Nishi-Nippon Financial Holdings

Basic Information

Stock Code
7189
Industry
Banking
Category Detail
Banks
Prefecture
Fukuoka Prefecture
Establishment Year
October 2016
Listing Year
October 2016
Official Website
https://www.nnfh.co.jp/
TSE Information
TSE Information
Yahoo! Finance
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Other Companies
Iyo Bank Holdings, Shizuoka Financial Group, Kyoto Financial Group, Mebuki Financial Group, Kyushu FG, Concordia Financial Group, Hirogin Holdings, Chiba Bank, Gunma Bank, Fukuoka FG, Hachijuni Bank, Yamaguchi FG

Overview

Nishi-Nippon Financial Holdings is a financial holding company established in 2016, centered in the Kyushu region, with Nishi-Nippon City Bank as its core, developing a wide range of financial businesses.

Current Situation

Nishi-Nippon Financial Holdings maintains total consolidated assets of 13.1279 trillion yen and net assets of 522.1 billion yen as of the fiscal year ended March 2022, possessing a stable financial base. Centered on its main bank, Nishi-Nippon City Bank, Nagasaki Bank, and Nishi-Nippon Credit Guarantee, it provides financial services closely tied to the regional economy in the Kyushu and Yamaguchi areas. Through subsidiaries including securities and card-related businesses, it advances multifaceted financial services, responding to the needs of regional SMEs and individual customers. Since 2020, it has focused on strengthening its management base through head office building redevelopment, aiming to improve the convenience of regional finance. Competitors include local major financial groups such as Fukuoka Financial Group and Yamaguchi Financial Group, but it leverages regional closeness strategies and broad subsidiary deployments as strengths. Moving forward, it will promote the introduction of new technologies and initiatives for regional economic revitalization, aiming in the medium to long term for digital shifts and the construction of sustainable business models.

Trivia

Interesting Facts

  • Established in 2016, young but inherits the tradition of Nishi-Nippon City Bank.
  • Group logo adopts sun and wings design symbolizing future and growth.
  • One of the early companies in Kyushu regional bank groups to become a holding company.
  • Head office in Hakata-ku, Fukuoka City, functionally renewed through redevelopment.
  • Owns diverse financial service subsidiaries including cards, securities, and credit guarantees.
  • Focuses on corporate governance enhancement as audit and supervisory committee company.
  • Forms stable financial base through solid management despite regional limitations.
  • Nishi-Nippon City Bank was formed by merger of former Nishi-Nippon Bank and Fukuoka City Bank.
  • Transitioned to holding company system with approval from Financial Services Agency.
  • Achieved Tokyo Stock Exchange Prime listing, working on liquidity.
  • Strength in lending to regional SMEs.
  • Emphasizes financial product sales via subsidiaries.
  • Group's regional closeness differentiates from competitors.
  • Actively involved in regional traditional events and economic activities.
  • Regularly holds regional financial education and economic seminars.

Hidden Connections

  • Subsidiary NCB Research & Consulting provides regional economic reports and has strong ties with administration.
  • Close collaboration on IT infrastructure with equity-method affiliate NTT Data NCB.
  • Kyushu Card holds high share in payment services for regional SMEs.
  • History of former Nishi-Nippon Bank forms the basis of group creditworthiness.
  • Strengthened startup support and lending guarantees through cooperation with chambers of commerce.
  • Nishi-Nippon City TT Securities focuses on private banking for local wealthy individuals.
  • Participating in redevelopment projects through strengthened regional collaboration accompanying head office relocation.
  • In competitive and cooperative relationship with neighboring Fukuoka Financial Group.

Future Outlook

Growth Drivers

  • Stable regional economic development and population maintenance
  • Shift to digital financial services
  • Expansion and diversification of SME lending
  • Increasing demand for ESG-related financial products
  • Customer base expansion through strengthened regional collaboration
  • Economic revitalization via regional tourism industry support
  • Operational efficiency via financial DX advancement
  • Response to diversifying financial needs of regional residents
  • Development of environment and social issue response products
  • Active financial education initiatives

Strategic Goals

  • Establishment of comprehensive financial group rooted in regional economy
  • Completion of digital transformation
  • Company-wide realization of sustainability management
  • Expansion of SME support and regional industry revitalization
  • Maximization of financial service convenience for regional residents
  • Strengthening new business creation and venture support
  • Achievement of over 30% ESG investment product ratio
  • Realization of IT-ized sales bases and efficient operations
  • Contribution to social issue resolution through regional collaboration
  • Promotion of employee diversity and capability development

