Norinchukin Bank Returns to Profit With Cautious Outlook
Japan's Norinchukin Bank posted a 22 billion yen quarterly profit. It remains cautious for the year ahead while limiting exposure to risky private credit funds.
Norinchukin Bank reported a 22 billion yen ($138.32 million) net profit for the fourth quarter ending March 31. The result reverses a 393 billion yen loss from the same period a year earlier following sovereign bond sell-offs. Investors are monitoring the bank's shift toward equities and private credit to offset 1.24 trillion yen in unrealized bond losses.
Norinchukin is the primary financial institution for Japan's farm, forestry and fishery cooperatives and generates returns through securities investments rather than lending. Chief Financial Officer Masaki Nagano forecast a full-year profit between 50 billion and 100 billion yen. Nagano said the bank must remain cautious due to global market uncertainty.
