Message from Management

On behalf of my management team, I wish to express our sincere gratitude for your ongoing support of our operations at MUFG, and to share our recent financial results.

 

The operating environment continues to evolve significantly. In Japan, a “world with positive interest rates” is taking hold, and government-led growth strategies are making progress. Globally, however, fragmentation among nations and economies is intensifying, while the rapid evolution and widespread adoption of AI are turbocharging change.

 

Amid these circumstances in fiscal year 2025, MUFG profits attributable to owners of parent increased by 564.2 billion yen year-on-year to 2,427.2 billion yen, marking a record high for the third consecutive year. ROE stood at 11.3%. Net operating profit also reached a record high of 2,377.2 billion yen, up 786.0 billion yen compared to the previous fiscal year, driven by increases in net interest income reflecting rising yen interest rates, as well as higher fee income both inside and outside Japan.

 

In light of these results, we will increase the annual dividend per share for fiscal year 2025 by 22 yen year-on-year, to 86 yen. We have also executed share repurchases totaling 500.0 billion yen for the full fiscal year. For fiscal year 2026, we forecast an annual dividend of 96 yen per share, an increase of 10 yen compared to the previous fiscal year, with a dividend payout ratio of approximately 40%. In addition, we have resolved to repurchase our own shares up to 100 billion yen in the first half. We will continue to strive for shareholder returns while maintaining an optimal balance between capital adequacy and growth investment.

 

Our current medium-term business plan is positioned as “Three years to pursue and produce growth.” Supported by three strategic pillars—Expand & Refine Growth Strategies, Drive Social & Environmental Progress, and Accelerate Transformation & Innovation—we have steadily accumulated results.

 

Regarding Expand & Refine Growth Strategies, our domestic retail strategy continues to progress under our new unified brand of “Emut,” which brings together services offered across the group. Concurrently, in our corporate business we have expanded project finance and solution-based businesses by leveraging our group-wide capabilities. As a result, net operating profit for fiscal year 2025 increased by approximately 440.0 billion yen compared to fiscal year 2023, reflecting steady enhancement of our earning power.

 

In terms of Drive Social & Environmental Progress, we have advanced a wide range of initiatives both inside and outside Japan, including sustainable finance and financial and economic education programs in schools. To promote broader understanding of these efforts, we published “Transition Progress 2026,” which provides updates on our transition plan, along with reports that feature concrete examples of initiatives, led by our employees, to address social challenges.

 

Under Accelerate Transformation & Innovation, we are advancing organizational changes that enable swift responses to environmental changes, while driving our transformation into an AI-Native company. We have already implemented AI in almost 200 business operations and are making tangible progress in fostering a group-wide culture that promotes the adoption and deployment of AI.

 

Fiscal year 2026 marks the final year of our current medium-term business plan. We will strive toward profits attributable to owners of parent of 2.7 trillion yen and an ROE of approximately 12%. By accelerating our evolution into a growth-oriented business model and converting challenges into tangible advances, we intend to create sustainable growth in stride with society and our customers.

 

In this era of rapid change, we will continue to meticulously assess developments in our environment and deploy the full strength of our group. In this spirit, we resolve to continue enhancing our corporate value, aligned with our stated purpose of being “Committed to empowering a brighter future.” We sincerely appreciate your continued support.