Japanese bank Nomura saw its profits increase by 31% following a restructuring which included job cuts across Europe earlier this year.
The broker has benefitted from an increased demand for currency hedges and bonds from investors. The firm reported profits of 61 billion yen (€534 million) for the three months to September driven by a strong domestic performance as well its foreign operations becoming profitable again.
However, profits for the six months to September 30 of 29.39 billion yen was down 6% compared to the first half last year, while revenue fell by a tenth to 685.5 billion yen.
Nomura’s asset management division saw revenues decline from the June quarter, but it posted an increase in assets under management for the first time in three quarters. This was largely due to inflows into exchange-traded funds, investment advisory services and a recovery in market conditions.
“We had a solid second quarter, posting stronger results both quarter on quarter and year on year. For the six months to September, we delivered solid revenues as international profitability improved on the back of strategic changes in EMEA and the Americas,” said Nomura Group chief executive officer Koji Nagai.
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