AEON Financial Revises Prior Fiscal Year, Files Delayed First Quarter Results
AEON Financial Services has submitted an amended securities report and other documents for the fiscal year ending February 2025 to the Director-General of the Kanto Regional Financial Bureau on July 31, 2025, and has also corrected its financial results summary, as detailed below.
As announced on July 9, 2025, regarding Post and Telecommunication Finance Company Limited (PTF), a Vietnamese finance company in which AEON Financial has completed the acquisition of an equity interest from Southeast Asia Commercial Joint Stock Bank (SeABank), AEON Financial has postponed the announcement of the first quarter financial results for the fiscal year ending February 2026, which was scheduled for July 10, 2025, due to ongoing discussions with SeABank, the transferor, as well as the time required to formulate a business plan for Vietnam.
AEON Financial has now confirmed that PTF had understated its allowance for doubtful accounts and AEON Financial has continued to discuss the matter with SeABank. As a result of the discussions, both parties have reached an agreement that SeABank will provide support for PTF's sales and other aspects in order for both companies to work together to grow PTF, and that PTF will sell a portion of its trade receivables.
In relation to this matter, AEON Financial has determined that it is necessary to reevaluate PTF's assets and retroactively revise related accounting treatment for the past fiscal year, including additional allowance for doubtful account of 1.8 billion yen, and impairment of "goodwill," of 3.8 billion yen, being the recalculation of PTF’ equity value in line with the review of the business plan.
Therefore, AEON Financial has revised the consolidated financial statements and other documents contained in the securities reports that have already been submitted and re-submitted on July 31, 2025 those documents to the Director-General of the Kanto Regional Financial Bureau. Please note that the summary of financial results has also been corrected.
Regarding the first quarter of the fiscal year ending February 2026, the impact of this correction has been confirmed to be confined to the previous fiscal year, so there will be no impact on the results for the current fiscal year.
First Quarter Results
AEON Financial's first quarter results were generally slightly below the quarterly run rate required to meet the fiscal year 2025 targets. For this report, rather than breaking down the financials in detail, let us look at some of the key ecosystem numbers.
AEON Financial has reached 36.79 million registered users across AEON Card, AEON Pay, AEON Bank, etc. That is an addition of 630,000 registered users for this quarter, and 2.2 million year-on-year. Of these, there are 26.37 million credit card holders, and 8.75 million users of AEON Pay.
Also, at the end of June, AEON Pay and WAON, AEON Group's reward point system, have been integrated, combining QR code payments and touch payment functionality, respectively.
Deposit balances increased 15% year-on-year, driven by strong performance from high-value fixed term retirement savings accounts. "Platinum Stage" and "Gold Stage" accounts - which can be understood to be somewhat equivalent to Rakuten Bank's "primary accounts" - make up 25% of all accounts. These accounts typically receive salary or pension payments, and have an overall transaction volume that is 2x or 3x those of the lower stage accounts.
Despite the difficulties in acquiring PTF, outlined above, AEON Group has positioned Vietnam as a key country in its overseas strategy. In this rapidly growing market, AEON Group's business, store network, and customer base are expanding at an accelerated pace, as the consumer finance market is expected to grow 50% by 2030, and the share of credit card holders among the population is still below 20%.
Norbert Gehrke
