Message from the President & Group CEO of Mizuho Financial Group
Medium–term business plan: Progressive Development of "One Mizuho"–The Path to a Financial Services Consulting Group
As President & Group CEO of Mizuho Financial Group, I would like to express our deep appreciation for your continued interest in and support of our group.
In fiscal 2017, the second year of our 3–year medium–term business plan, our focus was on accelerating the One Mizuho strategy.
Firstly, in order to further advance our unified management of group operations encompassing banking, trust banking, securities, and other group entities, as well as to ensure customer–focused business operations, we have been pursuing operational excellence with the aim of fundamentally enhancing productivity. At the same time, we have been taking a number of proactive initiatives in the field of digital innovation.
Fiscal 2017 financial results: Mostly on track to achieve our targets
In fiscal 2017, although the business environment remained challenging, including due to the continuation of negative interest rates, we achieved Profit Attributable to Owners of Parent of JPY576.5 billion, exceeding our fiscal year target of JPY550.0 billion. This achievement was due in part to increased solutions revenue in customer divisions and increased real estate–related revenue, in addition to a reversal of credit–related costs and steady progress on the disposal of cross–shareholdings, among other factors.
As for our capital adequacy, we achieved a Common Equity Tier 1 Capital Ratio (excluding Net Unrealized Gains (Losses) on other Securities) of 10.15%, meeting our medium–term business plan target a year ahead of schedule.
Fiscal 2018: Further developing the One Mizuho strategy
Financial institutions continue to face a challenging business environment, and this environment is expected to undergo major structural change. Therefore, in addition to the initiatives outlined in our medium–term business plan, we must take the necessary steps to ensure sustainable growth and secure competitive advantage 5 years from now, 10 years from now, and beyond.
With this in mind, the key efforts we will undertake in fiscal 2018 are: (1) the commencement and implementation of fundamental structural reforms, (2) achieving the objectives of our medium–term business plan, and (3) a smooth migration to our next–generation IT system. In pursuing these goals, we are aiming to further develop the One Mizuho strategy. In particular we will implement initiatives aimed at strengthening our earnings power by drawing on the full capabilities of the group to provide customers with solutions. We will also put forward initiatives aimed at optimizing our current business as well as creating new business through the use of technology and data. And we will continue to contribute to the sustainable development of society through local community revitalization, industry cultivation, and other efforts for solving social issues. Through these actions, we will work towards making Mizuho a stronger and more resilient financial group.
We appreciate your continued support and will make every effort to not only meet, but exceed, your expectations.
President & Group CEO
Mizuho Financial Group