Tokio Marine Holdings posted net income of ¥55.1 billion for the quarter, which is 38.0% of the ¥145.0 billion projected for the full term of FY2011.
The most significant contributor was the increase in earnings of Tokio Marine & Nichido. The earnings results of Tokio Marine & Nichido for the quarter under review appears to be favorable for the following reasons:
- Early recognition of a gain on reversal of catastrophe loss reserve corresponding to the claims paid in relation to the Great East Japan Earthquake
- The balance of catastrophe loss reserve for auto insurance has declined significantly, which is expected to require us to recognize additional provisions in 3Q and thereafter. However, this effect was not materialized in 1Q
- Natural disasters are expected to be recognized in 2Q and thereafter
- Much of interest and dividend income tends to be recognized in 1Q
Considering the above factors, we have no plan to revise the consolidated business projections for the full-term FY2011 at the present.