Tottori Bank

Basic Information

Stock Code
8383
Industry
Banking
Category Detail
Banks
Prefecture
Tottori Prefecture
Establishment Year
October 1949
Listing Year
December 1996
Official Website
https://www.tottoribank.co.jp/
TSE Information
TSE Information
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Overview

Tottori Bank is a community-oriented regional bank established in 1949, supporting local finance in Tottori Prefecture through prudent management centered in the prefecture.

Current Situation

Tottori Bank recorded standalone net profit of 868 million yen and consolidated net profit of 891 million yen for the fiscal year ended March 2022, maintaining a stable financial base. As the only regional bank in Tottori Prefecture, it deploys community-focused sales operations and maintains a solid customer base centered in the eastern part of the prefecture. It solidly supports the regional economy with outstanding loans of 1.042 trillion yen and deposits of 870.6 billion yen. In recent years, it has expanded ATM partnerships and pursued efficiency through shared IT systems, working to improve convenience via affiliations with Lawson ATMs and Seven Bank. It maintains a deep relationship with Mitsubishi UFJ Bank, building cooperative ties in finance and capital aspects. Maintaining a community focus without branches in urban areas, it aims to pursue prudent management leveraging its strengths in regional finance. It strengthens collaboration with the local community through environmental financing agreements and investments in local urban development companies, aiming for sustainable growth. As Tottori Prefecture's designated financial institution, it also handles public funds, contributing to regional economic stability.

Trivia

Interesting Facts

  • It is the only regional bank headquartered in Tottori Prefecture.
  • One of the regional banks with close ties to Mitsubishi UFJ Bank.
  • Continues prudent management centered in eastern Tottori Prefecture.
  • Holds naming rights for regional sports and cultural facilities.
  • Established in 1949 through acquisition of operations from Tottori Shinkin Bank.
  • Unusual regional expansion history including Osaka branch opening and branch transfers from San-in Godo Bank.
  • The only regional bank in Chugoku-Shikoku region without branches in Kobe City or Tokyo.
  • Designated as financial institution by 7 municipalities in the prefecture.
  • Improving convenience through operation of internet-only branches.
  • Actively promoting IT system integration to ensure stability in regional finance.
  • Tottori Bank Tottori Branch originated from name change after acquiring former Sanwa Bank premises.
  • Improving management efficiency by dissolving equity-method affiliates.
  • Partnerships with Lawson ATMs, Seven Bank ATMs, and AEON Bank ATMs.
  • Regional financial heavyweight with outstanding loans of 1.042 trillion yen and deposits of 870.6 billion yen.
  • Operates as a mid-sized regional bank with 643 standalone employees.

Hidden Connections

  • Mitsubishi UFJ Bank acts as major shareholder and business partner supporting stable management.
  • Built strong public financial relationships with local governments and medical institutions.
  • Unlike broad-area regional banks, restrains urban expansion to specialize in community focus.
  • Capital participation in Yat head Town's urban development company to revitalize regional industries.
  • Built ATM/CD service partnerships with San-in Godo Bank and Shimane Bank.
  • Strengthened IT collaboration among regional banks through participation in NTT Data Regional Bank Shared Center.
  • Developed products for regional customers' life events such as home, education, and auto loans.
  • Serves as designated agency financial institution for the region, with public finance as core.

Future Outlook

Growth Drivers

  • Expansion of financial demand accompanying steady growth in Tottori Prefecture and regional economy.
  • Cost efficiency and customer service enhancement through shared IT systems.
  • Strengthening of capital and service framework through deepened alliance with Mitsubishi UFJ Bank.
  • New customer acquisition through digital channel expansion.
  • Response to growing market for environmental financing and ESG-related financial products.
  • New revenue sources from DX and growth support for regional SMEs.
  • Customer convenience improvement and usage expansion through strengthened ATM partnerships.
  • Brand value enhancement through strengthened regional community ties.
  • New product development for account maintenance and expansion.
  • Stable revenue securing through strengthened ties with government and public institutions.

Strategic Goals

  • Complete digitalization of all corporate operations through DX promotion.
  • Customer base expansion through differentiated regional financial services.
  • Focus on sustainable growth support for regional companies to expand loan balances.
  • Expansion of environment and social issue-responsive financial products.
  • Further IT infrastructure efficiency and security enhancement.
  • Community collaboration contributing to sustainable regional society building.
  • Establishment of uniqueness and community-close brand as regional bank.
  • Strengthening of non-face-to-face channels centered on digital internet branches.
  • Product expansion responding to diverse customer needs including seniors.
  • ATM partnership network expansion and service sophistication.

