Combined parent-only net profit of 129 banks in Japan totaled 2.124 trillion yen in the April-September first half of fiscal 2005, up 5.3-fold over a year earlier.
The Japanese Bankers Association said the strong result -- an all-time high for a six-month period -- reflects a decrease in charges to dispose of bad loans.
The previous record was 1.262 trillion yen in April-September 1989.
Nonperforming loans, as defined by the Financial Reconstruction Law, accounted for 3.49 percent of total lending by the 129 banks at the end of September, down 0.47 percentage point from six months earlier, the association said.
The bad-loan ratio stood at 2.34 percent for major commercial banks, 2.04 percent for trust banks, 5.07 percent for regionals and 5.85 percent for second-tier regionals.
Total loans made by the 129 banks amounted to 418.203 trillion yen at the end of September, up 0.5 percent for the first year-on-year rise in eight years due to an increase in demand for funds from home-buyers and other individuals.