Japans largest lender MUFG logs 6% growth in third-quarter profit (updated)

Sumitomo Mitsui Financial,

04/02/2026 07:10

Corrects overseas and domestic loan figures in paragraph 6

By Anton Bridge

TOKYO, Feb 4 (Reuters) - Japan's Mitsubishi UFJ Financial Group 8306.T booked a 6% rise in third-quarter net profit, it said on Wednesday.

The banking group generated 520.6 billion yen ($3.33 billion) in net profit in the October-December period, compared with 490.7 billion yen over the same period the previous year.

The results round off a strong third quarter for Japan's megabanks in which MUFG's smaller rivals Sumitomo Mitsui Financial Group 8316.T and Mizuho Financial Group 8411.T posted quarterly growth of 12% and 14% respectively.

Cashing in on the long-awaited end of negative interest rates in Japan, robust loan demand and improved loan-to-deposit spreads have meant each is well on track for the record profits they have forecast for this financial year.

MUFG maintained its record annual profit forecast of 2.1 trillion yen for the year ending March 2026 and had hit 86% of the target after three quarters.

In addition, as the banks struggled to eke out returns in Japan they looked abroad in search of higher yields. MUFG's overseas loans totalled 53.1 trillion yen at the end of December as compared to 77.1 trillion yen for domestic loans.

MUFG recently acquired 20% of non-bank lender Shriram Finance, which MUFG's leadership sees as a means of lifting group profitability further.

 ($1 = 156.3100 yen)

 (Reporting by Anton Bridge; Editing by Himani Sarkar and Christopher Cushing)

 ((Anton.Bridge@thomsonreuters.com;))