Key Facts
• August 4, 2025: MUFG reported Q2 net profit of ¥546 billion, down 1.8% YoY.
• Adjusted for Ayudhya Bank’s fiscal change, MUFG achieved real profit growth.
• Rising yen interest rates and increased fee income boosted profits.
• FY2026 net profit forecast remains at ¥2 trillion, with 27.3% progress achieved.
• Analysts’ average forecast for FY2026 net profit: ¥2.039 trillion.
• Mizuho revised FY2026 net profit forecast to ¥1.02 trillion; Q1 profit: ¥295 billion.
• SMFG Q1 net profit: ¥377 billion, driven by loan and fee income growth.
• Trump-era tariffs have limited current impact but may intensify later in FY2026.
• MUFG CFO highlighted risks: extreme yen appreciation, market volatility, and macroeconomic instability.
Summary
Japan’s three mega banks, including Mitsubishi UFJ Financial Group (MUFG), reported strong Q2 2025 earnings, supported by rising interest rates and robust customer segments. MUFG’s net profit fell 1.8% YoY to ¥546 billion but showed real growth when adjusted for Ayudhya Bank’s fiscal change. The FY2026 profit forecast remains at ¥2 trillion, with steady progress at 27.3%. Mizuho and SMFG also posted solid Q1 results, with profits of ¥295 billion and ¥377 billion, respectively. While Trump-era tariffs have had limited immediate impact, their effects may grow later in FY2026. MUFG’s CFO flagged risks like yen appreciation and market volatility but noted measures to mitigate potential impacts.
