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Credit Quality of Financial Assets and the Allowance for Credit Losses (Tables)

12 Months Ended

Mar. 31, 2025

Summary of allowance for credit losses for installment loans

The following table provides information about the allowance for credit losses for installment loans, net investment in leases and other financial assets measured at amortized cost for fiscal 2023, 2024 and 2025:


	Fiscal Year ended March 31, 2023
	Millions of yen
	Beginning balance		Provision (Reversal)*3			Allowance of purchased loans during the reporting period		Charge- offs*4			Recoveries		Other*5			Ending balance		Collective (pool) assessment		Individual assessment
Allowance for credit losses:
Installment loans to consumer borrowers:
Real estate loans
Japan	¥	5,716	¥	(1,437	)	¥	0	¥	(215	)	¥	27	¥	1		¥	4,092	¥	3,644	¥	448
Overseas		455		(19	)		0		0			1		9			446		446		0
Card loans
Japan		10,019		(421	)		0		(584	)		8		0			9,022		8,329		693
Other
Japan		5,204		4,672			0		(2,124	)		8		(1	)		7,759		5,337		2,422
Overseas		1,105		1,265			0		(508	)		0		27			1,889		1,467		422
Installment loans to corporate borrowers:
Non-recourse loans
Japan		81		173			0		0			0		(1	)		253		253		0
The Americas		2,691		(1,186	)		0		0			0		(11	)		1,494		560		934
Other than non-recourse loans
Real estate companies
Japan		617		131			0		0			28		1			777		663		114
Overseas		735		264			0		(29	)		0		37			1,007		1,007		0
Commercial, industrial and other companies
Japan		1,337		102			0		(358	)		71		0			1,152		477		675
Overseas		18,296		7,164			0		(8,212	)		329		1,555			19,132		16,455		2,677
Loans to Equity method investees		1,957		361			0		(1,842	)		0		174			650		281		369
Purchased loans*1		1,575		(261	)		6,901		(7,142	)		64		11			1,148		541		607
Net investment in leases:		16,303		1,678			0		(2,637	)		27		348			15,719		12,032		3,687

Subtotal		66,091		12,486			6,901		(23,651	)		563		2,150			64,540		51,492		13,048

Other financial assets measured at amortized cost*2		5,324		194			0		(4,721	)		30		6			833		267		566

Total	¥	71,415	¥	12,680		¥	6,901	¥	(28,372	)	¥	593	¥	2,156		¥	65,373	¥	51,759	¥	13,614


	Fiscal Year ended March 31, 2024
	Millions of yen
	Beginning balance		Provision (Reversal)*3			Allowance of purchased loans during the reporting period		Charge- offs*4			Recoveries		Other*5			Ending balance		Collective (pool) assessment		Individual assessment
Allowance for credit losses:
Installment loans to consumer borrowers:
Real estate loans
Japan	¥	4,092	¥	(712	)	¥	0	¥	(218	)	¥	151	¥	(110	)	¥	3,203	¥	2,893	¥	310
Overseas		446		94			0		(6	)		1		46			581		526		55
Card loans
Japan		9,022		101			0		(918	)		10		(8,203	)		12		12		0
Other
Japan		7,759		5,313			0		(3,856	)		7		(9,132	)		91		6		85
Overseas		1,889		3,166			0		(2,736	)		476		265			3,060		1,762		1,298
Installment loans to corporate borrowers:
Non-recourse loans
Japan		253		176			0		0			0		0			429		429		0
The Americas		1,494		74			0		(55	)		0		205			1,718		660		1,058
Other than non-recourse loans
Real estate companies
Japan		777		176			0		(4	)		26		0			975		889		86
Overseas		1,007		430			0		0			0		112			1,549		1,045		504
Commercial, industrial and other companies
Japan		1,152		(44	)		0		(281	)		9		21			857		722		135
Overseas		19,132		8,702			0		(4,762	)		176		2,576			25,824		16,061		9,763
Loans to Equity method investees		650		99			0		0			0		129			878		422		456
Purchased loans*1		1,148		13			47,676		(47,722	)		2		16			1,133		548		585
Net investment in leases:		15,719		3,064			0		(2,635	)		26		606			16,780		10,866		5,914

Subtotal		64,540		20,652			47,676		(63,193	)		884		(13,469	)		57,090		36,841		20,249

Other financial assets measured at amortized cost*2		833		311			0		(280	)		9		147			1,020		321		699

Total	¥	65,373	¥	20,963		¥	47,676	¥	(63,473	)	¥	893	¥	(13,322	)	¥	58,110	¥	37,162	¥	20,948


