥ | 24,843,022 | ¥ | 24,222 | ¥ | 851,060 | ¥ | 24,016,184 | ||||||||
Equity instruments at fair value through other comprehensive income: |
||||||||||||||||
Domestic equity instruments |
¥ | 1,201,054 | ¥ | 3,216,866 | ¥ | 19,010 | ¥ | 4,398,910 | ||||||||
Foreign equity instruments |
309,457 | 1,154,722 | 45,828 | 1,418,351 | ||||||||||||
Total |
¥ | 1,510,511 | ¥ | 4,371,588 | ¥ | 64,838 | ¥ | 5,817,261 | ||||||||
At March 31, 2023 |
||||||||||||||||
Amortized cost (1) |
Gross unrealized gains |
Gross unrealized losses |
Fair value |
|||||||||||||
(In millions) |
||||||||||||||||
Debt instruments at amortized cost: |
||||||||||||||||
Domestic: |
||||||||||||||||
Japanese government bonds |
¥ | 72,549 | ¥ | 2 | ¥ | 32 | ¥ | 72,519 | ||||||||
Japanese municipal bonds |
93,044 | 113 | 468 | 92,689 | ||||||||||||
Total domestic |
165,593 | 115 | 500 | 165,208 | ||||||||||||
Foreign: |
||||||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
68,121 | 375 | 50 | 68,446 | ||||||||||||
Other debt instruments |
1,853 | 34 | — | 1,887 | ||||||||||||
Total foreign |
69,974 | 409 | 50 | 70,333 | ||||||||||||
Total |
¥ | 235,567 | ¥ | 524 | ¥ | 550 | ¥ | 235,541 | ||||||||
Debt instruments at fair value through other comprehensive income: |
||||||||||||||||
Domestic: |
||||||||||||||||
Japanese government bonds |
¥ | 9,612,190 | ¥ | 2,449 | ¥ | 38,341 | ¥ | 9,576,298 | ||||||||
Japanese municipal bonds |
1,106,862 | 10 | 19,247 | 1,087,625 | ||||||||||||
Japanese corporate bonds |
963,913 | 187 | 17,374 | 946,726 | ||||||||||||
Other debt instruments |
312 | — | — | 312 | ||||||||||||
Total domestic |
11,683,277 | 2,646 | 74,962 | 11,610,961 | ||||||||||||
Foreign: |
||||||||||||||||
U.S. Treasury and other U.S. government agency bonds |
5,690,346 | 3,377 | 461,267 | 5,232,456 | ||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
3,101,964 | 767 | 111,459 | 2,991,272 | ||||||||||||
Mortgage-backed securities |
2,507,683 | 11,259 | 139,692 | 2,379,250 | ||||||||||||
Other debt instruments |
600,675 | 547 | 3,738 | 597,484 | ||||||||||||
Total foreign |
11,900,668 | 15,950 | 716,156 | 11,200,462 | ||||||||||||
Total |
¥ | 23,583,945 | ¥ | 18,596 | ¥ | 791,118 | ¥ | 22,811,423 | ||||||||
Equity instruments at fair value through other comprehensive income: |
||||||||||||||||
Domestic equity instruments |
¥ | 1,336,995 | ¥ | 2,310,239 | ¥ | 59,270 | ¥ | 3,587,964 | ||||||||
Foreign equity instruments |
263,612 | 730,789 | 33,757 | 960,644 | ||||||||||||
Total |
¥ | 1,600,607 | ¥ | 3,041,028 | ¥ | 93,027 | ¥ | 4,548,608 | ||||||||
(1) | “Amortized cost” for equity instruments at fair value through other comprehensive income represents the difference between the fair value and gross unrealized gains or losses. |
At March 31, 2024 |
||||||||||||||||||||||||
Less than twelve months |
Twelve months or more |
Total |
||||||||||||||||||||||
Fair value |
Gross unrealized losses |
Fair value |
Gross unrealized losses |
Fair value |
Gross unrealized losses |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Debt instruments at amortized cost: |
||||||||||||||||||||||||
Domestic: |
||||||||||||||||||||||||
Japanese government bonds |
¥ | 78,095 | ¥ | 466 | ¥ | — | ¥ | — | ¥ | 78,095 | ¥ | 466 | ||||||||||||
Japanese municipal bonds |
85,383 | 365 | 39,208 | 601 | 124,591 | 966 | ||||||||||||||||||
Japanese corporate bonds |
4,976 | 15 | — | — | 4,976 | 15 | ||||||||||||||||||
Total domestic |
168,454 | 846 | 39,208 | 601 | 207,662 | 1,447 | ||||||||||||||||||
Foreign: |
||||||||||||||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
5,848 | 64 | 16,035 | 62 | 21,883 | 126 | ||||||||||||||||||
Mortgage-backed securities |
1,551 | 10 | — | — | 1,551 | 10 | ||||||||||||||||||
Other debt instruments |
— | — | — | — | — | — | ||||||||||||||||||
Total foreign |
7,399 | 74 | 16,035 | 62 | 23,434 | 136 | ||||||||||||||||||
Total |
¥ | 175,853 | ¥ | 920 | ¥ | 55,243 | ¥ | 663 | ¥ | 231,096 | ¥ | 1,583 | ||||||||||||
Debt instruments at fair value through other comprehensive income: |
||||||||||||||||||||||||
Domestic: |
||||||||||||||||||||||||
Japanese government bonds |
¥ | 5,904,315 | ¥ | 3,219 | ¥ | 1,623,290 | ¥ | 51,491 | ¥ | 7,527,605 | ¥ | 54,710 | ||||||||||||
Japanese municipal bonds |
14,505 | 23 | 1,038,729 | 22,525 | 1,053,234 | 22,548 | ||||||||||||||||||
Japanese corporate bonds |
26,442 | 176 | 735,491 | 28,161 | 761,933 | 28,337 | ||||||||||||||||||
Other debt instruments |
— | — | — | — | — | — | ||||||||||||||||||
Total domestic |
5,945,262 | 3,418 | 3,397,510 | 102,177 | 9,342,772 | 105,595 | ||||||||||||||||||
Foreign: |
||||||||||||||||||||||||
U.S. Treasury and other U.S. government agency bonds |
2,120,207 | 25,473 | 3,658,559 | 420,572 | 5,778,766 | 446,045 | ||||||||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
2,041,737 | 3,911 | 494,944 | 101,970 | 2,536,681 | 105,881 | ||||||||||||||||||
Mortgage-backed securities |
1,236,761 | 10,088 | 1,062,246 | 182,692 | 2,299,007 | 192,780 | ||||||||||||||||||
Other debt instruments |
280,780 | 742 | 9,983 | 17 | 290,763 | 759 | ||||||||||||||||||
Total foreign |
5,679,485 | 40,214 | 5,225,732 | 705,251 | 10,905,217 | 745,465 | ||||||||||||||||||
Total |
¥ | 11,624,747 | ¥ | 43,632 | ¥ | 8,623,242 | ¥ | 807,428 | ¥ | 20,247,989 | ¥ | 851,060 | ||||||||||||
Equity instruments at fair value through other comprehensive income: |
||||||||||||||||||||||||
Domestic equity instruments |
¥ | 5,672 | ¥ | 549 | ¥ | 33,095 | ¥ | 18,461 | ¥ | 38,767 | ¥ | 19,010 | ||||||||||||
Foreign equity instruments |
1,014 | 419 | 37,605 | 45,409 | 38,619 | 45,828 | ||||||||||||||||||
Total |
¥ | 6,686 | ¥ | 968 | ¥ | 70,700 | ¥ | 63,870 | ¥ | 77,386 | ¥ | 64,838 | ||||||||||||
At March 31, 2023 |
||||||||||||||||||||||||
Less than twelve months |
Twelve months or more |
Total |
||||||||||||||||||||||
Fair value |
Gross unrealized losses |
Fair value |
Gross unrealized losses |
Fair value |
Gross unrealized losses |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Debt instruments at amortized cost: |
||||||||||||||||||||||||
Domestic: |
||||||||||||||||||||||||
Japanese government bonds |
¥ | 67,522 | ¥ | 32 | ¥ | — | ¥ | — | ¥ | 67,522 | ¥ | 32 | ||||||||||||
Japanese municipal bonds |
37,976 | 81 | 25,355 | 387 | 63,331 | 468 | ||||||||||||||||||
Total domestic |
105,498 | 113 | 25,355 | 387 | 130,853 | 500 | ||||||||||||||||||
Foreign: |
||||||||||||||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
6,290 | 50 | — | — | 6,290 | 50 | ||||||||||||||||||
Other debt instruments |
— | — | — | — | — | — | ||||||||||||||||||
Total foreign |
6,290 | 50 | — | — | 6,290 | 50 | ||||||||||||||||||
Total |
¥ | 111,788 | ¥ | 163 | ¥ | 25,355 | ¥ | 387 | ¥ | 137,143 | ¥ | 550 | ||||||||||||
Debt instruments at fair value through other comprehensive income: |
||||||||||||||||||||||||
Domestic: |
||||||||||||||||||||||||
Japanese government bonds |
¥ | 1,862,342 | ¥ | 240 | ¥ | 2,371,765 | ¥ | 38,101 | ¥ | 4,234,107 | ¥ | 38,341 | ||||||||||||
Japanese municipal bonds |
26,288 | 386 | 1,031,020 | 18,861 | 1,057,308 | 19,247 | ||||||||||||||||||
Japanese corporate bonds |
51,747 | 884 | 728,026 | 16,490 | 779,773 | 17,374 | ||||||||||||||||||
Other debt instruments |
— | — | — | — | — | — | ||||||||||||||||||
Total domestic |
1,940,377 | 1,510 | 4,130,811 | 73,452 | 6,071,188 | 74,962 | ||||||||||||||||||
Foreign: |
||||||||||||||||||||||||
U.S. Treasury and other U.S. government agency bonds |
2,228,676 | 82,189 | 2,694,198 | 379,078 | 4,922,874 | 461,267 | ||||||||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
1,954,081 | 4,666 | 497,300 | 106,793 | 2,451,381 | 111,459 | ||||||||||||||||||
Mortgage-backed securities |
277,156 | 5,008 | 772,299 | 134,684 | 1,049,455 | 139,692 | ||||||||||||||||||
Other debt instruments |
239,798 | 1,362 | 132,854 | 2,376 | 372,652 | 3,738 | ||||||||||||||||||
Total foreign |
4,699,711 | 93,225 | 4,096,651 | 622,931 | 8,796,362 | 716,156 | ||||||||||||||||||
Total |
¥ | 6,640,088 | ¥ | 94,735 | ¥ | 8,227,462 | ¥ | 696,383 | ¥ | 14,867,550 | ¥ | 791,118 | ||||||||||||
Equity instruments at fair value through other comprehensive income: |
||||||||||||||||||||||||
Domestic equity instruments |
¥ | 148,021 | ¥ | 15,374 | ¥ | 112,651 | ¥ | 43,896 | ¥ | 260,672 | ¥ | 59,270 | ||||||||||||
Foreign equity instruments |
55,586 | 28,578 | 7,413 | 5,179 | 62,999 | 33,757 | ||||||||||||||||||
Total |
¥ | 203,607 | ¥ | 43,952 | ¥ | 120,064 | ¥ | 49,075 | ¥ | 323,671 | ¥ | 93,027 | ||||||||||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Debt instruments |
¥ | 5,674,162 | ¥ | 4,229,845 | ||||
Equity instruments |
837,899 | 356,070 | ||||||
Total trading assets |
¥ | 6,512,061 | ¥ | 4,585,915 | ||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Debt instruments |
¥ | 2,293,049 | ¥ | 1,392,889 | ||||
Equity instruments |
83,080 | 95,350 | ||||||
Total financial assets at fair value through profit or loss |
¥ | 2,376,129 | ¥ | 1,488,239 | ||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Deposits |
¥ | 182,097,319 | ¥ | 172,927,810 | ||||
Call money and bills sold |
3,138,049 | 2,569,056 | ||||||
Repurchase agreements and cash collateral on securities lent |
20,166,958 | 17,786,026 | ||||||
Trading liabilities |
4,924,490 | 3,291,089 | ||||||
Derivative financial instruments |
11,877,473 | 10,496,855 | ||||||
Financial liabilities designated at fair value through profit or loss |
498,284 | 414,106 | ||||||
Borrowings |
16,107,158 | 15,371,801 | ||||||
Debt securities in issue |
14,075,084 | 11,984,994 | ||||||
Provisions |
231,319 | 247,344 | ||||||
Other liabilities |
11,025,782 | 8,703,413 | ||||||
Current tax liabilities |
170,284 | 41,649 | ||||||
Deferred tax liabilities |
680,339 | 315,930 | ||||||
Total liabilities |
¥ | 264,992,539 | ¥ | 244,150,073 | ||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Domestic offices: |
||||||||
Non-interest-bearing demand deposits |
¥ | 34,511,806 | ¥ | 30,778,301 | ||||
Interest-bearing demand deposits |
74,426,922 | 70,401,409 | ||||||
Deposits at notice |
690,015 | 828,110 | ||||||
Time deposits |
16,551,537 | 17,245,011 | ||||||
Negotiable certificates of deposit |
3,583,425 | 4,470,206 | ||||||
Others |
8,500,540 | 9,058,983 | ||||||
Total domestic offices |
138,264,245 | 132,782,020 | ||||||
Foreign offices: |
||||||||
Non-interest-bearing demand deposits |
3,027,357 | 2,771,762 | ||||||
Interest-bearing demand deposits |
5,811,763 | 4,783,003 | ||||||
Deposits at notice |
12,443,021 | 13,618,520 | ||||||
Time deposits |
11,332,102 | 10,278,686 | ||||||
Negotiable certificates of deposit |
11,088,851 | 8,555,350 | ||||||
Others |
129,980 | 138,469 | ||||||
Total foreign offices |
43,833,074 | 40,145,790 | ||||||
Total deposits |
¥ | 182,097,319 | ¥ | 172,927,810 | ||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Unsubordinated borrowings |
¥ | 14,356,932 | ¥ | 13,532,217 | ||||
Subordinated borrowings |
159,427 | 186,218 | ||||||
Liabilities associated with securitization transactions |
1,168,156 | 1,236,369 | ||||||
Lease liabilities |
422,643 | 416,997 | ||||||
Total borrowings |
¥ | 16,107,158 | ¥ | 15,371,801 | ||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Commercial paper |
¥ | 3,324,405 | ¥ | 2,585,889 | ||||
Unsubordinated bonds |
9,306,487 | 8,285,355 | ||||||
Subordinated bonds |
1,444,192 | 1,113,750 | ||||||
Total debt securities in issue |
¥ | 14,075,084 | ¥ | 11,984,994 | ||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Capital stock |
¥ | 2,344,038 | ¥ | 2,342,537 | ||||
Capital surplus |
663,265 | 645,774 | ||||||
Retained earnings |
7,769,222 | 7,199,479 | ||||||
Treasury stock |
(167,671 | ) | (151,799 | ) | ||||
Equity excluding other reserves |
10,608,854 | 10,035,991 | ||||||
Other reserves |
4,070,834 | 2,629,000 | ||||||
Equity attributable to shareholders of Sumitomo Mitsui Financial Group, Inc. |
14,679,688 | 12,664,991 | ||||||
Non-controlling interests |
137,066 | 106,172 | ||||||
Equity attributable to other equity instruments holders |
1,462,344 | 765,802 | ||||||
Total equity |
¥ | 16,279,098 | ¥ | 13,536,965 | ||||
At and for the fiscal year ended March 31, 2024 |
||||||||
Total equity |
Net profit |
|||||||
(In millions) |
||||||||
IFRS |
¥ | 16,279,098 | ¥ | 895,750 | ||||
Differences arising from different accounting for: |
||||||||
1. Scope of consolidation |
93,591 | (7,411 | ) | |||||
2. Derivative financial instruments |
(520,008 | ) | 111,589 | |||||
3. Investment securities |
(489,993 | ) | 43,390 | |||||
4. Loans and advances |
434,847 | (2,444 | ) | |||||
5. Investments in associates and joint ventures |
239,217 | 20,174 | ||||||
6. Property, plant and equipment |
(4,832 | ) | (22,675 | ) | ||||
7. Lease accounting |
4,984 | 1,918 | ||||||
8. Defined benefit plans |
370,144 | 53,840 | ||||||
9. Deferred tax assets |
(70,839 | ) | (6,576 | ) | ||||
10. Foreign currency translation |
— | 32,232 | ||||||
11. Classification of equity and liability |
(1,473,800 | ) | (18,867 | ) | ||||
Others |
(101,019 | ) | (77,186 | ) | ||||
Tax effect of the above |
38,578 | (55,047 | ) | |||||
Japanese GAAP |
¥ | 14,799,968 | ¥ | 968,687 | ||||
1. |
Scope of consolidation |
2. |
Derivative financial instruments |
3. |
Investment securities |
4. |
Loans and advances |
5. |
Investments in associates and joint ventures |
6. |
Property, plant and equipment |
7. |
Lease accounting |
8. |
Defined benefit plans |
9. |
Deferred tax assets |
10. |
Foreign currency translation |
11. |
Classification of equity and liability |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Loans and advances |
¥ | 121,716,465 | ¥ | 111,891,134 | ||||
Deposits |
182,097,319 | 172,927,810 |
At May 31, 2024 | ||||||||||||||||
Moody’s |
S&P |
Fitch | ||||||||||||||
Long-term |
Outlook |
Short-term |
Long-term |
Outlook |
Short-term |
Long-term |
Outlook |
Short-term | ||||||||
A1 |
S | P-1 |
A- | S | — | A- | S | F1 |
At May 31, 2024 | ||||||||||||||||
Moody’s |
S&P |
Fitch | ||||||||||||||
Long-term |
Outlook |
Short-term |
Long-term |
Outlook |
Short-term |
Long-term |
Outlook |
Short-term | ||||||||
A1 |
S | P-1 |
A | S | A-1 |
A | S | F1 |
For the three months ended March 31, 2024 (1) |
||||
SMFG (consolidated) |
131.2 | % | ||
SMBC (consolidated) |
136.0 | % | ||
SMBC (nonconsolidated) |
140.1 | % |
(1) | Under the FSA’s LCR guidelines, the LCR for the three months ended March 31, 2024 is set as the three-month average of daily LCRs for the same three months, which is calculated by dividing the balance of high-quality liquid assets by the total net cash outflows on a daily basis for the same three months. |
At March 31, 2024 (1) |
||||
SMFG (consolidated) |
117.8 | % | ||
SMBC (consolidated) |
127.3 | % | ||
SMBC (nonconsolidated) |
125.4 | % |
(1) | Under the FSA’s NSFR guidelines, the NSFR is calculated by dividing the available amount of stable funding by the required amount of stable funding. |
At March 31, 2024 |
||||
(In billions, except percentages) |
||||
SMFG Consolidated: |
||||
Total risk-weighted capital ratio |
15.29 | % | ||
Tier 1 risk-weighted capital ratio |
14.33 | % | ||
Common Equity Tier 1 risk-weighted capital ratio |
12.91 | % | ||
Total capital (Common Equity Tier 1 capital + Additional Tier 1 capital + Tier 2 capital) |
¥ | 14,197.9 | ||
Tier 1 capital (Common Equity Tier 1 capital + Additional Tier 1 capital) |
13,311.6 | |||
Common Equity Tier 1 capital |
11,992.6 | |||
Risk-weighted assets |
92,848.6 | |||
The amount of minimum total capital requirements (1) |
7,427.9 | |||
Leverage ratio |
5.27 | % |
(1) | The amount of minimum total capital requirements is calculated by multiplying risk-weighted assets by 8%. |
At March 31, 2024 |
||||
(In billions, except percentages) |
||||
SMBC Consolidated: |
||||
Total risk-weighted capital ratio |
16.11 | % | ||
Tier 1 risk-weighted capital ratio |
14.80 | % | ||
Common Equity Tier 1 risk-weighted capital ratio |
12.42 | % | ||
Total capital (Common Equity Tier 1 capital + Additional Tier 1 capital + Tier 2 capital) |
¥ | 12,998.7 | ||
Tier 1 capital (Common Equity Tier 1 capital + Additional Tier 1 capital) |
11,937.9 | |||
Common Equity Tier 1 capital |
10,021.5 | |||
Risk-weighted assets |
80,641.3 | |||
The amount of minimum total capital requirements (1) |
6,451.3 | |||
Leverage ratio |
5.19 | % | ||
SMBC Nonconsolidated: |
||||
Total risk-weighted capital ratio |
14.27 | % | ||
Tier 1 risk-weighted capital ratio |
12.86 | % | ||
Common Equity Tier 1 risk-weighted capital ratio |
10.35 | % | ||
Total capital (Common Equity Tier 1 capital + Additional Tier 1 capital + Tier 2 capital) |
¥ | 10,638.1 | ||
Tier 1 capital (Common Equity Tier 1 capital + Additional Tier 1 capital) |
9,583.2 | |||
Common Equity Tier 1 capital |
7,713.8 | |||
Risk-weighted assets |
74,498.6 | |||
The amount of minimum total capital requirements (1) |
5,959.9 |
(1) | The amount of minimum total capital requirements is calculated by multiplying risk-weighted assets by 8%. |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Loan commitments |
¥ | 88,926,181 | ¥ | 79,068,816 | ||||
Financial guarantees and other credit-related contingent liabilities |
14,869,558 | 13,693,772 | ||||||
Total |
¥ | 103,795,739 | ¥ | 92,762,588 | ||||
At March 31, 2024 |
||||||||||||||||||||
Due in one year or less |
Due from one year to three years |
Due from three years to five years |
Due after five years |
Total (1) |
||||||||||||||||
(In millions) |
||||||||||||||||||||
Time deposits |
¥ | 23,848,078 | ¥ | 2,306,187 | ¥ | 621,697 | ¥ | 1,117,984 | ¥ | 27,893,946 | ||||||||||
Negotiable certificate of deposits |
14,443,631 | 182,726 | 45,919 | — | 14,672,276 | |||||||||||||||
Financial liabilities designated at fair value through profit or loss |
22,151 | 89,206 | 60,952 | 349,978 | 522,287 | |||||||||||||||
Borrowings |
6,225,437 | 4,210,119 | 3,084,857 | 2,186,734 | 15,707,147 | |||||||||||||||
Debt securities in issue |
4,874,016 | 3,735,948 | 2,310,650 | 3,788,930 | 14,709,544 | |||||||||||||||
Lease liabilities |
84,555 | 117,446 | 78,843 | 177,791 | 458,635 | |||||||||||||||
Purchase obligation (2) |
52,998 | 25,566 | 6,954 | 195 | 85,713 | |||||||||||||||
Total |
¥ | 49,550,866 | ¥ | 10,667,198 | ¥ | 6,209,872 | ¥ | 7,621,612 | ¥ | 74,049,548 | ||||||||||
(1) | The amount of interest on debt instruments is not included in the maturity table above due to its insignificance. |
(2) | Purchase obligation in the above table includes the contractual commitments to purchase goods or services of construction and information technology that are binding on us for the payment of more than ¥100 million. |
Item 6. |
Directors, Senior Management and Employees |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Takeshi Kunibe (March 8, 1954) |
Chairman of the Board of the Company |
April 1976 | Joined Sumitomo Bank | |||
June 2003 | Executive Officer of SMBC | |||||
October 2006 | Managing Executive Officer of SMBC | |||||
April 2007 | Managing Executive Officer of the Company | |||||
June 2007 | Director of the Company | |||||
April 2009 | Director and Senior Managing Executive Officer of SMBC | |||||
April 2011 | President and Chief Executive Officer of SMBC | |||||
April 2017 | President of the Company | |||||
Resigned as Director of SMBC | ||||||
June 2017 | Director President of the Company | |||||
April 2019 | Chairman of the Board of the Company (to present) | |||||
October 2021 | Chairman of the Board of SMBC | |||||
April 2023 | Resigned as Director of SMBC |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Toru Nakashima (September 14, 1963) |
Director President of the Company (Representative Corporate Executive Officer) Group Chief Executive Officer, or CEO |
April 1986 | Joined Sumitomo Bank | |||
April 2014 | Executive Officer of SMBC | |||||
April 2016 | Managing Executive Officer of SMBC | |||||
April 2017 | Managing Executive Officer of the Company | |||||
March 2019 | Director and Managing Executive Officer of SMBC | |||||
April 2019 | Senior Managing Corporate Executive Officer of the Company | |||||
Director and Senior Managing Executive Officer of SMBC | ||||||
June 2019 | Director Senior Managing Corporate Executive Officer of the Company | |||||
April 2022 | Resigned as Director of SMBC | |||||
March 2023 | Director of SMBC | |||||
April 2023 | Deputy President and Corporate Executive Officer of the Company | |||||
Director and Deputy President of SMBC | ||||||
December 2023 | President of the Company | |||||
Resigned as Director of SMBC | ||||||
June 2024 | Director President of the Company (to present) | |||||
Teiko Kudo (May 22, 1964) |
Director Deputy President and Corporate Executive Officer of the Company (Representative Corporate Executive Officer) Group Chief Compliance Officer, or CCO Officer in charge of Compliance Department and Anti Money Laundering & Financial Crime Prevention Department Director and Deputy President of SMBC |
April 1987 | Joined Sumitomo Bank | |||
April 2014 | Executive Officer of SMBC | |||||
April 2017 | Managing Executive Officer of SMBC | |||||
April 2020 | Senior Managing Executive Officer of the Company | |||||
Senior Managing Executive Officer of SMBC | ||||||
March 2021 | Director and Senior Managing Executive Officer of SMBC | |||||
April 2021 | Senior Managing Corporate Executive Officer of the Company | |||||
June 2021 | Director Senior Managing Corporate Executive Officer of the Company | |||||
April 2024 | Director Deputy President and Corporate Executive Officer of the Company (to present) | |||||
Director and Deputy President of SMBC (to present) |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Fumihiko Ito (April 13, 1967) |
Director Senior Managing Corporate Executive Officer of the Company Group Chief Financial Officer, or CFO, and Group Chief Strategy Officer, or CSO Officer in charge of Sustainability Division for Fulfilled Growth, Public Relations Department, Corporate Planning Department, Business Development Department, Sustainability Planning Department, Sustainability Development Department, Financial Accounting Department and Accounting Service & Planning Department Director and Senior Managing Executive Officer of SMBC |
April 1990 | Joined Sumitomo Bank | |||
April 2018 | Executive Officer of SMBC | |||||
October 2018 | Executive Officer of the Company | |||||
April 2020 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2023 | Senior Managing Corporate Executive Officer of the Company | |||||
Senior Managing Executive Officer of SMBC | ||||||
June 2023 | Director Senior Managing Corporate Executive Officer of the Company (to present) | |||||
March 2024 | Director and Senior Managing Executive Officer of SMBC (to present) | |||||
Toshihiro Isshiki (September 15, 1962) |
Director of the Company | April 1985 | Joined Sumitomo Bank | |||
Director of SMBC | April 2013 | Executive Officer of SMBC | ||||
April 2015 | Managing Executive Officer of SMBC | |||||
April 2017 | Managing Executive Officer of the Company | |||||
April 2019 | Senior Managing Executive Officer of the Company | |||||
Senior Managing Executive Officer of SMBC | ||||||
April 2021 | Retired as Senior Managing Executive Officer of SMBC | |||||
June 2021 | Director of the Company (to present) | |||||
June 2023 | Director of SMBC (to present) | |||||
Yoshiyuki Gono (April 22, 1965) |
Director of the Company | April 1988 | Joined Sumitomo Bank | |||
April 2018 | Executive Officer of the Company | |||||
Executive Officer of SMBC | ||||||
October 2021 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2023 | Resigned as Managing Executive Officer of SMBC | |||||
June 2023 | Director of the Company (to present) | |||||
Shozo Yamazaki (1) (September 12, 1948) |
Director of the Company | November 1970 | Joined Tohmatsu Awoki & Co. (currently Deloitte Touche Tohmatsu LLC) | |||
September 1974 | Registered as a certified public accountant (to present) | |||||
July 1991 | Representative Partner of Tohmatsu & Co. (currently Deloitte Touche Tohmatsu LLC) | |||||
June 2010 | Retired from Deloitte Touche Tohmatsu LLC | |||||
July 2010 | Chairman and President of The Japanese Institute of Certified Public Accountants | |||||
July 2013 | Advisor of The Japanese Institute of Certified Public Accountants (to present) | |||||
April 2014 | Professor of Tohoku University Accounting School | |||||
June 2017 | Director of the Company (to present) |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Sonosuke Kadonaga (1) (August 5, 1952) |
Director of the Company | April 1976 | Joined Chiyoda Corporation | |||
Representative of Intrinsics | June 1986 | Retired from Chiyoda Corporation | ||||
August 1986 | Joined McKinsey & Company, Inc., Japan | |||||
December 1992 | Principal (Partner) of McKinsey & Company, Inc., Japan | |||||
June 1999 | Director (Senior Partner) of McKinsey & Company, Inc., Japan | |||||
June 2009 | Retired from McKinsey & Company, Inc., Japan | |||||
July 2009 | Representative of Intrinsics (to present) | |||||
June 2017 | Director of SMBC | |||||
June 2024 | Director of the Company (to present) | |||||
Resigned as Director of SMBC | ||||||
Yoshinobu Tsutsui (1) (January 30, 1954) |
Director of the Company | April 1977 | Joined NIPPON LIFE INSURANCE COMPANY | |||
Chairman of NIPPON LIFE INSURANCE COMPANY | July 2004 | Director of NIPPON LIFE INSURANCE COMPANY | ||||
January 2007 | Director and Executive Officer of NIPPON LIFE INSURANCE COMPANY | |||||
March 2007 | Director and Managing Executive Officer of NIPPON LIFE INSURANCE COMPANY | |||||
March 2009 | Director and Senior Managing Executive Officer of NIPPON LIFE INSURANCE COMPANY | |||||
March 2010 | Representative Director and Senior Managing Executive Officer of NIPPON LIFE INSURANCE COMPANY | |||||
April 2011 | President of NIPPON LIFE INSURANCE COMPANY | |||||
June 2017 | Director of the Company (to present) | |||||
April 2018 | Chairman of NIPPON LIFE INSURANCE COMPANY (to present) | |||||
Katsuyoshi Shinbo (1) (April 8, 1955) |
Director of the Company | April 1984 | Registered as an attorney at law (to present) | |||
November 1999 | Attorney at law at Shinbo Law Office (to present) | |||||
June 2015 | Corporate Auditor of SMBC | |||||
June 2017 | Director of the Company (to present) | |||||
Resigned as Corporate Auditor of SMBC |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Eriko Sakurai (1) (November 16, 1960) |
Director of the Company | June 1987 | Joined Dow Corning Corporation (currently Dow Silicones Corporation) | |||
May 2008 | Director of Dow Corning Toray Co., Ltd. | |||||
March 2009 | Chairman and CEO of Dow Corning Toray Co., Ltd. | |||||
May 2011 | Regional President -Japan/Korea of Dow Corning Corporation (currently Dow Silicones Corporation) | |||||
February 2015 | President and Representative Director of Dow Corning Holding Japan Co., Ltd. | |||||
June 2015 | Director of the Company (to present) | |||||
May 2018 | Executor, Dow Switzerland Holding GmbH, which is a Representative Partner of Dow Silicones Holding Japan G.K. | |||||
June 2018 | Chairman and CEO of Dow Toray Co., Ltd. | |||||
August 2020 | President and Representative Director of Dow Chemical Japan Limited | |||||
June 2022 | Resigned as Director of Dow Chemical Japan Limited |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Charles D. Lake II (1) (January 8, 1962) |
Director of the Company President of Aflac International, Inc. Chairman and Representative Director of Aflac Life Insurance Japan Ltd. |
June 1990 | Entered the Office of the U.S. Trade Representative as Special Counsel | |||
December 1990 | Registered as an attorney at law, admitted in Pennsylvania, the U.S.A. (to present) | |||||
August 1992 | Director of Japan Affairs, the Office of the U.S. Trade Representative | |||||
July 1993 | Director of Japan Affairs and Special Counsel to the Deputy U.S. Trade Representative, the Office of the U.S. Trade Representative | |||||
January 1995 | Attorney at law at Dewey Ballantine LLP | |||||
October 1996 | Registered as an attorney at law, admitted in Washington, D.C., the U.S.A. (to present) | |||||
February 1999 | Vice President and Counsel of Aflac International, Inc. | |||||
June 1999 | Vice President and Counsel of Japan Branch, American Family Life Assurance Company of Columbus (currently Aflac Life Insurance Japan Ltd.) | |||||
January 2001 | Senior Vice President and Counsel of Japan Branch, American Family Life Assurance Company of Columbus (currently Aflac Life Insurance Japan Ltd.) | |||||
April 2001 | Senior Vice President and General Counsel of Japan Branch, American Family Life Assurance Company of Columbus (currently Aflac Life Insurance Japan Ltd.) | |||||
July 2001 | Deputy President of Japan Branch, American Family Life Assurance Company of Columbus (currently Aflac Life Insurance Japan Ltd.) | |||||
January 2003 | President and Representative in Japan of Japan Branch, American Family Life Assurance Company of Columbus (currently Aflac Life Insurance Japan Ltd.) | |||||
April 2005 | Vice Chairman and Representative in Japan of Japan Branch, American Family Life Assurance Company of Columbus (currently Aflac Life Insurance Japan Ltd.) | |||||
July 2008 | Chairman and Representative in Japan of Japan Branch, American Family Life Assurance Company of Columbus (currently Aflac Life Insurance Japan Ltd.) | |||||
January 2014 | President of Aflac International, Inc. (to present) | |||||
April 2018 | Chairman and Representative Director of Aflac Life Insurance Japan Ltd. (to present) | |||||
June 2023 | Director of the Company (to present) |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Jenifer Rogers (1) (June 22, 1963) |
Director of the Company General Counsel Asia of Asurion Japan Holdings G.K. |
September 1989 | Joined Haight Gardner Poor & Havens (currently Holland & Knight LLP) | |||
December 1990 | Registered as an attorney at law, admitted in New York, the U.S.A. (to present) | |||||
February 1991 | Joined The Industrial Bank of Japan Ltd. (currently Mizuho Bank, Ltd.) | |||||
December 1994 | Joined Merrill Lynch Japan Securities Co., Ltd. (currently BofA Securities Japan Co., Ltd.) | |||||
November 2000 | Merrill Lynch Europe Plc | |||||
July 2006 | Merrill Lynch (Asia Pacific) Limited (currently Bank of America Corporation) (Hong Kong) | |||||
January 2012 | Bank of America Merrill Lynch (currently Bank of America Corporation) (New York) | |||||
November 2012 | General Counsel Asia of Asurion Asia Pacific Limited | |||||
November 2014 | General Counsel Asia of Asurion Japan Holdings G.K. (to present) | |||||
January 2021 | President of the American Chamber of Commerce in Japan | |||||
June 2023 | Director of the Company (to present) |
(1) | These directors satisfy the requirements for an “outside director” under the Companies Act. |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Toru Nakashima (September 14, 1963) |
See “Directors” under this Item 6.A. | See “Directors” under this Item 6.A. | ||||
Muneo Kanamaru (April 9, 1964) |
Deputy President and Corporate Executive Officer of the Company (Representative Corporate Executive Officer) Head of Wholesale Business Unit Director and Deputy President of SMBC |
April 1987 | Joined Sumitomo Bank | |||
April 2015 | Executive Officer of SMBC | |||||
April 2017 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2018 | Resigned as Managing Executive Officer of the Company | |||||
April 2020 | Managing Executive Officer of the Company | |||||
April 2021 | Senior Managing Corporate Executive Officer of the Company | |||||
Senior Managing Executive Officer of SMBC | ||||||
March 2024 | Director and Senior Managing Executive Officer of SMBC | |||||
April 2024 | Deputy President and Corporate Executive Officer of the Company (to present) | |||||
Director and Deputy President of SMBC (to present) | ||||||
Teiko Kudo (May 22, 1964) |
See “Directors” under this Item 6.A. | See “Directors” under this Item 6.A. | ||||
Masamichi Koike (October 25, 1963) |
Deputy President and Corporate Executive Officer of the Company (Representative Corporate Executive Officer) Head of Global Markets Business Unit Deputy President Executive Officer of SMBC |
April 1987 | Joined Taiyo Kobe Bank | |||
April 2015 | Executive Officer of SMBC | |||||
July 2017 | Executive Officer of the Company | |||||
April 2018 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2020 | Senior Managing Corporate Executive Officer of the Company | |||||
Senior Managing Executive Officer of SMBC | ||||||
