Mizuho Financial Group Inc.

07/30/2021 | Press release | Distributed by Public on 07/30/2021 06:05

(1) Changes in Significant Subsidiaries during the Period (changes in specified subsidiaries accompanying changes in the scope of consolidation): No (2) Adoption of Specified[...]

(1) Changes in Significant Subsidiaries during the Period (changes in specified subsidiaries accompanying changes in the scope of consolidation): No

(2) Adoption of Specified Accounting Methods for the Preparation of Quarterly Consolidated Financial Statements: No

(3) Changes in Accounting Policies and Accounting Estimates / Restatements

i Changes in accounting policies due to revisions of accounting standards: Yes

ii Changes in accounting policies other than i above: No

iii Changes in accounting estimates: No

iv Restatements: No

Note: For more information, please refer to '1.(1) Changes in Accounting Policies and Accounting Estimates / Restatements' on page 1-2 of the attachment.

(4) Issued Shares of Common Stock

i   Period-end issued shares (including treasury stock):

As of June 30, 2021 2,539,249,894 shares As of March 31, 2021 2,539,249,894 shares

ii  Period-end treasury stock:

As of June 30, 2021 3,917,816 shares As of March 31, 2021 3,889,782 shares

iii  Average outstanding shares (first quarter):

1Q Fiscal 2021 2,535,338,709 shares 1Q Fiscal 2020 2,536,083,528 shares
Note: MHFG adopted the share consolidation of the shares of common stock on the basis of one post-consolidation share per ten pre-consolidation shares effective as of October 1, 2020. The impact from the share consolidation is reflected in the number of Average outstanding shares (first quarter).

This immediate release is outside the scope of quarterly review by certified public accountants or audit firms.

This immediate release contains statements that constitute forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, including estimates, forecasts, targets and plans. Such forward-looking statements do not represent any guarantee by management of future performance.

In many cases, but not all, we use such words as 'aim,' 'anticipate,' 'believe,' 'endeavor,' 'estimate,' 'expect,' 'intend,' 'may,' 'plan,' 'probability,' 'project,' 'risk,' 'seek,' 'should,' 'strive,' 'target' and similar expressions in relation to us or our management to identify forward-looking statements. You can also identify forward-looking statements by discussions of strategy, plans or intentions. These statements reflect our current views with respect to future events and are subject to risks, uncertainties and assumptions.

We may not be successful in implementing our business strategies, and management may fail to achieve its targets, for a wide range of possible reasons, including, without limitation: impact of the corona virus pandemic; incurrence of significant credit-related costs; declines in the value of our securities portfolio; changes in interest rates; foreign currency fluctuations; decrease in the market liquidity of our assets; revised assumptions or other changes related to our pension plans; a decline in our deferred tax assets; impairment of the carrying value of our long-lived assets; problems related to our information technology systems, including as a result of cyber attacks; the effect of financial transactions entered into for hedging and other similar purposes; failure to maintain required capital adequacy ratio levels and meet other financial regulatory requirements; downgrades in our credit ratings; our ability to avoid reputational harm; our ability to implement our 5-Year Business Plan, and implement other strategic initiatives and measures effectively; the effectiveness of our operational, legal and other risk management policies; the effect of changes in general economic conditions in Japan and elsewhere; and changes to applicable laws and regulations.

Further information regarding factors that could affect our financial condition and results of operations is included in 'Item 3.D. Key Information-Risk Factors' and 'Item 5. Operating and Financial Review and Prospects' in our most recent Form 20-F filed with the U.S. Securities and Exchange Commission ('SEC'), which is available in the Financial Information section of our web page at www.mizuhogroup.com and also at the SEC's web site at www.sec.gov.

We do not intend to update our forward-looking statements. We are under no obligation, and disclaim any obligation, to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by the rules of the Tokyo Stock Exchange.

Mizuho Financial Group, Inc.

m Contents of Attachment

1. Matters Related to Summary Information (Notes) p.1-2
(1) Changes in Accounting Policies and Accounting Estimates / Restatements p.1-2
2. Quarterly Consolidated Financial Statements and Others p.1-3
(1) Consolidated Balance Sheets p.1-3
(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income p.1-5
(3) Note for Assumption of Going Concern p.1-7
(4) Note for Significant Changes in the Amount of Shareholders' Equity p.1-7
ø SELECTED FINANCIAL INFORMATION For the First Quarter of Fiscal 2021

Note to XBRL

Please note that the names of the English accounts contained in XBRL data, which are available through EDINET and TDNet, may be different from those of the English accounts in our financial statements.

1-1

Mizuho Financial Group, Inc.

1. Matters Related to Summary Information (Notes)

(1) Changes in Accounting Policies and Accounting Estimates / Restatements

Changes in Accounting Policies

(Accounting Standard for Revenue Recognition and Others)

MHFG has applied 'Accounting Standard for Revenue Recognition' (ASBJ Statement No.29, March 31, 2020) and others from the beginning of the first quarter ended June 30, 2021.

In accordance with 'Accounting Standard for Revenue Recognition', MHFG recognizes revenue at the time of the transfer of promised goods or services to the customer in an amount that reflects the consideration to which MHFG expects to be entitled in exchange for those goods or services.

In accordance with transitional treatment set out in the proviso of Article 84 of 'Accounting Standard for Revenue Recognition', the cumulative effects arising from the retroactive application of these new accounting policies to all the previous fiscal years were reflected in Retained Earnings as of April 1, 2021, and the new accounting policies are applied from the beginning of the fiscal year.

As a result, Retained Earnings decreased by ¥724 million as of April 1, 2021. The impact on the quarterly consolidated statement of income for the fiscal quarter ended June 30, 2021 is immaterial.

1-2

Mizuho Financial Group, Inc.

2. Quarterly Consolidated Financial Statements and Others

(1) Consolidated Balance Sheets

Millions of yen
As of
March 31,
2021 		As of
June 30,
2021

Assets

Cash and Due from Banks

¥ 47,981,981 ¥ 42,323,448

Call Loans and Bills Purchased

589,776 385,421

Receivables under Resale Agreements

11,623,654 17,887,877

Guarantee Deposits Paid under Securities Borrowing Transactions

2,707,711 1,941,493

Other Debt Purchased

3,208,004 3,486,436

Trading Assets

12,589,294 13,910,770

Money Held in Trust

582,368 558,924

Securities

43,697,262 47,167,479

Loans and Bills Discounted

83,704,675 82,631,430

Foreign Exchange Assets

2,084,756 2,042,770

Derivatives other than for Trading Assets

1,719,349 1,335,646

Other Assets

6,174,020 4,105,801

Tangible Fixed Assets

1,135,449 1,127,636

Intangible Fixed Assets

620,224 609,925

Net Defined Benefit Asset

1,109,107 1,022,476

Deferred Tax Assets

31,402 27,243

Customers' Liabilities for Acceptances and Guarantees

6,602,744 6,867,903

Reserves for Possible Losses on Loans

(575,572 ) (543,592 )

Reserve for Possible Losses on Investments

(0 ) (0 )

Total Assets

¥ 225,586,211 ¥ 226,889,093

1-3

Mizuho Financial Group, Inc.

