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 January 2017

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 ☒    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 ☒

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NO. 333-213187) AND TO BE A PART OF SUCH PROSPECTUS FROM THE DATE ON WHICH THIS REPORT IS FURNISHED, TO THE EXTENT NOT SUPERSEDED BY DOCUMENTS OR REPORTS SUBSEQUENTLY FILED OR FURNISHED.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: January 31, 2017
Mizuho Financial Group, Inc.
By:  

/s/ Koichi Iida

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


For Immediate Release:  

 

  

Consolidated Financial Statements for the Third Quarter of Fiscal 2016
(Nine months ended December 31, 2016)

<Under Japanese GAAP>

   LOGO

 

Company Name:    Mizuho Financial Group, Inc. (“MHFG”)    January 31, 2017
Stock Code Number (Japan):       8411      
Stock Exchange (Japan):   Tokyo Stock Exchange (First Section)   
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):                February 14, 2017    Trading Accounts: Established            
Commencement of Dividend Payment (scheduled):                    -   
Supplementary Materials on Quarterly Results:                Attached   
IR Conference on Quarterly Results:                Not scheduled   

Amounts less than one million yen are rounded down.

1. Financial Highlights for the Third Quarter of Fiscal 2016 (for the nine months ended December 31, 2016)

(1) Consolidated Results of Operations (Accumulated Period)

 

(%: Changes from the corresponding period of the previous fiscal year)  
     Ordinary Income      Ordinary Profits     Profit Attributable
to Owners of
Parent
 
     ¥ million      %      ¥ million      %     ¥ million      %  

3Q F2016

     2,395,600         0.4         575,783         (25.2     504,655         (2.8

3Q F2015

     2,385,807         3.3         769,909         (4.7     519,491         (0.7

 

Note:

 

Comprehensive Income:

3Q F2016: ¥387,090 million, 11.5%; 3Q F2015: ¥347,075 million, (72.6)%

 

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

3Q F2016

     19.97         19.88   

3Q F2015

     20.91         20.46   

(2) Consolidated Financial Conditions

 

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

3Q F2016

     204,383,032         9,114,333         4.0   

Fiscal 2015

     193,458,580         9,353,244         4.2   

 

Reference:    

 

Own Capital:

As of December 31, 2016: ¥8,361,706 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 corresponding period of 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 following:
     

•   The average of “the average number of shares during 1Q, 2Q and 3Q” and “the number of outstanding shares as of December 31, 2016 (which is expected to be the average number of shares during 4Q of fiscal 2016)” is used.


* Notes

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

(2) Adoption of Specified Accounting Methods for the Preparation of Quarterly Consolidated Financial Statements: No

(3) 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.

(4) Issued Shares of Common Stock

 

Period-end issued shares (including treasury stock):

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

Period-end treasury stock:

     As of December 31, 2016         20,071,135 shares         As of March 31, 2016         10,929,211 shares   

③ Average outstanding shares (accumulated period):

     3Q Fiscal 2016         25,259,486,767 shares         3Q Fiscal 2015         24,767,389,030 shares   

(*Presentation of Implementation Status of Quarterly Review Procedure)

The review procedure of quarterly financial statements based on the Financial Instruments and Exchange Law has not been completed at the time of the disclosure of these Consolidated 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”) and our report on Form 6-K furnished to the SEC on January 13, 2017, both of which are 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.

 

 

 

 


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.   

Quarterly 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) Note for Assumption of Going Concern      p.1-7   
   (4) Note for Significant Changes in the Amount of Shareholders’ Equity      p.1-7   
   øSELECTED FINANCIAL INFORMATION For the Third Quarter 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.

 

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 the first quarter ended June 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.

 

1-2


Mizuho Financial Group, Inc.

 

2. Quarterly Consolidated Financial Statements

(1) Consolidated Balance Sheets

 

     Millions of yen  
     As of
March 31, 2016
    As of
December 31, 2016
 

Assets

    

Cash and Due from Banks

   ¥ 36,315,471      ¥ 42,239,153   

Call Loans and Bills Purchased

     893,545        3,350,216   

Receivables under Resale Agreements

     7,805,798        9,310,323   

Guarantee Deposits Paid under Securities Borrowing Transactions

     3,407,390        4,783,893   

Other Debt Purchased

     2,979,797        2,737,380   

Trading Assets

     13,004,522        12,316,374   

Money Held in Trust

     175,638        252,372   

Securities

     39,505,971        33,668,600   

Loans and Bills Discounted

     73,708,884        77,590,637   

Foreign Exchange Assets

     1,447,743        1,955,482   

Derivatives other than for Trading Assets

     3,157,752        3,474,571   

Other Assets

     4,144,131        4,978,265   

Tangible Fixed Assets

     1,085,791        1,075,255   

Intangible Fixed Assets

     804,567        1,013,233   

Net Defined Benefit Asset

     646,428        686,895   

Deferred Tax Assets

     36,517        56,178   

Customers’ Liabilities for Acceptances and Guarantees

     4,798,158        5,350,103   

Reserves for Possible Losses on Loans

     (459,531     (455,906
  

 

 

   

 

 

 

Total Assets

   ¥ 193,458,580      ¥ 204,383,032   
  

 

 

   

 

 

 

 

1-3


Mizuho Financial Group, Inc.

 

     Millions of yen  
     As of
March 31, 2016
    As of
December 31, 2016
 

Liabilities

    

Deposits

   ¥ 105,629,071      ¥ 117,403,443   

Negotiable Certificates of Deposit

     11,827,533        10,809,023   

Call Money and Bills Sold

     2,521,008        1,579,470   

Payables under Repurchase Agreements

     16,833,346        19,366,683   

Guarantee Deposits Received under Securities Lending Transactions

     2,608,971        1,703,370   

Commercial Paper

     1,010,139        817,561   

Trading Liabilities

     10,276,133        9,620,533   

Borrowed Money

     7,503,543        7,289,235   

Foreign Exchange Liabilities

     492,473        450,124   

Short-term Bonds

     648,381        249,471   

Bonds and Notes

     6,120,928        7,431,022   

Due to Trust Accounts

     5,067,490        4,532,960   

Derivatives other than for Trading Liabilities

     2,571,597        3,232,460   

Other Liabilities

     5,532,596        4,888,867   

Reserve for Bonus Payments

     62,171        35,992   

Reserve for Variable Compensation

     2,836        2,264   

Net Defined Benefit Liability

     51,514        54,255   

Reserve for Director and Corporate Auditor Retirement Benefits

     1,685        1,422   

Reserve for Possible Losses on Sales of Loans

     267        69   

Reserve for Contingencies

     5,271        4,885   

Reserve for Reimbursement of Deposits

     16,154        14,209   

Reserve for Reimbursement of Debentures

     39,245        33,079   

Reserves under Special Laws

     2,024        2,301   

Deferred Tax Liabilities

     414,799        328,728   

Deferred Tax Liabilities for Revaluation Reserve for Land

     67,991        67,155   

Acceptances and Guarantees

     4,798,158        5,350,103   
  

 

