Thin Equity RatioA low equity ratio indicates a thin capital cushion relative to assets, increasing vulnerability to credit losses or market shocks. Over the medium term this can constrain risk-taking and force capital-raising or dividend cuts if asset quality or macro conditions deteriorate.
Cash-flow VolatilityHistoric swings in operating cash flow undermine predictability of funding for dividends, loan growth and provisioning. Although 2025 shows improvement, persistent volatility raises execution risk for strategic plans and can force reactive balance-sheet moves in stress periods.
Regional Concentration RiskHeavy exposure to the Okinawa economy and local demographics concentrates credit and deposit risk. Structural regional slowdowns or adverse demographic shifts can depress loan demand, increase nonperforming loans, and limit scale advantages versus national peers over the medium term.