Sony Financial Holdings

Japanese

Text Size
  • S
  • M
  • L

Home  >  Corporate & Group Info.  >  Medium-term Business Plan

Medium-term Business Plan

In June 1, 2016, we held a "FY2016 Sony Financial Group Corporate Strategy Meeting" and presented a the Group's medium-term business strategies and targets for FY2018.

FY2016 Sony Financial Group Corporate Strategy Meeting

Date June 1, 2016
Presenter*
Presentation Materials Presentation Material (PDF 2.8MB)
QAs(Summary) (PDF 54KB)
Online Presentation
( Video Video)
Corporate Strategy Meeting

*Titles of presenters are as of June 1, 2016.

Cautionary note regarding medium-term business plan: Forecasts and pro forma information are as of June 1, 2016, when the medium-term business plan was announced. From fiscal 2016, ending March 31, 2017, the Sony Financial Group has switched to having a fixed three-year medium-term business plan in order to further emphasize clarification of accountability regarding progress toward medium-term targets and actual results.

Key Messages

Respond to the ultralow
interest rate environment
  • We will respond expeditiously to maintain or improve profitability.
Achieve ongoing
growth for the
Group as a whole
  • We will reinforce our provision of high-quality, highly convenient services, and continue expanding our business operations by strengthening our competitive edge.
  • We will make up-front investments aimed at future growth.
  • We will make steady progress on initiatives in new business fields and new services.
Shareholder returns
  • Dividends have increased for the four consecutive fiscal years through fiscal 2015. Given the business environment, we plan to maintain dividends at the present level in fiscal 2016. Based on the assumption that we will maintain financial soundness in each of our businesses, we will aim for steady increases in dividends in line with earnings growth over the medium to long term.

Medium-term Management Targets

Medium-term Management Targets

Note: Interest rates as of the end of March 2016 are used for the assumption of calculating Sony Life’s medium-term business plan target figures for fiscal 2018. The consumption tax increase which had been scheduled for April 2017 has been factored into the estimates, but the effect of the revision to the policy reserve discount rate, also scheduled for April 2017, has not been taken into account.

Capital Strategy and Dividend Policy

Our target for the dividend payout ratio is the range of 40% to 50% of profit attributable to owners of the parent.
Dividend amounts in each fiscal year will be determined through a comprehensive evaluation of factors, including capital adequacy, investment opportunities, business forecasts and legal and regulatory requirements.
Going forward, we aim for steady increases in dividends in line with earnings growth over the medium and long terms.

pagetop

Sony Life Initiatives Toward Growth

Strengthen its ability
to provide protection,
cultivate new business fields

  • Further enhance its provision of death protection based on life planning
  • Conduct full-fledged development of the business of providing protection in the corporate market

Expand sales channels

  • Accelerate expansion of sales personnel in the Lifeplanner channel
  • Take changes in the operating environment as an opportunity to expand the foundations of the independent agent channel

Ensure corporate value
and steady growth

  • Augment new business value through changes in the product mix and enhanced sales
  • By expanding business operations, achieve profit growth over the medium to long term

Medium-term Targets for Fiscal 2018

Medium-term Targets for Fiscal 2018

*1 The figure includes the number of contracted Lifeplanner sales employees and those rehired on a fixed-term contract basis after retirement

*2 MCEV is re-evaluated reflecting ultimate forward rates (UFR). Please refer to the page 46 on FY16.1Q Presentation Materials for details. Interest rates as of the end of March 2016 are used in calculating medium-term business plan target figures for fiscal 2018. The consumption tax increase which was scheduled for April 2017 has been factored into the estimates for fiscal 2018 ordinary profit, but the effect of the revision to the policy reserve discount rate, also scheduled for April 2017, has not been taken into account.

*3 Calculated as follows:

pagetop

Sony Assurance Initiatives Toward Growth

Ensure sound profitability

  • Three consecutive years of record profits, with solid operating performance in fiscal 2015
  • Continue to steadily increase profits during the period of the medium-term plan by thoroughly controlling the loss ratio and operating costs

Sustain growth and
enhance customer
experience in
automobile insurance

  • Firmly maintain a leading position in the direct automobile insurance market
  • Provide progressive and unique products, and sustain growth by enhancing the customer experience through customer contact points

Expand business categories
outside automobile
insurance

  • To ensure stable, long-term earnings, expand business categories outside automobile insurance, moving away from a structure heavily concentrated on automobiles
  • Introduce new products in medical insurance and promote development of categories outside automobile insurance

Medium-term Targets for Fiscal 2018

Medium-term Targets for Fiscal 2018

*1 For all types of policies and including loss adjustment expenses.

*2 Adjusted ordinary profit = Ordinary profit + Provision for catastrophe reserve.

*3 Calculated as follows:

pagetop

Sony Bank Initiatives Toward Growth

Strengthen strategic
products

  • Establish solid market position as a “Foreign Currency Specialist”
  • Reinforce realtor sales channel and improve product characteristics to further expand mortgage loans

Expand the customer base

  • Expand preferential services with Sony Bank WALLET as a hub
  • Provide products and services targeting asset investment (wealthy) stratum

Enhance customer
response capabilities

  • Enhance customer response capabilities, using “People” and “IT,” in dealing with changes in awareness of “Independent Individuals”

Medium-term Targets for Fiscal 2018

Medium-term Targets for Fiscal 2018

*1 Calculated as follows:

Disclaimers:

Statements made in this website and in documents posted on this website concerning the current plans, expectations, strategies and beliefs of the Sony Financial Group. Any statements contained herein that are not historical facts are forward-looking statements or pro forma information. Forward-looking statements may include—but are not limited to—words such as “believe,” “anticipate,” “plan,” “strategy,” “expect,” “assume,” “forecast,” “predict,” “propose,” “intend” and “possibility” that describe future operating activities, business performance, events or conditions. Forward-looking statements, whether spoken or written, may also be included in other materials released to the public. These forward-looking statements and pro forma information are based on assumptions, decisions and judgments made by the management of Sony Financial Group companies, and are based on information that is currently available to them. As such, they are subject to various risks and uncertainties, and actual business results may vary substantially from the forecasts expressed or implied in forward-looking statements. Consequently, investors are cautioned not to place undue reliance on forward-looking statements. Sony Financial Group companies are under no obligation to revise forward-looking statements or pro forma information in light of new information, future events or other findings. The information contained in this website and in documents posted on this website does not constitute or form part of any offer for sale or subscription of or solicitation or invitation of any offer to buy or subscribe to any securities, nor shall it or any part of it form the basis of or be relied on in connection with any contract or commitment whatsoever in Japan or abroad.

Please note that although Sony Financial Holdings and/or its subsidiaries have made careful efforts regarding the accuracy of the contents of this website and in documents posted on this website, Sony Financial Holdings and/or its subsidiaries assume no responsibility for problems including, but not limited to, incorrect information in such contents or documents or problems resulting from or in connection with downloading such contents or documents.