 

   

 

 

 

Total Liabilities

   ¥ 184,105,335      ¥ 195,268,698   
  

 

 

   

 

 

 

Net Assets

    

Common Stock and Preferred Stock

   ¥ 2,255,790      ¥ 2,256,275   

Capital Surplus

     1,110,164        1,134,449   

Retained Earnings

     3,197,616        3,515,270   

Treasury Stock

     (3,609     (4,875
  

 

 

   

 

 

 

Total Shareholders’ Equity

     6,559,962        6,901,119   
  

 

 

   

 

 

 

Net Unrealized Gains (Losses) on Other Securities

     1,296,039        1,296,618   

Deferred Gains or Losses on Hedges

     165,264        33,796   

Revaluation Reserve for Land

     148,483        146,904   

Foreign Currency Translation Adjustments

     (53,689     (88,398

Remeasurements of Defined Benefit Plans

     51,752        71,666   
  

 

 

   

 

 

 

Total Accumulated Other Comprehensive Income

     1,607,851        1,460,587   
  

 

 

   

 

 

 

Stock Acquisition Rights

     2,762        1,754   

Non-Controlling Interests

     1,182,668        750,872   
  

 

 

   

 

 

 

Total Net Assets

     9,353,244        9,114,333   
  

 

 

   

 

 

 

Total Liabilities and Net Assets

   ¥   193,458,580      ¥ 204,383,032   
  

 

 

   

 

 

 

 

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 nine
months ended
December 31, 2015
     For the nine
months ended
December 31, 2016
 

Ordinary Income

   ¥ 2,385,807       ¥ 2,395,600   

Interest Income

     1,069,570         1,052,662   

Interest on Loans and Bills Discounted

     697,965         697,429   

Interest and Dividends on Securities

     224,603         187,902   

Fiduciary Income

     38,112         35,238   

Fee and Commission Income

     546,463         540,438   

Trading Income

     216,540         242,502   

Other Operating Income

     238,893         281,723   

Other Ordinary Income

     276,227         243,036   

Ordinary Expenses

     1,615,897         1,819,816   

Interest Expenses

     308,247         409,628   

Interest on Deposits

     121,425         156,732   

Fee and Commission Expenses

     115,441         117,695   

Trading Expenses

     2,836         1,852   

Other Operating Expenses

     57,151         64,352   

General and Administrative Expenses

     1,008,415         1,079,276   

Other Ordinary Expenses

     123,804         147,010   
  

 

 

    

 

 

 

Ordinary Profits

     769,909         575,783   
  

 

 

    

 

 

 

Extraordinary Gains

     20,355         57,866   

Extraordinary Losses

     3,731         4,834   
  

 

 

    

 

 

 

Income before Income Taxes

     786,533         628,816   
  

 

 

    

 

 

 

Income Taxes:

     

Current

     144,349         139,651   

Deferred

     78,970         (43,146
  

 

 

    

 

 

 

Total Income Taxes

     223,320         96,504   
  

 

 

    

 

 

 

Profit

     563,213         532,311   
  

 

 

    

 

 

 

Profit Attributable to Non-controlling Interests

     43,722         27,655   
  

 

 

    

 

 

 

Profit Attributable to Owners of Parent

   ¥ 519,491       ¥ 504,655   
  

 

 

    

 

 

 

 

1-5


Mizuho Financial Group, Inc.

 

[Consolidated Statements of Comprehensive Income]

 

                                         
     Millions of yen  
     For the nine
months ended
December 31, 2015
    For the nine
months ended
December 31, 2016
 

Profit

   ¥ 563,213      ¥ 532,311   

Other Comprehensive Income

     (216,137     (145,220

Net Unrealized Gains (Losses) on Other Securities

     (222,776     2,523   

Deferred Gains or Losses on Hedges

     22,551        (131,523

Revaluation Reserve for Land

     6        (6

Foreign Currency Translation Adjustments

     (10,609     (23,131

Remeasurements of Defined Benefit Plans

     (1,675     20,055   

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

     (3,634     (13,138
  

 

 

   

 

 

 

Comprehensive Income

     347,075        387,090   
  

 

 

   

 

 

 

(Breakdown)

    

Comprehensive Income Attributable to Owners of Parent

     301,494        358,964   

Comprehensive Income Attributable to Non-controlling Interests

     45,581        28,126   

 

1-6


Mizuho Financial Group, Inc.

 

(3) Note for Assumption of Going Concern

There is no applicable information.

(4) Note for Significant Changes in the Amount of Shareholders’ Equity

There is no applicable information.

 

1-7


SELECTED FINANCIAL INFORMATION

For the Third Quarter of Fiscal 2016

(Nine months ended December 31, 2016)

<Under Japanese GAAP>

 

 

 

LOGO


C O N T E N T S

 

 

Notes:

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

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

 

 

 

FINANCIAL INFORMATION FOR THE THIRD QUARTER OF FISCAL 2016

   See above Notes      Page  

1. Income Analysis

     CON         NON         2-1     

2. Net Gains/Losses on Stocks

     CON         NON         2-3     

3. Unrealized Gains/Losses on Securities

     CON         NON         2-4     

4. Deferred Hedge Gains/Losses on Derivative Transactions Qualifying for Hedge Accounting

     NON            2-6     

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

     CON         NON         2-7     

6. Status of Deposits and Loans

     NON            2-9     

 

Attachments

     Page  

Mizuho Bank, Ltd.

  

  

Comparison of Non-Consolidated Balance Sheets (selected items)

  

     2-10     

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

  

     2-11     

Mizuho Trust & Banking Co., Ltd.

  

  

Comparison of Non-Consolidated Balance Sheets (selected items)

  

     2-12     

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

  

     2-13     

Mizuho Securities Co., Ltd.

  

  

Comparison of Non-Consolidated Balance Sheets (selected items)

  

     2-14     

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

  

     2-15     

 

 

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 else where; 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”) and our report on Form 6-K furnished to the SEC on January 13, 2017, both of which are 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.

