Form 6-K

 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16

UNDER THE SECURITIES EXCHANGE ACT OF 1934

For the month of November 2016

Commission File Number 001-33098

Mizuho Financial Group, Inc.

(Translation of registrant’s name into English)

5-5, Otemachi 1-chome

Chiyoda-ku, Tokyo 100-8176

Japan

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F. Form 20-F x    Form 40-F ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ¨

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ¨

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

Yes ¨    No x

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b):82-                    .

 

 

 


THIS REPORT ON FORM 6-K SHALL BE DEEMED TO BE INCORPORATED BY REFERENCE INTO THE PROSPECTUS FORMING A PART OF MIZUHO FINANCIAL GROUP, INC.’S REGISTRATION STATEMENT ON FORM F-3 (FILE NO. 333-213187) AND TO BE A PART OF SUCH PROSPECTUS FROM THE DATE ON WHICH THIS REPORT IS FURNISHED, TO THE EXTENT NOT SUPERSEDED BY DOCUMENTS OR REPORTS SUBSEQUENTLY FILED OR FURNISHED.


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.

 

Date: November 14, 2016
Mizuho Financial Group, Inc.
By:  

/s/ Koichi Iida

Name:   Koichi Iida
Title:   Managing Executive Officer / Group CFO


For Immediate Release:

 

  

Financial Statements for the Second Quarter of Fiscal 2016

(Six months ended September 30, 2016)

<Under Japanese GAAP>

   LOGO

 

Company Name:    Mizuho Financial Group, Inc. (“MHFG”)    November 14, 2016
Stock Code Number (Japan):       8411    
Stock Exchange Listings:   Tokyo Stock Exchange (First Section), New York Stock Exchange
URL:  

https://www.mizuho-fg.com/index.html

 
Representative:   Yasuhiro Sato               President & CEO  
For Inquiry:   Masahiro Kosugi               General Manager of Accounting   Phone: +81-3-6838-6101    

Filing of Shihanki Hokokusho (scheduled):

              November 28, 2016   Trading Accounts: Established            

Commencement of Dividend Payment (scheduled):

 

            December 6, 2016

 

Supplementary Materials on Quarterly Results:

 

            Attached

 

IR Conference on Quarterly Results:

 

            Scheduled

 

Amounts less than one million yen are rounded down.

1. Financial Highlights for the Second Quarter (First Half) of Fiscal 2016 (for the six months ended September 30, 2016)

(1) Consolidated Results of Operations

 

     (%: Changes from the previous first half)  
     Ordinary Income     Ordinary Profits     Profit Attributable to
Owners of Parent
 
     ¥ million      %     ¥ million      %     ¥ million      %  

1H F2016

     1,563,262         (4.5     420,944         (26.7     358,183         (6.7

1H F2015

     1,637,697         8.2        574,590         6.8        384,198         8.1   

 

Note:

  Comprehensive Income: 1H F2016: ¥199,853 million, 106.4%; 1H F2015: ¥96,820 million, (87.0)%

 

     Net Income
per Share of
Common Stock
     Diluted Net Income
per Share of
Common Stock
 
     ¥      ¥  

1H F2016

     14.21         14.11   

1H F2015

     15.48         15.13   

(2) Consolidated Financial Conditions

 

     Total Assets      Total Net Assets      Own Capital Ratio  
     ¥ million      ¥ million      %  

1H F2016

     192,679,978         8,970,260         4.2   

Fiscal 2015

     193,458,580         9,353,244         4.2   

 

Reference:

   Own Capital: As of September 30, 2016: ¥8,253,934 million; As of March 31, 2016: ¥8,167,813 million

Note:

  

Own Capital Ratio is calculated as follows: (Total Net Assets - Stock Acquisition Rights - Non-controlling Interests) / Total Assets ×100

Own Capital Ratio stated above is not calculated based on the public notice of Own Capital Ratio.

2. Cash Dividends for Shareholders of Common Stock

 

     Annual Cash Dividends per Share  
     First
Quarter-end
     Second
Quarter-end
     Third
Quarter-end
     Fiscal
Year-end
     Total  
     ¥      ¥      ¥      ¥      ¥  

Fiscal 2015

     —           3.75         —           3.75         7.50   

Fiscal 2016

     —           3.75            

Fiscal 2016 (estimate)

           —           3.75         7.50   

 

Notes:

  1.    Revision of the latest announced estimates for cash dividends for shareholders of common stock: No
  2.    Please refer to the following “Cash Dividends for Shareholders of Classified Stock” for cash dividends for shareholders of classified stock (unlisted), the rights of which are different from those of common stock.

3. Consolidated Earnings Estimates for Fiscal 2016 (for the fiscal year ending March 31, 2017)

 

     (%: Changes from the previous fiscal year)  
     Profit Attributable to
Owners of Parent
    Net Income
per Share of
Common Stock
 
     ¥ million      %     ¥  

Fiscal 2016

     600,000         (10.5     23.72   

 

Notes:

  1.   Revision of the latest announced earnings estimates for fiscal 2016: No
  2.   The number of shares of common stock used in the above calculation is based on the weighted average of “the average number of shares during the 1H of fiscal 2016” and “the number of shares as of September 30, 2016 (which is expected to be the average number of shares during the 2H of fiscal 2016)”.


* Notes

(1) Changes in Significant Subsidiaries during the Period (changes in specified subsidiaries accompanying changes in the scope of consolidation): No

(2) Changes in Accounting Policies and Accounting Estimates / Restatements

① Changes in accounting policies due to revisions of accounting standards, etc.: Yes

② Changes in accounting policies other than ① above: No

③ Changes in accounting estimates: No

④ Restatements: No

 

  (Note) For more information, please refer to “(1) Changes in Accounting Policies and Accounting Estimates / Restatements” on page 1-2 of the attachment.

(3) Issued Shares of Common Stock

 

① Period-end issued shares (including treasury stock):

     As of September 30, 2016         25,386,307,945 shares         As of March 31, 2016         25,030,525,657 shares   

② Period-end treasury stock:

     As of September 30, 2016         21,895,432 shares         As of March 31, 2016         10,929,211 shares   

③ Average number of outstanding shares :

     1st Half of Fiscal 2016         25,204,800,899 shares         1st Half of Fiscal 2016         24,718,566,203 shares   

Non-consolidated Financial Statements

1. Financial Highlights for the Second Quarter (First Half) of Fiscal 2016 (for the six months ended September 30, 2016)

 

(1) Non-Consolidated Results of Operations

   (%: Changes from the previous first half)
     Operating Income     Operating
Profits
    Ordinary Profits     Net Income  
     ¥ million      %     ¥ million      %     ¥ million      %     ¥ million      %  

1H F2016

     352,171         13.1        334,013         12.4        324,541         10.5        323,274         7.3   

1H F2015

     311,130         (13.8     297,082         (14.6     293,675         (15.3     301,115         (13.0
     Net Income per
Share of Common Stock
       
            ¥    

1H F2016

        12.82    

1H F2015

        12.12    

(2) Non-Consolidated Financial Conditions

 

     Total Assets      Total Net Assets      Own Capital Ratio  
     ¥ million      ¥ million      %  

1H F2016

     8,569,404         5,424,552         63.2   

Fiscal 2015

     7,064,211         5,197,208         73.5   

 

Reference:

  

Own Capital:

As of September 30, 2016: ¥5,422,798 million; As of March 31, 2016: ¥5,194,445 million

(Presentation of Implementation Status of Interim Review Procedure)

The semi-annual audit procedure of consolidated and non-consolidated interim financial statements based on the Financial Instruments and Exchange Law has not been completed at the time of the disclosure of these Financial Statements.

 

 

This immediate release contains statements that constitute forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, including estimates, forecasts, targets and plans. Such forward-looking statements do not represent any guarantee by management of future performance.

In many cases, but not all, we use such words as “aim,” “anticipate,” “believe,” “endeavor,” “estimate,” “expect,” “intend,” “may,” “plan,” “probability,” “project,” “risk,” “seek,” “should,” “strive,” “target” and similar expressions in relation to us or our management to identify forward-looking statements. You can also identify forward-looking statements by discussions of strategy, plans or intentions. These statements reflect our current views with respect to future events and are subject to risks, uncertainties and assumptions.