Business Segments

Corporate Lending

Overview
Provides diverse lending services to local companies, supporting smooth equipment investment and working capital.
Competitiveness
Regional closeness creditworthiness and flexible responsiveness
Customers
  • SMEs
  • Regional large corporations
  • Venture companies
  • Agriculture, forestry, and fisheries operators
  • Chamber of Commerce member companies
  • Public entities
  • Service providers
  • Manufacturers
  • Wholesalers
  • Retailers
  • Construction companies
  • Accommodation businesses
Products
  • Working capital loans
  • Equipment investment financing
  • Real estate financing
  • Project finance
  • Guaranteed financing
  • Lease finance
  • Bill discounting
  • Consulting services
  • Cash flow improvement support
  • Letters of credit
  • Factoring
  • Lending guarantees
  • Financial advice
  • Risk management
  • Credit investigations

Financial Guarantee Services

Overview
Implements guarantee operations for SME lending, achieving smooth funding.
Competitiveness
Strong ties with regional finance and credit guarantee system
Customers
  • SMEs
  • Financial institutions
  • Venture companies
  • Local governments
  • Credit unions
  • Cooperatives
  • Business operators
  • Leasing companies
  • Commercial organizations
  • General corporations
Products
  • Lending guarantees
  • Credit guarantees
  • Re-guarantees
  • Credit investigations
  • Credit risk assessment
  • Debt fulfillment guarantees
  • Guarantee debt management
  • Credit screening support
  • Guarantee contract management
  • Financial risk analysis

Securities Brokerage Services

Overview
Provides diverse securities product brokerage and asset management services, supporting customer asset maximization.
Competitiveness
Regionally close customer base and specialized financial knowledge
Customers
  • Individual investors
  • SMEs
  • Corporate investors
  • Asset management companies
  • Fund managers
  • Pension funds
  • Real estate investors
  • Insurance companies
  • Trust banks
Products
  • Stock trading brokerage
  • Investment trust sales
  • Bond trading
  • IPO underwriting
  • Market research reports
  • Investment consulting
  • Asset management
  • Securities account management
  • Asset management advice
  • Market information provision

Card Services

Overview
Contributes to regional economic consumption activation through credit card issuance and usage promotion.
Competitiveness
Regionally close service network and flexible customer response
Customers
  • General consumers
  • Corporate customers
  • Merchant stores
  • SMEs
  • Large retail stores
  • Restaurants
  • Accommodations
  • Transportation operators
  • Educational institutions
  • Public facilities
Products
  • Credit card issuance
  • Merchant settlement services
  • Points programs
  • Electronic money services
  • Card loans
  • Revolving payment services
  • Member benefits
  • Fraud detection systems
  • Card issuance management
  • Customer support

Debt Collection Services

Overview
Provides comprehensive support for debt collection and management, contributing to corporate cash flow improvement.
Competitiveness
Specialized legal knowledge and regional network
Customers
  • Corporate companies
  • Financial institutions
  • SMEs
  • Service industries
  • Manufacturing
  • Sales businesses
  • Real estate related companies
  • Leasing companies
  • Lenders
Products
  • Debt collection agency
  • Bad debt compensation
  • Legal procedure support
  • Debt management consulting
  • Debt reorganization support
  • Debt purchase services
  • Risk analysis
  • Rehabilitation plan support

Research and Consulting Services

Overview
Supports regional economic revitalization through management challenge resolution and market analysis.
Competitiveness
Rich regionally close database and expertise
Customers
  • Regional companies
  • Government agencies
  • Investors
  • Financial institutions
  • Academic institutions
  • Commercial organizations
  • Manufacturing
  • Services
Products
  • Market research
  • Management strategy formulation
  • Risk assessment
  • Business rehabilitation support
  • Financial analysis
  • Policy analysis
  • Customer trend analysis
  • Economic forecasting
  • Funding support

Venture Capital

Overview
Promotes regional economic innovation through investment and nurturing of emerging businesses.
Competitiveness
Support system via regional network
Customers
  • Startup companies
  • Venture companies
  • Technology development companies
  • IT companies
  • Biotech companies
Products
  • Funding provision
  • Management support
  • Business collaboration
  • Growth support
  • Networking

Payment Processing Services

Overview
Supports corporate cashless transition by providing diverse payment methods.
Competitiveness
Customized regional response
Customers
  • Retail
  • Restaurants
  • E-commerce operators
  • Services
  • Financial institutions
Products
  • Credit card payments
  • QR code payments
  • Electronic money compatibility
  • Direct debit services
  • Billing agency

IT Services and Digital Banking

Overview
Provides and supports financial services utilizing digital technology.
Competitiveness
Development system linked with IT subsidiaries rich in know-how
Customers
  • Corporate customers
  • Individual customers
  • Financial institutions
  • SMEs
Products
  • Internet banking systems
  • Mobile banking apps
  • Security systems
  • System operation and maintenance
  • Data analysis services

Asset Management Services

Overview
Achieves optimization of customer asset management and operations.
Competitiveness
Regionally close and highly reliable service provision
Customers
  • High-net-worth individuals
  • Corporate customers
  • Individual investors
  • Trust banks
Products
  • Asset formation advice
  • Trust operations
  • Inheritance handling
  • Tax consulting
  • Portfolio management

