Nomura Holdings 'ashamed' after legal costs spark 95% slump in profit

Nomura Holdings Inc’s profit slumped as a $343 million provision for an ongoing legal case dealt yet another blow to the brokerage that’s just recovering from staggering losses linked to the collapse of Archegos Capital Management LP. 

Net income dropped 95 per cent to $28.2 million in the three months ending September 30 after the firm set aside more than 30 billion yen for the transaction in the US that dates back to before the global financial crisis. 

“We are ashamed,” CFO Takumi Kita­mura said during an earnings briefing on Friday. The firm also announced plans to buy back $440 million of shares. It plans to buy back as much as 2.5 per cent of its outstanding shares.