Nomura Holdings, Inc. · TSE:8604
Nomura — Q1 FY2012/13 Earnings Presentation
40 slides from Nomura's earnings presentation, Aug 2, 2012
Slide 1: Nomura Holdings, Inc. Form 6-K
Table of Contents FORM 6-K U.S. SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 Commission File Number: 1-15270 For the month of August 2012 NOMURA HOLDINGS, INC. (Translation of regis
Slide 2: Information furnished on this form
Table of Contents Information furnished on this form: EXHIBIT Exhibit Number 1. Consolidated Results of Operations (US GAAP), first quarter, year ending March 2013
Slide 3: Signatures
Table of Contents SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. NOMURA HOLDINGS, INC. Date: August 2, 2012 By: /s/ Eiji Miura Eiji Miura Senior Manag
Slide 4: Consolidated Results of Operations (US GAAP), First Quarter, Year ending March 2013
Table of Contents Consolidated First (US NOMURA July GAAP) 2012 Quarter, HOMDINGS, Results Year ending of Operations Inc. March 2013
Slide 5: Disclaimer
Table of Contents Disclaimer Nothing securities or accepted All permission This be nature, consider website events Forward-looking Thesales read rights information consolidated document and are in may (http://www.nomura.com) in all by issued regarding the inherently investor this of of Nomura becont
Slide 6: Presentation Outline
Table of Contents Executive Presentation Outline Overview Business Non-interest Robust Funding Exposure Financial Value Consolidated Main Adjustment Segment Retail Asset Wholesale 2Number revenue Management at (p. related financial risk of and “Others” segment Supplement 6-7) to of summary (p. relat
Slide 7: Executive summary
Table of Contents $1.0bn Executive Profitable Highlights Income Net Business Retail: Sales Asset Continued Wholesale: Wholesale Equities revenue: income1: of Management: Net cost before foreign and segment for summary (1) to revenues revenue Net reductions Investment Y369.3bn deliver third Y1.9bn in
Slide 8: Overview of financial results
Table of Contents Overview (billions Highlights FY2012/13 4Q 1Q (%) Non-interest Income Net ROE2YoY FY2011/12 QoQ revenue income1 FY2011/12 0.4% before ofof (1) yen) 4.2% 369.3 expenses results 1.9 income 22.1 3.4% 499.0 Net -91% 349.6 taxes -26% income 17.8 19.7 438.2 330.4 -89% 60.8 attributable -
Slide 9: Business segment results
Table of Contents Business (billions FY2012/13 4Q 1Q Revenues Net Asset Wholesale1 Segment Other1,2 Unrealized investments held Income (1) 5(2) “Due YoY FY2011/12 QoQ revenue for Other” Management (loss) to operating of FY2011/12 total 154.6 17.0 segment Retail again yen) 121.9 (8.6) in reorganizati
Slide 10: Retail: Key performance indicators
Table of Contents (billions 1Q Non-interest (trillions 70.4 FY2011/12 Jun Key Income Lower Decline Tapped Consulting-based Client Retail Accounts Net Sales Nomura Other IPOs Bonds 6(of Y460.8bn Y613.8bn Y27.9bn Y55.8bn Y58.2bn Y124.1bn Y239.8bn 647.2bn 5m Y68.2trn which) 2Q 11 revenue revenue: asset
Slide 11: Retail: Sales of investment products
Table of Contents Retail: 3,000 Bonds Stocksa Otheres Ninth 1,200 847 FY2011/12 1Q Total Investment Recorded Enhanced Bonds: Higher Stocks: Focused Foreign (billions Sales 500 270 FY2009/10 Average 7(1) Net 2Q 1,107 400 391 sales sales: of 2,000 800 straight Consulting-based 3Q sales Sales asset Sal
Slide 12: Asset Management results
