Nikko Cordial Corp., the country's third-largest securities firm, said Monday it swung back into the black in fiscal 2003 for the first time in three years, buoyed by the stock market rally.
The company's net profit stood at 38.7 billion yen, up from a net loss of 21.61 billion yen a year ago, and revenue rose 20 percent to 340.75 billion yen.
Like its rivals, the firm benefited from the strong performance of the Japanese stock market in fiscal 2003, during the course of which the Nikkei average rose 47 percent to 11,715.39.
Nikko Cordial's revenue from stock brokerage commission fees rose 47 percent to 69.69 billion yen.
At the same time, the securities firm said it has been diversifying its revenue sources in recent years.
The proportion of stock-related revenue against total revenue was 33 percent in fiscal 2003, down from 45 percent four years ago, while bond and foreign exchange-related revenue rose from 12 percent to 21 percent during the same period.
The company's investment banking business also contributed to the year's strong performance, with underwriting revenue posting a 2.5-fold jump to 28.5 billion yen.