Japan’s Nomura can ride choppy market, CFO says after bank posts record annual profit

By anton bridge

Tokyo (Reuters)-The Great investment Bank in Japanese and Busa, Somura Holdings, increased 27 % in the fourth net profit in the fourth quarter to achieve its highest profits ever with the growth of revenue in each of the business sectors throughout the year.

The chief financial officials said that the results are for the period until the end of March and the disturbances in the market that followed the American tariff ads are not explained in April, yet Numura could get out of volatility.

“A certain degree of fluctuations really works for our business,” financial director Takomi Kitamura told a profit press conference.

Although the investment activity of individual customers has slowed, there has been no impulsion to sell assets since the beginning of April.

Meanwhile, the volatility of the margins expanded in trading stocks and foreign trade in the Numora Market Unit, so that revenue trends were higher than the three months until March, Kitamura said.

Kitamura said that Nomura has confidence in the US financial markets in the medium and long term, which is behind her acquisition of public asset management companies in the United States and European from the Australian Macquare Group for $ 1.8 billion this week.

“Of course the stock market will rise and decrease in the short term, but in the medium to long term, the population of the United States is growing and we see it as a clear growth market,” Kitamura said.

NOMURA reported a profit of 72 billion yen (501.15 million dollars) for a period from January to March, compared to 56.8 billion yen in the same previous period, and declared a re -purchase of 60 billion yen.

It has strengthened a dominant location between Japanese securities companies and their profits in the last quarters. It has comfortably exceeded the tools of competitors for securities and Mizuho.

Its administration has long sought to become a global investment bank, but with advanced results. The MacQuarie acquisition is more ambitious abroad since it purchased the Lehman Brothers in 2008, which was later written.

Asset management has become a major growth field for Japanese financial institutions looking to secure stable fees based on fees, which are affected by the rise of market morale.

Regarding the expectations of the wholesale department, which includes Nomura Units for Investment Banking and Global Markets, Kitamura said that market fluctuations since the beginning of April have led to the adoption of many companies to wait and see the approach and clarify the issuance of shares or merger and purchases.

But when the markets calm down, the activity must return to normal, as Kitamura said.