	Fiscal Year ended March 31, 2025
	Millions of yen
	Beginning balance		Provision (Reversal)*3			Allowance of purchased loans during the reporting period		Charge- offs*4			Recoveries		Other*5			Ending balance		Collective (pool) assessment		Individual assessment
Allowance for credit losses:
Installment loans to consumer borrowers:
Real estate loans
Japan	¥	3,203	¥	(317	)	¥	0	¥	(62	)	¥	66	¥	1		¥	2,891	¥	2,609	¥	282
Overseas		581		1,202			0		0			1		(105	)		1,679		505		1,174
Card loans
Japan		12		13			0		0			11		0			36		36		0
Other
Japan		91		(8	)		0		0			7		0			90		6		84
Overseas		3,060		2,996			0		(3,237	)		453		(224	)		3,048		1,355		1,693
Installment loans to corporate borrowers:
Non-recourse loans
Japan		429		33			0		0			0		0			462		462		0
The Americas		1,718		1,066			0		(150	)		0		(41	)		2,593		1,548		1,045
Other than non-recourse loans
Real estate companies
Japan		975		(14	)		0		(78	)		26		(1	)		908		877		31
Overseas		1,549		682			0		0			0		(185	)		2,046		764		1,282
Commercial, industrial and other companies
Japan		857		359			0		(146	)		7		1			1,078		586		492
Overseas		25,824		1,094			0		(4,048	)		34		(2,841	)		20,063		11,919		8,144
Loans to Equity method investees		878		954			0		(255	)		0		(65	)		1,512		167		1,345
Purchased loans*1		1,133		80			7,507		(7,547	)		2		167			1,342		521		821
Net investment in leases:		16,780		4,934			0		(3,505	)		91		(178	)		18,122		11,236		6,886

Subtotal		57,090		13,074			7,507		(19,028	)		698		(3,471	)		55,870		32,591		23,279

Other financial assets measured at amortized cost*2		1,020		179			0		(276	)		14		(38	)		899		299		600

Total	¥	58,110	¥	13,253		¥	7,507	¥	(19,304	)	¥	712	¥	(3,509	)	¥	56,769	¥	32,890	¥	23,879

Notes:

Loans held for sale and policy loan receivables of an insurance entity are not in the scope of allowance for credit losses.

*1	Purchased loans represent loans with evidence of deterioration of credit quality since origination and for which it is probable at acquisition that collection of all contractually required payments from the debtors is unlikely.

The allowance for other financial assets measured at amortized cost includes the allowance for credit losses on financing receivables, such as accounts receivable. Other financial assets measured at amortized cost are mainly “Trade notes, accounts and other receivables” on the consolidated balance sheets.

“Provision for credit losses” in the consolidated statements of income amounted to provisions of ¥8,117 million, ¥20,968 million and ¥18,723 million for fiscal 2023, 2024 and 2025 respectively. The reconciliation between the above table and the amounts reported on the consolidated statements of income in fiscal 2023, 2024 and 2025 are as follows:


	Millions of yen
	Fiscal Year ended March 31, 2023			Fiscal Year ended March 31, 2024			Fiscal Year ended March 31, 2025
	Provision for credit losses			Provision for credit losses			Provision for credit losses
Net investment in leases	¥	1,678		¥	3,064		¥	4,934
Installment loans		10,808			17,588			8,140

Subtotal in the above table		12,486			20,652			13,074

Other financial assets measured at amortized cost		194			311			179

Total in the above table		12,680			20,963			13,253

Off-balance sheet credit exposures *3(a)		(4,542	)		(440	)		5,297
Available-for-sale debt securities *3(b)		(21	)		445			173

Amount reported on the consolidated financial statements	¥	8,117		¥	20,968		¥	18,723

*3(a)

The allowance for

off-balance

sheet credit exposure were ¥17,843 million, ¥5,116 million and ¥9,766 million as of March 31, 2023, 2024 and 2025, respectively, and the amounts are recorded in “Other liabilities” on the consolidated balance sheets. For further information, see Note 31 “Commitments, Guarantees and Contingent Liabilities.”

*3(b)

The allowance for

available-for-sale

debt securities were ¥144 million ¥634 million and ¥670 million as of March 31, 2023, 2024 and 2025, respectively, and the amounts are recorded as a reduction in “Investments in securities” on the consolidated balance sheets. For further information, see Note 9 “Investment in Securities.”

*4	Included in Charge-off in write-offs of purchased loans were ¥6,901 million, ¥47,676 million and ¥7,507 million during fiscal 2023, 2024 and 2025.

*5	“Other” mainly includes foreign currency translation adjustments and increases or decreases in allowance due to consolidation or deconsolidation of subsidiaries.