Millions of yen
As of
March 31,
2021 		As of
June 30,
2021

Liabilities

Deposits

¥ 133,312,406 ¥ 129,957,640

Negotiable Certificates of Deposit

17,192,572 19,681,826

Call Money and Bills Sold

1,312,790 1,219,870

Payables under Repurchase Agreements

18,607,255 22,193,696

Guarantee Deposits Received under Securities Lending Transactions

958,148 842,186

Commercial Paper

2,105,067 1,924,183

Trading Liabilities

8,115,377 7,576,190

Borrowed Money

7,441,822 7,394,138

Foreign Exchange Liabilities

532,042 505,906

Short-term Bonds

456,045 488,507

Bonds and Notes

10,321,672 10,364,435

Due to Trust Accounts

1,160,608 1,155,350

Derivatives other than for Trading Liabilities

1,739,671 1,330,630

Other Liabilities

5,862,013 5,581,521

Reserve for Bonus Payments

104,131 23,211

Reserve for Variable Compensation

2,935 3,560

Net Defined Benefit Liability

71,049 71,270

Reserve for Director and Corporate Auditor Retirement Benefits

683 495

Reserve for Possible Losses on Sales of Loans

1,074 911

Reserve for Contingencies

6,762 7,815

Reserve for Reimbursement of Deposits

22,099 20,887

Reserve for Reimbursement of Debentures

14,419 13,550

Reserves under Special Laws

3,135 3,127

Deferred Tax Liabilities

215,557 134,619

Deferred Tax Liabilities for Revaluation Reserve for Land

61,915 61,445

Acceptances and Guarantees

6,602,744 6,867,903

Total Liabilities

¥ 216,224,003 ¥ 217,424,884

Net Assets

Common Stock

¥ 2,256,767 ¥ 2,256,767

Capital Surplus

1,135,940 1,125,324

Retained Earnings

4,421,655 4,577,306

Treasury Stock

(7,124 ) (7,154 )

Total Shareholders' Equity

7,807,239 7,952,243

Net Unrealized Gains (Losses) on Other Securities

1,132,460 1,076,695

Deferred Gains or Losses on Hedges

31,618 22,890

Revaluation Reserve for Land

136,384 135,318

Foreign Currency Translation Adjustments

(139,514 ) (92,486 )

Remeasurements of Defined Benefit Plans

288,088 255,570

Total Accumulated Other Comprehensive Income

1,449,035 1,397,988

Stock Acquisition Rights

134 114

Non-controlling Interests

105,797 113,861

Total Net Assets

9,362,207 9,464,209

Total Liabilities and Net Assets

¥ 225,586,211 ¥ 226,889,093

1-4

Mizuho Financial Group, Inc.

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

Consolidated Statements of Income

Millions of yen
For the three
months ended
June 30, 2020 		For the three
months ended
June 30, 2021

Ordinary Income

¥ 835,835 ¥ 737,009

Interest Income

366,276 293,342

Interest on Loans and Bills Discounted

262,715 210,675

Interest and Dividends on Securities

59,632 46,524

Fiduciary Income

13,333 14,997

Fee and Commission Income

196,531 196,859

Trading Income

139,198 103,004

Other Operating Income

87,768 55,348

Other Ordinary Income

32,726 73,458

Ordinary Expenses

660,414 518,251

Interest Expenses

151,175 70,470

Interest on Deposits

55,515 14,464

Fee and Commission Expenses

39,728 39,405

Trading Expenses

1,390 128

Other Operating Expenses

41,257 26,394

General and Administrative Expenses

340,468 335,331

Other Ordinary Expenses

86,394 46,521

Ordinary Profits

175,421 218,757

Extraordinary Gains

2,834 28,954

Extraordinary Losses

2,164 1,530

Income before Income Taxes

176,092 246,181

Income Taxes:

Current

48,588 32,687

Deferred

4,955 (39,393 )

Total Income Taxes

53,544 (6,705 )

Profit

122,547 252,887

Profit Attributable to Non-controlling Interests

172 2,345

Profit Attributable to Owners of Parent

¥ 122,375 ¥ 250,541

1-5

Mizuho Financial Group, Inc.

Consolidated Statements of Comprehensive Income

Millions of yen
For the three
months ended
June 30, 2020 		For the three
months ended
June 30, 2021

Profit

¥ 122,547 ¥ 252,887

Other Comprehensive Income

70,078 (48,156 )

Net Unrealized Gains (Losses) on Other Securities

131,007 (53,348 )

Deferred Gains or Losses on Hedges

(9,414 ) (8,635 )

Foreign Currency Translation Adjustments

(45,327 ) 38,509

Remeasurements of Defined Benefit Plans

(4,376 ) (32,036 )

Share of Other Comprehensive Income of Associates Accounted for Using Equity Method

(1,811 ) 7,353

Comprehensive Income

192,626 204,730

(Breakdown)

Comprehensive Income Attributable to Owners of Parent

195,229 200,559

Comprehensive Income Attributable to Non-controlling Interests

(2,602 ) 4,170

1-6

Mizuho Financial Group, Inc.

(3) Note for Assumption of Going Concern

There is no applicable information.

(4) Note for Significant Changes in the Amount of Shareholders' Equity

There is no applicable information.

1-7

SELECTED FINANCIAL INFORMATION

For the First Quarter of Fiscal 2021

(Under Japanese GAAP)

Mizuho Financial Group, Inc.

C O N T E N T S

Notes:

'CON': Consolidated figures for Mizuho Financial Group, Inc. ('MHFG')

'NON': Non-consolidated figures for Mizuho Bank, Ltd. ('MHBK') and Mizuho Trust & Banking Co., Ltd. ('MHTB')

FINANCIAL INFORMATION FOR THE FIRST QUARTER OF FISCAL 2021

See above Notes Page

1. Income Analysis

CON NON 2- 1

2. Net Gains/Losses on Stocks

CON NON 2- 3

3. Unrealized Gains/Losses on Securities

CON NON 2- 4

4. Deferred Hedge Gains/Losses on Derivative Transactions Qualifying for Hedge Accounting

NON 2- 6

5. Status of Non Performing Loans based on the Financial Reconstruction Act ('FRA')

CON NON 2- 7

6. Status of Deposits and Loans

NON 2- 9

Attachments

Page

Mizuho Bank, Ltd.

Comparison of Non-Consolidated Balance Sheets (selected items)

2- 11

Comparison of Non-Consolidated Statements of Income (selected items)

2- 12

Mizuho Trust & Banking Co., Ltd.

Comparison of Non-Consolidated Balance Sheets (selected items)

2- 13

Comparison of Non-Consolidated Statements of Income (selected items)

2- 14

Mizuho Securities Co., Ltd.

Comparison of Non-Consolidated Balance Sheets (selected items)

2- 15

Comparison of Non-Consolidated Statements of Income (selected items)

2- 16

This immediate release contains statements that constitute forward-looking statements within the meaning of the United States Private Securities Litigation Reform Act of 1995, including estimates, forecasts, targets and plans. Such forward-looking statements do not represent any guarantee by management of future performance.

In many cases, but not all, we use such words as 'aim,' 'anticipate,' 'believe,' 'endeavor,' 'estimate,' 'expect,' 'intend,' 'may,' 'plan,' 'probability,' 'project,' 'risk,' 'seek,' 'should,' 'strive,' 'target' and similar expressions in relation to us or our management to identify forward-looking statements. You can also identify forward-looking statements by discussions of strategy, plans or intentions. These statements reflect our current views with respect to future events and are subject to risks, uncertainties and assumptions.