We may not be successful in implementing our business strategies, and management may fail to achieve its targets, for a wide range of possible reasons, including, without limitation: incurrence of significant credit-related costs; declines in the value of our securities portfolio; changes in interest rates; foreign currency fluctuations; decrease in the market liquidity of our assets; revised assumptions or other changes related to our pension plans; a decline in our deferred tax assets; the effect of financial transactions entered into for hedging and other similar purposes; failure to maintain required capital adequacy ratio levels; downgrades in our credit ratings; our ability to avoid reputational harm; our ability to implement our Medium-term Business Plan, realize the synergy effects of “One MIZUHO,” and implement other strategic initiatives and measures effectively; the effectiveness of our operational, legal and other risk management policies; the effect of changes in general economic conditions in Japan and elsewhere; and changes to applicable laws and regulations.

Further information regarding factors that could affect our financial condition and results of operations is included in “Item 3.D. Key Information—Risk Factors” and “Item 5. Operating and Financial Review and Prospects” in our most recent Form 20-F filed with the U.S. Securities and Exchange Commission (“SEC”), which is available in the Financial Information section of our web page at www.mizuho-fg.com/index.html and also at the SEC’s web site at www.sec.gov.

We do not intend to update our forward-looking statements. We are under no obligation, and disclaim any obligation, to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by the rules of the Tokyo Stock Exchange.

MHFG is a specified business company under “Cabinet Office Ordinance on Disclosure of Corporate Information, etc.” Article 17-15 clause 2 and prepares the interim consolidated and interim non-consolidated financial statements in the second quarter.

 

 

 


Cash Dividends for Shareholders of Classified Stock

Breakdown of cash dividends per share related to classified stock, the rights of which are different from those of common stock, is as follows:

 

     Annual Cash Dividends per Share  
     First Quarter-end      Second Quarter-end      Third Quarter-end      Fiscal Year-end      Total  
     ¥      ¥      ¥      ¥      ¥  

Eleventh Series Class XI Preferred Stock

              

Fiscal 2015

     —           10.00         —           10.00         20.00   

Fiscal 2016

     —                 

 

Note:

  Mizuho Financial Group Inc. (“MHFG”) acquired all of the Eleventh Series Class XI Preferred Stock as of July 1, 2016 that had not been requested for acquisition by June 30, 2016 and cancelled all of the Eleventh Series Class XI Preferred Stock held by MHFG on July 13, 2016. Accordingly, cash dividend payments related to the Eleventh Series Class XI Preferred Stock will not be made in fiscal 2016.


Mizuho Financial Group, Inc.

 

m Contents of Attachment

 

1.   Matters Related to Summary Information (Notes)      p.1-2   
  (1) Changes in Accounting Policies and Accounting Estimates / Restatements      p.1-2   
2.   Interim Consolidated Financial Statements      p.1-3   
  (1) Consolidated Balance Sheets      p.1-3   
  (2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income      p.1-5   
  (3) Consolidated Statements of Changes in Net Assets      p.1-7   
  (4) Note for Assumption of Going Concern      p.1-8   
3.   Interim Non-Consolidated Financial Statements      p.1-9   
  (1) Non-Consolidated Balance Sheets      p.1-9   
  (2) Non-Consolidated Statements of Income      p.1-10   
  (3) Non-Consolidated Statements of Changes in Net Assets      p.1-11   
  øSELECTED FINANCIAL INFORMATION For the Second Quarter (First Half) of Fiscal 2016   

[Note to XBRL]

Please note that the names of the English accounts contained in XBRL data, which are available through EDINET and TDNet, may be different from those of the English accounts in our financial statements.

An MHFG IR conference for institutional investors and analysts is scheduled for November 22, 2016 (Tuesday). The IR conference presentation materials and audio archive will be available for use by individual investors in the IR Information section of the Mizuho Financial Group HP immediately after the conference.

 

1-1


Mizuho Financial Group, Inc.

 

1. Matters Related to Summary Information (Notes)

(1) Changes in Accounting Policies and Accounting Estimates / Restatements

(Changes in Accounting Policies)

(Application of “Revised Implementation Guidance on Recoverability of Deferred Tax Assets”)

MHFG has applied “Revised Implementation Guidance on Recoverability of Deferred Tax Assets” (ASBJ Guidance No.26, March 28, 2016) (hereinafter, the “Recoverability Implementation Guidance”) from this interim period ended September 30, 2016 and partially revised the accounting method of recoverability of deferred tax assets.

The Recoverability Implementation Guidance has been applied in accordance with the transitional treatment set forth in Article 49(4) of the Recoverability Implementation Guidance. The differences between (i) the amounts of Deferred Tax Assets and Deferred Tax Liabilities when provisions applicable from ① to ③ of Article 49(3) of the Recoverability Implementation Guidance were applied as of April 1, 2016, and (ii) the amounts of Deferred Tax Assets and Deferred Tax Liabilities at the end of the fiscal year ended March 31, 2016, were added to Retained Earnings as of April 1, 2016.

As a result, Deferred Tax Assets (before offset) and Retained Earnings each increased by ¥ 1,426 million as of April 1, 2016.

As a result of reflection of the effects on the Net Asset as of April 1, 2016, Retained Earnings increased by ¥1,426 million as of April 1, 2016 in the interim consolidated statements of changes in net assets.

 

1-2


Mizuho Financial Group, Inc.

 

2. Interim Consolidated Financial Statements

(1) Consolidated Balance Sheets

 

     Millions of yen  
     As of
   March 31, 2016   
    As of
September 30, 2016
 

Assets

    

Cash and Due from Banks

   ¥ 36,315,471      ¥ 42,715,384   

Call Loans and Bills Purchased

     893,545        899,865   

Receivables under Resale Agreements

     7,805,798        9,258,984   

Guarantee Deposits Paid under Securities Borrowing Transactions

     3,407,390        3,195,977   

Other Debt Purchased

     2,979,797        2,527,270   

Trading Assets

     13,004,522        12,511,953   

Money Held in Trust

     175,638        227,975   

Securities

     39,505,971        32,705,104   

Loans and Bills Discounted

     73,708,884        73,030,669   

Foreign Exchange Assets

     1,447,743        1,452,483   

Derivatives other than for Trading Assets

     3,157,752        2,957,197   

Other Assets

     4,144,131        4,272,085   

Tangible Fixed Assets

     1,085,791        1,071,524   

Intangible Fixed Assets

     804,567        869,070   

Net Defined Benefit Asset

     646,428        673,562   

Deferred Tax Assets

     36,517        77,011   

Customers’ Liabilities for Acceptances and Guarantees

     4,798,158        4,675,296   

Reserves for Possible Losses on Loans

     (459,531     (441,438
  

 

 

   

 

 

 

Total Assets

   ¥ 193,458,580      ¥ 192,679,978   
  

 

 

   

 

 

 

 

1-3


Mizuho Financial Group, Inc.

 

     Millions of yen  
     As of
March 31, 2016
    As of
September 30, 2016
 

Liabilities

    

Deposits

   ¥ 105,629,071      ¥ 110,171,994   

Negotiable Certificates of Deposit

     11,827,533        9,568,325   

Call Money and Bills Sold

     2,521,008        1,791,651   

Payables under Repurchase Agreements

     16,833,346        17,739,258   

Guarantee Deposits Received under Securities Lending Transactions

     2,608,971        1,314,573   

Commercial Paper

     1,010,139        827,552   

Trading Liabilities

     10,276,133        9,878,751   

Borrowed Money

     7,503,543        7,243,394   

Foreign Exchange Liabilities

     492,473        582,971   

Short-term Bonds

     648,381        408,033   

Bonds and Notes

     6,120,928        7,131,121   

Due to Trust Accounts

     5,067,490        4,053,768   

Derivatives other than for Trading Liabilities

     2,571,597        2,001,471   

Other Liabilities

     5,532,596        5,755,737   

Reserve for Bonus Payments

     62,171        47,174   

Reserve for Variable Compensation

     2,836        1,488   

Net Defined Benefit Liability

     51,514        52,668   

Reserve for Director and Corporate Auditor Retirement Benefits

     1,685        1,376   

Reserve for Possible Losses on Sales of Loans

     267        3   

Reserve for Contingencies

     5,271        4,889   

Reserve for Reimbursement of Deposits

     16,154        15,828   

Reserve for Reimbursement of Debentures

     39,245        35,273   

Reserves under Special Laws

     2,024        2,219   

Deferred Tax Liabilities

     414,799        337,644   

Deferred Tax Liabilities for Revaluation Reserve for Land

     67,991        67,247   

Acceptances and Guarantees

     4,798,158        4,675,296   
  

 