Summary of disclosure in tabular form of allowances for credit losses and provision for credit losses


	Millions of yen
	Fiscal Year ended March 31, 2023			Fiscal Year ended March 31, 2024			Fiscal Year ended March 31, 2025
	Provision for credit losses			Provision for credit losses			Provision for credit losses
Net investment in leases	¥	1,678		¥	3,064		¥	4,934
Installment loans		10,808			17,588			8,140

Subtotal in the above table		12,486			20,652			13,074

Other financial assets measured at amortized cost		194			311			179

Total in the above table		12,680			20,963			13,253

Off-balance sheet credit exposures *3(a)		(4,542	)		(440	)		5,297
Available-for-sale debt securities *3(b)		(21	)		445			173

Amount reported on the consolidated financial statements	¥	8,117		¥	20,968		¥	18,723

*3(a)

The allowance for

off-balance

*3(b)

The allowance for

available-for-sale

Summary of purchased loans

The following table provides information about purchased loans which were acquired for fiscal 2023, 2024 and 2025:


	Millions of yen
	Fiscal Year ended March 31, 2023		Fiscal Year ended March 31, 2024		Fiscal Year ended March 31, 2025
Purchase price	¥	2,444	¥	12,271	¥	5,264
Allowance for credit losses at acquisition date		6,901		47,676		7,507
Discount or premium attributable to other factors		261		1,188		1,332

Par value	¥	9,606	¥	61,135	¥	14,103

Summary of origination years of financial assets

The following table provides information about the origination years of financial assets as of March 31, 2024 and 2025 and the gross write-offs, corresponding to each class of financial assets by origination year, recorded during fiscal 2024 and 2025. Card loans to consumer borrowers with a revolving repayment feature that cannot be classified into the origination year are excluded from the table.


		March 31, 2024
		Millions of yen
Portfolio segment		Origination year (years ended March 31)
Class
	Credit Quality	2024		2023		2022		2021		2020		Prior		Total
Consumer borrowers:
	Performing	¥	245,106	¥	200,373	¥	165,337	¥	248,395	¥	334,364	¥	788,888	¥	1,982,463
	Non-Performing		1,139		1,224		607		292		500		11,871	¥	15,633
	Gross write-offs		1,268		3,500		988		228		147		685	¥	6,816

Real estate loans
	Performing		219,407		182,697		161,632		247,905		334,009		788,635	¥	1,934,285
	Non-Performing		109		22		508		281		486		11,770	¥	13,176
	Gross write-offs		0		1		0		2		5		216	¥	224
Other
	Performing		25,699		17,676		3,705		490		355		253	¥	48,178
	Non-Performing		1,030		1,202		99		11		14		101	¥	2,457
	Gross write-offs		1,268		3,499		988		226		142		469	¥	6,592


		March 31, 2024
		Millions of yen
Portfolio segment		Origination year (years ended March 31)
Class
	Credit Quality	2024		2023		2022		2021		2020		Prior		Total
Corporate borrowers:
	Performing		484,932		236,795		276,776		96,684		121,132		183,404	¥	1,399,723
	Non-Performing		5,144		3,346		26,661		5,255		6,705		23,023	¥	70,134
	Gross write-offs		115		102		1,005		215		1,397		2,268	¥	5,102

Non-recourse loans
Japan
	Performing		97,099		22,621		10,572		6,713		1,266		7,015	¥	145,286
	Gross write-offs		0		0		0		0		0		0	¥	0
The Americas
	Performing		11,804		9,077		1,742		151		16,862		7,512	¥	47,148
	Non-Performing		0		68		0		0		0		3,047	¥	3,115
	Gross write-offs		0		0		0		0		0		55	¥	55
Other than non-recourse loans
Real estate companies in Japan
	Performing		143,553		57,185		28,355		22,836		22,907		58,195	¥	333,031
	Non-Performing		37		0		0		9		656		773	¥	1,475
	Gross write-offs		0		0		0		0		4		0	¥	4
Real estate companies in overseas
	Performing		4,334		16,493		9,972		2,764		3,352		4,663	¥	41,578
	Non-Performing		489		581		4,444		515		2,205		9,947	¥	18,181
	Gross write-offs		0		0		0		0		0		0	¥	0
Commercial, industrial and other companies in Japan
	Performing		95,090		29,538		18,606		11,920		10,619		14,566	¥	180,339
	Non-Performing		2		80		31		93		38		313	¥	557
	Gross write-offs		0		76		54		29		22		100	¥	281
Commercial, industrial and other companies in overseas
	Performing		133,052		101,881		207,529		52,300		66,126		91,453	¥	652,341
	Non-Performing		4,616		2,617		22,186		4,638		3,806		8,943	¥	46,806
	Gross write-offs		115		26		951		186		1,371		2,113	¥	4,762
Loans to Equity method investees:
	Performing		133,587		27,874		72,407		2,091		58		13,983	¥	250,000
	Non-Performing		0		230		327		0		0		1,372	¥	1,929


		March 31, 2024
		Millions of yen
Portfolio segment		Origination year (years ended March 31)
Class
	Credit Quality	2024		2023		2022		2021		2020		Prior		Total
	Gross write-offs		0		0		0		0		0		0	¥	0

Purchased loans:
	Performing		145		16		590		227		4,670		13,445	¥	19,093
	Non-Performing		0		0		0		0		0		880	¥	880
	Gross write-offs		1,163		409		229		44		206		45,671	¥	47,722

Net investment in leases:
	Performing		475,594		291,724		159,885		81,835		56,625		68,555	¥	1,134,218
	Non-Performing		4,406		4,891		2,992		1,529		1,368		5,619	¥	20,805
	Gross write-offs		1		190		839		422		298		885	¥	2,635