We may not be successful in implementing our business strategies, and management may fail to achieve its targets, for a wide range of possible reasons, including, without limitation: impact of the corona virus pandemic; incurrence of significant credit-related costs; declines in the value of our securities portfolio; changes in interest rates; foreign currency fluctuations; decrease in the market liquidity of our assets; revised assumptions or other changes related to our pension plans; a decline in our deferred tax assets; impairment of the carrying value of our long-lived assets; problems related to our information technology systems, including as a result of cyber attacks; the effect of financial transactions entered into for hedging and other similar purposes; failure to maintain required capital adequacy ratio levels and meet other financial regulatory requirements; downgrades in our credit ratings; our ability to avoid reputational harm; our ability to implement our 5-Year Business Plan and implement other strategic initiatives and measures effectively; the effectiveness of our operational, legal and other risk management policies; the effect of changes in general economic conditions in Japan and elsewhere; and changes to applicable laws and regulations.

Further information regarding factors that could affect our financial condition and results of operations is included in 'Item 3.D. Key Information-Risk Factors' and 'Item 5. Operating and Financial Review and Prospects' in our most recent Form 20-F filed with the U.S. Securities and Exchange Commission ('SEC'), which is available in the Financial Information section of our web page at www.mizuho-fg.com/index.html and also at the SEC's web site at www.sec.gov.

We do not intend to update our forward-looking statements. We are under no obligation, and disclaim any obligation, to update or alter our forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by the rules of the Tokyo Stock Exchange.

Mizuho Financial Group, Inc.

FINANCIAL INFORMATION FOR THE FIRST QUARTER OF FISCAL 2021

1. Income Analysis

Consolidated

(Billions of yen)
First Quarter of
Fiscal 2021 		First Quarter of
Fiscal 2020
Change

Consolidated Gross Profits

1 527.1 (42.4 ) 569.5

Net Interest Income

2 222.8 7.7 215.1

Fiduciary Income

3 14.9 1.6 13.3

Credit Costs for Trust Accounts

4 - - -

Net Fee and Commission Income

5 157.4 0.6 156.8

Net Trading Income

6 102.8 (34.9 ) 137.8

Net Other Operating Income

7 28.9 (17.5 ) 46.5

General and Administrative Expenses

8 (335.3 ) 5.1 (340.4 )

Expenses related to Portfolio Problems (including Reversal of (Provision for) General Reserve for Losses on Loans)

9 (5.4 ) 35.6 (41.1 )

Gains on Reversal of Reserves for Possible Losses on Loans, and others

10 8.1 5.9 2.1

Net Gains (Losses) related to Stocks

11 23.9 36.9 (12.9 )

Equity in Income from Investments in Affiliates

12 12.7 6.8 5.8

Other

13 (12.4 ) (4.8 ) (7.5 )

Ordinary Profits

14 218.7 43.3 175.4

Net Extraordinary Gains (Losses)

15 27.4 26.7 0.6

Income before Income Taxes

16 246.1 70.0 176.0

Income Taxes

17 6.7 60.2 (53.5 )

Profit

18 252.8 130.3 122.5

Profit Attributable to Non-controlling Interests

19 (2.3 ) (2.1 ) (0.1 )

Profit Attributable to Owners of Parent

20 250.5 128.1 122.3

Credit-related Costs (including Credit Costs for Trust Accounts)

21 2.6 41.6 (39.0 )

Credit-related Costs [21] = Expenses related to Portfolio Problems (including Reversal of (Provision for) General Reserve for Losses on Loans) [9] + Gains on Reversal of Reserves for Possible Losses on Loans, and others [10] + Credit Costs for Trust Accounts [4]

(Reference)

Consolidated Net Business Profits

22 194.3 (37.3 ) 231.7

Consolidated Net Business Profits [22] = Consolidated Gross Profits [1] - General and Administrative Expenses (excluding Non-Recurring Losses) + Equity in Income from Investments in Affiliates and certain other consolidation adjustments

Number of consolidated subsidiaries

23 160 30 130

Number of affiliates under the equity method

24 28 1 27

2-1

Mizuho Financial Group, Inc.

Non-Consolidated

Aggregate Figures for the 2 Banks

(Billions of yen)
First Quarter of Fiscal 2021 First Quarter of
Fiscal 2020
MHBK MHTB Aggregate
Figures 		Change

Gross Profits

1 311.1 27.8 338.9 (53.9 ) 392.9

Net Interest Income

2 193.4 4.4 197.8 6.8 191.0

Fiduciary Income

3 15.1 15.1 1.7 13.3

Trust Fees for Jointly Operated Designated Money Trust

4 0.9 0.9 (0.0 ) 1.0

Credit Costs for Trust Accounts

5 - - - -

Net Fee and Commission Income

6 81.5 7.9 89.4 (16.6 ) 106.0

Net Trading Income

7 29.6 0.2 29.9 (23.2 ) 53.2

Net Other Operating Income

8 6.4 0.0 6.5 (22.6 ) 29.2

General and Administrative Expenses
(excluding Non-Recurring Losses)

9 (193.8 ) (21.0 ) (214.8 ) 9.0 (223.8 )

Net Business Profits (before Reversal of (Provision for)
General Reserve for Losses on Loans) (1)

10 117.3 6.8 124.1 (44.9 ) 169.1

Net Business Profits (before Reversal of (Provision for) General
Reserve for Losses on Loans) from core business areas (2)

11 110.2 6.8 117.0 (11.2 ) 128.2

Excluding Net Gains (Losses) from redemption of Investment Trusts

12 106.8 6.8 113.6 (14.0 ) 127.7

Reversal of (Provision for) General Reserve for Losses on Loans

13 - (0.0 ) (0.0 ) 28.8 (28.8 )

Net Business Profits

14 117.3 6.7 124.1 (16.1 ) 140.2

Net Gains (Losses) related to Bonds

15 7.0 0.0 7.0 (33.7 ) 40.8

Net Non-Recurring Gains (Losses)

16 23.2 1.3 24.6 97.7 (73.1 )

Net Gains (Losses) related to Stocks

17 22.2 0.2 22.4 83.9 (61.4 )

Expenses related to Portfolio Problems

18 (4.8 ) (0.0 ) (4.9 ) 7.6 (12.5 )

Gains on Reversal of Reserves for Possible Losses on Loans, and others

19 8.1 0.0 8.1 6.2 1.8

Other

20 (2.2 ) 1.1 (1.0 ) (0.0 ) (0.9 )

Ordinary Profits

21 140.6 8.1 148.7 81.6 67.1

Net Extraordinary Gains (Losses)

22 26.1 1.5 27.6 26.2 1.3

Income before Income Taxes

23 166.7 9.7 176.4 107.9 68.5

Income Taxes

24 (73.0 ) (2.8 ) (75.9 ) (41.3 ) (34.5 )

Net Income

25 93.6 6.8 100.5 66.5 33.9

(1) Net Business Profits (before Reversal of (Provision for) General Reserve for Losses on Loans) for MHTB excludes the amounts of 'Credit Costs for Trust Accounts' [5].

