Mizuho lifts full-year profit estimate after NII surge

The Tip Desk · November 14, 2026 · 3 min read

Profit attributable to owners of the parent reached ¥896,492 million in the six months ended September 30, 2026, and the group raised its FY2026 profit estimate to ¥1,600,000 million.

Mizuho Financial Group (MFG) reported profit attributable to owners of the parent of ¥896,492 million for the six months ended September 30, 2026, up 29.9% from ¥689,947 million a year earlier, and lifted its full-year fiscal 2026 profit estimate to ¥1,600,000 million from ¥1,400,000 million.

Consolidated net interest income was the operating inflection. It rose ¥118,600 million to ¥771,280 million from ¥652,680 million in the first half of fiscal 2025, adding to a ¥438,744 million increase in consolidated gross profits. Ordinary income rose 15.1% to ¥4,993,079 million. Diluted earnings were ¥368.81 a share.

At Mizuho Bank, domestic net interest income more than doubled to ¥742,705 million from ¥346,721 million a year earlier, and international net interest income rose to ¥340,997 million from ¥95,600 million. The bank’s domestic net interest margin widened 43 bps to 0.49% from 0.05%, as return on loans and bills discounted rose 43 bps to 1.68% while cost of funding including expenses increased 31 bps to 1.15%. Aggregate two-bank return on loans and bills discounted rose 43 bps to 1.67% from 1.23%, while cost of deposits including NCDs rose 18 bps to 0.37%, lifting the loan-and-deposit rate margin 25 bps to 1.29%.

Fees and markets also contributed. Consolidated net fee and commission income increased ¥90,419 million to ¥557,806 million from ¥467,387 million, with Mizuho Bank’s domestic net fee and commission income at ¥166,885 million and international at ¥86,800 million. Consolidated net trading income rose ¥21,469 million to ¥444,690 million from ¥423,220 million; Mizuho Bank’s international net trading loss narrowed to ¥49,691 million from ¥115,871 million a year earlier.

Credit-related costs including trust accounts improved to a ¥7,544 million net credit gain from a ¥39,938 million net credit cost a year earlier, as gains on reversal of allowance for loan losses and others turned to a ¥36,538 million gain from a ¥12,809 million loss. The allowance for loan losses declined to ¥545,377 million at September 30, 2026 from ¥637,302 million at March 31, 2026.

Mizuho Bank’s expense ratio excluding non-recurring losses fell 17.1 percentage points to 33.5% from 50.6%, with general and administrative expenses excluding non-recurring losses at ¥532,327 million. Loans and bills discounted on the consolidated balance sheet rose to ¥102,827,831 million at September 30, 2026 from ¥99,753,193 million at March 31, 2026, while deposits increased to ¥174,776,152 million from ¥165,937,062 million. The own-capital ratio fell to 3.4% from 3.7% at March 31, 2026.

The group repurchased ¥204,763 million of treasury stock in the six months ended September 30, 2026, versus ¥103,830 million in the six months ended September 30, 2025, and raised the second-quarter-end cash dividend to ¥100.00 a share from ¥72.50 a year earlier, with a full-year fiscal 2026 dividend estimate of ¥200.00. Comprehensive income was ¥257,332 million.