Consolidated Financial Results Supplementary Information for the Fiscal Year Ended March 31, 2018

Transcription

1 Consolidated Financial Results Supplementary Information for the Fiscal Year Ended March 31, 2018 (Five-Year Summary) ORIX Corporation (NYSE: IX; TSE: 8591)

2 Contents Page 1 Financial Highlights : Financial Highlights, Key Ratios, Per Share Data and Employees 2 Segment Information : Segment Revenues, Profits, Assets and ROA 3-4 Segment Asset Details : Assets by Segment 5 Corporate Financial Services : Segment Revenues, Profits and Assets 6 Maintenance Leasing : Segment Revenues, Profits and Assets 7-8 Real Estate (1) (2) : Segment Revenues, Profits and Assets 9 Investment and Operation : Segment Revenues, Profits and Assets 10 Retail : Segment Revenues, Profits and Assets Overseas Business (1) (2) : Segment Revenues, Profits and Assets 13 Portfolio in Three Categories : Segment Profits and Assets 14 Key Financial Information (1) : Income Statement Data 15 Key Financial Information (2) : Balance Sheet Data 16 Key Financial Information (3) : Consolidated Statements of Comprehensive Income 17 Key Financial Information (4) : Consolidated Statements of Changes In Equity 18 Key Financial Information (5) : Consolidated Statements of Cash Flows 19 Information Regarding Major Assets (1) : New Business Volumes, Direct Financing Leases & Installment loans 20 Information Regarding Major Assets (2) : Operating Leases & Asset Quality 21 Information Regarding Major Assets (3) : Allowance for Doubtful Receivables and Probable Loan Losses 22 Information Regarding Major Assets (4) : Investment in Securities 23 Funding (1) : Funding, Share of Long-Term Debt, Funding Structure & Funding Costs (including Deposits) 24 Funding (2) : Commitment Lines, Liquidity & Credit Ratings This document has been prepared based upon quarterly financial information in accordance with U.S. GAAP. For annual and more historical data please access our website. IR Website URL: IR Library URL: Disclaimer These documents may contain forward-looking statements about expected future events and financial results that involve risks and uncertainties. Such statements are based on our current expectations and are subject to uncertainties and risks that could cause actual results to differ materially from those described in the forward-looking statements. Factors that could cause such a difference include, but are not limited to, those described under Risk Factors in the Company s annual report on Form 20-F filed with the United States Securities and Exchange Commission and those described under Business Risk of the securities report (Yukashoken houkokusho) filed with the Director of the Kanto Local Finance Bureau and financial results filed to Tokyo Stock Exchange. ORIX Corporation Corporate Planning Department World Trading Center Bldg., Hamamatsu-cho, Minato-ku Tokyo , Japan Tel:

3 X2A0T Financial Highlights Financial Highlights Total Revenues 1,375,292 2,174,283 2,369,202 2,678,659 2,862,771 Income before Income Taxes and Discontinued Operations 286, , , , ,501 Net Income Attributable to ORIX Corporation Shareholders 187, , , , ,135 Total Assets * 9,063,517 11,439,874 10,992,918 11,231,895 11,425,982 Total Liabilities * 6,913,975 9,054,902 8,512,632 8,577,722 8,619,688 Total ORIX Corporation Shareholders Equity 1,919,346 2,152,198 2,310,431 2,507,698 2,682,424 * Prior-year amounts have been adjusted for the retrospective application of Accounting Standards Update ( Simplifying the Presentation of Debt Issuance Costs -ASC ( Interest-Imputation of Interest )) on April 1, As of March 31, 2015, we eliminated the accounting period gap that previously existed between DAIKYO and ORIX. The amounts in the previous years have been retrospectively reclassified for this change. Key Ratios, Per Share Data (1) Return on Equity (ROE) * 10.5% 11.5% 11.7% 11.3% 12.1% Return on Assets (ROA) * 2.14% 2.29% 2.32% 2.46% 2.76% Return on Segment Assets (ROA) * 2.75% 2.86% 2.87% 3.05% 3.48% * Return on Equity (ROE), Return on Assets (ROA) and Return on Segment Assets (ROA) are calculated using accumulated Net Income Attributable to ORIX Corporation Shareholders. Key Ratios, Per Share Data and Employees (2) Shareholders Equity Ratio 21.2% 18.8% 21.0% 22.3% 23.5% Debt-to-Equity Ratio (times) (Short and Long-Term Debt+Deposits)/Shareholders' Equity * (Short and Long-Term Debt)/Shareholders' Equity * Shareholders Equity Per Share (yen) 1, , , , , Earnings Per Share Basic EPS (yen) Diluted EPS (yen) Dividends Applicable to Fiscal Year Per Share (yen) Number of Employees 25,977 31,035 33,333 34,835 31,890 * Prior-year amounts have been adjusted for the retrospective application of Accounting Standards Update ( Simplifying the Presentation of Debt Issuance Costs -ASC ( Interest-Imputation of Interest )) on April 1, Return on Equity (ROE), Shareholders Equity Ratio, Debt-to-Equity Ratio and Shareholders Equity Per Share are calculated using Total ORIX Corporation Shareholders Equity

