(Corrects drop in profit to 24.3 per cent, from 35.8 per cent, in headline and first paragraph)
TOKYO :Japan’s Daiwa Securities reported a 24.3 per cent year-on-year drop in fourth-quarter net profit, hurt by lower valuations of alternative assets that led to a more than 40 per cent slump in profit in its asset management division.
Net profit over the January-March period was 29.9 billion yen ($207.97 million), versus 39.5 billion yen a year earlier. That missed an average forecast of 32.9 billion yen based on the estimate of three analysts polled by LSEG.
Quarterly revenue and profit in Daiwa’s wealth management division rose, while its global investment banking division secured record high operating revenue and ordinary income.
Net profit for the full year rose 27 per cent, indicating that Japan’s second-largest brokerage and investment bank has had some success in developing a business model that relies on stable sources of recurring revenue.
($1 = 143.7700 yen)