 

FINANCIAL INFORMATION FOR THE THIRD QUARTER OF FISCAL 2016

1. Income Analysis

Consolidated

 

            (Billions of yen)  
            Third Quarter of
Fiscal 2016
(Accumulated Period)
       
                  Change     Third Quarter of
Fiscal 2015
(Accumulated Period)
 

Consolidated Gross Profits

     1         1,559.0        (66.8     1,625.9   

Net Interest Income

     2         643.0        (118.2     761.3   

Fiduciary Income

     3         35.2        (2.8     38.1   

Credit Costs for Trust Accounts

     4         —          —          —     

Net Fee and Commission Income

     5         422.7        (8.2     431.0   

Net Trading Income

     6         240.6        26.9        213.7   

Net Other Operating Income

     7         217.3        35.6        181.7   

General and Administrative Expenses

     8         (1,079.2     (70.8     (1,008.4

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

     9         (21.2     3.6        (24.8

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

     10         27.1        11.7        15.4   

Net Gains (Losses) related to Stocks

     11         137.8        (46.3     184.1   

Equity in Income from Investments in Affiliates

     12         16.5        (4.4     21.0   

Other

     13         (64.3     (20.9     (43.4
     

 

 

   

 

 

   

 

 

 

Ordinary Profits

     14         575.7        (194.1     769.9   
     

 

 

   

 

 

   

 

 

 

Net Extraordinary Gains (Losses)

     15         53.0        36.4        16.6   

Income before Income Taxes

     16         628.8        (157.7     786.5   

Income Taxes

     17         (96.5     126.8        (223.3

Profit

     18         532.3        (30.9     563.2   

Profit Attributable to Non-controlling Interests

     19         (27.6     16.0        (43.7
     

 

 

   

 

 

   

 

 

 

Profit Attributable to Owners of Parent

     20         504.6        (14.8     519.4   
     

 

 

   

 

 

   

 

 

 

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

     21         5.9        15.3        (9.3

* Credit-related Costs [21] =     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 [10] + Credit Costs for Trust Accounts [4]

     

(Reference)   

Consolidated Net Business Profits

     22         508.8        (92.2     601.0   

* Consolidated Net Business Profits [22] =  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

     23         148        1        147   

Number of affiliates under the equity method

     24         17        (7     24   

 

2-1


Mizuho Financial Group, Inc.

 

Non-Consolidated

Aggregate Figures for the 2 Banks

 

          (Billions of yen)  
          Third Quarter of Fiscal 2016 (Accumulated Period)     Third Quarter
of Fiscal 2015
(Accumulated
Period)
 
          MHBK     MHTB     Aggregate
Figures
    Change    

Gross Profits

    1        992.9        83.6        1,076.5        (89.0     1,165.6   

Net Interest Income

    2        534.7        22.1        556.9        (98.3     655.2   

Fiduciary Income

    3          34.7        34.7        (3.4     38.2   

Trust Fees for Jointly Operated Designated Money Trust

    4          1.5        1.5        0.1        1.4   

Credit Costs for Trust Accounts

    5          —          —          —          —     

Net Fee and Commission Income

    6        268.2        16.7        285.0        (3.0     288.1   

Net Trading Income

    7        46.4        0.7        47.1        (9.3     56.5   

Net Other Operating Income

    8        143.3        9.1        152.5        25.1        127.3   

General and Administrative Expenses
(excluding Non-Recurring Losses)

    9        (644.7     (60.6     (705.3     (21.1     (684.1
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

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

    10        348.1        23.0        371.1        (110.2     481.4   
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

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

    11        (7.2     —          (7.2     (0.8     (6.3
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Business Profits

    12        340.9        23.0        363.9        (111.1     475.1   

Net Gains (Losses) related to Bonds

    13        92.5        9.3        101.8        5.5        96.3   
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Non-Recurring Gains (Losses)

    14        33.1        17.9        51.0        (62.3     113.3   

Net Gains (Losses) related to Stocks

    15        112.8        23.3        136.1        (26.5     162.6   

Expenses related to Portfolio Problems

    16        (16.4     (0.0     (16.4     1.6        (18.0

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

    17        25.1        0.4        25.6        11.9        13.7   

Other

    18        (88.4     (5.8     (94.3     (49.3     (44.9
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Ordinary Profits

    19        374.1        40.9        415.0        (173.4     588.4   
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Extraordinary Gains (Losses)

    20        (2.3     (0.1     (2.5     (6.9     4.4   

Income before Income Taxes

    21        371.7        40.7        412.5        (180.4     592.9   

Income Taxes

    22        (92.1     (10.3     (102.5     79.2        (181.7
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Net Income

    23        279.5        30.4        310.0        (101.2     411.2   
   

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

*  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” [5].

   

Credit-related Costs

    24        1.5        0.4        2.0        12.7        (10.6

* Credit-related  Costs  [24]  =   Expenses related to Portfolio Problems [16] + Reversal of (Provision for) General Reserve for Losses on Loans [11] + Gains on Reversal of Reserves for Possible Losses on Loans, and others [17] + Credit Costs for Trust Accounts [5]

   

(Reference) Breakdown of Credit-related Costs

  

Credit Costs for Trust Accounts

    25          —          —          —          —     

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

    26        (7.2     0.3        (6.8     (1.1     (5.7

Losses on Write-offs of Loans

    27        15.1        (0.0     15.1        24.0        (8.9

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

    28        (5.0     0.1        (4.8     (8.3     3.4   

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

    29        0.0        0.0        0.0        (0.5     0.5   

Reversal of (Provision for) Reserve for Contingencies

    30        0.4        —          0.4        (0.4     0.8   

Other (including Losses on Sales of Loans)

    31        (1.8     —          (1.8     (0.9     (0.9

Total

    32        1.5        0.4        2.0        12.7        (10.6

 

2-2


Mizuho Financial Group, Inc.

 

2. Net Gains/Losses on Stocks

Consolidated

 

     (Billions of yen)  
     Third Quarter of
Fiscal 2016
(Accumulated
Period)
    Third Quarter of
Fiscal 2015
(Accumulated
Period)
 
           Change    

Net Gains (Losses) related to Stocks

     137.8        (46.3     184.1   

Gains on Sales

     179.6        (36.4     216.0   

Losses on Sales

     (26.6     (10.2     (16.3

Impairment (Devaluation)

     (5.3     3.5        (8.8

Reversal of (Provision for) Reserve for Possible Losses on Investments

     —          (0.0     0.0   

Gains (Losses) on Derivatives other than for Trading

     (9.8     (3.1     (6.6
Non-Consolidated       
Aggregate Figures for the 2 Banks       
     Third Quarter of
Fiscal 2016
(Accumulated
Period)
    Third Quarter of
Fiscal 2015
(Accumulated
Period)
 
           Change    

Net Gains (Losses) related to Stocks

     136.1        (26.5     162.6   

Gains on Sales

     174.5        (18.3     192.9   

Losses on Sales

     (27.4     (12.0     (15.3

Impairment (Devaluation)

     (1.1     7.0        (8.2

Reversal of (Provision for) Reserve for Possible Losses on Investments

     —          (0.0     0.0   

Gains (Losses) on Derivatives other than for Trading

     (9.8     (3.1     (6.6
Mizuho Bank       
     Third Quarter of
Fiscal 2016
(Accumulated
Period)
    Third Quarter of
Fiscal 2015
(Accumulated
Period)
 
           Change    

Net Gains (Losses) related to Stocks

     112.8        (48.3     161.2   

Gains on Sales

     151.0        (37.0     188.0   

Losses on Sales

     (27.3     (13.5     (13.7

Impairment (Devaluation)

     (1.1     5.4        (6.6

Reversal of (Provision for) Reserve for Possible Losses on Investments

     —          (0.0     0.0   

Gains (Losses) on Derivatives other than for Trading

     (9.6     (3.2     (6.3
Mizuho Trust & Banking       
     Third Quarter of
Fiscal 2016
(Accumulated
Period)
    Third Quarter of
Fiscal 2015
(Accumulated
Period)
 
           Change    

Net Gains (Losses) related to Stocks

     23.3        21.8        1.4   

Gains on Sales

     23.5        18.7        4.8   

Losses on Sales

     (0.0     1.4        (1.5

Impairment (Devaluation)

     (0.0     1.6        (1.6

Reversal of (Provision for) Reserve for Possible Losses on Investments

     —          (0.0     0.0   

Gains (Losses) on Derivatives other than for Trading

     (0.1     0.0        (0.2

 

2-3


Mizuho Financial Group, Inc.