 

   

 

 

 

Total Liabilities

   ¥ 184,105,335      ¥ 183,709,717   
  

 

 

   

 

 

 

Net Assets

    

Common Stock and Preferred Stock

   ¥ 2,255,790      ¥ 2,256,275   

Capital Surplus

     1,110,164        1,111,299   

Retained Earnings

     3,197,616        3,464,082   

Treasury Stock

     (3,609     (5,098
  

 

 

   

 

 

 

Total Shareholders’ Equity

     6,559,962        6,826,558   
  

 

 

   

 

 

 

Net Unrealized Gains (Losses) on Other Securities

     1,296,039        1,134,348   

Deferred Gains or Losses on Hedges

     165,264        167,078   

Revaluation Reserve for Land

     148,483        146,794   

Foreign Currency Translation Adjustments

     (53,689     (85,900

Remeasurements of Defined Benefit Plans

     51,752        65,055   
  

 

 

   

 

 

 

Total Accumulated Other Comprehensive Income

     1,607,851        1,427,376   
  

 

 

   

 

 

 

Stock Acquisition Rights

     2,762        1,754   

Non-Controlling Interests

     1,182,668        714,572   
  

 

 

   

 

 

 

Total Net Assets

     9,353,244        8,970,260   
  

 

 

   

 

 

 

Total Liabilities and Net Assets

   ¥ 193,458,580      ¥ 192,679,978   
  

 

 

   

 

 

 

 

1-4


Mizuho Financial Group, Inc.

 

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

[Consolidated Statements of Income]

 

     Millions of yen  
      For the six
months ended
September 30, 2015
     For the six
months ended
September 30, 2016
 

Ordinary Income

   ¥ 1,637,697       ¥ 1,563,262   

Interest Income

     720,592         678,188   

Interest on Loans and Bills Discounted

     463,500         442,430   

Interest and Dividends on Securities

     158,508         129,547   

Fiduciary Income

     26,399         24,729   

Fee and Commission Income

     369,856         359,011   

Trading Income

     145,813         213,872   

Other Operating Income

     186,370         165,262   

Other Ordinary Income

     188,664         122,198   

Ordinary Expenses

     1,063,107         1,142,318   

Interest Expenses

     197,081         241,807   

Interest on Deposits

     77,722         92,531   

Fee and Commission Expenses

     76,897         76,101   

Trading Expenses

     1,686         1,467   

Other Operating Expenses

     41,511         32,009   

General and Administrative Expenses

     673,456         704,164   

Other Ordinary Expenses

     72,475         86,766   
  

 

 

    

 

 

 

Ordinary Profits

     574,590         420,944   
  

 

 

    

 

 

 

Extraordinary Gains

     19,573         1,426   

Extraordinary Losses

     2,233         3,245   
  

 

 

    

 

 

 

Income before Income Taxes

     591,930         419,125   
  

 

 

    

 

 

 

Income Taxes:

     

Current

     134,814         101,907   

Deferred

     38,853         (63,140
  

 

 

    

 

 

 

Total Income Taxes

     173,667         38,766   
  

 

 

    

 

 

 

Profit

     418,262         380,358   
  

 

 

    

 

 

 

Profit Attributable to Non-controlling Interests

     34,064         22,175   
  

 

 

    

 

 

 

Profit Attributable to Owners of Parent

   ¥ 384,198       ¥ 358,183   
  

 

 

    

 

 

 

 

1-5


Mizuho Financial Group, Inc.

 

[Consolidated Statements of Comprehensive Income]

 

     Millions of yen  
     For the six
months ended
September 30, 2015
    For the six
months ended
September 30, 2016
 

Profit

   ¥ 418,262      ¥ 380,358   

Other Comprehensive Income

     (321,442     (180,505

Net Unrealized Gains (Losses) on Other Securities

     (349,353     (161,503

Deferred Gains or Losses on Hedges

     32,591        1,814   

Revaluation Reserve for Land

     10        (5

Foreign Currency Translation Adjustments

     (3,313     (21,853

Remeasurements of Defined Benefit Plans

     (1,109     13,420   

Share of Other Comprehensive Income of Associates Accounted for Using Equity Method

     (267     (12,377
  

 

 

   

 

 

 

Comprehensive Income

     96,820        199,853   
  

 

 

   

 

 

 

(Breakdown)

    

Comprehensive Income Attributable to Owners of Parent

     63,060        179,392   

Comprehensive Income Attributable to Non-controlling Interests

     33,759        20,461   

 

1-6


Mizuho Financial Group, Inc.

 

(3) Consolidated Statements of Changes in Net Assets

For the six months ended September 30, 2015

 

     Millions of yen  
     Shareholders’ Equity  
     Common
Stock and
Preferred
Stock
     Capital
Surplus
     Retained
Earnings
    Treasury
Stock
    Total
Shareholders’
Equity
 

Balance as of the beginning of the period

     2,255,404         1,110,006         2,769,371        (3,616     6,131,166   

Cumulative Effects of Changes in Accounting Policies

        935         (48,999       (48,063

Balance as of the beginning of the period reflecting Changes in Accounting Policies

     2,255,404         1,110,942         2,720,371        (3,616     6,083,102   

Changes during the period

            

Issuance of New Shares

     386         386             772   

Cash Dividends

           (100,584       (100,584

Profit Attributable to Owners of Parent

           384,198          384,198   

Repurchase of Treasury Stock

             (683     (683

Disposition of Treasury Stock

        82           268        350   

Transfer from Revaluation Reserve for Land

           983          983   

Net Changes in Items other than Shareholders’ Equity

            

Total Changes during the period

     386         468         284,597        (415     285,036   
  

 

 

    

 

 

    

 

 

   

 

 

   

 

 

 

Balance as of the end of the period

     2,255,790         1,111,410         3,004,969        (4,031     6,368,139   
  

 

 

    

 

 

    

 

 

   

 

 

   

 

 

 

 

    Accumulated Other Comprehensive Income                    
    Net
Unrealized
Gains
(Losses) on
Other
Securities
    Deferred
Gains or
Losses on
Hedges
    Revaluation
Reserve for
Land
    Foreign
Currency
Translation
Adjustments
    Remeasurements
of Defined
Benefit Plans
    Total
Accumulated
Other
Comprehensive
Income
    Stock
Acquisition
Rights
    Non-Controlling
Interests
    Total
Net
Assets
 

Balance as of the beginning of the period

    1,737,348        26,635        146,419        (40,454     160,005        2,029,955        3,820        1,635,595        9,800,538   

Cumulative Effects of Changes in Accounting Policies

                    (48,063

Balance as of the beginning of the period reflecting Changes in Accounting Policies

    1,737,348        26,635        146,419        (40,454     160,005        2,029,955        3,820        1,635,595        9,752,474   

Changes during the period

                 

Issuance of New Shares

                    772   

Cash Dividends

                    (100,584

Profit Attributable to Owners of Parent

                    384,198   

Repurchase of Treasury Stock

                    (683

Disposition of Treasury Stock

                    350   

Transfer from Revaluation Reserve for Land

                    983   

Net Changes in Items other than Shareholders’ Equity

    (350,726     32,469        (972     (3,297     404        (322,121     (1,057     (449,501     (772,680

Total Changes during the period

    (350,726     32,469        (972     (3,297     404        (322,121     (1,057     (449,501     (487,643
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance as of the end of the period

    1,386,622        59,105        145,446        (43,751     160,410        1,707,834        2,762        1,186,094        9,264,830   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

1-7


Mizuho Financial Group, Inc.

