Mid-sized Japanese lender Shinsei has posted first quarter net profits of ¥13.9bn ($160.4m) for the three months to 30 June, more than double the ¥5.2bn net earnings reported in the same quarter last year.
In the previous quarter Shinsei recorded a loss of ¥162.4bn.
While Shinsei cut expenses by 18%, first quarter revenue was down by 19.4% as a result of a drop in consumer finance earnings.
Shinsei’s net interest margin remained flat at 2.33% compared to the prior quarter, but down by 32 basis points compared with the first quarter last year.
Shinsei’s full year profits forecast remained unchanged at ¥12.5bn.
“Given these encouraging first quarter results, we have no immediate plans to raise capital,” said Shinsei president and CEO Shigeki Toma.