 

3. Unrealized Gains/Losses on Securities

Securities for which it is deemed to be extremely difficult to determine the fair value are excluded.

Consolidated

(1) Other Securities

 

     (Billions of yen)  
     As of December 31, 2016      As of March 31, 2016      As of September 30, 2016 (Reference)  
     Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses  
              Gains      Losses                Gains      Losses                Gains      Losses  
MHFG (Consolidated)                                   

Other Securities

     29,550.4         1,848.2        2,155.5         307.3         34,675.6         1,881.8         2,059.6         177.7         28,403.7         1,646.9         1,836.7         189.7   

Japanese Stocks

     3,579.5         1,841.1        1,881.9         40.7         3,457.6         1,610.4         1,681.9         71.5         3,227.0         1,428.0         1,512.4         84.3   

Japanese Bonds

     14,036.3         36.8        69.8         32.9         18,874.4         136.5         148.0         11.5         13,495.3         88.3         104.1         15.8   

Japanese Government Bonds

     10,901.2         17.1        34.1         16.9         15,765.8         95.8         96.2         0.4         10,374.8         53.9         56.9         2.9   

Other

     11,934.5         (29.7     203.8         233.5         12,343.5         134.9         229.6         94.7         11,681.2         130.5         220.1         89.5   

Foreign Bonds

     9,058.3         (160.8     17.1         177.9         9,719.5         41.0         67.9         26.8         8,952.7         47.3         64.9         17.6   

 

*    In addition to “Securities” on the consolidated balance sheets, NCDs in “Cash and Due from Banks,” certain items in “Other Debt Purchased” and certain items in “Other Assets” are also included.

*    Fair value of Japanese stocks with a quoted market price is determined based on the average quoted market price over the month preceding the consolidated balance sheet date.

      Fair value of securities other than Japanese stocks is determined at the quoted market price if available, or other reasonable value at the consolidated balance sheet date.

*    Unrealized Gains/Losses include ¥20.1 billion, ¥15.0 billion, and ¥26.7 billion, which were recognized in the statement of income for December 31, 2016, September 30, 2016, and March 31, 2016 respectively, by

applying the fair-value hedge method.

 

(2) Bonds Held to Maturity

 

       

       

         

        

  

  

     (Billions of yen)  
     As of December 31, 2016      As of March 31, 2016      As of September 30, 2016 (Reference)  
     Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses  
              Gains      Losses                Gains      Losses                Gains      Losses  

MHFG (Consolidated)

     4,153.1         34.0        40.6         6.6         4,817.5         55.6         61.0         5.3         4,258.6         59.2         60.2         1.0   

 

Non-Consolidated

 

Aggregate Figures for the 2 Banks

 

(1) Other Securities

 

  

  

  

     (Billions of yen)  
     As of December 31, 2016      As of March 31, 2016      As of September 30, 2016 (Reference)  
     Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses  
              Gains      Losses                Gains      Losses                Gains      Losses  

MHBK

                                  

Other Securities

     27,241.2         1,515.7        1,812.1         296.3         32,065.2         1,561.4         1,736.5         175.0         26,141.5         1,350.4         1,536.3         185.8   

Japanese Stocks

     3,270.4         1,649.7        1,693.2         43.5         3,148.2         1,426.4         1,500.9         74.4         2,939.3         1,262.4         1,349.4         87.0   

Japanese Bonds

     13,156.7         37.6        68.7         31.1         17,916.9         134.1         145.3         11.1         12,746.9         87.0         102.3         15.2   

Japanese Government Bonds

     10,295.2         18.2        33.5         15.2         15,150.8         93.5         94.0         0.4         9,894.0         53.0         55.7         2.6   

Other

     10,814.0         (171.6     50.0         221.6         10,999.9         0.8         90.3         89.4         10,455.2         0.9         84.5         83.5   

Foreign Bonds

     8,568.1         (154.2     14.8         169.1         9,000.9         32.6         59.2         26.5         8,330.8         40.0         57.3         17.2   

MHTB

                                  

Other Securities

     1,243.1         114.6        129.7         15.0         1,443.5         121.6         129.5         7.8         1,219.0         104.0         113.3         9.2   

Japanese Stocks

     229.4         119.9        122.3         2.3         231.4         112.5         115.3         2.7         212.7         96.9         100.9         4.0   

Japanese Bonds

     661.9         (0.9     0.8         1.8         655.0         2.2         2.5         0.2         535.6         1.0         1.5         0.5   

Japanese Government Bonds

     605.8         (1.1     0.5         1.6         573.9         2.2         2.2         0.0         480.5         0.8         1.2         0.3   

Other

     351.7         (4.3     6.4         10.8         557.1         6.9         11.6         4.7         470.7         6.1         10.8         4.7   

Foreign Bonds

     203.8         (8.4     0.3         8.7         440.2         5.6         5.8         0.1         330.8         5.3         5.6         0.2   

Total

                                  

Other Securities

     28,484.3         1,630.4        1,941.8         311.3         33,508.8         1,683.1         1,866.0         182.9         27,360.5         1,454.5         1,649.6         195.0   

Japanese Stocks

     3,499.8         1,769.7        1,815.6         45.8         3,379.6         1,538.9         1,616.2         77.2         3,152.0         1,359.3         1,450.3         91.0   

Japanese Bonds

     13,818.6         36.7        69.6         32.9         18,572.0         136.3         147.8         11.4         13,282.5         88.1         103.9         15.8   

Japanese Government Bonds

     10,901.0         17.1        34.0         16.9         15,724.8         95.8         96.2         0.4         10,374.5         53.9         56.9         2.9   

Other

     11,165.8         (175.9     56.5         232.5         11,557.1         7.8         101.9         94.1         10,925.9         7.1         95.3         88.2   

Foreign Bonds

     8,772.0         (162.6     15.1         177.8         9,441.1         38.2         65.0         26.7         8,661.7         45.4         62.9         17.5   

 

* In addition to “Securities” on the balance sheets, NCDs in “Cash and Due from Banks” and certain items in “Other Debt Purchased” are also included.
* Fair value of Japanese stocks with a quoted market price is determined based on the average quoted market price over the month preceding the balance sheet date.
   Fair value of securities other than Japanese stocks is determined at the quoted market price if available, or other reasonable value at the balance sheet date.
* Unrealized Gains/Losses include ¥20.1 billion, ¥15.0 billion, and ¥26.7 billion, which were recognized in the statement of income for December 31, 2016, September 30, 2016, and March 31, 2016 respectively, by applying the fair-value hedge method.