 

For the six months ended September 30, 2016

 

     Millions of yen  
     Shareholders’ Equity  
     Common
Stock and
Preferred
Stock
     Capital
Surplus
    Retained
Earnings
    Treasury
Stock
    Total
Shareholders’
Equity
 

Balance as of the beginning of the period

     2,255,790         1,110,164        3,197,616        (3,609     6,559,962   

Cumulative Effects of Changes in Accounting Policies

          1,426          1,426   

Balance as of the beginning of the period reflecting Changes in Accounting Policies

     2,255,790         1,110,164        3,199,042        (3,609     6,561,388   

Changes during the period

           

Issuance of New Shares

     484         484            969   

Cash Dividends

          (94,827       (94,827

Profit Attributable to Owners of Parent

          358,183          358,183   

Repurchase of Treasury Stock

            (1,869     (1,869

Disposition of Treasury Stock

        (55       380        324   

Cancellation of Treasury Stock

        (1       1        —     

Transfer from Revaluation Reserve for Land

          1,683          1,683   

Change in Treasury Shares of Parent Arising from Transactions with Non-controlling Shareholders

        706            706   

Net Changes in Items other than Shareholders’ Equity

           

Total Changes during the period

     484         1,134        265,039        (1,488     265,170   
  

 

 

    

 

 

   

 

 

   

 

 

   

 

 

 

Balance as of the end of the period

     2,256,275         1,111,299        3,464,082        (5,098     6,826,558   
  

 

 

    

 

 

   

 

 

   

 

 

   

 

 

 

 

    Accumulated Other Comprehensive Income     Stock
Acquisition
Rights
    Non-Controlling
Interests
    Total
Net
Assets
 
    Net
Unrealized
Gains
(Losses) on
Other
Securities
    Deferred
Gains or
Losses on
Hedges
    Revaluation
Reserve for
Land
    Foreign
Currency
Translation
Adjustments
    Remeasurements
of Defined
Benefit Plans
    Total
Accumulated
Other
Comprehensive
Income
       

Balance as of the beginning of the period

    1,296,039        165,264        148,483        (53,689     51,752        1,607,851        2,762        1,182,668        9,353,244   

Cumulative Effects of Changes in Accounting Policies

                    1,426   

Balance as of the beginning of the period reflecting Changes in Accounting Policies

    1,296,039        165,264        148,483        (53,689     51,752        1,607,851        2,762        1,182,668        9,354,670   

Changes during the period

                 

Issuance of New Shares

                    969   

Cash Dividends

                    (94,827

Profit Attributable to Owners of Parent

                    358,183   

Repurchase of Treasury Stock

                    (1,869

Disposition of Treasury Stock

                    324   

Cancellation of Treasury Stock

                    —     

Transfer from Revaluation Reserve for Land

                    1,683   

Change in Treasury Shares of Parent Arising from Transactions with Non-controlling Shareholders

                    706   

Net Changes in Items other than Shareholders’ Equity

    (161,691     1,814        (1,689     (32,211     13,302        (180,475     (1,008     (468,096     (649,579

Total Changes during the period

    (161,691     1,814        (1,689     (32,211     13,302        (180,475     (1,008     (468,096     (384,409
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance as of the end of the period

    1,134,348        167,078        146,794        (85,900     65,055        1,427,376        1,754        714,572        8,970,260   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

(4) Note for Assumption of Going Concern

There is no applicable information.

 

1-8


Mizuho Financial Group, Inc.

 

3. Interim Non-Consolidated Financial Statements

(1) Non-Consolidated Balance Sheets

 

     Millions of yen  
     As of
March 31, 2016
    As of
September 30, 2016
 

Assets

    

Current Assets

    

Cash and Due from Banks

   ¥ 16,442      ¥ 84,155   

Other Current Assets

     74,374        88,204   

Total Current Assets

     90,816        172,359   

Fixed Assets

    

Tangible Fixed Assets

     165,803        165,626   

Intangible Fixed Assets

     8,451        11,502   

Investments

     6,799,139        8,219,915   

Investments in Subsidiaries and Affiliates

     6,022,661        6,009,518   

Long-term Loans to Subsidiaries and Affiliates

     624,517        2,063,960   

Other Investments

     151,961        146,436   

Total Fixed Assets

     6,973,394        8,397,044   
  

 

 

   

 

 

 

Total Assets

   ¥ 7,064,211      ¥ 8,569,404   
  

 

 

   

 

 

 

Liabilities

    

Current Liabilities

    

Short-term Borrowings

   ¥ 686,345      ¥ 515,560   

Short-term Bonds

     500,000        500,000   

Accrued Corporate Taxes

     29        446   

Reserve for Bonus Payments

     319        332   

Reserve for Variable Compensation

     343        240   

Other Current Liabilities

     10,171        19,072   

Total Current Liabilities

     1,197,207        1,035,651   

Non-Current Liabilities

    

Bonds and Notes

     584,517        1,998,960   

Long-term Borrowings

     40,000        65,000   

Reserve for Employee Retirement Benefits

     3,761        4,233   

Other Non-Current Liabilities

     41,516        41,006   

Total Non-Current Liabilities

     669,794        2,109,200   
  

 

 

   

 

 

 

Total Liabilities

   ¥ 1,867,002      ¥ 3,144,851   
  

 

 

   

 

 

 

Net Assets

    

Shareholders’ Equity

    

Common Stock and Preferred Stock

   ¥ 2,255,790      ¥ 2,256,275   

Capital Surplus

    

Capital Reserve

     1,195,682        1,196,167   

Other Capital Surplus

     147        91   

Total Capital Surplus

     1,195,830        1,196,258   

Retained Earnings

    

Appropriated Reserve

     4,350        4,350   

Other Retained Earnings

     1,698,699        1,927,146   

Retained Earnings Brought Forward

     1,698,699        1,927,146   

Total Retained Earnings

     1,703,049        1,931,496   

Treasury Stock

     (2,813     (4,141
  

 

 

   

 

 

 

Total Shareholders’ Equity

     5,151,857        5,379,889   
  

 

 

   

 

 

 

Valuation and Translation Adjustments

    

Net Unrealized Gains (Losses) on Other Securities, net of Taxes

     42,588        42,909   
  

 

 

   

 

 

 

Total Valuation and Translation Adjustments

     42,588        42,909   
  

 

 

   

 

 

 

Stock Acquisition Rights

     2,762        1,754   
  

 

 

   

 

 

 

Total Net Assets

     5,197,208        5,424,552   
  

 

 

   

 

 

 

Total Liabilities and Net Assets

   ¥ 7,064,211      ¥ 8,569,404   
  

 

 

   

 

 

 

 

1-9


Mizuho Financial Group, Inc.

 

(2) Non-Consolidated Statements of Income

 

     Millions of yen  
     For the six months ended
September 30, 2015
     For the six months ended
September 30, 2016
 

Operating Income

   ¥ 311,130       ¥ 352,171   

Operating Expenses

     

General and Administrative Expenses

     14,047         18,158   

Total Operating Expenses

     14,047         18,158   
  

 

 

    

 

 

 

Operating Profits

     297,082         334,013   
  

 

 

    

 

 

 

Non-Operating Income

     5,983         17,198   

Non-Operating Expenses

     9,389         26,669   
  

 

 

    

 

 

 

Ordinary Profits

     293,675         324,541   
  

 

 

    

 

 

 

Extraordinary Gains

     8,147         —     

Extraordinary Losses

     2         8   
  

 

 

    

 

 

 

Income before Income Taxes

     301,821         324,532   
  

 

 

    

 

 

 

Income Taxes:

     

Current

     651         1,190   

Deferred

     54         67   
  

 

 

    

 

 

 

Total Income Taxes

     706         1,258   
  

 

 

    

 

 

 

Net Income

   ¥ 301,115       ¥ 323,274   
  

 

 

    

 

 

 

 

1-10


Mizuho Financial Group, Inc.

