The Wall Street Journal (also in 2/16 print edition pg. c4) covered Mitsubishi UFJ Financial Group's (MTU) earnings and financials for the 9-month period ended December 31st. Mitsubishi UFJ turned things around going from a 101.6 billion yen net income loss (the combined loss of Mitsubishi Tokyo and UFJ Financial which merged in October '05) in the same period in 2004 to a 1.026 trillion (US$8.74b) positive net income in 2005. Mitsubishi UFJ didn't break out its financial results on a quarterly basis for the quarter ended Dec. 31st.
The reversal to profitability is credited to a decrease in loan-related costs in which reserves for non-performing loans were cut and reported as profit. This reflects the overall improving health of Japan's economy and banking industry as balance sheets are being cleaned up and for banks, nonperforming loans have been cut ahead of targets. With lower than expected loan-related costs Mitsubishi UFJ raised its full year consolidated earnings forecast to 1.17 trillion yen from 930 billion yen. Shareholders will be pleased to hear that the annual dividend is scheduled to increase from 6,000 to 7,000 yen per share.
For more earnings and financial related information you can visit Mitsubishi UFJ's investor relations site by clicking here.
MTU 1-yr chart: