Nomura, Japan's leading investment bank, has reported a record annual profit for the second consecutive year. The firm stated that the U.S.-Israeli conflict in Iran has not impacted structural growth factors within its domestic market. Nomura has been prioritizing stable fee-based revenues, which are less susceptible to market fluctuations.
While acknowledging current market risk factors that may cause temporary delays in M&A and equity capital markets decision-making, Chief Financial Officer Hiroyuki Moriuchi emphasized that long-term challenges for Japanese companies, such as a declining population and international expansion goals, remain unchanged by Middle East developments.
The bank's net income for the January-to-March quarter increased by 3% year-over-year to 73.9 billion yen ($462.60 million). Full-year income reached 362.1 billion yen, up from 340.7 billion yen in the prior year. Nomura holds a significant share in Japan's wealth management sector, supported by consistent fee revenues, and also benefited from market volatility during the quarter. Its wholesale division, encompassing investment banking and trading, achieved its highest annual revenue since its inception in April 2010.