Japan’s Banks Resist Buybacks After Predicting Bumper Profit

  • No share buybacks announced by lenders; uncertainty cited
  • SMFG and Mizuho see opportunities to expand in the US
WATCH: Japan’s biggest lenders are predicting their highest profits in years. Source: Bloomberg
Lock
This article is for subscribers only.

Japan’s biggest banks are predicting their highest profits in years, though a cautious outlook is holding them back from returning surplus capital to shareholders.

Net income at Mitsubishi UFJ Financial Group Inc., the nation’s biggest lender, is poisedBloomberg Terminal to surge to 1.3 trillion yen ($9.6 billion) for the year ending March 2024, according to a filing on Monday, which will be a record. Sumitomo Mitsui Financial Group Inc.’s profit is likely to riseBloomberg Terminal to 820 billion yen, the most in 10 years, while Mizuho Financial Group Inc. seesBloomberg Terminal profit rising to 610 billion yen, the most in eight years.