Table of Contents Asset (billions 1Q Non-interest Income Assets (trillions AuM 33.7 FY2011/12 Jun Key Net Loss Expenses Regional Japan Trading Investment EMEA Revenues Large Americas Equities AEJ Fixed In (1) 8(2)Equities, Total Net 2Q 11 revenue revenue: performance points (Y15.4bn, 25.3 before (gr
Slide 13: Asset Management: Assets under management and flows
Table of Contents Asset Assets (trillions 30.0 21.5 8.6 30.1 23.0 31.9 21.0 29.2 21.2 8.2 29.3 24.8 8.9 33.7 0.0 Flow (billions Investment 700 317 602 33 97 -11 -187 1Q Nomura 23.0% 22.0% FY2011/12 Jun R&I –Awards Japanese (1) (2) 9(3) Recognized 8Total Based Source: 2Q -19 11 500 241 20.0 33 Fund -
Slide 14: Wholesale results
Table of Contents Wholesale QoQ Non-interest Income expenses income (billions AEJ 20.4 8.3 40.8 42.6 21.6 15.4 40.4 55.5 42.5 20.1 78.9 45.4 FY2011/12 30.1 41.0 1Q Key Net Loss markets Regional Japan(Y30.1bn, EMEA(Y41.0bn, to Americas(Y35.5bn, increased –AEJ(Y15.4bn, revenues Equities (1) 10Trading
Slide 15: Wholesale: Fixed Income
Table of Contents AEJ: Wholesale: (billions 69.7 FY2011/12 1Q Key Net Amid Client By Revenue Rates, Exchange Foreign Products Well Rates: Credit: FX: Securitized Good Regional Enhanced EMEA Americas Japan AEJ International EMEA: Americas: product, 2Q revenue1 revenue: Strong points posted 41.4 diver
Slide 16: Wholesale: Equities
Table of Contents Wholesale: 56.6 FY2011/12 1Q Key Net Client Down Regions Americas Revenues Product (billions 37.1 Cash Japan/EMEA: Took Instinet: Americas: Winning Derivatives “Volatility Japan: AEJ: EMEA: “Asia Solutions Trading revenues Prime Others 2Q revenue1 revenue: points 33.4 Equities #1 P
Slide 17: Wholesale: Investment Banking
Table of Contents Wholesale: (billions QoQ Other YoY 32.3 13.6 -5.4 revenue1 -2% -33% FY2011/12 1Q Key Net Investment Fewer Involved Maintained Japan: Continued Business Marubeni Gavilon Financial M&A Announced $5.6bn Approx. 62Q revenue: out -4.8 points 6.8 Consortium Leveraged finance (#1 league $
Slide 18: Non-interest expenses
Table of Contents Excluding (Reference) Full (billions Quarter 1,500 438.2 1,450.9 349.6 500 0F FY2010/11 1Q Compensation Commissions Information brokerage Occupancy communications Business depreciation Other expenses Total Key Non-interest –Progress Completed 14 Y2011/12 Wholesale Other Reducing No
Slide 19: Robust financial position
Table of Contents Robust Balance Shareholders Liquidity Preliminary, RWA Tier Total Leverage (x) 18.0 Gross Net 35% 31% 60% leverage1 214.0 3 1 assets capital 14,681 FY2011/12 10.6 16.8 (billions 1,500 Level Fy2011/12 1Q (1) (3) 15 Net 2Q Level 36% 29% 40%2,090 320 224 ratio common financial 1,000sh
Slide 20: Funding and liquidity
Table of Contents Balance Highly term Assets Trading Total Liabilities Cash Other Liquidity –Y5.4trn, Unsecured Approx. Diversified Short-term Long-term Loans Euro Breakdown Funding Bank Retail Wholesale (1) (2) (3) 16 Trading Definition Excludes debt, MTN/Yen, MTN/Other, and equity lending liabilit
Slide 21: Exposure to European peripheral countries
Table of Contents Exposure GIIPS Net (US$m) Total Greece Ireland Italy Portugal Spain European Peripheral Increased Inventory inventory 1,145 Of 749 country 34 208 which, -101 to by peripheral is 655 11 (1) Europe 994 145 European all $633m 23 72 194 exposure trading 151 Net exposure 62 38 -173 186
Slide 22: Financial Supplement
Table of Contents Financial Supplement
Slide 23: Consolidated balance sheet
Table of Contents Consolidated (billions Mar. Assets Trading Collateralized Long-term Noncontrolling Total 1. 19 Including 31, cash payables loans trading other Nomura assets Liabilities liabilities of 2012 and borrowings assets and yen) 35,697 securities assets1 balance shareholders’ agreements Jun