April 2024 | Deputy President and Corporate Executive Officer of the Company (to present) | |||||
Deputy President Executive Officer of SMBC (to present) | ||||||
Takashi Yamashita (December 7, 1964) |
Senior Managing Corporate Executive Officer of the Company Head of Retail Business Unit Senior Managing Executive Officer of SMBC |
April 1988 | Joined Mitsui Bank | |||
April 2016 | Executive Officer of SMBC | |||||
April 2017 | Executive Officer of the Company | |||||
April 2018 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2021 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Senior Managing Executive Officer of SMBC (to present) |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Jun Uchikawa (January 20, 1965) |
Senior Managing Corporate Executive Officer of the Company Group Chief Information Officer, or CIO Officer in charge of IT Planning Department, Cybersecurity Management Department, Data Management Department and Operations Planning Department Director and Senior Managing Executive Officer of SMBC |
April 1988 | Joined Sumitomo Bank | |||
April 2018 | Executive Officer of the Company | |||||
Executive Officer of SMBC | ||||||
April 2021 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2022 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Director and Senior Managing Executive Officer of SMBC (to present) | ||||||
Yoshihiro Hyakutome (February 27, 1965) |
Senior Managing Corporate Executive Officer of the Company Co-Head of Global Business UnitSenior Managing Executive Officer of SMBC |
April 1988 | Joined Sumitomo Bank | |||
April 2016 | Executive Officer of SMBC | |||||
April 2017 | Executive Officer of the Company | |||||
April 2018 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2022 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Director and Senior Managing Executive Officer of SMBC | ||||||
April 2024 | Senior Managing Executive Officer of SMBC (to present) | |||||
Takeshi Mikami (February 16, 1966) |
Senior Managing Corporate Executive Officer of the Company Group Chief Audit Executive, or CAE Officer in charge of Internal Audit Department |
April 1988 | Joined Sumitomo Bank | |||
April 2016 | Executive Officer of SMBC | |||||
April 2017 | Executive Officer of the Company | |||||
April 2019 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2020 | Resigned as Managing Executive Officer of the Company | |||||
April 2022 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Retired as Managing Executive Officer of SMBC | ||||||
Keiichiro Nakamura (December 14, 1966) |
Senior Managing Corporate Executive Officer of the Company Co-Head of Global Business UnitSenior Managing Executive Officer of SMBC |
April 1989 | Joined Mitsui Bank | |||
April 2017 | Executive Officer of the Company | |||||
Executive Officer of SMBC | ||||||
April 2020 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2023 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Senior Managing Executive Officer of SMBC (to present) |
Name (Date of birth) |
Current positions and principal outside positions |
Business experience | ||||
Akio Isowa (October 8, 1966) |
Senior Managing Corporate Executive Officer of the Company Group Chief Digital Innovation Officer, or CDIO Officer in charge of Digital Solution Division, Transaction Business Division, and Digital Strategy Department Senior Managing Executive Officer of SMBC |
April 1990 | Joined Sumitomo Bank | |||
April 2019 | Executive Officer of the Company | |||||
Executive Officer of SMBC | ||||||
April 2021 | Retired as Executive Officer of the Company | |||||
April 2022 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
April 2023 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Senior Managing Executive Officer of SMBC (to present) | ||||||
Fumihiko Ito (April 13, 1967) |
See “Directors” under this Item 6.A. |
See “Directors” under this Item 6.A. | ||||
Takashi Kobayashi (June 21, 1967) |
Senior Managing Corporate Executive Officer of the Company Group Chief Human Resources Officer, or CHRO Officer in charge of General Affairs Department, Human Resources Department, Quality Management Department and Administrative Services Department Director and Senior Managing Executive Officer of SMBC |
April 1990 | Joined Mitsui Taiyo Kobe Bank | |||
April 2018 | Executive Officer of the Company | |||||
Executive Officer of SMBC | ||||||
April 2020 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
March 2023 | Director and Managing Executive Officer of SMBC | |||||
April 2023 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Director and Senior Managing Executive Officer of SMBC (to present) | ||||||
Natsuhiro Samejima (July 1, 1968) |
Senior Managing Corporate Executive Officer of the Company Group Chief Risk Officer, or CRO Officer in charge of Corporate Risk Management Department, Risk Management Information Department, Risk Management Department, Americas Division and Credit & Investment Planning Department Director and Senior Managing Executive Officer of SMBC |
April 1991 | Joined Sumitomo Bank | |||
April 2019 | Executive Officer of the Company | |||||
Executive Officer of SMBC | ||||||
April 2022 | Managing Executive Officer of the Company | |||||
Managing Executive Officer of SMBC | ||||||
March 2024 | Director and Managing Executive Officer of SMBC | |||||
April 2024 | Senior Managing Corporate Executive Officer of the Company (to present) | |||||
Director and Senior Managing Executive Officer of SMBC (to present) |
Compensation |
||||||||||||||||||||||
Aggregated amount |
Paid by |
Monetary compensation |
Non-monetary compensation |
|||||||||||||||||||
Non-performance -linked |
Performance-linked |
Non-performance -linked |
||||||||||||||||||||
Directors and corporate executive officers |
Annual salary |
Bonus |
Stock compensation Plan I, Plan II |
Stock compensation Plan III |
||||||||||||||||||
(In millions) (1) |
||||||||||||||||||||||
Takeshi Kunibe |
¥ | 231 | SMFG | ¥ | 102 | ¥ | 33 | ¥ | 76 | ¥ | — | |||||||||||
SMBC | — | — | 17 | — | ||||||||||||||||||
Makoto Takashima |
¥ | 248 | SMFG | ¥ | 4 | ¥ | — | ¥ | — | ¥ | — | |||||||||||
SMBC | 106 | 33 | 104 | — | ||||||||||||||||||
Jun Ohta |
¥ | 186 | SMFG | ¥ | 70 | ¥ | 33 | ¥ | 82 | ¥ | — | |||||||||||
Toru Nakashima |
¥ | 149 | SMFG | ¥ | 55 | ¥ | 18 | ¥ | 31 | ¥ | — | |||||||||||
SMBC | 19 | 9 | 15 | — | ||||||||||||||||||
Akihiro Fukutome |
¥ | 203 | SMFG | ¥ | 12 | ¥ | — | ¥ | 6 | ¥ | — | |||||||||||
SMBC | 95 | 39 | 49 | — | ||||||||||||||||||
Tetsuro Imaeda |
¥ | 124 | SMFG | ¥ | 28 | ¥ | 11 | ¥ | 22 | ¥ | — | |||||||||||
SMBC | 28 | 11 | 22 | — | ||||||||||||||||||
Muneo Kanamaru |
¥ | 103 | SMFG | ¥ | 23 | ¥ | 9 | ¥ | 18 | ¥ | — | |||||||||||
SMBC | 23 | 9 | 18 | — | ||||||||||||||||||
Teiko Kudo |
¥ | 104 | SMFG | ¥ | 23 | ¥ | 8 | ¥ | 20 | ¥ | — | |||||||||||
SMBC | 23 | 8 | 20 | — | ||||||||||||||||||
Masamichi Koike |
¥ | 105 | SMFG | ¥ | 23 | ¥ | 9 | ¥ | 20 | ¥ | — | |||||||||||
SMBC | 23 | 9 | 20 | — | ||||||||||||||||||
Takashi Yamashita |
¥ | 100 | SMFG | ¥ | 23 | ¥ | 8 | ¥ | 18 | ¥ | — | |||||||||||
SMBC | 23 | 8 | 18 | — | ||||||||||||||||||
Jun Uchikawa |
¥ | 103 | SMFG | ¥ | 23 | ¥ | 8 | ¥ | 15 | ¥ | — | |||||||||||
SMBC | 26 | 8 | 15 | 5 | ||||||||||||||||||
Yoshihiro Hyakutome |
¥ | 104 | SMFG | ¥ | 23 | ¥ | 8 | ¥ | 12 | ¥ | — | |||||||||||
SMBC | 23 | 8 | 22 | 5 | ||||||||||||||||||
Takeshi Mikami |
¥ | 104 | SMFG | ¥ | 46 | ¥ | 17 | ¥ | 25 | ¥ | 5 | |||||||||||
SMBC | — | — | 9 | — | ||||||||||||||||||
Keiichiro Nakamura |
¥ | 109 | SMFG | ¥ | 21 | ¥ | 9 | ¥ | 8 | ¥ | — | |||||||||||
SMBC | 21 | 9 | 24 | 14 | ||||||||||||||||||
Akio Isowa |
¥ | 108 | SMFG | ¥ | 22 | ¥ | 9 | ¥ | 12 | ¥ | — | |||||||||||
SMBC | 22 | 9 | 14 | 17 | ||||||||||||||||||
Fumihiko Ito |
¥ | 111 | SMFG | ¥ | 22 | ¥ | 9 | ¥ | 16 | ¥ | — | |||||||||||
SMBC | 22 | 9 | 16 | 14 | ||||||||||||||||||
Takashi Kobayashi |
¥ | 112 | SMFG | ¥ | 22 | ¥ | 9 | ¥ | 16 | ¥ | — | |||||||||||
SMBC | 22 | 9 | 16 | 14 |
(1) | Amounts less than one million yen have been truncated. |
Percentage of full-time employees at March 31, 2024 |
||||
Business segment: |
||||
Wholesale Business Unit |
7 | % | ||
Retail Business Unit |
24 | |||
Global Business Unit |
54 | |||
Global Markets Business Unit |
1 | |||
Head office account and others |
14 | |||
Total |
100 | % | ||
Percentage of full-time employees at March 31, 2024 |
||||
Location: |
||||
Japan |
46 | % | ||
Americas |
4 | |||
Europe and Middle East |
2 | |||
Asia and Oceania |
48 | |||
Total |
100 | % | ||
Number of shares owned (1) |
||||
Directors and corporate executive officers: |
||||
Takeshi Kunibe |
99,623 | |||
Toru Nakashima |
41,191 | |||
Teiko Kudo |
34,401 | |||
Fumihiko Ito |
27,065 | |||
Toshihiro Isshiki |
29,979 | |||
Yoshiyuki Gono |
18,405 | |||
Shozo Yamazaki |
1,900 | |||
Sonosuke Kadonaga |
— | |||
Yoshinobu Tsutsui |
— | |||
Katsuyoshi Shinbo |
3,800 | |||
Eriko Sakurai |
5,700 | |||
Charles D. Lake II |
— | |||
Jenifer Rogers |
100 | |||
Muneo Kanamaru |
30,472 | |||
Masamichi Koike |
35,460 | |||
Takashi Yamashita |
31,166 | |||
Jun Uchikawa |
28,666 | |||
Yoshihiro Hyakutome |
33,025 | |||
Takeshi Mikami |
39,473 | |||
Keiichiro Nakamura |
30,577 | |||
Akio Isowa |
24,418 | |||
Takashi Kobayashi |
27,780 | |||
Natsuhiro Samejima |
18,908 |
(1) | Number of shares owned includes shares allotted under our compensation plans utilizing restricted stock. For further information, see “Stock Option Plans and Other Remuneration for Directors and Senior Management—Compensation Plans Utilizing Restricted Stock” in this section. |
Date of resolution |
Number of grantees |
Shares granted |
Exercise period |
Exercise price | ||||||
SMFG Stock Acquisition Rights (1st series) |
July 28, 2010 | 82 directors, corporate auditors and executive officers of SMFG and SMBC | 102,600 shares of common stock of the Company | August 13, 2010 to August 12, 2040 | ¥1 per share granted upon exercise of each stock acquisition right, multiplied by the number of shares granted | |||||
SMFG Stock Acquisition Rights (2nd series) |
July 29, 2011 | 85 directors, corporate auditors and executive officers of SMFG and SMBC | 268,200 shares of common stock of the Company | August 16, 2011 to August 15, 2041 | ¥1 per share granted upon exercise of each stock acquisition right, multiplied by the number of shares granted | |||||
SMFG Stock Acquisition Rights (3rd series) |
July 30, 2012 | 85 directors, corporate auditors and executive officers of SMFG and SMBC | 280,500 shares of common stock of the Company | August 15, 2012 to August 14, 2042 | ¥1 per share granted upon exercise of each stock acquisition right, multiplied by the number of shares granted | |||||
SMFG Stock Acquisition Rights (4th series) |
July 29, 2013 | 82 directors, corporate auditors and executive officers of SMFG and SMBC | 115,700 shares of common stock of the Company | August 14, 2013 to August 13, 2043 | ¥1 per share granted upon exercise of each stock acquisition right, multiplied by the number of shares granted | |||||
SMFG Stock Acquisition Rights (5th series) |
July 30, 2014 | 82 directors, corporate auditors and executive officers of SMFG and SMBC | 121,900 shares of common stock of the Company | August 15, 2014 to August 14, 2044 | ¥1 per share granted upon exercise of each stock acquisition right, multiplied by the number of shares granted | |||||
SMFG Stock Acquisition Rights (6th series) |
July 31, 2015 | 83 directors, corporate auditors and executive officers of SMFG and SMBC | 132,400 shares of common stock of the Company | August 18, 2015 to August 17, 2045 | ¥1 per share granted upon exercise of each stock acquisition right, multiplied by the number of shares granted |
Date of resolution |
Number of grantees |
Shares granted |
Exercise period |
Exercise price | ||||||
SMFG Stock Acquisition Rights (7th series) |
July 26, 2016 | 89 directors, corporate auditors and executive officers of SMFG and SMBC | 201,200 shares of common stock of the Company | August 15, 2016 to August 14, 2046 | ¥1 per share granted upon exercise of each stock acquisition right, multiplied by the number of shares granted |
Date of issue |
Issue price |
Class and total number of shares issued |
Allottees and number of shares to be allotted | |||
July 26, 2021 |
¥3,749 per share | 322,041 shares of common stock of the Company | Directors of SMFG: 4 persons 9,930 shares Corporate executive officers of SMFG: 13 persons 14,998 shares Executive officers, etc. of SMFG: 42 persons 30,275 shares Directors of SMFG’s subsidiaries: 10 persons 18,345 shares Executive officers, etc. of SMFG’s subsidiaries: 96 persons 248,493 shares | |||
July 26, 2022 |
¥4,004 per share | 329,092 shares of common stock of the Company | Directors of SMFG: 4 persons 7,984 shares Corporate executive officers of SMFG: 15 persons 17,296 shares Executive officers, etc. of SMFG: 38 persons 28,476 shares Directors of SMFG’s subsidiaries: 15 persons 36,522 shares Executive officers, etc. of SMFG’s subsidiaries: 113 persons 238,814 shares | |||
July 25, 2023 |
¥6,281 per share | 477,890 shares of common stock of the Company | Directors of SMFG: 5 persons 32,198 shares Corporate executive officers of SMFG: 16 persons 34,263 shares Executive officers, etc. of SMFG: 41 persons 45,478 shares Directors of SMFG’s subsidiaries: 19 persons 70,146 shares Executive officers, etc. of SMFG’s subsidiaries: 106 persons 295,805 shares |
Item 7. |
Major Shareholders and Related Party Transactions |
Number of shares held (2) |
Percentage of shares issued (1)(2) |
|||||||
Name: |
||||||||
The Master Trust Bank of Japan, Ltd. (Trust Account) |
215,056,200 | 16.36 | % | |||||
Custody Bank of Japan, Ltd. (Trust Account) |
80,791,600 | 6.14 | % | |||||
STATE STREET BANK WEST CLIENT—TREATY 505234 |
25,863,627 | 1.96 | % | |||||
JPMorgan Securities Japan Co., Ltd. |
22,110,911 | 1.68 | % | |||||
NATSCUMCO |
20,191,153 | 1.53 | % | |||||
JP MORGAN CHASE BANK 385781 |
17,410,293 | 1.32 | % | |||||
SSBTC CLIENT OMNIBUS ACCOUNT |
15,654,072 | 1.19 | % | |||||
Barclays Securities Japan Limited. |
15,580,100 | 1.18 | % | |||||
STATE STREET BANK AND TRUST COMPANY 505223 |
13,207,900 | 1.00 | % | |||||
STATE STREET BANK AND TRUST COMPANY 505001 |
12,862,232 | 0.97 | % |
(1) | Percentages are calculated based on the total number of shares of common stock then issued, excluding our treasury stock, and have been truncated to the nearest second decimal point. |
(2) | On February 5, 2024, Sumitomo Mitsui Trust Holdings, Inc. filed a Schedule 13G/A with the SEC, indicating that Sumitomo Mitsui Trust Holdings, Inc. and its subsidiaries beneficially held 74,480,400 shares of our common stock, representing 5.57% of our outstanding common stock at December 31, 2023. On February 5, 2024, BlackRock, Inc. filed a Schedule 13G/A with the SEC, indicating that BlackRock, Inc. and its subsidiaries beneficially held 99,768,992 shares of our common stock, representing 7.46% of our outstanding common stock at December 31, 2023. |
Item 8. |
Financial Information |
Dividend per share |
||||||||
Paid (1) |
Declared (2) |
|||||||
Fiscal year ended March 31, |
||||||||
2022 |
¥ | 210 | ¥ | 200 | ||||
2023 |
240 | 220 | ||||||
2024 |
270 | 260 |
(1) | Dividend per share based on dividends in respect of each fiscal year including dividends proposed after current fiscal year-end but not recognized in the financial statements and excluding dividends in respect of the previous fiscal year declared in the current fiscal year. |
(2) | Dividend per share based on dividends declared and recognized in the financial statements during each fiscal year. |
Item 9. |
The Offer and Listing |
Item 10. |
Additional Information |
• | management of banks and other corporations which are permitted to become, or to be established as, subsidiaries under the Banking Act and any business incidental thereto; and |
• | in addition to the businesses provided in the foregoing item, any business in which a bank holding company is permitted to engage under the Banking Act. |
• | a director is not entitled to vote on a proposal or arrangement or contract in which the director has a special interest; |
• | the amount of compensation to each of our directors is determined by the compensation committee, which consists of members of our board of directors, the majority of whom must be outside directors; |
• | the board of directors has authority to approve transactions between the directors and us; |
• | there are no provisions requiring the mandatory retirement of directors at a specified age; and |
• | share ownership is not required in order to be eligible to serve as a director. |
(1) | our articles of incorporation so provide (our current articles of incorporation do not have a provision to that effect); |
(2) | the normal term of office of our directors is no longer than one year (our current articles of incorporation provide that the normal term of office of our directors expires upon the close of the general meeting of shareholders to be held for the last fiscal year ending within one year after the election); and |
(3) | our nonconsolidated annual financial statements and certain documents for the latest fiscal year fairly present our assets and profit or loss, as required by an ordinance of the Ministry of Justice. |
“A” |
= | the total amount of other capital surplus and other retained earnings, each being the amount that appears on our nonconsolidated balance sheet as of the end of the last fiscal year; | ||
“B” |
= | if we have disposed of treasury stock after the end of the last fiscal year, the amount of the consideration for that treasury stock received by us less the book value thereof; | ||
“C” |
= | if we have reduced our stated capital after the end of the last fiscal year, the amount of that reduction less the portion thereof that has been transferred to capital reserve or retained earnings reserve, if any: | ||
“D” |
= | if we have reduced our capital reserve or retained earnings reserve after the end of the last fiscal year, the amount of that reduction less the portion thereof that has been transferred to stated capital, if any: | ||
“E” |
= | if we have cancelled treasury stock after the end of the last fiscal year, the book value of that treasury stock; | ||
“F” |
= | if we have distributed surplus to our shareholders after the end of the last fiscal year, the total book value of the surplus so distributed; and | ||
“G” |
= | other amounts set forth in an ordinance of the Ministry of Justice, including: |
• | if we have reduced surplus and increased our stated capital, capital reserve or retained earnings reserve after the end of the last fiscal year, the amount of that reduction; and |
• | if we have distributed surplus to shareholders after the end of the last fiscal year, the amount set aside in our capital reserve or retained earnings reserve, if any, as required by ordinances of the Ministry of Justice. |
• | amending the articles of incorporation (except for amendments that may be authorized by the board of directors under the Companies Act); |
• | reducing stated capital which meets certain requirements, with some exceptions; |
• | dissolving, merging or consolidating requiring shareholders’ approval; |
• | establishing a parent and a wholly owned subsidiary relationship by way of a share transfer ( kabushiki-iten kabushiki-kokan kabushiki-kofu |
• | transferring the whole or a substantial part of our business; |
• | transferring all or part of the shares of a subsidiary which meets certain requirements; |
• | taking over the whole business of another company requiring shareholders’ approval; |
• | corporate split requiring shareholders’ approval; |
• | consolidating shares of common stock; |
• | acquiring shares of common stock from a specific shareholder other than one of our subsidiaries; |
• | issuing or transferring new shares or existing shares held by us as treasury stock to persons other than the shareholders at a specially favorable price; |
• | issuing stock acquisition rights (including those incorporated in bonds with stock acquisition rights) to persons other than the shareholders under specially favorable conditions; |
• | exempting some liability of a director or corporate executive officer; and |
• | distributing surplus in-kind if shareholders are not granted the right to require us to make a distribution in cash instead of in-kind. |
• | from the commencement of our ordinary general meeting of shareholders if an agenda for approval to declare a preferred dividend is not submitted to the meeting; or |
• | from the close of our ordinary general meeting of shareholders if a proposed resolution to declare a preferred dividend is not approved at the meeting. |
• | amendments to the articles of incorporation to add new classes of shares to be issued, alter the terms of the shares or increase the number of shares or authorized number of any class of shares, with certain exceptions; |
• | consolidations or splits of shares; |
• | dividends of shares or stock acquisition rights to shareholders without any consideration; |
• | grants of preemptive rights for new shares or stock acquisition rights; |
• | amalgamations or mergers; |
• | certain corporate splits; |
• | share exchanges; |
• | share transfers; and |
• | other matters set forth in the articles of incorporation. |
(i) | individuals not residing in Japan; |
(ii) | corporations which are organized under the laws of foreign countries or whose principal offices are located outside Japan; |
(iii) | corporations of which 50% or more of the voting rights are held, directly or indirectly, by individuals not residing in Japan and/or corporations which are organized under the laws of foreign countries or whose principal offices are located outside Japan; and |
(iv) | partnerships under the Civil Code of Japan (Act No. 89 of 1896, as amended) established to invest in corporations, limited partnerships for investment under the Limited Partnership Act for Investment of Japan (Act No. 90 of 1998, as amended), or any other similar partnerships under foreign law, of which (a) 50% or more of the total contributions are made by individuals and/or corporations falling within (i), (ii), (iii) above and/or (v) below or any other persons prescribed under the Foreign Exchange Act or (b) a majority of the general partners are individuals and/or corporations falling within (i), (ii), (iii) above and/or (v) below or any other persons prescribed under the Foreign Exchange Act; and |
(v) | corporations, a majority of officers (or a majority of officers having the power of representation) of which are individuals not residing in Japan. |
(i) | companies engaged only in the businesses other than certain businesses (the “Designated Businesses”) designated by the Foreign Exchange Act as Designated Businesses; |
(ii) | companies engaged in the Designated Businesses other than the certain Designated Businesses designated by the Foreign Exchange Act as core sector businesses (the “Core Sector Designated Businesses”); and |
(iii) | companies engaged in the Core Sector Designated Businesses. |
(i) | the foreign investor or its closely-related persons (as defined in the Foreign Exchange Act) will not become directors or corporate auditors of the relevant company; |
(ii) | the foreign investor will not make certain proposals (as prescribed in the Foreign Exchange Act) at the general meeting of shareholders, including transfer or discontinuation of the Designated Businesses of the relevant company; |
(iii) | the foreign investor will not access non-public technical information in relation to the Designated Businesses of the relevant company, or take certain other actions that may lead to the leak of such non-public technical information (as prescribed in the Foreign Exchange Act); |
(iv) | the foreign investor will not attend, or not cause any persons designated by it to attend, meetings of the relevant company’s board of directors, or meetings of committees having authority to make important decisions, in respect of the Core Sector Designated Businesses of the relevant company; and |
(v) | the foreign investor will not make, or not cause any persons designated by it to make, proposals to such board or committees or their members in writing or electronic form requesting any response or actions by certain deadlines in respect of the Core Sector Designated Businesses of the relevant company. |
• | certain financial institutions; |
• | insurance companies; |
• | dealers and certain traders in securities; |
• | persons holding shares or ADSs as part of a hedge, straddle, conversion or other integrated transaction; |
• | persons whose functional currency for U.S. federal income tax purposes is not the U.S. dollar; |
• | regulated investment companies; |
• | real estate investment trusts; |
• | partnerships or other entities classified as partnerships for U.S. federal income tax purposes; |
• | tax-exempt entities, “individual retirement accounts” or “Roth IRAs”; |
• | persons who acquired our shares or ADSs pursuant to the exercise of an employee stock option or otherwise as compensation; |
• | persons holding shares or ADSs that own or are deemed to own 10% or more of our stock (by vote or value); or |
• | persons holding shares or ADSs in connection with a trade or business conducted outside the United States. |
Item 11. |
Quantitative and Qualitative Disclosures about Credit, Market and Other Risk |
• | Identification and evaluation of risks encountered in the business activities |
• | Implementation of measures for minimizing and controlling risks |
• | Monitoring of risks and reporting within the First Line and to the Second Line |
• | Creation and fostering of a sound risk culture |
• | Drafting and development of basic principles and frameworks concerning risk management and compliance |
• | Oversight, monitoring, and development of training programs for the First Line |
• | the historical simulation method; |
• | a one-sided confidence interval of 99.0%; |
• | a one-day holding period (a one-year holding period for the equity holding investment portfolio); and |
• | an observation period of four years (ten years for the equity holding investment portfolio). |
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2024: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | 39.6 | ¥ | 33.5 | ¥ | 2.8 | ¥ | 14.1 | ¥ | 21.5 | ||||||||||
Minimum |
5.1 | 2.6 | 0.1 | 5.1 | 10.9 | |||||||||||||||
Daily average |
10.4 | 7.8 | 1.3 | 9.5 | 15.3 | |||||||||||||||
At March 31, 2024 |
5.6 | 4.0 | 0.1 | 13.3 | 17.5 | |||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | 49.6 | ¥ | 34.9 | ¥ | 12.8 | ¥ | 14.1 | ¥ | 46.4 | ||||||||||
Minimum |
15.7 | 3.8 | 5.2 | 5.1 | 27.2 | |||||||||||||||
Daily average |
22.5 | 9.0 | 7.4 | 9.5 | 34.4 | |||||||||||||||
At March 31, 2024 |
19.5 | 5.2 | 8.1 | 13.3 | 40.0 | |||||||||||||||
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2023: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | 75.3 | ¥ | 73.7 | ¥ | 1.7 | ¥ | 9.5 | ¥ | 15.3 | ||||||||||
Minimum |
12.8 | 11.9 | 0.2 | 4.8 | 10.5 | |||||||||||||||
Daily average |
54.3 | 49.4 | 0.7 | 7.0 | 12.6 | |||||||||||||||
At March 31, 2023 |
27.9 | 22.6 | 0.2 | 5.7 | 11.6 | |||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | 84.4 | ¥ | 75.1 | ¥ | 7.6 | ¥ | 9.5 | ¥ | 31.8 | ||||||||||
Minimum |
21.7 | 13.2 | 4.3 | 4.8 | 25.2 | |||||||||||||||
Daily average |
63.5 | 50.8 | 6.1 | 7.0 | 28.4 | |||||||||||||||
At March 31, 2023 |
37.6 | 23.9 | 5.5 | 5.7 | 27.7 |
(1) | Total for “Maximum,” “Minimum,” and “Daily average” represent the maximum, minimum and daily average of the total of the trading book. For certain subsidiaries, we employ the standardized method and/or the historical simulation method for the VaR calculation method. |
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2024: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | 91.4 | ¥ | 0.5 | ¥ | 32.6 | ¥ | 0.0 | ¥ | 98.1 | ||||||||||
Minimum |
60.7 | 0.0 | 4.0 | 0.0 | 64.1 | |||||||||||||||
Daily average |
75.8 | 0.0 | 21.3 | 0.0 | 84.6 | |||||||||||||||
At March 31, 2024 |
78.0 | 0.0 | 31.8 | 0.0 | 93.5 | |||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | 92.8 | ¥ | 0.5 | ¥ | 32.6 | ¥ | 0.0 | ¥ | 99.5 | ||||||||||
Minimum |
62.1 | 0.0 | 4.0 | 0.0 | 65.5 | |||||||||||||||
Daily average |
77.1 | 0.0 | 21.3 | 0.0 | 85.9 | |||||||||||||||
At March 31, 2024 |
79.6 | 0.0 | 31.8 | 0.0 | 95.1 | |||||||||||||||
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2023: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | 67.3 | ¥ | 0.7 | ¥ | 18.3 | ¥ | 0.0 | ¥ | 73.4 | ||||||||||
Minimum |
40.1 | 0.0 | 3.3 | 0.0 | 43.6 | |||||||||||||||
Daily average |
53.6 | 0.2 | 8.6 | 0.0 | 57.1 | |||||||||||||||
At March 31, 2023 |
63.3 | 0.0 | 11.3 | 0.0 | 68.0 | |||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | 68.0 | ¥ | 0.7 | ¥ | 18.3 | ¥ | 0.0 | ¥ | 74.0 | ||||||||||
Minimum |
41.2 | 0.0 | 3.3 | 0.0 | 44.7 | |||||||||||||||
Daily average |
54.5 | 0.2 | 8.6 | 0.0 | 58.0 | |||||||||||||||
At March 31, 2023 |
64.7 | 0.0 | 11.3 | 0.0 | 69.4 |
(1) | Total for “Maximum,” “Minimum,” and “Daily average” represent the maximum, minimum and daily average of the total of the banking book. |
Equities risk |
||||
(In billions) |
||||
For the fiscal year ended March 31, 2024: |
||||
SMBC Consolidated |
||||
Maximum |
¥ | 1,263.3 | ||
Minimum |
970.9 | |||
Daily average |
1,135.0 | |||
At March 31, 2024 |
1,252.7 | |||
SMFG Consolidated |
||||
Maximum |
¥ | 1,582.6 | ||
Minimum |
1,189.3 | |||
Daily average |
1,401.0 | |||
At March 31, 2024 |
1,567.2 | |||
Equities risk |
||||
(In billions) |
||||
For the fiscal year ended March 31, 2023: |
||||
SMBC Consolidated |
||||
Maximum |
¥ | 1,047.4 | ||
Minimum |
879.5 | |||
Daily average |
961.3 | |||
At March 31, 2023 |
1,003.2 | |||
SMFG Consolidated |
||||
Maximum |
¥ | 1,241.1 | ||
Minimum |
1,067.2 | |||
Daily average |
1,163.0 | |||
At March 31, 2023 |
1,224.8 |
• | The use of historical data as a proxy for estimating future events may underestimate the probability of extreme market movements. Past market movement is not necessarily a good indicator of future events; |
• | The use of a holding period assumes that all positions can be liquidated or hedged in that period of time. This assumption does not fully capture the market risk arising during periods of illiquidity, when liquidation or hedging in that period of time may not be possible; |
• | The use of a confidence level neither takes account of, nor makes any statement about, any losses that might occur beyond this level of confidence; and |
• | VaR does not capture all of the complex effects of the risk factors on the value of positions and portfolios and could underestimate potential losses. |
At March 31, 2024 |
At March 31, 2023 |
|||||||||||||||
Δ EVE |
Δ NII |
Δ EVE |
Δ NII |
|||||||||||||
(In billions) |
||||||||||||||||
SMBC Consolidated |
||||||||||||||||
Parallel shock up |
¥ | 295.8 | ¥ | (506.1 | ) | ¥ | 287.1 | ¥ | (462.5 | ) | ||||||
Parallel shock down |
172.7 | 692.7 | 85.5 | 664.4 | ||||||||||||
Steepener shock |
40.5 | — | 165.1 | — | ||||||||||||
Flattener shock |
224.6 | — | 36.2 | — | ||||||||||||
Short rate shock up |
173.9 | — | 64.6 | — | ||||||||||||
Short rate shock down |
39.8 | — | 67.4 | — | ||||||||||||
Maximum |
295.8 | 692.7 | 287.1 | 664.4 |
At March 31, 2024 |
At March 31, 2023 |
|||||||
(In billions) |
||||||||
Tier 1 Capital |
¥ | 11,937.9 | ¥ | 9,963.2 |
At March 31, 2024 |
At March 31, 2023 |
|||||||||||||||
Δ EVE |
Δ NII |
Δ EVE |
Δ NII |
|||||||||||||
(In billions) |
||||||||||||||||
SMFG Consolidated |
||||||||||||||||
Parallel shock up |
¥ | 295.8 | ¥ | (506.1 | ) | ¥ | 287.1 | ¥ | (462.5 | ) | ||||||
Parallel shock down |
172.7 | 692.7 | 85.5 | 664.4 | ||||||||||||
Steepener shock |
40.5 | — | 165.1 | — | ||||||||||||
Flattener shock |
224.6 | — | 36.2 | — | ||||||||||||
Short rate shock up |
173.9 | — | 64.6 | — | ||||||||||||
Short rate shock down |
39.8 | — | 67.4 | — | ||||||||||||
Maximum |
295.8 | 692.7 | 287.1 | 664.4 |
At March 31, 2024 |
At March 31, 2023 |
|||||||
(In billions) |
||||||||
Tier 1 Capital |
¥ | 13,311.6 | ¥ | 11,548.9 |
Note: | ΔEVE and ΔNII are calculated by currency and the results are aggregated across the various currencies. For ΔNII, only Japanese yen and U.S. dollars are included in the calculation. These are the material currencies where interest rate sensitive assets and liabilities are more than 5% of total assets and liabilities. |
