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Please turn to page four for the document entitled consolidated results and operations. This page sums up our first quarter highlights. In short, we faced a very challenging environment during the quarter.Page five gives you a more detailed outline. Please turn to page five. Our net revenue was JPY330.4 billion, up 27% year-on-year, and 10% quarter-on-quarter. The higher figures include the effect from an increase in consolidated entities after Nomura Land and Buildings became a subsidiary. Income before income taxes rose 5.3 times from the first quarter last year to JPY34.4 billion, a decline of 8% quarter-on-quarter. Net income was JPY17.8 billion, an increase of 7.7 times year-on-year, and 49% compared to the previous quarter. So despite the challenging market environment globally, we reported our ninth consecutive quarter of profitability. In Japan, retail and asset management in comp income increased quarter-on-quarter and its difficult market conditions following the earthquake. Business segment income before income taxes was JPY14.6 billion. Turning down to the highlights by business segment. Retail reported net revenue of JPY94.2 billion, down only 2% from the prior quarter. Income before income taxes increased to 25% to JPY22 billion. We saw robust sales of the investment trusts, foreign bonds and other products much to the reach of retail investors. Retail made a sold contribution to firmwide earnings. Asset management reported a 9% sequential wise in net revenue to JPY18.8 billion and a 19% increase in income before income tax to JPY7.4 billion. The investment trusts and investment advisory businesses, both continues to expand and asset under management increased by JPY600 billion to JPY25.3 trillion. Wholesale revenues were impacted by the challenging market environment, which net revenue declining 24% quarter-on-quarter to JPY141.2 billion. Loss before income taxes was JPY14.9 billion. I’d like to talk further about wholesale by different segments. Global markets posted net revenue of ¥130.1 billion up 35% year-on-year and down only 5% quarter-on-quarter. Fixed income market conditions were top and revenues were driven by credit and structured products. Equity revenues increased significantly from the prior quarter in the Americas and Asia excluding Japan. Investment banking booked net revenue of ¥11.2 billion down 8% year-on-year and 77% sequentially due a decline in ECM activity in Japan following the earthquake.
Please turn to page six. As we can see net revenue was ¥330.4 billion, income before income taxes was ¥34.4 billion and net income was ¥17.8 billion. First quarter annualized ROE was 3.4%. Pretax income includes one-off gain of ¥24.3 billion from the consolidation of Nomura Land and Building.Please turn to page seven. Page seven shows business segment net revenue and income before income taxes. Next, I will outline the first quarter highlights for each businesses, please turn to page eight. First, I’d like to talk about retail. In addition to earthquake, retail had to deal with historical high-end levels and the decline in trading value on the Tokyo Stock Exchange. In spite of the difficult environment, we saw new fund inflow in investment trusts and foreign bonds as well as robust sales of insurance products as we supported to our client individual needs with consulting services. Retail client assets were essentially unchanged from the prior quarter at ¥70.4 trillion. Net revenue was ¥94.2 billion, down quarter-on-quarter and income before income tax increase to ¥22 billion. Please see page nine for more details on sales side product. Please turn to page 10. Page 10 shows asset management. Inflows of ¥310 billion into public stock investment trusts, such as East Japan Revival Support Bond Fund, currency selection-type funds, and Japanese equity funds, help increase asset under management to ¥25.3 trillion, that is up ¥600 billion from end of March. Net revenue increased by 9% from the prior quarter to ¥18.8 billion, and income before income taxes increased 19% to ¥7.4 billion. Please turn to the next page. Read the rest of this transcript for free on seekingalpha.com