Shares of Mitsubishi UFJ Financial Group (ticker: MTU) soared 4.70% today in trading on the Tokyo Stock Exchange. The world's largest bank led all gainers of shares with ADRs on the TSE thanks to its strong FY06 first-half earnings report.
Highlights from its first-half earnings report courtesy of AP:
• Strong earnings due to lower bad-loan write-off costs
• Earnings results were broken down between Mitsubishi Tokyo and UFJ since the merger was completed Oct. 1st
• Mitsubishi Tokyo’s H1 net profit rose 75% to 300.7 billion yen (US$2.5 billion) from 171.7 billion yen the same period a year earlier. Sales rose 11 percent to 1.4 trillion yen (US$12 billion) from 1.26 trillion yen.
• UFJ Holdings posted a group net profit of 411 billion yen (US$3.5 billion), a sharp recovery from the 674 billion yen net loss it suffered the same period the previous year.
• Numbers were not broken down for the quarter
• For the fiscal year through March 31, 2006, Mitsubishi-UFJ expects to post a group net profit of 520 billion yen (US$4.4 billion), up from the 400 billion yen it had projected earlier.
• Mizuho Financial, Japan's second largest banking group, reported a 45 percent rise in net profit for the fiscal half-year, and Sumitomo Mitsui Financial Group, Japan's No. 3 banking group, said its net profit jumped seven-fold for the fiscal half-year.
* Mizuho Financial and Sumitomo Mitsui Financial Group are among the top holdings of the iShares MSCI Japan Index (ticker: EWJ).