v3.26.1
Business segment information
 12 Months Ended
Mar. 31, 2026
Segment Reporting [Abstract]  
Business segment information
30. Business segment
information
The MHFG Group consists of the following five
in-house
companies which are categorized based on a customer segment: the Retail & Business Banking Company (“RBC”); the Corporate & Investment Banking Company (“CIBC”); the Global Corporate & Investment Banking Company (“GCIBC”); the Global Markets Company (“GMC”); and the Asset Management Company (“AMC”). These customer segments are regarded as operating segments and constitute reportable segments, and they reflect the manner in which our financial information is
 
 
evaluated by the Group’s Executive Management Committee, whose members act collectively as the Group’s chief operating decision maker (“CODM”).
The services that each
in-house
company provides are as follows.
RBC
This company provides financial services for individual customers, small and
medium-sized
enterprises and middle market firms in Japan.
CIBC
This company provides financial services for large corporations, financial institutions and public corporations in Japan.
GCIBC
This company provides financial services for Japanese overseas affiliated corporate customers and
non-Japanese
corporate customers.
GMC
This company invests in financial products with market risk, such as interest rate risk, equity risk, and credit risk.
AMC
This company develops financial products and provides financial services that match the asset management needs of its wide range of customers from individuals to institutional investors.
 
 
The reportable segment information, set forth below, is derived from the internal management reporting systems used by the CODM to assess the performance of the Group’s operating segments. The CODM assesses the performance of each of the operating segments in accordance with internal managerial accounting rules and practices. The CODM’s review of the reported measures of reportable segments includes evaluation of segment profitability and assessment of actual results compared to the budget. These measures are regularly provided to the CODM and are a component of a multifaceted decision-making process regarding segment performance as well as resource and capital allocation. In addition, the format and information are presented primarily on the basis of Japanese GAAP. Therefore, they are not consistent with the consolidated financial statements prepared in accordance with U.S. GAAP. A reconciliation is provided for the total amount of all business segments’ “Net business profits (losses) + Net gains (losses) related to ETFs and others” with income before income tax expense under U.S. GAAP, and the total amount of all business segments’ “Fixed assets” with the total amount of Premises and equipment—net, Goodwill, Intangible assets, and
right-of-use
assets related to operating leases
included
in Other assets reported under U.S. GAAP. “Fixed assets” pertaining to MHBK, MHTB, and MHSC have been allocated to each segment.
 
    
MHFG (Consolidated)
  
                                                  
2024
(1)
   
RBC
     
CIBC
     
GCIBC
     
GMC
     
AMC
     
Others
(6)
     
Total
  
    
(in billions of yen)
  
Gross profits + Net gains (losses) related to ETFs and others
(2)
       749.2         556.3         754.4         452.7         57.2        102.3        2,672.2  
General and administrative expenses
(3)
      651.5        218.1        390.1        320.3        36.1        65.5        1,681.9  
Equity in earnings (losses) of equity method investees—net
      6.9        7.6        24.1        —        (13.9 )
 
      1.4        26.2  
Amortization of goodwill and others
      —        0.8        2.5        —        6.4        0.8        10.7  
  
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
Net business profits (losses)
(4)
+ Net gains (losses) related to ETFs and others
      104.5        344.9        385.8        132.3        0.6        37.3        1,005.8  
  
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
Fixed assets
(5)
      533.7        157.1        197.9        90.3        —        885.4        1,864.6  
  
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
 
    
MHFG (Consolidated)
  
                                                  
2025
(1)
   
RBC
     
CIBC
     
GCIBC
     
GMC
     
AMC
     
Others
(6)
     
Total
  
    
(in billions of yen)
  
Gross profits + Net gains (losses) related to ETFs and others
(2)
     
 832.1
 
  
 
 636.7
 
  
 
 809.3
 
  
 
 508.6
 
  
 
 59.8
 
  
 
 118.9
 
  
 
2,965.6
  
General and administrative expenses
(3)
     
702.3
 
  
 
239.6
 
  
 
463.3
 
  
 
351.7
 
  
 
38.5
 
  
 
58.9
 
  
 
1,854.5
  
Equity in earnings (losses) of equity method investees—net
     
10.4
 
  
 
9.6
 
  
 
25.4
 
  
 
