Japanese financial services group Nomura has announced the closure of parts of its EMEA presence, in a bid to cut costs.
While Nomura did not specify which parts of the EMEA business would be affected, the Financial Times reported today that the cuts would result in a significant reduction of its European equity research division, its European equity dividend division and its US equity research business, resulting in the loss of hundreds of jobs in Europe and the US.
Throughout the 2015-2016 fiscal year, Nomura has faced significant challenges, with net revenue declining by 16 percent year on year as of March 2016. Its retail business appared to be particularly hard hit, reporting a -19 percent YoY drop in net revenue and a -45 percent YoY decline of income before taxes.
In a statement released today, Nomura group COO Tetsu Ozaki commented: . “We are taking decisive action to refine the services we offer to our clients, while continuing to leverage our dominance and unique strengths in Asia, providing tailored solutions to our clients globally and continuing our 90 year legacy of putting clients at the heart of everything we do.”
The group stressed that Nomura’s AsiaPacific platform would not be affected by the changes.
Further details on the prospective changes are set to be presented in conjunction with the announcement of the Group’s fourth quarter and full year operating results on April 27.