4 X3A0T Segment Information Segment Information Corporate Financial Services Segment Revenues *1 78,825 85, , , ,712 Segment Profits 24,874 25,519 42,418 38,032 49,275 Segment Assets 992,078 1,132,468 1,049,867 1,032, ,901 Segment Asset ROA *2 1.59% 1.54% 2.59% 2.50% 3.38% Maintenance Leasing Segment Revenues *1 251, , , , ,740 Segment Profits 37,062 40,366 42,935 39,787 40,162 Segment Assets 622, , , , ,201 Segment Asset ROA *2 3.90% 4.03% 4.10% 3.66% 3.49% Real Estate Segment Revenues *1 203, , , , ,948 Segment Profits 17,956 3,484 42,902 72,841 62,372 Segment Assets 962, , , , ,238 Segment Asset ROA *2 1.06% 0.25% 3.62% 7.12% 6.67% Investment and Operation Segment Revenues *1 236, ,120 1,028,355 1,271,973 1,402,313 Segment Profits 95,786 42,414 57,220 85,000 96,120 Segment Assets 552, , , , ,677 Segment Asset ROA * % 4.49% 5.58% 7.88% 8.12% Retail Segment Revenues *1 211, , , , ,697 Segment Profits 49, ,616 51,756 72,865 74,527 Segment Assets 2,166,986 3,700,635 3,462,772 3,291,631 3,174,505 Segment Asset ROA *2 1.48% 2.64% 0.96% 1.47% 1.57% Overseas Business Segment Revenues *1 412, , , , ,420 Segment Profits 69, , , , ,602 Segment Assets 1,972,138 2,178,895 2,284,733 2,454,200 2,594,728 Segment Asset ROA *2 2.61% 3.22% 4.26% 3.24% 2.88% Total Segment Revenues *1 1,394,183 2,185,312 2,379,004 2,685,194 2,872,830 Segment Profits 295, , , , ,058 Segment Assets 7,267,798 9,170,249 8,972,449 8,956,872 9,017,250 Adjustment of Segment Profits to Consolidated Statement Amounts 8,898 7,475 11,192 4,128 6,443 Income before Income Taxes 286, , , , ,501 *1 Inter-segment transactions have been included in the Segment Revenues of each segment since fiscal The amounts in the previous periods have been reclassified for this change. *2 Segment Asset ROA is calculated using accumulated Segment Profits (after tax)

5 X4A0T Segment Asset Details Assets by Segment Corporate Maintenance Investment Overseas Real Estate Retail Financial Services Leasing and Operation Business Total Investment in Direct Financing Leases 450, ,965 17,541 14,702 4, , ,817 Installment Loans 470,684-42, ,848 1,276, ,845 2,155,971 Investment in Operating Leases 26, , ,065 16,811 76, ,978 1,378,894 Investment in Securities 21, ,074 95, , ,288 1,241,754 Property under Facility Operations and servicing assets 2, ,646 53,589-89, ,772 Inventories ,418 81,661-3, ,974 Advances for Investment in Operating Leases , ,541 79,918 Investment in Affiliates 18,909 1,718 62,504 59,759 10, , ,315 Advances for Property under Facility Operations 40-18,732 4,693-27,066 50,531 Goodwill and Other Intangible Assets Acquired in Business Combinations 1, , ,670 21, , ,852 Total 992, , , ,183 2,166,986 1,972,138 7,267, Assets by Segment Corporate Maintenance Investment Overseas Real Estate Retail Financial Services Leasing and Operation Business Total Investment in Direct Financing Leases 461, ,907 22,277 15,092 2, ,567 1,073,287 Installment Loans 461,277-22,811 93,196 1,376, ,108 2,298,102 Investment in Operating Leases 30, , ,825 23,388 50, ,665 1,279,829 Investment in Securities 45,415 1,130 21, ,896 2,246, ,322 2,832,393 Property under Facility Operations and servicing assets 5, ,207 90,895-26, ,475 Inventories , ,549-35, ,476 Advances for Investment in Operating Leases , ,434 49,559 Investment in Affiliates 20,875 2,074 91,275 51,108 3, , ,144 Advances for Property under Facility Operations ,055 30, ,688 Goodwill and Other Intangible Assets Acquired in Business Combinations 105, , ,013 19, , ,296 Total 1,132, , , ,014 3,700,635 2,178,895 9,170, Assets by Segment Corporate Maintenance Investment Overseas Real Estate Retail Financial Services Leasing and Operation Business Total Investment in Direct Financing Leases 431, ,257 21,541 21,133 1, ,010 1,071,742 Installment Loans 411,824-5,821 75,996 1,496, ,870 2,397,918 Investment in Operating Leases 28, , ,050 24,378 52, ,401 1,336,914 Investment in Securities 36,542 1,214 5,861 71,705 1,893, ,227 2,392,180 Property under Facility Operations and servicing assets 11, , ,568-23, ,852 Inventories ,597 98,016-37, ,822 Advances for Investment in Operating Leases 1, , ,302 46,243 Investment in Affiliates 22,755 1,996 91, , , ,583 Advances for Property under Facility Operations 304-8,829 38, ,800 Goodwill and Other Intangible Assets Acquired in Business Combinations 105, , ,091 18, , ,395 Total 1,049, , , ,156 3,462,772 2,284,733 8,972,

6 Segment Asset Details Assets by Segment Corporate Maintenance Investment Overseas Real Estate Retail Financial Services Leasing and Operation Business Total Investment in Direct Financing Leases 433, ,480 27,523 26, ,732 1,123,198 Installment Loans 398, ,435 1,718, ,393 2,631,041 Investment in Operating Leases 30, , ,184 25,434 46, ,207 1,290,006 Investment in Securities 34,773 1,322 3,552 51,474 1,509, ,899 2,066,200 Property under Facility Operations and servicing assets 13, , ,674-29, ,239 Inventories , ,798-1, ,672 Advances for Investment in Operating Leases ,634 1,237-9,024 29,310 Investment in Affiliates 18,392 1,880 99,347 71, , ,064 Advances for Property under Facility Operations ,196 55, ,554 Goodwill and Other Intangible Assets Acquired in Business Combinations 103, , ,946 16, , ,588 Total 1,032, , , ,675 3,291,631 2,454,200 8,956, Assets by Segment Corporate Maintenance Investment Overseas Real Estate Retail Financial Services Leasing and Operation Business Total Investment in Direct Financing Leases 415, ,041 33,589 25, ,721 1,148,357 Installment Loans 363, ,131 1,852, ,137 2,785,334 Investment in Operating Leases 26, , ,001 30,158 44, ,953 1,330,150 Investment in Securities 19, ,988 32,563 1,260, ,977 1,729,587 Property under Facility Operations and servicing assets 15, , ,106-43, ,543 Inventories , ,518-5, ,801 Advances for Investment in Operating Leases ,524 1,261-9,487 31,672 Investment in Affiliates 16,845 1,996 86, , , ,227 Advances for Property under Facility Operations ,351 44, ,972 Goodwill and Other Intangible Assets Acquired in Business Combinations 104,157 17,673 11, ,093 16, , ,607 Total 961, , , ,677 3,174,505 2,594,728 9,017,