Item 12. |
Description of Securities other than Equity Securities |
Service |
Fees | |
Issuance of ADSs | Up to U.S. 5¢ per ADS issued | |
Cancellation of ADSs | Up to U.S. 5¢ per ADS canceled | |
Distribution of cash dividends or other cash distributions | Up to U.S. 5¢ per ADS held | |
Distribution of ADSs pursuant to stock dividends, free stock distributions or exercises of rights | Up to U.S. 5¢ per ADS held | |
Distribution of securities other than ADSs or rights to purchase additional ADSs | Up to U.S. 5¢ per ADS held | |
Depositary services | Up to U.S. 5¢ per ADS held on the applicable record date(s) established by the depositary |
• | taxes (including applicable interest and penalties) and other governmental charges; |
• | the registration fees applicable to transfers of shares or other deposited securities to or from the name of the custodian, the depositary or any nominees upon the making of deposits or withdrawals, respectively; |
• | the cable, telex and facsimile transmission and delivery expenses expressly provided in the deposit agreement to be at the expense of the person depositing or withdrawing shares or holders and beneficial owners of ADSs; |
• | the expenses and charges incurred by the depositary in the conversion of foreign currency; |
• | the fees and expenses incurred by the depositary in connection with compliance with exchange control regulations and other regulatory requirements applicable to shares, deposited securities, ADSs and ADRs; and |
• | the fees and expenses incurred by the depositary, the custodian or any nominee in connection with the servicing or delivery of deposited securities. |
Item 13. |
Defaults, Dividend Arrearages and Delinquencies |
Item 14. |
Material Modifications to the Rights of Security Holders and Use of Proceeds |
Item 15. |
Controls and Procedures |
(i) | pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of our assets; |
(ii) | provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with IFRS, and that our receipts and expenditures are being made only in accordance with authorizations of our management and directors; and |
(iii) | provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of our assets that could have a material effect on the financial statements. |
Item 16A. |
Audit Committee Financial Expert |
Item 16B. |
Code of Ethics |
Item 16C. |
Principal Accountant Fees and Services |
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Audit fees (1) |
¥ | 6,961 | ¥ | 6,636 | ||||
Audit-related fees (2) |
444 | 337 | ||||||
Tax fees (3) |
48 | 50 | ||||||
All other fees (4) |
24 | 44 | ||||||
Total |
¥ | 7,477 | ¥ | 7,067 | ||||
(1) | Audit fees primarily include fees for the audit of our and our subsidiaries’ annual financial statements and fees for the services that are normally provided in connection with our statutory and regulatory filings. |
(2) | Audit-related fees primarily include fees for attestation and related services that are not reported under audit fees. |
(3) | Tax fees primarily include fees for tax compliance, assistance with preparation of tax return filings and tax advisory services. |
(4) | All other fees include fees for a gap analysis on system security controls in overseas offices. |
Item 16D. |
Exemptions from the Listing Standards for the Audit Committee |
Item 16E. |
Purchases of Equity Securities by the Issuer and Affiliated Purchasers |
Total number of shares purchased (1)(2) |
Average price paid per share |
Total number of shares purchased as part of publicly announced plans or programs (3)(4) |
Maximum number of shares that may yet be purchased under the plans or programs (3) (4) |
|||||||||||||
April 1 to April 30, 2023 |
5,525,957 | ¥ | 5,469 | 5,524,700 | 28,856,300 | |||||||||||
May 1 to May 31, 2023 |
5,025,129 | 5,647 | 5,023,400 | 23,832,900 | ||||||||||||
June 1 to June 30, 2023 |
474,758 | 5,654 | 472,900 | 23,360,000 | ||||||||||||
July 1 to July 31, 2023 |
1,899 | 6,264 | — | — | ||||||||||||
August 1 to August 31, 2023 |
2,381 | 6,444 | — | — | ||||||||||||
September 1 to September 30, 2023 |
2,621 | 7,233 | — | — | ||||||||||||
October 1 to October 31, 2023 |
1,863 | 7,314 | — | — | ||||||||||||
November 1 to November 30, 2023 |
2,899,636 | 7,375 | 2,898,100 | 23,101,900 | ||||||||||||
December 1 to December 31, 2023 |
7,355,199 | 7,005 | 7,353,100 | 15,748,800 | ||||||||||||
January 1 to January 31, 2024 |
4,226,826 | 7,255 | 4,224,500 | 11,524,300 | ||||||||||||
February 1 to February 29, 2024 |
2,946,766 | 7,807 | 2,943,700 | 8,580,600 | ||||||||||||
March 1 to March 31, 2024 |
2,715,907 | 8,663 | 2,712,600 | 5,868,000 | ||||||||||||
Total |
31,178,942 | ¥ | 6,782 | 31,153,000 | — | |||||||||||
(1) | A total of 25,942 shares were purchased other than through a publicly announced plan or program during the fiscal year ended March 31, 2024, due to our purchases of shares constituting less than one unit from registered holders of such shares at the current market prices of those shares. |
(2) | Pursuant to our stock compensation plans utilizing restricted stock for executives, after the expiration of applicable time periods, a certain amount of the shares initially allotted to executives are released from transfer restrictions. We retrieve the allotted but unreleased shares from the executives at nil cost. See “Item 6.E. Share Ownership.” A total of 39,730 shares were retrieved from executives at nil cost during the fiscal year ended March 31, 2024. In addition, some shares were retrieved from executives at nil cost, based on agreements on the allotment of restricted shares. These shares which were retrieved from executives at nil cost are excluded from the total number of shares purchased in this table. |
(3) | On November 14, 2022, we announced that our board of directors resolved to repurchase shares of our common stock and cancel all the repurchased shares. The resolution authorized the repurchase of up to the lesser of (i) an aggregate of 61,000,000 shares of our common stock and (ii) an aggregate of ¥200 billion between November 15, 2022 and May 31, 2023. During the fiscal year ended March 31, 2023, |
pursuant to the resolution, we repurchased 26,619,000 shares of our common stock for ¥139 billion in aggregate. On June 1, 2023, we announced that we completed the repurchase pursuant to the resolution, acquiring 37,640,000 shares of our common stock for ¥200 billion in aggregate. We cancelled all of the repurchased shares on June 20, 2023. |
(4) | On November 14, 2023, we announced that our board of directors resolved to repurchase shares of our common stock and cancel all the repurchased shares. The resolution authorized the repurchase of up to the lesser of (i) an aggregate of 26,000,000 shares of our common stock and (ii) an aggregate of ¥150 billion between November 15, 2023 and March 31, 2024. On March 22, 2024, we completed the repurchase pursuant to the resolution, acquiring 20,132,000 shares of our common stock for ¥150 billion in aggregate. We cancelled all of the repurchased shares on April 15, 2024. |
Item 16F. |
Change in Registrant’s Certifying Accountant |
Item 16G. |
Corporate Governance |
• | U.S. companies listed on the NYSE are required to have a majority of directors that meet the independence requirements under Section 303A of the NYSE’s Listed Company Manual. Under the Companies Act, we are required to have three statutory committees consisting of members of our board of directors, of which the majority must be outside directors. Currently, seven of our thirteen directors are outside directors who meet the requirements under the Companies Act. |
• | U.S. companies listed on the NYSE are required to have an audit committee composed entirely of independent directors. Under the Companies Act, we are required to have an audit committee that consists of three or more members of our board of directors, of which the majority must be outside directors. Currently, three of the five members of our audit committee are outside directors that meet the requirements under the Companies Act. Our audit committee satisfies the requirements of Rule 10A-3 under the Exchange Act, including the independence requirements thereunder. |
• | A NYSE-listed U.S. company is required to have a nominating/corporate governance committee and a compensation committee, all of which must be composed entirely of independent directors. The members of the compensation committee must satisfy additional requirements set forth in Section 303A.02(a)(ii) of the NYSE Listed Company Manual. A compensation committee must also |
have the authority to, in its sole discretion, retain or obtain the advice of a compensation consultant, independent legal counsel or other adviser. This authority is subject to the committee’s consideration of certain criteria set forth in Section 303A.05(c) of the NYSE Listed Company Manual regarding the independence of the adviser. Under the Companies Act, we are required to establish a nominating committee and a compensation committee, each of which consisting of at least three directors and of which the majority of the members must be outside directors. Currently, four of the five members of our nominating committee and four of the six members of compensation committee are outside directors who meet the requirements under the Companies Act. |
• | A NYSE-listed U.S. company must adopt a code of business conduct and ethics and must post the code on its website. While we are not required to adopt such code under Japanese law or the rules of stock exchanges in Japan on which we are listed, we maintain our code of conduct and ethics as our standard for corporate conduct to be observed by our directors, officers and employees. |
• | A NYSE-listed U.S. company must adopt corporate governance guidelines and must post the guidelines on its website. While we are not required to adopt such guidelines under Japanese law, the rules of the stock exchanges in Japan on which we are listed, including the Tokyo Stock Exchange, require listed companies, including us, to comply with the principles of the Corporate Governance Code established by those stock exchanges and, in cases of noncompliance with some or all of the principles, to disclose the reasons for such noncompliance. We established the SMFG Corporate Governance Guideline, in consideration of the Corporate Governance Code, to present our basic views and guidelines on corporate governance and improve our corporate governance system. The SMFG Corporate Governance Guideline is available on our website (the contents of which are not incorporated by reference in this annual report). |
• | A NYSE-listed U.S. company must hold regularly scheduled executive sessions where participants are limited to non-management directors. While we are not required to hold such sessions under the Companies Act, the SMFG Corporate Governance Guideline provides that our outside directors, who are neither executive directors, executive corporate officers nor employees, will endeavor to exchange information and develop a shared awareness among them regarding matters relating to the corporate governance and business of SMBC Group from an independent and objective standpoint. The SMFG Corporate Governance Guideline further provides, as a concrete way of exchanging information and developing this shared awareness, that outside directors may hold meetings that only outside directors may attend, as necessary. |
• | A NYSE-listed U.S. company must generally obtain shareholder approval with respect to any equity compensation plan, subject to limited exemptions. Under the Companies Act, companies with three statutory committees such as us are not required to obtain shareholder approval with respect to equity compensation plans. In this case, the compensation committee is required to establish policies in regard to the determination of the compensation of the directors and corporate executive officers, including stock compensation plans that utilize restricted stock, and determines the compensation of the individual directors and corporate executive officers in accordance with such policies. For details of the equity compensation plan introduced by us, see “Item 6.E. Share Ownership.” |
Item 16H. |
Mine Safety Disclosure |
Item 16I. |
Disclosure Regarding Foreign Jurisdictions that Prevent Inspections |
Item 16J. |
Insider Trading Policies |
Item 16K. |
Cybersecurity |
Item 17. |
Financial Statements |
Item 18. |
Financial Statements |
Item 19. |
Exhibits |
Exhibit 101. INS | Inline XBRL Instance Document—the instance document does not appear in the Interactive Data File because its XBRL tags are embedded within the Inline XBRL document | |
Exhibit 101. SCH | Inline XBRL Taxonomy Extension Schema | |
Exhibit 101. CAL | Inline XBRL Taxonomy Extension Calculation Linkbase | |
Exhibit 101. DEF | Inline XBRL Taxonomy Extension Definition Linkbase | |
Exhibit 101. LAB | Inline XBRL Taxonomy Extension Label Linkbase | |
Exhibit 101. PRE | Inline XBRL Taxonomy Extension Presentation Linkbase | |
Exhibit 104 | The cover page for the Company’s Annual Report on Form 20-F for the year ended March 31, 2024, has been formatted in Inline XBRL |
Sumitomo Mitsui Financial Group, Inc. | ||||
By: | /s/ Toru Nakashima | |||
Name: | Toru Nakashima | |||
Title: | President and Group Chief Executive Officer |
I. |
Distribution of Assets, Liabilities and Equity; Interest Rates and Interest Differential |
For the fiscal year ended March 31, |
||||||||||||||||||||||||||||||||||||
2024 |
2023 |
2022 |
||||||||||||||||||||||||||||||||||
Average balance |
Interest income |
Average rate |
Average balance |
Interest income |
Average rate |
Average balance |
Interest income |
Average rate |
||||||||||||||||||||||||||||
(In millions, except percentages) |
||||||||||||||||||||||||||||||||||||
Interest-earning assets: |
||||||||||||||||||||||||||||||||||||
Interest-earning deposits with banks: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
¥ | 773,938 | ¥ | 7,039 | 0.91 | % | ¥ | 825,919 | ¥ | 8,889 | 1.08 | % | ¥ | 892,460 | ¥ | 2,219 | 0.25 | % | ||||||||||||||||||
Foreign offices |
11,070,392 | 572,765 | 5.17 | % | 10,400,549 | 300,815 | 2.89 | % | 7,353,392 | 17,825 | 0.24 | % | ||||||||||||||||||||||||
Total |
11,844,330 | 579,804 | 4.90 | % | 11,226,468 | 309,704 | 2.76 | % | 8,245,852 | 20,044 | 0.24 | % | ||||||||||||||||||||||||
Call loans and bills bought, reverse repurchase agreements and cash collateral on securities borrowed: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
11,379,074 | 79,841 | 0.70 | % | 11,158,315 | 27,777 | 0.25 | % | 11,014,326 | (3,131 | ) | (0.03 | %) | |||||||||||||||||||||||
Foreign offices |
8,536,516 | 328,524 | 3.85 | % | 6,192,287 | 102,839 | 1.66 | % | 3,723,704 | 23,662 | 0.64 | % | ||||||||||||||||||||||||
Total |
19,915,590 | 408,365 | 2.05 | % | 17,350,602 | 130,616 | 0.75 | % | 14,738,030 | 20,531 | 0.14 | % | ||||||||||||||||||||||||
Trading assets (1) and financial assets at fair value through profit or loss(2) : |
||||||||||||||||||||||||||||||||||||
Domestic offices |
3,704,566 | 13,848 | 0.37 | % | 3,111,209 | 10,849 | 0.35 | % | 3,462,438 | 14,325 | 0.41 | % | ||||||||||||||||||||||||
Foreign offices |
1,581,322 | 43,199 | 2.73 | % | 841,188 | 26,965 | 3.21 | % | 391,739 | 7,480 | 1.91 | % | ||||||||||||||||||||||||
Total |
5,285,888 | 57,047 | 1.08 | % | 3,952,397 | 37,814 | 0.96 | % | 3,854,177 | 21,805 | 0.57 | % | ||||||||||||||||||||||||
Investment securities (3) : |
||||||||||||||||||||||||||||||||||||
Domestic offices |
18,289,128 | 236,610 | 1.29 | % | 18,999,935 | 82,984 | 0.44 | % | 20,679,429 | 42,126 | 0.20 | % | ||||||||||||||||||||||||
Foreign offices |
7,843,093 | 257,098 | 3.28 | % | 6,051,591 | 135,027 | 2.23 | % | 5,108,333 | 81,068 | 1.59 | % | ||||||||||||||||||||||||
Total |
26,132,221 | 493,708 | 1.89 | % | 25,051,526 | 218,011 | 0.87 | % | 25,787,762 | 123,194 | 0.48 | % | ||||||||||||||||||||||||
Loans and advances (4) : |
||||||||||||||||||||||||||||||||||||
Domestic offices |
69,795,241 | 1,203,417 | 1.72 | % | 66,849,437 | 1,002,229 | 1.50 | % | 64,172,223 | 828,723 | 1.29 | % | ||||||||||||||||||||||||
Foreign offices |
47,182,431 | 3,259,104 | 6.91 | % | 46,551,468 | 2,035,516 | 4.37 | % | 33,983,382 | 755,162 | 2.22 | % | ||||||||||||||||||||||||
Total |
116,977,672 | 4,462,521 | 3.81 | % | 113,400,905 | 3,037,745 | 2.68 | % | 98,155,605 | 1,583,885 | 1.61 | % | ||||||||||||||||||||||||
Total interest-earning assets: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
103,941,947 | 1,540,755 | 1.48 | % | 100,944,815 | 1,132,728 | 1.12 | % | 100,220,876 | 884,262 | 0.88 | % | ||||||||||||||||||||||||
Foreign offices |
76,213,754 | 4,460,690 | 5.85 | % | 70,037,083 | 2,601,162 | 3.71 | % | 50,560,550 | 885,197 | 1.75 | % | ||||||||||||||||||||||||
Total |
180,155,701 | ¥ | 6,001,445 | 3.33 | % | 170,981,898 | ¥ | 3,733,890 | 2.18 | % | 150,781,426 | ¥ | 1,769,459 | 1.17 | % | |||||||||||||||||||||
Non-interest-earning assets: |
||||||||||||||||||||||||||||||||||||
Cash and due from banks |
67,079,636 | 63,274,729 | 63,922,778 | |||||||||||||||||||||||||||||||||
Other non-interest-earning assets |
29,718,916 | 25,340,810 | 21,337,859 | |||||||||||||||||||||||||||||||||
Allowance for loan losses |
(925,084 | ) | (967,519 | ) | (836,474 | ) | ||||||||||||||||||||||||||||||
Total non-interest-earning assets |
95,873,468 | 87,648,020 | 84,424,163 | |||||||||||||||||||||||||||||||||
Total assets |
¥ | 276,029,169 | ¥ | 258,629,918 | ¥ | 235,205,589 | ||||||||||||||||||||||||||||||
Total assets attributable to foreign offices |
32.3 | % | 32.0 | % | 25.2 | % |
For the fiscal year ended March 31, |
||||||||||||||||||||||||||||||||||||
2024 |
2023 |
2022 |
||||||||||||||||||||||||||||||||||
Average balance |
Interest expense |
Average rate |
Average balance |
Interest expense |
Average rate |
Average balance |
Interest expense |
Average rate |
||||||||||||||||||||||||||||
(In millions, except percentages) |
||||||||||||||||||||||||||||||||||||
Interest-bearing liabilities: |
||||||||||||||||||||||||||||||||||||
Deposits: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
¥ | 103,168,004 | ¥ | 217,776 | 0.21% | ¥ | 101,243,116 | ¥ | 99,999 | 0.10% | ¥ | 97,534,028 | ¥ | 8,531 | 0.01% | |||||||||||||||||||||
Foreign offices |
41,198,120 | 1,955,469 | 4.75% | 38,080,063 | 968,751 | 2.54% | 28,176,552 | 93,460 | 0.33% | |||||||||||||||||||||||||||
Total |
144,366,124 | 2,173,245 | 1.51% | 139,323,179 | 1,068,750 | 0.77% | 125,710,580 | 101,991 | 0.08% | |||||||||||||||||||||||||||
Call money and bills sold, repurchase agreements and cash collateral on securities lent: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
12,475,833 | 360,268 | 2.89% | 11,764,350 | 108,498 | 0.92% | 11,403,604 | (626 | ) | (0.01%) | ||||||||||||||||||||||||||
Foreign offices |
8,390,852 | 448,131 | 5.34% | 7,620,598 | 190,693 | 2.50% | 6,204,348 | 7,652 | 0.12% | |||||||||||||||||||||||||||
Total |
20,866,685 | 808,399 | 3.87% | 19,384,948 | 299,191 | 1.54% | 17,607,952 | 7,026 | 0.04% | |||||||||||||||||||||||||||
Trading liabilities (1) : |
||||||||||||||||||||||||||||||||||||
Domestic offices |
3,259,973 | 18,352 | 0.56% | 2,786,212 | 19,889 | 0.71% | 2,372,402 | 23,065 | 0.97% | |||||||||||||||||||||||||||
Foreign offices |
578,065 | 20,971 | 3.63% | 314,020 | 8,767 | 2.79% | 187,569 | 2,773 | 1.48% | |||||||||||||||||||||||||||
Total |
3,838,038 | 39,323 | 1.02% | 3,100,232 | 28,656 | 0.92% | 2,559,971 | 25,838 | 1.01% | |||||||||||||||||||||||||||
Financial liabilities designated at fair value through profit or loss (2) : |
||||||||||||||||||||||||||||||||||||
Domestic offices |
171,350 | 313 | 0.18% | 87,941 | 113 | 0.13% | 54,090 | 22 | 0.04 % | |||||||||||||||||||||||||||
Foreign offices |
211,071 | 1,834 | 0.87% | 246,968 | 477 | 0.19% | 230,771 | (345 | ) | (0.15%) | ||||||||||||||||||||||||||
Total |
382,421 | 2,147 | 0.56% | 334,909 | 590 | 0.18% | 284,861 | (323 | ) | (0.11%) | ||||||||||||||||||||||||||
Borrowings and other interest-bearing liabilities: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
16,314,414 | 112,145 | 0.69% | 16,888,382 | 67,692 | 0.40% | 20,273,371 | 31,957 | 0.16% | |||||||||||||||||||||||||||
Foreign offices |
1,480,614 | 85,426 | 5.77% | 1,152,211 | 58,928 | 5.11% | 548,899 | 17,832 | 3.25% | |||||||||||||||||||||||||||
Total |
17,795,028 | 197,571 | 1.11% | 18,040,593 | 126,620 | 0.70% | 20,822,270 | 49,789 | 0.24% | |||||||||||||||||||||||||||
Commercial Paper: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
1,068,437 | 218 | 0.02% | 707,581 | 37 | 0.01% | 489,173 | 17 | 0.00% | |||||||||||||||||||||||||||
Foreign offices |
2,244,468 | 114,246 | 5.09% | 2,261,246 | 45,274 | 2.00% | 2,014,393 | 2,188 | 0.11% | |||||||||||||||||||||||||||
Total |
3,312,905 | 114,464 | 3.46% | 2,968,827 | 45,311 | 1.53% | 2,503,566 | 2,205 | 0.09% | |||||||||||||||||||||||||||
Bonds: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
9,293,908 | 609,336 | 6.56% | 8,421,651 | 314,136 | 3.73% | 8,580,141 | 99,154 | 1.16% | |||||||||||||||||||||||||||
Foreign offices |
198,853 | 16,969 | 8.53% | 303,571 | 13,866 | 4.57% | 84,274 | 5,146 | 6.11% | |||||||||||||||||||||||||||
Total |
9,492,761 | 626,305 | 6.60% | 8,725,222 | 328,002 | 3.76% | 8,664,415 | 104,300 | 1.20% | |||||||||||||||||||||||||||
Premiums for deposit insurance and others: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
— | 26,579 | — | — | 20,696 | — | — | 36,222 | — | |||||||||||||||||||||||||||
Foreign offices |
— | 107,072 | — | — | 52,436 | — | — | 2,183 | — | |||||||||||||||||||||||||||
Total |
— | 133,651 | — | — | 73,132 | — | — | 38,405 | — | |||||||||||||||||||||||||||
Total interest-bearing liabilities: |
||||||||||||||||||||||||||||||||||||
Domestic offices |
145,751,919 | 1,344,987 | 0.92% | 141,899,233 | 631,060 | 0.44% | 140,706,809 | 198,342 | 0.14% | |||||||||||||||||||||||||||
Foreign offices |
54,302,043 | 2,750,118 | 5.06% | 49,978,677 | 1,339,192 | 2.68% | 37,446,806 | 130,889 | 0.35% | |||||||||||||||||||||||||||
Total |
200,053,962 | ¥ | 4,095,105 | 2.05% | 191,877,910 | ¥ | 1,970,252 | 1.03% | 178,153,615 | ¥ | 329,231 | 0.18% | ||||||||||||||||||||||||
Non-interest-bearing liabilities: |
||||||||||||||||||||||||||||||||||||
Non-interest-bearing demand deposits |
34,769,805 | 32,230,705 | 29,116,236 | |||||||||||||||||||||||||||||||||
Other non-interest-bearing liabilities |
26,300,081 | 21,254,281 | 15,295,178 | |||||||||||||||||||||||||||||||||
Total non-interest-bearing liabilities |
61,069,886 | 53,484,986 | 44,411,414 | |||||||||||||||||||||||||||||||||
Total equity |
14,905,321 | 13,267,022 | 12,640,560 | |||||||||||||||||||||||||||||||||
Total equity and liabilities |
¥ | 276,029,169 | ¥ | 258,629,918 | ¥ | 235,205,589 | ||||||||||||||||||||||||||||||
Total liabilities attributable to foreign offices |
25.4 | % | 24.4 | % | 19.1 | % | ||||||||||||||||||||||||||||||
Net interest income and interest rate spread |
¥ | 1,906,340 | 1.28% | ¥ | 1,763,638 | 1.15% | ¥ | 1,440,228 | 0.99% | |||||||||||||||||||||||||||
Net interest income as a percentage of total interest-earning assets |
1.06% | 1.03% | 0.96% | |||||||||||||||||||||||||||||||||
(1) | The net amount of interest income on trading assets and interest expense on trading liabilities is reported as net trading income in our consolidated income statements. |
(2) | Interest income and expense on financial assets and liabilities at fair value through profit or loss are reported in net income from financial assets and liabilities at fair value through profit or loss in our consolidated income statements. |
(3) | Taxable investment securities and non-taxable investment securities are not disclosed separately because the aggregate effect of these average balances and interest income would not be material. In addition, the yields on tax-exempt obligations have not been calculated on a tax equivalent basis because the effect of such calculation would not be material. |
(4) | Loans and advances include impaired loans and advances. The amortized portion of net loan origination fees is included in interest income on loans and advances. |
Fiscal year ended March 31, 2024 compared to fiscal year ended March 31, 2023 Increase / (decrease) |
Fiscal year ended March 31, 2023 compared to fiscal year ended March 31, 2022 Increase / (decrease) |
|||||||||||||||||||||||
Volume |
Rate |
Net change |
Volume |
Rate |
Net change |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Interest income: |
||||||||||||||||||||||||
Interest-earning deposits with banks: |
||||||||||||||||||||||||
Domestic offices |
¥ | (536 | ) | ¥ | (1,314 | ) | ¥ | (1,850 | ) | ¥ | (178 | ) | ¥ | 6,848 | ¥ | 6,670 | ||||||||
Foreign offices |
20,511 | 251,439 | 271,950 | 10,234 | 272,756 | 282,990 | ||||||||||||||||||
Total |
19,975 | 250,125 | 270,100 | 10,056 | 279,604 | 289,660 | ||||||||||||||||||
Call loans and bills bought, reverse repurchase agreements and cash collateral on securities borrowed: |
||||||||||||||||||||||||
Domestic offices |
563 | 51,501 | 52,064 | (43 | ) | 30,951 | 30,908 | |||||||||||||||||
Foreign offices |
50,361 | 175,324 | 225,685 | 23,196 | 55,981 | 79,177 | ||||||||||||||||||
Total |
50,924 | 226,825 | 277,749 | 23,153 | 86,932 | 110,085 | ||||||||||||||||||
Trading assets (1) and financial assets at fair value through profit or loss(2) : |
||||||||||||||||||||||||
Domestic offices |
2,168 | 831 | 2,999 | (1,354 | ) | (2,122 | ) | (3,476 | ) | |||||||||||||||
Foreign offices |
20,722 | (4,488 | ) | 16,234 | 12,252 | 7,233 | 19,485 | |||||||||||||||||
Total |
22,890 | (3,657 | ) | 19,233 | 10,898 | 5,111 | 16,009 | |||||||||||||||||
Investment securities: |
||||||||||||||||||||||||
Domestic offices |
(3,242 | ) | 156,868 | 153,626 | (3,614 | ) | 44,472 | 40,858 | ||||||||||||||||
Foreign offices |
47,212 | 74,859 | 122,071 | 16,896 | 37,063 | 53,959 | ||||||||||||||||||
Total |
43,970 | 231,727 | 275,697 | 13,282 | 81,535 | 94,817 | ||||||||||||||||||
Loans and advances: |
||||||||||||||||||||||||
Domestic offices |
45,684 | 155,504 | 201,188 | 35,683 | 137,823 | 173,506 | ||||||||||||||||||
Foreign offices |
27,938 | 1,195,650 | 1,223,588 | 353,683 | 926,671 | 1,280,354 | ||||||||||||||||||
Total |
73,622 | 1,351,154 | 1,424,776 | 389,366 | 1,064,494 | 1,453,860 | ||||||||||||||||||
Total interest income: |
||||||||||||||||||||||||
Domestic offices |
44,637 | 363,390 | 408,027 | 30,494 | 217,972 | 248,466 | ||||||||||||||||||
Foreign offices |
166,744 | 1,692,784 | 1,859,528 | 416,261 | 1,299,704 | 1,715,965 | ||||||||||||||||||
Total |
¥ | 211,381 | ¥ | 2,056,174 | ¥ | 2,267,555 | ¥ | 446,755 | ¥ | 1,517,676 | ¥ | 1,964,431 | ||||||||||||
Fiscal year ended March 31, 2024 compared to fiscal year ended March 31, 2023 Increase / (decrease) |
Fiscal year ended March 31, 2023 compared to fiscal year ended March 31, 2022 Increase / (decrease) |
|||||||||||||||||||||||
Volume |
Rate |
Net change |
Volume |
Rate |
Net change |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Interest expense: |
||||||||||||||||||||||||
Deposits: |
||||||||||||||||||||||||
Domestic offices |
¥ | 1,961 | ¥ | 115,816 | ¥ | 117,777 | ¥ | 385 | ¥ | 91,083 | ¥ | 91,468 | ||||||||||||
Foreign offices |
85,126 | 901,592 | 986,718 | 43,596 | 831,695 | 875,291 | ||||||||||||||||||
Total |
87,087 | 1,017,408 | 1,104,495 | 43,981 | 922,778 | 966,759 | ||||||||||||||||||
Call money and bills sold, repurchase agreements and cash collateral on securities lent: |
||||||||||||||||||||||||
Domestic offices |
6,931 | 244,839 | 251,770 | (35 | ) | 109,159 | 109,124 | |||||||||||||||||
Foreign offices |
21,044 | 236,394 | 257,438 | 2,083 | 180,958 | 183,041 | ||||||||||||||||||
Total |
27,975 | 481,233 | 509,208 | 2,048 | 290,117 | 292,165 | ||||||||||||||||||
Trading liabilities (1) : |
||||||||||||||||||||||||
Domestic offices |
3,047 | (4,584 | ) | (1,537 | ) | 3,590 | (6,766 | ) | (3,176 | ) | ||||||||||||||
Foreign offices |
9,000 | 3,204 | 12,204 | 2,588 | 3,406 | 5,994 | ||||||||||||||||||
Total |
12,047 | (1,380 | ) | 10,667 | 6,178 | (3,360 | ) | 2,818 | ||||||||||||||||
Financial liabilities designated at fair value through profit or loss (2) : |
||||||||||||||||||||||||
Domestic offices |
138 | 62 | 200 | 20 | 71 | 91 | ||||||||||||||||||
Foreign offices |
(78 | ) | 1,435 | 1,357 | (23 | ) | 845 | 822 | ||||||||||||||||
Total |
60 | 1,497 | 1,557 | (3 | ) | 916 | 913 | |||||||||||||||||
Borrowings and other interest-bearing liabilities: |
||||||||||||||||||||||||
Domestic offices |
(2,370 | ) | 46,823 | 44,453 | (6,230 | ) | 41,965 | 35,735 | ||||||||||||||||
Foreign offices |
18,273 | 8,225 | 26,498 | 26,987 | 14,109 | 41,096 | ||||||||||||||||||
Total |
15,903 | 55,048 | 70,951 | 20,757 | 56,074 | 76,831 | ||||||||||||||||||
Commercial Paper: |
||||||||||||||||||||||||
Domestic offices |
48 | 133 | 181 | — | 20 | 20 | ||||||||||||||||||
Foreign offices |
(338 | ) | 69,310 | 68,972 | 305 | 42,781 | 43,086 | |||||||||||||||||
Total |
(290 | ) | 69,443 | 69,153 | 305 | 42,801 | 43,106 | |||||||||||||||||
Bonds: |
||||||||||||||||||||||||
Domestic offices |
35,500 | 259,700 | 295,200 | (1,872 | ) | 216,854 | 214,982 | |||||||||||||||||
Foreign offices |
(5,966 | ) | 9,069 | 3,103 | 10,320 | (1,600 | ) | 8,720 | ||||||||||||||||
Total |
29,534 | 268,769 | 298,303 | 8,448 | 215,254 | 223,702 | ||||||||||||||||||
Premiums for deposit insurance and others: |
||||||||||||||||||||||||
Domestic offices |
5,883 | — | 5,883 | (15,526 | ) | — | (15,526 | ) | ||||||||||||||||
Foreign offices |
54,636 | — | 54,636 | 50,253 | — | 50,253 | ||||||||||||||||||
Total |
60,519 | — | 60,519 | 34,727 | — | 34,727 | ||||||||||||||||||
Total interest expense: |
||||||||||||||||||||||||
Domestic offices |
51,138 | 662,789 | 713,927 | (19,668 | ) | 452,386 | 432,718 | |||||||||||||||||
Foreign offices |
181,697 | 1,229,229 | 1,410,926 | 136,109 | 1,072,194 | 1,208,303 | ||||||||||||||||||
Total |
¥ | 232,835 | ¥ | 1,892,018 | ¥ | 2,124,853 | ¥ | 116,441 | ¥ | 1,524,580 | ¥ | 1,641,021 | ||||||||||||
Net interest income: |
||||||||||||||||||||||||
Domestic offices |
¥ | (6,501 | ) | ¥ | (299,399 | ) | ¥ | (305,900 | ) | ¥ | 50,162 | ¥ | (234,414 | ) | ¥ | (184,252 | ) | |||||||
Foreign offices |
(14,953 | ) | 463,555 | 448,602 | 280,152 | 227,510 | 507,662 | |||||||||||||||||
Total |
¥ | (21,454 | ) | ¥ | 164,156 | ¥ | 142,702 | ¥ | 330,314 | ¥ | (6,904 | ) | ¥ | 323,410 | ||||||||||
(1) | The net amount of interest income on trading assets and interest expense on trading liabilities is reported as net trading income in our consolidated income statements. |
(2) | Interest income and expense on financial assets and liabilities at fair value through profit or loss are reported in net income from financial assets and liabilities at fair value through profit or loss in our consolidated income statements. |
II. |
Investments in Debt Securities |
At March 31, 2024 |
||||||||||||||||||||
Not later than one year |
Later than one year and not later than five years |
Later than five years and not later than ten years |
Later than ten years |
Total |
||||||||||||||||
Debt instruments at amortized cost: |
||||||||||||||||||||
Domestic: |
||||||||||||||||||||
Japanese government bonds |
— | 0.03 | % | — | — | 0.03 | % | |||||||||||||
Japanese municipal bonds |
— | 0.24 | % | 0.09 | % | — | 0.21 | % | ||||||||||||
Japanese corporate bonds |
— | 0.38 | % | — | — | 0.38 | % | |||||||||||||
Total domestic |
— | 0.17 | % | 0.09 | % | — | 0.16 | % | ||||||||||||
Foreign: |
||||||||||||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
6.43 | % | 6.16 | % | 6.52 | % | — | 6.35 | % | |||||||||||
Mortgage-backed securities |
— | — | 4.11 | % | 5.62 | % | 5.39 | % | ||||||||||||
Other debt instruments |
4.91 | % | 5.51 | % | — | — | 5.42 | % | ||||||||||||
Total foreign |
6.42 | % | 6.12 | % | 6.32 | % | 5.62 | % | 6.30 | % | ||||||||||
Total |
6.42 | % | 0.82 | % | 1.21 | % | 5.62 | % | 1.76 | % | ||||||||||
Debt instruments at fair value through other comprehensive income: |
||||||||||||||||||||
Domestic: |
||||||||||||||||||||
Japanese government bonds |
(0.09 | %) | (0.07 | %) | 0.07 | % | 0.24 | % | (0.07 | %) | ||||||||||
Japanese municipal bonds |
0.02 | % | 0.04 | % | 0.13 | % | 0.17 | % | 0.10 | % | ||||||||||
Japanese corporate bonds |
0.86 | % | 0.08 | % | 0.14 | % | 0.40 | % | 0.31 | % | ||||||||||
Other debt instruments |
