Retail net revenue increased 10 percent quarter on quarter to 117.9 billion yen, representing a decline of 1 percent year on year. Income before income taxes rose 23 percent quarter on quarter but declined 3 percent year on year to 38.9 billion yen.
Net inflows of cash and securities of 485 billion yen combined with market factors to push up Retail client assets to a record 99.3 trillion yen at the end of September.
Total sales increased by 20 percent compared to last quarter, driven by robust sales of investment trusts and discretionary investments. A renewed focus on providing solutions that meet each client’s individual needs through financial consulting seminars and one-on-one meetings led to higher net inflows into discretionary investments and investment trusts. This resulted in an expansion of recurring revenue in the second quarter. Sales of annuities and other insurance products also remained strong.
Asset Management net revenue was 21.7 billion yen, a decline of 7 percent compared to last quarter and an increase of 16 percent over the same period last year. Income before income taxes declined 6 percent quarter on quarter but increased 27 percent year on year to 7.8 billion yen.
Assets under management reached a record 34.8 trillion yen as of the end of September on inflows into investment trusts and due to market factors. In the investment trust business, sales of privately placed funds for regional financial institutions were robust, and Nomura saw a marked increase in assets under management in Fund Wrap and SMA funds.
Nomura’s investment advisory business continued to expand its distribution channels for UCITS2 compliant funds into regions outside the EU such as Asia and South America. Assets under management in smart beta products topped 1 trillion yen.
TOKYO, November 3, 2014 — /EPR FINANCIAL NEWS/ — Nomura Holdings, Inc. today announced that its Board of Directors approved a resolution to set up a share buyback program, pursuant to the company’s articles of incorporation set out in accordance with Article 459-1 of the Companies Act of Japan.
The share buyback program will run from November 13, 2014, to January 16, 2015, and have an upper limit of 40 million shares of Nomura Holdings common stock, or 1.0 percent of outstanding shares. Of this, approximately 20 million shares are expected to be used for stock options. The upper limit of the aggregate amount of the repurchase price will be 28 billion yen, and the shares will be purchased on the stock exchange via a trust bank.
Nomura plans to use the acquired treasury stock to deliver shares upon the exercise of stock options and to raise capital efficiency and ensure a flexible capital management policy.
As of September 30, 2014, Nomura Holdings had 3,822,562,601 outstanding shares including 182,325,748 shares as treasury stock.
(44) 20 7102 4222
Address Nomura House, 1 St Martin’s Le-Grand, London EC1A 4NP, United Kingdom
Media: Alex Timmon