Japan's Daiwa posts 64% rise in Q3 profit (updated)

Daiwa Securities

31/01/2025 02:56

(Adds details from earnings.)
       TOKYO, Jan 31 (Reuters) - Daiwa Securities  8601.T 
reported on Friday a near two-thirds rise in third-quarter net
profit, driven by record quarterly income in its asset
management division and a recovery in its investment banking
arm.
    Profit for the October-December period was 46.6 billion yen 
($302.6 million), compared to 29.8 billion yen in the same
period a year prior.
    The results show how Japan's second largest brokerage and
investment bank is capitalising on the gradual shift from
savings to investment among Japanese households and the swell in
corporate action as Japanese companies look to improve corporate
value.
    Daiwa's asset management division reached a record quarterly
income of 29.2 billion yen, driven by increased inflows to stock
investment trust products.
    Its investment banking division made a small profit of 5.6
billion yen, as Daiwa secured fees from corporate actions such
as the offloading of non-core assets and cross shareholdings, as
well as strong mergers and acquisitions activity.
    Daiwa's wealth management division broke a streak of two
consecutive quarters of falling profits as individual investors
invested more proactively following a subdued period triggered
by the extreme volatility in the Japanese stock market in August
last year.
 ($1 = 154.0100 yen)

 (Reporting by Anton Bridge; Editing by Christopher Cushing and
Muralikumar Anantharaman)
 ((Anton.Bridge@thomsonreuters.com;))