Japan
	Performing		199,864		139,133		100,905		67,932		46,911		64,436	¥	619,181
	Non-Performing		213		585		886		776		657		1,796	¥	4,913
	Gross write-offs		0		26		101		129		158		583	¥	997
Overseas
	Performing		275,730		152,591		58,980		13,903		9,714		4,119	¥	515,037
	Non-Performing		4,193		4,306		2,106		753		711		3,823	¥	15,892
	Gross write-offs		1		164		738		293		140		302	¥	1,638

Total (excluding revolving repayment card loans)
	Performing	¥	1,339,364	¥	756,782	¥	674,995	¥	429,232	¥	516,849	¥	1,068,275	¥	4,785,497
	Non-Performing		10,689		9,691		30,587		7,076		8,573		42,765	¥	109,381
	Gross write-offs		2,547		4,201		3,061		909		2,048		49,509	¥	62,275


		March 31, 2025
		Millions of yen
Portfolio segment		Origination year (years ended March 31)
Class
	Credit Quality	2025		2024		2023		2022		2021		Prior		Total
Consumer borrowers:
	Performing	¥	358,952	¥	154,694	¥	159,847	¥	143,281	¥	227,594	¥	936,220	¥	1,980,588
	Non-Performing		586		1,421		3,101		2,086		668		11,576	¥	19,438
	Gross write-offs		206		1,773		1,136		106		8		70	¥	3,299

Real estate loans
	Performing		339,308		142,337		152,451		142,224		227,484		935,996	¥	1,939,800
	Non-Performing		224		472		2,110		2,057		666		11,487	¥	17,016
	Gross write-offs		0		0		0		0		0		62	¥	62
Other
	Performing		19,644		12,357		7,396		1,057		110		224	¥	40,788
	Non-Performing		362		949		991		29		2		89	¥	2,422
	Gross write-offs		206		1,773		1,136		106		8		8	¥	3,237
Corporate borrowers:
	Performing		865,495		246,134		133,623		154,928		42,744		175,757	¥	1,618,681
	Non-Performing		2,389		15,254		9,656		39,845		11,919		40,392	¥	119,455


		March 31, 2025
		Millions of yen
Portfolio segment		Origination year (years ended March 31)
Class
	Credit Quality	2025		2024		2023		2022		2021		Prior		Total
	Gross write-offs		65		181		73		2,485		24		1,594	¥	4,422

Non-recourse loans
Japan
	Performing		225,394		52,292		10,487		6,932		0		6,372	¥	301,477
	Gross write-offs		0		0		0		0		0		0	¥	0
The Americas
	Performing		44,762		20,079		7,540		886		135		9,491	¥	82,893
	Non-Performing		0		0		67		0		0		3,764	¥	3,831
	Gross write-offs		0		0		0		0		0		150	¥	150
Other than non-recourse loans
Real estate companies in Japan
	Performing		205,004		67,092		33,558		23,295		19,072		67,088	¥	415,109
	Non-Performing		0		0		0		0		8		549	¥	557
	Gross write-offs		0		0		0		0		0		78	¥	78
Real estate companies in overseas
	Performing		57,678		2,458		8,833		2,828		504		6,469	¥	78,770
	Non-Performing		104		6,964		6,586		8,013		4,326		26,279	¥	52,272
	Gross write-offs		0		0		0		0		0		0	¥	0
Commercial, industrial and other companies in Japan
	Performing		131,439		38,390		20,382		10,761		6,412		17,740	¥	225,124
	Non-Performing		415		58		130		11		76		86	¥	776
	Gross write-offs		0		0		0		0		6		140	¥	146
Commercial, industrial and other companies in overseas
	Performing		201,218		65,823		52,823		110,226		16,621		68,597	¥	515,308
	Non-Performing		1,870		8,232		2,873		31,821		7,509		9,714	¥	62,019
	Gross write-offs		65		181		73		2,485		18		1,226	¥	4,048
Loans to Equity method investees:
	Performing		515		111,724		2,028		0		1,583		14,858	¥	130,708
	Non-Performing		0		0		0		0		0		1,345	¥	1,345
	Gross write-offs		0		0		55		39		0		161	¥	255

Purchased loans:
	Performing		0		52		14		476		86		19,497	¥	20,125
	Non-Performing		0		0		0		31		0		1,233	¥	1,264


		March 31, 2025
		Millions of yen
Portfolio segment		Origination year (years ended March 31)
Class
	Credit Quality	2025		2024		2023		2022		2021		Prior		Total
	Gross write-offs		0		0		0		57		255		7,235	¥	7,547

Net investment in leases:
	Performing		448,045		316,681		179,111		89,639		47,256		64,828	¥	1,145,560
	Non-Performing		2,381		5,398		4,893		1,879		836		6,433	¥	21,820
	Gross write-offs		0		456		1,029		538		353		1,129	¥	3,505