(2) Net Business Profits (before Reversal of (Provision for) General Reverse for Losses on Loans) from core business areas[11] =Net Business Profits (before Reversal of (Provision for) General Reverse for Losses on Loans)[10]-Net Gains (Losses) related to Bonds[15]

Credit-related Costs

26 3.3 (0.1 ) 3.2 42.6 (39.4 )

Credit-related Costs [26] = Expenses related to Portfolio Problems [18] + Reversal of (Provision for) General Reserve for Losses on Loans [13] + Gains on Reversal of Reserves for Possible Losses on Loans, and others [19] + Credit Costs for Trust Accounts [5]

Reference: Breakdown of Credit-related Costs

Credit Costs for Trust Accounts

27 - - - -

Reversal of (Provision for) General Reserve for Losses on Loans

28 (5.4 ) (0.0 ) (5.4 ) 23.3 (28.8 )

Losses on Write-offs of Loans

29 (2.9 ) (0.0 ) (2.9 ) 1.3 (4.3 )

Reversal of (Provision for) Specific Reserve for Possible Losses on Loans

30 11.4 (0.0 ) 11.3 18.1 (6.7 )

Reversal of (Provision for) Reserve for Possible Losses on Loans to Restructuring Countries

31 0.0 - 0.0 0.0 -

Reversal of (Provision for) Reserve for Contingencies

32 0.2 - 0.2 (0.3 ) 0.5

Other (including Losses on Sales of Loans)

33 (0.0 ) - (0.0 ) 0.0 (0.1 )

Total

34 3.3 (0.1 ) 3.2 42.6 (39.4 )

2-2

Mizuho Financial Group, Inc.

2. Net Gains/Losses on Stocks

Consolidated

(Billions of yen)
First Quarter of
Fiscal 2021 		Change First Quarter of
Fiscal 2020

Net Gains (Losses) related to Stocks

23.9 36.9 (12.9 )

Gains on Sales

49.4 27.1 22.2

Losses on Sales

(15.3 ) 0.6 (16.0 )

Impairment (Devaluation)

(2.3 ) (0.7 ) (1.6 )

Reversal of (Provision for) Reserve for Possible Losses on Investments

- - -

Gains (Losses) on Derivatives other than for Trading

(7.7 ) 9.8 (17.5 )

Non-Consolidated

Aggregate Figures for the 2 Banks

First Quarter of
Fiscal 2021 		Change First Quarter of
Fiscal 2020

Net Gains (Losses) related to Stocks

22.4 83.9 (61.4 )

Gains on Sales

46.9 28.7 18.2

Losses on Sales

(14.8 ) (2.3 ) (12.5 )

Impairment (Devaluation)

(1.9 ) 47.4 (49.4 )

Reversal of (Provision for) Reserve for Possible Losses on Investments

- 0.2 (0.2 )

Gains (Losses) on Derivatives other than for Trading

(7.7 ) 9.8 (17.5 )

Mizuho Bank

First Quarter of
Fiscal 2021 		Change First Quarter of
Fiscal 2020

Net Gains (Losses) related to Stocks

22.2 82.5 (60.3 )

Gains on Sales

46.6 32.4 14.1

Losses on Sales

(14.8 ) (3.9 ) (10.8 )

Impairment (Devaluation)

(1.9 ) 47.5 (49.4 )

Reversal of (Provision for) Reserve for Possible Losses on Investments

- 0.2 (0.2 )

Gains (Losses) on Derivatives other than for Trading

(7.7 ) 6.2 (13.9 )

Mizuho Trust & Banking

First Quarter of
Fiscal 2021 		Change First Quarter of
Fiscal 2020
Net Gains (Losses) related to Stocks 0.2 1.4 (1.1 )

Gains on Sales

0.3 (3.7 ) 4.0

Losses on Sales

(0.0 ) 1.6 (1.6 )

Impairment (Devaluation)

(0.0 ) (0.0 ) -

Reversal of (Provision for) Reserve for Possible Losses on Investments

- - -

Gains (Losses) on Derivatives other than for Trading

- 3.5 (3.5 )

2-3

Mizuho Financial Group, Inc.

3. Unrealized Gains/Losses on Securities

•

Stocks and other securities without a quoted market price and Investments in Partnerships are excluded.

Consolidated

(1) Other Securities

(Billions of yen)
As of June 30, 2021 As of March 31, 2021
Book Value
(=Fair Value) 		Unrealized Gains/Losses Book Value
(=Fair Value) 		Unrealized Gains/Losses
Gains Losses Gains Losses

MHFG (Consolidated)

Other Securities

45,668.2 1,525.2 1,897.4 372.1 42,534.8 1,603.2 1,989.8 386.5

Japanese Stocks

2,812.1 1,609.2 1,662.5 53.2 2,865.9 1,698.2 1,744.6 46.3

Japanese Bonds

25,646.3 (36.2 ) 23.1 59.4 24,145.0 (44.9 ) 24.7 69.7

Japanese Government Bonds

22,283.4 (25.7 ) 0.8 26.5 20,920.5 (31.7 ) 3.5 35.3

Other

17,209.7 (47.7 ) 211.6 259.4 15,523.8 (50.0 ) 220.4 270.4

Foreign Bonds

13,926.8 (26.8 ) 67.7 94.6 12,433.9 (33.0 ) 66.6 99.6
*

In addition to 'Securities' on the consolidated balance sheets, NCDs in 'Cash and Due from Banks,' certain items in 'Other Debt Purchased' and certain items in 'Other Assets' are also included.

*

Unrealized Gains/Losses include ¥29.4 billion and ¥32.4 billion, which were recognized in the statement of income for June 30, 2021 and March 31, 2021 respectively, by applying the fair-value hedge method.

(2) Bonds Held to Maturity

(Billions of yen)
As of June 30, 2021 As of March 31, 2021
Book Value Unrealized Gains/Losses Book Value Unrealized Gains/Losses
Gains Losses Gains Losses

MHFG (Consolidated)

1,192.8 12.0 16.1 4.1 885.5 18.0 21.2 3.1

Non-Consolidated

Aggregate Figures for the 2 Banks

(1) Other Securities

(Billions of yen)
As of June 30, 2021 As of March 31, 2021
Book Value Unrealized Gains/Losses Book Value Unrealized Gains/Losses
(=Fair Value) Gains Losses (=Fair Value) Gains Losses

MHBK

Other Securities

44,142.4 1,363.9 1,734.3 370.3 41,113.3 1,441.2 1,826.4 385.1

Japanese Stocks

2,573.6 1,451.7 1,504.3 52.6 2,625.6 1,539.5 1,585.8 46.3

Japanese Bonds

25,477.3 (37.2 ) 22.1 59.4 24,010.6 (45.8 ) 23.8 69.7

Japanese Government Bonds

22,212.2 (25.7 ) 0.8 26.5 20,879.3 (31.7 ) 3.5 35.2

Other

16,091.4 (50.5 ) 207.7 258.2 14,477.0 (52.4 ) 216.7 269.1

Foreign Bonds

13,489.2 (26.3 ) 67.0 93.4 12,031.1 (32.5 ) 65.8 98.3

MHTB

Other Securities

303.5 82.2 85.1 2.8 275.1 86.3 88.6 2.2

Japanese Stocks

149.7 80.8 83.6 2.8 154.2 85.0 87.3 2.2

Japanese Bonds

147.8 0.9 0.9 0.0 114.8 0.9 0.9 0.0

Japanese Government Bonds

60.0 (0.0 ) - 0.0 30.0 (0.0 ) - 0.0

Other

5.9 0.4 0.4 0.0 6.0 0.3 0.3 0.0

Foreign Bonds

- - - - - - - -

Total

Other Securities

44,446.0 1,446.1 1,819.4 373.2 41,388.5 1,527.5 1,915.0 387.4

Japanese Stocks

2,723.4 1,532.5 1,588.0 55.4 2,779.8 1,624.5 1,673.1 48.5

Japanese Bonds

25,625.1 (36.3 ) 23.1 59.4 24,125.5 (44.9 ) 24.7 69.7

Japanese Government Bonds

22,272.2 (25.7 ) 0.8 26.5 20,909.3 (31.7 ) 3.5 35.3

Other

16,097.4 (50.0 ) 208.2 258.2 14,483.0 (52.0 ) 217.0 269.1

Foreign Bonds

13,489.2 (26.3 ) 67.0 93.4 12,031.1 (32.5 ) 65.8 98.3
*

In addition to 'Securities' on the balance sheets, NCDs in 'Cash and Due from Banks' and certain items in 'Other Debt Purchased' are also included.