 

2-4


Mizuho Financial Group, Inc.

 

(2) Bonds Held to Maturity

 

     (Billions of yen)  
     As of December 31, 2016      As of March 31, 2016      As of September 30, 2016
(Reference)
 
     Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses  
               Gains      Losses                Gains      Losses                Gains      Losses  

MHBK

     4,153.1         34.0         40.6         6.6         4,817.5         55.6         61.0         5.3         4,258.6         59.2         60.2         1.0   

MHTB

     —           —           —           —           —           —           —           —           —           —           —           —     

Total

     4,153.1         34.0         40.6         6.6         4,817.5         55.6         61.0         5.3         4,258.6         59.2         60.2         1.0   
(3) Investments in Subsidiaries and Affiliates   
     (Billions of yen)  
     As of December 31, 2016      As of March 31, 2016      As of September 30, 2016
(Reference)
 
     Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses      Book Value      Unrealized Gains/Losses  
               Gains      Losses                Gains      Losses                Gains      Losses  

MHBK

     108.6         176.8         178.1         1.2         108.6         162.0         164.1         2.0         108.6         133.9         136.9         2.9   

MHTB

     —           —           —           —           —           —           —           —           —           —           —           —     

Total

     108.6         176.8         178.1         1.2         108.6         162.0         164.1         2.0         108.6         133.9         136.9         2.9   

(Reference)

Unrealized Gains/Losses on Other Securities

(the base amount to be recorded directly to Net Assets after tax and other necessary adjustments)

For certain Other Securities, Unrealized Gains/Losses were recognized in the statement of income by applying the fair-value hedge method. Unrealized Gains/Losses on Other Securities after excluding such Income/Loss (the “base amount”) are recorded directly to Net Assets after tax and other necessary adjustments.

The base amount is as follows:

Consolidated

 

     (Billions of yen)  
     As of December 31,2016     As of
March 31, 2016
    As of
September 30, 2016
(Reference)
 
     Unrealized Gains/Losses     Unrealized
Gains/Losses
    Unrealized
Gains/Losses
 
           Change      

Other Securities

     1,828.0        (27.0     1,855.1        1,631.9   

Japanese Stocks

     1,822.9        219.0        1,603.9        1,429.8   

Japanese Bonds

     36.8        (99.6     136.5        88.3   

Japanese Government Bonds

     17.1        (78.6     95.8        53.9   

Other

     (31.6     (146.4     114.7        113.7   

Foreign Bonds

     (162.7     (183.6     20.8        30.4   

Non-Consolidated

 

Aggregate Figures for the 2 Banks

  

  

     (Billions of yen)  
     As of December 31, 2016     As of
March 31, 2016
    As of
September 30, 2016
(Reference)
 
     Unrealized Gains/Losses     Unrealized
Gains/Losses
    Unrealized
Gains/Losses
 
           Change      

Other Securities

     1,610.2        (46.1     1,656.4        1,439.5   

Japanese Stocks

     1,751.4        219.0        1,532.4        1,361.1   

Japanese Bonds

     36.7        (99.6     136.3        88.1   

Japanese Government Bonds

     17.1        (78.6     95.8        53.9   

Other

     (177.9     (165.5     (12.3     (9.6

Foreign Bonds

     (164.6     (182.7     18.1        28.5   

 

2-5


Mizuho Financial Group, Inc.

 

4. Deferred Hedge Gains/Losses on Derivative Transactions Qualifying for Hedge Accounting

Non-Consolidated

Aggregate Figures for the 2 Banks

 

     (Billions of yen)  
     As of December 31, 2016      As of March 31, 2016      As of September 30, 2016
(Reference)
 
     Deferred Hedge Gains/Losses      Deferred Hedge Gains/Losses      Deferred Hedge Gains/Losses  
         Gains              Losses                     Gains              Losses                     Gains              Losses             

MHBK

     754.1         732.9         21.2         871.4         626.9         244.4         900.9         591.3         309.6   

MHTB

     112.8         109.8         2.9         99.8         99.1         0.7         114.1         110.6         3.5   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

Total

     866.9         842.7         24.1         971.2         726.1         245.1         1,015.1         701.9         313.1   
  

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

    

 

 

 

 

Note: Above figures reflect all derivative transactions qualifying for hedge accounting, and are before net of applicable income taxes.

 

2-6


Mizuho Financial Group, Inc.

 

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

Consolidated

 

     (Billions of yen)  
     As of
December 31, 2016
              
            Change     As of
March 31, 2016
     As of
September 30, 2016
(Reference)
 

Consolidated

 

          

Claims against Bankrupt and Substantially Bankrupt Obligors

     86.9         3.7        83.1         80.2   

Claims with Collection Risk

     353.1         (8.1     361.2         353.6   

Claims for Special Attention

     460.9         (3.0     464.0         437.0   

Total

     901.0         (7.4     908.4         870.9   

Trust Account

 

          

Claims against Bankrupt and Substantially Bankrupt Obligors

     —           —          —           —     

Claims with Collection Risk

     2.8         (0.0     2.8         2.8   

Claims for Special Attention

     —           —          —           —     

Total

     2.8         (0.0     2.8         2.8   

Total (Consolidated + Trust Account)

 

          

Claims against Bankrupt and Substantially Bankrupt Obligors

     86.9         3.7        83.1         80.2   

Claims with Collection Risk

     355.9         (8.1     364.1         356.5   

Claims for Special Attention

     460.9         (3.0     464.0         437.0   

Total

     903.8         (7.4     911.3         873.8   

 

Note: Trust Account denotes trust accounts with contracts indemnifying the principal amounts.

 

2-7


Mizuho Financial Group, Inc.