Japan
	Performing		199,069		145,491		101,351		67,720		40,680		60,287	¥	614,598
	Non-Performing		160		628		763		808		500		1,506	¥	4,365
	Gross write-offs		0		34		135		254		256		627	¥	1,306
Overseas
	Performing		248,976		171,190		77,760		21,919		6,576		4,541	¥	530,962
	Non-Performing		2,221		4,770		4,130		1,071		336		4,927	¥	17,455
	Gross write-offs		0		422		894		284		97		502	¥	2,199

Total (excluding revolving repayment card loans)
	Performing	¥	1,673,007	¥	829,285	¥	474,623	¥	388,324	¥	319,263	¥	1,211,160	¥	4,895,662
	Non-Performing		5,356		22,073		17,650		43,841		13,423		60,979	¥	163,322
	Gross write-offs		271		2,410		2,293		3,225		640		10,189	¥	19,028

Note:

Loans held for sale, policy loan receivables of an insurance entity and financing receivables, such as accounts receivable are not included in the table above.

Summary of revolving repayment card loans

The information about card loans to consumer borrowers with a revolving repayment feature that cannot be classified into the origination year as of March 31, 2024 and 2025 and the gross write-offs, corresponding to card loans, recorded during fiscal 2024 and 2025 is as follows:


	March 31, 2024
	Millions of yen
Portfolio segment	Revolving repayment card loans		Modification of collection condition by relief of contract condition		Total—revolving repayment card loans		Total— origination year (excluding revolving repayment card loans)		Total— financial assets measured at amortized cost
Credit quality	Revolving repayment card loans				Total—revolving repayment card loans				Total— financial assets measured at amortized cost
Consumer borrowers:
Performing	¥	72,353	¥	0	¥	72,353	¥	4,785,497	¥	4,857,850

Non-Performing		0		0		0		109,381	¥	109,381

Gross write-offs		780		138		918		62,275	¥	63,193


	March 31, 2025
	Millions of yen
Portfolio segment	Revolving repayment card loans		Modification of collection condition by relief of contract condition		Total—revolving repayment card loans		Total— origination year (excluding revolving repayment card loans)		Total— financial assets measured at amortized cost
Credit quality	Revolving repayment card loans				Total—revolving repayment card loans				Total— financial assets measured at amortized cost
Consumer borrowers:
Performing	¥	67,874	¥	0	¥	67,874	¥	4,895,662	¥	4,963,536

Non-Performing		0		0		0		163,322	¥	163,322

Gross write-offs		0		0		0		19,028	¥	19,028

Summary of past-due financial assets

The following table provides information about the

past-due

financial assets as of March 31, 2024 and 2025:


	March 31, 2024
		Millions of yen
		Past-due financial assets
Portfolio segment	Class	30-89 days past-due		90 days or more past-due		Total past-due		Total financing receivables
Consumer borrowers		¥	3,994	¥	4,458	¥	8,452	¥	2,070,449
	Real estate loans		2,064		2,178		4,242		1,947,461
	Card loans		0		0		0		72,353
	Other		1,930		2,280		4,210		50,635
Corporate borrowers			12,576		27,469		40,045		1,469,857
Non-recourse loans	Japan		0		0		0		145,286
	The Americas		2,502		1,126		3,628		50,263
Other than non-recourse loans	Real estate companies in Japan		113		115		228		334,506
	Real estate companies in overseas		1,080		17,619		18,699		59,759
	Commercial, industrial and other companies in Japan		1,666		355		2,021		180,896
	Commercial, industrial and other companies in overseas		7,215		8,254		15,469		699,147
Loans to Equity method investees			0		0		0		251,929
Net investment in leases			23,376		18,995		42,371		1,155,023
	Japan		2,525		4,372		6,897		624,094
	Overseas		20,851		14,623		35,474		530,929

Total		¥	39,946	¥	50,922	¥	90,868	¥	4,947,258


	March 31, 2025
		Millions of yen
		Past-due financial assets
Portfolio segment	Class	30-89 days past-due		90 days or more past-due		Total past-due		Total financing receivables
Consumer borrowers		¥	4,481	¥	7,645	¥	12,126	¥	2,067,900
	Real estate loans		2,536		5,423		7,959		1,956,816
	Card loans		355		0		355		67,874
	Other		1,590		2,222		3,812		43,210
Corporate borrowers			9,896		83,940		93,836		1,738,136
Non-recourse loans	Japan		0		0		0		301,477
	The Americas		2,141		3,696		5,837		86,724
Other than non-recourse loans	Real estate companies in Japan		200		29		229		415,666
	Real estate companies in overseas		36		51,274		51,310		131,042
	Commercial, industrial and other companies in Japan		1,992		520		2,512		225,900
	Commercial, industrial and other companies in overseas		5,527		28,421		33,948		577,327
Loans to Equity method investees			0		0		0		132,053
Net investment in leases			20,113		20,577		40,690		1,167,380
	Japan		3,851		3,915		7,766		618,963
	Overseas		16,262		16,662		32,924		548,417

Total		¥	34,490	¥	112,162	¥	146,652	¥	5,105,469

Note:

Loans held for sale, policy loans receivable of an insurance entity and purchased loans are not included in the table above.