*

Unrealized Gains/Losses include ¥29.4 billion and ¥32.4 billion, which were recognized in the statement of income (aggregate figures for the 2 banks) for June 30, 2021 and March 31, 2021 respectively, by applying the fair-value hedge method.

2-4

Mizuho Financial Group, Inc.

(2) Bonds Held to Maturity

(Billions of yen)
As of June 30, 2021 As of March 31, 2021
Book Value Unrealized Gains/Losses Book Value Unrealized Gains/Losses
Gains Losses Gains Losses
MHBK 1,192.8 12.0 16.1 4.1 885.5 18.0 21.2 3.1
MHTB - - - - - - - -

Total

1,192.8 12.0 16.1 4.1 885.5 18.0 21.2 3.1

(3) Investments in Subsidiaries and Affiliates

(Billions of yen)
As of June 30, 2021 As of March 31, 2021
Book Value Unrealized Gains/Losses Book Value Unrealized Gains/Losses
Gains Losses Gains Losses
MHBK 135.7 341.9 342.3 0.3 135.7 286.5 286.5 0.0
MHTB - - - - - - - -

Total

135.7 341.9 342.3 0.3 135.7 286.5 286.5 0.0

(Reference)

Unrealized Gains/Losses on Other Securities

(the base amount to be recorded directly to Net Assets after tax and other necessary adjustments)

For certain Other Securities, Unrealized Gains/Losses were recognized in the statement of income by applying the fair-value hedge method. Unrealized Gains/Losses on Other Securities after excluding such Income/Loss (the 'base amount') are recorded directly to Net Assets after tax and other necessary adjustments.

The base amounts are as follows:

Consolidated

(Billions of yen)
As of June 30, 2021 As of
March 31,
2021
Unrealized Gains/Losses Unrealized
Gains/
Losses
Change

Other Securities

1,495.8 (74.9 ) 1,570.7

Japanese Stocks

1,579.8 (85.8 ) 1,665.7

Japanese Bonds

(36.2 ) 8.6 (44.9 )

Japanese Government Bonds

(25.7 ) 5.9 (31.7 )

Other

(47.7 ) 2.2 (50.0 )

Foreign Bonds

(26.8 ) 6.1 (33.0 )

Non-Consolidated

Aggregate Figures for the 2 Banks

(Billions of yen)
As of June 30, 2021 As of
March 31,
2021
Unrealized Gains/Losses Unrealized
Gains/
Losses
Change

Other Securities

1,416.7 (78.2 ) 1,495.0

Japanese Stocks

1,503.1 (88.9 ) 1,592.0

Japanese Bonds

(36.3 ) 8.6 (44.9 )

Japanese Government Bonds

(25.7 ) 5.9 (31.7 )

Other

(50.0 ) 1.9 (52.0 )

Foreign Bonds

(26.3 ) 6.1 (32.5 )

2-5

Mizuho Financial Group, Inc.

4. Deferred Hedge Gains/Losses on Derivative Transactions Qualifying for Hedge Accounting

Non-Consolidated

Aggregate Figures for the 2 Banks

(Billions of yen)
As of June 30, 2021 As of March 31, 2021
Deferred Hedge Gains/Losses Deferred Hedge Gains/Losses
Gains Losses Gains Losses

MHBK

1,129.4 1,093.9 35.4 1,168.8 1,125.5 43.2

MHTB

8.5 16.7 (8.2 ) 9.6 13.3 (3.7 )

Total

1,137.9 1,110.7 27.1 1,178.4 1,138.9 39.5

Note: Above figures reflect all derivative transactions qualifying for hedge accounting, and are before net of applicable income taxes.

2-6

Mizuho Financial Group, Inc.

5. Status of Non Performing Loans based on the Financial Reconstruction Act('FRA')

Consolidated

(Billions of yen)
As of June 30, 2021 As of
March 31, 2021
Change

Claims against Bankrupt and Substantially Bankrupt Obligors

46.7 (8.7 ) 55.5

Claims with Collection Risk

351.8 (57.9 ) 409.7

Claims for Special Attention

414.0 36.5 377.5

Sub-total[1]

812.6 (30.1 ) 842.8

Normal Claims

92,357.0 (829.7 ) 93,186.7

Total[2]

93,169.6 (859.9 ) 94,029.6
(%)

NPL ratio[1]/[2]

0.87 (0.02 ) 0.89

Above figures are presented net of partial direct write-offs.

Trust Account

(Billions of yen)
As of June 30, 2021 As of
March 31,
2021
Change

Claims against Bankrupt and Substantially Bankrupt Obligors

- - -

Claims with Collection Risk

- - -

Claims for Special Attention

- - -

Sub-total[3]

- - -

Normal Claims

4.6 (0.1 ) 4.7

Total[4]

4.6 (0.1 ) 4.7
(%)

NPL ratio[3]/[4]

- - -

Consolidated + Trust Account

(Billions of yen)
As of June 30, 2021 As of
March 31,
2021
Change

Claims against Bankrupt and Substantially Bankrupt Obligors

46.7 (8.7 ) 55.5

Claims with Collection Risk

351.8 (57.9 ) 409.7

Claims for Special Attention

414.0 36.5 377.5

Sub-total[5]

812.6 (30.1 ) 842.8

Normal Claims

92,361.6 (829.9 ) 93,191.5

Total[6]

93,174.2 (860.1 ) 94,034.4
(%)

NPL ratio[5]/[6]

0.87 (0.02 ) 0.89

Trust account represents trust accounts that guarantee principals in the agreement.

2-7

Mizuho Financial Group, Inc.

Non-Consolidated

Aggregate Figures for the 2 Banks

(Banking Account + Trust Account)

(Billions of yen)
As of June 30, 2021 As of
March 31,
2021
Change

Claims against Bankrupt and Substantially Bankrupt Obligors

40.3 (8.3 ) 48.7

Claims with Collection Risk

342.1 (68.8 ) 411.0

Claims for Special Attention

371.2 38.2 333.0

Sub-total[1]

753.7 (38.9 ) 792.7

Normal Claims

94,180.7 (963.5 ) 95,144.3

Total[2]

94,934.5 (1,002.5 ) 95,937.1
(%)

NPL ratio[1]/[2]

0.79 (0.03 ) 0.82

Above figures are presented net of partial direct write-offs.

