Mizuho Financial Group (8411) Q2 2026 earnings summary

Executive summary

• Achieved strong H1 performance with significant growth in Customer Groups and Markets, net reversal in credit-related costs, and robust net gains from stocks, resulting in solid net business profits and profit attributable to owners of parent.

• Ordinary income for the first half of fiscal 2025 was ¥4,337.5 billion, down 5.4% year-over-year, while ordinary profits rose 13.7% to ¥849.6 billion and profit attributable to owners of parent increased 21.8% to ¥689.9 billion.

• Comprehensive income surged 42.8% year-over-year to ¥845.6 billion.

• Upward revision of FY25 earnings outlook, with profit attributable to owners of parent now expected at JPY 1,130B, an increase of JPY 110B from July and JPY 190B from May.

• Announced an additional share buyback of JPY 200B, bringing the FY25 total to JPY 300B.

Financial highlights

• Consolidated gross profits rose 7.1% year-over-year to JPY 1,673.1B, driven by interest income from BOJ rate hikes and strong fee business.

• Net interest income grew to ¥652.7 billion, up ¥169.8 billion year-over-year.

• Consolidated net business profits increased 4.7% year-over-year to JPY 729.9B, with customer groups offsetting a decrease in banking.

• Profit attributable to owners of parent grew 21.8% year-over-year to JPY 689.9B, supported by higher net business profits and lower credit-related costs.

• Ordinary profits reached JPY 849.6B, up JPY 102.5B year-over-year.

Outlook and guidance

• FY25 profit attributable to owners of parent forecast raised to JPY 1,130B, with consolidated net business profits outlook at JPY 1,350B.

• Full-year profit attributable to owners of parent is forecast at ¥1,130.0 billion, revised upward by 10.7% from previous guidance.

• Annual cash dividend estimate maintained at JPY 145.00 per share, up JPY 5.00 year-over-year.

• Total payout ratio for FY25 based on new outlook is 58%.

• Assumptions include BOJ policy rate at 0.5%, Nikkei 225 at JPY 40,300, and USD/JPY at 140.