Summary of non-accrual of financial assets

The following table provides information about

non-accrual

of financial assets as of March 31, 2024 and 2025:


	March 31, 2024
	Millions of yen
	Beginning balance		Ending balance		Interest income recognized during the reporting period		Balance not associated allowance for credit losses among financial assets measured at amortized cost, which is suspending recognition of income
Non-accrual of financial assets:
Installment loans to consumer borrowers:
Real estate loans
Japan	¥	1,693	¥	1,095	¥	246	¥	129
Overseas		547		1,107		0		100
Card loans
Japan		1,367		0		27		0
Other
Japan		5,429		96		169		7
Overseas		1,105		2,574		0		35
Installment loans to corporate borrowers:
Non-recourse loans
The Americas		3,248		3,116		0		0
Other than non-recourse loans
Real estate companies
Japan		219		115		45		4
Overseas		12,804		16,093		0		0
Commercial, industrial and other companies
Japan		1,118		355		312		42
Overseas		20,470		27,636		0		2,319
Loans to Equity method investees		667		1,929		0		1,282
Net investment in leases		16,627		19,002		0		0

Total	¥	65,294	¥	73,118	¥	799	¥	3,918


	March 31, 2025
	Millions of yen
	Beginning balance		Ending balance		Interest income recognized during the reporting period		Balance not associated allowance for credit losses among financial assets measured at amortized cost, which is suspending recognition of income
Non-accrual of financial assets:
Installment loans to consumer borrowers:
Real estate loans
Japan	¥	1,095	¥	1,235	¥	260	¥	128
Overseas		1,107		4,976		0		0
Other
Japan		96		86		1		0
Overseas		2,574		2,373		0		4
Installment loans to corporate borrowers:
Non-recourse loans
The Americas		3,116		3,831		0		603
Other than non-recourse loans
Real estate companies
Japan		115		29		30		0
Overseas		16,093		52,272		0		0
Commercial, industrial and other companies
Japan		355		520		54		37
Overseas		27,636		60,629		0		2,203
Loans to Equity method investees		1,929		1,345		0		0
Net investment in leases		19,002		20,597		0		0

Total	¥	73,118	¥	147,893	¥	345	¥	2,975

Summary of troubled debt restructurings of financing receivables

The following table provides information about troubled debt restructurings of financing receivables that occurred during fiscal 2023.


	Fiscal Year ended March 31, 2023
		Millions of yen
Portfolio segment	Class	Pre-modification outstanding recorded investment		Post-modification outstanding recorded investment
Consumer borrowers		¥	7,977	¥	6,171
	Real estate loans		10		4
	Card loans		1,536		1,312
	Other		6,431		4,855
Corporate borrowers			10,510		10,507
Other than non-recourse loans	Real estate companies in Japan		231		230
	Commercial, industrial and other companies in overseas		10,279		10,277

Total		¥	18,487	¥	16,678

Summary of financing receivables modified as troubled debt restructurings

The following table provides information about financing receivables modified as troubled debt restructurings within the previous 12 months from March 31, 2023 and for which there was a payment default during fiscal 2023:


	Fiscal Year ended March 31, 2023
		Millions of yen
Portfolio segment	Class	Recorded investment
Consumer borrowers		¥	808
	Real estate loans		5
	Card loans		2
	Other		801
Corporate borrowers			4,692
Other than non-recourse loans	Commercial, industrial and other companies in overseas		4,692

Total		¥	5,500

Summary of modifications of financing receivables

The following table provides information about modifications of financing receivables made to debtors experiencing financial difficulty that occurred during fiscal 2024 and 2025:


Fiscal Year ended March 31, 2024
Millions of yen
Portfolio segment	Interest rate reduction				Term extension				Principal forgiveness
Class	Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable
Consumer borrowers	¥	1,266		0.1	¥	4,652		0.2	¥	42		0.0
Real estate loans		5		0.0		1		0.0		1		0.0
Card loans		1,176		1.6		6		0.0		40		0.1
Other		85		0.2		4,645		9.2		1		0.0
Corporate borrowers		0		0		4,499		0.3		932		0.1
Non-recourse loans		0		0		1,277		0.7		0		0
The Americas		0		0		1,277		2.5		0		0
Other than non-recourse loans		0		0		3,222		0.3		932		0.1
Real estate companies in Japan		0		0		69		0.0		0		0
Commercial, industrial and other companies in Japan		0		0		711		0.4		0		0
Commercial, industrial and other companies in overseas		0		0		2,442		0.3		932		0.1
Loans to Equity method investees		0		0		955		0.4		0		0