 

(3) Non-Consolidated Statements of Changes in Net Assets

For the six months ended September 30, 2015

 

    Millions of yen  
    Shareholders’ Equity  
    Common
Stock and
Preferred
Stock
    Capital Surplus     Retained Earnings     Treasury
Stock
    Total
Shareholders’
Equity
 
      Capital
Reserve
    Other
Capital
Surplus
    Total
Capital
Surplus
    Appropriated
Reserve
    Other Retained
Earnings
    Total
Retained
Earnings
     
              Retained
Earnings
Brought
Forward
       

Balance as of the beginning of the period

    2,255,404        1,195,296        66        1,195,363        4,350        1,589,574        1,593,924        (3,011     5,041,680   

Changes during the period

                 

Issuance of New Shares

    386        386          386                772   

Cash Dividends

              (100,584     (100,584       (100,584

Net Income

              301,115        301,115          301,115   

Repurchase of Treasury Stock

                  (8     (8

Disposition of Treasury Stock

        82        82              210        292   

Net Changes in Items other than Shareholders’ Equity

                 

Total Changes during the period

    386        386        82        468        —          200,531        200,531        202        201,587   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance as of the end of the period

    2,255,790        1,195,682        148        1,195,831        4,350        1,790,105        1,794,455        (2,809     5,243,268   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

     Valuation and
Translation
Adjustments
    Stock
Acquisition
Rights
    Total Net Assets  
     Net Unrealized
Gains (Losses)
on Other
Securities, net of
Taxes
     

Balance as of the beginning of the period

     50,704        3,820        5,096,205   

Changes during the period

      

Issuance of New Shares

         772   

Cash Dividends

         (100,584

Net Income

         301,115   

Repurchase of Treasury Stock

         (8

Disposition of Treasury Stock

         292   

Net Changes in Items other than Shareholders’ Equity

     (17,170     (1,057     (18,228

Total Changes during the period

     (17,170     (1,057     183,359   
  

 

 

   

 

 

   

 

 

 

Balance as of the end of the period

     33,534        2,762        5,279,565   
  

 

 

   

 

 

   

 

 

 

 

1-11


Mizuho Financial Group, Inc.

 

For the six months ended September 30, 2016

 

    Millions of yen  
  Shareholders’ Equity  
  Common
Stock and
Preferred
Stock
    Capital Surplus     Retained Earnings     Treasury
Stock
    Total
Shareholders’
Equity
 
    Capital
Reserve
    Other
Capital
Surplus
    Total
Capital
Surplus
    Appropriated
Reserve
    Other Retained
Earnings
    Total
Retained
Earnings
     
            Retained
Earnings
Brought
Forward
       

Balance as of the beginning of the period

    2,255,790        1,195,682        147        1,195,830        4,350        1,698,699        1,703,049        (2,813     5,151,857   

Changes during the period

                 

Issuance of New Shares

    484        484          484                969   

Cash Dividends

              (94,827     (94,827       (94,827

Net Income

              323,274        323,274          323,274   

Repurchase of Treasury Stock

                  (1,430     (1,430

Disposition of Treasury Stock

        (55     (55           101        46   

Cancellation of Treasury Stock

        (1     (1           1        —     

Net Changes in Items other than Shareholders’ Equity

                 

Total Changes during the period

    484        484        (56     428        —          228,446        228,446        (1,327     228,031   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Balance as of the end of the period

    2,256,275        1,196,167        91        1,196,258        4,350        1,927,146        1,931,496        (4,141     5,379,889   
 

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

 

     Valuation and
Translation
Adjustments
     Stock
Acquisition
Rights
    Total Net Assets  
     Net Unrealized
Gains (Losses)
on Other
Securities, net of
Taxes
      

Balance as of the beginning of the period

     42,588         2,762        5,197,208   

Changes during the period

       

Issuance of New Shares

          969   

Cash Dividends

          (94,827

Net Income

          323,274   

Repurchase of Treasury Stock

          (1,430

Disposition of Treasury Stock

          46   

Cancellation of Treasury Stock

          —     

Net Changes in Items other than Shareholders’ Equity

     320         (1,008     (687

Total Changes during the period

     320         (1,008     227,343   
  

 

 

    

 

 

   

 

 

 

Balance as of the end of the period

     42,909         1,754        5,424,552   
  

 

 

    

 

 

   

 

 

 

 

1-12


SELECTED FINANCIAL INFORMATION

For the Second Quarter (First Half) of Fiscal 2016

(Six months ended September 30, 2016)

<Under Japanese GAAP>

 

 

 

LOGO

Mizuho Financial Group, Inc.


C O N T E N T S

 

 

Notes:

“CON”: Consolidated figures for Mizuho Financial Group, Inc. (“MHFG”)

“NON”: Non-consolidated figures for Mizuho Financial Group, Inc., Mizuho Bank, Ltd. (“MHBK”) and Mizuho Trust & Banking Co., Ltd. (“MHTB”)

 

 

 

I. FINANCIAL DATA FOR THE FIRST HALF OF FISCAL 2016

   See above Notes      Page  

1. Income Analysis

     CON         NON         2-1     

2. Interest Margins (Domestic Operations)

     NON            2-5     

3. Use and Source of Funds

     NON            2-6     

4. Net Gains/Losses on Securities

     CON         NON         2-7     

5. Unrealized Gains/Losses on Securities

     CON         NON         2-9     

6. Projected Redemption Amounts for Securities

     NON            2-11     

7. Overview of Derivative Transactions Qualifying for Hedge Accounting

     NON            2-12     

8. Employee Retirement Benefits

     NON         CON         2-13     

9. Capital Ratio

     CON         NON         2-15     

 

II. REVIEW OF CREDITS

   See above Notes      Page  

1. Status of Non-Accrual, Past Due & Restructured Loans

     CON         NON         2-16     

2. Status of Reserves for Possible Losses on Loans

     CON         NON         2-18     

3. Reserve Ratios for Non-Accrual, Past Due & Restructured Loans

     CON         NON         2-19     

4. Status of Disclosed Claims under the Financial Reconstruction Act (“FRA”)

     CON         NON         2-20     

5. Coverage on Disclosed Claims under the FRA

     NON            2-22     

6. Overview of Non-Performing Loans(“NPLs”)

     NON            2-24     

7. Results of Removal of NPLs from the Balance Sheet

     NON            2-25     

8. Status of Loans by Industry

        

(1)    Outstanding Balances and Non-Accrual, Past Due & Restructured Loans by Industry

     NON            2-26     

(2)    Disclosed Claims under the FRA and Coverage Ratio by Industry

     NON            2-28     

9. Housing and Consumer Loans & Loans to Small and Medium-Sized Enterprises (“SMEs”) and Individual Customers

        

(1)    Balance of Housing and Consumer Loans

     NON            2-29     

(2)    Loans to SMEs and Individual Customers

     NON            2-29     

10. Status of Loans by Region

     NON            2-30     

III. DEFERRED TAXES

   See above Notes      Page  

1. Estimation for Calculating Deferred Tax Assets

     NON            2-31     


IV. OTHERS

   See above Notes      Page  

1. Breakdown of Deposits (Domestic Offices)

     NON            2-33     

2. Number of Directors and Employees

     NON            2-34     

3. Number of Branches and Offices

     NON            2-35     

4. Earnings Plan for Fiscal 2016

     CON         NON         2-36     

Attachments

                 Page  

Mizuho Bank, Ltd.

        

Comparison of Non-Consolidated Balance Sheets (selected items)

           2-37     

Comparison of Non-Consolidated Statements of Income (selected items)

           2-38     

Mizuho Trust & Banking Co., Ltd.

        

Comparison of Non-Consolidated Balance Sheets (selected items)

           2-39     

Comparison of Non-Consolidated Statements of Income (selected items)

           2-40     

Statement of Trust Assets and Liabilities

           2-41     

Comparison of Balances of Principal Items

           2-42     

Mizuho Securities Co., Ltd.

        

Comparison of Non-Consolidated Balance Sheets (selected items)

           2-43     

Comparison of Non-Consolidated Statements of Income (selected items)

           2-44     

 

 

This immediate release contains statements that constitute forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, including estimates, forecasts, targets and plans. Such forward-looking statements do not represent any guarantee by management of future performance.

In many cases, but not all, we use such words as “aim,” “anticipate,” “believe,” “endeavor,” “estimate,” “expect,” “intend,” “may,” “plan,” “probability,” “project,” “risk,” “seek,” “should,” “strive,” “target” and similar expressions in relation to us or our management to identify forward-looking statements. You can also identify forward-looking statements by discussions of strategy, plans or intentions. These statements reflect our current views with respect to future events and are subject to risks, uncertainties and assumptions.