7 X6A0T Corporate Financial Services Segment Income Statement Data Finance revenues 37,235 35,624 34,215 30,153 28,390 Operating leases 25,627 24,473 25,461 25,626 23,355 Services income 14,858 21,997 35,744 40,595 42,503 Gains on investment securities and dividends, and others 1,105 3,408 11,730 6,605 21,464 Total Segment Revenues : 78,825 85, , , ,712 Interest expense 8,594 8,627 7,214 6,032 4,893 Provision for doubtful receivables and probable loan losses Write-downs of long-lived assets and securities (822) 1,252 (676) (76) 1,218 Other 46,814 50,691 58,968 62,057 62,612 Total Segment Expenses : 54,586 60,570 65,506 68,013 68,723 Segment Operating Income 24,239 24,932 41,644 34,966 46,989 Equity in Net Income (Loss) of Affiliates and others ,066 2,286 Segment Profits 24,874 25,519 42,418 38,032 49,275 Segment Balance Sheet Data Investment in Direct Financing Leases 450, , , , ,301 Installment Loans 470, , , , ,993 Investment in Operating Leases 26,184 30,329 28,695 30,114 26,350 Investment in Securities 21,337 45,415 36,542 34,773 19,208 Property under Facility Operations 2,524 5,930 11,294 13,034 15,075 Inventories Advances for Investment in Operating Leases , Investment in Affiliates 18,909 20,875 22,755 18,392 16,845 Advances for Property under Facility Operations Goodwill and Other Intangible Assets Acquired in Business Combinations 1, , , , ,157 Total Segment Assets 992,078 1,132,468 1,049,867 1,032, ,

8 X7A0T Maintenance Leasing Segment Income Statement Data Finance revenues 9,472 11,103 12,067 13,029 14,059 Operating leases 177, , , , ,592 Services income 60,275 62,535 66,841 66,314 67,810 Sales of goods and real estate and other 4,478 4,162 3,939 4,053 4,279 Total Segment Revenues : 251, , , , ,740 Interest expense 3,687 3,690 3,545 3,360 3,049 Provision for doubtful receivables and probable loan losses Write-downs of long-lived assets and securities 1, Other 208, , , , ,104 Total Segment Expenses : 214, , , , ,375 Segment Operating Income 37,005 40,453 42,942 39,819 40,365 Equity in Net Income (Loss) of Affiliates and others 57 (87) (7) (32) (203) Segment Profits 37,062 40,366 42,935 39,787 40,162 Segment Balance Sheet Data Investment in Direct Financing Leases 149, , , , ,041 Investment in Operating Leases 467, , , , ,369 Investment in Securities 892 1,130 1,214 1, Property under Facility Operations Inventories Advances for Investment in Operating Leases Investment in Affiliates 1,718 2,074 1,996 1,880 1,996 Goodwill and Other Intangible Assets Acquired in Business Combinations ,673 Total Segment Assets 622, , , , ,201 (Thousand Autos) Automobile Operations Number of Automobiles Under Management in Japan 1,083 1,172 1,230 1,284 1,

9 X8A0T Real Estate (1) Segment Income Statement Data Finance revenues 6,132 4,057 6,720 2,319 2,055 Operating leases 66,624 63,765 60,253 88,153 46,938 Services income 101, , , , ,064 Sales of goods and real estate and other 28,790 10,384 13,937 8,954 7,891 Total Segment Revenues : 203, , , , ,948 Interest expense 9,018 6,968 4,676 3,085 2,224 Provision for doubtful receivables and probable loan losses Write-downs of long-lived assets and securities 21,819 29,714 8,338 3,386 4,180 Other 159, , , , ,775 Total Segment Expenses : 190, , , , ,179 Segment Operating Income 13,062 (5,746) 36,917 68,950 29,769 Equity in Net Income (Loss) of Affiliates and others 4,894 9,230 5,985 3,891 32,603 Segment Profits 17,956 3,484 42,902 72,841 62, Gains on Rental Property Sales (included in Operating leases) 13,778 14,938 16,058 49,699 12,

10 X9A0T Real Estate (2) Segment Balance Sheet Data Investment in Direct Financing Leases 17,541 22,277 21,541 27,523 33,589 Installment Loans 42,757 22,811 5, Investment in Operating Leases 527, , , , ,001 Investment in Securities 25,074 21,718 5,861 3,552 2,988 Property under Facility Operations 166, , , , ,463 Inventories 19,418 12,484 3,597 2,567 2,850 Advances for Investment in Operating Leases 61,575 44,666 38,486 18,634 20,524 Investment in Affiliates 62,504 91,275 91,010 99,347 86,666 Advances for Property under Facility Operations 18,732 12,055 8,829 11,196 19,351 Goodwill and Other Intangible Assets Acquired in Business Combinations 21,092 12,068 11,887 11,675 11,494 Total Segment Assets 962, , , , ,238 Segment Assets by Type (Billions of yen) Rental Property Operating Facilities Hotels and Inns Golf Courses Others Others Total Trend in Rental Property (Billions of yen) Assets under lease NOI Yield 4.8% 5.2% 5.8% 4.7% 4.4% Vacancy Rate 3.2% 4.1% 3.4% 6.2% 2.6% Assets under Development Accumulated Amount of Rental Property Sales Rental Property Assets By Type (Billions of yen) Office Buildings Logistics Centers Commercial Facilities Rental Condos Others Total

