TOKYO: Mizuho Financial Group , Japan’s third-largest banking group, on Monday reported a 28% increase in third-quarter net profit, as stronger loan demand and higher interest rates expanded profit margins.

Japanese companies have responded to calls from investors and the Tokyo Stock Exchange to improve corporate value, with the ensuing growth investments and other actions such as winding down cross-shareholdings helping Japan’s banking sector approach record profits this year.

Mizuho also recorded higher non-interest income, particularly driven by fees booked in its Americas investment banking division.

Profit in the October-December period came in at 289.23 billion yen ($1.86 billion) versus 226.57 billion yen a year earlier.

Mizuho has now exceeded its profit forecast of 820 billion yen for the year through March 2025, hitting a profit of 855.37 billion yen in the nine months from April to December 2024.

Reuters