Revenue (Tables)

12 Months Ended

Mar. 31, 2026

Summary of Revenue Recognized from Contracts with Customers and Other Sources

(i)

Revenue recognized from contracts with customers and other sources


			(In millions of yen)
	For the year ended
	March 31, 2024		March 31, 2025		March 31, 2026
Revenue from contracts with customers
Transaction and service income		174,127		203,595		251,041
Revenue from other sources
Interest income (1)		73,884		88,442		116,488
Gains (losses) on financial instruments		4,641		5,529		10,250
Other operating income		1,959		1,512		2,883
Total		254,611		299,078		380,662

(1)

The Group pays guarantee fees to third-party financial institutions to mitigate the credit risk of loans and advances to customers. These guarantee fees are an integral part of the loan arrangement. In accordance with IFRS 9, these guarantee fees are included in the calculation under the effective interest rate method and therefore reduce interest income. The guarantee fees were 14,707 million yen, 18,163 million yen and 20,747 million yen for the years ended March 31, 2024, 2025 and 2026, respectively.

Summary of Disaggregation of Revenue from Contracts with Customers by type of Service

(ii)

Disaggregation of revenue from contracts with customers by type of service


For the year ended March 31, 2024
				(In millions of yen)
	Payment			Financial service			Total
Payment Settlement Services
PayPay Settlement Services		151,673			—			151,673
Credit Payment Settlement Services and Acquiring Services (1)		31,917			—			31,917
Debit Payment Settlement Services		—			4,731			4,731
Payment settlement services deduction (2)		(52,669	)		(1,171	)		(53,840	)
Subtotal		130,921			3,560			134,481
Financial Services		—			20,867			20,867
Other (3)(4)		18,389			390			18,779
Total (5)(6)		149,310			24,817			174,127


For the year ended March 31, 2025
				(In millions of yen)
	Payment			Financial service			Total
Payment Settlement Services
PayPay Settlement Services		193,237			—			193,237
Credit Payment Settlement Services and Acquiring Services (1)		37,192			—			37,192
Debit Payment Settlement Services		—			5,077			5,077
Payment settlement services deduction (2)		(77,161	)		(1,309	)		(78,470	)
Subtotal		153,268			3,768			157,036
Financial Services		—			22,269			22,269
Other (3)(4)		23,329			961			24,290
Total (5)(6)		176,597			26,998			203,595


For the year ended March 31, 2026
				(In millions of yen)
	Payment			Financial service			Total
Payment Settlement Services
PayPay Settlement Services		245,799			—			245,799
Credit Payment Settlement Services and Acquiring Services (1)		46,019			—			46,019
Debit Payment Settlement Services		—			5,468			5,468
Payment settlement services deduction (2)		(100,358	)		(1,413	)		(101,771	)
Subtotal		191,460			4,055			195,515
Financial Services		—			24,706			24,706
Other (3)(4)		29,310			1,510			30,820
Total (5)(6)		220,770			30,271			251,041

(1)

Revenue from Credit Payment Settlement Services and Acquiring Services is presented net of interchange fees charged by the credit card issuer in respect of Acquiring Services, as the Group recognizes revenue based on the settlement amount of the purchase transaction and the predetermined rate, less such interchange fees. The interchange fees were 12,427 million yen, 10,819 million yen and 11,023 million yen for the years ended March 31, 2024, 2025 and 2026, respectively. Refer to the major revenue streams section within Note 3, Material Accounting Policies for more details.

(2)

Payment settlement services deduction mainly consists of rewards given to customers, all the deduction is related to the Payment Settlement Services only.

(3)

Other in the Payment segment includes revenues primarily earned from a monthly paid subscription plan for PayPay Merchants, and is presented net of a revenue deduction, which amounts to 1,870 million yen, 3,408 million yen and 4,554 million yen for the years ended March 31, 2024, 2025 and 2026, respectively. These deductions mainly relate to consideration payable to customers in connection with annual membership fees for a certain type of PayPay Card.

(4)

Other in the Financial service segment includes revenues primarily earned from system platform services provided by Credit Engine, Inc.

(5)

Almost all revenues from external customers of the Group were generated in Japan, which is the Company’s country of domicile, for the years ended March 31, 2024, 2025 and 2026.

(6)

For further details of each service category, refer to major revenue streams section within Note 3, Material Accounting Policies.

Summary of Other Assets


	(In millions of yen)
	March 31, 2025		March 31, 2026
Assets recognized from the costs to obtain contracts with customers		8,882		12,077

           
          (In millions of yen)

           
          For the year ended

           
          March 31, 2024

          March 31, 2025

          March 31, 2026

Amortization expenses of assets recognized
   from the costs to obtain contracts with
   customers

1,043

1,297

1,724