11 Investment and Operation Segment Income Statement Data Finance revenues 18,350 15,650 12,625 10,680 8,982 Gain on investment securities and dividends 9,732 9,309 10,270 12,961 7,630 Sales of goods and real estate 120, , , ,438 1,048,684 Services income 86, , , , ,526 Operating leases and other 2,139 9,399 9,395 10,185 10,491 Total Segment Revenues 236, ,120 1,028,355 1,271,973 1,402,313 Interest expense 4,077 3,609 3,539 4,870 5,632 Provision for doubtful receivables and probable loan losses Write-downs of long-lived assets and securities 4,402 1,297 (424) 6,760 (836) Other 200, , ,121 1,212,681 1,345,318 Total Segment Expenses 208, , ,236 1,224,311 1,350,114 Segment Operating Income 27,972 33,803 45,119 47,662 52,199 Equity in Net Income (Loss) of Affiliates and others 67,814 8,611 12,101 37,338 43,921 Segment Profits 95,786 42,414 57,220 85,000 96,120 Sales of goods and real estate Revenues from the investees in the principal investment business 60, , , , ,222 Others 59, , , , ,462 Total 120, , , ,438 1,048,684 Services income Revenues from environment and energy related business 28,566 58,663 86, , ,861 Revenues from real estate management and contract work 24, , , , ,101 Others 32,570 28,993 16,838 18,551 27,564 Total 86, , , , ,526 Segment Balance Sheet Data Investment in Direct Financing Leases 14,702 15,092 21,133 26,016 25,497 Installment Loans 118,848 93,196 75,996 56,435 48,131 Investment in Operating Leases 16,811 23,388 24,378 25,434 30,158 Investment in Securities 95, ,896 71,705 51,474 32,563 Property under Facility Operations 53,589 90, , , ,106 Inventories 81, ,549 98, , ,518 Advances for Investment in Operating Leases ,237 1,261 Investment in Affiliates 59,759 51, ,237 71, ,449 Advances for Property under Facility Operations 4,693 30,861 38,628 55,180 44,901 Goodwill and Other Intangible Assets Acquired in Business Combinations 106, , , , ,093 Total Segment Assets 552, , , , ,

12 X11A0T Retail Segment Income Statement Data Finance revenues 50,406 52,510 55,318 59,177 61,222 Life insurance premiums and related investment income 155, , , , ,974 Gain on investment securities and dividends and other 5,384 20,930 8,166 11,602 14,501 Total Segment Revenues : 211, , , , ,697 Interest expense 5,593 5,669 4,654 4,041 4,026 Provision for doubtful receivables and probable loan losses Write-downs of long-lived assets and securities 3,485 3,975 7,370 10,109 11,245 Other 156, , , , ,906 Total Segment Expenses : 165, , , , ,177 Segment Operating Income 45,952 83,901 50,961 72,852 74,520 Equity in Net Income of Affiliates and others 3,919 36, Segment Profits 49, ,616 51,756 72,865 74,527 Segment Balance Sheet Data Investment in Direct Financing Leases 4,679 2,740 1, Installment Loans 1,276,837 1,376,710 1,496,407 1,718,655 1,852,761 Investment in Operating Leases 76,873 50,587 52,359 46,243 44,319 Investment in Securities 776,091 2,246,912 1,893,631 1,509,180 1,260,291 Investment in Affiliates 10,971 3, Goodwill and Other Intangible Assets Acquired in Business Combinations 21,535 19,901 18,266 16,225 16,224 Total Segment Assets 2,166,986 3,700,635 3,462,772 3,291,631 3,174,505 Life Insurance Business (ORIX Life Insurance Corporation) Number of Insurance Policies in Force * 2,139 2,546 2,947 3,487 3,936 Number of New Insurance Policies in Force (accumulated) * Number of Insurance Policies in Force includes insurance contracts being held by Hartford Life Insurance K.K. from fiscal (Thousands)

13 X12A0T Overseas Business (1) Segment Income Statement Data Finance revenues 57,328 63,259 75,004 81,251 96,368 Gain on investment securities and dividends 15,813 30,466 16,113 13,334 17,513 Operating leases 76,591 82,113 91,973 88, ,367 Services income 228, , , , ,615 Sales of goods and real estate and other 33,598 64,528 92,833 59,133 13,557 Total Segment Revenues : 412, , , , ,420 Interest expense 28,087 29,989 33,356 36,535 49,477 Provision for doubtful receivables and probable loan losses Write-downs of long-lived assets and securities 13,132 19,921 16,226 18,215 8,149 Other 296, , , , ,141 Total Segment Expenses : 337, , , , ,767 Segment Operating Income 74,298 98,803 73,858 72,138 96,653 Equity in Net Income (Loss) of Affiliates and others (4,610) 5,340 69,021 40,174 9,949 Segment Profits 69, , , , ,602 Services Income Revenues from asset management and servicing 120, , , , ,592 Revenues from commissions for M&A advisory services etc. 58,892 78,342 22, Other 49,815 35,836 31,283 32,075 36,023 Total 228, , , , ,615 Equity in Net Income (Loss) of Affiliates and Others Adjusted Noncontrolling Interests and Redeemable Noncontrolling Interest, included in Equity in Net Income (Loss) of Affiliates and others (9,087) (23,096) (7,773) (2,296) (1,800)

14 Overseas Business (2) Segment Balance Sheet Data Investment in Direct Financing Leases Installment Loans Investment in Operating Leases Investment in Securities Property under Facility Operations and servicing assets Inventories Advances for Investment in Operating Leases Investment in Affiliates Advances for Property under Facility Operations Goodwill and Other Intangible Assets Acquired in Business Combinations Total Segment Assets , , , , , , , , , , , , , , , , , , , ,977 89,570 26,867 23,762 29,705 43,995 3,888 35,925 37,782 1,811 5,923 17,541 4,434 5,302 9,024 9, , , , , ,569 27, , , , , ,966 1,972,138 2,178,895 2,284,733 2,454,200 2,594,728 Assets by Region The Americas Asia and Australia (Other than Greater China) Greater China Middle East and Europe ORIX Europe * 518, , , , , , , , , , , , , , ,643 41,899 43,148 49,305 36,516 20, , , , , ,828 Aircraft and Ships 165, , , , ,703 Others 19,304 13,011 11,797 14,984 9,931 Total 1,972,138 2,178,895 2,284,733 2,454,200 2,594,728 * ORIX Europe has changed its name from Robeco Groep N.V. on January 1, 2018 Asset Management Business (ORIX Europe) Segment Income 21,499 36,374 35,494 35,847 44,516 End of Period AUM (Billions of euro) Net New Money (Billions of euro) (13.1) (2.1) NNM as % of BoP AUM 1.5% 2.1% 1.4% (5.0)% (0.7)% Institutional AUM (Billions of euro) Retail AUM (Billions of euro) Net Fee Revenues (Millions of euro) , , ,059.6 * Include figures before acquisition and provided as a reference except Segment Income

