Nomura's Q1 2026 Earnings Call: Key Contradictions on Macquarie Acquisition, Securitized Products, and Phishing Scam Impact

Macquarie acquisition and risk assets, profitability in securitized products, profitability in Laser Digital, and phishing scam compensation and business impact are the key contradictions discussed in Nomura Holdings' latest 2026Q1 earnings call.



Strong Financial Performance:
- Nomura Holdings reported group net revenue of JPY523.3 billion, up 16% over last quarter, and an increase in income before income taxes by 64% to JPY160.3 billion.
- The growth was driven by revenue and profit increases across all divisions, despite the introduction of reciprocal tariffs and geopolitical risks.

Wealth Management Expansion:
- Wealth management net revenue increased by 6% to JPY105.8 billion, with income before income taxes rising by 8% to JPY38.8 billion.
- This was due to increased primary bond sales and secondary stock transactions, capturing market fluctuations, and a net inflow of recurring revenue assets for the 13th consecutive quarter.

Strong Global Markets Performance:
- Global markets net revenue rose by 8% to JPY223.1 billion, with fixed income net revenue up by 18% at JPY124.8 billion.
- This growth was attributed to strong performance in macro products, FX emerging revenues, and securitized products, particularly in Europe and Asia.

Investment Banking Pipeline:
- Investment banking net revenue was JPY37.9 billion, down 27% from the previous quarter, but still the highest for Q1 since FY2016/17.
- Despite the decline, the business remains strong due to a full pipeline of advisory deals, especially in Japan, and an increase in DCM revenue.

Phishing Scam Impact:
- Nomura Inc. recognized JPY6.6 billion in compensation for losses arising from illegal trades due to phishing scams.
- The company is restoring clients' positions to the pre-phishing state, with plans to implement more secure biometric authentication in the fall.