Accounts recently returned for Daiwa Securities Trust Europe Ltd to the Companies Office show that the company’s revenues dropped by 18% from €19.5m to €15.9m to the end of March last year.
The Dundalk-based company recorded a pre-tax loss of €1.6m following a €2m pre-tax loss in 2009.
According to the directors’ report, the group is projecting a return to profitability for the year to the end of March 2011.
The firm has two companies: Daiwa Europe Trustees Ireland Ltd and Daiwa Europe Fund Managers Ireland Ltd.
The group is principally engaged in the provision of fund administration, trustee and custodian services.
The directors state: “The global economic downturn has had a significant impact on the net asset servicing industry, but the directors remain committed to their business development plan, which will enable the company to maintain its competitive edge and continue to win new client mandates.”
Daiwa is one of Japan’s largest securities firms and has two facilities in Ireland — one located in Dublin and the other at the IDA’s Finnabair Business Park in Dundalk, Co Louth.
The company recorded ordinary losses of €1.79m last year before interest receivable of €168,893 resulting in the pre-tax loss of €1.6m.
The loss last year reduced accumulated profits to €4.5m. The company had shareholder funds of €19.5m at the end of March last year that included cash of €16.9m.
Staff costs last year decreased by 20% from €15.8m to €12.6m, with employee numbers down from 217 to 193, all of whom are engaged in fund service operations. The accounts state that in 2009, an amount of €800,000 relating to restructuring was included in staff costs.
The figures show that directors’ remuneration, including pension contributions, last year marginally increased from €1.32m to €1.38m.