1 Aug 2009

Big bank back in profit

9:33 am on 1 August 2009

Japan's biggest bank, Mitsubishi UFJ, is back in profit, boosted by a recovery in the stock market.

The bank reported a net profit of 75.9 billion yen ($US794 million) for the April - June quarter, which was a rise of 24.7% on the same period a year ago.

It had made a loss of 257 billion yen last financial year. It expects to make a 300 billion yen profit this year.

However, rival bank Mizuho has announced a fourth consecutive quarterly loss. It lost 4.5 billion yen, as bad loans soured. Mizuho still expects to make a profit in the full year.

Japanese stock markets plunged last year in the financial crisis with the Nikkei index hitting a near 26-year low in March. The BBC reports Japanese banks own stakes in many companies.

The Nikkei rose 23% in the three months to the end of June.