5 Major Japan Banking Groups' Net Profits Down 24 Pct
Tokyo, May 15 (Jiji Press)--Five major Japanese banking groups' combined group net profits in fiscal 2018, which ended in March, fell 24.0 pct from the previous year to 2,044.9 billion yen, down for the first time in two years, according to their earnings reports released by Wednesday.
Four of the five groups saw their profits decline. Mizuho Financial Group Inc.'s <8411> net profit plunged 83.2 pct to 96.5 billion yen as it booked 695.4 billion yen in losses related to structural reform measures, including consolidation of domestic bases.
Net profit decreased 11.8 pct to 872.6 billion yen at Mitsubishi UFJ Financial Group Inc. <8306>, 1.0 pct to 726.6 billion yen at Sumitomo Mitsui Financial Group Inc. <8316> and 25.9 pct to 175.1 billion yen at Resona Holdings Inc. <8308>.
Meanwhile, Sumitomo Mitsui Trust Holdings Inc. <8309> saw its net profit rise 12.9 pct to 173.8 billion yen.
The banking groups are struggling in their domestic operations reflecting prolonged ultralow interest rates at home. Also behind the combined net profit drop were declines in the reversal of loan-loss reserves.
[Copyright The Jiji Press, Ltd.]