0.00 | % | — | — | — | 0.00 | % | |||||||||||||
Total domestic |
(0.08 | %) | (0.04 | %) | 0.12 | % | 0.32 | % | (0.01 | %) | ||||||||||
Foreign: |
||||||||||||||||||||
U.S. Treasury and other U.S. government agency bonds |
2.47 | % | 2.45 | % | 1.84 | % | — | 2.37 | % | |||||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
1.66 | % | 2.80 | % | 2.42 | % | 0.16 | % | 1.85 | % | ||||||||||
Mortgage-backed securities |
— | 4.59 | % | 4.51 | % | 4.74 | % | 4.74 | % | |||||||||||
Other debt instruments |
2.90 | % | 4.33 | % | 1.55 | % | 1.70 | % | 3.14 | % | ||||||||||
Total foreign |
2.02 | % | 2.57 | % | 2.05 | % | 4.36 | % | 2.79 | % | ||||||||||
Total |
0.79 | % | 1.95 | % | 1.23 | % | 3.73 | % | 1.65 | % |
III. |
Loan Portfolio |
Maturity |
||||||||||||||||||||
Not later than one year |
Later than one year and not later than five years |
Later than five years and not later than fifteen years |
Later than fifteen years |
Total |
||||||||||||||||
(In millions) |
||||||||||||||||||||
Domestic: |
||||||||||||||||||||
Manufacturing |
¥ | 5,530,576 | ¥ | 4,071,454 | ¥ | 1,339,225 | ¥ | 339,013 | ¥ | 11,280,268 | ||||||||||
Agriculture, forestry, fisheries and mining |
81,510 | 140,667 | 20,781 | 570 | 243,528 | |||||||||||||||
Construction |
595,264 | 363,872 | 121,451 | 26,426 | 1,107,013 | |||||||||||||||
Transportation, communications and public enterprises |
2,059,099 | 2,443,544 | 1,422,019 | 395,913 | 6,320,575 | |||||||||||||||
Wholesale and retail |
3,631,299 | 2,006,136 | 450,592 | 134,378 | 6,222,405 | |||||||||||||||
Finance and insurance |
2,181,377 | 1,529,340 | 160,213 | 6,624 | 3,877,554 | |||||||||||||||
Real estate and goods rental and leasing |
3,515,819 | 8,595,917 | 4,009,473 | 799,837 | 16,921,046 | |||||||||||||||
Services |
2,001,224 | 2,194,115 | 1,076,729 | 177,572 | 5,449,640 | |||||||||||||||
Municipalities |
156,577 | 270,739 | 135,081 | 11,270 | 573,667 | |||||||||||||||
Lease financing |
33,116 | 9,417 | 5,959 | — | 48,492 | |||||||||||||||
Consumer |
4,053,907 | 3,532,683 | 3,894,773 | 4,945,630 | 16,426,993 | |||||||||||||||
Others |
2,434,965 | 202,742 | 52,826 | 692 | 2,691,225 | |||||||||||||||
Total domestic |
26,274,733 | 25,360,626 | 12,689,122 | 6,837,925 | 71,162,406 | |||||||||||||||
Foreign: |
||||||||||||||||||||
Public sector |
39,940 | 459,326 | 94,940 | 4,392 | 598,598 | |||||||||||||||
Financial institutions |
4,178,974 | 5,092,767 | 1,513,112 | 90,010 | 10,874,863 | |||||||||||||||
Commerce and industry |
12,473,248 | 15,096,555 | 5,529,380 | 570,039 | 33,669,222 | |||||||||||||||
Lease financing |
49,638 | 130,113 | 75,441 | 20,871 | 276,063 | |||||||||||||||
Others |
1,492,778 | 3,792,498 | 1,115,152 | 204,540 | 6,604,968 | |||||||||||||||
Total foreign |
18,234,578 | 24,571,259 | 8,328,025 | 889,852 | 52,023,714 | |||||||||||||||
Total |
¥ | 44,509,311 | ¥ | 49,931,885 | ¥ | 21,017,147 | ¥ | 7,727,777 | ¥ | 123,186,120 | ||||||||||
Predetermined rate |
Floating or adjustable rate |
Total |
||||||||||
(In millions) |
||||||||||||
Domestic: |
||||||||||||
Manufacturing |
¥ | 1,929,217 | ¥ | 3,820,475 | ¥ | 5,749,692 | ||||||
Agriculture, forestry, fisheries and mining |
11,640 | 150,378 | 162,018 | |||||||||
Construction |
158,502 | 353,247 | 511,749 | |||||||||
Transportation, communications and public enterprises |
1,521,401 | 2,740,075 | 4,261,476 | |||||||||
Wholesale and retail |
903,359 | 1,687,747 | 2,591,106 | |||||||||
Finance and insurance |
302,459 | 1,393,718 | 1,696,177 | |||||||||
Real estate and goods rental and leasing |
4,499,980 | 8,905,247 | 13,405,227 | |||||||||
Services |
965,784 | 2,482,632 | 3,448,416 | |||||||||
Municipalities |
189,062 | 228,028 | 417,090 | |||||||||
Lease financing |
15,376 | — | 15,376 | |||||||||
Consumer |
3,685,967 | 8,687,119 | 12,373,086 | |||||||||
Others |
157,085 | 99,175 | 256,260 | |||||||||
Total domestic |
14,339,832 | 30,547,841 | 44,887,673 | |||||||||
Foreign: |
||||||||||||
Public sector |
652 | 558,006 | 558,658 | |||||||||
Financial institutions |
686,009 | 6,009,880 | 6,695,889 | |||||||||
Commerce and industry |
2,784,087 | 18,411,887 | 21,195,974 | |||||||||
Lease financing |
168,871 | 57,554 | 226,425 | |||||||||
Others |
516,367 | 4,595,823 | 5,112,190 | |||||||||
Total foreign |
4,155,986 | 29,633,150 | 33,789,136 | |||||||||
Total |
¥ | 18,495,818 | ¥ | 60,180,991 | ¥ | 78,676,809 | ||||||
IV. |
Allowance for Credit Losses |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions, except percentages) |
||||||||||||
Allowance for loan losses |
¥ | 979,000 | ¥ | 864,114 | ¥ | 993,054 | ||||||
Gross loans and advances |
¥ | 123,186,120 | ¥ | 113,143,827 | ¥ | 105,953,699 | ||||||
Ratio of allowance for loan losses to loans and advances |
0.79 | % | 0.76 | % | 0.94 | % |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions, except percentages) |
||||||||||||
Net charge-offs during the period |
¥ | 167,704 | ¥ | 293,336 | ¥ | 153,150 | ||||||
Average loans outstanding during the period |
¥ | 116,977,672 | ¥ | 113,400,905 | ¥ | 98,155,605 | ||||||
Ratio of net charge-offs to average loans outstanding during the period |
0.14 | % | 0.26 | % | 0.16 | % |
For the fiscal year ended March 31, |
||||||||||||||||||||||||
2024 |
2023 |
2022 |
||||||||||||||||||||||
Net charge- offs during the period |
Ratio of net charge-offs to average loans outstanding during the period |
Net charge- offs during the period |
Ratio of net charge-offs to average loans outstanding during the period |
Net charge- offs during the period |
Ratio of net charge-offs to average loans outstanding during the period |
|||||||||||||||||||
(In millions, except percentages) |
||||||||||||||||||||||||
Domestic: |
||||||||||||||||||||||||
Manufacturing |
¥ | 15,594 | 0.14 | % | ¥ | 147,575 | 1.41 | % | ¥ | 14,584 | 0.15 | % | ||||||||||||
Agriculture, forestry, fisheries and mining |
284 | 0.10 | % | — | — | % | 5,461 | 1.85 | % | |||||||||||||||
Construction |
456 | 0.04 | % | 442 | 0.04 | % | 378 | 0.04 | % | |||||||||||||||
Transportation, communications and public enterprises |
238 | 0.00 | % | 6,451 | 0.10 | % | 604 | 0.01 | % | |||||||||||||||
Wholesale and retail |
3,977 | 0.07 | % | 8,020 | 0.13 | % | 3,533 | 0.06 | % | |||||||||||||||
Finance and insurance |
175 | 0.01 | % | 5 | 0.00 | % | — | — | % | |||||||||||||||
Real estate and goods rental and leasing |
831 | 0.01 | % | 100 | 0.00 | % | 190 | 0.00 | % | |||||||||||||||
Services |
1,827 | 0.04 | % | 3,253 | 0.07 | % | 3,762 | 0.08 | % | |||||||||||||||
Consumer |
90,401 | 0.56 | % | 82,010 | 0.53 | % | 89,542 | 0.60 | % | |||||||||||||||
Others |
1,476 | 0.06 | % | 357 | 0.02 | % | 510 | 0.02 | % | |||||||||||||||
Total domestic |
115,259 | 0.17 | % | 248,213 | 0.38 | % | 118,564 | 0.19 | % | |||||||||||||||
Foreign: |
52,445 | 0.11 | % | 45,123 | 0.09 | % | 34,586 | 0.09 | % | |||||||||||||||
Total |
¥ | 167,704 | 0.14 | % | ¥ | 293,336 | 0.26 | % | ¥ | 153,150 | 0.16 | % | ||||||||||||
V. |
Deposits |
For the fiscal year ended March 31 |
||||||||||||||||||||||||
2024 |
2023 |
2022 |
||||||||||||||||||||||
Average amount |
Average rate |
Average amount |
Average rate |
Average amount |
Average rate |
|||||||||||||||||||
(In millions, except percentages) |
||||||||||||||||||||||||
Domestic offices: |
||||||||||||||||||||||||
Non-interest-bearing demand deposits |
¥ | 32,115,337 | — | ¥ | 29,468,962 | — | ¥ | 27,268,871 | — | |||||||||||||||
Interest-bearing demand deposits |
71,997,238 | 0.00 | % | 69,154,600 | 0.00 | % | 65,657,246 | 0.00 | % | |||||||||||||||
Deposits at notice |
817,716 | 0.00 | % | 767,795 | 0.00 | % | 797,908 | 0.00 | % | |||||||||||||||
Time deposits |
16,909,290 | 0.03 | % | 17,474,088 | 0.03 | % | 17,733,387 | 0.03 | % | |||||||||||||||
Negotiable certificates of deposit |
4,242,120 | 0.00 | % | 4,626,441 | 0.00 | % | 5,228,231 | 0.00 | % | |||||||||||||||
Others |
9,201,640 | 2.31 | % | 9,220,192 | 1.02 | % | 8,117,256 | 0.03 | % | |||||||||||||||
Total domestic offices |
135,283,341 | 130,712,078 | 124,802,899 | |||||||||||||||||||||
Foreign offices: |
||||||||||||||||||||||||
Non-interest-bearing demand deposits |
2,654,468 | — | 2,761,743 | — | 1,847,365 | — | ||||||||||||||||||
Interest-bearing demand deposits |
5,516,729 | 3.83 | % | 4,957,671 | 1.86 | % | 4,088,493 | 0.43 | % | |||||||||||||||
Deposits at notice |
13,351,934 | 4.69 | % | 13,579,493 | 2.37 | % | 10,613,593 | 0.01 | % | |||||||||||||||
Time deposits |
12,255,976 | 4.87 | % | 9,819,996 | 2.96 | % | 6,930,976 | 0.79 | % | |||||||||||||||
Negotiable certificates of deposit |
9,959,803 | 5.20 | % | 9,501,520 | 2.76 | % | 6,346,824 | 0.30 | % | |||||||||||||||
Others |
113,678 | 2.26 | % | 221,383 | 0.72 | % | 196,666 | 0.12 | % | |||||||||||||||
Total foreign offices |
43,852,588 | 40,841,806 | 30,023,917 | |||||||||||||||||||||
Total |
¥ | 179,135,929 | ¥ | 171,553,884 | ¥ | 154,826,816 | ||||||||||||||||||
At March 31, 2024 |
||||||||
Domestic offices |
Foreign offices |
|||||||
(In millions) |
||||||||
Uninsured time deposits: |
||||||||
Not later than three months |
¥ | 3,516,883 | ¥ | 7,477,459 | ||||
Later than three months and not later than six months |
1,664,846 | 1,936,587 | ||||||
Later than six months and not later than one year |
2,277,420 | 922,625 | ||||||
Later than one year |
2,004,706 | 728,978 | ||||||
Total (1) |
¥ | 9,463,855 | ¥ | 11,065,649 | ||||
Uninsured negotiable certificates of deposit: |
||||||||
Not later than three months |
¥ | 3,330,633 | ¥ | 7,497,691 | ||||
Later than three months and not later than six months |
112,291 | 2,745,291 | ||||||
Later than six months and not later than one year |
80,500 | 268,008 | ||||||
Later than one year |
60,000 | 577,670 | ||||||
Total |
¥ | 3,583,424 | ¥ | 11,088,660 | ||||
(1) | Time deposits in excess of the Federal Deposit Insurance Corporation insurance limit in U.S. office amounted to ¥2,179 million at March 31, 2024. |
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F-1 38 |
• |
the qualitative assessment of the obligor grading, including the assessment of obligor-specific forward-looking information |
• |
the models and key assumptions to incorporate macroeconomic factors |
• |
the methodologies and key assumptions underlying the adjustments to incorporate portfolio-specific risk factors |
• |
the key assumptions underlying the discounted cash flow projections for the DCF method. |
• |
approval of the ALL methodologies and the assessment of the obligor grading methods |
• |
evaluation of the individual obligor grading, including the qualitative assessment of obligor-specific forward-looking information |
• |
determination of the models and key assumptions used to incorporate macroeconomic factors |
• |
determination of the methodologies and key assumptions underlying the adjustments to incorporate portfolio-specific risk factors |
• |
evaluation of the key assumptions underlying the discounted cash flow projections for the DCF method. |
• |
evaluating the obligor grading methods through the assessment of the consistency of the obligor grades with external ratings, and also through the reperformance of the retrospective review of the methods’ performance |
• |
evaluating the models to incorporate macroeconomic factors by assessing the conceptual soundness and performance test of the models through inspecting the model documentation to determine whether the models operated as intended |
• |
evaluating the methodologies to incorporate portfolio-specific risk factors by assessing the reasonableness of the methodologies through comparing them to peer bank information and also analyzing the result of a retrospective review. |
• |
analyzing the customers’ current business performance and liquidity positions |
• |
assessing the feasibility of the customers’ business performance projections, through (i) comparing the underlying assumptions with available external information regarding the industry outlook, (ii) evaluating the reasonableness of the stress cases considered, and (iii) reviewing the current progress against the projections |
• |
analyzing the impact of economic sanctions targeting Russia and the countermeasures implemented by the Russian government on the customers’ repayment capacity and financial conditions, through the analysis of the current repayment situation |
• |
analyzing industry-specific economic trends by comparing them with available external information |
• |
analyzing the prolonged effect of economic sanctions targeting Russia and the countermeasures implemented by the Russian government as well as a deterioration of the credit condition of Russia through the assessment of the past due risk and loan modification risk for Russian customers, including the analysis of the observed trends in the repayment of Russian government and corporates |
• |
evaluating the impact of global monetary tightening, including the assessment of the consistency of the underlying assumption of interest rates with available external data. |
• |
cumulative results of the audit procedures |
• |
qualitative aspects of SMBC’s accounting practices |
• |
potential bias in the accounting estimates. |
At March 31, |
||||||||||||
Note |
2024 |
2023 |
||||||||||
(In millions) |
||||||||||||
Assets: |
||||||||||||
Cash and deposits with banks |
5 | ¥ | ¥ | |||||||||
Call loans and bills bought |
||||||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
||||||||||||
Trading assets |
6 | |||||||||||
Derivative financial instruments |
7 | |||||||||||
Financial assets at fair value through profit or loss |
8 | |||||||||||
Investment securities |
9 | |||||||||||
Loans and advances |
10 | |||||||||||
Investments in associates and joint ventures |
11 | |||||||||||
Property, plant and equipment |
12 | |||||||||||
Intangible assets |
14 | |||||||||||
Other assets |
15 | |||||||||||
Current tax assets |
||||||||||||
Deferred tax assets |
23 | |||||||||||
|
|
|
|
|||||||||
Total assets |
¥ | ¥ | ||||||||||
|
|
|
|
|||||||||
Liabilities: |
||||||||||||
Deposits |
16 | ¥ | ¥ | |||||||||
Call money and bills sold |
||||||||||||
Repurchase agreements and cash collateral on securities lent |
||||||||||||
Trading liabilities |
17 | |||||||||||
Derivative financial instruments |
7 | |||||||||||
Financial liabilities designated at fair value through profit or loss |
18 | |||||||||||
Borrowings |
19 | |||||||||||
Debt securities in issue |
20 | |||||||||||
Provisions |
21 | |||||||||||
Other liabilities |
22 | |||||||||||
Current tax liabilities |
||||||||||||
Deferred tax liabilities |
23 | |||||||||||
|
|
|
|
|||||||||
Total liabilities |
||||||||||||
|
|
|
|
|||||||||
Equity: |
||||||||||||
Capital stock |
25 | |||||||||||
Capital surplus |
25 | |||||||||||
Retained earnings |
25 | |||||||||||
Treasury stock |
25 | ( |
) | ( |
) | |||||||
|
|
|
|
|||||||||
Equity excluding other reserves |
||||||||||||
Other reserves |
25 | |||||||||||
|
|
|
|
|||||||||
Equity attributable to shareholders of Sumitomo Mitsui Financial Group, Inc. |
||||||||||||
Non-controlling interests |
||||||||||||
Equity attributable to other equity instruments holders |
26 | |||||||||||
|
|
|
|
|||||||||
Total equity |
||||||||||||
|
|
|
|
|||||||||
Total equity and liabilities |
¥ | ¥ | ||||||||||
|
|
|
|
For the fiscal year ended March 31, |
||||||||||||||||
Note |
2024 |
2023 |
2022 |
|||||||||||||
(In millions, except per share data) |
||||||||||||||||
Interest income |
¥ | ¥ | ¥ | |||||||||||||
Interest expense |
||||||||||||||||
|
|
|
|
|
|
|||||||||||
Net interest income |
27 | |||||||||||||||
|
|
|
|
|
|
|||||||||||
Fee and commission income |
||||||||||||||||
Fee and commission expense |
||||||||||||||||
|
|
|
|
|
|
|||||||||||
Net fee and commission income |
28 | |||||||||||||||
|
|
|
|
|
|
|||||||||||
Net trading income |
29 | |||||||||||||||
Net income from financial assets and liabilities at fair value through profit or loss |
30 | |||||||||||||||
Net investment income |
31 | |||||||||||||||
Other income |
32 | |||||||||||||||
|
|
|
|
|
|
|||||||||||
Total operating income |
||||||||||||||||
|
|
|
|
|
|
|||||||||||
Impairment charges on financial assets |
33 | |||||||||||||||
|
|
|
|
|
|
|||||||||||
Net operating income |
||||||||||||||||
|
|
|
|
|
|
|||||||||||
General and administrative expenses |
34 | |||||||||||||||
Other expenses |
35 | |||||||||||||||
|
|
|
|
|
|
|||||||||||
Operating expenses |
||||||||||||||||
|
|
|
|
|
|
|||||||||||
Share of post-tax profit (loss) of associates and joint ventures |
( |
) | ||||||||||||||
|
|
|
|
|
|
|||||||||||
Profit before tax |
||||||||||||||||
|
|
|
|
|
|
|||||||||||
Income tax expense |
36 | |||||||||||||||
|
|
|
|
|
|
|||||||||||
Net profit |
¥ | ¥ | ¥ | |||||||||||||
|
|
|
|
|
|
|||||||||||
Profit attributable to: |
||||||||||||||||
Shareholders of Sumitomo Mitsui Financial Group, Inc. |
¥ | ¥ | ¥ | |||||||||||||
Non-controlling interests |
||||||||||||||||
Other equity instruments holders |
||||||||||||||||
Earnings per share: |
||||||||||||||||
Basic |
37 | ¥ | ¥ | ¥ | ||||||||||||
Diluted |
37 |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Net profit |
¥ | ¥ | ¥ | |||||||||
Other comprehensive income: |
||||||||||||
Items that will not be reclassified to profit or loss: |
||||||||||||
Remeasurements of defined benefit plans: |
||||||||||||
Gains (losses) arising during the period, before tax |
||||||||||||
Equity instruments at fair value through other comprehensive income: |
||||||||||||
Gains (losses) arising during the period, before tax |
||||||||||||
Own credit on financial liabilities designated at fair value through profit or loss: |
||||||||||||
Gains (losses) arising during the period, before tax |
( |
) | ||||||||||
Share of other comprehensive income (loss) of associates and joint ventures |
( |
) | ( |
) | ||||||||
Income tax relating to items that will not be reclassified |
( |
) | ( |
) | ( |
) | ||||||
|
|
|
|
|
|
|||||||
Total items that will not be reclassified to profit or loss, net of tax |
||||||||||||
Items that may be reclassified subsequently to profit or loss: |
||||||||||||
Debt instruments at fair value through other comprehensive income: |
||||||||||||
Gains (losses) arising during the period, before tax |
( |
) | ( |
) | ( |
) | ||||||
Reclassification adjustments for (gains) losses included in net profit, before tax |
||||||||||||
Exchange differences on translating foreign operations: |
||||||||||||
Gains (losses) arising during the period, before tax |
||||||||||||
Reclassification adjustments for (gains) losses included in net profit, before tax |
( |
) | ||||||||||
Share of other comprehensive income (loss) of associates and joint ventures |
||||||||||||
Income tax relating to items that may be reclassified |
||||||||||||
|
|
|
|
|
|
|||||||
Total items that may be reclassified subsequently to profit or loss, net of tax |
||||||||||||
|
|
|
|
|
|
|||||||
Other comprehensive income, net of tax |
||||||||||||
|
|
|
|
|
|
|||||||
Total comprehensive income |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
|||||||
Total comprehensive income attributable to: |
||||||||||||
Shareholders of Sumitomo Mitsui Financial Group, Inc. |
¥ | ¥ | ¥ | |||||||||
Non-controlling interests |
||||||||||||
Other equity instruments holders |
Equity excluding other reserves |
Other reserves |
|||||||||||||||||||||||||||||||||||||||||||||||
Capital stock |
Capital surplus |
Retained earnings |
Treasury stock |
Remeasure -ments of defined benefit plans reserve |
Financial instruments at fair value through other comprehensive income reserve |
Own credit on financial liabilities designated at fair value through profit or loss reserve |
Exchange differences on translating foreign operations reserve |
Equity attributable to SMFG’s shareholders |
Non -controlling interests |
Equity attributable to other equity instruments holders |
Total equity |
|||||||||||||||||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||||||||||||||||||||||||||
Balance at April 1, 2021 |
¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Comprehensive income: |
||||||||||||||||||||||||||||||||||||||||||||||||
Net profit |
— | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||
Other comprehensive income |
— | — | — | — | ( |
) | — | |||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Total comprehensive income |
— | — | — | ( |
) | |||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Issuance of shares under share-based payment transactions |
— | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||
Issuance of other equity instruments |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Acquisition and disposal of subsidiaries and businesses-net |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Transaction with non-controlling interest shareholders |
— | ( |
) | — | — | — | — | — | — | ( |
) | — | ( |
) | ||||||||||||||||||||||||||||||||||
Share of changes in capital surplus of associates and joint ventures |
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Dividends to shareholders |
— | — | ( |
) | — | — | — | — | — | ( |
) | ( |
) | — | ( |
) | ||||||||||||||||||||||||||||||||
Coupons on other equity instruments |
— | — | — | — | — | — | — | — | — | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||
Purchases of other equity instruments and sales of other equity instruments-net |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Purchases of treasury stock |
— | — | — | ( |
) | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Sales of treasury stock |
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Loss on sales of treasury stock |
— | — | ( |
) | — | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Share-based payment transactions |
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Transfer from other reserves to retained earnings |
— | — | — | ( |
) | ( |
) | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Put options written on non-controlling interests |
— | ( |
) | — | — | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Others |
— | — | ( |
) | — | — | — | — | — | ( |
) | — | ||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Balance at March 31, 2022 |
¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Comprehensive income: |
||||||||||||||||||||||||||||||||||||||||||||||||
Net profit |
— | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||
Other comprehensive income |
— | — | — | — | ( |
) | — | |||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Total comprehensive income |
— | — | — | ( |
) | |||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Issuance of shares under share-based payment transactions |
— | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||||
Issuance of other equity instruments |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Acquisition and disposal of subsidiaries and businesses-net |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Transaction with non-controlling interest shareholders |
— | ( |
) | — | — | — | — | — | — | ( |
) | — | ||||||||||||||||||||||||||||||||||||
Dividends to shareholders |
— | — | ( |
) | — | — | — | — | — | ( |
) | ( |
) | — | ( |
) | ||||||||||||||||||||||||||||||||
Coupons on other equity instruments |
— | — | — | — | — | — | — | — | — | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||
Redemption of other equity instruments |
— | ( |
) | — | — | — | — | — | — | ( |
) | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||
Purchases of other equity instruments and sales of other equity instruments-net |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Purchases of treasury stock |
— | — | — | ( |
) | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Sales of treasury stock |
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Loss on sales of treasury stock |
— | — | ( |
) | — | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Share-based payment transactions |
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Transfer from other reserves to retained earnings |
— | — | — | ( |
) | ( |
) | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Others |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Balance at March 31, 2023 |
¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity excluding other reserves |
Other reserves |
|||||||||||||||||||||||||||||||||||||||||||||||
Capital stock |
Capital surplus |
Retained earnings |
Treasury stock |
Remeasure- ments of defined benefit plans reserve |
Financial instruments at fair value through other comprehensive income reserve |
Own credit on financial liabilities designated at fair value through profit or loss reserve |
Exchange differences on translating foreign operations reserve |
Equity attributable to SMFG’s shareholders |
Non- controlling interests |
Equity attributable to other equity instruments holders |
Total equity |
|||||||||||||||||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||||||||||||||||||||||||||
Balance at March 31, 2023 |
¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||||||||||||||||||
Comprehensive income: |
||||||||||||||||||||||||||||||||||||||||||||||||
Net profit |
— | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||||
Other comprehensive income |
— | — | — | — | ( |
) | — | |||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Total comprehensive income |
— | — | — | ( |
) | |||||||||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Issuance of shares under share-based payment transactions |
|
|
|
— | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Issuance of other equity instruments |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Acquisition and disposal of subsidiaries and businesses-net |
— | — | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||||
Transaction with non-controlling interest shareholders |
— | ( |
) | — | — | — | — | — | — | ( |
) | ( |
) | — | ( |
) | ||||||||||||||||||||||||||||||||
Dividends to shareholders |
— | — | ( |
) | — | — | — | — | — | ( |
) | ( |
) | — | ( |
) | ||||||||||||||||||||||||||||||||
Coupons on other equity instruments |
— | — | — | — | — | — | — | — | — | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||
Purchases of other equity instruments and sales of other equity instruments-net |
— | — | — | — | — | — | — | — | — | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||
Purchases of treasury stock |
— | — | — | ( |
) | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Sales of treasury stock |
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Loss on sales of treasury stock |
— | — | ( |
) | — | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Cancellation of treasury stock |
— | — | ( |
) | — | — | — | — | — | — | — | — | ||||||||||||||||||||||||||||||||||||
Share-based payment transactions |
— | ( |
) | — | — | — | — | — | — | ( |
) | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Transfer from other reserves to retained earnings |
— | — | — | ( |
) | ( |
) | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||
Put options written on non-controlling interests |
— | — | — | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Others |
— | ( |
) | ( |
) | — | — | — | — | — | ( |
) | — | |||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||||
Balance at March 31, 2024 |
¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Operating Activities: |
||||||||||||
Profit before tax |
¥ | ¥ | ¥ | |||||||||
Adjustments for: |
||||||||||||
(Gains) losses on financial assets at fair value through profit or loss and investment securities |
( |
) | ( |
) | ||||||||
Foreign exchange gains |
( |
) | ( |
) | ( |
) | ||||||
Provision for loan losses |
||||||||||||
Depreciation and amortization |
||||||||||||
Share of post-tax (profit) loss of associates and joint ventures |
( |
) | ( |
) | ||||||||
Net changes in assets and liabilities: |
||||||||||||
Net decrease of term deposits with original maturities over three months |
||||||||||||
Net (increase) decrease of call loans and bills bought |
( |
) | ||||||||||
Net (increase) decrease of reverse repurchase agreements and cash collateral on securities borrowed |
( |
) | ||||||||||
Net increase of loans and advances |
( |
) | ( |
) | ( |
) | ||||||
Net change of trading assets and liabilities, derivative financial instruments, and financial liabilities designated at fair value through profit or loss |
||||||||||||
Net increase of deposits |
||||||||||||
Net increase (decrease) of call money and bills sold |
( |
) | ||||||||||
Net increase (decrease) of repurchase agreements and cash collateral on securities lent |
( |
) | ||||||||||
Net increase (decrease) of other unsubordinated borrowings and debt securities in issue |
( |
) | ||||||||||
Income taxes paid—net |
( |
) | ( |
) | ( |
) | ||||||
Other operating activities—net |
( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|||||||
Net cash and cash equivalents provided by (used in) operating activities |
( |
) | ||||||||||
|
|
|
|
|
|
|||||||
Investing Activities: |
||||||||||||
Purchases of financial assets at fair value through profit or loss and investment securities |
( |
) | ( |
) | ( |
) | ||||||
Proceeds from sales of financial assets at fair value through profit or loss and investment securities |
||||||||||||
Proceeds from maturities of financial assets at fair value through profit or loss and investment securities |
||||||||||||
Acquisitions of subsidiaries and businesses, net of cash and cash equivalents acquired |
( |
) | — | ( |
) | |||||||
Disposal of subsidiaries and businesses, net of cash and cash equivalents disposed |
— | — | ||||||||||
Investments in associates and joint ventures |
( |
) | ( |
) | ( |
) | ||||||
Proceeds from sales of investments in associates and joint ventures |
||||||||||||
Purchases of property, plant and equipment |
( |
) | ( |
) | ( |
) | ||||||
Purchases of intangible assets |
( |
) | ( |
) | ( |
) | ||||||
Proceeds from sales of property, plant and equipment |
||||||||||||
Other investing activities—net |
( |
) | ( |
) | ( |
) | ||||||
|
|
|
|
|
|
|||||||
Net cash and cash equivalents provided by (used in) investing activities |
( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|||||||
Financing Activities: |
||||||||||||
Redemption of subordinated borrowings |
( |
) | ( |
) | ( |
) | ||||||
Proceeds from issuance of subordinated bonds |
||||||||||||
Redemption of subordinated bonds |
— | — | ( |
) | ||||||||
Payments for the principal portion of lease liabilities |
( |
) | ( |
) | ( |
) | ||||||
Proceeds from issuance of other equity instruments |
||||||||||||
Redemption of other equity instruments |
— | ( |
) | — | ||||||||
Dividends paid to shareholders of Sumitomo Mitsui Financial Group, Inc. |
( |
) | ( |
) | ( |
) | ||||||
Dividends paid to non-controlling interest shareholders |
( |
) | ( |
) | ( |
) | ||||||
Coupons paid to other equity instruments holders |
( |
) | ( |
) | ( |
) | ||||||
Purchases of treasury stock and proceeds from sales of treasury stock—net |
( |
) | ( |
) | ||||||||
Purchases of other equity instruments and proceeds from sales of other equity instruments—net |
( |
) | ||||||||||
Transactions with non-controlling interest shareholders—net |
( |
) | ||||||||||
|
|
|
|
|
|
|||||||
Net cash and cash equivalents provided by (used in) financing activities |
( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|||||||
Effect of exchange rate changes on cash and cash equivalents |
||||||||||||
|
|
|
|
|
|
|||||||
Net increase of cash and cash equivalents |
||||||||||||
Cash and cash equivalents at beginning of period |
||||||||||||
|
|
|
|
|
|
|||||||
Cash and cash equivalents at end of period |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
|||||||
Net cash and cash equivalents provided by operating activities includes: |
||||||||||||
Interest and dividends received |
¥ | ¥ | ¥ | |||||||||
Interest paid |
1 |
GENERAL INFORMATION |
2 |
SUMMARY OF MATERIAL ACCOUNTING POLICIES |
• | trading assets and liabilities are measured at fair value; |
• | derivative financial instruments are measured at fair value; |
• | financial assets and liabilities at fair value through profit or loss are measured at fair value; |
• | investment securities at fair value through other comprehensive income are measured at fair value; and |
• | liabilities and the assets recognized in consolidated statements of financial position in respect of defined benefit plans are the present value of the defined benefit obligation less the fair value of plan assets. |