We may not be successful in implementing our business strategies, and management may fail to achieve its targets, for a wide range of possible reasons, including, without limitation: incurrence of significant credit-related costs; declines in the value of our securities portfolio; changes in interest rates; foreign currency fluctuations; decrease in the market liquidity of our assets; revised assumptions or other changes related to our pension plans; a decline in our deferred tax assets; the effect of financial transactions entered into for hedging and other similar purposes; failure to maintain required capital adequacy ratio levels; downgrades in our credit ratings; our ability to avoid reputational harm; our ability to implement our Medium-term Business Plan, realize the synergy effects of “One MIZUHO,” and implement other strategic initiatives and measures effectively; the effectiveness of our operational, legal and other risk management policies; the effect of changes in general economic conditions in Japan and elsewhere; and changes to applicable laws and regulations.

Further information regarding factors that could affect our financial condition and results of operations is included in “Item 3.D. Key Information—Risk Factors” and “Item 5. Operating and Financial Review and Prospects” in our most recent Form 20-F filed with the U.S. Securities and Exchange Commission (“SEC”), which is available in the Financial Information section of our web page at www.mizuho-fg.com/index.html and also at the SEC’s web site at www.sec.gov.

We do not intend to update our forward-looking statements. We are under no obligation, and disclaim any obligation, to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by the rules of the Tokyo Stock Exchange.

 


Mizuho Financial Group, Inc.

 

I. FINANCIAL DATA FOR THE FIRST HALF OF FISCAL 2016

1. Income Analysis

Consolidated

 

            (Millions of yen)  
            First Half of Fiscal 2016        
                  Change     First Half of
Fiscal 2015
 

Consolidated Gross Profits

     1         1,089,677        (42,179     1,131,857   

Net Interest Income

     2         436,380        (87,131     523,511   

Fiduciary Income

     3         24,729        (1,669     26,399   

Credit Costs for Trust Accounts

     4         —          —          —     

Net Fee and Commission Income

     5         282,910        (10,048     292,958   

Net Trading Income

     6         212,404        68,277        144,127   

Net Other Operating Income

     7         133,252        (11,607     144,859   

General and Administrative Expenses

     8         (704,164     (30,708     (673,456

Expenses related to Portfolio Problems (including Reversal of (Provision for) General Reserve for Losses on Loans)

     9         (10,313     3,737        (14,050

Losses on Write-offs of Loans

     10         (10,480     3,740        (14,220

Gains on Reversal of Reserves for Possible Losses on Loans, and others

     11         23,843        5,844        17,998   

Net Gains (Losses) related to Stocks

     12         60,862        (53,988     114,850   

Equity in Income from Investments in Affiliates

     13         11,327        (5,201     16,529   

Other

     14         (50,288     (31,149     (19,139
     

 

 

   

 

 

   

 

 

 

Ordinary Profits

     15         420,944        (153,645     574,590   
     

 

 

   

 

 

   

 

 

 

Net Extraordinary Gains (Losses)

     16         (1,819     (19,159     17,340   

Income before Income Taxes

     17         419,125        (172,804     591,930   

Income Taxes—Current

     18         (101,907     32,906        (134,814

—Deferred

     19         63,140        101,994        (38,853

Profit

     20         380,358        (37,903     418,262   

Profit Attributable to Non-controlling Interests

     21         (22,175     11,889        (34,064
     

 

 

   

 

 

   

 

 

 

Profit Attributable to Owners of Parent

     22         358,183        (26,014     384,198   
     

 

 

   

 

 

   

 

 

 

Credit-related Costs (including Credit Costs for Trust Accounts)

     23         13,529        9,581        3,948   

* Credit-related Costs [23] =   Expenses related to Portfolio Problems (including Reversal of (Provision for) General Reserve for Losses on Loans) [9] + Gains on Reversal of Reserves for Possible Losses on Loans, and others [11] + Credit Costs for Trust Accounts [4]

   

(Reference)   

Consolidated Net Business Profits

     24         403,245        (43,480     446,725   

* Consolidated Net Business Profits [24] =    Consolidated Gross Profits [1] – General and Administrative Expenses (excluding Non-Recurring Losses) + Equity in Income from Investments in Affiliates and certain other consolidation adjustments

   

Number of consolidated subsidiaries

     25         142        (5     147   

Number of affiliates under the equity method

     26         22        (2     24   

 

2-1


Mizuho Financial Group, Inc.

 

Aggregate Figures for the 2 Banks

Non-Consolidated

 

            (Millions of yen)  
            First Half of Fiscal 2016     First Half of
Fiscal 2015
 
            MHBK     MHTB     Aggregate
Figures
    Change    

Gross Profits

     1         707,357        60,815        768,172        (54,809     822,982   

Domestic Gross Profits

     2         419,605        54,575        474,180        (2,531     476,711   

Net Interest Income

     3         260,933        12,363        273,296        (26,709     300,006   

Fiduciary Income

     4           24,295        24,295        (2,487     26,782   

Trust Fees for Jointly Operated Designated Money Trust

     5           1,596        1,596        141        1,455   

Credit Costs for Trust Accounts *

     6           —          —          —          —     

Net Fee and Commission Income

     7         114,490        12,718        127,208        5,575        121,633   

Net Trading Income

     8         (5,326     1,590        (3,736     (7,385     3,648   

Net Other Operating Income

     9         49,508        3,607        53,116        28,475        24,640   

International Gross Profits

     10         287,752        6,239        293,992        (52,278     346,270   

Net Interest Income

     11         101,427        2,936        104,363        (46,515     150,878   

Net Fee and Commission Income

     12         69,129        (587     68,542        (8,762     77,305   

Net Trading Income

     13         80,390        (1,113     79,276        38,834        40,442   

Net Other Operating Income

     14         36,804        5,004        41,809        (35,834     77,644   

General and Administrative Expenses (excluding Non-Recurring Losses)

     15         (423,676     (40,662     (464,339     (7,745     (456,593

Expense Ratio

     16         59.8     66.8     60.4     4.9     55.4

Personnel Expenses

     17         (156,150     (19,078     (175,229     (4,773     (170,456

Non-Personnel Expenses

     18         (238,715     (19,514     (258,230     (1,208     (257,022

Premium for Deposit Insurance

     19         (16,079     (708     (16,788     (882     (15,905

Miscellaneous Taxes

     20         (28,810     (2,069     (30,879     (1,764     (29,115
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Business Profits (before Reversal of (Provision for) General Reserve for Losses on Loans)

     21         283,681        20,152        303,833        (62,555     366,389   
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Excluding Net Gains (Losses) related to Bonds

     22         190,713        11,521        202,234        (87,164     289,399   
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Reversal of (Provision for) General Reserve for Losses on Loans

     23         8,685        —          8,685        8,685        —     
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Business Profits

     24         292,366        20,152        312,518        (53,870     366,389   
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Gains (Losses) related to Bonds

     25         92,967        8,631        101,598        24,609        76,989   
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Non-Recurring Gains (Losses)

     26         (11,196     10,699        (496     (75,905     75,409   

Net Gains (Losses) related to Stocks

     27         51,346        14,039        65,385        (34,270     99,656   

Expenses related to Portfolio Problems

     28         (15,823     (2     (15,825     (3,810     (12,015

Gains on Reversal of Reserves for Possible Losses on Loans, and others

     29         16,094        471        16,565        5,017        11,548   

Other

     30         (62,813     (3,809     (66,622     (42,842     (23,780
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Ordinary Profits

     31         281,170        30,851        312,022        (129,775     441,798   
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Extraordinary Gains (Losses)

     32         (1,220     (61     (1,282     (6,297     5,014   

Net Gains (Losses) on Disposition of Fixed Assets

     33         184        (61     122        (5,161     5,284   

Losses on Impairment of Fixed Assets

     34         (1,405     —          (1,405     (1,135     (269

Income before Income Taxes

     35         279,949        30,789        310,739        (136,072     446,812   

Income Taxes—Current

     36         (76,978     (7,952     (84,930     31,518        (116,448

—Deferred

     37         9,716        (261     9,455        35,770        (26,315
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Income

     38         212,688        22,576        235,264        (68,783     304,048   
     

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

* Net Business Profits (before Reversal of (Provision for) General Reserve for Losses on Loans) for MHTB excludes the amounts of “Credit Costs for Trust Accounts” [6].