15 X14A0T Portfolio in Three Categories Segment Profits The 3 categories Sub Categories Finance Japan 41,737 43,258 50,358 55,956 73,383 Overseas 26,968 31,229 32,252 41,371 15,450 Subtotal 68,705 74,487 82,610 97,327 88,833 Operation Environment/Infrastructure 8, ,770 37,035 45,684 Financial Services 68, , ,757 99, ,957 (Hartford Life Insurance) - 47,595 (2,908) 4,289 3,561 Maintenance Services 37,062 40,366 42,935 39,787 40,162 Others ,352 5,623 6,409 Subtotal 114, , , , ,212 Investment Fixed Income 30,797 26,010 23,608 23,373 25,100 Tangible Assets 18,188 8,363 36,218 61,612 65,918 Equity 62,610 30,130 51,860 56,956 34,995 Subtotal 111,595 64, , , ,013 Total Segment Profits 295, , , , ,058 Segment Assets The 3 categories Sub Categories Finance Japan 2,549,861 2,729,669 2,775,906 2,905,289 2,969,782 Overseas 644, , , , ,415 Subtotal 3,194,722 3,531,479 3,644,209 3,806,583 3,947,197 Operation Environment/Infrastructure 285, , , , ,648 Financial Services 1,137,223 2,517,357 2,143,731 1,855,794 1,649,544 (Hartford Life Insurance) - 1,398, , , ,956 Maintenance Services 622, , , , ,201 Others - 105, , , ,727 Subtotal 2,044,508 3,619,194 3,431,354 3,216,916 3,177,120 Investment Fixed Income 428, , , , ,369 Tangible Assets 928, , , , ,621 Equity 671, , , , ,943 Subtotal 2,028,568 2,019,576 1,896,886 1,933,373 1,892,933 Total Segment Assets 7,267,798 9,170,249 8,972,449 8,956,872 9,017,250 The documents classify segment profits and segment assets into the three categories in terms of business risks

16 X15A0T Key Financial Information (1) Income Statement Data Finance revenues 191, , , , ,104 Gains on investment securities and dividends 27,181 56,395 35,786 30,328 43,302 Operating leases 330, , , , ,665 Life insurance premiums and related investment income 155, , , , ,590 Sales of goods and real estate 179, , ,010 1,015,249 1,079,052 Services income 490, , , , ,058 Total Revenues : 1,375,292 2,174,283 2,369,202 2,678,659 2,862,771 Interest expense 82,968 72,647 72,821 72,910 76,815 Costs of operating leases 216, , , , ,327 Life insurance costs 108, , , , ,070 Costs of goods and real estate sold 162, , , ,794 1,003,509 Services expense 260, , , , ,796 Other (income) and expense, net (21,001) 23,674 (3,729) (4,396) 429 Selling, general and administrative expenses 316, , , , ,594 Provision for doubtful receivables and probable loan losses 13,838 11,631 11,717 22,667 17,265 Write-downs of long-lived assets 23,421 34,887 13,448 9,134 5,525 Write-downs of securities 7,989 8,997 4,515 6,608 1,246 Total Expenses : 1,172,244 1,917,454 2,081,461 2,349,435 2,526,576 Operating Income 203, , , , ,195 Equity in Net Income of Affiliates 18,368 30,531 45,694 26,520 50,103 Gains on Sales of Subsidiaries and Affiliates and Liquidation Losses, net 64,923 20,575 57,867 63,419 49,203 Bargain Purchase Gain - 36,082-5,802 - Income before Income Taxes and Discontinued Operations 286, , , , ,501 Provision for Income Taxes 98,553 89, , , ,912 Income from Continuing Operations 187, , , , ,589 Discontinued operations, net of applicable tax effect 7, Net Income 195, , , , ,589 Net Income Attributable to Noncontrolling Interests 3,815 15,339 10,002 7,255 8,002 Net Income Attributable to Redeemable Noncontrolling Interests 4,108 4, Net Income Attributable to ORIX Corporation Shareholders 187, , , , ,135 * Income statement data have been changed from December 31, The amounts in the previous years have been retrospectively reclassified for this change. * As of March 31, 2015, we eliminated the accounting period gap that previously existed between DAIKYO and ORIX. The amounts in the previous years have been retrospectively reclassified for this change Yields on Assets Interest *1 Japan 117, , , , ,156 Overseas 57,776 56,502 64,692 69,555 80,955 Assets (Average Balance) *2 Japan 2,713,188 2,762,176 2,858,100 2,972,967 3,090,502 Overseas 720, , , , ,431 Yields on Assets Japan 4.3% 4.2% 4.2% 3.8% 3.7% Overseas 8.0% 7.3% 7.5% 7.9% 8.4% *1 Interest above is related to Direct Financing Leases and Installment Loans. *2 Assets above are related to Direct Financing Leases and Installment Loans. Reclassification of discontinued operation is not reflected on the Yields on Assets above