• | The designation eliminates or significantly reduces a measurement or recognition inconsistency (referred to as “an accounting mismatch”) that would otherwise arise from measuring assets or liabilities or recognizing the gains and losses on them on different bases; |
• | A group of financial liabilities or financial assets and financial liabilities is managed, and its performance is evaluated on a fair value basis, in accordance with a documented risk management or investment strategy, and information about the group is provided internally on that basis to the board of directors; or |
• | The financial liability contains one or more embedded derivatives which significantly modify the cash flows and it is not clear with no analysis that separation is prohibited. |
• | significant financial difficulty of an issuer or a borrower; |
• | a default or delinquency as more than |
• | restructuring of a financial asset by the Group due to the borrower’s financial difficulties; |
• | indications that a borrower or issuer will enter bankruptcy; and |
• | the disappearance of an active market for that financial asset because of the borrower’s financial difficulties. |
• | Buildings: |
• | Right of use assets: the shorter of the lease term and the estimated useful life, which is generally |
• | Assets for r ent and others: |
3 |
CRITICAL ACCOUNTING ESTIMATES AND JUDGMENTS |
• | qualitative assessment in determining obligor grades; |
• | determining criteria for a significant increase in credit risk since initial recognition; |
• | measuring ECL by choosing appropriate models and assumptions; |
• | incorporating forward-looking information into the ECL measurement by obligor grading, forecast range of macroeconomic scenarios, and additional ECL adjustments if the current circumstances, events or conditions at relevant portfolio level are not fully reflected in the ECL model; and |
• | estimating the expected future cash flows by taking into account factors such as historical loss information, the appropriateness of the borrower’s business plan or operational improvement plan, the status of progress of its plan, the overall support from financial institutions, and the realizable value of any collateral held. |
For the fiscal year ending March 31, |
||||||||
As at March 31, 2024: |
2025 |
2026 |
||||||
Upside |
(%) |
|||||||
Japanese GDP (Nominal) |
||||||||
US GDP (Real) |
||||||||
EMU GDP (Real) |
||||||||
Asia-Pacific GDP (Real) |
||||||||
Japanese short-term interest rate |
||||||||
Base |
||||||||
Japanese GDP (Nominal) |
||||||||
US GDP (Real) |
||||||||
EMU GDP (Real) |
||||||||
Asia-Pacific GDP (Real) |
||||||||
Japanese short-term interest rate |
||||||||
Downside |
||||||||
Japanese GDP (Nominal) |
||||||||
US GDP (Real) |
( |
) | ||||||
EMU GDP (Real) |
( |
) | ||||||
Asia-Pacific GDP (Real) |
||||||||
Japanese short-term interest rate |
||||||||
Severe downside |
||||||||
Japanese GDP (Nominal) |
||||||||
US GDP (Real) |
( |
) | ||||||
EMU GDP (Real) |
( |
) | ||||||
Asia-Pacific GDP (Real) |
||||||||
Japanese short-term interest rate |
||||||||
Upside |
Base |
Downside |
Severe downside |
|||||||||||||
(%) |
||||||||||||||||
As at March 31, 2024: |
||||||||||||||||
Scenario probability weighting |
||||||||||||||||
|
|
|
|
|
|
|
|
4 |
SEGMENT ANALYSIS |
Wholesale Business Unit |
Retail Business Unit |
Global Business Unit |
Global Markets Business Unit |
Head office account and others |
Total |
|||||||||||||||||||
(In billions) |
||||||||||||||||||||||||
Consolidated gross profit (1) |
¥ | ¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ||||||||||||||||
General and administrative expenses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||
Others (2) |
( |
) | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Consolidated net business profit |
¥ | ¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Wholesale Business Unit |
Retail Business Unit |
Global Business Unit |
Global Markets Business Unit |
Head office account and others |
Total |
|||||||||||||||||||
(In billions) |
||||||||||||||||||||||||
Consolidated gross profit (1) |
¥ | ¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ||||||||||||||||
General and administrative expenses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||
Others (2) |
( |
) | ||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Consolidated net business profit |
¥ | ¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
Wholesale Business Unit |
Retail Business Unit |
Global Business Unit |
Global Markets Business Unit |
Head office account and others |
Total |
|||||||||||||||||||
(In billions) |
||||||||||||||||||||||||
Consolidated gross profit (1) |
¥ | ¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ||||||||||||||||
General and administrative expenses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||||
Others (2) |
( |
) | ( |
) | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Consolidated net business profit |
¥ | ¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Consolidated gross profit = (Interest income – Interest expenses) + Trust fees + (Fee and commission income – Fee and commission expenses) + (Trading income – Trading losses) + (Other operating income – Other operating expenses). |
(2) | “Others” includes share of profit or loss of equity-method associates and joint ventures and cooperated profit and loss, that is, profit and loss double counted within the Group’s business segments in the managerial accounting. |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In billions) |
||||||||||||
Consolidated net business profit |
¥ | ¥ | ¥ | |||||||||
Differences between management reporting and Japanese GAAP: |
||||||||||||
Total credit costs |
( |
) | ( |
) | ( |
) | ||||||
Gains on equity instruments |
||||||||||||
Extraordinary gains or losses and others |
( |
) | ( |
) | ( |
) | ||||||
|
|
|
|
|
|
|||||||
Profit before tax under Japanese GAAP |
||||||||||||
|
|
|
|
|
|
|||||||
Differences between Japanese GAAP and IFRS: |
||||||||||||
Scope of consolidation |
||||||||||||
Derivative financial instruments |
( |
) | ||||||||||
Investment securities |
( |
) | ( |
) | ( |
) | ||||||
Loans and advances |
( |
) | ||||||||||
Investments in associates and joint ventures |
( |
) | ( |
) | ( |
) | ||||||
Property, plant and equipment |
||||||||||||
Lease accounting |
( |
) | ( |
) | ( |
) | ||||||
Defined benefit plans |
( |
) | ( |
) | ( |
) | ||||||
Foreign currency translation |
( |
) | ( |
) | ||||||||
Classification of equity and liability |
||||||||||||
Others |
( |
) | ||||||||||
|
|
|
|
|
|
|||||||
Profit before tax under IFRS |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Domestic (1) : |
||||||||||||
Japan |
¥ | ¥ | ¥ | |||||||||
Total domestic |
||||||||||||
Foreign (1)(2) : |
||||||||||||
Americas |
||||||||||||
Europe and Middle East |
||||||||||||
Asia and Oceania |
||||||||||||
Total foreign |
||||||||||||
Total operating income (3) |
¥ | ¥ | ¥ | |||||||||
(1) | The geographical segmentation is determined based on the degrees of the following factors: geographic proximity, similarity of economic activities and relationship of business activities among regions. |
(2) | Americas mostly consists of the United States; Europe and Middle East include the United Kingdom, Germany and others; Asia and Oceania include China, Singapore, Indonesia and others except Japan. |
(3) | Total operating income comprises net interest income, net fee and commission income, net trading income, net income from financial assets and liabilities at fair value through profit or loss, net investment income and other income. |
5 |
CASH AND DEPOSITS WITH BANKS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Cash |
¥ | ¥ | ||||||
Deposits with banks |
||||||||
Total cash and deposits with banks |
¥ | ¥ | ||||||
At March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Cash and deposits with banks |
¥ | ¥ | ¥ | |||||||||
Less: term deposits with original maturities over three months |
( |
) | ( |
) | ( |
) | ||||||
Less: cash segregated as deposits and others |
( |
) | ( |
) | ( |
) | ||||||
Cash and cash equivalents |
¥ | ¥ | ¥ | |||||||||
6 |
TRADING ASSETS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Debt instruments |
¥ | ¥ | ||||||
Equity instruments |
||||||||
Total trading assets |
¥ | ¥ | ||||||
7 |
DERIVATIVE FINANCIAL INSTRUMENTS AND HEDGE ACCOUNTING |
At March 31, 2024 |
||||||||||||||||||||||||
Trading |
Risk Management (1) |
|||||||||||||||||||||||
Notional amounts |
Assets |
Liabilities |
Notional amounts |
Assets |
Liabilities |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Interest rate derivatives |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
Futures |
||||||||||||||||||||||||
Listed Options |
— | — | — | |||||||||||||||||||||
Forwards |
— | — | — | |||||||||||||||||||||
Swaps |
||||||||||||||||||||||||
OTC Options |
— | |||||||||||||||||||||||
Currency derivatives |
||||||||||||||||||||||||
Futures |
— | — | — | — | ||||||||||||||||||||
Listed Options |
— | — | — | — | — | — | ||||||||||||||||||
Forwards |
||||||||||||||||||||||||
Swaps |
||||||||||||||||||||||||
OTC Options |
— | — | — | |||||||||||||||||||||
Equity derivatives |
— | — | — | |||||||||||||||||||||
Futures |
— | — | — | |||||||||||||||||||||
Listed Options |
— | — | — | |||||||||||||||||||||
Forwards |
— | — | — | |||||||||||||||||||||
Swaps |
— | — | — | |||||||||||||||||||||
OTC Options |
— | — | — | |||||||||||||||||||||
Commodity derivatives |
— | — | — | |||||||||||||||||||||
Futures |
— | — | — | |||||||||||||||||||||
Listed Options |
— | — | — | — | — | — | ||||||||||||||||||
Forwards |
— | — | — | — | — | — | ||||||||||||||||||
Swaps |
— | — | — | |||||||||||||||||||||
OTC Options |
— | — | — | |||||||||||||||||||||
Credit derivatives |
— | — | — | |||||||||||||||||||||
Total derivative financial instruments |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
At March 31, 2023 |
||||||||||||||||||||||||
Trading |
Risk Management (1) |
|||||||||||||||||||||||
Notional amounts |
Assets |
Liabilities |
Notional amounts |
Assets |
Liabilities |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Interest rate derivatives |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
Futures |
||||||||||||||||||||||||
Listed Options |
— | — | — | |||||||||||||||||||||
Forwards |
— | — | — | |||||||||||||||||||||
Swaps |
||||||||||||||||||||||||
OTC Options |
— | |||||||||||||||||||||||
Currency derivatives |
||||||||||||||||||||||||
Futures |
— | — | — | — | ||||||||||||||||||||
Listed Options |
— | — | — | — | — | — | ||||||||||||||||||
Forwards |
||||||||||||||||||||||||
Swaps |
||||||||||||||||||||||||
OTC Options |
— | — | — | |||||||||||||||||||||
Equity derivatives |
— | — | — | |||||||||||||||||||||
Futures |
— | — | — | |||||||||||||||||||||
Listed Options |
— | — | — | |||||||||||||||||||||
Forwards |
— | — | — | |||||||||||||||||||||
Swaps |
— | — | — | |||||||||||||||||||||
OTC Options |
— | — | — | |||||||||||||||||||||
Commodity derivatives |
— | — | — | |||||||||||||||||||||
Futures |
— | — | — | |||||||||||||||||||||
Listed Options |
— | — | — | — | — | — | ||||||||||||||||||
Forwards |
— | — | — | — | — | — | ||||||||||||||||||
Swaps |
— | — | — | |||||||||||||||||||||
OTC Options |
— | — | — | |||||||||||||||||||||
Credit derivatives |
— | — | — | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total derivative financial instruments |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Derivative financial instruments categorized as “Risk Management” are used for economic hedging, such as managing the exposure to changes in fair value of the loan portfolio, and are identified as hedging instruments under Japanese GAAP. Under IFRS, the Group applies hedge accounting for certain fixed rate debt securities in issue, borrowings, and debt instruments at fair value through other comprehensive income (“FVOCI”) and net investments in foreign operations. Derivative financial instruments designated as hedging instruments are also categorized as “Risk Management.” |
Line item in the consolidated statements of financial position where the hedging instrument is included |
At March 31, 2024 |
For the fiscal year ended March 31, 2024 |
||||||||||||||||||
Notional amounts (1) |
Carrying amounts |
Change in value used for calculating hedge ineffectiveness |
||||||||||||||||||
Assets |
Liabilities |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||
Interest rate risk |
||||||||||||||||||||
Interest rate swaps |
Derivative financial instruments |
|
¥ | ¥ | ¥ | ¥ | ( |
) | ||||||||||||
Interest rate options |
Derivative financial instruments |
|
— | ( |
) | |||||||||||||||
Stock price risk |
||||||||||||||||||||
Equity swaps |
Derivative financial instruments |
|
— | — | — | — |
(1) | At March 31, 2024, the notional amount of interest rate swaps with remaining maturities of more than 12 months that are designated hedging instruments against interest rate risk is ¥ |
Line item in the consolidated statements of financial position where the hedging instrument is included |
At March 31, 2023 |
For the fiscal year ended March 31, 2023 |
||||||||||||||||||
Notional amounts (1) |
Carrying amounts |
Change in value used for calculating hedge ineffectiveness |
||||||||||||||||||
Assets |
Liabilities |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||
Interest rate risk |
||||||||||||||||||||
Interest rate swaps |
Derivative financial instruments |
|
¥ | ¥ | ¥ | ¥ | ( |
) | ||||||||||||
Interest rate options |
Derivative financial instruments |
|
— | ( |
) | |||||||||||||||
Stock price risk |
||||||||||||||||||||
Equity swaps |
Derivative financial instruments |
|
— | — | — |
(1) | At March 31, 2023, the notional amount of interest rate swaps with remaining maturities of more than 12 months that are designated hedging instruments against interest rate risk is ¥ |
Line item in the consolidated statements of financial position where the hedged item is included |
At March 31, 2024 |
For the fiscal year ended March 31, 2024 |
||||||||||
Carrying amounts |
Change in value used for calculating hedge ineffectiveness |
|||||||||||
(In millions) |
||||||||||||
Interest rate risk |
||||||||||||
Debt instruments at FVOCI |
Investment securities | ¥ | ¥ | ( |
) | |||||||
Debt securities in issue |
Debt securities in issue | |||||||||||
Borrowings |
Borrowings | |||||||||||
Stock price risk |
||||||||||||
Equity instruments at fair value through other comprehensive income |
Investment securities | — | — |
Line item in the consolidated statements of financial position where the hedged item is included |
At March 31, 2023 |
For the fiscal year ended March 31, 2023 |
||||||||||
Carrying amounts |
Change in value used for calculating hedge ineffectiveness |
|||||||||||
(In millions) |
||||||||||||
Interest rate risk |
||||||||||||
Debt instruments at FVOCI |
Investment securities | ¥ | ¥ | ( |
) | |||||||
Debt securities in issue |
Debt securities in issue | |||||||||||
Borrowings |
Borrowings | |||||||||||
Stock price risk |
||||||||||||
Equity instruments at fair value through other comprehensive income |
Investment securities | — | ( |
) |
Line item in the consolidated statements of financial position where the hedging instrument is included |
At March 31, 2024 |
For the fiscal year ended March 31, 2024 |
||||||||||||||||
Nominal amounts |
Carrying amounts |
Change in value used for calculating hedge ineffectiveness |
||||||||||||||||
Assets |
Liabilities |
|||||||||||||||||
(In millions) |
||||||||||||||||||
Foreign exchange forward contracts |
Derivative financial instruments | ¥ | ¥ | ¥ | ¥ | ( |
) | |||||||||||
Foreign currency denominated financial liabilities |
Debt securities in issue, Borrowings, Deposits | — | ( |
) |
Line item in the consolidated statements of financial position where the hedging instrument is included |
At March 31, 2023 |
For the fiscal year ended March 31, 2023 |
||||||||||||||||
Nominal amounts |
Carrying amounts |
Change in value used for calculating hedge ineffectiveness |
||||||||||||||||
Assets |
Liabilities |
|||||||||||||||||
(In millions) |
||||||||||||||||||
Foreign exchange forward contracts |
Derivative financial instruments | ¥ | ¥ | ¥ | ¥ | ( |
) | |||||||||||
Foreign currency denominated financial liabilities |
Debt securities in issue, Borrowings, Deposits | — | ( |
) |
For the fiscal year ended March 31, 2024 |
At March 31, 2024 |
|||||||
Change in value used for calculating hedge ineffectiveness |
Translating foreign operations reserve |
|||||||
(In millions) |
||||||||
USD foreign operations |
¥ | ¥ | ||||||
EUR foreign operations |
||||||||
THB foreign operations |
||||||||
Other foreign operations |
||||||||
Total |
¥ | ¥ | ||||||
For the fiscal year ended March 31, 2023 |
At March 31, 2023 |
|||||||
Change in value used for calculating hedge ineffectiveness |
Translating foreign operations reserve |
|||||||
(In millions) |
||||||||
USD foreign operations |
¥ | ¥ | ||||||
EUR foreign operations |
||||||||
THB foreign operations |
||||||||
Other foreign operations |
||||||||
Total |
¥ | ¥ | ||||||
At March 31, 2024 |
||||||||||||||||||||||||
Protection purchased |
Protection sold |
|||||||||||||||||||||||
Notional amounts |
Assets |
Liabilities |
Notional amounts |
Assets |
Liabilities |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Managing the Group’s credit risk portfolio |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
Trading purposes |
— | — | — | — | ||||||||||||||||||||
Facilitating client transactions |
— | |||||||||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
At March 31, 2023 |
||||||||||||||||||||||||
Protection purchased |
Protection sold |
|||||||||||||||||||||||
Notional amounts |
Assets |
Liabilities |
Notional amounts |
Assets |
Liabilities |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Managing the Group’s credit risk portfolio |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
Facilitating client transactions |
||||||||||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
At March 31, 2024 |
At March 31, 2023 |
|||||||||||||||
Protection purchased |
Protection sold |
Protection purchased |
Protection sold |
|||||||||||||
(In millions) |
||||||||||||||||
Banks and broker-dealers |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Insurance and other financial guaranty firms |
— | — | — | — | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
8 |
FINANCIAL ASSETS AT FAIR VALUE THROUGH PROFIT OR LOSS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Debt instruments |
¥ | ¥ | ||||||
Equity instruments |
||||||||
|
|
|
|
|||||
Total financial assets at fair value through profit or loss |
¥ | ¥ | ||||||
|
|
|
|
9 |
INVESTMENT SECURITIES |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Debt instruments at amortized cost: |
||||||||
Domestic: |
||||||||
Japanese government bonds |
¥ | ¥ | ||||||
Japanese municipal bonds |
||||||||
Japanese corporate bonds |
— | |||||||
|
|
|
|
|||||
Total domestic |
||||||||
|
|
|
|
|||||
Foreign: |
||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
||||||||
Mortgage-backed securities |
— | |||||||
Other debt instruments |
||||||||
|
|
|
|
|||||
Total foreign |
||||||||
|
|
|
|
|||||
Total debt instruments at amortized cost |
¥ | ¥ | ||||||
|
|
|
|
|||||
Debt instruments at fair value through other comprehensive income: |
||||||||
Domestic: |
||||||||
Japanese government bonds |
¥ | ¥ | ||||||
Japanese municipal bonds |
||||||||
Japanese corporate bonds |
||||||||
Other debt instruments |
||||||||
|
|
|
|
|||||
Total domestic |
||||||||
|
|
|
|
|||||
Foreign: |
||||||||
U.S. Treasury and other U.S. government agency bonds |
||||||||
Bonds issued by governments and official institutions excluding U.S. Treasury and other U.S. government agency bonds |
||||||||
Mortgage-backed securities |
||||||||
Other debt instruments |
||||||||
|
|
|
|
|||||
Total foreign |
||||||||
|
|
|
|
|||||
Total debt instruments at fair value through other comprehensive income |
¥ | ¥ | ||||||
|
|
|
|
|||||
Equity instruments at fair value through other comprehensive income: |
||||||||
Domestic equity instruments |
¥ | ¥ | ||||||
Foreign equity instruments |
||||||||
|
|
|
|
|||||
Total equity instruments at fair value through other comprehensive income |
¥ | ¥ | ||||||
|
|
|
|
|||||
Total investment securities |
¥ | ¥ | ||||||
|
|
|
|
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Listed |
¥ | ¥ | ||||||
Unlisted |
||||||||
|
|
|
|
|||||
Total equity instruments at fair value through other comprehensive income |
¥ | ¥ | ||||||
|
|
|
|
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
TOYOTA MOTOR CORPORATION |
¥ | ¥ | ||||||
Ares Management Corporation |
||||||||
DAIKIN INDUSTRIES, LTD. |
||||||||
Jefferies Financial Group Inc. |
||||||||
SBI Holdings, Inc. |
||||||||
Kotak Mahindra Bank Limited |
||||||||
MITSUI & CO., LTD. |
||||||||
KUBOTA CORPORATION |
||||||||
Sumitomo Realty & Development Co., Ltd. |
||||||||
Seven & i Holdings Co., Ltd. |
||||||||
ITOCHU Corporation |
||||||||
DAIWA HOUSE INDUSTRY CO., LTD. |
||||||||
Murata Manufacturing Co., Ltd. |
||||||||
East Japan Railway Company |
||||||||
Mitsui Fudosan Co., Ltd. |
||||||||
ASICS Corporation |
||||||||
Japan Exchange Group, Inc. |
||||||||
NIPPON STEEL CORPORATION |
||||||||
Central Japan Railway Company |
||||||||
DAIICHI SANKYO COMPANY, LIMITED |
||||||||
TOYOTA TSUSHO CORPORATION |
||||||||
Mitsui O.S.K. Lines, Ltd. |
||||||||
SG HOLDINGS CO., LTD. |
||||||||
Sanrio Company, Ltd. |
||||||||
NIDEC CORPORATION |
||||||||
Tokyo Electric Power Company Holdings, Incorporated |
||||||||
ESR Group Limited |
||||||||
MINEBEA MITSUMI Inc. |
||||||||
BRIDGESTONE CORPORATION |
||||||||
Sanwa Holdings Corporation |
||||||||
West Japan Railway Company |
||||||||
DAIFUKU CO., LTD. |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
FUJIFILM Holdings Corporation |
||||||||
Shionogi & Co., Ltd. |
||||||||
Makita Corporation |
||||||||
KAJIMA CORPORATION |
||||||||
GMO Payment Gateway, Inc. |
||||||||
ASAHI KASEI CORPORATION |
||||||||
Chubu Electric Power Company, Incorporated |
||||||||
Stanley Electric Co., Ltd. |
||||||||
TBS HOLDINGS, INC. |
||||||||
KOITO MANUFACTURING CO., LTD. |
||||||||
Fujikura Ltd. |
||||||||
Mazda Motor Corporation |
||||||||
TORAY INDUSTRIES, INC. |
||||||||
SHIMANO INC. |
||||||||
The Kansai Electric Power Company, Incorporated |
||||||||
TOYO SUISAN KAISHA, LTD. |
||||||||
Sekisui House, Ltd. |
||||||||
Idemitsu Kosan Co., Ltd. |
||||||||
Oji Holdings Corporation |
||||||||
NISSIN FOODS HOLDINGS CO., LTD. |
||||||||
OMRON Corporation |
||||||||
Sumitomo Metal Mining Co., Ltd. |
||||||||
Asahi Group Holdings, Ltd. |
— | |||||||
TAISHO PHARMACEUTICAL HOLDINGS CO., LTD. |
— | |||||||
Others |
||||||||
|
|
|
|
|||||
Total listed equity instruments at fair value through other comprehensive income |
¥ |
¥ |
||||||
|
|
|
|
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Fair value of the equity instruments at fair value through other comprehensive income at the date of derecognition |
¥ | ¥ | ||||||
Cumulative gain on disposal |
10 |
LOANS AND ADVANCES |
At March 31, 2024 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loans and advances at amortized cost: |
||||||||||||||||
Gross loans and advances |
¥ | ¥ | ¥ | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Adjust: Unearned income, unamortized premiums—net and deferred loan fees—net |
( |
) | ||||||||||||||
|
|
|||||||||||||||
Less: Allowance for loan losses |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Carrying amount |
¥ | |||||||||||||||
|
|
At March 31, 2023 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loans and advances at amortized cost: |
||||||||||||||||
Gross loans and advances |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Adjust: Unearned income, unamortized premiums—net and deferred loan fees—net |
( |
) | ||||||||||||||
Less: Allowance for loan losses |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
Carrying amount |
¥ | |||||||||||||||
11 |
INVESTMENTS IN ASSOCIATES AND JOINT VENTURES |
Company Name |
Country of Incorporation |
Proportion of Ownership Interest (1) |
Proportion of Voting Rights (1) |
Main Business |
||||||||||||
(%) |
(%) |
|||||||||||||||
Principal Associates |
||||||||||||||||
PayPay Bank Corporation |
||||||||||||||||
The Bank of East Asia, Limited |
||||||||||||||||
ACLEDA Bank Plc. |
||||||||||||||||
Vietnam Prosperity Joint-Stock Commercial Bank |
||||||||||||||||
Rizal Commercial Banking Corporation |
||||||||||||||||
Sumitomo Mitsui Auto Service Company, Limited |
||||||||||||||||
SMBC Aviation Capital Limited |
||||||||||||||||
POCKET CARD CO., LTD. |
||||||||||||||||
VPBank SMBC Finance Company Limited |
||||||||||||||||
SAKURA KCS Corporation |
| |||||||||||||||
JSOL Corporation |
|
| ||||||||||||||
Sakura Information Systems Co., Ltd. |
| |||||||||||||||
China Post & Capital Fund Management Co., Ltd. |
||||||||||||||||
Principal Joint Venture |
||||||||||||||||
Sumitomo Mitsui Finance and Leasing Company, Limited |
(1) | Percentages of proportion of ownership interest and proportion of voting rights have been truncated. |
At and for the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Carrying amount of investments in associates and joint ventures |
¥ | ¥ | ||||||
Share of: |
||||||||
Profit from continuing operations |
||||||||
Other comprehensive income |
||||||||
Total comprehensive income |
12 |
PROPERTY, PLANT AND EQUIPMENT |
Assets for rent |
Land |
Buildings |
Right of use assets |
Others |
Total |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Cost |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
Accumulated depreciation and impairment losses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Net carrying amount at April 1, 2022 |
||||||||||||||||||||||||
Additions |
— | |||||||||||||||||||||||
Acquisition of subsidiaries and businesses |
— | — | — | — | — | — | ||||||||||||||||||
Disposals |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Depreciation |
( |
) | — | ( |
) | ( |
) | ( |
) | ( |
) | |||||||||||||
Impairment losses |
— | ( |
) | ( |
) | — | ( |
) | ( |
) | ||||||||||||||
Exchange differences |
||||||||||||||||||||||||
Others |
( |
) | — | ( |
) | ( |
) | ( |
) | |||||||||||||||
Net carrying amount |
||||||||||||||||||||||||
Cost |
||||||||||||||||||||||||
Accumulated depreciation and impairment losses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Net carrying amount at March 31, 2023 |
||||||||||||||||||||||||
Additions |
||||||||||||||||||||||||
Acquisition of subsidiaries and businesses |
— | |||||||||||||||||||||||
Disposals (1) |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Depreciation |
( |
) | — | ( |
) | ( |
) | ( |
) | ( |
) | |||||||||||||
Impairment losses |
— | ( |
) | ( |
) | — | ( |
) | ( |
) | ||||||||||||||
Exchange differences |
||||||||||||||||||||||||
Others |
— | ( |
) | ( |
) | |||||||||||||||||||
Net carrying amount |
— | |||||||||||||||||||||||
Assets for rent |
Land |
Buildings |
Right of use assets |
Others |
Total |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Cost |
— |
|||||||||||||||||||||||
Accumulated depreciation and impairment losses |
— |
( |
) |
( |
) |
( |
) |
( |
) |
( |
) | |||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net carrying amount at March 31, 2024 |
¥ |
— |
¥ |
¥ |
¥ |
¥ |
¥ |
|||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
(1) |
Disposals include assets for rent owned by SMBC Rail Services LLC, which has no longer been the Company’s subsidiary from December 2023. |
13 |
LEASES |
Net carrying amount |
Depreciation |
|||||||||||||||
At March 31, |
For the fiscal year ended March 31, |
|||||||||||||||
2024 |
2023 |
2024 |
2023 |
|||||||||||||
(In millions) |
||||||||||||||||
Land and buildings |
¥ | ¥ | |
¥ | ¥ | |
||||||||||
Other tangible assets (1) |
||||||||||||||||
Intangible assets (2) |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
(1) | Other tangible assets include mainly office equipment, machinery and vehicles. |
(2) | Intangible assets include mainly software. |
At March 31, 2024 |
At March 31, 2023 |
|||||||
(In millions) |
||||||||
Not later than one year |
¥ | ¥ | ||||||
Later than one year and not later than five years |
||||||||
Later than five years |
||||||||
|
|
|
|
|||||
Total |
||||||||
Less: Future interest charges |
( |
) | ( |
) | ||||
|
|
|
|
|||||
Lease liabilities (1) |
¥ | ¥ | |
|||||
|
|
|
|
(1) | Lease liabilities is included in “Borrowings” in the consolidated statements of financial position. See Note 19 “Borrowings.” |
At March 31, 2024 |
||||||||||||||||
Undiscounted lease payments |
Unearned finance income |
Discounted lease payments (1) |
Unguaranteed residual values (1) |
|||||||||||||
(In millions) |
||||||||||||||||
Not later than one year |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Later than one year and not later than two years |
||||||||||||||||
Later than two years and not later than three years |
||||||||||||||||
Later than three years and not later than four years |
||||||||||||||||
Later than four years and not later than five years |
||||||||||||||||
Later than five years |
||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
At March 31, 2023 |
||||||||||||||||
Undiscounted lease payments |
Unearned finance income |
Discounted lease payments (1) |
Unguaranteed residual values (1) |
|||||||||||||
(In millions) |
||||||||||||||||
Not later than one year |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Later than one year and not later than two years |
||||||||||||||||
Later than two years and not later than three years |
||||||||||||||||
Later than three years and not later than four years |
||||||||||||||||
Later than four years and not later than five years |
||||||||||||||||
Later than five years |
||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
(1) | Discounted lease payments and unguaranteed residual values are included in “Loans and advances” in the consolidated statements of financial position. |
At March 31, 2024 |
At March 31, 2023 |
|||||||
(In millions) |
||||||||
Not later than one year |
¥ | ¥ | ||||||
Later than one year and not later than two years |
||||||||
Later than two years and not later than three years |
||||||||
Later than three years and not later than four years |
||||||||
Later than four years and not later than five years |
||||||||
Later than five years |
||||||||
Total |
¥ | ¥ | ||||||
14 |
INTANGIBLE ASSETS |
Retail Business Unit |
Global Business Unit |
Head office account and others |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Gross amount of goodwill (1) |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Accumulated impairment losses (1) |
— | — | ( |
) | ( |
) | ||||||||||
Net carrying amount at April 1, 2022 |
||||||||||||||||
Transfer of Business Segment (2) |
— | ( |
) | — | ||||||||||||
Impairment losses |
— | — | ( |
) | ( |
) | ||||||||||
Exchange differences |
— | |||||||||||||||
Net carrying amount |
||||||||||||||||
Gross amount of goodwill (1) |
||||||||||||||||
Accumulated impairment losses (1) |
— | — | ( |
) | ( |
) | ||||||||||
Net carrying amount at March 31, 2023 |
||||||||||||||||
Acquisitions |
— | — | ||||||||||||||
Exchange differences |
— | — | ||||||||||||||
Net carrying amount |
||||||||||||||||
Gross amount of goodwill (1) |
||||||||||||||||
Accumulated impairment losses (1) |
— | — | ( |
) | ( |
) | ||||||||||
Net carrying amount at March 31, 2024 |
¥ | ¥ | ¥ | ¥ | ||||||||||||
(1) | The goodwill where all amounts have been impaired is excluded from the gross amount of goodwill and accumulated impairment losses. |
(2) | The business segment of SMFG India Credit Company Limited and its consolidated subsidiary was changed from the Head office account and others to the Global Business Unit from the beginning of the fiscal year ended March 31, 2023. |
SMBC Nikko Securities |
SMBC Consumer Finance |
SMDAM |
SMFG India Credit Company Limited |
|||||||||||||
For the fiscal year ended March 31, 2024: |
||||||||||||||||
Pre-tax discount rate |
— | % | % | % | % | |||||||||||
Growth rate |
— | % | % | % | % | |||||||||||
For the fiscal year ended March 31, 2023: |
||||||||||||||||
Pre-tax discount rate |
% | % | % | % | ||||||||||||
Growth rate |
% | % | % | % |
Internally generated software |
Purchased software |
Contractual customer relationships |
Trademarks |
Other intangibles |
Total |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Cost |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