   

Credit-related Costs

     39         8,955        469        9,425        9,892        (466

* Credit-related Costs [39] =    Expenses related to Portfolio Problems [28] + Reversal of (Provision for) General Reserve for Losses on Loans [23] + Gains on Reversal of Reserves for Possible Losses on Loans, and others [29] + Credit Costs for Trust Accounts [6]

   

(Reference) Breakdown of Credit-related Costs

             

Credit Costs for Trust Accounts

     40           —          —          —          —     

Reversal of (Provision for) General Reserve for Losses on Loans

     41         8,685        352        9,038        7,209        1,829   

Losses on Write-offs of Loans

     42         7,427        (2     7,425        10,637        (3,211

Reversal of (Provision for) Specific Reserve for Possible Losses on Loans

     43         (7,091     118        (6,973     (7,548     575   

Reversal of (Provision for) Reserve for Possible Losses on Loans to Restructuring Countries

     44         4        0        4        (580     584   

Reversal of (Provision for) Reserve for Contingencies

     45         362        —          362        169        192   

Other (including Losses on Sales of Loans)

     46         (431     —          (431     5        (437

Total

     47         8,955        469        9,425        9,892        (466

 

2-2


Mizuho Financial Group, Inc.

 

Mizuho Bank

Non-Consolidated

 

            (Millions of yen)  
            First Half of Fiscal 2016        
                  Change     First Half of
Fiscal 2015
 

Gross Profits

     1         707,357        (48,921     756,279   

Domestic Gross Profits

     2         419,605        (3,058     422,663   

Net Interest Income

     3         260,933        (23,865     284,799   

Net Fee and Commission Income

     4         114,490        4,376        110,113   

Net Trading Income

     5         (5,326     (11,491     6,164   

Net Other Operating Income

     6         49,508        27,922        21,586   

International Gross Profits

     7         287,752        (45,863     333,616   

Net Interest Income

     8         101,427        (44,631     146,058   

Net Fee and Commission Income

     9         69,129        (8,454     77,584   

Net Trading Income

     10         80,390        43,353        37,037   

Net Other Operating Income

     11         36,804        (36,130     72,935   

General and Administrative Expenses (excluding Non-Recurring Losses)

     12         (423,676     (5,845     (417,831

Expense Ratio

     13         59.8 %      4.6 %      55.2 % 

Personnel Expenses

     14         (156,150     (3,665     (152,485

Non-Personnel Expenses

     15         (238,715     (448     (238,266

Premium for Deposit Insurance

     16         (16,079 )      (794 )      (15,285 ) 

Miscellaneous Taxes

     17         (28,810     (1,730     (27,079
     

 

 

   

 

 

   

 

 

 

Net Business Profits (before Reversal of (Provision for) General Reserve for Losses on Loans)

     18         283,681        (54,767     338,448   
     

 

 

   

 

 

   

 

 

 

Excluding Net Gains (Losses) related to Bonds

     19         190,713        (78,642 )      269,355   
     

 

 

   

 

 

   

 

 

 

Reversal of (Provision for) General Reserve for Losses on Loans

     20         8,685        8,685        —     
     

 

 

   

 

 

   

 

 

 

Net Business Profits

     21         292,366        (46,082     338,448   
     

 

 

   

 

 

   

 

 

 

Net Gains (Losses) related to Bonds

     22         92,967        23,874        69,092   
     

 

 

   

 

 

   

 

 

 

Net Non-Recurring Gains (Losses)

     23         (11,196     (83,802     72,606   

Net Gains (Losses) related to Stocks

     24         51,346        (45,591     96,938   

Expenses related to Portfolio Problems

     25         (15,823     (3,808     (12,015

Gains on Reversal of Reserves for Possible Losses on Loans, and others

     26         16,094        5,566        10,528   

Other

     27         (62,813     (39,969     (22,844
     

 

 

   

 

 

   

 

 

 

Ordinary Profits

     28         281,170        (129,884     411,055   
     

 

 

   

 

 

   

 

 

 

Net Extraordinary Gains (Losses)

     29         (1,220     (5,492     4,271   

Net Gains (Losses) on Disposition of Fixed Assets

     30         184        (4,356 )      4,541   

Losses on Impairment of Fixed Assets

     31         (1,405     (1,135 )      (269 ) 

Income before Income Taxes

     32         279,949        (135,377     415,326   

Income Taxes—Current

     33         (76,978     33,172        (110,150

—Deferred

     34         9,716        32,467        (22,750
     

 

 

   

 

 

   

 

 

 

Net Income

     35         212,688        (69,737     282,426   
     

 

 

   

 

 

   

 

 

 

Credit-related Costs

     36         8,955        10,443        (1,487

* Credit-related Costs  [36] =   Expenses related to Portfolio Problems [25] + Reversal of (Provision for) General Reserve for Losses on Loans [20] + Gains on Reversal of Reserves for Possible Losses on Loans, and others [26]

   

 

(Reference) Breakdown of Credit-related Costs

         

Reversal of (Provision for) General Reserve for Losses on Loans

     37         8,685        7,427        1,257   

Losses on Write-offs of Loans

     38         7,427        10,639        (3,211

Reversal of (Provision for) Specific Reserve for Possible Losses on Loans

     39         (7,091     (7,218     126   

Reversal of (Provision for) Reserve for Possible Losses on Loans to Restructuring Countries

     40         4        (580     584   

Reversal of (Provision for) Reserve for Contingencies

     41         362        169        192   

Other (including Losses on Sales of Loans)

     42         (431     5        (437

Total

     43         8,955        10,443        (1,487

 

2-3


Mizuho Financial Group, Inc.

 

Mizuho Trust & Banking

Non-Consolidated

 

            (Millions of yen)  
            First Half of
Fiscal 2016
    First Half  of
Fiscal 2015
 
                  Change    

Gross Profits

     1         60,815        (5,887     66,703   

Domestic Gross Profits

     2         54,575        527        54,048   

Net Interest Income

     3         12,363        (2,843     15,207   

Fiduciary Income

     4         24,295        (2,487     26,782   

Trust Fees for Jointly Operated Designated Money Trust

     5         1,596        141        1,455   

Credit Costs for Trust Accounts *

     6         —          —          —     

Net Fee and Commission Income

     7         12,718        1,198        11,519   

Net Trading Income

     8         1,590        4,106        (2,516

Net Other Operating Income

     9         3,607        553        3,054   

International Gross Profits

     10         6,239        (6,414     12,654   

Net Interest Income

     11         2,936        (1,884     4,820   

Net Fee and Commission Income

     12         (587     (307     (279

Net Trading Income

     13         (1,113     (4,518     3,404   

Net Other Operating Income

     14         5,004        295        4,708   

General and Administrative Expenses (excluding Non-Recurring Losses)

     15         (40,662     (1,900     (38,762

Expense Ratio

     16         66.8     8.7     58.1

Personnel Expenses

     17         (19,078     (1,107     (17,971

Non-Personnel Expenses

     18         (19,514     (759     (18,755

Premium for Deposit Insurance

     19         (708     (88     (619

Miscellaneous Taxes

     20         (2,069     (33     (2,035
     

 

 

   

 

 

   

 

 

 

Net Business Profits (before Reversal of (Provision for) General Reserve for Losses on Loans)

     21         20,152        (7,788     27,940   
     

 

 

   

 

 

   

 

 

 

Excluding Net Gains (Losses) related to Bonds

     22         11,521        (8,522     20,043   
     

 

 

   

 

 

   

 

 

 

Reversal of (Provision for) General Reserve for Losses on Loans

     23         —          —          —     
     

 

 

   

 

 

   

 

 

 

Net Business Profits

     24         20,152        (7,788     27,940   
     

 

 

   

 

 

   

 

 

 

Net Gains (Losses) related to Bonds

     25         8,631        734        7,897   
     

 

 

   

 

 

   

 

 

 

Net Non-Recurring Gains (Losses)

     26         10,699        7,897        2,802   

Net Gains (Losses) related to Stocks

     27         14,039        11,321        2,717   

Expenses related to Portfolio Problems

     28         (2     (2     (0

Gains on Reversal of Reserves for Possible Losses on Loans, and others

     29         471        (548     1,020   

Other

     30         (3,809     (2,873     (936
     

 

 

   

 

 

   

 

 

 

Ordinary Profits

     31         30,851        108        30,742   
     

 

 

   

 

 

   

 

 

 

Net Extraordinary Gains (Losses)

     32         (61     (804     742   

Net Gains (Losses) on Disposition of Fixed Assets

     33         (61     (804     742   

Losses on Impairment of Fixed Assets

     34         —          —          —     

Income before Income Taxes

     35         30,789        (695     31,485   

Income Taxes—Current

     36         (7,952     (1,653     (6,298

—Deferred

     37         (261     3,303        (3,564
     

 

 

   

 

 

   

 

 

 

Net Income

     38         22,576        953        21,622   
     

 

 

   

 

 

   

 

 

 

* Net Business Profits (before Reversal of (Provision for) General Reserve for Losses on Loans) excludes the amounts of “Credit Costs for Trust Accounts” [6].