 

Non-Consolidated

Aggregate Figures for the 2 Banks

Total (Banking Account + Trust Account)

 

     (Billions of yen, %)  
     As of December  31,
2016
    As of March 31,
2016
    As of September 30,
2016 (Reference)
 
           Change      

Claims against Bankrupt and Substantially Bankrupt Obligors

     74.4        6.4        68.0        67.5   

Claims with Collection Risk

     346.2        (7.4     353.6        344.5   

Claims for Special Attention

     402.3        3.8        398.4        376.5   

Sub-total [1]

     823.0        2.8        820.1        788.6   

NPL ratio [1]/[2]

     0.96     (0.03 )%      1.00     0.98

Normal Claims

     84,265.1        3,256.0        81,009.0        79,509.1   

Total [2]

     85,088.1        3,258.9        81,829.2        80,297.8   
MHBK         

Claims against Bankrupt and Substantially Bankrupt Obligors

     73.3        6.3        67.0        66.1   

Claims with Collection Risk

     339.8        (6.1     345.9        337.9   

Claims for Special Attention

     395.6        3.6        391.9        370.0   

Sub-total [3]

     808.8        3.8        804.9        774.1   

NPL ratio [3]/[4]

     0.99     (0.03 )%      1.02     1.00

Normal Claims

     80,813.6        3,345.9        77,467.6        76,137.4   

Total [4]

     81,622.4        3,349.8        78,272.5        76,911.6   
MHTB         
Banking Account         

Claims against Bankrupt and Substantially Bankrupt Obligors

     1.1        0.1        1.0        1.3   

Claims with Collection Risk

     3.4        (1.3     4.8        3.7   

Claims for Special Attention

     6.6        0.2        6.4        6.5   

Sub-total [5]

     11.3        (0.9     12.2        11.6   

NPL ratio [5]/[6]

     0.32     (0.01 )%      0.34     0.34

Normal Claims

     3,441.4        (89.0     3,530.5        3,361.4   

Total [6]

     3,452.7        (90.0     3,542.7        3,373.1   
Trust Account         

Claims against Bankrupt and Substantially Bankrupt Obligors

     —          —          —          —     

Claims with Collection Risk

     2.8        (0.0     2.8        2.8   

Claims for Special Attention

     —          —          —          —     

Sub-total [7]

     2.8        (0.0     2.8        2.8   

NPL ratio [7]/[8]

     22.31     1.47     20.84     21.98

Normal Claims

     10.0        (0.9     10.9        10.2   

Total [8]

     12.9        (0.9     13.8        13.1   

 

Notes:

    1.      Trust Account denotes trust accounts with contracts indemnifying the principal amounts.
    2.      NPL: Non-Performing Loans

 

2-8


Mizuho Financial Group, Inc.

 

6. Status of Deposits and Loans

Non-Consolidated

(1)-1 Deposits

Aggregate Figures for the 2 Banks

 

         (Billions of yen)  
         As of December 31,
2016
    As of
March 31,
2016
     As of September 30,
2016 (Reference)
 
                Change       

MHBK

       105,974.3         5,777.3        100,197.0         101,928.4   

MHTB

       3,328.1         271.9        3,056.2         3,286.5   
      

 

 

    

 

 

   

 

 

    

 

 

 

Total

       109,302.5         6,049.2        103,253.3         105,215.0   
(1)-2 Domestic Deposits             
Aggregate Figures for the 2 Banks             
         (Billions of yen)  
             As of December 31,
2016
    As of
March 31,
2016
     As of September 30,
2016 (Reference)
 
                Change       

MHBK

       87,271.4         2,242.5        85,028.9         85,607.8   

Individual deposits

       40,698.6         1,534.7        39,163.9         39,545.5   

MHTB

       3,308.3         265.9        3,042.4         3,273.4   

Individual deposits

       1,030.4         (46.8     1,077.3         1,041.6   

Total

       90,579.8         2,508.4        88,071.3         88,881.2   

Individual deposits

       41,729.1         1,487.9        40,241.2         40,587.1   

 

Note: Above figures do not include deposits booked at overseas offices and offshore deposits.   

 

(2) Loans and Bills Discounted

          
Aggregate Figures for the 2 Banks             
         (Billions of yen)  
         As of December  31,
2016
    As of
March 31,
2016
     As of September 30,
2016 (Reference)
 
                Change       

MHBK

       72,466.6         2,092.2        70,374.3         69,100.1   

MHTB

       3,409.2         (87.0     3,496.3         3,330.5   

Total

       75,875.8         2,005.1        73,870.7         72,430.7   

 

Note: Loans to MHFG are included as follows:          
             As of December 31, 2016: ¥608.2 billion (from MHBK)             
             As of September 30, 2016: ¥515.5 billion (from MHBK)             
             As of March 31, 2016: ¥686.3 billion (from MHBK)             

(3) Interest Margins (Domestic Operations)

Mizuho Bank

               (%)  
               Third Quarter of
Fiscal 2016
(Accumulated Period)
    Third Quarter  of
Fiscal 2015
(Accumulated
Period)
 
                      Change    

Return on Loans and Bills Discounted

    1         0.88         (0.10     0.99   

Cost of Deposits

    2         0.00         (0.03     0.03   

Loan and Deposit Rate Margin [1]-[2]

    3         0.87         (0.07     0.95   

 

Notes:  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     4         0.95         (0.10     1.05   

Loan and Deposit Rate Margin [4]-[2]

    5         0.94         (0.07     1.01   
Mizuho Trust & Banking           
               (%)  
               Third Quarter of
Fiscal 2016
(Accumulated Period)
    Third Quarter of
Fiscal 2015
(Accumulated
Period)
 
                      Change    

Return on Loans and Bills Discounted

    6         0.68         (0.19     0.87   

Cost of Deposits

    7         0.03         (0.04     0.08   

Loan and Deposit Rate Margin [6]-[7]

    8         0.64         (0.15     0.79   

 

Notes:  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     9         0.74         (0.16     0.90   

Loan and Deposit Rate Margin [9]-[7]

    10         0.70         (0.11     0.82   
(Reference)           
Aggregate Figures for the 2 Banks           
               (%)  
               Third Quarter of
Fiscal 2016
(Accumulated Period)
    Third Quarter of
Fiscal 2015
(Accumulated
Period)
 
                      Change    

Return on Loans and Bills Discounted

    11         0.87         (0.11     0.98   

Cost of Deposits

    12         0.01         (0.03     0.04   

Loan and Deposit Rate Margin [11]-[12]

    13         0.86         (0.08     0.94   

 

Notes:  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     14         0.93         (0.11     1.04   

Loan and Deposit Rate Margin [14]-[12]

    15         0.92         (0.07     1.00   

 

2-9


Mizuho Bank, Ltd.