Accumulated amortization and impairment losses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Net carrying amount at April 1, 2022 |
||||||||||||||||||||||||
Additions |
— | — | ||||||||||||||||||||||
Acquisition of subsidiaries and businesses |
— | — | — | — | — | — | ||||||||||||||||||
Disposals |
( |
) | ( |
) | — | — | ( |
) | ( |
) | ||||||||||||||
Amortization |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Impairment losses |
( |
) | ( |
) | ( |
) | — | ( |
) | ( |
) | |||||||||||||
Exchange differences |
||||||||||||||||||||||||
Others |
— | — | ( |
) | ||||||||||||||||||||
Net carrying amount |
||||||||||||||||||||||||
Cost |
||||||||||||||||||||||||
Accumulated amortization and impairment losses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Net carrying amount at March 31, 2023 |
||||||||||||||||||||||||
Additions |
— | — | ||||||||||||||||||||||
Acquisition of subsidiaries and businesses |
— | — | — | |||||||||||||||||||||
Disposals |
( |
) | ( |
) | — | — | ( |
) | ( |
) | ||||||||||||||
Amortization |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
Impairment losses |
( |
) | ( |
) | — | ( |
) | — | ( |
) | ||||||||||||||
Exchange differences |
||||||||||||||||||||||||
Others |
( |
) | — | — | ( |
) | ||||||||||||||||||
Net carrying amount |
— | |||||||||||||||||||||||
Internally generated software |
Purchased software |
Contractual customer relationships |
Trademarks |
Other intangibles |
Total |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Cost |
||||||||||||||||||||||||
Accumulated amortization and impairment losses |
( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ( |
) | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net carrying amount at March 31, 2024 |
¥ | ¥ | ¥ | ¥ | — | ¥ | ¥ | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
15 |
OTHER ASSETS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Prepaid expenses |
¥ | ¥ | ||||||
Accrued income |
||||||||
Receivables from brokers, dealers and customers for securities transactions |
||||||||
Cash collateral provided for derivative and other financial transactions |
||||||||
Retirement benefit assets |
||||||||
Security deposits |
||||||||
Others |
||||||||
|
|
|
|
|||||
Total other assets |
¥ | ¥ | |
|||||
|
|
|
|
16 |
DEPOSITS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Non-interest-bearing demand deposits |
¥ | ¥ | ||||||
Interest-bearing demand deposits |
||||||||
Deposits at notice |
||||||||
Time deposits |
||||||||
Negotiable certificates of deposit |
||||||||
Others (1) |
||||||||
|
|
|
|
|||||
Total deposits |
¥ | ¥ | |
|||||
|
|
|
|
(1) |
Others include, among other items, foreign currency deposits in domestic offices and Japanese yen accounts held by foreign depositors in domestic offices. |
17 |
TRADING LIABILITIES |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Debt instruments “short position” |
¥ | ¥ | ||||||
Equity instruments “short position” |
||||||||
|
|
|
|
|||||
Total trading liabilities |
¥ | ¥ | |
|||||
|
|
|
|
18 |
FINANCIAL LIABILITIES DESIGNATED AT FAIR VALUE THROUGH PROFIT OR LOSS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Borrowings |
¥ | ¥ | ||||||
Debt securities in issue |
||||||||
|
|
|
|
|||||
Total financial liabilities designated at fair value through profit or loss |
¥ | ¥ | |
|||||
|
|
|
|
19 |
BORROWINGS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Unsubordinated borrowings |
¥ | ¥ | ||||||
Subordinated borrowings |
||||||||
Liabilities associated with securitization transactions |
||||||||
Lease liabilities |
||||||||
|
|
|
|
|||||
Total borrowings |
¥ | ¥ | |
|||||
|
|
|
|
20 |
DEBT SECURITIES IN ISSUE |
At March 31, |
||||||||||||
Interest rate |
2024 |
2023 |
||||||||||
(In millions) |
||||||||||||
SMFG: |
||||||||||||
Unsubordinated bonds: |
||||||||||||
Unsubordinated bonds, payable in due |
¥ | ¥ | ||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Subordinated bonds: |
||||||||||||
Subordinated bonds, payable in due |
||||||||||||
Subordinated bonds, payable in due |
||||||||||||
|
|
|
|
|||||||||
Total SMFG |
||||||||||||
|
|
|
|
|||||||||
SMBC: |
||||||||||||
Commercial paper |
||||||||||||
Unsubordinated bonds: |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
— | |||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
— | |||||||||||
Subordinated bonds: |
||||||||||||
Subordinated bonds, payable in due |
||||||||||||
|
|
|
|
|||||||||
Total SMBC |
||||||||||||
|
|
|
|
|||||||||
Other subsidiaries: |
||||||||||||
Commercial paper |
||||||||||||
Unsubordinated bonds: |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Unsubordinated bonds, payable in due |
— | |||||||||||
Unsubordinated bonds, payable in due |
— | |||||||||||
Unsubordinated bonds, payable in due |
||||||||||||
Subordinated bonds: |
||||||||||||
Subordinated bonds, payable in due |
||||||||||||
|
|
|
|
|||||||||
Total other subsidiaries |
||||||||||||
|
|
|
|
|||||||||
Total debt securities in issue |
¥ | ¥ | ||||||||||
|
|
|
|
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Subordinated bonds at beginning of period (1) |
¥ | ¥ | ||||||
Cash flows: |
||||||||
Proceeds from issuance of subordinated bonds |
||||||||
Non-cash changes: |
||||||||
Foreign exchange translations |
||||||||
Others |
( |
) | ( |
) | ||||
|
|
|
|
|||||
Subordinated bonds at end of period (1) |
¥ | ¥ | ||||||
|
|
|
|
(1) | The balances are comprised of subordinated bonds issued by SMFG, SMBC and other subsidiaries . |
21 |
PROVISIONS |
Provision for interest repayment |
Other provisions |
Total |
||||||||||
(In millions) |
||||||||||||
Balance at April 1, 2022 |
¥ | ¥ | ¥ | |||||||||
Additional provisions |
||||||||||||
Amounts used |
( |
) | ( |
) | ( |
) | ||||||
Unused amounts reversed |
— | ( |
) | ( |
) | |||||||
Amortization of discount and effect of change in discount rate |
( |
) | ( |
) | ||||||||
Others |
— | |||||||||||
Balance at March 31, 2023 |
||||||||||||
Additional provisions |
||||||||||||
Amounts used |
( |
) | ( |
) | ( |
) | ||||||
Unused amounts reversed |
— | ( |
) | ( |
) | |||||||
Amortization of discount and effect of change in discount rate |
( |
) | ( |
) | ||||||||
Others |
— | |||||||||||
Balance at March 31, 2024 |
¥ | ¥ | ¥ | |||||||||
22 |
OTHER LIABILITIES |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Accrued expenses |
¥ | ¥ | ||||||
Unearned income |
||||||||
Financial guarantees and other credit-related contingent liabilities |
||||||||
Due to trust account |
||||||||
Payables to brokers, dealers and customers for securities transactions |
||||||||
Payables related to credit card services |
||||||||
Obligations from factoring transactions |
||||||||
Retirement benefit liabilities |
||||||||
Guarantee deposits and derivative cash collateral received |
||||||||
Others |
||||||||
Total other liabilities |
¥ | ¥ | |
|||||
23 |
DEFERRED INCOME TAX |
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
At beginning of period |
¥ | ( |
) | ¥ | ( |
) | ||
Deferred tax benefit (expense) |
( |
) | ||||||
Deferred tax relating to other comprehensive income: |
||||||||
Remeasurements of defined benefit plans reserve |
( |
) | ( |
) | ||||
Financial instruments at fair value through other comprehensive income reserve |
( |
) | ||||||
Own credit on financial liabilities designated at fair value through profit or loss reserve |
( |
) | ||||||
Exchange differences on translating foreign operations reserve |
— | |||||||
Acquisition and disposal of subsidiaries and businesses |
( |
) | — | |||||
Exchange differences and others |
||||||||
At end of period |
¥ | ( |
) | ¥ | ( |
) | ||
At March 31, |
||||||||
2024 |
2023 |
|||||||
Deferred tax assets: |
(In millions) |
|||||||
Loans and advances |
¥ | ¥ | ||||||
Lease liabilities (1) |
||||||||
Provision for interest repayment |
||||||||
Tax losses carried forward |
||||||||
Investment securities |
||||||||
Retirement benefits |
||||||||
Other deductible temporary differences (1) |
||||||||
|
|
|
|
|||||
Total deferred tax assets (1) |
||||||||
|
|
|
|
|||||
Deferred tax liabilities: |
||||||||
Investment securities |
||||||||
Right of use assets (1) |
||||||||
Derivative financial instruments |
||||||||
Retirement benefits |
||||||||
Goodwill and intangible assets |
||||||||
Lease transactions |
||||||||
Property, plant and equipment (1) |
||||||||
Other taxable temporary differences (1) |
||||||||
|
|
|
|
|||||
Total deferred tax liabilities (1) |
||||||||
|
|
|
|
|||||
Net deferred tax assets (liabilities) (2) |
¥ |
( |
) |
¥ | ( |
) | ||
|
|
|
|
(1) | Comparative information has been restated to reflect the adoption of “Deferred Tax related to Assets and Liabilities arising from a Single Transaction, Amendments to IAS 12.” |
(2) | Deferred tax assets and deferred tax liabilities are offset in the consolidated statements of financial position if the entity has a legally enforceable right to set off current tax assets against current tax liabilities, and the deferred tax assets and the deferred tax liabilities relate to income taxes levied by the same taxation authority on the same taxable entity. |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Deductible temporary differences |
¥ | ¥ | ||||||
Tax losses carried forward which will expire in 1 year |
||||||||
2 years |
||||||||
3 years |
||||||||
4 years |
||||||||
5 years |
||||||||
6 years |
||||||||
7 years |
||||||||
8 years |
||||||||
9 years |
||||||||
10 years and thereafter |
||||||||
|
|
|
|
|||||
Total deductible temporary differences and tax losses carried forward (1) |
¥ | ¥ | ||||||
|
|
|
|
(1) | Under the group aggregation system, the Company and its wholly owned domestic subsidiaries recognized deferred tax assets relating to deductible temporary differences and tax losses carried forward on a consolidated basis for Japanese national corporation tax purposes and on a stand-alone basis for Japanese local corporation tax purposes. There are deductible temporary differences and tax losses carried forward on which deferred tax assets are recognized for Japanese national corporation tax purposes, but on which no deferred tax assets are recognized for Japanese local corporation tax purposes. These deductible temporary differences and tax losses carried forward amounted to ¥ |
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Property, plant and equipment (1) |
¥ | ¥ | ( |
) | ||||
Tax losses carried forward |
( |
) | ||||||
Investment securities |
( |
) | ||||||
Derivative financial instruments |
( |
) | ||||||
Loans and advances |
( |
) | ||||||
Goodwill and intangible assets |
||||||||
Retirement benefits |
||||||||
Right of use assets (1) |
( |
) | ||||||
Lease liabilities (1) |
( |
) | ||||||
Provision for interest repayment |
( |
) | ( |
) | ||||
Lease transactions |
||||||||
Other temporary differences—net (1) |
( |
) | ||||||
|
|
|
|
|||||
Total deferred tax benefit (expense) |
¥ | ¥ | ( |
) | ||||
|
|
|
|
(1) | Comparative information has been restated to reflect the adoption of “Deferred Tax related to Assets and Liabilities arising from a Single Transaction, Amendments to IAS 12.” |
24 |
RETIREMENT BENEFITS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Present value of unfunded obligations |
¥ | ( |
) | ¥ | ( |
) | ||
Present value of funded obligations |
( |
) | ( |
) | ||||
Fair value of plan assets |
||||||||
|
|
|
|
|||||
Net retirement benefit assets (liabilities) before the asset ceiling |
¥ | ¥ | ||||||
|
|
|
|
|||||
Effect of the asset ceiling |
||||||||
|
|
|
|
|||||
Net retirement benefit assets (liabilities) |
¥ | ¥ | ||||||
|
|
|
|
|||||
Of which retirement benefit liabilities included in “Other liabilities” |
¥ | ( |
) | ¥ | ( |
) | ||
Of which retirement benefit assets included in “Other assets” |
¥ | ¥ |
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
At beginning of period |
¥ | ¥ | ||||||
Current service cost |
||||||||
Interest cost |
||||||||
Actuarial losses (gains)—demographic assumptions |
( |
) | ||||||
Actuarial losses (gains)—financial assumptions |
( |
) | ( |
) | ||||
Actuarial losses (gains)—experience |
||||||||
Benefits paid |
( |
) | ( |
) | ||||
Lump-sum payments |
( |
) | ( |
) | ||||
Past service cost |
( |
) | ( |
) | ||||
Others |
( |
) | ||||||
At end of period |
¥ | ¥ | ||||||
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
At beginning of period |
¥ | ¥ | ||||||
Interest income |
||||||||
Return on plan assets excluding interest income |
||||||||
Contributions by employer |
||||||||
Benefits paid |
( |
) | ( |
) | ||||
Others |
( |
) | ||||||
At end of period |
¥ | ¥ | ||||||
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
At beginning of period |
¥ | ¥ | ||||||
Interest cost |
||||||||
Change in the asset ceiling |
||||||||
At end of period |
¥ | ¥ | ||||||
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Current service cost |
¥ | ¥ | ¥ | |||||||||
Net interest cost |
( |
) | ( |
) | ( |
) | ||||||
Past service cost |
( |
) | ( |
) | ||||||||
Total |
¥ | ¥ | ¥ | |
||||||||
At March 31, |
||||||||||||||||||||||||
2024 |
2023 |
|||||||||||||||||||||||
Quoted in active markets |
Other |
Total |
Quoted in active markets |
Other |
Total |
|||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Plan assets retained in the pension funds: |
||||||||||||||||||||||||
Equity instruments |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||
Debt instruments |
||||||||||||||||||||||||
General account of life insurance companies |
— | |||||||||||||||||||||||
Other investments and short-term assets |
||||||||||||||||||||||||
Plan assets retained in the retirement benefit trusts: |
||||||||||||||||||||||||
Equity instruments |
||||||||||||||||||||||||
Other short-term assets |
||||||||||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | |
¥ | ¥ | |||||||||||||||||
At March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
Discount rates |
% | % | % |
At March 31, |
||||||||
2024 |
2023 |
|||||||
Increase/(decrease) |
Increase/(decrease) |
|||||||
(In millions) |
||||||||
Discount rates: |
||||||||
Increase by bps |
¥ | ( |
) | ¥ | ( |
) | ||
Decrease by bps |
||||||||
Average life expectancy at age 60: |
||||||||
Increase of |
¥ | ¥ |
At March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(Years) |
||||||||||||
Lump-sum severance indemnity plans |
||||||||||||
Defined benefit pension plans |
25 |
SHAREHOLDERS’ EQUITY |
For the fiscal year ended March 31, |
||||||||||||||||||||||||
2024 |
2023 |
2022 |
||||||||||||||||||||||
Outstanding |
In treasury |
Outstanding |
In treasury |
Outstanding |
In treasury |
|||||||||||||||||||
At beginning of period |
||||||||||||||||||||||||
Net change |
( |
) | ( |
) | ( |
) | ||||||||||||||||||
At end of period |
||||||||||||||||||||||||
At March 31, 2024 |
At March 31, 2023 |
|||||||||||||||
Authorized |
Issued |
Authorized |
Issued |
|||||||||||||
Type 5 preferred stock |
— | — | ||||||||||||||
Type 7 preferred stock |
— | — | ||||||||||||||
Type 8 preferred stock |
— | — | ||||||||||||||
Type 9 preferred stock |
— | — |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
At beginning of period |
¥ | ¥ | ¥ | |||||||||
Gains (losses) arising during the period, before tax |
||||||||||||
Income tax (expense) benefit for changes arising during the period |
( |
) | ( |
) | ( |
) | ||||||
Amount attributable to non-controlling interests |
( |
) | ||||||||||
Share of other comprehensive income (loss) of associates and joint ventures |
||||||||||||
Transfer from other reserves to retained earnings |
( |
) | ( |
) | ( |
) | ||||||
At end of period |
¥ | ¥ | ¥ | |||||||||
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
At beginning of period |
¥ | ¥ | ¥ | |||||||||
Gains (losses) arising during the period, before tax |
( |
) | ( |
) | ||||||||
Income tax (expense) benefit for changes arising during the period |
( |
) | ||||||||||
Reclassification adjustments for (gains) losses included in net profit, before tax |
||||||||||||
Income tax (expense) benefit for reclassification adjustments |
( |
) | ( |
) | ( |
) | ||||||
Amount attributable to non-controlling interests |
( |
) | ||||||||||
Share of other comprehensive income (loss) of associates and joint ventures |
( |
) | ( |
) | ||||||||
Transfer from other reserves to retained earnings |
( |
) | ( |
) | ( |
) | ||||||
|
|
|
|
|
|
|||||||
At end of period |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
At beginning of period |
¥ | ¥ | ¥ | ( |
) | |||||||
Gains (losses) arising during the period, before tax |
( |
) | ||||||||||
Income tax (expense) benefit for changes arising during the period |
( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|||||||
At end of period |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
At beginning of period |
¥ | ¥ | ¥ | |||||||||
Gains (losses) arising during the period, before tax |
||||||||||||
Income tax (expense) benefit for changes arising during the period |
( |
) | ( |
) | ||||||||
Reclassification adjustments for (gains) losses included in net profit, before tax |
( |
) | ||||||||||
Income tax (expense) benefit for reclassification adjustments |
( |
) | ( |
) | ||||||||
Amount attributable to non-controlling interests |
( |
) | ( |
) | ( |
) | ||||||
Share of other comprehensive income (loss) of associates and joint ventures |
||||||||||||
|
|
|
|
|
|
|||||||
At end of period |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
26 |
EQUITY ATTRIBUTABLE TO OTHER EQUITY INSTRUMENTS HOLDERS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Perpetual subordinated bonds |
¥ | ¥ | ||||||
Perpetual subordinated borrowings |
¥ | ¥ | ||||||
|
|
|
|
|||||
Total equity attributable to other equity instruments holders |
¥ | ¥ | ||||||
|
|
|
|
27 |
NET INTEREST INCOME |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Interest income from: |
||||||||||||
Deposits with banks |
¥ | ¥ | ¥ | |||||||||
Call loans and bills bought |
||||||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
||||||||||||
Investment securities |
||||||||||||
Loans and advances |
||||||||||||
Total interest income |
||||||||||||
Interest expense from: |
||||||||||||
Deposits |
||||||||||||
Call money and bills sold |
||||||||||||
Repurchase agreements and cash collateral on securities lent |
||||||||||||
Borrowings |
||||||||||||
Debt securities in issue |
||||||||||||
Premiums for deposit insurance |
||||||||||||
Others |
||||||||||||
Total interest expense |
||||||||||||
Net interest income |
¥ | ¥ | |
¥ | |
|||||||
28 |
NET FEE AND COMMISSION INCOME |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Fee and commission income from: |
||||||||||||
Loans |
¥ | ¥ | ¥ | |||||||||
Credit card business |
||||||||||||
Guarantees |
||||||||||||
Securities-related business |
||||||||||||
Deposits |
||||||||||||
Remittances and transfers |
||||||||||||
Safe deposits |
||||||||||||
Trust fees |
||||||||||||
Investment trusts |
||||||||||||
Agency |
||||||||||||
Others |
||||||||||||
Total fee and commission income |
||||||||||||
Fee and commission expense from: |
||||||||||||
Remittances and transfers |
||||||||||||
Others |
||||||||||||
Total fee and commission expense |
||||||||||||
Net fee and commission income |
¥ | ¥ | |
¥ | |
|||||||
29 |
NET TRADING INCOME |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Interest rate |
¥ | ¥ | ¥ | |||||||||
Foreign exchange |
||||||||||||
Equity |
( |
) | ||||||||||
Credit |
( |
) | ( |
) | ( |
) | ||||||
Others |
( |
) | ( |
) | ||||||||
Total net trading income |
¥ | ¥ | |
¥ | |
|||||||
30 |
NET INCOME FROM FINANCIAL ASSETS AND LIABILITIES AT FAIR VALUE THROUGH PROFIT OR LOSS |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Net income from financial assets mandatorily at fair value through profit or loss: |
||||||||||||
Net income from debt instruments |
¥ | ¥ | ¥ | |||||||||
Net income from equity instruments |
||||||||||||
Net income (loss) from financial liabilities designated at fair value through profit or loss |
( |
) | ||||||||||
Total net income from financial assets and liabilities at fair value through profit or loss |
¥ | ¥ | ¥ | |||||||||
31 |
NET INVESTMENT INCOME |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Net loss from disposal of debt instruments |
¥ | ( |
) | ¥ | ( |
) | ¥ | ( |
) | |||
Dividend income |
||||||||||||
Total net investment income |
¥ | ¥ | |
¥ | |
|||||||
32 |
OTHER INCOME |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Income from operating leases |
¥ | ¥ | ¥ | |||||||||
Income related to disposal of assets leased |
— | |||||||||||
Income related to IT solution services |
||||||||||||
Gains on disposal of property, plant and equipment, and other intangible assets |
||||||||||||
Reversal of impairment losses of investments in associates and joint ventures |
||||||||||||
Gains on step acquisition of subsidiaries |
— | — | ||||||||||
Others |
||||||||||||
Total other income |
¥ | ¥ | ¥ | |||||||||
33 |
IMPAIRMENT CHARGES ON FINANCIAL ASSETS |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Loans and advances |
¥ | ¥ | ¥ | |||||||||
Loan commitments |
( |
) | ||||||||||
Financial guarantees |
( |
) | ||||||||||
Total impairment charges on financial assets |
¥ | ¥ | ¥ | |||||||||
34 |
GENERAL AND ADMINISTRATIVE EXPENSES |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Personnel expenses |
¥ | ¥ | ¥ | |||||||||
Depreciation and amortization |
||||||||||||
Building and maintenance expenses |
||||||||||||
Supplies expenses |
||||||||||||
Communication expenses |
||||||||||||
Publicity and advertising expenses |
||||||||||||
Taxes and dues |
||||||||||||
Outsourcing expenses |
||||||||||||
Office equipment expenses |
||||||||||||
Others |
||||||||||||
Total general and administrative expenses |
¥ | ¥ | |
¥ | |
|||||||
35 |
OTHER EXPENSES |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Cost of operating leases |
¥ | ¥ | ¥ | |||||||||
Cost related to disposal of assets leased |
||||||||||||
Cost related to IT solution services and IT systems |
||||||||||||
Provision for interest repayment |
||||||||||||
Losses on disposal of property, plant and equipment, and other intangible assets |
||||||||||||
Impairment losses of property, plant and equipment |
||||||||||||
Impairment losses of intangible assets |
||||||||||||
Losses on sales of investments in subsidiaries and associates (1) |
— | |||||||||||
Impairment losses of investments in associates and joint ventures (2) (3) |
||||||||||||
Losses on step acquisition of subsidiaries |
— | — | ||||||||||
Others |
||||||||||||
Total other expenses |
¥ | ¥ | ¥ | |||||||||
(1) | For the fiscal years ended March 31, 2024, the Group recognized a loss on sales of investments in subsidiaries and associates of ¥ |
(2) | For the fiscal years ended March 31, 2024, 2023 and 2022, the Group recognized an impairment loss of ¥ |
(3) | For the fiscal year ended March 31, 2024, the Group recognized an impairment loss of ¥ Finance Company Limited, due to the decline in the recoverable amount as determined by the value in use calculation. |
36 |
INCOME TAX EXPENSE |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Current tax: |
||||||||||||
Charge for period (1) |
¥ | ¥ | ¥ | |||||||||
Deferred tax: |
||||||||||||
Origination and reversal of temporary differences |
( |
) | ( |
) | ||||||||
Change in the write-down of deferred tax assets on the current fiscal year income tax expense |
( |
) | ( |
) | ( |
) | ||||||
|
|
|
|
|
|
|||||||
Total deferred tax expense (benefit) |
( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|||||||
Total income tax expense |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
(1) | As a result of the adoption of IFRS 9, the current income tax expenses of ¥ |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions, except percentages) |
||||||||||||
Profit before tax |
¥ | ¥ | ¥ | |||||||||
Income tax expense |
||||||||||||
Effective income tax rate |
||||||||||||
Effective statutory tax rate in Japan (1) |
||||||||||||
Tax impact of share of post-tax (profit) loss in associates and joint ventures |
( |
) | ( |
) | ||||||||
Tax impact of impairment losses and reversal of impairment losses for investments in associates and joint ventures—net |
( |
) | ||||||||||
Non-Japanese earnings |
( |
) | ( |
) | ( |
) | ||||||
Nontaxable dividends received |
( |
) | ( |
) | ( |
) | ||||||
Effect of the change in the write-down of deferred tax assets on the current fiscal year income tax expense |
( |
) | ( |
) | ( |
) | ||||||
Tax impact of impairment losses of goodwill |
— | — | ||||||||||
Others—net |
( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|||||||
Effective income tax rate |
||||||||||||
|
|
|
|
|
|
(1) | The effective statutory tax rate in Japan for the fiscal year ended March 31, 2024, 2023 and 2022 is the aggregate of the effective corporation tax rate of |
37 |
EARNINGS PER SHARE |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions, except number of shares and per share data) |
||||||||||||
Basic: |
||||||||||||
Profit attributable to shareholders of the Company |
¥ | ¥ | ¥ | |||||||||
Weighted average number of common stock in issue (in thousands of shares) |
||||||||||||
|
|
|
|
|
|
|||||||
Basic earnings per share |
¥ | ¥ | ¥ | |||||||||
Diluted: |
||||||||||||
Profit attributable to the common shareholders of the Company |
¥ | ¥ | ¥ | |||||||||
Impact of dilutive potential ordinary shares issued by subsidiaries |
— | — | — | |||||||||
|
|
|
|
|
|
|||||||
Net profit used to determine diluted earnings per share |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
|||||||
Weighted average number of common stock in issue (in thousands of shares) |
||||||||||||
Adjustments for stock options (in thousands of shares) |
||||||||||||
|
|
|
|
|
|
|||||||
Weighted average number of common stock for diluted earnings per share (in thousands of shares) |
||||||||||||
|
|
|
|
|
|
|||||||
Diluted earnings per share |
¥ | ¥ | ¥ |
38 |
TRANSFERS OF FINANCIAL ASSETS |
At March 31, 2024 |
||||||||||||
Repurchase agreements and securities lending transactions |
Loans and advances |
|||||||||||
Residential mortgages |
Corporate loans |
|||||||||||
(In millions) |
||||||||||||
Carrying amount of assets |
¥ | ¥ | ¥ | |||||||||
Carrying amount of associated liabilities |
||||||||||||
For those liabilities that have recourse only to the transferred assets: |
||||||||||||
Fair value of assets |
¥ | — | ¥ | ¥ | ||||||||
Fair value of associated liabilities |
— | |||||||||||
|
|
|
|
|
|
|||||||
Net position |
¥ | — | ¥ | ¥ | ||||||||
|
|
|
|
|
|
|||||||
At March 31, 2023 |
||||||||||||
Repurchase agreements and securities lending transactions |
Loans and advances |
|||||||||||
Residential mortgages |
Corporate loans |
|||||||||||
(In millions) |
||||||||||||
Carrying amount of assets |
¥ | ¥ | ¥ | |||||||||
Carrying amount of associated liabilities |
||||||||||||
For those liabilities that have recourse only to the transferred assets: |
||||||||||||
Fair value of assets |
¥ | — | ¥ | ¥ | ||||||||
Fair value of associated liabilities |
— | |||||||||||
|
|
|
|
|
|
|||||||
Net position |
¥ | — | ¥ | ¥ | ||||||||
|
|
|
|
|
|
39 |
ASSETS PLEDGED AND RECEIVED AS COLLATERAL |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Cash and deposits with banks |
¥ | ¥ | ||||||
Trading assets |
||||||||
Debt instruments at amortized cost |
||||||||
Debt instruments at fair value through other comprehensive income |
||||||||
Equity instruments at fair value through other comprehensive income |
||||||||
Loans and advances |
||||||||
Others |
||||||||
|
|
|
|
|||||
Total |
¥ | ¥ | ||||||
|
|
|
|
40 |
SHARE-BASED PAYMENT |
Title of grantees |
Exercise period |
Requisite service period |
Method of settlement | |||||
SMFG Stock Acquisition Rights |
(1) |
(1) | A stock acquisition rights holder can exercise the rights from the day they are relieved of their positions either as a director, a corporate auditor or an executive officer (“Start of Exercise Date”) to |
For the fiscal year ended March 31, |
||||||||||||||||
2024 |
2023 |
|||||||||||||||
Number of options (1) |
Weighted average exercise price |
Number of options (1) |
Weighted average exercise price |
|||||||||||||
Outstanding at beginning of period |
¥ | ¥ | ||||||||||||||
Exercised |
( |
) | ( |
) | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Outstanding at end of period |
¥ | ¥ | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Exercisable at end of period |
¥ | ¥ |
(1) | Number of options is the number of SMFG’s common stock granted by the exercise of stock options. |
At March 31, |
||||||||||||||||||||
2024 |
2023 |
|||||||||||||||||||
Exercise price |
Number of options |
Remaining contractual lives in years |
Number of options |
Remaining contractual lives in years |
||||||||||||||||
SMFG Stock Acquisition Rights |
¥ |
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
Outstanding at beginning of period |
||||||||
Allotted |
||||||||
Released |
( |
) | ( |
) | ||||
Forfeited |
( |
) | — | |||||
|
|
|
|
|||||
Outstanding at end of period |
||||||||
|
|
|
|
|||||
Fair value at measurement date |
¥ | ¥ | ||||||
|
|
|
|
41 |
DIVIDENDS PER SHARE |
Dividends per share |
Aggregate amount |
|||||||
(In yen) |
(In millions) |
|||||||
For the fiscal year ended March 31, 2024: |
||||||||
Common stock |
¥ | ¥ | ||||||
For the fiscal year ended March 31, 2023: |
||||||||
Common stock |
¥ | ¥ | ||||||
For the fiscal year ended March 31, 2022: |
||||||||
Common stock |
¥ | ¥ |
42 |
CONTINGENCY AND CAPITAL COMMITMENTS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Loan commitments |
¥ | ¥ | ||||||
Financial guarantees and other credit-related contingent liabilities |
||||||||
|
|
|
|
|||||
Total |
¥ | ¥ | ||||||
|
|
|
|
43 |
ANALYSIS OF FINANCIAL ASSETS AND LIABILITIES BY MEASUREMENT BASIS |
At March 31, 2024 |
||||||||||||||||||||
Financial assets and liabilities at fair value through profit or loss |
Financial assets and liabilities at amortized cost |
Debt instruments at fair value through other comprehensive income |
Equity instruments at fair value through other comprehensive income |
Total |
||||||||||||||||
(In millions) |
||||||||||||||||||||
Financial assets: |
||||||||||||||||||||
Cash and deposits with banks |
¥ | — | ¥ | ¥ | — | ¥ | — | ¥ | ||||||||||||
Call loans and bills bought |
— | — | — | |||||||||||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
— | — | — | |||||||||||||||||
Trading assets |
— | — | — | |||||||||||||||||
Derivative financial instruments |
— | — | — | |||||||||||||||||
Financial assets at fair value through profit or loss |
— | — | — | |||||||||||||||||
Investment securities |
— | |||||||||||||||||||
Loans and advances |
— | — | — | |||||||||||||||||
Other financial assets (1) |
— | — | — | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
At March 31, 2024 |
||||||||||||||||||||
Financial assets and liabilities at fair value through profit or loss |
Financial assets and liabilities at amortized cost |
Debt instruments at fair value through other comprehensive income |
Equity instruments at fair value through other comprehensive income |
Total |
||||||||||||||||
(In millions) |
||||||||||||||||||||
Financial liabilities: |
||||||||||||||||||||
Deposits (2) |
¥ | ( |
) | ¥ | ¥ | — | ¥ | — | ¥ | |||||||||||
Call money and bills sold |
— | — | — | |||||||||||||||||
Repurchase agreements and cash collateral on securities lent |
— | — | — | |||||||||||||||||
Trading liabilities |
— | — | — | |||||||||||||||||
Derivative financial instruments |
— | — | — | |||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | — | — | |||||||||||||||||
Borrowings (2) |
( |
) | — | — | ||||||||||||||||
Debt securities in issue (2) |
— | — | ||||||||||||||||||
Other financial liabilities (1) |
— | — | — | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
¥ | ¥ | ¥ | — | ¥ | — | ¥ | |||||||||||||
|
|
|
|
|
|
|
|
|
|
At March 31, 2023 |
||||||||||||||||||||
Financial assets and liabilities at fair value through profit or loss |
Financial assets and liabilities at amortized cost |
Debt instruments at fair value through other comprehensive income |
Equity instruments at fair value through other comprehensive income |
Total |
||||||||||||||||
(In millions) |
||||||||||||||||||||
Financial assets: |
||||||||||||||||||||
Cash and deposits with banks |
¥ | — | ¥ | ¥ | — | ¥ | — | ¥ | ||||||||||||
Call loans and bills bought |
— | — | — | |||||||||||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
— | — | — | |||||||||||||||||
Trading assets |
— | — | — | |||||||||||||||||
Derivative financial instruments |
— | — | — | |||||||||||||||||
Financial assets at fair value through profit or loss |
