5 major banking groups’ April-Sept. profits fall 30%
17:27 JST, November 15, 2022
TOKYO (Jiji Press) — The combined consolidated net profits of five major Japanese banking groups in April-September fell 29.6% from a year before to ¥1,277.1 billion, marking the first drop in two years, according to earnings reports they released by Monday.
Three of the five groups — Mitsubishi UFJ Financial Group Inc., Mizuho Financial Group Inc. and Sumitomo Mitsui Trust Holdings Inc. — suffered profit falls in the first half of fiscal 2022.
Mitsubishi UFJ logged a 70% plunge as appraisal losses on bonds held by a U.S. subsidiary it decided to sell last year pushed down its net profit by about ¥560 billion.
Mizuho saw its net profit drop by 13.4% after year-before growth related to share buybacks by a subsidiary.
The two other groups — Sumitomo Mitsui Financial Group Inc. and Resona Holdings Inc. — enjoyed net profit growth.
Meanwhile, the five groups’ combined profits from core banking operations rose 25.8% to ¥1,532.9 billion.
Mitsubishi UFJ, Mizuho and Sumitomo Mitsui Financial each posted core business profit growth, reflecting brisk demand for funds in Japan and abroad and greater loan margins amid higher interest rates in the United States.
Due to higher U.S. rates, the three megabank groups logged larger appraisal losses on foreign bond holdings. The losses totaled about ¥3.6 trillion at the end of September, up from about ¥2.5 trillion three months earlier.
"Business" POPULAR ARTICLE
-
Prices of over 10,000 Food and Beverage Items to Rise This Year; Figure is down from over 30,000 Last Year
-
Sony Group to End Production of Blu-ray Discs; Market Has Shrunk Due To Growth Of Hard Disk Drives, Streaming
-
AI-Equipped Energy Efficient Air Conditioners Grow In Popularity; Some Can Guess Users’ Moods, Automatically Adjust Temperature
-
Toyota to Introduce 4-Day Workweek for Some Employees; Company Hopes More Flexible Schedules Will Boost Worker Motivation
-
Japan Fair Trade Commission to Strengthen Monitoring;3rd Party to Report on Companies Ordered to Improve
JN ACCESS RANKING
- Prices of over 10,000 Food and Beverage Items to Rise This Year; Figure is down from over 30,000 Last Year
- Sony Group to End Production of Blu-ray Discs; Market Has Shrunk Due To Growth Of Hard Disk Drives, Streaming
- Japan Ministry Concerned Over Same-Sex Couple Receiving City-Issued Resident Certificates Referring to ‘Common-Law Husband’
- Japan Court OKs Sex Change without Surgery
- Pacific Islands Leaders Not Totally in Tune on China Approach as Meeting Ends in Tokyo; Positions Differ on Treated Water, Joint Drills