Mizuho Bank

(Billions of yen)

Claims against Bankrupt and Substantially Bankrupt Obligors

40.1 (8.3 ) 48.4

Claims with Collection Risk

337.4 (67.2 ) 404.6

Claims for Special Attention

369.9 37.4 332.5

Sub-total[3]

747.4 (38.1 ) 785.6

Normal Claims

90,904.4 (864.4 ) 91,768.8

Total[4]

91,651.9 (902.5 ) 92,554.5
(%)

NPL ratio[3]/[4]

0.81 (0.03 ) 0.84

Above figures are presented net of partial direct write-offs.

Mizuho Trust & Banking

(Banking Account)

(Billions of yen)

Claims against Bankrupt and Substantially Bankrupt Obligors

0.2 (0.0 ) 0.2

Claims with Collection Risk

4.7 (1.6 ) 6.4

Claims for Special Attention

1.2 0.8 0.4

Sub-total[5]

6.3 (0.8 ) 7.1

Normal Claims

3,271.7 (98.9 ) 3,370.6

Total[6]

3,278.0 (99.7 ) 3,377.8
(%)

NPL ratio[5]/[6]

0.19 (0.01 ) 0.21

Above figures are presented net of partial direct write-offs.

(Trust Account)

(Billions of yen)

Claims against Bankrupt and Substantially Bankrupt Obligors

- - -

Claims with Collection Risk

- - -

Claims for Special Attention

- - -

Sub-total[7]

- - -

Normal Claims

4.6 (0.1 ) 4.7

Total[8]

4.6 (0.1 ) 4.7
(%)

NPL ratio[7]/[8]

- - -

Trust account represents trust accounts that guarantee principals in the agreement.

2-8

Mizuho Financial Group, Inc.

6. Status of Deposits and Loans

Non-Consolidated

(1)-1 Deposits

Aggregate Figures for the 2 Banks

(Billions of yen)
As of
June 30, 2021 		As of
March 31, 2021
Change

MHBK

124,627.2 (3,651.7 ) 128,279.0

MHTB

2,940.5 60.5 2,879.9

Total

127,567.7 (3,591.2 ) 131,158.9

(1)-2 Domestic Deposits

Aggregate Figures for the 2 Banks

(Billions of yen)
As of June 30, 2021 As of
March 31, 2021
Change

MHBK

105,228.7 (2,934.6 ) 108,163.3

Individual deposits

47,176.0 684.5 46,491.5

MHTB

2,940.5 60.5 2,879.9

Individual deposits

835.8 5.7 830.1

Total

108,169.2 (2,874.1 ) 111,043.3

Individual deposits

48,011.9 690.2 47,321.6

Note: Above figures do not include deposits booked at overseas offices and offshore deposits.

(2) Loans and Bills Discounted

Aggregate Figures for the 2 Banks

(Billions of yen)
As of
June 30, 2021 		As of
March 31, 2021
Change

MHBK

80,974.4 (1,100.1 ) 82,074.5

MHTB

3,260.9 (101.2 ) 3,362.2

Total

84,235.4 (1,201.4 ) 85,436.8

Note: Loans to MHFG are included as follows:

As of June 30, 2021: ¥620.0 billion (from MHBK)

As of March 31, 2021: ¥850.0 billion (from MHBK)

2-9

Mizuho Financial Group, Inc.

(3) Interest Margins (Domestic Operations)

Mizuho Bank

(%)

First Quarter of

Fiscal 2021

(For the three months)

Change

First Quarter of

Fiscal 2020

(For the three months)

Return on Loans and Bills Discounted

1 0.74 0.02 0.72

Cost of Deposits

2 0.00 (0.00) 0.00

Loan and Deposit Rate Margin [1]-[2]

3 0.74 0.02 0.71

Notes:    1. Return on Loans and Bills Discounted excludes loans to financial institutions (including MHFG).

      2. Deposits include NCDs.

(Reference) After excluding Loans to the Japanese government and others

Return on Loans and Bills Discounted

4 0.76 0.01 0.74

Loan and Deposit Rate Margin [4]-[2]

5 0.76 0.01 0.74

Mizuho Trust & Banking

(%)

First Quarter of

Fiscal 2021

(For the three months)

Change

First Quarter of

Fiscal 2020

(For the three months)

Return on Loans and Bills Discounted

6 0.58 0.00 0.58

Cost of Deposits

7 0.01 (0.00) 0.01

Loan and Deposit Rate Margin [6]-[7]

8 0.57 0.00 0.56

Notes:    1. Return on Loans and Bills Discounted excludes loans to financial institutions (including MHFG).

      2. Deposits include NCDs.

(Reference) After excluding Loans to the Japanese government and others

Return on Loans and Bills Discounted

9 0.60 0.00 0.60

Loan and Deposit Rate Margin [9]-[7]

10 0.59 0.00 0.59

(Reference)

Aggregate Figures for the 2 Banks

(%)

First Quarter of

Fiscal 2021

(For the three months)

Change

First Quarter of

Fiscal 2020

(For the three months)

Return on Loans and Bills Discounted

11 0.73 0.02 0.71

Cost of Deposits

12 0.00 (0.00) 0.00

Loan and Deposit Rate Margin [11]-[12]

13 0.73 0.02 0.71

Notes:    1. Return on Loans and Bills Discounted excludes loans to financial institutions (including MHFG).

      2. Deposits include NCDs.

(Reference) After excluding Loans to the Japanese government and others

Return on Loans and Bills Discounted

14 0.75 0.01 0.73

Loan and Deposit Rate Margin [14]-[12]

15 0.75 0.01 0.73

2-10

Mizuho Bank, Ltd.

(Attachments)

COMPARISON OF NON-CONSOLIDATED BALANCE SHEETS (selected items)

OF MIZUHO BANK

Millions of yen
As of
June 30,
2021 (A) 		As of
March 31,
2021 (B) 		Change
(A) - (B)

Assets

Cash and Due from Banks

¥ 39,251,006 ¥ 45,460,471 ¥ (6,209,464 )

Call Loans

782,934 967,504 (184,569 )

Receivables under Resale Agreements

8,336,855 2,376,420 5,960,435

Guarantee Deposits Paid under Securities Borrowing Transactions

151,967 151,282 685

Other Debt Purchased

458,203 482,837 (24,634 )

Trading Assets

4,398,793 4,655,665 (256,872 )

Money Held in Trust

503 503 0

Securities

47,100,412 43,720,657 3,379,754

Loans and Bills Discounted

80,974,446 82,074,591 (1,100,144 )

Foreign Exchange Assets

1,974,104 2,016,766 (42,661 )

Derivatives other than for Trading

3,384,677 3,998,530 (613,852 )

Other Assets

2,840,253 4,920,054 (2,079,800 )

Tangible Fixed Assets

872,821 881,564 (8,742 )

Intangible Fixed Assets

355,722 360,296 (4,573 )

Prepaid Pension Cost

482,338 524,167 (41,829 )

Customers' Liabilities for Acceptances and Guarantees

7,092,754 6,828,085 264,669

Reserves for Possible Losses on Loans

(504,621 ) (536,101 ) 31,480

Total Assets

¥ 197,953,176 ¥ 198,883,298 ¥ (930,121 )

Liabilities

Deposits

¥ 124,627,226 ¥ 128,279,005 ¥ (3,651,778 )

Negotiable Certificates of Deposit

19,140,928 16,684,774 2,456,154

Call Money

1,018,144 1,061,104 (42,960 )