— | — | — | |||||||||||||||||
Investment securities |
— | |||||||||||||||||||
Loans and advances |
— | — | — | |||||||||||||||||
Other financial assets (1) |
— | — | — | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Financial liabilities: |
||||||||||||||||||||
Deposits (2) |
¥ | ( |
) | ¥ | ¥ | — | ¥ | — | ¥ | |||||||||||
Call money and bills sold |
— | — | — | |||||||||||||||||
Repurchase agreements and cash collateral on securities lent |
— | — | — | |||||||||||||||||
Trading liabilities |
— | — | — | |||||||||||||||||
Derivative financial instruments |
— | — | — | |||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | — | — | |||||||||||||||||
Borrowings (2) |
( |
) | — | — | ||||||||||||||||
Debt securities in issue (2) |
— | — | ||||||||||||||||||
Other financial liabilities (1) |
— | — | — | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
¥ | ¥ | ¥ | — | ¥ | — | ¥ | |||||||||||||
|
|
|
|
|
|
|
|
|
|
(1) | Other financial assets and liabilities comprise of those included in other assets and liabilities, which meet the definition of a financial asset and liability. |
(2) | Embedded derivatives, which are separately accounted for, but presented together with the host contract in the consolidated statements of financial position, are disclosed in this table within the category of “Financial assets and liabilities at fair value through profit or loss.” Although the separated embedded derivatives may have a positive or a negative fair value, they have been presented in this table as liabilities to be consistent with the line of the host contract. |
44 |
FAIR VALUE OF FINANCIAL ASSETS AND LIABILITIES |
• | quoted prices (unadjusted) in active markets for identical assets or liabilities that the entity can access at the measurement date (Level 1); |
• | inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly (Level 2); and |
• | significant unobservable inputs for the asset or liability (Level 3). |
At March 31, 2024 |
||||||||||||||||
Level 1 (1) |
Level 2 (1) |
Level 3 |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Financial assets: |
||||||||||||||||
Trading assets: |
||||||||||||||||
Debt instruments |
¥ | ¥ | ¥ | — | ¥ | |||||||||||
Equity instruments |
— | |||||||||||||||
Total trading assets |
— | |||||||||||||||
Derivative financial instruments: |
||||||||||||||||
Interest rate derivatives |
||||||||||||||||
Currency derivatives |
— | |||||||||||||||
Equity derivatives |
||||||||||||||||
Commodity derivatives |
— | |||||||||||||||
Credit derivatives |
— | |||||||||||||||
Total derivative financial instruments |
||||||||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||||
Debt instruments |
||||||||||||||||
Equity instruments |
||||||||||||||||
Total financial assets at fair value through profit or loss |
||||||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||||
Japanese government bonds |
— | — | ||||||||||||||
U.S. Treasury and other U.S. government agency bonds |
— | — | ||||||||||||||
Other debt instruments |
— | |||||||||||||||
Total debt instruments |
— | |||||||||||||||
Equity instruments |
||||||||||||||||
Total investment securities at fair value through other comprehensive income |
||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Financial liabilities: |
||||||||||||||||
Trading liabilities: |
||||||||||||||||
Debt instruments |
¥ | ¥ | ¥ | — | ¥ | |||||||||||
Equity instruments |
— | |||||||||||||||
Total trading liabilities |
— | |||||||||||||||
Derivative financial instruments: |
||||||||||||||||
Interest rate derivatives |
||||||||||||||||
Currency derivatives |
||||||||||||||||
Equity derivatives |
||||||||||||||||
Commodity derivatives |
— | |||||||||||||||
Credit derivatives |
— | |||||||||||||||
Total derivative financial instruments |
||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | |||||||||||||||
Others (2) |
— | ( |
) | ( |
) | ( |
) | |||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
At March 31, 2023 |
||||||||||||||||
Level 1 (1) |
Level 2 (1) |
Level 3 |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Financial assets: |
||||||||||||||||
Trading assets: |
||||||||||||||||
Debt instruments |
¥ | ¥ | ¥ | — | ¥ | |||||||||||
Equity instruments |
— | |||||||||||||||
Total trading assets |
— | |||||||||||||||
Derivative financial instruments: |
||||||||||||||||
Interest rate derivatives |
— | |||||||||||||||
Currency derivatives |
||||||||||||||||
Equity derivatives |
||||||||||||||||
Commodity derivatives |
— | |||||||||||||||
Credit derivatives |
— | |||||||||||||||
Total derivative financial instruments |
||||||||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||||
Debt instruments |
||||||||||||||||
Equity instruments |
||||||||||||||||
Total financial assets at fair value through profit or loss |
||||||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||||
Japanese government bonds |
— | — | ||||||||||||||
U.S. Treasury and other U.S. government agency bonds |
— | — | ||||||||||||||
Other debt instruments |
— | |||||||||||||||
Total debt instruments |
— | |||||||||||||||
Equity instruments |
||||||||||||||||
Total investment securities at fair value through other comprehensive income |
||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Financial liabilities: |
||||||||||||||||
Trading liabilities: |
||||||||||||||||
Debt instruments |
¥ | ¥ | ¥ | — | ¥ | |||||||||||
Equity instruments |
— | |||||||||||||||
Total trading liabilities |
— | |||||||||||||||
Derivative financial instruments: |
||||||||||||||||
Interest rate derivatives |
||||||||||||||||
Currency derivatives |
— | |||||||||||||||
Equity derivatives |
||||||||||||||||
Commodity derivatives |
— | |||||||||||||||
Credit derivatives |
— | |||||||||||||||
Total derivative financial instruments |
||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | |||||||||||||||
Others (2) |
— | ( |
) | ( |
) | ( |
) | |||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
(1) |
Transfers between levels of the fair value hierarchy are deemed to have occurred at beginning of the period. There were no significant transfers between Level 1 and Level 2 for the fiscal years ended March 31, 2024 and 2023. |
(2) |
Derivatives embedded in financial liabilities, except for financial liabilities designated at fair value through profit or loss, are separately accounted for, but presented together with the host contract in the consolidated statements of financial position. In these tables, the separated embedded derivatives whose host contracts are carried at amortized cost are presented within others. Although the separated embedded derivatives may have a positive or a negative fair value, they have been presented in these tables as liabilities to be consistent with the host contract. The separated embedded derivatives are measured at fair value using the valuation techniques described in “Derivative financial instruments (including embedded derivatives)” below. |
At April 1, 2023 |
Total gains (losses) |
Purchases |
Sales |
Issuances |
Settlement (1) |
Transfers into Level 3 (2) |
Transfers out of Level 3 (2) |
At March 31, 2024 |
Changes in unrealized gains (losses) included in profit or loss related to assets and liabilities held at March 31, 2024 |
|||||||||||||||||||||||||||||||||||
Included in profit or loss |
Included in other comprehensive income |
|||||||||||||||||||||||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||||||||||||||||||||||
Derivative financial instruments—net: |
||||||||||||||||||||||||||||||||||||||||||||
Interest rate derivatives—net |
¥ | ( |
) | ¥ | ( |
) | ¥ | — | ¥ | ¥ | ( |
) | ¥ | — | ¥ | — | ¥ | — | ¥ | — | ¥ | ( |
) | ¥ | ||||||||||||||||||||
Currency derivatives—net |
( |
) | — | ( |
) | — | — | — | — | ( |
) | |||||||||||||||||||||||||||||||||
Equity derivatives—net |
( |
) | — | ( |
) | — | — | — | — | |||||||||||||||||||||||||||||||||||
Credit derivatives—net |
— | — | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total derivative financial instruments—net |
( |
) | — | ( |
) | — | — | — | — | |||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||||||||||||||||||||||||||||||||
Debt instruments |
( |
) | — | ( |
) | — | ( |
) | ||||||||||||||||||||||||||||||||||||
Equity instruments |
( |
) | — | ( |
) | — | ( |
) | — | ( |
) | ( |
) | |||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total financial assets at fair value through profit or loss |
( |
) | — | ( |
) | — | ( |
) | ||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||||||||||||||||||||||||||||||||
Equity instruments |
— | ( |
) | — | ( |
) | ( |
) | — | |||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total investment securities at fair value through other comprehensive income |
— | ( |
) | — | ( |
) | ( |
) | — | |||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
( |
) | ( |
) | ( |
) | — | — | ( |
) | — | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Others (3) —liabilities: |
( |
) | — | — | — | — | — | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ¥ | ( |
) | ¥ | ( |
) | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | |||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
At April 1, 2022 |
Total gains (losses) |
Purchases |
Sales |
Issuances |
Settlement (1) |
Transfers into Level 3 (2) |
Transfers out of Level 3 (2) |
At March 31, 2023 |
Changes in unrealized gains (losses) included in profit or loss related to assets and liabilities held at March 31, 2023 |
|||||||||||||||||||||||||||||||||||
Included in profit or loss |
Included in other comprehensive income |
|||||||||||||||||||||||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||||||||||||||||||||||
Derivative financial instruments—net: |
||||||||||||||||||||||||||||||||||||||||||||
Interest rate derivatives—net |
¥ | ( |
) | ¥ | ( |
) | ¥ | — | ¥ | ¥ | — | ¥ | — | ¥ | — | ¥ | — | ¥ | ¥ | ( |
) | ¥ | ( |
) | ||||||||||||||||||||
Currency derivatives—net |
( |
) | — | — | — | — | — | — | ( |
) | ( |
) | ( |
) | ||||||||||||||||||||||||||||||
Equity derivatives—net |
— | ( |
) | — | — | — | — | |||||||||||||||||||||||||||||||||||||
Credit derivatives—net |
( |
) | — | — | — | — | — | — | — | ( |
) | |||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total derivative financial instruments—net |
— | ( |
) | — | — | — | ( |
) | ||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||||||||||||||||||||||||||||||||
Debt instruments |
( |
) | ( |
) | — | ( |
) | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||
Equity instruments |
— | ( |
) | — | ( |
) | — | ( |
) | |||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total financial assets at fair value through profit or loss |
( |
) | — | ( |
) | — | ( |
) | ( |
) | ||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||||||||||||||||||||||||||||||||
Equity instruments |
— | ( |
) | — | ( |
) | — | — | ||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total investment securities at fair value through other comprehensive income |
— | ( |
) | — | ( |
) | — | — | ||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
( |
) | ( |
) | — | — | ( |
) | — | — | ( |
) | ||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Others (3) —liabilities: |
— | — | — | — | — | ( |
) | |||||||||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||||||||||
Total |
¥ | ¥ | ( |
) | ¥ | ¥ | ¥ | ( |
) | ¥ | ( |
) | ¥ | ¥ | ¥ | ( |
) | ¥ | ¥ | |||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Settlements for equity instruments include redemption of preferred stocks and receipt of cash distributions which represent a return of investment. |
(2) | Transfers between levels of the fair value hierarchy are deemed to have occurred at beginning of the period. For the fiscal year ended March 31, 2024 and 2023, transfers out of Level 3 amounted to ¥ |
(3) | Derivatives embedded in financial liabilities, except for financial liabilities designated at fair value through profit or loss, are separately accounted for, but presented together with the host contract in the consolidated statements of financial position. In these tables, the separated embedded derivatives whose host contracts are carried at amortized cost are presented within others. Although the separated embedded derivatives may have a positive or a negative fair value, they have been presented in these tables as liabilities to be consistent with the host contract. |
Total gains (losses) included in profit or loss for the fiscal year ended March 31, |
Changes in unrealized gains (losses) included in profit or loss related to assets and liabilities held at March 31, |
|||||||||||||||
2024 |
2023 |
2024 |
2023 |
|||||||||||||
(In millions) |
||||||||||||||||
Net interest income |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Net trading income (loss) |
( |
) | ||||||||||||||
Net income (loss) from financial assets and liabilities at fair value through profit or loss |
( |
) | ||||||||||||||
Other expenses |
— | ( |
) | — | — | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | ¥ | ( |
) | ¥ | ¥ | ||||||||||
|
|
|
|
|
|
|
|
For the fiscal year ended March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Balance at beginning of period |
¥ | ¥ | ||||||
Increase due to new trades |
||||||||
Reduction due to redemption, sales or passage of time |
( |
) | ( |
) | ||||
Balance at end of period |
¥ | ¥ | ||||||
At March 31, 2024 | ||||||||||||||
Assets |
Liabilities |
Valuation technique(s) (1) |
Significant unobservable inputs (1) |
Range of inputs (1) | ||||||||||
(In millions) |
||||||||||||||
Derivative financial instruments: |
||||||||||||||
Interest rate derivatives |
¥ | ¥ | Option model | Interest rate to interest rate correlation | ||||||||||
Quanto correlation | ( | |||||||||||||
Foreign exchange volatility | ||||||||||||||
Currency derivatives |
Option model | Interest rate to interest rate correlation | ||||||||||||
Quanto correlation | | |||||||||||||
Foreign exchange volatility | | |||||||||||||
Equity derivatives |
Option model | Equity to equity correlation | | |||||||||||
Quanto correlation | ( | |||||||||||||
Equity volatility | | |||||||||||||
Credit derivatives |
Credit Default model | Quanto correlation | | |||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||
Debt instruments |
— | Option model | Foreign exchange volatility | | ||||||||||
DCF model | Probability of default rate | | ||||||||||||
Loss given default rate | | |||||||||||||
Discount margin | | |||||||||||||
Net asset value (2) |
— | — | ||||||||||||
Equity instruments |
— | Market multiples | Price/Book value multiple | | ||||||||||
Liquidity discount | ||||||||||||||
DCF model | Probability of default rate | | ||||||||||||
Loss given default rate | ||||||||||||||
See note (3) below | — | — | ||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||
Equity instruments |
— | Market multiples | Price/Book value multiple | | ||||||||||
Liquidity discount | ||||||||||||||
See note (3) below | — | — | ||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | Option model | Equity to equity correlation | | ||||||||||
Interest rate to interest rate correlation | | |||||||||||||
Quanto correlation | ( | |||||||||||||
Equity volatility | | |||||||||||||
Credit Default model | Quanto correlation | | ||||||||||||
Others (4) |
— | ( |
) | Option model | Interest rate to interest rate correlation | | ||||||||
Quanto correlation | ( | |||||||||||||
Equity volatility | | |||||||||||||
Foreign exchange volatility | | |||||||||||||
Credit Default model | Quanto correlation | |
At March 31, 2023 | ||||||||||||||
Assets |
Liabilities |
Valuation technique(s) (1) |
Significant unobservable inputs (1) |
Range of inputs (1) | ||||||||||
(In millions) |
||||||||||||||
Derivative financial instruments: |
||||||||||||||
Interest rate derivatives |
¥ | — | ¥ | Option model | Interest rate to interest rate correlation | |||||||||
Quanto correlation | ( | |||||||||||||
Currency derivatives |
Option model | Interest rate to interest rate correlation | ||||||||||||
Quanto correlation | ||||||||||||||
Foreign exchange volatility | ||||||||||||||
Equity derivatives |
Option model | Equity to equity correlation | ||||||||||||
Quanto correlation | ( | |||||||||||||
Equity volatility | ||||||||||||||
Credit derivatives |
Credit Default model | Quanto correlation | ||||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||
Debt instruments |
— | Option model | Foreign exchange volatility | |||||||||||
DCF model | Probability of default rate | |||||||||||||
Loss given default rate | ||||||||||||||
Discount margin | ||||||||||||||
Net asset value (2) |
— | — | ||||||||||||
Equity instruments |
— | Market multiples | Price/Book value multiple | |||||||||||
DCF model | Probability of default rate | |||||||||||||
Loss given default rate | ||||||||||||||
See note (3) below | — | — | ||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||
Equity instruments |
— | Market multiples | Price/Book value multiple | | ||||||||||
Liquidity discount | ||||||||||||||
See note (3) below | — | — | ||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | Option model | Equity to equity correlation | |||||||||||
Interest rate to interest rate correlation | ||||||||||||||
Quanto correlation | ( | |||||||||||||
Equity volatility | ||||||||||||||
Credit Default model | Quanto correlation | |||||||||||||
Others (4) |
— | ( |
) | Option model | Equity to equity correlation | |||||||||
Interest rate to interest rate correlation | ||||||||||||||
Quanto correlation | ( | |||||||||||||
Equity volatility | ||||||||||||||
Foreign exchange volatility | ||||||||||||||
Credit Default model | Quanto correlation |
(1) | Valuation techniques and unobservable inputs for insignificant Level 3 financial assets and liabilities are excluded. |
(2) | The Group has determined that the net asset value represents fair values of certain investment funds. |
(3) | Fair values of certain equity instruments such as unlisted stocks are estimated on the basis of an analysis of the investee’s financial position and results, risk profile, prospects and other factors. A range of key inputs is not provided in these tables as it is not practical to do so given the nature of such valuation techniques. |
(4) | Derivatives embedded in financial liabilities, except for financial liabilities designated at fair value through profit or loss, are separately accounted for, but presented together with the host contract in the consolidated statements of financial position. In these tables, the separated embedded derivatives whose host contracts are carried at amortized cost are presented within others. Although the separated embedded derivatives may have a positive or a negative fair value, they have been presented in these tables as liabilities to be consistent with the host contract. |
At March 31, 2024 |
||||||||||||||||||||
Total fair value measured using valuation techniques |
Effect recorded in profit or loss |
Effect recorded directly in equity |
||||||||||||||||||
Favorable changes |
Unfavorable changes |
Favorable changes |
Unfavorable changes |
|||||||||||||||||
(In millions) |
||||||||||||||||||||
Financial instruments—net: |
||||||||||||||||||||
Derivative financial instruments—net: |
||||||||||||||||||||
Interest rate derivatives—net |
¥ | ( |
) | ¥ | ¥ | ¥ | — | ¥ | — | |||||||||||
Currency derivatives—net |
( |
) | — | — | ||||||||||||||||
Equity derivatives—net |
— | — | ||||||||||||||||||
Credit derivatives—net |
— | — | ||||||||||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||||||||
Debt instruments |
— | — | ||||||||||||||||||
Equity instruments |
— | — | ||||||||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||||||||
Equity instruments |
— | — | ||||||||||||||||||
Financial liabilities designated at fair value through profit or loss (1) |
( |
) | — | — | ||||||||||||||||
Others (1)(2) —liabilities: |
— | — |
At March 31, 2023 |
||||||||||||||||||||
Total fair value measured using valuation techniques |
Effect recorded in profit or loss |
Effect recorded directly in equity |
||||||||||||||||||
Favorable changes |
Unfavorable changes |
Favorable changes |
Unfavorable changes |
|||||||||||||||||
(In millions) |
||||||||||||||||||||
Financial instruments—net: |
||||||||||||||||||||
Derivative financial instruments—net: |
||||||||||||||||||||
Interest rate derivatives—net |
¥ | ( |
) | ¥ | — | ¥ | — | ¥ | — | ¥ | — | |||||||||
Currency derivatives—net |
( |
) | — | — | ||||||||||||||||
Equity derivatives—net |
— | — | ||||||||||||||||||
Credit derivatives—net |
— | — | ||||||||||||||||||
Financial assets at fair value through profit or loss: |
||||||||||||||||||||
Debt instruments |
— | — | ||||||||||||||||||
Equity instruments |
— | — | ||||||||||||||||||
Investment securities at fair value through other comprehensive income: |
||||||||||||||||||||
Equity instruments |
— | — | ||||||||||||||||||
Financial liabilities designated at fair value through profit or loss (1) |
( |
) | — | — | ||||||||||||||||
Others (1)(2) —liabilities: |
— | — |
(1) |
As part of risk management, the Group enters into transactions to offset the profit or loss of certain financial instruments, including embedded derivatives. Sensitivity of embedded derivatives related to these transactions is presented as derivative financial instruments or financial assets at fair value through profit or loss, according to the presentation of the financial instruments arising from these transactions. |
(2) | Derivatives embedded in financial liabilities, except for financial liabilities designated at fair value through profit or loss, are separately accounted for, but presented together with the host contract in the consolidated statements of financial position. In these tables, the separated embedded derivatives whose host contracts are carried at amortized cost are presented within others. Although the separated embedded derivatives may have a positive or a negative fair value, they have been presented in these tables as liabilities to be consistent with the host contract. |
At March 31, 2024 |
||||||||||||||||||||||||
Carrying amount |
Fair value |
|||||||||||||||||||||||
Notes |
Total |
Level 1 |
Level 2 |
Level 3 |
||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Financial assets: |
||||||||||||||||||||||||
Investment securities: |
||||||||||||||||||||||||
Debt instruments at amortized cost |
a | ¥ | ¥ | ¥ | ¥ | ¥ | — | |||||||||||||||||
Loans and advances |
b | — | ||||||||||||||||||||||
Other financial assets |
b | — |
At March 31, 2024 |
||||||||||||||||||||||||
Carrying amount |
Fair value |
|||||||||||||||||||||||
Notes |
Total |
Level 1 |
Level 2 |
Level 3 |
||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Financial liabilities: |
||||||||||||||||||||||||
Deposits: |
||||||||||||||||||||||||
Non-interest-bearing deposits, demand deposits and deposits at notice |
c | ¥ | ¥ | ¥ | — | ¥ | ¥ | — | ||||||||||||||||
Other deposits |
c | — | ||||||||||||||||||||||
Borrowings |
c | — | ||||||||||||||||||||||
Debt securities in issue |
c | — | ||||||||||||||||||||||
Other financial liabilities |
c | — | ||||||||||||||||||||||
At March 31, 2023 |
||||||||||||||||||||||||
Carrying amount |
Fair value |
|||||||||||||||||||||||
Notes |
Total |
Level 1 |
Level 2 |
Level 3 |
||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Financial assets: |
||||||||||||||||||||||||
Investment securities: |
||||||||||||||||||||||||
Debt instruments at amortized cost |
a | ¥ | ¥ | ¥ | ¥ | ¥ | — | |||||||||||||||||
Loans and advances |
b | — | ||||||||||||||||||||||
Other financial assets |
b | — | ||||||||||||||||||||||
Financial liabilities: |
||||||||||||||||||||||||
Deposits: |
||||||||||||||||||||||||
Non-interest-bearing deposits, demand deposits and deposits at notice |
c | ¥ | ¥ | ¥ | — | ¥ | ¥ | — | ||||||||||||||||
Other deposits |
c | — | ||||||||||||||||||||||
Borrowings |
c | — | ||||||||||||||||||||||
Debt securities in issue |
c | — | ||||||||||||||||||||||
Other financial liabilities |
c | — |
a. |
The fair values of debt instruments at amortized cost are determined using quoted prices in active markets or observable inputs other than quoted prices in active markets. | |||
b. |
(i) | The carrying amounts of loans with no specified repayment dates represent a reasonable estimate of fair value, considering the nature of these financial instruments. | ||
(ii) | Short-term financial assets: The carrying amounts represent a reasonable estimate of fair value. | |||
(iii) | Long-term financial assets: Except for impaired loans and advances, the fair values are mostly determined using discounted cash flow models taking into account certain factors including counterparties’ credit ratings, pledged collateral, and market interest rates. The fair values of impaired loans and advances are generally determined by discounting the estimated future cash flows over the time period they are expected to be recovered, and may be based on the appraisal value of underlying collateral as appropriate. | |||
c. |
Note that some of the financial liabilities in this category include embedded derivatives, which are separately accounted for, but presented together with the host contract. | |||
(i) | The carrying amounts of demand deposits and deposits without maturity represent a reasonable estimate of fair value, considering the nature of these financial instruments. | |||
(ii) | Short-term financial liabilities: The carrying amounts represent a reasonable estimate of fair value. |
(iii) | Long-term financial liabilities: The fair values are, in principle, based on the present values of future cash flows calculated using the funding costs for the remaining maturities. The fair values of debt securities in issue are based on a price quoted by a third party, such as a pricing service or broker, or the present values of future cash flows calculated using the rate derived from yields of bonds issued by SMFG, SMBC and other subsidiaries and publicly offered subordinated bonds published by securities firms. | |||
(iv) | The carrying amounts and fair values of lease liabilities are not included in these tables. |
45 |
OFFSETTING OF FINANCIAL ASSETS AND LIABILITIES |
At March 31, 2024 |
||||||||||||||||||||||||
Gross amounts of recognized financial assets and liabilities |
Gross amounts offset in statements of financial position (1) |
Net amounts presented in statements of financial position |
Related amounts not offset in statements of financial position (2) |
|||||||||||||||||||||
Financial instruments (3) |
Cash collateral |
Net amounts |
||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Financial assets (4) : |
||||||||||||||||||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | — | ¥ | |||||||||||||
Derivative financial instruments |
( |
) | ( |
) | ( |
) | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | ( |
) | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Financial liabilities (4) : |
||||||||||||||||||||||||
Repurchase agreements and cash collateral on securities lent |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | — | ¥ | |||||||||||||
Derivative financial instruments |
( |
) | ( |
) | ( |
) | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | ( |
) | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
At March 31, 2023 |
||||||||||||||||||||||||
Gross amounts of recognized financial assets and liabilities |
Gross amounts offset in statements of financial position (1) |
Net amounts presented in statements of financial position |
Related amounts not offset in statements of financial position (2) |
|||||||||||||||||||||
Financial instruments (3) |
Cash collateral |
Net amounts |
||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||
Financial assets (4) : |
||||||||||||||||||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | — | ¥ | |||||||||||||
Derivative financial instruments |
( |
) | ( |
) | ( |
) | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | ( |
) | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Financial liabilities (4) : |
||||||||||||||||||||||||
Repurchase agreements and cash collateral on securities lent |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | — | ¥ | |||||||||||||
Derivative financial instruments |
( |
) | ( |
) | ( |
) | ||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Total |
¥ | ¥ | ( |
) | ¥ | ¥ | ( |
) | ¥ | ( |
) | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
(1) | Amounts offset for derivative financial instruments include cash collateral. |
(2) | The amounts of financial instruments and cash collateral have been limited to the net amounts presented in the consolidated statements of financial position so as not to include any over-collateralization. |
(3) | Financial instruments include non-cash collateral at fair value. |
(4) | Financial assets and liabilities include amounts that are both subject to and not subject to enforceable master netting arrangements or similar agreements. |
46 |
FINANCIAL RISK MANAGEMENT |
Obligor Grade |
Definition |
Borrower Category | ||
Domestic (C&I), etc. | ||||
J1 |
Very high certainty of debt repayment | Normal Borrowers | ||
J2 |
High certainty of debt repayment | |||
J3 |
Satisfactory certainty of debt repayment | |||
J4 |
Debt repayment is likely but this could change in cases of significant changes in economic trends or business environment depending on the situation | |||
J5 |
No problem with debt repayment over the short term, but not satisfactory over the mid to long term and the situation could change in cases of any changes in economic trends or business environment | |||
J6 |
Currently no problem with debt repayment, but it is highly likely that this could change in cases of significant changes in economic trends or business environment | |||
J7 |
Close monitoring is required due to problems in meeting loan terms and conditions, sluggish/unstable business, or financial problems | Borrowers Requiring Caution | ||
J7R |
Obligors with loans that are more than three months past due or with restructured loans within the “Borrowers Requiring Caution” category | Substandard Borrowers | ||
J8 |
Currently not bankrupt, but experiencing business difficulties, making insufficient progress in restructuring, and highly likely to go bankrupt | Potentially Bankrupt Borrowers | ||
J9 |
Though not yet legally or formally bankrupt, has serious business difficulties and rehabilitation is unlikely; thus, effectively bankrupt | Virtually Bankrupt Borrowers | ||
J10 |
Legally or formally bankrupt | Bankrupt Borrowers |
Obligor Grade |
Definition |
Borrower Category | ||
Overseas (C&I), etc. | ||||
G1 |
Very high certainty or high certainty of debt repayment | Normal Borrowers | ||
G2 |
Satisfactory certainty of debt repayment | |||
G3 |
Debt repayment is likely but this could change in cases of significant changes in economic trends or business environment depending on the situation | |||
G4 |
Debt repayment is likely but this could change in cases of significant changes in economic trends or business environment | |||
G5 |
No problem with debt repayment over the short term, but not satisfactory over the mid to long term and the situation could change in cases of any changes in economic trends or business environment | |||
G6 |
Currently no problem with debt repayment, but it is highly likely that this could change in cases of significant changes in economic trends or business environment | |||
G7 |
Close monitoring is required due to problems in meeting loan terms and conditions, sluggish/unstable business, or financial problems | Borrowers Requiring Caution |
Obligor Grade |
Definition |
Borrower Category | ||
Overseas (C&I), etc. | ||||
G7R |
Obligors with loans that are more than three months past due or with restructured loans within the “Borrowers Requiring Caution” category | Substandard Borrowers | ||
G8 |
Currently not bankrupt, but experiencing business difficulties, making insufficient progress in restructuring, and highly likely to go bankrupt | Potentially Bankrupt Borrowers | ||
G9 |
Though not yet legally or formally bankrupt, has serious business difficulties and rehabilitation is unlikely; thus, effectively bankrupt | Virtually Bankrupt Borrowers | ||
G10 |
Legally or formally bankrupt |
Bankrupt Borrowers |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Credit risk exposures relating to assets on the consolidated statements of financial position: |
||||||||
Deposits with banks |
¥ | ¥ |
||||||
Call loans and bills bought |