Slide 24: Value at Risk
Table of Contents Value6.3 99% Definition 1-day Inter-product From Maximum: Minimum: Average: (billions Mar. Equity Interest Foreign Sub-total Diversification VaR 20 confidence 31, April time at1.8 rate exchange 6.0 risk of 2011 5.5 10.4 1.6 4.3 horizon yen) 7.2 1, 5.2 4.1 price 2012 Jun. 9.7 1.9 be
Slide 25: Consolidated financial highlights
Table of Contents Consolidated Full Quarter (billions 40,30,20,10,0,10%.8%,6%,4%,2%,0%,28.7,1.4%,0.6%,11.6 3.4%,17.8,17.8,22.1,0.6%,1.9,0.4%,-46.1,4%,3%,2%,1%,0%,-1%,-2%,-3%,-4%,-5% 40,30,20,10,0,-10,-20,-30,-40,-50 FY2010/11 ROE(%) 1Q Income Net Total ROE Basic-Net Shareholders’ 1. 21 Quarterly 2Q
Slide 26: Consolidated results
Table of Contents Consolidated Full (billions Quarter FY2010/11 1Q Revenue Total Interest Non-interest Income Net 22 Asset Commissions Fees Net Interest Gain Other 2Q revenue income year revenue gain 3Q expense (loss) from (loss) of management 43.9 4Q and yen) FY2011/12 (loss) on 1,130.7 expenses in
Slide 27: Main items of revenue
Table of Contents Main Full (billions Quarter Fees FY2010/11 1Q Stock Commissions Equity Bond M&A Other Asset Administration Custodial Total 23 2Qyear from 405.5 107.0 143.9 revenue underwriting Management management brokerage 31.6 3.9 / underwriting 3Q financial of3.7 fees Investment 4Q 32.4 yen) F
Slide 28: Segment results: Income before income taxes
Table of Contents Adjustment Full (billions Quarter FY2010/11 1Q Retail Asset Wholesale1 Three Other1,2 Segments Unrealized Total (1) (2) 24 Due 2Qyear 93.3 Management2 Business 101.2 3Q to of -15.2 total 85.0 a4Q gain yen) FY2011/12 of 4.1 reorganization 63.1 1Q consolidated 35.2 110.2 34.4 segment
Slide 29: Segment results: Other
Table of Contents Segment Full Quarter (billions FY2010/11 40,30,20,10,0,-10,-20,-15.2,35.2 22.1,12.9,14.6,17.0,-14.5,40,30,20,10,0,-10,-20 1Q Net Realized Equity Corporate Others1,2 Income (1) (2) 25 Due 2Q gain year in 3Q (loss) (Loss) toof (loss) gain “Other” earnings 7.8 items1 a4Q yen) FY2011/1
Slide 30: Retail results
Table of Contents Retail Full (billions Quarter FY2010/11 1Q Commissions Sales Fees Investment Net Non-interest Income Domestic Other (1) 26 Accumulated Bond Stock Foreign Sales Retail 2Q interest revenue year from credit related 3Q before of investment investment foreign distribution investment Nom
Slide 31: Retail: Commissions and distribution fees
Table of Contents Retail Full Quarter (billions 180,150,120,90,60,30,0 70,60,50,40,30,20,10,0 FY2010/11 1Q Stock Commissions (1) 27 Nomura 2Qyear brokerage related 3Qof4Q yen) FY2011/12 Securities. data for 1Qcommissions distribution (2) FY2011/12 of and 51.4 investment commissions 36.0 FY12/13 8.7
Slide 32: Retail: Client assets
Table of Contents Retail Full (trillions Quarter 100,80,60,40,20,0,70.6,72.0 70.4,66.1,65.0,72.0,68.2 FY2010/11 Mar Equities Foreign Domestic Stock Bond Overseas Other Total (1) (2) 28 Includes IIncludes year 11 70.6 investment 2.3 investment related client Mar currency 35.8 of mutual 2.3 bonds 72.0
Slide 33: Retail: Net asset inflow
Table of Contents Retail Full Quarter (billions FY2010/11 6,000,4,000,2,000,0,3,942,2,400 847,1,107,260,185,647,4,000,3,000,2,000,1,000,0 (1) 29 1Q Net year related client 2Q asset of3Q yen) FY2011/12 assets: inflow data 4Q 1Q(4) Net = asset asset FY2011/12 inflow inflow1 – asset FY2012/13 outflow.
