Nomura Holdings, Inc. engages in the provision of investment, financing, and related services to individual, institutional, and government clients worldwide. It operates ...
Nomura Holdings, Inc. (NYSE: NMR) is a major global financial services group with roots dating back to 1925. The firm operates as an integrated platform spanning three primary business lines: (1) Wealth Management, which provides investment consultation and client-oriented wealth solutions; (2) Investment Management, which delivers investment management services and ...Nomura Holdings, Inc. (NYSE: NMR) is a major global financial services group with roots dating back to 1925. The firm operates as an integrated platform spanning three primary business lines: (1) Wealth Management, which provides investment consultation and client-oriented wealth solutions; (2) Investment Management, which delivers investment management services and manages or supports a range of investment vehicles and investment trusts/discretionary services for institutional investors; and (3) Wholesale, which focuses on capital markets activities including sales and trading of debt and equity securities, foreign exchange contracts and derivatives, and investment banking such as underwriting, distribution, mergers and acquisitions, and financial advisory.
From a business-model perspective, Nomura earns revenues through capital markets and advisory fees (e.g., underwriting, M&A advisory, distribution), management and performance-related fees in asset/investment management, and client service/product economics in wealth management. This structure supports diversification across market cycles: wholesale activities can benefit from trading and deal activity, while wealth and investment management can offer recurring or semi-recurring fee streams tied to client assets under management and distribution networks.
Nomura’s global footprint is reflected in the breadth of its client coverage and operational reach across regions. It is headquartered in Tokyo and operates internationally, serving clients worldwide. The group’s network and product capabilities typically include equities and fixed income distribution, FX and derivatives, investment advisory, and structured/vehicle-based investment services—activities that require strong risk management, market connectivity, and regulatory compliance.
In terms of cost drivers, financial institutions like Nomura generally incur significant expenses related to compensation, technology and trading infrastructure, risk management and compliance, capital and liquidity requirements, and funding costs for market activities. While exact bill-of-materials style cost breakdowns are not provided here, the company’s operating model implies substantial investment in people and systems that enable order execution, research, custody/settlement workflows, compliance controls, and client servicing.
Key leadership includes Kentaro Okuda, President and Group CEO (Representative Director and President of Nomura Securities Co., Ltd.). Overall, Nomura’s focus is on delivering access to and within global markets, combining advisory and capital markets capabilities with client solutions across wealth and investment management. The company’s competitive position depends on execution quality, balance-sheet and funding strength, client relationships, and the ability to adapt its product and service offerings to changing market and regulatory conditions.
YoYYoY means Year-over-Year. It compares the latest annual value with the previous annual value to show long-term trend strength.
QoQQoQ means Quarter-over-Quarter. It compares the latest quarter with the immediately previous quarter to show short-term momentum changes.
RevenueThe total money that came through the front door from selling things, before paying a single bill. Think of it as the grand total of every credit card swipe from customers. (YoY compares this year to last year's performance, while QoQ compares the current three months to the previous three).
$4758.5B
+5.6%
-49.5%
Net IncomeThe absolute bottom line. If the company paid every single supplier, employee, banker, and tax collector, this is the actual money left in their pocket at the end of the day.
$362.1B
+6.3%
+96.9%
Gross MarginThe basic markup. If they sell a $100 pair of sneakers, this percentage tells you how much of that price tag is profit right after paying for the rubber and shoelaces, but before paying for things like store rent or TV commercials.
+45.6%
+23.5%
+67.6%
Operating MarginThe 'day job' efficiency score. Out of every dollar a customer spends, this shows how many cents the company keeps after making the product AND paying for all the everyday corporate overhead (like salaries, marketing, and keeping the lights on).
+11.3%
+8.3%
+288.7%
Net MarginThe final take-home percentage. When you strip away every conceivable cost, tax, and interest payment, this is the exact number of cents the company truly gets to keep from every dollar in sales.
+7.6%
+0.7%
+289.5%
Free Cash FlowThe holy grail of corporate cash. It's the spendable, physical money left over after the business pays for its daily operations AND buys the big, expensive upgrades (like new factories or servers) it needs to survive. This is the 'free' money they can use to pay dividends or buy back stock.
$-1196.8B
-37.8%
—
FCF MarginThe ultimate cash conversion rate. It shows how good the company is at turning regular sales directly into cold, hard, spendable cash. A high percentage means the business is an absolute cash-printing machine.
-25.2%
-30.5%
—
Debt / EquityThe financial risk gauge. It compares how much of the company's empire was built using borrowed money (loans) versus the owners' own money (shareholders). A high number means they are heavily leveraged and playing a riskier game; a low number means they are playing it safe.
466.5%
-48.3%
+96.7%
Current RatioThe 12-month survival check. It simply compares the cash they have right now (plus things they can quickly turn into cash) against the immediate bills they absolutely must pay this year. A score above 1 means they have enough in the wallet to cover the upcoming bills without panicking.
1.43x
+571.3%
-33.2%
Total AssetsThe absolute size of the company's empire. It bundles together absolutely everything of value they own—from the cash in the register and the inventory in the warehouse, to the software patents in the vault and the factories on the ground.
Operator: Good day, everyone, and welcome to today's Nomura Holdings First Quarter Operating Results for Fiscal Year ended March 2027 Conference Call. Please be reminded that today's conference call is being recorded at the request of the hosting company. Please note that this telephone conference contains certain forward-looking statements and other projected results which involve known and unknown risks, delays, uncertainties and other factors not under the company's control, which may cause actual results, performance or achievements of the company to be materially different from the results, performance or other expectations implied by these projections. Such factors include economic and market conditions, political events and investor sentiments, liquidity of secondary markets, level and volatility of interest rates, currency exchange rates, security valuations, competitive conditions and size, number and timing of transactions. With that, we'd like to begin the conference. Mr. Hiroyuki Moriuchi, Chief Financial Officer, please go ahead.
Hiroyuki Moriuchi: This is Moriuchi , CFO, speaking. I would like to start right away to report the results from Q1 year ending March 2027. In this quarter, all divisions achieved higher revenue and income before income taxes than in the previous quarter and ROE reached 15.4%. We believe the result of the structural reforms implemented over the past few years are now steadily being reflected in our performance and that we are making good progress further 2030 management vision. I would like to highlight 3 key points. First, growth in our recurring revenue business contributed to the steady strengthening of our stable revenue base. Second, our international businesses saw sharp growth, particularly in our priority areas. Income before income taxes in our 3 overseas regions reached a record high since disclosure began in fiscal year 2008, '09 adding greater depth to profits. Third, we launched deposit sweep service to strengthen our banking business, and we are still laying the groundwork for future growth. Through these initiatives, we feel confident that heading towards 2030, the stability of our earnings base has steadily improved and our ability to generate profit has also been enhanced. We now look at first quarter results for each division. Please turn to Page 7. All percentage discussed from now on are based on quarter-on-quarter comparison. On the top left, you can see the Wealth Management net revenue increased 9% to JPY 145.4 billion, while income before income taxes increased 16% to JPY 71.1 billion. Thus, revenue and income increased for the fifth consecutive quarter as asset management business transformed the division's revenue structure. On the bottom left, you can see the recurring revenue rose to an all-time high of JPY 59.2 billion. Net inflows of recurring revenue assets also remained strong, reaching an all-time high of JPY 539.6 billion. Flow revenue was strong, too. Accurate …