— 
 
  
 
(3.3
)
 
  
 
4.4
 
  
 
46.7
  
Amortization of goodwill and others
     
— 
 
  
 
0.8
 
  
 
6.0
 
  
 
— 
 
  
 
6.1
 
  
 
0.6
 
  
 
13.6
  
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
  
Net business profits (losses)
(4)
+ Net gains (losses) related to ETFs and others
     
140.3
 
  
 
405.9
 
  
 
365.3
 
  
 
156.8
 
  
 
11.8
 
  
 
63.8
 
  
 
1,144.2
  
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
 
  
 
 
  
Fixed assets
(5)
     
603.7
 
  
 
171.7
 
  
 
224.4
 
  
 
101.1
 
  
 
— 
 
  
 
830.3
 
  
 
1,931.4
  
  
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
 
 
    
MHFG (Consolidated)
  
                                                  
2026
(1)
   
RBC
     
CIBC
     
GCIBC
     
GMC
     
AMC
     
Others
(6)
     
Total
  
    
(in billions of yen)
  
Gross profits + Net gains (losses) related to ETFs and others
(2)
      984.6        739.2        856.9        664.8        73.5        196.4        3,515.6  
General and administrative expenses
(3)
      756.6        250.5        510.6        404.9        46.2        122.5        2,091.7  
Equity in earnings (losses) of equity method investees—net
      11.7        11.9        26.8        —         (1.8 )
 
      3.7        52.2  
Amortization of goodwill and others
      2.1        0.8        5.3        —         5.7        1.0        15.0  
  
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
Net business profits (losses)
(4)
+ Net gains (losses) related to ETFs and others
      237.5        499.7        367.7        259.9        19.6        76.4        1,461.1  
  
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
Fixed assets
(5)
        648.9        173.8        235.3        102.4        —         859.1        2,019.6  
  
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
     
 
 
  
 
Notes:    
(1)
Income and expenses of foreign branches of MHBK and foreign subsidiaries with functional currencies other than Japanese Yen have been translated for purposes of segment reporting using the budgeted foreign currency rates. Prior period comparative amounts for such foreign currency income and expenses have been translated using current period budgeted foreign currency rates.
(2)
“Gross profits + Net gains (losses) related to ETFs and others” is reported instead of sales reported by general corporations. Gross profits is defined as the sum of net interest income, fiduciary income, net fee and commission income, net trading income and net other operating income. Net gains (losses) related to ETFs and others consist of net gains (losses) on ETFs held by MHBK and MHTB on their
non-consolidated
basis and net gains (losses) on operating investment securities of MHSC on its consolidated basis. For the fiscal years ended March 31, 2024, 2025 and 2026, net gains (losses) related to ETFs and others amounted to ¥(31.0) billion, ¥45.2 billion and ¥38.3 billion, respectively, of which ¥(37.0) billion, ¥37.0 billion and ¥30.8 billion are included in GMC, respectively.
(3)
“General and administrative expenses” excludes
non-allocated
gains (losses), net, which primarily includes personnel expenses, depreciation expenses, and occupancy expenses. When the CODM assesses segment performance and decides how to allocate resources, these expenses are regularly provided to the CODM in an aggregated form as “General and administrative expenses” and may be used, for example, to evaluate the expense ratio against segment profits and to compare them with the budgeted expense information.
(4)
Net business profits (losses) is used in Japan as a measure of the profitability of core banking operations, and is defined as gross profits (as defined above) less general and administrative expenses (excluding
non-allocated
gains (losses), net) plus equity in earnings (losses) of equity method investees—net less amortization of goodwill and others. Measurement of net business profits (losses) is required for regulatory reporting to the Financial Services Agency of Japan.
(5)
“Fixed assets” is presented based on Japanese GAAP and corresponds to the total amount of the following U.S. GAAP accounts: Premises and equipment—net; Goodwill; Intangible assets; and
right-of-use
assets related to operating leases included in Other assets. The above table does not include other asset amounts because “Fixed assets” is the only balance sheet measure that the CODM uses when evaluating and making decisions pertaining to the operating segments. “Others” in “Fixed assets” includes assets of headquarters that have not been allocated to each segment, “Fixed assets” pertaining to consolidated subsidiaries that are not subject to allocation, consolidating adjustments and others. Certain “Fixed assets” expenses have been allocated to each segment using reasonable allocation criteria.
(6)
“Others” includes the following items:
  •  
profits and expenses pertaining to consolidated subsidiaries that are not subject to allocation;
  •  
consolidating adjustments, including elimination of internal transaction between each segment;
 