Payables under Repurchase Agreements

10,879,013 8,760,834 2,118,178

Guarantee Deposits Received under Securities Lending Transactions

190,069 170,648 19,420

Commercial Paper

1,924,183 2,105,067 (180,883 )

Trading Liabilities

2,699,921 3,255,476 (555,555 )

Borrowed Money

15,046,610 15,084,290 (37,680 )

Foreign Exchange Liabilities

688,316 717,422 (29,106 )

Bonds and Notes

899,790 911,779 (11,989 )

Derivatives other than for Trading

3,381,697 4,016,868 (635,171 )

Other Liabilities

2,959,164 3,448,928 (489,763 )

Reserve for Bonus Payments

289 25,042 (24,753 )

Reserve for Variable Compensation

1,182 983 199

Reserve for Possible Losses on Sales of Loans

911 1,074 (162 )

Reserve for Contingencies

2,845 3,092 (246 )

Reserve for Reimbursement of Deposits

19,483 20,540 (1,057 )

Reserve for Reimbursement of Debentures

13,550 14,419 (868 )

Deferred Tax Liabilities

52,143 38,723 13,420

Deferred Tax Liabilities for Revaluation Reserve for Land

61,445 61,915 (470 )

Acceptances and Guarantees

7,092,754 6,828,085 264,669

Total Liabilities

190,699,674 191,490,080 (790,405 )

Net Assets

Common Stock and Preferred Stock

1,404,065 1,404,065 -

Capital Surplus

2,286,167 2,286,167 -

Capital Reserve

655,450 655,450 -

Other Capital Surplus

1,630,716 1,630,716 -

Retained Earnings

2,433,222 2,514,003 (80,781 )

Appropriated Reserve

389,012 353,908 35,103

Other Retained Earnings

2,044,209 2,160,095 (115,885 )

Retained Earnings Brought Forward

2,044,209 2,160,095 (115,885 )

Total Shareholders' Equity

6,123,454 6,204,236 (80,781 )

Net Unrealized Gains (Losses) on Other Securities, net of Taxes

970,693 1,023,139 (52,445 )

Net Deferred Hedge Gains (Losses), net of Taxes

24,035 29,458 (5,423 )

Revaluation Reserve for Land, net of Taxes

135,318 136,384 (1,065 )

Total Valuation and Translation Adjustments

1,130,047 1,188,982 (58,934 )

Total Net Assets

7,253,501 7,393,218 (139,716 )

Total Liabilities and Net Assets

¥ 197,953,176 ¥ 198,883,298 ¥ (930,121 )

2-11

Mizuho Bank, Ltd.

COMPARISON OF NON-CONSOLIDATED STATEMENTS OF INCOME (selected items)

OF MIZUHO BANK

Millions of yen
For the three months
ended June 30, 2021
(A) 		For the three months
ended June 30, 2020
(B) 		Change
(A) - (B)

Ordinary Income

¥ 474,024 ¥ 567,428 ¥ (93,404 )

Interest Income

251,099 313,839 (62,739 )

Interest on Loans and Bills Discounted

186,171 232,261 (46,089 )

Interest and Dividends on Securities

42,362 55,352 (12,990 )

Fee and Commission Income

116,576 124,301 (7,725 )

Trading Income

29,836 53,427 (23,591 )

Other Operating Income

18,443 58,547 (40,104 )

Other Ordinary Income

58,068 17,312 40,755

Ordinary Expenses

333,416 508,058 (174,642 )

Interest Expenses

57,657 129,591 (71,934 )

Interest on Deposits

8,512 48,705 (40,193 )

Fee and Commission Expenses

35,046 23,851 11,194

Trading Expenses

139 382 (243 )

Other Operating Expenses

11,951 33,838 (21,886 )

General and Administrative Expenses

184,458 198,302 (13,844 )

Other Ordinary Expenses

44,161 122,090 (77,928 )

Ordinary Profits

140,608 59,370 81,237

Extraordinary Gains

27,341 2,830 24,510

Extraordinary Losses

1,239 1,388 (149 )

Income before Income Taxes

166,710 60,812 105,898

Income Taxes:

Current

38,669 35,335 3,333

Deferred

34,369 (3,143 ) 37,512

Net Income

¥ 93,671 ¥ 28,620 ¥ 65,051

2-12

Mizuho Trust & Banking Co., Ltd.

COMPARISON OF NON-CONSOLIDATED BALANCE SHEETS (selected items)

OF MIZUHO TRUST & BANKING

Millions of yen
As of
June 30,
2021 (A) 		As of
March 31,
2021 (B) 		Change
(A) - (B)

Assets

Cash and Due from Banks

¥ 2,174,105 ¥ 2,010,405 ¥ 163,700

Call Loans

2,764 22,134 (19,369 )

Other Debt Purchased

43,051 26,092 16,959

Trading Assets

25,273 130,476 (105,202 )

Money Held in Trust

10,929 9,804 1,125

Securities

349,569 321,504 28,065

Loans and Bills Discounted

3,260,996 3,362,267 (101,270 )

Foreign Exchange Assets

4,724 6,313 (1,588 )

Other Assets

210,958 321,181 (110,222 )

Tangible Fixed Assets

101,263 102,139 (876 )

Intangible Fixed Assets

24,027 25,486 (1,458 )

Prepaid Pension Cost

65,138 65,962 (824 )

Customers' Liabilities for Acceptances and Guarantees

15,279 14,008 1,271

Reserves for Possible Losses on Loans

(3,228 ) (4,196 ) 967

Total Assets

¥ 6,284,855 ¥ 6,413,579 ¥ (128,724 )

Liabilities

Deposits

¥ 2,940,503 ¥ 2,879,951 ¥ 60,552

Negotiable Certificates of Deposit

652,380 618,380 34,000

Call Money

605,793 581,838 23,955

Trading Liabilities

31,543 131,235 (99,691 )

Borrowed Money

326,606 375,082 (48,476 )

Due to Trust Accounts

1,155,350 1,160,608 (5,257 )

Other Liabilities

33,319 23,141 10,178

Reserve for Bonus Payments

- 3,199 (3,199 )

Reserve for Variable Compensation

464 380 84

Provision for Retirement Benefits

- 260 (260 )

Reserve for Reimbursement of Deposits

1,403 1,558 (155 )

Reserve for Loss of Transfer

4,773 4,814 (41 )

Deferred Tax Liabilities

15,254 15,515 (261 )

Acceptances and Guarantees

15,279 14,008 1,271

Total Liabilities

5,782,673 5,809,974 (27,301 )

Net Assets

Common Stock and Preferred Stock

247,369 247,369 -

Capital Surplus

15,505 15,505 -

Capital Reserve

15,505 15,505 -

Retained Earnings

260,642 275,949 (15,306 )

Appropriated Reserve

150,297 45,865 104,432

Other Retained Earnings

110,345 230,083 (119,738 )

Retained Earnings Brought Forward

110,345 230,083 (119,738 )

Treasury shares

(79,999 ) - (79,999 )

Total Shareholders' Equity

443,517 538,824 (95,306 )

Net Unrealized Gains (Losses) on Other Securities, net of Taxes

64,398 67,360 (2,962 )

Net Deferred Hedge Gains (Losses), net of Taxes

(5,734 ) (2,579 ) (3,154 )

Total Valuation and Translation Adjustments

58,664 64,781 (6,116 )

Total Net Assets

502,182 603,605 (101,422 )

Total Liabilities and Net Assets

¥ 6,284,855 ¥ 6,413,579 ¥ (128,724 )

2-13

Mizuho Trust & Banking Co., Ltd.