Slide 34: Retail: Accounts and share data
Table of Contents Retail Number (Thousands) Mar Accounts Equity Nomura Full FY2010/11 Quarter 1Q New IT No. Transaction (1) (2) 30 share2 From IT 2Q of year 11 Individual individual share related orders holding 3Q Mar of Home December with 4Q accounts FY2011/12 value is 1253% data the 1Q balance Tra
Slide 35: Asset Management results
Table of Contents 33.7,25.3,29.3,22.7,29.2,22.6,31.9,24.6,30.1,23.3 Asset (billions 1Q Net Non-interest Income Due Total Full FY2010/11 Quarter Mar 30.0,20.0,10.0,0.0,32.7,24.7,31.9,24.6 AuM 2Q revenue year to 11 assets (gross) (net) Management a3Q Mar before of reorganization (1) 4Q yen) FY2011/12
Slide 36: Asset Management: Investment trust business
Table of Contents Asset business Full (billions Quarter /11 FY10 /12 1Q ETFs Investment Net Nomura Group Assets (trillions FY10/11 Mar Domestic Market Nomura’s (1) (2) (4) 32 Total Net Source: 2Q FY11 FY11/12 asset year 11-11 Management inflows/outflows company under 3Q after Mar 54.2 11.1 Asset Cor
Slide 37: Wholesale results breakdown
Table of Contents (billions Wholesale Breakdown FY2010/11 1Q Fixed Equities Other Net Non-interest Income Investment (1) 33 Due 2Q revenue 15.2 Income 3Q (Loss) to 226.8 ofa4Q related 23.9 yen) Banking(Net) Banking Banking(Gross) FY2011/12 of reorganization 626.1 expenses 281.3 1Q Wholesale 181.2 be
Slide 38: Wholesale: Private equity related data
Table of Contents Wholesale Private Full (billions 500,400,300,200,100,0,327.7,221.3 331.7,286.4,208.9,221.3,206.0 Quarter Japan Europe Asia Sub Terra Total 34 Mar. Total year 3.3 327.7 Firma 165.9 equity (excluding 31, 1.9 of202.7 related yen) 221.3 2011 125.0 65.5 3.2 related 94.1 2.3 159.7 Mar. 3
Slide 39: Number of employees
Table of Contents Number Mar. Japan Europe Americas Asia-Pacific2 Total Excludes (2) 35 Includes 31,2011 26,871 (excluding (FA) 4,353 ofemployees 2,348 employees 2,089 Powai 35,630 Jun. 4,436 5,252 2,383 FA)1 2,096 30,2011 office 4,492 6,452 35,697 of2,537 12,829 private 2,078 in 4,143 6,485 Sep. 34
Slide 40: Nomura Holdings, Inc.
Table of Contents Nomura Holdings, Inc. www.nomura.com