Sumitomo Mitsui Financial Group (SMFG), Japan’s second-largest bank, has increased its profit forecast for the year after seeing a strong 27% rise in second-quarter earnings, Reuters reports.
The bank now expects to reach a record net profit of 1.16 trillion yen (around $7.44 billion) for the full year. This increase is partly due to higher interest rates, which helped boost profits.
For the July to September period, SMFG’s net profit was 354 billion yen (about $2.27 billion), up from 278 billion yen the previous year.
As a result, the bank raised its annual profit forecast from 1.06 trillion yen to 1.07 trillion yen.
This positive growth reflects the benefits of Japan’s economic environment, where rising interest rates are helping boost earnings for major financial institutions like SMFG.
Credit : Reuters