Business Segments

SME Financial Support

Overview
Provides diverse financial services to support the growth and management of local SMEs.
Competitiveness
Fine-tuned financing tailored to the region
Customers
  • Local SMEs
  • Venture Companies
  • Agriculture, Forestry, and Fisheries Businesses
  • Local Chambers of Commerce
  • Manufacturing
  • Services
  • Wholesale
  • Retail
  • Construction
  • Medical and Welfare Facilities
Products
  • Business Capital Financing
  • Equipment Investment Loans
  • Working Capital Financing
  • Financing Guaranteed by Credit Guarantee Corporations
  • Factoring Services
  • Leasing Services
  • FX Trading Services
  • Business Consulting
  • Cash Flow Consulting
  • Business Cards

Public and Local Government Financial Services

Overview
Handles financial services for local governments and public entities.
Competitiveness
Extensive track record with governments and reliability in handling public funds
Customers
  • Tottori Prefecture
  • Tottori City
  • Iwami Town
  • Wakasa Town
  • Chizu Town
  • Yat head Town
  • Hokuei Town
  • Daisen Town
  • National Hospital Organization
  • Local Governments
Products
  • Designated Agency Financial Institution Services
  • Public Bond Handling
  • Tax Collection Agency
  • Transfer Agency Services
  • Fund Management Services
  • Public Project Financing

Asset Management and Investment Trusts

Overview
Provides investment services aimed at growing customer assets.
Competitiveness
Community-oriented consulting and broad product offerings
Customers
  • Individual Investors
  • Corporate Clients
  • Retirement Fund Managers
  • Pension Funds
  • Trust Beneficiaries
Products
  • Investment Trusts
  • Foreign Currency Deposits
  • Bonds
  • Stocks
  • Insurance Agency Services

Card Payments and Credit Services

Overview
Enhances customer convenience through payment services and credit provision.
Competitiveness
High customer satisfaction from community focus
Customers
  • Individual Customers
  • Corporate Customers
  • Merchant Affiliates
  • Retailers
  • Service Providers
Products
  • Credit Card Issuance
  • Debit Cards
  • ATM Services
  • Card Loans
  • Guarantee Services

Leasing and Finance Business

Overview
Offers diverse leasing products to support customer equipment investments.
Competitiveness
Flexible response to regional needs
Customers
  • Manufacturing
  • Construction
  • Transportation
  • Retail
  • Medical Institutions
  • Educational Institutions
Products
  • Equipment Leasing
  • Vehicle Leasing
  • Office Equipment Leasing
  • Finance Leasing

Competitive Advantage

Strengths

  • Community-oriented prudent management structure
  • Strong brand as Tottori Prefecture's only regional bank
  • Extensive transaction history with governments and public entities
  • Capital and business alliance with Mitsubishi UFJ Bank
  • Improved convenience through diverse ATM partnerships
  • Deep credit relationships accumulated with local companies
  • Strong ties between staff and local community
  • Stable net assets and total asset scale
  • Improved ICT system operation efficiency
  • Deployment of financial products tailored to customer needs

Competitive Advantages

  • Competitive edge supported by strong trust base among local customers
  • Stable revenue from extensive experience in public funds and government finance
  • Differentiation from other banks through community-close financial services
  • Support system in capital and services through alliance with major banks
  • Management efficiency and service expansion via IT investments
  • Strengthened regional specialization strategy by avoiding multi-region expansion
  • Brand enhancement through active support for local culture and sports
  • High customer convenience from multiple ATM partnerships
  • Financing expertise specialized in local business support
  • Comprehensive financial products and responsive customer service

Threats

  • Risk of shrinking customer base due to population decline in local economy
  • Profit pressure from prolonged low-interest environment
  • Intensifying competition with urban banks
  • Burden of responding to rapid advances in digital financial services
  • Increased lending risks from decline in regional industries
  • Strengthened regulations and compliance risks
  • Impact of natural disasters on regional economy
  • Decline in customer asset formation due to aging population and low birthrate
  • Asset management risks from financial market fluctuations
  • Threats from personal data protection and cybersecurity

Innovations

2023: Strengthened ATM Partnerships Alongside Internet Branch

Overview
Launched Tottori Sand Dunes Daisen Internet Branch and expanded partnerships with Lawson ATMs and Seven Bank ATMs.
Impact
Significantly improved convenience for customers inside and outside the region, contributing to transaction growth.

2022: Migration to NTT Data Regional Bank Shared Center

Overview
Migrated core banking system to NTT Data Regional Bank Shared Center, improving IT operation efficiency.
Impact
Achieved reduction in system operation costs and improved reliability.

2021: Signed Business Cooperation Agreement on Environmental Financing

Overview
Signed business cooperation agreement with Mitsubishi UFJ Bank on environmental financing, strengthening ESG response.
Impact
Promotes increased financing for environmentally considerate projects.

2024: Launched Regional DX Promotion Project

Overview
Started new project to support digital transformation for regional SMEs.
Impact
Aims to revitalize regional economy and strengthen customer base.

Sustainability

  • Support for regional environmental conservation through environmental financing agreements
  • Utilization of capital participation in local urban development companies
  • Support for regional financial stability as designated agency financial institution
  • Resource reduction through paperless initiatives
  • Fulfillment of social responsibility through regional event support