TOKYO, July 29 : Nomura Holdings booked a rise of 39 per cent in first-quarter net income as its trading business benefited from volatile markets and record high stock prices boosted wealth management fees, it said on Friday.Nomura follows major U.S. banks in posting strong trading profits as war in the Middle East has disrupted global energy flows and supply chains while investor excitement over AI pushed the Nikkei 225 share average to a record high in June.Net income at Japan's largest investment bank and brokerage rose to 145.6 billion yen ($890.74 million) in the April-June period, versus 104.6 billion in the year-ago period.Revenue in the global markets division grew 43 per cent over the first quarter of the previous year, which itself had been a strong quarter as news of U.S. President Donald Trump's sweeping tariffs had also upended markets, so boosting trading revenues.
Nomura has also proven to be a key beneficiary of Japan's slow emergence from deflation, which has structurally raised demand for financing, mergers and acquisitions and growth initiatives among Japanese companies.Investment banking revenue reached 50.4 billion yen in the quarter, a record for the first quarter.Nomura's pipeline of financing deals was much stronger than last year, Chief Financial Officer Hiroyuki Moriuchi told a press briefing in Tokyo, but added that geopolitical uncertainty risked delayed some deals.As inflation eats into savings, Japanese retail investors have sought out higher-yielding assets, lifting Nomura's wealth management business, which holds the dominant position among high net worth individuals in Japan.Income before taxes has grown steadily over the past year to hit 71.1 billion yen, some 83 per cent higher than the year-earlier quarter.Nomura has focused for years on building stable fee-based revenues that are less vulnerable to fluctuating market conditions.($1=163.4600 yen)
