The Kiyo Bank, Ltd

The Bank succeeded in increasing the number of deposits by individuals, largely thanks to an advertising campaign featuring the Bank’s 110th anniversary time deposits, although deposits by the public sector declined. As a result, the total balance of deposits came to ¥2,582.8 billion, an increase of ¥1.1 billion over the previous year. The balance of loans also posted year-on-year growth, with consumer loans continuing to grow steadily, centered on housing loans. Loans to corporate customers also showed a recovery tendency, registering a year-on-year gain of ¥13.4 billion to ¥1,783.1 billion. Within the category of assets under custody, the balance of investment trusts increased by ¥29.5 billion year-on-year to while sales of Japanese government bonds and individual pension insurance products also grew smoothly. As a result, the balance of assets under custody was up ¥50.7 billion year-on-year to ¥247.2 billion. Earnings The Bank enjoyed a year-on-year increase of ¥0.1 billion in net interest income, thanks to an expansion in housing loans and good operating results in the field of securities. In addition, brisk sales of investment trusts and individual pension insurance products, among other financial instruments, pushed up revenue from fees and commissions by the same ¥0.1 billion year-on-year. Expenses also rose, however, by ¥1.2 billion, including expenditures in preparation for the merger of the two banks. As a result, business profit on core banking operations registered a year-on-year decline of ¥1.8 billion to ¥17.0 billion. As a result of the application of even stricter standards to credit screening ahead of the merger, total credit costs came to ¥25.9 billion, an increase of ¥8.0 billion year-on-year, and as a result, ordinary income decreased by ¥5.1 billion year-on-year to ¥1.8 billion. Net income declined ¥0.3 billion year-on-year to ¥5.1 billion, mainly due to the fact that the posting of a ¥9.0 billion extraordinary gain on the settlement of the trust fund operation for employees’ retirement benefits was partly offset by the posting of ¥6.4 billion in deferred income taxes in line with a reduction in deferred tax assets.

Address: 35 Honmachi, 1 chome, Wakayama 640-8656, Wakayama, Japan

Phone: +81 73 4239111
FAX: +81 73 4321220