Total	¥	1,266		0.0	¥	10,106		0.2	¥	974		0.0


Fiscal Year ended March 31, 2024
Millions of yen

Portfolio segment	Combination - interest rate reduction and term extension				Combination - interest rate reduction and principal forgiveness				Combination - term extension and principal forgiveness
Class	Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable
Consumer borrowers	¥	93		0.0	¥	546		0.0	¥	365		0.0
Real estate loans		0		0		2		0.0		0		0
Card loans		0		0.0		525		0.7		0		0
Other		93		0.2		19		0.0		365		0.7
Corporate borrowers		446		0.0		0		0		220		0.0
Non-recourse loans		0		0		0		0		0		0
The Americas		0		0		0		0		0		0
Other than non-recourse loans		446		0.0		0		0		220		0.0
Real estate companies in Japan		0		0		0		0		0		0
Commercial, industrial and other companies in Japan		0		0		0		0		0		0
Commercial, industrial and other companies in overseas		446		0.1		0		0		220		0.0
Loans to Equity method investees		0		0		0		0		3,392		1.3

Total	¥	539		0.0	¥	546		0.0	¥	3,977		0.1


	Fiscal Year ended March 31, 2024
	Millions of yen
Portfolio segment	Combination - interest rate reduction, term extension and principal forgiveness
Class	Amortized cost basis		% of total class of financing receivable
Consumer borrowers	¥	0		0
Real estate loans		0		0
Card loans		0		0
Other		0		0
Corporate borrowers		327		0.0
Non-recourse loans		0		0
The Americas		0		0
Other than non-recourse loans		327		0.0
Real estate companies in Japan		0		0
Commercial, industrial and other companies in Japan		0		0
Commercial, industrial and other companies in overseas		327		0.0
Loans to Equity method investees		0		0

Total	¥	327		0.0


Fiscal Year ended March 31, 2025
Millions of yen
Portfolio segment	Interest rate reduction				Term extension				Principal forgiveness
Class	Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable
Class	Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable		Amortized cost basis		% of total class of financing receivable
Consumer borrowers	¥	2		0.0	¥	50		0.0	¥	0		0
Other		2		0.0		50		0.1		0		0
Corporate borrowers		0		0		11,318		0.7		16		0.0
Non-recourse loans		0		0		2,141		0.6		0		0
The Americas		0		0		2,141		2.5		0		0
Other than non-recourse loans		0		0		9,177		0.7		16		0.0
Real estate companies in Japan		0		0		1,272		0.3		0		0
Real estate companies in overseas		0		0		0		0		0		0
Commercial, industrial and other companies in Japan		0		0		623		0.2		0		0
Commercial, industrial and other companies in overseas		0		0		7,282		1.3		16		0.0
Loans to Equity method investees		0		0		933		0.7		0		0

Total	¥	2		0.0	¥	12,301		0.2	¥	16		0.0


Portfolio segment	Combination - interest rate reduction and term extension
Class	Amortized cost basis		% of total class of financing receivable
Consumer borrowers	¥	138		0.0
Other		138		0.3
Corporate borrowers		14,407		0.8
Non-recourse loans		0		0
The Americas		0		0
Other than non-recourse loans		14,407		1.1
Real estate companies in Japan		0		0
Real estate companies in overseas		1,701		1.3
Commercial, industrial and other companies in Japan		0		0
Commercial, industrial and other companies in overseas		12,706		2.2
Loans to Equity method investees		0		0

Total	¥	14,545		0.3

Summary of financial effect of modifications of financing receivable

The following table provides information about the financial effect of the modifications of financing receivables made to debtors experiencing financial difficulty that occurred during fiscal 2024 and 2025:


	Fiscal Year ended March 31, 2024
	Millions of yen
Portfolio segment	Financial effect
Class	Interest rate reduction	Term extension	Principal forgiveness
Consumer borrowers
Real estate loans	Reduced weighted-average contractual interest rate from 5.3% to 0.0%.	Added a weighted-average 1.0 years to the life of loans.	Reduced the amortized cost basis of the loans by ¥8 millio n.


	Fiscal Year ended March 31, 2024
	Millions of yen
Portfolio segment	Financial effect
Class	Interest rate reduction	Term extension	Principal forgiveness
Card loans	Reduced weighted-average contractual interest rate from 12.7% to 0.7%.	Added a weighted-average 0.9 years to the life of loans.	Reduced the amortized cost basis of the loans by ¥185 million.
Other	Reduced weighted-average contractual interest rate from 14.6% to 5.3%.	Added a weighted-average 4.9 years to the life of loans.	Reduced the amortized cost basis of the loans by ¥785 million.
Corporate borrowers
Non-recourse loans
The Americas	—	Added a weighted-average 1.0 years to the life of loans.	—
Other than non-recourse loans
Real estate companies in Japan	—	Added a weighted-average 0.5 years to the life of loans.	—
Commercial, industrial and other companies in Japan	—	Added a weighted-average 1.0 years to the life of loans.	—
Commercial, industrial and other companies in overseas	Reduced weighted-average contractual interest rate from 8.8% to 6.4%.	Added a weighted-average 3.1 years to the life of loans.	Reduced the amortized cost basis of the loans by ¥1,487 million.
Loans to Equity method investees	—	Added a weighted-average 0.6 years to the life of loans.	Reduced the amortized cost basis of the loans by ¥624 million.
Net investment in leases
Overseas	—	—	Reduced the amortized cost basis of the loans by ¥0 million.