17 X16A0T Key Financial Information (2) Balance Sheet Data Investment in Direct Financing Leases 1,094,073 1,216,454 1,190,136 1,204,024 1,194,888 Installment Loans 2,315,555 2,478,054 2,592,233 2,815,706 2,823,769 Allowance for Doubtful Receivables on Direct Financing Leases and Probable Loan Losses (84,796) (72,326) (60,071) (59,227) (54,672) Investment in Operating Leases 1,379,741 1,296,220 1,349,199 1,313,164 1,344,926 Investment in Securities 1,214,452 2,846,257 2,344,792 2,026,512 1,729,455 Property under Facility Operations 295, , , , ,786 Investment in Affiliates 297, , , , ,363 Inventories 106, , , , ,001 Other Assets (Cash and Cash Equivalents etc.) * 2,445,273 2,853,488 2,578,996 2,890,683 3,250,466 Total Assets 9,063,517 11,439,874 10,992,918 11,231,895 11,425,982 Short-Term Debt, Long-Term Debt and Deposits * 5,363,968 5,701,356 5,685,014 5,753,059 5,890,720 Policy Liabilities and Policy Account Balances 454,436 2,073,650 1,668,636 1,564,758 1,511,246 Other Liabilities (Trade Notes, Accounts and Other Payable etc.) 1,095,571 1,279,896 1,158,982 1,259,905 1,217,722 Total Liabilities 6,913,975 9,054,902 8,512,632 8,577,722 8,619,688 Redeemable Noncontrolling Interests (RNCI) 53,177 66,901 7,467 6,548 7,420 ORIX Corporation Shareholders' Equity 1,919,346 2,152,198 2,310,431 2,507,698 2,682,424 Noncontrolling Interests (NCI) 177, , , , ,450 Total Equity 2,096,365 2,318,071 2,472,819 2,647,625 2,798,874 Total Liabilities, RNCI and Equity 9,063,517 11,439,874 10,992,918 11,231,895 11,425,982 * Balance sheet data have been changed from December 31, The amounts in the previous years have been retrospectively reclassified for this change. * As of March 31, 2015, we eliminated the accounting period gap that previously existed between DAIKYO and ORIX. The amounts in the previous years have been retrospectively reclassified for this change. * Prior-year amounts have been adjusted for the retrospective application of Accounting Standards Update ( Simplifying the Presentation of Debt Issuance Costs -ASC ( Interest-Imputation of Interest )) on April 1, Yen/Dollar Exchange Rate Average Rate Period End Rate Common Stock Authorized 2,590,000,000 2,590,000,000 2,590,000,000 2,590,000,000 2,590,000,000 Issued 1,322,777,628 1,323,644,528 1,324,058,828 1,324,107,328 1,324,495,728 Treasury Stock Shares * 13,333,334 12,847,757 12,848,591 19,394,191 42,843,413 * The Company's shares held through the Board Incentive Plan Trust (2,153,800 shares, 1,696,217 shares, 2,126,076 shares and 1,651,443 shares) are not included in number of treasury stock shares as of March 31, 2015, 2016, 2017 and

18 X17A0T Key Financial Information (3) Consolidated Statements Of Comprehensive Income Net Income 195, , , , ,589 Other comprehensive income (loss), net of tax Net change of unrealized gains (losses) on investment in securities 10,603 9,867 (3,121) (14,926) (22,834) Net change of defined benefit pension plans 3,570 (14,952) (4,123) 7,670 (2,962) Net change of foreign currency translation adjustments 36,928 37,155 (26,957) (5,968) (1,955) Net change of unrealized gains (losses) on derivative instruments 1,487 (561) (4,063) Total other comprehensive income (loss) 52,588 31,509 (38,264) (12,898) (26,972) Comprehensive Income 247, , , , ,617 Comprehensive Income Attributable to the Noncontrolling Interests 16,003 7,314 7,414 4,276 6,433 Comprehensive Income Attributable to the Redeemable Noncontrolling Interests 8,207 14,265 1, Comprehensive Income Attributable to ORIX Corporation 223, , , , ,

19 X18A0T Key Financial Information (4) Consolidated Statements of Changes In Equity Common Stock Beginning balance 194, , , , ,524 Exercise of stock options Conversion of convertible bond 25, Ending balance 219, , , , ,961 Additional Paid-in Capital Beginning balance 229, , , , ,138 Transaction with noncontrolling interests 239 (505) 1,918 10,516 (972) Exercise of stock options Conversion of convertible bond 24, Disposal of treasury stock - (697) (426) (409) (476) Other, net Ending balance 255, , , , ,291 Retained Earnings Beginning balance 1,305,044 1,468,172 1,672,585 1,864,241 2,077,474 Cash dividends (15,878) (30,117) (76,034) (61,299) (72,757) Net income 187, , , , ,135 Disposal of treasury stock - (174) (53) - - Acquisition of ORIX Europe *1 (5,471) Adjustment of redeemable noncontrolling interests to redemption value - - 7,557 1,293 (1,876) Reclassification of change in accounting standards * (692) Other, net (2,887) (244) 17 - (1) Ending balance 1,468,172 1,672,585 1,864,241 2,077,474 2,315,283 Accumulated Other Comprehensive Income (Loss) Beginning balance (36,263) 38 30,373 (6,222) (21,270) Transaction with noncontrolling interests (5,187) (1) Net change of unrealized gains (losses) on investment in securities 9,677 11,679 (3,145) (14,918) (22,746) Net change of defined benefit pension plans 3,357 (13,218) (4,436) 7,508 (2,984) Net change of foreign currency translation adjustments 21,810 32,284 (25,197) (2,725) (2) Net change of unrealized gains (losses) on derivative instruments 1,457 (506) (3,817) Reclassification of change in accounting standards * Ending balance 38 30,373 (6,222) (21,270) (45,566) Treasury Stock Beginning balance (48,824) (23,859) (26,411) (25,686) (37,168) Acquisition of treasury stock (19) (3,423) (2) (12,128) (39,110) Disposal of treasury stock Acquisition of ORIX Europe *1 24, Other, net Ending balance (23,859) (26,411) (25,686) (37,168) (75,545) Total ORIX Corporation Shareholders Equity Beginning balance 1,643,596 1,919,346 2,152,198 2,310,431 2,507,698 Increase, net 275, , , , ,726 Ending balance 1,919,346 2,152,198 2,310,431 2,507,698 2,682,424 *1 ORIX Europe has changed its name from Robeco Groep N.V. on January 1, 2018 *2 Reclassification of change in accounting standards represents the amounts reclassified for the early adoption of the Accounting Standards Update ( Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income -ASC220 ( Income Statement-Reporting Comprehensive Income ))

