Corporate & Institutional Company
Aiming to be the clear No. 1 business finance partner clients turn to in the corporate & institutional sector by providing financial and non-financial solutions for business challenges.
We provide tailored solutions for diverse client needs by combining and drawing on top-class industry and products knowledge, consulting capabilities, risk-taking capabilities, and other strengths.
Additionally, as industry structures undergo major changes, we are providing not only traditional functions such as banking, trust banking, and securities but also working together with clients to create and share risk for new business opportunities in order to act as a business finance partner co-creating value and operating businesses in partnership.
Through comprehensive support for the strategic management of Japan's leading large corporations, financial institutions, and public sector businesses, we are aiming to contribute to the sustainable growth and development of industry, the economy, and society.
Business environment and challenges
As public awareness of the SDGs and ESG topics increases, there are higher expectations that companies create nonfinancial value in addition to financial value.
Also, as a result of COVID-19 causing discontinuous change in the economic environment, the structural issues facing companies are manifesting earlier than anticipated and people's perspectives and behaviors are changing, which is likely to suddenly accelerate the transformation of industrial structures.
The future competitiveness of not only Japanese companies but Japanese industry as a whole hinges on how adeptly these changes are addressed. Accordingly, we understand the importance of providing timely financial and non-financial solutions as our clients' No. 1 partner.
Trends in performance
In fiscal 2019 our earnings decreased in comparison to the record-high earnings recorded in fiscal 2018. However, through calculated risk taking, increased lending income, and strong growth in non-interest income in areas such as trust banking and securities, we were able to achieve our initial Net Business Profits targets. In fiscal 2020 there is increasing uncertainty in the business environment due to the impacts of COVID-19 and so we expect income and profits to decline. However, we will aim to achieve the targets of the 5-Year Business Plan by steadily implementing key strategies.
|Net Business Profits||268.2||248.9||(19.3)||222.0|
- Gross Profits and Net Business Profits include Net Gains related to ETFs.
- Results are based on FY2019 management accounting rules, targets are estimates based on FY2020 management accounting rules.
Expand discussions with clients' senior management
We newly established a Corporate Strategy Advisory Department in order to further expand the range of discussions we hold with clients at the senior management level in order to respond to their increased interest in creating value from both finance and non-finance perspectives.
Through the Corporate Strategy Advisory Department, in addition to collaboration with the Research & Consulting Unit, we are continually holding in-depth dialogue with clients' senior management, aiming to provide support for strategy level decision-making as well as formulating specific financial and non-financial solutions.
Adapting to the situation during and after COVID-19
In addition to responding to the current rise in clients' need to secure cash flow, in light of the potential for prolonged impacts from the pandemic, we will proactively support clients' capital base expansion needs that are likely to arise going forward, through mezzanine finance, equity underwriting, and other means. Additionally, as industries undergo structural transformation and clients seek to adapt their business portfolios and restructure their supply chains, we will provide high level consulting and intermediary functions, including in real estate and M&A.
Enhance our business base
We are aiming to enhance our business base in order to achieve sustainable growth and ensure that we can adapt to changes in the environment. Specifically, we are strategically developing personnel through collaborating with other in-house companies and units on medium- to long-term job rotations which enable employees to develop knowledge in a range of sectors and products. Additionally, we are further optimizing our risk management framework and business portfolio strategy to best fit the direction we are taking going forward.
Total equity underwriting worldwide (underwriting amount) (rank)
Domestic straight bonds (underwriting amount) (rank)
M&A amount (deals related to Japanese companies) (rank)
A ground-breaking multi-airport concession
Mizuho was selected as a mandated lead arranger as part of a consortium for the project finance of the largest airport concession in Japan, the Hokkaido Bundled 7 Airport Concession Project. The seven airports included in the project are essential to Hokkaido's transportation infrastructure, and consolidating the operations of these airports is expected to spur economic activity within the prefecture. We at Mizuho will continue to draw on our knowledge of finance and public-private partnerships, working together with diverse stakeholders in order to contribute to regional revitalization in Japan.
Mizuho Eco Finance
Mizuho Eco Finance is a financial product tied to environmental assessment, by which we provide financing to clients who meet a certain minimum score based on our scoring system. The scoring system utilizes an environmental assessment model developed by Mizuho Information & Research Institute to evaluate client initiatives and benchmarks via a globally accepted environmental verification and evaluation program (e.g. endorsement of the TCFD and commitment to SBTs).
Launched in June 2019, we have provided this product to a range of clients, including those shown to the right. At Mizuho, we are working as a united group alongside our clients to promote sustainability.