 

(Attachments)

COMPARISON OF NON-CONSOLIDATED BALANCE SHEETS (selected items)

OF MIZUHO BANK

 

     Millions of yen  
     As of
December 31,
2016 (A)
    As of
March 31,
2016 (B)
    Change
(A) - (B)
 

Assets

      

Cash and Due from Banks

   ¥ 35,493,994      ¥ 30,156,145      ¥ 5,337,848   

Call Loans

     198,164        266,249        (68,085

Receivables under Resale Agreements

     1,111,682        368,351        743,331   

Other Debt Purchased

     638,586        729,842        (91,256

Trading Assets

     5,405,741        6,421,352        (1,015,610

Money Held in Trust

     3,152        3,197        (44

Securities

     32,580,853        37,903,140        (5,322,286

Loans and Bills Discounted

     72,466,611        70,374,392        2,092,218   

Foreign Exchange Assets

     1,865,337        1,343,546        521,790   

Derivatives other than for Trading

     4,625,854        5,008,314        (382,459

Other Assets

     3,150,827        1,688,087        1,462,739   

Tangible Fixed Assets

     824,307        836,484        (12,177

Intangible Fixed Assets

     726,614        636,583        90,031   

Prepaid Pension Cost

     477,612        469,034        8,577   

Customers’ Liabilities for Acceptances and Guarantees

     5,916,618        5,297,202        619,415   

Reserves for Possible Losses on Loans

     (387,966 )      (379,190     (8,775
  

 

 

   

 

 

   

 

 

 

Total Assets

   ¥ 165,097,992      ¥ 161,122,736      ¥ 3,975,256   
  

 

 

   

 

 

   

 

 

 

Liabilities

      

Deposits

   ¥ 105,974,389      ¥ 100,197,037      ¥ 5,777,352   

Negotiable Certificates of Deposit

     10,302,187        11,177,095        (874,908

Call Money

     888,506        1,127,524        (239,018

Payables under Repurchase Agreements

     8,209,140        7,588,922        620,217   

Guarantee Deposits Received under Securities Lending Transactions

     273,577        786,431        (512,853

Commercial Paper

     678,605        777,601        (98,996

Trading Liabilities

     4,285,004        5,198,295        (913,290

Borrowed Money

     9,687,290        8,697,522        989,767   

Foreign Exchange Liabilities

     639,699        682,188        (42,489

Bonds and Notes

     4,069,951        4,376,773        (306,821

Derivatives other than for Trading

     4,387,889        4,423,937        (36,047

Other Liabilities

     2,290,461        2,998,753        (708,292

Reserve for Bonus Payments

     5,556        20,437        (14,880

Reserve for Variable Compensation

     951        1,300        (348

Reserve for Possible Losses on Sales of Loans

     69        267        (197

Reserve for Contingencies

     132        800        (668

Reserve for Reimbursement of Deposits

     13,119        15,041        (1,921

Reserve for Reimbursement of Debentures

     33,079        39,245        (6,165

Deferred Tax Liabilities

     189,775        302,072        (112,296

Deferred Tax Liabilities for Revaluation Reserve for Land

     67,155        67,991        (835

Acceptances and Guarantees

     5,916,618        5,297,202        619,415   
  

 

 

   

 

 

   

 

 

 

Total Liabilities

     157,913,161        153,776,443        4,136,718   
  

 

 

   

 

 

   

 

 

 

Net Assets

      

Common Stock and Preferred Stock

     1,404,065        1,404,065        —     

Capital Surplus

     2,286,328        2,286,795        (466

Capital Reserve

     655,418        655,324        93   

Other Capital Surplus

     1,630,910        1,631,471        (560

Retained Earnings

     2,234,139        2,231,469        2,669   

Appropriated Reserve

     225,810        169,829        55,981   

Other Retained Earnings

     2,008,329        2,061,640        (53,311

Retained Earnings Brought Forward

     2,008,329        2,061,640        (53,311
  

 

 

   

 

 

   

 

 

 

Total Shareholders’ Equity

     5,924,533        5,922,330        2,202   
  

 

 

   

 

 

   

 

 

 

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

     1,099,269        1,106,333        (7,064

Net Deferred Hedge Gains (Losses), net of Taxes

     14,123        169,143        (155,020

Revaluation Reserve for Land, net of Taxes

     146,904        148,483        (1,579
  

 

 

   

 

 

   

 

 

 

Total Valuation and Translation Adjustments

     1,260,296        1,423,961        (163,664
  

 

 

   

 

 

   

 

 

 

Total Net Assets

     7,184,830        7,346,292        (161,462
  

 

 

   

 

 

   

 

 

 

Total Liabilities and Net Assets

   ¥ 165,097,992      ¥ 161,122,736      ¥ 3,975,256   
  

 

 

   

 

 

   

 

 

 

 

2-10


Mizuho Bank, Ltd.

 

COMPARISON OF NON-CONSOLIDATED STATEMENTS OF INCOME

(selected items) OF MIZUHO BANK

 

                                                        
     Millions of yen  
      For the nine
months ended
December 31,
2016 (A)
    For the nine
months ended
December 31,
2015 (B)
    Change
(A) - (B)
 

Ordinary Income

   ¥ 1,640,696      ¥ 1,676,419      ¥ (35,722

Interest Income

     882,760        901,994        (19,233

Interest on Loans and Bills Discounted

     617,640        607,012        10,628   

Interest and Dividends on Securities

     172,522        204,493        (31,970 ) 

Fee and Commission Income

     344,627        348,667        (4,040

Trading Income

     47,474        62,686        (15,211

Other Operating Income

     176,140        145,642        30,497   

Other Ordinary Income

     189,694        217,428        (27,733
  

 

 

   

 

 

   

 

 

 

Ordinary Expenses

     1,266,593        1,126,014        140,578   

Interest Expenses

     347,977        274,896        73,081   

Interest on Deposits

     137,412        95,369        42,043   

Fee and Commission Expenses

     76,360        77,076        (715

Trading Expenses

     1,010        7,237        (6,226

Other Operating Expenses

     32,749        29,489        3,259   

General and Administrative Expenses

     671,128        623,762        47,366   

Other Ordinary Expenses

     137,366        113,552        23,814   
  

 

 

   

 

 

   

 

 

 

Ordinary Profits

     374,103        550,404        (176,300
  

 

 

   

 

 

   

 

 

 

Extraordinary Gains

     1,632        6,483        (4,850
  

 

 

   

 

 

   

 

 

 

Extraordinary Losses

     3,968        2,824        1,143   
  

 

 

   

 

 

   

 

 

 

Income before Income Taxes

     371,768        554,063        (182,295

Income Taxes:

                                                                  

Current

     102,664        111,102        (8,438

Deferred

     (10,475 )      57,830        (68,305
  

 

 

   

 

 

   

 

 

 

Net Income

   ¥ 279,579      ¥ 385,130      ¥ (105,551
  

 

 

   

 

 

   

 

 

 

 

2-11


Mizuho Trust & Banking Co., Ltd.