Education and Training Services

Overview
Provides human resource development services supporting regional and corporate growth.
Competitiveness
Financial industry specialized education know-how
Customers
  • Companies
  • Local governments
  • Financial institutions
  • School corporations
  • General workers
Products
  • Financial literacy training
  • Employee training
  • Regional revitalization seminars
  • Seminars for executives
  • Youth development programs

Competitive Advantage

Strengths

  • Strong regionally close customer base
  • Comprehensive financial services via diverse subsidiaries
  • Stable financial base and asset scale
  • Brand power centered on Fukuoka Prefecture
  • Deep understanding and trust in regional economy
  • Diverse sales channels and service network
  • Attentive response to corporate and individual customers
  • Flexible and prompt management decision-making
  • Governance enhancement through audit and supervisory committee
  • Active investment in new businesses and regional development
  • Abundant human resources and know-how
  • Synergy effects among subsidiaries
  • Expertise in regional banking operations
  • Management rooted in regional social contributions
  • Creditworthiness from Tokyo Stock Exchange Prime listing

Competitive Advantages

  • Regional dominance as one of Kyushu's largest financial holding companies
  • Establishment of comprehensive financial system with Nishi-Nippon City Bank at core
  • Strengthened collaboration of group services including securities and card companies
  • Fine-tuned lending and guarantee services close to local companies
  • High customer loyalty as regional financial institution
  • Robust asset management and risk management system
  • Operational efficiency and brand improvement via head office redevelopment
  • Management efficiency improvement through holding company system
  • Strength of diversified business portfolio
  • Stability from parent company's capital and credit
  • Strong trust relationships with regional SMEs
  • Active participation in environmental businesses and regional revitalization
  • Customer convenience improvement via IT solutions
  • Preparation and provision of diverse funding methods
  • Promotion of alliances and information sharing among financial institutions

Threats

  • Prolonged domestic low-interest environment leading to margin compression
  • Risk of regional economic population decline and market shrinkage
  • Intense customer acquisition competition with rival financial groups
  • Cybersecurity threats accompanying digitalization
  • Business constraints from strengthened Japanese financial regulations
  • Competitive pressure from new fintech entrants
  • Increased credit costs from rising credit risk
  • Regional economic instability from natural disasters
  • Financial market fluctuations from COVID-19 and similar epidemics
  • Market structure changes from overseas capital alliance promotion
  • Delay in responding to diversifying customer financial needs
  • Employee skill shortages accompanying economic digitalization

Innovations

2023: Head office building redevelopment completed

Overview
Completed redevelopment of head office building in Fukuoka City, achieving operational efficiency and customer service improvement.
Impact
Operational cost reduction through centralization and improved customer satisfaction

2022: Digital banking platform enhancement

Overview
Advanced smartphone app functionality enhancement and online transaction convenience improvement.
Impact
30% increase in users, successful acquisition of younger customers

2021: Regional economic revitalization support program launched

Overview
Established regional collaboration program for SME financial support and management consulting.
Impact
Supported smooth funding for regional companies and job creation

2024: Launch of environmentally considerate financial products

Overview
Commercialized green loans and investment trusts addressing environmental and social issues.
Impact
Contributed to expansion of ESG investor customer base

2020: Cloud migration of IT infrastructure

Overview
Advanced system cloudification, building flexible and secure operational base.
Impact
Improved system uptime, 10% operational cost reduction

2023: Launch of regional co-creation AI utilization business

Overview
Implemented AI for faster lending screening and enhanced risk assessment.
Impact
30% reduction in screening time, successful credit risk reduction

2021: Online securities trading service renewal

Overview
Completely revamped Nishi-Nippon City TT Securities trading platform for improved usability.
Impact
20% increase in trading volume, improved customer satisfaction

2022: Advancement of regional financial DX

Overview
Collaborated with local governments to expand smart city-related financial services.
Impact
Strengthened regional collaboration, contributing to new customer acquisition

2023: Diversification of payment processing services

Overview
Promoted introduction of QR codes and electronic money payments for expanded convenience.
Impact
15% increase in merchant stores, increased payment handling volume

2020: Group strengthening through new company establishment

Overview
Established specialized VC company for startup support, expanding investment areas.
Impact
Promoted new business creation and entry into growth areas

Sustainability

  • Expansion of environmentally considerate financial products
  • Ongoing community contribution activities
  • Relocation of head office to green building
  • Promotion of women's active roles and diversity respect in internal systems
  • Energy-saving systems and paperless promotion
  • Building regional disaster support systems
  • Active promotion of ESG information disclosure
  • Deployment of regional financial education programs
  • Responsible funding as financial institution
  • Environmental considerations in supply chain