Investment in Securities (Tables)

12 Months Ended

Mar. 31, 2026

Investment in securities as of March 31, 2025 and 2026 consists of the following:


	Millions of yen
	2025		2026
Equity securities *	¥	626,910	¥	782,413
Available-for-sale debt securities		2,607,637		2,526,416

Total	¥	3,234,547	¥	3,308,829

The amount of assets under management of variable annuity and variable life insurance contracts included in equity securities were ¥132,313 million and ¥137,933 million as of March 31, 2025 and 2026, respectively. The amount of investment funds and others elected the fair value option included in equity securities were ¥24,960 million and ¥24,845 million as of March 31, 2025 and 2026, respectively.

Summary of Impairment and Downward or Upward Adjustment Due to Changes of Observable Price

The following tables provide information about

impairment and upward or downward adjustments resulting from observable price changes as of March 31, 2025 and 2026, and for fiscal 2025 and 2026.


	Millions of yen
	March 31, 2025							Fiscal Year ended March 31, 2025
	Carrying value		Accumulated impairments and downward adjustments			Accumulated upward adjustments		Impairments and downward adjustments			Upward adjustments
Equity securities measured using the measurement alternative	¥	89,554	¥	(16,955	)	¥	3,643	¥	(1,438	)	¥	1,485


	Millions of yen
	March 31, 2026							Fiscal Year ended March 31, 2026
	Carrying value		Accumulated impairments and downward adjustments			Accumulated upward adjustments		Impairments and downward adjustments		Upward adjustments
Equity securities measured using the measurement alternative	¥	112,313	¥	(17,028	)	¥	16,071	¥	(1,789)	¥	13,276

Amortized Cost Basis Amounts, Gross Unrealized Holding Gains, Gross Unrealized Holding Losses and Fair Values of Available-for-Sale Securities and Held-to-Maturity Securities in Each Major Security Type

The amortized cost basis amounts, gross unrealized holding gains, gross unrealized holding losses and fair values of

available-for-sale

debt securities in each major security type as of March 31, 2025 and 2026 are as follows:

March 31, 2025


	Millions of yen
	Amortized cost		Allowance for credit losses			Gross unrealized gains		Gross unrealized losses			Fair value
Available-for-sale debt securities:
Japanese and foreign government bond securities	¥	1,520,672	¥	0		¥	1,325	¥	(429,471	)	¥	1,092,526
Japanese prefectural and foreign municipal bond securities		439,565		(245	)		2,408		(34,898	)		406,830
Corporate debt securities		906,297		(34	)		15,246		(118,964	)		802,545
CMBS and RMBS in the Americas		106,578		0			1,053		(880	)		106,751
Other asset-backed securities and debt securities		200,924		(391	)		5,438		(6,986	)		198,985

	¥	3,174,036	¥	(670	)	¥	25,470	¥	(591,199	)	¥	2,607,637

March 31, 2026
	Millions of yen
	Amortized cost		Allowance for credit losses			Gross unrealized gains		Gross unrealized losses			Fair value
Available-for-sale debt securities:
Japanese and foreign government bond securities	¥	1,651,782	¥	0		¥	194	¥	(678,091	)	¥	973,885
Japanese prefectural and foreign municipal bond securities		352,338		(798	)		6,025		(41,799	)		315,766
Corporate debt securities		1,110,521		(64	)		24,946		(177,954	)		957,449
CMBS and RMBS in the Americas		107,361		(1,927	)		555		(557	)		105,432
Other asset-backed securities and debt securities		181,136		(716	)		5,534		(12,070	)		173,884

	¥	3,403,138	¥	(3,505	)	¥	37,254	¥	(910,471	)	¥	2,526,416

Summary of roll-forwards of allowance for credit losses

The following table presents roll-forwards of the allowance for credit losses for fiscal 2024, 2025 and 2026, respectively.


	Millions of yen
	Fiscal Year ended March 31, 2024
	Foreign municipal bond securities		Foreign other asset- backed securities and debt securities		Total
Beginning	¥	144	¥	0	¥	144
Additions to the allowance for credit losses on available-for-sale debt securities for which credit losses were not previously recorded		80		365		445
Increase (Decrease) from the effects of changes in foreign exchange rates		24		21		45

Ending	¥	248	¥	386	¥	634


	Millions of yen
	Fiscal Year ended March 31, 202 5
	Foreign municipal bond securities			Foreign corporate debt securities		Foreign other asset- backed securities and debt securities			Total
Beginning	¥	248		¥	0	¥	386		¥	634
Additions to the allowance for credit losses on available-for-sale debt securities for which credit losses were not previously recorded		0			34		107			141
Additional increases to the allowance for credit losses on available-for-sale debt securities that had an allowance recorded in a previous period		0			0		32			32
Increase (Decrease) from the effects of changes in foreign exchange rates		(3	)		0		(134	)		(137	)

Ending	¥	245		¥	34	¥	391		¥	670


	Millions of yen
	Fiscal Year ended March 31, 2026
	Foreign municipal bond securities		Foreign corporate debt securities			CMBS and RMBS in the Americas		Foreign other asset- backed securities and debt securities			Total
Beginning	¥	245	¥	34		¥	0	¥	391		¥	670
Additions to the allowance for credit losses on available-for-sale debt securities for which credit losses were not previously recorded		528		31			1,902		266			2,727
Additional increases (decreases) to the allowance for credit losses on AFS debt securities that had an allowance recorded in a previous period, net		0		(1	)		0		(694	)		(695	)
Write-offs charged against the allowance		0		0			0		(40	)		(40	)
Recoveries of amounts previously written off		0		0			0		755			755
Increase (Decrease) from the effects of changes in foreign exchange rates		25		0			25		38			88

