Japan's best domestic bank 2021: SMBC
Sumitomo Mitsui Banking Corp
Sumitomo Mitsui Financial Group (SMFG), the parent of Sumitomo Mitsui Banking Corp (SMBC), is regarded by many observers as the best run of the three mega-banking groups in Japan. In the past year, it proved its worth time and again, making SMBC Asiamoney’s choice for best domestic bank in Japan for 2021.
For the six months ending September 30, 2021 (the group’s financial calendar runs from April to March), SMFG recorded an impressive 69% year-on-year rise in net income to ¥456 billion ($4 billion), thanks to a large fall in credit costs, gains on stock sales and strong momentum in its banking business.
Consolidated net business profits were 6% higher at ¥586 billion, due to the performance of the domestic corporate business and the international banking segment.
SMBC was among the main drivers of the group’s overall growth. The banking arm’s net income almost doubled to ¥286 billion, year on year, in the six months to the end of September, while net interest income was 4% higher. Banking profits, however, fell a bit during the period.