  

Credit-related Costs

     39         469        (551     1,020   

* Credit-related Costs [39] =   Expenses related to Portfolio Problems [28] + Reversal of (Provision for) General Reserve for Losses on Loans [23] + Gains on Reversal of Reserves for Possible Losses on Loans, and others [29] + Credit Costs for Trust Accounts [6]

   

(Reference) Breakdown of Credit-related Costs

         

Credit Costs for Trust Accounts

     40         —          —          —     

Reversal of (Provision for) General Reserve for Losses on Loans

     41         352        (218     571   

Losses on Write-offs of Loans

     42         (2     (2     (0

Reversal of (Provision for) Specific Reserve for Possible Losses on Loans

     43         118        (330     449   

Reversal of (Provision for) Reserve for Possible Losses on Loans to Restructuring Countries

     44         0        0        —     

Reversal of (Provision for) Reserve for Contingencies

     45         —          —          —     

Other (including Losses on Sales of Loans)

     46         —          —          —     

Total

     47         469        (551     1,020   

 

 

2-4


Mizuho Financial Group, Inc.

 

2. Interest Margins (Domestic Operations)

Non-Consolidated

 

                   (%)  

Mizuho Bank

                 First Half of
Fiscal 2016
    First Half  of
Fiscal 2015
 
                       Change    

Return on Interest-Earning Assets

        1         0.57        (0.06     0.64   

Return on Loans and Bills Discounted *1

        2         0.90        (0.09     1.00   

Return on Securities

        3         0.48        0.01        0.47   

Cost of Funding (including Expenses)

        4         0.73        0.00        0.73   

Cost of Deposits (including Expenses)

        5         0.79        (0.01     0.80   

Cost of Deposits *2

        6         0.01        (0.03     0.04   

Cost of Other External Liabilities

        7         0.20        0.03        0.17   
        

 

 

   

 

 

   

 

 

 

Net Interest Margin

     (1)-(4)         8         (0.15     (0.07     (0.08

Loan and Deposit Rate Margin (including Expenses)

     (2)-(5)         9         0.10        (0.08     0.19   

Loan and Deposit Rate Margin

     (2)-(6)         10         0.89        (0.06     0.96   
        

 

 

   

 

 

   

 

 

 

 

*1  Return on Loans and Bills Discounted excludes loans to financial institutions (including MHFG).

*2  Deposits include Negotiable Certificates of Deposit (“NCDs”).

 

(Reference) After excluding loans to the Japanese government and others

 

     

     

  

Return on Loans and Bills Discounted

        11         0.96        (0.10     1.06   

Loan and Deposit Rate Margin (including Expenses)

     (11)-(5)         12         0.17        (0.08     0.25   

Loan and Deposit Rate Margin

     (11)-(6)         13         0.95        (0.07     1.02   
                   (%)  

Mizuho Trust & Banking

                 First Half of
Fiscal 2016
    First Half of
Fiscal 2015
 
                       Change    

Return on Interest-Earning Assets

        14         0.49        (0.18     0.68   

Return on Loans and Bills Discounted *1

        15         0.68        (0.23     0.91   

Return on Securities

        16         0.76        (0.29     1.06   

Cost of Funding

        17         0.09        (0.07     0.16   

Cost of Deposits *2

        18         0.04        (0.03     0.07   
        

 

 

   

 

 

   

 

 

 

Net Interest Margin

     (14)-(17)         19         0.40        (0.11     0.52   

Loan and Deposit Rate Margin

     (15)-(18)         20         0.64        (0.19     0.83   
        

 

 

   

 

 

   

 

 

 

 

*1  Return on Loans and Bills Discounted excludes loans to financial institutions (including MHFG).

*2  Deposits include NCDs.

 

(Reference) After excluding loans to the Japanese government and others

 

     

     

  

Return on Loans and Bills Discounted

        21         0.75        (0.16     0.92   

Loan and Deposit Rate Margin

     (21)-(18)         22         0.71        (0.13     0.84   
(Reference)                  (%)  

Aggregate Figures for the 2 Banks

                 First Half of
Fiscal 2016
    First Half of
Fiscal 2015
 
                       Change    

Return on Loans and Bills Discounted *1

        23         0.88        (0.10     0.99   

Cost of Deposits *2

        24         0.01        (0.03     0.04   
        

 

 

   

 

 

   

 

 

 

Loan and Deposit Rate Margin

     (23)-(24)         25         0.87        (0.07     0.95   

 

*1  Return on Loans and Bills Discounted excludes loans to financial institutions (including MHFG).

     

*2  Deposits include NCDs.

     

 

(Reference) After excluding loans to the Japanese government and others

 

            

Return on Loans and Bills Discounted

        26         0.94        (0.11     1.05   

Loan and Deposit Rate Margin

     (26)-(24)         27         0.93        (0.07     1.01   

 

2-5


Mizuho Financial Group, Inc.

 

3. Use and Source of Funds

Non-Consolidated

Mizuho Bank

 

     (Millions of yen, %)  
     First Half of Fiscal 2016     First Half of Fiscal 2015  
            Change    
     Average Balance      Rate      Average Balance     Rate     Average Balance      Rate  

(Total)

               

Use of Funds

     140,372,105         0.81         (2,017,379     (0.04     142,389,485         0.85   

Loans and Bills Discounted

     68,297,590         1.13         (2,191,933     (0.00     70,489,523         1.13   

Securities

     31,438,449         0.76         (6,196,201     (0.00     37,634,651         0.76   
  

 

 

    

 

 

    

 

 

   

 

 

   

 

 

    

 

 

 

Source of Funds

     140,082,105         0.29         (1,959,741     0.04        142,041,847         0.24   

Deposits

     102,255,276         0.15         8,050,164        0.03        94,205,111         0.12   

NCDs

     9,334,025         0.37         (6,723,681     0.17        16,057,707         0.20   

(Domestic Operations)

               

Use of Funds

     98,899,606         0.57         (1,704,621     (0.06     100,604,227         0.64   

Loans and Bills Discounted

     46,087,694         0.89         (1,243,518     (0.10     47,331,212         0.99   

Securities

     19,678,561         0.48         (5,760,475     0.01        25,439,036         0.47   
  

 

 

    

 

 

    

 

 

   

 

 

   

 

 

    

 

 

 

Source of Funds

     98,937,606         0.05         (1,215,182     (0.02     100,152,788         0.08   

Deposits

     80,746,519         0.01         6,651,088        (0.02     74,095,430         0.03   

NCDs

     5,924,246         0.01         (4,758,106     (0.06     10,682,352         0.08   

(International Operations)

               

Use of Funds

     44,374,602         1.29         (870,816     0.04        45,245,418         1.25   

Loans and Bills Discounted

     22,209,896         1.62         (948,414     0.21        23,158,311         1.41   

Securities

     11,759,887         1.22         (435,726     (0.15     12,195,614         1.37   
  

 

 

    

 

 

    

 

 

   

 

 

   

 

 

    

 

 

 

Source of Funds

     44,046,602         0.84         (1,302,617     0.24        45,349,219         0.60   

Deposits

     21,508,756         0.69         1,399,075      &n