Ending	¥	798	¥	64		¥	1,927	¥	716		¥	3,505

Information about Available-for-Sale Securities with Gross Unrealized Losses and Length of Time Individual Securities Have Been in Continuous Unrealized Loss Position

The following tables provide information about

available-for-sale

debt securities with gross unrealized losses (including allowance for credit losses) and the length of time that individual securities have been in a continuous unrealized loss position as of March 31, 2025 and 2026, respectively:

March 31, 2025


	Millions of yen
	Less than 12 months					12 months or more					Total
	Fair value		Gross unrealized losses			Fair value		Gross unrealized losses			Fair value		Gross unrealized losses
Available-for-sale debt securities:
Japanese and foreign government bond securities	¥	132,283	¥	(9,785	)	¥	913,742	¥	(419,686	)	¥	1,046,025	¥	(429,471	)
Japanese prefectural and foreign municipal bond securities		95,936		(3,409	)		224,679		(31,734	)		320,615		(35,143	)
Corporate debt securities		152,094		(5,196	)		427,837		(113,802	)		579,931		(118,998	)
CMBS and RMBS in the Americas		16,940		(103	)		15,817		(777	)		32,757		(880	)
Other asset-backed securities and debt securities		56,671		(411	)		35,183		(6,966	)		91,854		(7,377	)

	¥	453,924	¥	(18,904	)	¥	1,617,258	¥	(572,965	)	¥	2,071,182	¥	(591,869	)

March 31, 2026


	Millions of yen
	Less than 12 months					12 months or more					Total
	Fair value		Gross unrealized losses			Fair value		Gross unrealized losses			Fair value		Gross unrealized losses
Available-for-sale debt securities:
Japanese and foreign government bond securities	¥	69,055	¥	(11,720	)	¥	897,208	¥	(666,371	)	¥	966,263	¥	(678,091	)
Japanese prefectural and foreign municipal bond securities		76,347		(3,270	)		138,277		(39,327	)		214,624		(42,597	)
Corporate debt securities		128,382		(4,467	)		536,002		(173,551	)		664,384		(178,018	)
CMBS and RMBS in the Americas		38,338		(300	)		10,930		(2,184	)		49,268		(2,484	)
Other asset-backed securities and debt securities		44,823		(1,499	)		35,603		(11,287	)		80,426		(12,786	)

	¥	356,945	¥	(21,256	)	¥	1,618,020	¥	(892,720	)	¥	1,974,965	¥	(913,976	)

The following table provides information about

available-for-sale

debt securities with gross unrealized losses for which allowance for credit losses were not recorded and the length of time that individual securities have been in a continuous unrealized loss position as of March 31, 2025 and 2026, respectively:

March 31, 2025


	Millions of yen
	Less than 12 months					12 months or more					Total
	Fair value		Gross unrealized losses			Fair value		Gross unrealized losses			Fair value		Gross unrealized losses
Available-for-sale debt securities:
Japanese and foreign government bond securities	¥	132,283	¥	(9,785	)	¥	913,742	¥	(419,686	)	¥	1,046,025	¥	(429,471	)
Japanese prefectural and foreign municipal bond securities		94,691		(3,325	)		220,950		(31,573	)		315,641		(34,898	)
Corporate debt securities		149,367		(5,128	)		427,837		(113,802	)		577,204		(118,930	)
CMBS and RMBS in the Americas		16,940		(103	)		15,817		(777	)		32,757		(880	)
Other asset-backed securities and debt securities		56,671		(340	)		34,868		(6,553	)		91,539		(6,893	)

	¥	449,952	¥	(18,681	)	¥	1,613,214	¥	(572,391	)	¥	2,063,166	¥	(591,072	)

March 31, 2026


	Millions of yen
	Less than 12 months					12 months or more					Total
	Fair value		Gross unrealized losses			Fair value		Gross unrealized losses			Fair value		Gross unrealized losses
Available-for-sale debt securities:
Japanese and foreign government bond securities	¥	69,055	¥	(11,720	)	¥	897,208	¥	(666,371	)	¥	966,263	¥	(678,091	)
Japanese prefectural and foreign municipal bond securities		75,944		(2,735	)		133,042		(39,064	)		208,986		(41,799	)
Corporate debt securities		122,570		(4,347	)		536,002		(173,551	)		658,572		(177,898	)
CMBS and RMBS in the Americas		38,338		(300	)		10,930		(257	)		49,268		(557	)
Other asset-backed securities and debt securities		44,796		(1,319	)		34,484		(10,583	)		79,280		(11,902	)

	¥	350,703	¥	(20,421	)	¥	1,611,666	¥	(889,826	)	¥	1,962,369	¥	(910,247	)

Summary of Contractual Maturities of Available-for-Sale Debt Securities

The following is a summary of the contractual maturities of

available-for-sale

debt securities as of March 31,

2026

Available-for-sale

debt securities held as of March 31, 2026


	Millions of yen
	Amortized cost		Fair value
Due within one year	¥	55,891	¥	57,667
Due after one to five years		418,096		402,973
Due after five to ten years		337,992		343,359
Due after ten years		2,591,159		1,722,417

	¥	3,403,138	¥	2,526,416