Mizuho Financial Group (8411) Q4 2025 earnings summary

Executive summary

• Achieved FY24 financial targets one year ahead of schedule, with record-high profits and early completion of the previous medium-term plan.

• Strategy remains unchanged, focusing on unique competitive edges and disciplined financial management.

• New medium-term targets set for FY27, aiming for TSE ROE over 10% and consolidated net business profits of JPY 1.4–1.6T.

• Strengthened business portfolio through alliances, digital initiatives, and global expansion, notably in the Americas and with Rakuten Group.

• FY24 consolidated gross profits rose by JPY 217.1B to JPY 2,920.4B, driven by strong non-interest income and the BOJ rate hike.

Financial highlights

• FY24 consolidated gross profits: JPY 2,965.6B (+JPY 293.4B YoY); net business profits: JPY 1,144.2B (+JPY 138.4B YoY).

• Profit attributable to owners: JPY 885.4B (+JPY 206.4B YoY), exceeding revised plan.

• Ordinary income grew 3.2% YoY to JPY 9,030.4B; ordinary profits up 27.7% to JPY 1,168.1B.

• Expense ratio improved to 62.5% (-0.4ppt YoY) despite increased expenses from growth investments and inflation.

• Record-high profits driven by strong non-interest income, BOJ rate hike, and robust performance in customer groups and markets.

Outlook and guidance

• FY25 outlook: profit attributable to owners targeted at JPY 940B (+JPY 54.5B YoY); net business profits planned at JPY 1,280B.

• Dividend per share for FY25 projected at JPY 145, a JPY 5 increase from FY24.

• Conservative adjustments made due to US tariff policy uncertainty; periodic outlook reviews planned.

• New medium-term targets for FY27: TSE ROE over 10%, with potential for 11% if BOJ raises rates further.

• Progressive dividend increases and flexible share buybacks, targeting total payout ratio of 50%+.