||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
||||||||
Trading assets |
||||||||
Derivative financial instruments |
||||||||
Financial assets at fair value through profit or loss |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Investment securities: |
||||||||
Debt instruments at amortized cost |
||||||||
Debt instruments at FVOCI |
||||||||
Loans and advances |
||||||||
Other financial assets |
||||||||
Credit risk exposures relating to off-balance sheet items(1) : |
||||||||
Loan commitments |
||||||||
Financial guarantees and other credit-related contingent liabilities |
||||||||
|
|
|
|
|||||
Total |
¥ | ¥ | ||||||
|
|
|
|
(1) | The off-balance sheet items represent the nominal amounts of undrawn loan commitments, financial guarantees and other credit-related contingent liabilities. |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Impaired loans and advances |
¥ | |
¥ | |
||||
Financial effect of collateral and other credit enhancements |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Domestic |
¥ | ¥ | ||||||
Foreign: |
||||||||
Americas |
||||||||
Europe |
||||||||
Asia |
||||||||
Others |
||||||||
|
|
|
|
|||||
Total foreign |
||||||||
|
|
|
|
|||||
Gross loans and advances |
||||||||
Adjust: Unearned income, unamortized premiums—net and deferred loan fees—net |
( |
) | ( |
) | ||||
Less: Allowance for loan losses |
( |
) | ( |
) | ||||
|
|
|
|
|||||
Carrying amount |
¥ | ¥ | ||||||
|
|
|
|
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Domestic: |
||||||||
Manufacturing |
¥ | ¥ | ||||||
Agriculture, forestry, fisheries and mining |
||||||||
Construction |
||||||||
Transportation, communications and public enterprises |
||||||||
Wholesale and retail |
||||||||
Finance and insurance |
||||||||
Real estate and goods rental and leasing |
||||||||
Services |
||||||||
Municipalities |
||||||||
Lease financing |
||||||||
Consumer (1) |
||||||||
Others |
||||||||
|
|
|
|
|||||
Total domestic |
||||||||
|
|
|
|
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Foreign: |
||||||||
Public sector |
¥ | ¥ | ||||||
Financial institutions |
||||||||
Commerce and industry |
||||||||
Lease financing |
||||||||
Others |
||||||||
|
|
|
|
|||||
Total foreign |
||||||||
|
|
|
|
|||||
Gross loans and advances |
||||||||
Adjust: Unearned income, unamortized premiums—net and deferred loan fees—net |
( |
) | ( |
) | ||||
Less: Allowance for loan losses |
( |
) | ( |
) | ||||
|
|
|
|
|||||
Carrying amount |
¥ | ¥ | ||||||
|
|
|
|
(1) | The balance in Consumer mainly consists of housing loans. The housing loan balances amounted to ¥ |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Real estate finance |
¥ | ¥ | ||||||
Project finance |
|
|
||||||
Other structured finance |
||||||||
|
|
|
|
|||||
Total structured finance |
¥ | ¥ | ||||||
|
|
|
|
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Secured loans (1) |
¥ | ¥ | ||||||
Unsecured loans |
|
|
||||||
|
|
|
|
|||||
Total consumer |
¥ | ¥ | ||||||
|
|
|
|
(1) | The secured loans and advances mainly represent housing loans. The housing loan balances amounted to ¥ |
At March 31, 2024 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loans and advances at amortized cost: |
||||||||||||||||
Normal |
||||||||||||||||
J1-6 |
¥ | ¥ | ¥ | — | ¥ | |||||||||||
G1-6 |
— | |||||||||||||||
Japanese government and local municipal corporations |
— | — | ||||||||||||||
Other (1) |
— | |||||||||||||||
Requiring caution |
||||||||||||||||
J7 |
— | — | ||||||||||||||
G7 |
— | — | ||||||||||||||
Other (1) |
— | — | ||||||||||||||
Impaired (2) |
— | — | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross loans and advances |
||||||||||||||||
Adjust: Unearned income, unamortized premiums—net and deferred loan fees—net |
( |
) | ||||||||||||||
Less: Allowance for loan losses |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Carrying amount |
¥ | |||||||||||||||
|
|
(1) | The balance of “Other” includes housing loans, which amounted to ¥ |
(2) | “Impaired” refers to loans and advances to borrowers with obligor grades not higher than 7R. |
At March 31, 2023 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loans and advances at amortized cost: |
||||||||||||||||
Normal |
||||||||||||||||
J1-6 |
¥ | ¥ | ¥ | — | ¥ | |||||||||||
G1-6 |
— | |||||||||||||||
Japanese government and local municipal corporations |
— | — | ||||||||||||||
Other (1) |
— | |||||||||||||||
Requiring caution |
||||||||||||||||
J7 |
— | — | ||||||||||||||
G7 |
— | — | ||||||||||||||
Other (1) |
— | — | ||||||||||||||
Impaired (2) |
— | — | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Gross loans and advances |
||||||||||||||||
Adjust: Unearned income, unamortized premiums—net and deferred loan fees—net |
( |
) | ||||||||||||||
Less: Allowance for loan losses |
( |
) | ( |
) | ( |
) | ( |
) | ||||||||
|
|
|
|
|
|
|
|
|||||||||
Carrying amount |
¥ | |||||||||||||||
|
|
(1) | The balance of “Other” includes housing loans, which amounted to ¥ |
(2) | “Impaired” refers to loans and advances to borrowers with obligor grades not higher than 7R. |
At March 31, 2024 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loan commitments and financial guarantees (1) : |
||||||||||||||||
Gross carrying amount |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Allowance for off-balance sheet items |
||||||||||||||||
At March 31, 2023 |
||||||||||||||||
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loan commitments and financial guarantees (1) : |
||||||||||||||||
Gross carrying amount |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Allowance for off-balance sheet items |
(1) | Loan commitments are the undrawn components of loan commitments on which ECL can be separately identified from those on the drawn components. |
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loans and advances at amortized cost (1) : |
||||||||||||||||
Balance at April 1, 2022 |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Transfer to 12-month ECL |
( |
) | ( |
) | — | |||||||||||
Transfer to lifetime ECL not credit-impaired |
( |
) | ( |
) | — | |||||||||||
Transfer to lifetime ECL credit-impaired |
( |
) | ( |
) | — | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net transfers between stages |
( |
) | ( |
) | — | |||||||||||
Provision (credit) for loan losses |
|
( |
) | |||||||||||||
Charge-offs |
— | — | |
|||||||||||||
Recoveries |
— | — | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net charge-offs |
— | — | ||||||||||||||
Others (2) |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Balance at March 31, 2023 |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Transfer to 12-month ECL |
( |
) | ( |
) | — | |||||||||||
Transfer to lifetime ECL not credit-impaired |
( |
) | ( |
) | — | |||||||||||
Transfer to lifetime ECL credit-impaired |
( |
) | ( |
) | — | |||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net transfers between stages |
( |
) | ( |
) | — |
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Provision for loan losses |
||||||||||||||||
Of which refinement of the ECL models (3) |
( |
) |
( |
) |
— | ( |
) | |||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Charge-offs |
— | — | ||||||||||||||
Recoveries |
— | — | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net charge-offs |
— | — | ||||||||||||||
Others (2) |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Balance at March 31, 2024 |
¥ | ¥ | ¥ | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
(1) | “Loans and advances at amortized cost” includes allowance for undrawn components of loan commitments issued to retail customers which cannot be separately identified from that for the drawn components. |
(2) | Others mainly include foreign exchange translations. |
(3) | The refinement of the ECL models is primarily the subdivision of the foreign region (Global) into three (US, European, and Asia-Pacific region) and the addition of key drivers for credit risks and losses such as short-term interest rate of Japan. This refinement constitutes a continued improvement towards more responsive models and is intended to better reflect the diversified growth trend of the portfolio in each foreign region and the effect of the lifting of the negative interest rate policy by the Bank of Japan. |
12-month ECL |
Lifetime ECL not credit- impaired |
Lifetime ECL credit-impaired |
Total |
|||||||||||||
(In millions) |
||||||||||||||||
Loan commitments and financial guarantees (1) : |
||||||||||||||||
Balance at April 1, 2022 |
¥ | ¥ | ¥ | ¥ | ||||||||||||
Net transfers between stages |
( |
) | — | |||||||||||||
Provision (credit) for off-balance sheet items |
|
( |
) | |
||||||||||||
Others |
— | — | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Balance at March 31, 2023 |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Net transfers between stages |
( |
) | ( |
) | — | |||||||||||
Provision (credit) for off-balance sheet items |
( |
) |
( |
) |
( |
) | ||||||||||
Others |
— | — | ||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Balance at March 31, 2024 |
¥ | ¥ | ¥ | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
(1) | ECL allowance for loan commitments is that for the undrawn components of loan commitments, which can be separately identified from that for the drawn components. |
At March 31, 2024 |
||||||||||||||||
Trading assets (1) |
Financial assets at fair value through profit or loss (1) |
Debt instruments at amortized cost (1)(2) |
Debt instruments at fair value through other comprehensive income (1)(2) |
|||||||||||||
(In millions) |
||||||||||||||||
AAA |
¥ | ¥ | — | ¥ | — | ¥ | ||||||||||
AA- to AA+ |
||||||||||||||||
A- to A+ |
— | |||||||||||||||
Lower than A- |
||||||||||||||||
Unrated |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
|||||||||
At March 31, 2023 |
||||||||||||||||
Trading assets (1) |
Financial assets at fair value through profit or loss (1) |
Debt instruments at amortized cost (1)(2) |
Debt instruments at fair value through other comprehensive income (1)(2) |
|||||||||||||
(In millions) |
||||||||||||||||
AAA |
¥ | ¥ | ¥ | — | ¥ | |||||||||||
AA- to AA+ |
||||||||||||||||
A- to A+ |
— | |||||||||||||||
Lower than A- |
||||||||||||||||
Unrated |
||||||||||||||||
|
|
|
|
|
|
|
|
|||||||||
Total |
¥ | ¥ | ¥ | ¥ | ||||||||||||
|
|
|
|
|
|
|
|
(1) | The amounts represent fair value for trading assets and financial assets at fair value through profit or loss, whereas they represent the gross carrying amount for debt instruments at amortized cost and at fair value through other comprehensive income. |
(2) | There were no debt instruments at amortized cost or debt instruments at fair value through other comprehensive income subject to lifetime ECL at March 31, 2024 and 2023. |
• | the historical simulation method; |
• | a one-sided confidence interval of 99.0%; |
• | a one-day holding period (a |
• | an observation period of |
(a) | VaR for Trading Activity |
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2024: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2024 |
||||||||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2024 |
||||||||||||||||||||
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2023: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2023 |
||||||||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2023 |
(1) | Total for “Maximum,” “Minimum,” and “Daily average” represents the maximum, minimum and daily average of the total of the trading book. For certain subsidiaries, the Group employs the standardized method and/or the historical simulation method for the VaR calculation method. |
(b) | VaR for Non-Trading Activity |
(i) | Banking |
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2024: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2024 |
||||||||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2024 |
Interest rate risk |
Foreign exchange risk |
Equities and commodities risk |
Others |
Total (1) |
||||||||||||||||
(In billions) |
||||||||||||||||||||
For the fiscal year ended March 31, 2023: |
||||||||||||||||||||
SMBC Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2023 |
||||||||||||||||||||
SMFG Consolidated |
||||||||||||||||||||
Maximum |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
Minimum |
||||||||||||||||||||
Daily average |
||||||||||||||||||||
At March 31, 2023 |
(1) | Total for “Maximum,” “Minimum,” and “Daily average” represents the maximum, minimum and daily average of the total of the banking book. |
(ii) | Equity Holding Investment |
Equities risk |
||||
(In billions) |
||||
For the fiscal year ended March 31, 2024: |
||||
SMBC Consolidated |
||||
Maximum |
¥ | |||
Minimum |
||||
Daily average |
||||
At March 31, 2024 |
||||
SMFG Consolidated |
||||
Maximum |
¥ | |||
Minimum |
||||
Daily average |
||||
At March 31, 2024 |
||||
Equities risk |
||||
(In billions) |
||||
For the fiscal year ended March 31, 2023: |
||||
SMBC Consolidated |
||||
Maximum |
¥ | |||
Minimum |
||||
Daily average |
||||
At March 31, 2023 |
||||
SMFG Consolidated |
||||
Maximum |
¥ | |||
Minimum |
||||
Daily average |
||||
At March 31, 2023 |
• | The use of historical data as a proxy for estimating future events may underestimate the probability of extreme market movements. Past market movement is not necessarily a good indicator of future events; |
• | The use of a holding period assumes that all positions can be liquidated or hedged in that period of time. This assumption does not fully capture the market risk arising during periods of illiquidity, when liquidation or hedging in that period of time may not be possible; |
• | The use of a confidence level neither takes account of, nor makes any statement about, any losses that might occur beyond this level of confidence; and |
• | VaR does not capture all of the complex effects of the risk factors on the value of positions and portfolios and could underestimate potential losses. |
(a) | Interest rate risk |
(b) | Foreign exchange risk |
(c) |
Equity holding investment risk |
At March 31, 2024 |
||||||||||||||||||||||||||||
On demand |
Not later than three months |
Later than three months and not later than one year |
Later than one year and not later than three years |
Later than three years and not later than five years |
Later than five years |
Total |
||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||||||
Non-derivative financial instruments: |
||||||||||||||||||||||||||||
Deposits |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||||||||
Call money and bills sold |
— | — | ||||||||||||||||||||||||||
Repurchase agreements and cash collateral on securities lent |
— | — | — | |||||||||||||||||||||||||
Trading liabilities |
— | — | — | — | — | |||||||||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | |||||||||||||||||||||||||||
Borrowings |
||||||||||||||||||||||||||||
Debt securities in issue |
— | |||||||||||||||||||||||||||
Lease payable |
— | |||||||||||||||||||||||||||
Other financial liabilities |
— | — |
At March 31, 202 4 |
||||||||||||||||||||||||||||
On demand |
Not later than three months |
Later than three months and not later than one year |
Later than one year and not later than three years |
Later than three years and not later than five years |
Later than five years |
Total |
||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||||||
Off balance sheet items: |
||||||||||||||||||||||||||||
Loan commitments |
— | — | — | — | — | |||||||||||||||||||||||
Financial guarantees and other credit-related contingent liabilities |
— | — | — | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total non-derivative financial instruments |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Derivative financial instruments |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
At March 31, 2023 |
||||||||||||||||||||||||||||
On demand |
Not later than three months |
Later than three months and not later than one year |
Later than one year and not later than three years |
Later than three years and not later than five years |
Later than five years |
Total |
||||||||||||||||||||||
(In millions) |
||||||||||||||||||||||||||||
Non-derivative financial instruments: |
||||||||||||||||||||||||||||
Deposits |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||||||||
Call money and bills sold |
— | — | ||||||||||||||||||||||||||
Repurchase agreements and cash collateral on securities lent |
— | |||||||||||||||||||||||||||
Trading liabilities |
— | — | — | — | — | |||||||||||||||||||||||
Financial liabilities designated at fair value through profit or loss |
— | |||||||||||||||||||||||||||
Borrowings |
||||||||||||||||||||||||||||
Debt securities in issue |
— | |||||||||||||||||||||||||||
Lease payable |
— | |||||||||||||||||||||||||||
Other financial liabilities |
— | — | ||||||||||||||||||||||||||
Off balance sheet items: |
||||||||||||||||||||||||||||
Loan commitments |
— | — | — | — | — | |||||||||||||||||||||||
Financial guarantees and other credit-related contingent liabilities |
— | — | — | — | — | |||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Total non-derivative financial instruments |
¥ | ¥ | ¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||||
Derivative financial instruments |
¥ | ¥ | — | ¥ | ¥ | ¥ | ¥ | ¥ | ||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1. |
Embedded derivatives which are separately accounted for, but presented together with the host contract in the consolidated statements of financial position are not included in the tables above as they relate to the interest cash flows of the host contract, which are also not included in the tables above. |
2. |
Derivative financial instruments are recorded at fair value. Except for items designated as hedging instruments for fair value hedge, they are included in the column “On demand.” |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Loans and advances |
¥ | ¥ | ||||||
Deposits |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Domestic offices: |
||||||||
Non-interest-bearing demand deposits |
¥ | ¥ | ||||||
Interest-bearing demand deposits |
||||||||
Deposits at notice |
||||||||
Time deposits |
||||||||
Negotiable certificates of deposit |
||||||||
Others |
||||||||
Total domestic offices |
||||||||
Foreign offices: |
||||||||
Non-interest-bearing demand deposits |
||||||||
Interest-bearing demand deposits |
||||||||
Deposits at notice |
||||||||
Time deposits |
||||||||
Negotiable certificates of deposit |
||||||||
Others |
||||||||
Total foreign offices |
||||||||
Total deposits |
¥ | ¥ | ||||||
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In billions, except percentages) |
||||||||
SMFG Consolidated: |
||||||||
Total risk-weighted capital ratio |
% | % | ||||||
Tier 1 risk-weighted capital ratio |
% | % | ||||||
Common Equity Tier 1 risk-weighted capital ratio |
% | % | ||||||
Total capital (Common Equity Tier 1 capital + Additional Tier 1 capital + Tier 2 capital) |
¥ | |
¥ | |
||||
Tier 1 capital (Common Equity Tier 1 capital + Additional Tier 1 capital) |
||||||||
Common Equity Tier 1 capital |
||||||||
Risk-weighted assets |
||||||||
The amount of minimum total capital requirements (1) |
(1) | The amount of minimum total capital requirements is calculated by multiplying risk-weighted assets by |
47 |
INTEREST RATE BENCHMARK REFORM |
At March 31, 2024 |
At March 31, 2023 |
|||||||
(In billions) |
||||||||
Carrying amount of non-derivative financial assets |
¥ | |
¥ | |||||
Carrying amount of non-derivative financial liabilities |
— | |||||||
Derivative notional amounts (1) |
|
(1) | The amounts of hedging instruments directly affected by the interest rate benchmark reform were |
48 |
RELATED-PARTY TRANSACTIONS |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Assets: |
||||||||
Loans and advances |
¥ | ¥ | ||||||
Others |
||||||||
Liabilities: |
||||||||
Deposits |
¥ | ¥ | ||||||
Others |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Income statements: |
||||||||||||
Income (interest income, fee and commission income, and others) |
¥ | ¥ | |
¥ | |
|||||||
Expense (interest expense and others) |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Assets: |
||||||||
Loans and advances |
¥ | ¥ | ||||||
Liabilities: |
||||||||
Deposits |
¥ | |
¥ | |||||
Others |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Short-term employee benefits |
¥ | |
¥ | |
¥ | |
||||||
Share-based compensation |
49 |
PRINCIPAL SUBSIDIARIES |
Company Name |
Proportion of Ownership Interest (1) |
Proportion of Voting Rights (1) |
Main Business | |||||||
(%) |
(%) |
|||||||||
Sumitomo Mitsui Banking Corporation |
Commercial banking | |||||||||
SMBC Trust Bank Ltd. |
Trust banking | |||||||||
SMBC Guarantee Co., Ltd. |
Credit guarantee | |||||||||
SMBC Nikko Securities Inc. |
Securities | |||||||||
Sumitomo Mitsui Card Company, Limited (2) |
Credit card | |||||||||
SMBC Finance Service Co., Ltd (2) . |
Credit card, consumer credit and installment transaction | |||||||||
SMBC Consumer Finance Co., Ltd. |
Consumer lending |
Company Name |
Proportion of Ownership Interest (1) |
Proportion of Voting Rights (1) |
Main Business | |||||||
(%) |
(%) |
|||||||||
The Japan Research Institute, Limited (3) |
||||||||||
Sumitomo Mitsui DS Asset Management Company, Limited |
||||||||||
Alternative Investment Capital Limited |
||||||||||
SMBC Venture Capital Co., Ltd. |
||||||||||
SMBC Consulting Co., Ltd. |
||||||||||
Japan Pension Navigator Co., Ltd. |
(1) | Percentages of proportion of ownership interest and proportion of voting rights have been truncated. |
(2) | Sumitomo Mitsui Card Company, Limited merged with SMBC Finance Service Co., Ltd. on April 1, 2024. |
(3) | The Japan Research Institute, Limited became the wholly owned subsidiary of JRI Holdings, Limited, the holding company newly established by the Group, following the sale of shares held by the company to JRI Holdings, Limited on April 1, 2024. |
Company Name |
Country of Incorporation |
Proportion of Ownership Interest (1) |
Proportion of Voting Rights (1) |
Main Business | ||||||||
(%) |
(%) |
|||||||||||
SMBC Bank International plc |
||||||||||||
Sumitomo Mitsui Banking Corporation (China) Limited |
||||||||||||
PT Bank BTPN Tbk |
(2) |
|||||||||||
SMBC Americas Holdings, Inc. |
||||||||||||
SMBC MANUBANK |
||||||||||||
Banco Sumitomo Mitsui Brasileiro S.A |
||||||||||||
JSC Sumitomo Mitsui Rus Bank |
||||||||||||
SMBC Bank EU AG |
||||||||||||
Sumitomo Mitsui Banking Corporation Malaysia Berhad |
||||||||||||
SMBC Leasing and Finance, Inc. |
||||||||||||
SMBC Nikko Securities America, Inc. |
||||||||||||
SMBC Nikko Capital Markets Limited |
||||||||||||
SMBC Capital Markets, Inc. |
||||||||||||
TT International Asset Management Ltd |
||||||||||||
SMFG India Credit Company Limited |
(1) | P ercentages of proportion of ownership intere st and proportion of voting rights have been truncated. |
(2) | During the fiscal year ended March 31, 2020, the Group disposed of a |
50 |
STRUCTURED ENTITIES |
• | restricted activities; |
• | a narrow and well-defined objective; |
• | insufficient equity to permit the structured entity to finance its activities without subordinated financial support; or |
• | financing in the form of multiple contractually linked instruments to investors that create concentrations of credit or other risks (tranches). |
At March 31, 2024 |
||||||||||||||||||||
Securitizations |
Investment funds |
Structured finance |
Others |
Total |
||||||||||||||||
(In millions) |
||||||||||||||||||||
Interests in unconsolidated structured entities recognized in: |
||||||||||||||||||||
Trading assets |
¥ | ¥ | ¥ | — | ¥ | — | ¥ | |||||||||||||
Financial assets at fair value through profit or loss |
— | |||||||||||||||||||
Investment securities |
— | |||||||||||||||||||
Loans and advances |
— | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Maximum exposure to loss from interests in unconsolidated structured entities |
¥ | ¥ | ¥ | ¥ | ¥ |
At March 31, 2023 |
||||||||||||||||||||
Securitizations |
Investment funds |
Structured finance |
Others |
Total |
||||||||||||||||
(In millions) |
||||||||||||||||||||
Interests in unconsolidated structured entities recognized in: |
||||||||||||||||||||
Trading assets |
¥ | ¥ | ¥ | — | ¥ | — | ¥ | |||||||||||||
Financial assets at fair value through profit or loss |
— | |||||||||||||||||||
Investment securities |
— | |||||||||||||||||||
Loans and advances |
— | |||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Total |
¥ | ¥ | ¥ | ¥ | ¥ | |||||||||||||||
|
|
|
|
|
|
|
|
|
|
|||||||||||
Maximum exposure to loss from interests in unconsolidated structured entities |
¥ | ¥ | ¥ | ¥ | ¥ |
51 |
ACQUISITIONS |
At November 30, 2021 |
||||
(In millions) |
||||
Assets: |
||||
Cash and deposits with banks |
¥ | |||
Loans and advances |
||||
All other assets |
||||
|
|
|||
Total assets |
¥ | |||
|
|
|||
Liabilities: |
||||
Borrowings |
¥ | |||
Debt securities in issue |
||||
All other liabilities |
||||
|
|
|||
Total liabilities |
¥ | |||
|
|
|||
Net assets |
||||
Non-controlling interests measured at their proportionate share of the identifiable assets |
( |
) | ||
|
|
|||
Net assets acquired |
||||
Goodwill |
||||
|
|
|||
Consideration |
¥ | |||
|
|
|||
Consideration (1) : |
||||
Cash |
¥ | |||
|
|
|||
Total |
¥ | |||
|
|
|||
Acquisition related costs recognized as an expense in “General and administrative expenses” in the consolidated income statement |
¥ | |||
|
|
(1) | A contingent consideration was included in the contract, and payable upon a specific performance indicator of Fullerton India. As a result of estimating the indicator, the Group did not recognize the contingent consideration. |
For the fiscal year ended March 31, 2022 |
||||
(In millions) |
||||
Cash consideration paid |
¥ | ( |
) | |
Cash and cash equivalents transferred as a result of the acquisitions |
||||
|
|
|||
Cash consideration paid, net of cash and cash equivalents acquired by obtaining control of the subsidiaries |
¥ | ( |
) | |
|
|
52 |
CURRENT AND NON-CURRENT DISTINCTION |
At March 31, 2024 |
||||||||||||
Amounts recovered or settled |
||||||||||||
Not more than twelve months |
More than twelve months |
Total |
||||||||||
(In millions) |
||||||||||||
Assets: |
||||||||||||
Call loans and bills bought |
¥ | ¥ | ¥ | |||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
||||||||||||
Financial assets at fair value through profit or loss |
||||||||||||
Investment securities: |
||||||||||||
Debt instruments at amortized cost |
||||||||||||
Debt instruments at fair value through other comprehensive income |
||||||||||||
Equity instruments at fair value through other comprehensive income |
— | |||||||||||
Loans and advances |
||||||||||||
Other financial assets |
||||||||||||
Liabilities: |
||||||||||||
Deposits |
¥ | ¥ | ¥ | |||||||||
Call money and bills sold |
||||||||||||
Repurchase agreements and cash collateral on securities lent |
— | |||||||||||
Financial liabilities designated at fair value through profit or loss |
||||||||||||
Borrowings |
||||||||||||
Debt securities in issue |
||||||||||||
Other financial liabilities |
At March 31, 2023 |
||||||||||||
Amounts recovered or settled |
||||||||||||
Not more than twelve months |
More than twelve months |
Total |
||||||||||
(In millions) |
||||||||||||
Assets: |
||||||||||||
Call loans and bills bought |
¥ | ¥ | ¥ | |||||||||
Reverse repurchase agreements and cash collateral on securities borrowed |
||||||||||||
Financial assets at fair value through profit or loss |
||||||||||||
Investment securities: |
||||||||||||
Debt instruments at amortized cost |
||||||||||||
Debt instruments at fair value through other comprehensive income |
||||||||||||
Equity instruments at fair value through other comprehensive income |
— | |||||||||||
Loans and advances |
||||||||||||
Other financial assets |
||||||||||||
Liabilities: |
||||||||||||
Deposits |
¥ | ¥ | ¥ | |||||||||
Call money and bills sold |
||||||||||||
Repurchase agreements and cash collateral on securities lent |
||||||||||||
Financial liabilities designated at fair value through profit or loss |
||||||||||||
Borrowings |
||||||||||||
Debt securities in issue |
||||||||||||
Other financial liabilities |
53 |
CONDENSED FINANCIAL INFORMATION OF REGISTRANT (SMFG) |
At March 31, |
||||||||
2024 |
2023 |
|||||||
(In millions) |
||||||||
Assets: |
||||||||
Deposits with SMBC |
¥ | ¥ | ||||||
Investments in SMBC |
||||||||
Loans to SMBC |
||||||||
Investments in other subsidiaries, associates and joint ventures |
||||||||
Other assets |
||||||||
Current tax assets |
||||||||
|
|
|
|
|||||
Total assets |
¥ | ¥ | ||||||
|
|
|
|
|||||
Liabilities and equity: |
||||||||
Short-term borrowings from SMBC |
¥ | ¥ | ||||||
Long-term borrowings |
||||||||
Debt securities in issue due to other subsidiaries |
||||||||
Debt securities in issue |
||||||||
Other liabilities |
||||||||
|
|
|
|
|||||
Total liabilities |
||||||||
|
|
|
|
|||||
Shareholders’ equity |
||||||||
Other equity instruments holders’ equity |
||||||||
|
|
|
|
|||||
Total equity |
||||||||
|
|
|
|
|||||
Total equity and liabilities |
¥ | ¥ | ||||||
|
|
|
|
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Income: |
||||||||||||
Interest income from SMBC |
¥ | |
¥ | |
¥ | |
||||||
Dividends from SMBC |
||||||||||||
Dividends from other subsidiaries, associates and joint ventures |
||||||||||||
Fees and commission income from subsidiaries |
||||||||||||
Other income |
||||||||||||
|
|
|
|
|
|
|||||||
Total income |
||||||||||||
|
|
|
|
|
|
|||||||
Expense: |
||||||||||||
Interest expense to SMBC |
||||||||||||
Interest expense to other subsidiaries |
||||||||||||
Interest expense |
||||||||||||
Operating and other expense |
||||||||||||
|
|
|
|
|
|
|||||||
Total expense |
||||||||||||
|
|
|
|
|
|
|||||||
Profit before tax |
||||||||||||
Income tax expense |
( |
) | ( |
) | ( |
) | ||||||
|
|
|
|
|
|
|||||||
Net profit |
¥ | ¥ | ¥ | |||||||||
|
|
|
|
|
|
|||||||
Profit attributable to: |
||||||||||||
Shareholders |
||||||||||||
Other equity instruments holders |
For the fiscal year ended March 31, |
||||||||||||
2024 |
2023 |
2022 |
||||||||||
(In millions) |
||||||||||||
Operating Activities: |
||||||||||||
Profit before tax |
¥ | ¥ | ¥ | |||||||||
Income taxes paid—net |
( |
) | ||||||||||
Other operating activities—net |
||||||||||||
|
|
|
|
|
|
|||||||
Net cash and cash equivalents provided by operating activities |
||||||||||||
|
|
|
|
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Investing Activities: |
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Loans provided to SMBC |
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Investments in subsidiaries |
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Investments in associates and joint ventures |
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Other investing activities—net |
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Net cash and cash equivalents used in investing activities |
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Financing Activities: |
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Net increase (decrease) of short-term borrowings from SMBC |
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Proceeds from issuance of long-term borrowings |
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Redemption of long-term borrowings |
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Proceeds from issuance of debt securities |
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Proceeds from issuance of other equity instruments |
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Redemption of debt securities |
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Redemption of other equity instruments |
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Dividends paid to shareholders |
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Coupons paid to other equity instruments holders |
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Purchases of treasury stock and proceeds from sales of treasury stock—net |
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Net cash and cash equivalents provided by (used in) financing activities |
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Net increase (decrease) of cash and cash equivalents |
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Cash and cash equivalents at beginning of period |
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Cash and cash equivalents at end of period |
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