Nomura (8604) Q4 2025 earnings summary

Executive summary

• Net revenue for the year rose 21.2% to JPY 1,892.5 billion, with net income reaching a record JPY 340.7 billion, up 105.4% year-over-year.

• All three main business segments delivered strong results, with income before income taxes up 80% to JPY 426.6 billion and international regions contributing 29% of groupwide profits.

• Wealth Management, Investment Management, and Wholesale all achieved multi-year highs in income before income taxes.

• Proactive shareholder returns included an annual dividend of JPY 57 per share (49.4% payout ratio) and a share buyback program up to JPY 60 billion.

• Total assets increased to JPY 56,802.2 billion, mainly from higher trading assets.

Financial highlights

• Net income for the year was JPY 340.7 billion, EPS JPY 115.30, and ROE doubled to 10.0% from 5.1% year-over-year.

• Income before income taxes rose 72% to JPY 472.0 billion.

• Fourth quarter net revenue was JPY 452.7 billion (down 10% sequentially), with net income of JPY 72.0 billion and ROE at 8.2%.

• Non-interest expenses rose 10% year-over-year to JPY 1,420.5 billion, mainly due to higher compensation and trading volumes.

• Group-wide effective tax rate fell to 26% due to utilization of tax losses carried forward.

Outlook and guidance

• Management remains focused on sustainable growth, targeting ROE of 8-10% or more and income before income taxes over JPY 500 billion.

• No earnings or dividend forecasts provided for FY ending March 31, 2026, citing market uncertainties.

• April saw a slowdown in wealth management net revenue, but recurring revenue assets continued to see net inflows.

• Wholesale division is on track for higher net revenue in April compared to the previous quarter.

• All medium- to long-term KGI targets set at Investor Day 2023 were achieved.