Nomura Q4 Results: Net profit jumps almost eight-fold on retail income surge
Nomura Holdings, Japan's biggest brokerage and investment bank, reported on Friday a 670% jump in quarterly net profit compared to a year earlier as its retail and investment banking income rose to their highest levels in eight years.
January-March net profit was 56.8 billion yen ($363.87 million) compared to 7.3 billion yen a year earlier when worries about a global banking crisis engulfed global markets and hit Nomura's investment banking business.
The results show Nomura's continued recovery after it was forced to slash its profit targets last May after market turmoil precipitated two quarters of losses in its investment business.
«Our recent results show strong momentum,» chief financial officer (CFO) Takumi Kitamura told a press briefing in Tokyo.
Nomura has sought to expand its wealth management business to secure more consistent revenue that is less subject to market swings.
Nevertheless Nomura benefited from the Japanese stock market's rally between January and March that pushed the Nikkei 225 index to a record high. Its retail revenue grew a further 21% on the October-December quarter, which itself was the highest in eight years.
Investment banking revenue from both domestic and international deals rose to the highest since the 2016/17 financial year — the earliest for which comparisons are available — despite a decline in global fee pools.
Assets under management in Nomura's investment management business rose to a record high of 89 trillion yen ($567.96 billion) and was growing at a faster rate