 

COMPARISON OF NON-CONSOLIDATED BALANCE SHEETS (selected items)

OF MIZUHO TRUST & BANKING

 

                                                        
     Millions of yen  
     As of
December 31,

2016 (A)
    As of
March 31,
2016 (B)
    Change
(A) - (B)
 

Assets

                                                                  

Cash and Due from Banks

   ¥ 1,643,545      ¥ 1,665,011      ¥ (21,465

Call Loans

     2,912        5,520        (2,608

Guarantee Deposits Paid under Securities Borrowing Transactions

     281,344        215,970        65,374   

Other Debt Purchased

     9,846        13,358        (3,512

Trading Assets

     99,579        127,305        (27,725

Money Held in Trust

     2,895        2,578        317   

Securities

     1,286,907        1,492,120        (205,213

Loans and Bills Discounted

     3,409,249        3,496,313        (87,064

Foreign Exchange Assets

     3,644        3,675        (31

Other Assets

     90,112        80,648        9,463   

Tangible Fixed Assets

     24,810        24,632        177   

Intangible Fixed Assets

     28,831        24,022        4,808   

Prepaid Pension Cost

     49,301        49,795        (493

Customers’ Liabilities for Acceptances and Guarantees

     40,711        43,749        (3,038

Reserves for Possible Losses on Loans

     (5,142 )      (5,636     493   
  

 

 

   

 

 

   

 

 

 

Total Assets

   ¥ 6,968,550      ¥ 7,239,067      ¥ (270,516
  

 

 

   

 

 

   

 

 

 

Liabilities

      

Deposits

   ¥ 3,328,191      ¥ 3,056,268      ¥ 271,922   

Negotiable Certificates of Deposit

     275,910        353,070        (77,160

Call Money

     865,365        1,162,877        (297,512

Payables under Repurchase Agreements

     69,900        67,602        2,298   

Guarantee Deposits Received under Securities Lending Transactions

     199,239        420,713        (221,474

Trading Liabilities

     92,306        121,483        (29,177

Borrowed Money

     358,110        366,955        (8,845

Foreign Exchange Liabilities

     2        0        2   

Bonds and Notes

     10,000        10,000        —     

Due to Trust Accounts

     1,133,486        1,019,554        113,931   

Other Liabilities

     34,261        60,074        (25,813

Reserve for Bonus Payments

     —          1,953        (1,953

Reserve for Variable Compensation

     309        401        (91

Reserve for Reimbursement of Deposits

     1,089        1,113        (23

Deferred Tax Liabilities

     10,582        12,043        (1,461

Acceptances and Guarantees

     40,711        43,749        (3,038
  

 

 

   

 

 

   

 

 

 

Total Liabilities

     6,419,465        6,697,859        (278,394
  

 

 

   

 

 

   

 

 

 

Net Assets

      

Common Stock and Preferred Stock

     247,369        247,369        —     

Capital Surplus

     15,505        15,505        —     

Capital Reserve

     15,505        15,505        —     

Retained Earnings

     189,970        180,091        9,879   

Appropriated Reserve

     27,427        23,327        4,099   

Other Retained Earnings

     162,542        156,763        5,779   

Retained Earnings Brought Forward

     162,542        156,763        5,779   
  

 

 

   

 

 

   

 

 

 

Total Shareholders’ Equity

     452,845        442,965        9,879   
  

 

 

   

 

 

   

 

 

 

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

     94,213        97,740        (3,526

Net Deferred Hedge Gains (Losses), net of Taxes

     2,025        501        1,524   
  

 

 

   

 

 

   

 

 

 

Total Valuation and Translation Adjustments

     96,239        98,241        (2,001
  

 

 

   

 

 

   

 

 

 

Total Net Assets

     549,085        541,207        7,877   
  

 

 

   

 

 

   

 

 

 

Total Liabilities and Net Assets

   ¥ 6,968,550      ¥ 7,239,067      ¥ (270,516)   
  

 

 

   

 

 

   

 

 

 

 

2-12


Mizuho Trust & Banking Co., Ltd.

 

COMPARISON OF NON-CONSOLIDATED STATEMENTS OF INCOME

(selected items) OF MIZUHO TRUST & BANKING

 

                                                        
     Millions of yen  
     For the nine
months ended
December 31,
2016 (A)
    For the nine
months ended
December 31,
2015 (B)
    Change
(A) - (B)
 

Ordinary Income

   ¥ 140,900      ¥ 138,636      ¥ 2,263   

Fiduciary Income

     34,798        38,282        (3,483

Interest Income

     29,643        36,614        (6,970

Interest on Loans and Bills Discounted

     19,488        21,441        (1,952 ) 

Interest and Dividends on Securities

     8,839        13,766        (4,927 ) 

Fee and Commission Income

     36,509        36,231        278   

Trading Income

     717        1,115        (397

Other Operating Income

     14,117        18,464        (4,347

Other Ordinary Income

     25,112        7,928        17,184   
  

 

 

   

 

 

   

 

 

 

Ordinary Expenses

     99,983        100,542        (558

Interest Expenses

     7,462        8,421        (958

Interest on Deposits

     969        1,692        (723 ) 

Fee and Commission Expenses

     19,724        19,707        17   

Trading Expenses

     0        —          0   

Other Operating Expenses

     4,959        7,237        (2,278

General and Administrative Expenses

     65,222        59,459        5,762   

Other Ordinary Expenses

     2,615        5,716        (3,101
  

 

 

   

 

 

   

 

 

 

Ordinary Profits

     40,916        38,094        2,821   
  

 

 

   

 

 

   

 

 

 

Extraordinary Gains

     —          995        (995
  

 

 

   

 

 

   

 

 

 

Extraordinary Losses

     164        170        (5
  

 

 

   

 

 

   

 

 

 

Income before Income Taxes

     40,751        38,919        1,832   

Income Taxes:

                                                                  

Current

     8,965        8,908        56   

Deferred

     1,346        3,899        (2,553
  

 

 

   

 

 

   

 

 

 

Net Income

   ¥ 30,439      ¥ 26,110      ¥ 4,329   
  

 

 

   

 

 

   

 

 

 

 

2-13


Mizuho Securities Co., Ltd.

 

COMPARISON OF NON-CONSOLIDATED BALANCE SHEETS (selected items)

OF MIZUHO SECURITIES

 

                                                        
     Millions of yen  
     As of
December 31,
2016 (A)
    As of
March 31,
2016 (B)
    Change
(A) - (B)
 

Assets

      

Current Assets

      

Cash and Bank Deposits

   ¥ 376,749      ¥ 283,049      ¥ 93,699   

Cash Segregated as Deposits for Customers and Others

     233,312        170,684        62,628   

Trading Assets

     5,665,941        5,990,021        (324,080

Receivables — Unsettled Trades

     —          27,923        (27,923

Operating Investment Securities

     20,246        19,010        1,236   

Operating Loans Receivable

     2,830        3,100        (270

Receivables Related to Margin Transactions

     98,220        98,958        (737

Collateralized Short-Term Financing Agreements-Receivable

     4,829,829        3,949,642        880,187   

Advances Paid

     74        107        (33

Securities: Fail to Deliver

     17,367        11,937        5,429   

Short-Term Loans Receivable

     23,780        50,711        (26,931

Deferred Tax Assets

     16,123        8,735        7,388