COMPARISON OF NON-CONSOLIDATED STATEMENTS OF INCOME (selected items)

OF MIZUHO TRUST & BANKING

Millions of yen
For the three months
ended June 30, 2021
(A) 		For the three months
ended June 30, 2020
(B) 		Change
(A) - (B)

Ordinary Income

¥ 39,486 ¥ 46,462 ¥ (6,976 )

Fiduciary Income

15,106 13,388 1,717

Interest Income

6,207 9,170 (2,963 )

Interest on Loans and Bills Discounted

4,968 5,706 (737 )

Interest and Dividends on Securities

782 3,029 (2,246 )

Fee and Commission Income

17,092 14,543 2,549

Trading Income

241 168 73

Other Operating Income

98 4,883 (4,785 )

Other Ordinary Income

740 4,308 (3,568 )

Ordinary Expenses

31,345 38,696 (7,350 )

Interest Expenses

1,772 2,389 (617 )

Interest on Deposits

85 103 (18 )

Fee and Commission Expenses

9,152 8,915 236

Trading Expenses

- - -

Other Operating Expenses

0 353 (353 )

General and Administrative Expenses

19,512 20,713 (1,201 )

Other Ordinary Expenses

908 6,324 (5,416 )

Ordinary Profits

8,140 7,766 373

Extraordinary Gains

1,599 - 1,599

Extraordinary Losses

14 50 (35 )

Income before Income Taxes

9,726 7,716 2,009

Income Taxes:

Current

630 1,060 (429 )

Deferred

2,240 1,301 938

Net Income

¥ 6,855 ¥ 5,354 ¥ 1,500

2-14

Mizuho Securities Co., Ltd.

COMPARISON OF NON-CONSOLIDATED BALANCE SHEETS (selected items)

OF MIZUHO SECURITIES

Millions of yen
As of
June 30,
2021 (A) 		As of
March 31,
2021 (B) 		Change
(A) - (B)

Assets

Current Assets

Cash and Bank Deposits

¥ 505,936 ¥ 369,894 ¥ 136,041

Cash Segregated as Deposits for Customers and Others

529,390 554,281 (24,890 )

Trading Assets

7,496,759 6,222,426 1,274,333

Operating Investment Securities

35,697 34,338 1,359

Receivables Related to Margin Transactions

37,709 32,553 5,155

Collateralized Short-Term Financing Agreements-Receivable

3,992,975 4,520,477 (527,502 )

Advances Paid

285 441 (155 )

Securities: Fail to Deliver

- 15,265 (15,265 )

Short-Term Loans Receivable

41,176 36,085 5,091

Other Current Assets

470,444 461,711 8,733

Less: Allowance for Doubtful Accounts

(271 ) (276 ) 5

Noncurrent Assets

Property and Equipment

19,097 19,775 (678 )

Intangible Assets

64,920 66,544 (1,623 )

Investments and Other Assets

309,557 314,486 (4,928 )

Total Assets

¥ 13,503,679 ¥ 12,648,003 ¥ 855,675

Liabilities

Current Liabilities

Trading Liabilities

¥ 4,552,016 ¥ 4,765,362 ¥ (213,346 )

Payables - Unsettled Trades

219,014 253,734 (34,719 )

Payables Related to Margin Transactions

42,162 39,793 2,369

Collateralized Short-Term Financing Agreements-Payable

4,610,553 3,510,972 1,099,580

Deposits Received

506,425 444,112 62,313

Guarantee Deposits Received

388,508 417,142 (28,633 )

Securities: Fail to Receive

4,320 2,854 1,466

Short-Term Borrowings

833,269 806,728 26,541

Commercial Paper

460,500 423,500 37,000

Bonds and Notes Due within One Year

137,303 127,648 9,655

Income Taxes Payable

1,079 11,565 (10,485 )

Accrued Employees' Bonuses

6,856 25,365 (18,509 )

Provision for Variable Compensation

927 788 138

Other Current Liabilities

30,618 50,122 (19,504 )

Noncurrent Liabilities

Bonds and Notes

628,722 623,175 5,546

Long-Term Borrowings

516,400 150,400 366,000

Provision for Retirement Benefits

21,247 21,216 31

Reserve for Loss of Transfer

3,929 4,194 (265 )

Other Noncurrent Liabilities

3,024 3,132 (108 )

Statutory Reserves

Reserve for Financial Instruments Transaction Liabilities

3,127 3,135 (7 )

Total Liabilities

12,970,008 11,684,945 1,285,063

Net Assets

Common Stock

125,167 125,167 -

Capital Surplus

381,649 381,649 -

Additional Paid - in Capital

285,831 285,831 -

Other Capital Surplus

95,817 95,817 -

Retained Earnings

382,177 440,661 (58,484 )

Other Retained Earnings

382,177 440,661 (58,484 )

Retained Earnings Brought Forward

382,177 440,661 (58,484 )

Treasury shares

(369,999 ) - (369,999 )

Total Shareholders' Equity

518,993 947,478 (428,484 )

Net Unrealized Gains on (Operating) Investment Securities, net of Tax

24,439 25,339 (900 )

Net Deferred Gains or Losses on Hedges, net of Tax

(9,762 ) (9,759 ) (2 )

Total Valuation and Translation Adjustments

14,676 15,580 (903 )

Total Net Assets

533,670 963,058 (429,387 )

Total Liabilities and Net Assets

¥ 13,503,679 ¥ 12,648,003 ¥ 855,675

2-15

Mizuho Securities Co., Ltd.

COMPARISON OF NON-CONSOLIDATED STATEMENTS OF INCOME (selected items)

OF MIZUHO SECURITIES

Millions of yen
For the three months
ended June 30, 2021
(A) 		For the three months
ended June 30, 2020
(B) 		Change
(A) - (B)

Operating Revenues

¥ 92,363 ¥ 83,434 ¥ 8,929

Commissions

46,903 39,308 7,594

Net Gain on Trading

31,969 28,761 3,207

Net Gain on Operating Investment Securities

22 305 (282 )

Interest and Dividend Income

13,468 15,058 (1,589 )

Interest Expenses

8,981 11,666 (2,684 )

Net Operating Revenues

83,382 71,768 11,614

Selling, General and Administrative Expenses

62,203 58,966 3,237

Transaction-Related Expenses

17,702 15,512 2,189

Personnel Expenses

23,157 21,778 1,378

Real Estate Expenses

5,126 5,225 (98 )

Administrative Expenses

9,460 9,524 (64 )

Depreciation and Amortization

4,781 5,045 (264 )

Taxes and Dues

1,278 1,237 41

Provision of Allowance for Doubtful Accounts

(15 ) (3 ) (11 )

Other

711 645 65

Operating Income

21,179 12,801 8,377

Non-Operating Income

1,271 2,632 (1,360 )

Non-Operating Expenses

3 32 (29 )

Ordinary Income

22,447 15,401 7,046

Extraordinary Gain

30 6,655 (6,624 )

Extraordinary Loss

972 740 231

Income before Income Taxes

21,505 21,315 189

Income Taxes:

Current

423 136 286

Deferred

3,999 3,591 408

Net Income

¥ 17,081 ¥ 17,587 ¥ (505 )

2-16