 
  •  
equity in earnings (losses) of equity method investees—net that are not subject to allocation; and
  •  
profits and losses pertaining to derivative transactions that reflect the counterparty risk of the individual parties and other factors in determining fair market value.
Reconciliation
As explained above, the measurement bases of the internal management reporting systems and the income and expenses items included are different from the accompanying consolidated statements of income. Therefore, it is impracticable to present reconciliations of all the business segment’s information, other than net business profits (losses), to the corresponding items in the accompanying consolidated statements of income. A reconciliation of “Net business profits (losses) + Net gains (losses) related to ETFs and others” for the fiscal years ended March 31, 2024, 2025 and 2026 presented above to income before income tax expense shown on the consolidated statements of income and a reconciliation of “Fixed assets” at March 31, 2024, 2025 and 2026 to the total amount of Premises and equipment—net, Goodwill, Intangible assets, and
right-of-use
assets related to operating leases included in Other assets are as follows:
 
    
2024
    
2025
    
2026
  
                    
    
(in billions of yen)
  
Net business profits (losses) + Net gains (losses) related to ETFs and others
      1,005.8       1,144.2       1,461.1  
  
 
 
    
 
 
    
 
 
  
Adjustment to reconcile management reporting to Japanese GAAP:
       
General and administrative expenses:
non-allocated
gains (losses), net
      28.6       27.5       3.3  
Expenses related to portfolio problems (including reversal of (provision for) general reserve for losses on loans)
      (114.0 )      (62.1 )      (142.1 )
Gains on reversal of reserves for possible losses on loans, and others
      7.6       10.5       9.1  
Net gains (losses) related to stocks—Net gains (losses) related to ETFs and others
      54.7       95.9       286.8  
Net extraordinary gains (losses)
      40.9       21.9       49.1  
Others
      (68.8 )      (47.9 )      (45.0 )
 
  
 
 
    
 
 
    
 
 
  
Income before income tax expense under Japanese GAAP
      955.0       1,190.0       1,622.2  
Adjustment to reconcile Japanese GAAP to U.S. GAAP:
       
Derivative financial instruments and hedging activities
      50.5       (243.2 )      (579.1 )
Investments
      571.7       (147.4 )      695.6  
Loans
      (8.8 )      (9.1 )      (8.4 )
Allowances for credit losses
      25.3       (73.5 )      (83.7 )
Premises and equipment
      (55.1 )      (29.9 )      (38.3 )
Land revaluation
      4.9       39.0       7.4  
Business combinations
      10.8       7.4       10.5  
Pension liabilities
      (60.4 )      (20.7 )      (48.8 )
Consolidation of variable interest entities
      211.2       24.5       212.4  
Foreign currency translation
      (83.2 )      10.5       (94.3 )
Others
      0.9       11.5       (9.9 )
  
 
 
    
 
 
    
 
 
  
Income before income tax expense under U.S. GAAP
      1,623.1       759.3       1,685.6  
  
 
 
    
 
 
    
 
 
  
 
 
    
2024
     
2025
     
2026
  
                      
    
(in billions of yen)
  
Fixed assets
      1,864.6        1,931.4        2,019.6  
  
 
 
     
 
 
     
 
 
  
U.S. GAAP adjustments
(Note)
      582.2        555.6        542.0  
  
 
 
     
 
 
     
 
 
  
Premises and equipment—net, Goodwill, Intangible assets, and
right-of-use
assets related to operating leases included in Other assets
      2,446.9        2,487.1        2,561.6  
  
 
 
     
 
 
     
 
 
  
 
Note:
The U.S. GAAP adjustments are primarily comprised of GAAP differences mainly from
right-of-use
assets related to operating leases not recognized under Japanese GAAP; internally developed software, which was impaired under Japanese GAAP; land, which was revalued under Japanese GAAP; and the consolidation of certain variable interest entities, which are not consolidated under Japanese GAAP.