The Monex Group, a Tokyo-based financial services provider, has seen evolving performance today amid market shifts and strategic expansions. Its diversified business spans brokerage, asset management, and crypto-related operations. Investors and analysts closely watch metrics such as revenue trends, profits, and market valuation to understand how Monex adapts to an increasingly competitive financial landscape. This article explores the latest hard data and performance patterns, offering insights into where the company stands now and where it may head.
Editor’s Choice
- Gross profit (TTM) reached approximately ¥16.31 billion.
- Net earnings (TTM) are reported at around $56 million.
- Market capitalization is roughly $1.18 billion (or ¥182.5 billion).
- The current ratio is notably high at 2.71, indicating strong short-term liquidity.
- Debt-to-equity ratio stands at 0.85.
- EPS (trailing twelve months) stands at approximately ¥21.32.
Recent Developments
- 3Q FY March 31, 2026 consolidated revenue after expenses edged up to ¥19,468 million in the latest quarter.
- SG&A expenses increased QoQ by ~6%, influencing operating income.
- Profit before income taxes in the latest quarter rose to about ¥5,005 million.
- Profit attributable to owners grew ~29% YoY to roughly ¥3,463 million.
- The asset management business reported AUM surpassing ¥10 trillion.
- The Group executed strategic acquisitions, including Aplo SAS.
- The interim dividend for FY 2026 was about ¥15.30 per share.
- Monex continued tech adoption via AI and DX initiatives across units.
- Monex Securities marked a record high in new account openings in early 2026.
- IR events highlighted expanded investor engagement and revised shareholder policies.
Monex Group AUM and Revenue Trends
- Total operating revenue rose from 1,398 million JPY in 2025/3 1Q to 2,585 million JPY in 2026/3 2Q.
- Revenue increased steadily through 2025/3 3Q, reaching 1,600 million JPY, before dipping to 1,483 million JPY in 2025/3 4Q.
- In 2026/3 1Q, revenue jumped sharply to 1,976 million JPY, showing strong growth momentum.
- Revenue hit a new peak of 2,585 million JPY in 2026/3 2Q, marking the highest level in the period.
- Assets Under Management grew from 694 billion JPY in 2025/3 1Q to 1,819 billion JPY in 2026/3 2Q.
- AUM climbed steadily to 793 billion JPY by 2025/3 3Q, before slightly falling to 780 billion JPY in 2025/3 4Q.
- In 2026/3 1Q, AUM nearly doubled to 1,582 billion JPY, signaling strong asset growth.
- AUM reached a record 1,819 billion JPY in 2026/3 2Q, reflecting expansion after strategic acquisitions.
- The company increased its economic interest in 3iQ from 66.32% to 96.8%, strengthening its control.
- The company also invested in Westfield with a 20% stake, supporting asset growth.
Revenue Trends
- Monex Group’s TTM revenue approximates $508 million, suggesting modest expansion.
- Consolidated revenue after expenses rose ~2% QoQ in late 2025.
- Historical data shows revenue increased from 2022 to 2023.
- Higher trading activity and staking products contributed to revenue uplift.
- Revenue strength varied across segments, reflecting diversified sources.
- Monex’s asset-based commissions formed a key revenue share.
- Although revenue improved, broader industry revenue growth outpaced Monex’s pace.
Gross Profit Figures
- Gross profit (TTM) was approximately ¥16.31 billion.
- Gross margins remained strong due to the mix of brokerage and trading income.
- Increased volume in trading and staking activity expanded gross returns.
- Profit margins for six months reflect positive valuation gains.
- Gross profit supported by asset commission and fund success fees.
- Segment profitability improved sequentially in key areas.
- Gross profit developments underlined ongoing diversification.
- The crypto asset business contributed incremental gross revenue.
Monex Group Pre-Tax Income Growth Breakdown
- The company increased pre-tax income from 2,939 million JPY in 1Q FYE Mar 2026 to 4,719 million JPY in 2Q FYE Mar 2026.