20 X19A0T Key Financial Information (5) Consolidated Statements of Cash Flows Cash Flows from Operating Activities: Net income 195, , , , ,589 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation and amortization 206, , , , ,923 Provision for doubtful receivables and probable loan losses 13,838 11,631 11,717 22,667 17,265 Equity in net income of affiliates (excluding interest on loans) (18,159) (30,267) (44,333) (24,549) (46,587) Gains on sales of subsidiaries and affiliates and liquidation losses, net (64,923) (20,575) (57,867) (63,419) (49,203) Bargain purchase gain - (36,082) - (5,802) - Gains on sales of available-for-sale securities (14,149) (32,077) (32,126) (30,701) (30,716) Gains on sales of operating lease assets (23,692) (34,425) (38,340) (69,265) (35,291) Write-downs of long-lived assets 23,421 34,887 13,448 9,134 5,525 Write-downs of securities 7,989 8,997 4,515 6,608 1,246 Decrease (Increase) in restricted cash 22,366 (1,922) 9, Decrease in trading securities 21, , , , ,367 Decrease (Increase) in inventories 25,581 (13,481) 20,935 (5,318) 10,609 Decrease (Increase) in trade notes, accounts and other receivable (17,572) (20,742) (8,224) 8,362 (13,984) Increase (Decrease) in trade notes, accounts and other payable 26,505 34,275 (41,004) (6,660) 17,831 Increase (Decrease) in policy liabilities and policy account balances 28,429 (506,043) (405,014) (103,878) (53,512) Other, net 45,115 (62,959) 100, ,209 (22,888) Net cash provided by operating activities 478, , , , ,624 Cash Flows from Investing Activities: Purchases of lease equipment (859,568) (907,484) (991,154) (894,300) (971,163) Principal payments received under direct financing leases 459, , , , ,870 Installment loans made to customers (1,035,564) (1,109,458) (1,101,807) (1,309,056) (1,396,724) Principal collected on installment loans 1,264, , ,057 1,063,339 1,184,298 Proceeds from sales of operating lease assets 251, , , , ,954 Investment in affiliates, net (45,084) (27,698) (70,569) (51,529) (110,547) Proceeds from sales of investment in affiliates 15,429 2,128 20,991 97,453 74,742 Purchases of available-for-sale securities (897,246) (982,415) (864,874) (466,314) (399,362) Proceeds from sales of available-for-sale securities 318, , , , ,270 Proceeds from redemption of available-for-sale securities 473, , , ,255 97,565 Purchases of held-to-maturity securities (8,519) (20,522) (538) (306) - Purchases of other securities (24,761) (27,489) (32,818) (22,737) (40,021) Proceeds from sales of other securities 26,501 67,982 48,594 31,829 43,959 Purchases of property under facility operations (48,195) (81,311) (91,492) (95,601) (80,095) Acquisitions of subsidiaries, net of cash acquired (94,586) (73,240) (47,324) (79,405) (66,418) Sales of subsidiaries, net of cash disposed - 47,800 39,437 55,530 57,205 Other, net (11,096) (4,076) (9,327) (26,586) (18,111) Net cash used in investing activities (215,314) (467,801) (552,529) (237,608) (411,578) Cash Flows from Financing Activities: Net increase (decrease) in debt with maturities of three months or less (106,783) 3,819 (4,707) ,900 Proceeds from debt with maturities longer than three months 1,211,797 1,337,870 1,376,125 1,319,523 1,488,259 Repayment of debt with maturities longer than three months (1,501,403) (1,178,401) (1,470,325) (1,456,366) (1,396,531) Net increase in deposits due to customers 127,610 80, , , ,318 Cash dividends paid to ORIX Corporation shareholders (15,878) (30,117) (76,034) (61,299) (72,757) Acquisition of treasury stock (19) (3,423) (2) (12,128) (39,110) Contribution from noncontrolling interests 11,089 7,919 6,117 5,599 4,740 Purchases of shares of subsidiaries from noncontrolling interests - - (4,764) (25,840) (11,299) Cash dividends paid to redeemable noncontrolling interests (1,224) (3,030) (11,272) - (1,040) Net increase (decrease) in call money (5,000) 6,000 36,500 (14,500) (18,000) Other, net 2,107 (8,129) (10,859) (5,359) (4,898) Net cash provided by (used in) financing activities (277,704) 213,432 (48,001) (33,459) 143,582 Effect of Exchange Rate Changes on Cash and Cash Equivalents 6,755 6,237 (7,130) (3,438) 2,743 Net Increase (decrease) in Cash and Cash Equivalents (8,257) 9,479 (97,098) 309, ,371 Cash and Cash Equivalents at Beginning of Year 826, , , ,420 1,039,870 Cash and Cash Equivalents at End of Year 818, , ,420 1,039,870 1,321,

21 X20A0T Information Regarding Major Assets (1) New Business Volumes Direct Financing Leases: New equipment acquisitions 560, , , , ,070 Japan 366, , , , ,953 Overseas 194, , , , ,117 Installment Loans: New loans added 1,034,726 1,110,054 1,102,279 1,309,488 1,397,467 Japan 813, , , , ,436 Overseas 221, , , , ,031 Operating Leases: New equipment acquisitions 326, , , , ,609 Japan 223, , , , ,832 (Real Estate in Japan) 49,664 48,688 37,809 44,452 39,195 Overseas 102, , , , ,777 Investment in Securities: New securities added 930,526 1,030, , , ,383 Japan 855, , , , ,406 Overseas 75, , , , ,977 Other Operating Transactions: New assets added 50, , , , ,371 Japan 41, , , , ,371 Overseas 8, ,296 6,000 Investment in Direct Financing Leases Transportation Equipment 386, , , , ,687 Industrial Equipment 199, , , , ,646 Electronics 151, , , , ,522 Information-Related and Office Equipment 95, , , , ,040 Commercial Services Equipment 70,781 67,805 54,090 54,389 53,065 Others 189, , , , ,928 Total 1,094,073 1,216,454 1,190,136 1,204,024 1,194,888 Installment Loans by Region and Loan Type Consumer Borrowers in Japan: 1,227,182 1,314,307 1,406,087 1,560,246 1,674,036 Housing Loans 973,439 1,048,216 1,122,088 1,261,571 1,375,380 Card Loans 228, , , , ,323 Others 24,875 22,866 23,466 28,668 34,333 Corporate Borrowers in Japan: 710, , , , ,477 Real Estate Companies 228, , , , ,076 Non-recourse Loans 72,625 41,535 19,951 12,758 18,318 Commercial, Industrial and Other Companies 409, , , , ,083 Overseas: 324, , , , ,323 VIEs 91,007 64,504 33,190 28,211 14,449 Other than VIEs 233, , , , ,874 Purchased Loans 53,341 42,292 30,524 24,795 18,933 Total 2,315,555 2,478,054 2,592,233 2,815,706 2,823,

