Japanese broker Nomura, which recently announced hundreds of job losses in Europe, revealed that it made its first quarterly loss since 2011.
The firm’s chief executive officer Koji Nagai blamed market conditions, which had “deteriorated considerably” in the fourth quarter, resulting in “sluggish” client activity. This led to lower net Q4 revenue (ending March 31) in all Nomura’s business segments compared to Q3.
Nomura’s net revenue in Q4 was 280.1 billion Japanese yen (€2.2 billion) – a decrease of 21% quarter-on-quarter and 36% compared to the same period last year.
Its income before taxes saw a decrease of 70% to 12.2 billion yen on a year-on-year basis and a 56% decline compared to the preceding quarter.
These results come shortly after Nomura’s announcement that it was to slash hundreds of jobs across Europe and CEO Nagai made reference to this “business strategy” in his statement regarding the results. He said that the restructuring should “enable us to build a solid foundation that remains profitable even in challenging market conditions”.
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