- The Online Brokerage segment added +919 million JPY in operating income.
- The Crypto Asset segment boosted pre-tax income by +2,153 million JPY, driving the largest gain.
- The Monex Activist Fund generated +355 million JPY in success fees.
- The Investment Business segment contributed +389 million JPY to pre-tax income.
- Other factors added +115 million JPY.
- The company recorded a -1,410 million JPY impact due to the loss of fair value gain recognized in the previous quarter.
- The company booked -430 million JPY for amortization of intangible assets related to Westfield.
- The company recorded a -311 million JPY fair value loss on the earn-out liability related to Westfield.
- Strong growth in the Crypto Asset and Online Brokerage segments helped offset these losses and pushed total pre-tax income to 4,719 million JPY.
Earnings Per Share
- Monex Group’s basic EPS (TTM) stands at approximately ¥21.32 per share.
- Diluted EPS (TTM) is also reported at around ¥21.32, indicating minimal dilution impact.
- For FY ended March 2025, EPS improved from the prior year’s depressed crypto-cycle levels.
- In 3Q FY2026, quarterly profit attributable to owners reached ¥3,463 million, supporting per-share earnings growth.
- Analyst consensus estimates project mid-single-digit EPS growth into FY2026, driven by brokerage recovery.
- Over the past five years, EPS has shown volatility, largely tied to crypto market fluctuations and trading volumes.
- The company resumed stable dividend payments alongside earnings normalization in FY2025.
- Dividend per share for interim FY2026 was approximately ¥15.30, reflecting improved earnings confidence.
- Earnings yield based on current share price implies a mid-teens percentage ratio, reflecting moderate valuation.
Return on Equity
- Return on equity (ROE) currently stands near 15%, indicating solid capital efficiency.
- ROE improved from single-digit levels to adjusted 13% in 3Q FY2026.
- FY2025 shareholder equity remained stable at approximately ¥120+ billion.
- Quarterly profit growth strengthened trailing ROE to 11% non-adjusted in 3Q.
- The company maintains a dividend payout ratio below 50%, preserving retained earnings.
- Compared to Japanese peers, Monex’s ROE ranks above the industry median of 8-10%.
- Leverage levels remain moderate at 2.5x, helping sustain consistent equity returns.
- Strategic investments target long-term ROE enhancement to a 15%+ goal.
Current Ratio
- Current ratio stands at approximately 2.71, indicating strong short-term liquidity coverage.
- Total current assets exceed ¥1 trillion, driven by customer segregated assets and receivables.
- Current liabilities remain proportionally lower relative to liquid assets, maintaining a healthy buffer.
- Liquidity position improved +0.15x YoY as cash balances increased in FY2025.
- Cash and cash equivalents exceeded ¥90 billion at the latest reporting period.
- Compared with Japanese brokerage peers, Monex maintains an above-average 2.0-2.5x liquidity profile.
- Regulatory capital ratios exceed 150% of Japan Financial Instruments and Exchange Act requirements.
- Strong liquidity supports dividend stability with ¥90+ billion cash reserves available.
- Short-term liquidity position remained stable through 3Q FY2026 at 2.71x despite volatility.
Profit Margins
- Net profit margin (TTM) stands at 11%, reflecting a recovery phase.
- Operating margin (TTM) is 29.33%, supported by brokerage and asset management strength.
- Gross margin remains above 30%, consistent with diversified financial operations.
- In 3Q FY2026, profit before tax margin improved sequentially to 5,005M JPY from 4,719M JPY.
- Adjusted ROE reached 13% in 3Q FY2026, up from non-adjusted 11%.
- Adjusted EBITDA margin on net revenue held at 45% for asset management in 3Q.
- Cost-to-income ratio declined as SG&A stayed flat at 46,228M JPY on +7% revenue growth YoY.
- Crypto asset segment showed quarterly profit of ¥325M in 3Q despite Aplo acquisition costs.
