Japan’s Mizuho increases third quarter profit by 8.2% due to strong loan business By Reuters
© Reuters. File photo: A pedestrian is reflected in the Mizuho Bank sign in Tokyo, Japan, January 25, 2017. Photo taken on January 25, 2017. REUTERS/Kim Kyung-hoon/File photo
TOKYO (Reuters) – Mizuho Financial Group Inc, Japan’s third-largest lender by assets, on Friday reported an 8.2% rise in quarterly net profit, driven by brisk loan demand from companies and easing loan loss provisions.
Mizuho recorded a profit of 226.57 billion yen ($1.54 billion) in the October-December period, compared with 20.93 billion in the same period last year, according to Reuters calculations based on nine months of cumulative figures published on the stock exchange. This is a higher figure compared to 100 million yen.
The bank maintained its full-year profit forecast for the year through March at 640 billion yen, compared with the 646.67 billion yen average estimate of 11 analysts compiled by LSEG.
Mizuho joins major domestic rivals Mitsui Sumitomo Financial Group (NYSE:) reported solid third-quarter profit, driven by a strong lending business as Japanese companies began investing in growth opportunities.
Mitsubishi UFJ (NYSE:) Financial Group, Japan’s largest lender, is scheduled to report quarterly results on Monday.
The Japanese bank’s exposure to the U.S. commercial real estate market has come under scrutiny after midsize lender Aozora Bank posted its first annual net loss in 15 years due to large loan loss provisions, but analysts say Aozora’s problems are largely unique.
($1 = 146.7100 yen)