22 X21A0T Information Regarding Major Assets (2) Investment in Operating Leases Transportation Equipment Measuring and Information-Related Equipment Real Estate Others Accrued Rental Receivables Total , , , , ,008 96,914 95,652 90,208 86,682 89, , , , , ,867 4,053 6,055 7,935 10,158 12,210 20,288 21,514 23,610 23,221 30,515 1,379,741 1,296,220 1,349,199 1,313,164 1,344,926 Asset Quality Investment in Direct Financing Leases 1,094,073 1,216,454 1,190,136 1,204,024 1,194, Days Past-Due Direct Financing Leases 13,887 15,373 12,556 11,600 12,084 Installment Loans 2,315,555 2,478,054 2,592,233 2,815,706 2,823, Days Past-Due Loans Not Individually Evaluated for Impairment 6,149 6,635 8,178 9,722 12,748 Loans Individually Evaluated for Impairment (a) 135, ,034 73,593 59,025 47,142 Amount expected to be fully collected through collateral and others (b) 25,049 18,404 14,601 6,524 7,817 Impaired Loans Requiring Valuation Allowance (a) - (b) 110,775 82,630 58,992 52,501 39,325 Amount expected to be collected through collateral and others (c) 61,620 48,251 36,459 32,433 24,981 Valuation Allowance (a) - (b) - (c) 49,155 34,379 22,533 20,068 14,344 Non-performing ratio * 4.6% 3.3% 2.5% 2.0% 1.8% * (90+ Days Past-Due Direct Financing Leases Days Past-Due Loans Not Individually Evaluated for Impairment + Loans Individually Evaluated for Impairment)/(Investment in Direct Financing Leases + Installment Loans)

23 X22A0T Information Regarding Major Assets (3) Allowance for Doubtful Receivables on DFL and Probable Loan Losses Beginning Balance Direct Financing Leases Loans Not Individually Evaluated for Impairment Loans Individually Evaluated for Impairment Provisions Charged to Income Direct Financing Leases Loans Not Individually Evaluated for Impairment Loans Individually Evaluated for Impairment Charge-offs, Net of Recoveries Direct Financing Leases Loans Not Individually Evaluated for Impairment Loans Individually Evaluated for Impairment Other * Direct Financing Leases Loans Not Individually Evaluated for Impairment Loans Individually Evaluated for Impairment Ending Balance Direct Financing Leases Loans Not Individually Evaluated for Impairment Loans Individually Evaluated for Impairment * Other mainly includes foreign currency translation adjustments and others ,264 84,796 72,326 60,071 59,227 15,830 15,384 15,204 13,380 10,537 23,283 20,257 22,743 24,158 28,622 65,151 49,155 34,379 22,533 20,068 13,838 11,631 11,717 22,667 17,265 3,651 3,145 2,787 1,372 2,241 2,348 8,228 10,299 20,416 13,526 7, (1,369) 879 1,498 (28,116) (25,793) (17,504) (21,822) (19,465) (4,351) (3,774) (4,062) (4,056) (2,701) (5,469) (6,673) (8,915) (14,258) (9,979) (18,296) (15,346) (4,527) (3,508) (6,785) (5,190) 1,692 (6,468) (1,689) (2,355) (549) (159) (1,694) (1,930) (5,539) 312 (5,950) 164 (437) 84,796 72,326 60,071 59,227 54,672 15,384 15,204 13,380 10,537 10,089 20,257 22,743 24,158 28,622 30,239 49,155 34,379 22,533 20,068 14,344 Provisioning Rate Allowance for Doubtful Receivables on DFL and Probable Loan Losses 13,838 11,631 11,717 22,667 17,265 Provisioning Rate * 0.40% 0.33% 0.32% 0.59% 0.43% * Provisions Charged to Income / (Average Investment in Direct Financing Leases + Average Installment Loans)

24 X23A0T Information Regarding Major Assets (4) Investment in Securities Trading Securities 16,079 1,190, , , ,053 Available-for-Sale Securities Government bond securities and municipal bond securities (Japan) 397, , , , ,265 Government bond securities and municipal bond securities (Overseas) 59,734 71,969 57,178 81,878 79,781 Corporate debt securities 201, , , , ,475 Equity securities 139, , ,345 93,034 53,598 CMBS and RMBS in the Americas 17,833 69,976 97,186 98,501 74,176 Others 66, ,250 61,691 65,804 82,182 Subtotal 881,493 1,356,840 1,347,890 1,165,417 1,015,477 Held-to-Maturity Securities 96, , , , ,891 Other Securities 220, , , , ,034 Total 1,214,452 2,846,257 2,344,792 2,026,512 1,729,455 Unrealized Gains (Losses) Trading Securities Available-for-Sale Securities Government bond securities and municipal bond securities (Japan) 1,421 10,311 34,863 11,821 4,166 Government bond securities and municipal bond securities (Overseas) 2,561 5,315 1,707 1,707 2,465 Corporate debt securities 2,046 3,754 7, (1,631) Equity securities 51,222 50,836 25,893 25,120 3,627 CMBS and RMBS in the Americas 388 2,927 (506) 2,801 1,383 Others 2, (4,810) 3,589 3,354 Subtotal 60,056 73,828 64,577 45,661 13,364 Held-to-Maturity Securities Other Securities 1,087 2,265 2,640 1, Total 61,143 76,093 67,217 47,532 14,113 Realized Gains (Losses) on Investment Securities * Trading Securities (3,208) 2, (65) 2,290 Available-for-Sale Securities Government bond securities and municipal bond securities (Japan) Government bond securities and municipal bond securities (Overseas) 50 2,289 2, ,555 Corporate debt securities (133) Equity securities 4,586 20,441 17,799 9,755 22,091 CMBS and RMBS in the Americas 2, ,563 Others 1,334 2, ,691 Subtotal 9,188 25,466 21,993 12,096 26,854 Held-to-Maturity Securities Other Securities 5,430 13,311 3,734 8,594 8,749 Total 11,410 41,620 26,619 20,625 37,893 * Realized gains (losses) consist of gains (losses) from sales of securities in addition to gains (losses) on trading securities held and valuation losses of available-for-sale securities and others. Reclassification of discontinued operations is not reflected on the Realized Gains (Losses) on Investment Securities above. The balance of investment in securities related to our life insurance operations are included in Investment in Securities. Income and losses on investment in securities related to our life insurance operations are recorded in Life insurance premiums and related investment income