Mizuho Financial Group, Inc.

Mizuho said FY24 net business profit is forecast at ¥1.17 trillion, up ¥100 billion. Management said the three-year cross-shareholding reduction target has been met ahead of time, with ¥183.3 billion reduced in the first half and low-profit deals down ¥1.1 trillion versus high-profit business up ¥1.6 trillion; RORA improved from 3.1% to 3.3%. The CET1 ratio was 10.5%, and management said a share buyback of up to ¥100 billion was approved alongside a ¥130 dividend. On sensitivity, management said a 10-basis-point rise in rates could add ¥50 billion, and a ¥1 yen move in FX impacts net business profit by ¥4 billion and net income by ¥3 billion. Looking ahead, management said it is working on the next three-year medium-term plan, expects to keep emphasizing disciplined risk-return, and will continue pursuing progressive dividends plus intermittent buybacks based on capital, stock price, and growth opportunities.

Kihara framed the company as having entered “a different phase,” with the first-half of the medium-term plan already putting Mizuho ahead of its final FY2025 target. He stressed a shift toward a more diversified customer-business model, stronger non-interest income, and better collaboration across regions, especially after Greenhill’s integration. At the same time, he repeatedly flagged the need for caution, saying the firm must not forget past system failures and should keep improving operational stability, employee motivation, and culture.

Yonezawa emphasized that spending will rise because Mizuho is investing in HR, digitization, and infrastructure, but said this is part of the plan. He walked through the business-unit outlook on page 45, saying RBC is planned around flat net business profit, CIBC is expected to increase profit by ¥10 billion, and banking outperformed in the first half but will be managed more cautiously in the second half due to uncertainty. He also said the company is balancing upfront expense investment with cost control, while still aiming to generate returns from rate increases and volatility in sales and trading.

Analysts pressed management on what the next priority is now that Greenhill and the HR/system changes are in place, and Kihara pointed to asset and wealth management, regional collaboration, and better handling of large corporate risks as the main challenges. Questions also focused on whether Rakuten Card/Rakuten Bank would cannibalize each other; Kihara rejected that framing and said the two can grow together, with customers choosing different channels. Several questions asked how much synergy and profit impact will be disclosed, and management said KPIs exist but declined to commit to full detail, saying disclosure will require discussion with partners.