	Fiscal Year ended March 31, 2025
	Millions of yen
Portfolio segment	Financial effect
Class	Interest rate reduction	Term extension	Principal forgiveness
Consumer borrowers
Other	Reduced weighted-average contractual interest rate from 16.5% to 11.8%.	Added a weighted-average 2.4 years to the life of loans.	—
Corporate borrowers	—	—	—


	Fiscal Year ended March 31, 2025
	Millions of yen
Portfolio segment	Financial effect
Class	Interest rate reduction	Term extension	Principal forgiveness
Non-recourse loans
The Americas	—	Added a weighted-average 0.2 years to the life of loans.	—
Other than non-recourse loans	—	—	—
Real estate companies in Japan	—	Added a weighted-average 2.6 years to the life of loans.	—
Real estate companies in overseas	Reduced weighted-average contractual interest rate from 7.9% to 6.5%.	Added a weighted-average 2.5 years to the life of loans.	—
Commercial, industrial and other companies in Japan	—	Added a weighted-average 0.9 years to the life of loans.	—
Commercial, industrial and other companies in overseas	Reduced weighted-average contractual interest rate from 15.2% to 11.8%.	Added a weighted-average 1.1 years to the life of loans.	Reduced the amortized cost basis of the loans by ¥11 million.
Loans to Equity method investees	—	Added a weighted-average 0.5 years to the life of loans.	—

Summary of financing receivables payment default and modifications of past due

The following table provides information about financing receivable that had a payment default and had been modified, when the debtor was experiencing financial difficulty, within the previous 12 months preceding the payment default date during fiscal 2024 and 2025.


	Fiscal Year ended March 31, 2024
	Millions of yen
Portfolio segment	Interest rate reduction		Term extension		Principal forgiveness		Combination - interest rate reduction and term extension		Combination - interest rate reduction and principal forgiveness		Combination - term extension and principal forgiveness
Class	Interest rate reduction		Term extension		Principal forgiveness		Combination - interest rate reduction and term extension				Combination - term extension and principal forgiveness
Consumer borrowers	¥	25	¥	212	¥	1	¥	0	¥	33	¥	9
Real estate loans		3		0		0		0		0		0
Card loans		18		0		1		0		28		0
Other		4		212		0		0		5		9

Total	¥	25	¥	212	¥	1	¥	0	¥	33	¥	9


	Fiscal Year ended March 31, 2025
	Millions of yen
Portfolio segment	Interest rate reduction		Term extension		Principal forgiveness		Combination - interest rate reduction and term extension		Combination - interest rate reduction and principal forgiveness		Combination - term extension and principal forgiveness
Class	Interest rate reduction		Term extension		Principal forgiveness		Combination - interest rate reduction and term extension				Combination - term extension and principal forgiveness
Consumer borrowers	¥	0	¥	0	¥	0	¥	17	¥	0	¥	0
Other		0		0		0		17		0		0
Corporate borrowers		0		0		0		7,620		0		0
Other than non-recourse loans		0		0		0		7,620		0		0
Commercial, industrial and other companies in overseas		0		0		0		7,620		0		0

Total	¥	0	¥	0	¥	0	¥	7,637	¥	0	¥	0

Summary of past due financial assets modified to debtors

The following table provides information about the

past-due

financial assets modified to debtors experiencing financial difficulty within the previous 12 months from March 31, 2024 and 2025:


	March 31, 2024
	Millions of yen
Portfolio segment	Current		30-89 days past-due		90 days or more past-due
Class	Current		30-89 days past-due		90 days or more past-due
Consumer borrowers	¥	35	¥	91	¥	7
Real estate loans		1		0		0
Other		34		91		7
Corporate borrowers		6,140		0		284
Non-recourse loans		1,277		0		0
The Americas		1,277		0		0
Other than non-recourse loans		4,863		0		284
Real estate companies in Japan		37		0		32
Commercial, industrial and other companies in Japan		481		0		230
Commercial, industrial and other companies in overseas		4,345		0		22
Loans to Equity method investees		4,347		0		0

Total	¥	10,522	¥	91	¥	291


	March 31, 2025
	Millions of yen
Portfolio segment	Current		30-89 days past-due		90 days or more past-due
Class	Current		30-89 days past-due		90 days or more past-due
Consumer borrowers	¥	173	¥	1	¥	17
Other		173		1		17
Corporate borrowers		23,857		2,141		45
Non-recourse loans		0		2,141		0
The Americas		0		2,141		0
Other than non-recourse loans		23,857		0		45
Real estate companies in Japan		1,243		0		29
Real estate companies in overseas		1,701		0		0
Commercial, industrial and other companies in Japan		623		0		0
Commercial, industrial and other companies in overseas		20,290		0		16
Loans to Equity method investees		933		0		0

Total	¥	24,963	¥	2,142	¥	62