Rakuten Bank, Ltd. (5838) Stock Price

Rakuten Bank is an internet bank in which Rakuten Group Inc. holds a 49.26% stake. It provides a diverse range of banking services to individuals and corporations in Japan, and primarily to individuals in Taiwan. Rakuten Bank aims to deliver convenient, internet-based services that meet customer needs.

Rakuten Bank Group consists of 23 consolidated subsidiaries, including Rakuten Trust Co., Ltd., and 4 non-consolidated subsidiaries. Rakuten Trust conducts trust operations and manages deposits of cash and real estate. The group has also established a special purpose company that issues asset-backed commercial paper using receivables from Rakuten Card Co., Ltd. as trust beneficial interests.

Rakuten Bank outsources banking agency services to Rakuten Card Co., Ltd., Rakuten Securities Co., Ltd., Rakuten Life Insurance Co., Ltd., and Rakuten General Insurance Co., Ltd. It also undertakes financial product intermediary services from Rakuten Securities and insurance agency services from Rakuten Life Insurance and Rakuten General Insurance. This approach leverages synergies within the Rakuten Group.

Rakuten Bank uses the internet to provide convenient services to individuals and corporations, aiming to become "the most reliable, secure, and convenient bank." For individuals, it promotes account usage for everyday banking needs. For corporations, it offers technology-driven banking services.

Leveraging internet banking convenience, Rakuten Bank has increased its account numbers and deposit volumes. As of March 31, 2025, the bank holds 16.83 million accounts with deposits totaling 11.4 trillion yen, maintaining the largest customer base in Japan's internet banking industry.

Rakuten Bank operates with low costs by having no physical branches and delivering banking services entirely online. It expands its customer base by leveraging synergies with the Rakuten ecosystem and offers customer benefit programs utilizing Rakuten Points.

Rakuten Bank is diversifying its asset portfolio through personal loans and securitization expertise. For corporate clients, it provides solutions tailored to fund settlement, asset management, and borrowing needs, with the goal of expanding corporate lending.

Rakuten Bank has built in-house system development, operations, and maintenance capabilities to enhance system cost competitiveness. It leverages the Rakuten Group's AI expertise to deliver services aligned with customer needs.

Rakuten Bank aims to become "the most reliable, secure, and convenient bank" as its growth strategy, offering highly convenient services leveraging the internet. For individual customers, the bank promotes usage as a primary household account, while for corporate customers, it provides technology-enabled banking services to meet diverse customer needs.

As a member of the Rakuten Group, the company maximizes synergies within the group to expand its customer base. By leveraging the Rakuten ecosystem, it acquires new customers at low cost and increases transaction opportunities, accelerating business growth.

Under its medium-term management plan, the bank targets 16.83 million accounts and 11.4 trillion yen in deposits by the end of March 2025. It aims to strengthen its revenue foundation by increasing lending interest income and fee revenue through expansion of individual and corporate customers.

Rakuten Bank captures growth in the FinTech sector by deepening collaboration with Rakuten Payment Inc., promoting primary account status for individual customers and acquiring corporate accounts. This aims to further activate the customer base and expand growth opportunities.

The company prioritizes ensuring system capacity and security. To accommodate customer growth, it plans systematic system expansion and aims to provide industry-leading security standards. This commitment ensures the bank continues delivering reliable and secure services to customers.