Japanese Regional Banks' Net Profit Rises 36.9% to 597.9 Billion Yen in April-June 2026
All 73 regional banks and banking groups listed on the Tokyo Stock Exchange released April-June 2026 results by August 14, with 61 banks, or about 80 percent, posting higher net profit. Combined net profit reached 597.9 billion yen, up 36.9 percent from the same period in 2024, helped by higher lending rates following the Bank of Japan's rate hike in June. Nine banks reported lower profit, and three posted losses due to the bankruptcy of credit card settlement firm Zendoshin.
All 73 regional banks and banking groups listed on the Tokyo Stock Exchange released their April-June 2026 results by August 14, with about 80 percent, or 61 banks, posting higher net profit. Bank income increased partly due to higher lending rates driven by the Bank of Japan's rate hikes. Nine banks reported lower net profit, and three posted losses due to the impact of Zendoshin, a credit card settlement agency that has entered bankruptcy proceedings.
The Bank of Japan decided in June to raise interest rates further. Regional banks, which mainly take deposits and lend to businesses and individuals, benefit from higher rates as they expand earnings. The 73 banks' combined net profit came to 597.9 billion yen in the black, up 36.9 percent from the same period in 2024.
Why this event matters
The event has a measured impact on 1 industry. The strongest current signal is positive for Regional Banks, with intensity 70/100 and 85% confidence over a short term horizon.
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