Makoto Arai's questions to Daiwa Securities Group Inc (DSEEY) leadership • Q3 2024
Question
Makoto Arai of JPMorgan Securities inquired about the M&A business, asking for a revenue breakdown between domestic and overseas operations and an update on personnel increases. He also asked for an outlook on costs for Q4 and the next fiscal year, considering both inflationary pressures and ongoing structural reforms.
Answer
Kotaro Yoshida, Executive, stated that overseas M&A accounts for 60-70% of the division's revenue and that headcount is being increased both domestically and overseas, with a slight emphasis on the latter. Regarding costs, he confirmed that the previous JPY 30 billion reduction target was met and efforts are ongoing to improve efficiency. He noted the company must balance these reforms with strategic investments and rising costs in the current inflationary environment.