Nomura Replaces Chief Operating Officer in Management Changeby
Tetsu Ozaki to succeed Atsushi Yoshikawa as COO next month
CFO also changes as firm tries to return to profit overseas
Nomura Holdings Inc. Chief Executive Officer Koji Nagai announced his biggest management overhaul, replacing the firm’s chief operating officer and top finance official as Japan’s largest brokerage seeks to return to profit abroad.
Tetsu Ozaki, 58, will succeed Atsushi Yoshikawa as COO on April 1, the Tokyo-based company said Tuesday in a statement on its website. Takumi Kitamura, 49, will replace Shigesuke Kashiwagi as CFO.
Nagai, 57, has been unable to stem losses overseas since he took the helm more than three years ago, instead relying on income growth at home thanks to a stock-market boom that is now fading. Global financial-market volatility, stricter banking regulations and an economic slowdown are putting pressure on earnings at the world’s biggest securities firms.
Yoshikawa, 61, has served as COO since Nagai became CEO in August 2012, when both of their predecessors resigned in the wake of a probe into insider-information leaks. Kashiwagi, 56, has been CFO for three years.
Ozaki, who joined Nomura in 1982, has been CEO of the company’s wholesale division, which includes the investment banking and markets operations, since April 2014. Investment-banking head Kentaro Okuda and global markets chief Steven Ashley will share Ozaki’s current position when the management changes take effect next month. They will keep their present roles.
Nomura has been expanding its wholesale business in the U.S. despite the firm’s overseas losses. Okuda said in December that the company is seeking to hire about 20 investment bankers in the region to address concerns that it’s slipping behind in the booming U.S. mergers market.
At the same time, Nagai said last month that he will cut costs overseas by trimming jobs and shrinking unproductive operations. Nomura postponed a goal of generating 50 billion yen in overseas pretax profit for the year ending March after it lost 63 billion yen abroad in the first nine months.
The current global market turmoil makes it difficult to predict when the company could return to profit abroad, Nagai said in an interview on Feb. 9. “There’s no point discussing such topics during this rainstorm, unfortunately,” he said.