- Compared to peers, margins lag U.S. discount brokers, but ROE targets 15%.
Debt to Equity Ratio
- Debt-to-equity ratio stands at approximately 0.85, reflecting moderate leverage.
- Total debt remains below ¥100 billion, manageable relative to equity levels.
- Interest coverage ratio remains strong at 8.2x, supported by operating profit recovery.
- Compared to Japanese brokerage peers, Monex’s leverage levels are within industry norms of 0.7-1.0.
- The company reduced short-term borrowings by 15% during FY2025, improving capital structure stability.
- Long-term debt maturities staggered through 2028, reducing refinancing risk.
- Strong liquidity buffers of ¥90+ billion offset leverage risk during market downturns.
- Improved profitability enhanced debt-servicing capacity with operating cash flow at ¥20+ billion.
- Capital management policy targets debt/equity below 1.0x while balancing shareholder returns.
Market Capitalization
- Market capitalization is approximately $1.18 billion.
- The company trades on the Tokyo Stock Exchange under ticker 8698.
- Shares outstanding total roughly 250 million.
- Enterprise value stands near ¥200+ billion, accounting for debt and cash adjustments.
- Price-to-earnings (P/E) ratio currently trades in the low-teens at 12.5x.
- Price-to-book (P/B) ratio remains close to 1.5x, aligning with sector averages.
- Foreign institutional investors hold 35% of outstanding shares, reinforcing global exposure.
Cash Flow Metrics
- Operating cash flow (TTM) reached approximately ¥20+ billion, reflecting positive earnings momentum.
- Free cash flow remains positive at ¥15+ billion TTM, supporting dividends and reinvestment.
- Cash and cash equivalents exceeded ¥90 billion as of FY2025 end, ensuring liquidity flexibility.
- Quarterly operating cash flow improved +12% YoY in 3Q alongside higher net income.
- Capital expenditures remained modest at ¥3.2 billion in 9M, focused on technology upgrades.
- Cash flow volatility moderated with crypto stabilization, capex/sales ratio at 4%.
- Asset management inflows generated ¥12+ billion recurring fee revenue streams.
- Dividend distributions consumed 28% of annual free cash flow, preserving balance sheet health.
Stock Price Performance
- Monex shares have traded in a 52-week range of approximately ¥600 to ¥900.
- Year-to-date performance in early 2026 shows mid-single-digit percentage gains.
- The stock rose over 20% from its 2022 cyclical low, reflecting earnings normalization.
- Dividend yield currently stands near 3 to 4%, attractive within Japan’s brokerage sector.
- Beta remains above 1.0, indicating slightly higher volatility than the broader Japanese market.
- Trading volume increased during earnings announcements in FY2025 and FY2026.
- Price performance correlates strongly with crypto asset market trends due to exposure through subsidiaries.
- Analyst price targets suggest modest upside potential, contingent on sustained revenue growth.
- Over five years, the stock experienced significant volatility aligned with global retail trading cycles.
Frequently Asked Questions (FAQs)
As of Feb 2026, what is Monex Group’s market capitalization in USD?
Approximately $1.18 billion.
How many shares outstanding does Monex Group have, roughly, based on market cap and valuation data?
About 250 million shares.
By what annual percentage rate (negative) have Monex Group’s earnings declined historically, according to Simply Wall St?
-27.7% annually.
What estimated average 12-month price target do analysts project for Monex Group (8698)?
¥785.0 (average target).
Conclusion
Monex Group enters this year with improved earnings momentum, strengthened liquidity, and disciplined leverage. Revenue growth has stabilized, while profit margins and return on equity have rebounded from prior crypto market headwinds. At the same time, stock price performance remains tied to trading volumes and digital asset cycles.
Therefore, sustained growth in asset management and recurring fee income will likely shape long-term valuation. For investors focused on Japanese financial services with digital brokerage exposure, Monex presents a data-driven case worth monitoring closely.
