Slide 1: Databook: Financial Results for Fiscal Year Ended March 31, 2016
April 28, 2016 (TSE 1st Section: 8698) DATABOOK Financial Results for Fiscal Year Ended March 31, 2016 This is an English translation of Japanese presentation material prepared in connection with the disclosure of the financial results of Monex Group, Inc. It includes information derived from the co
Slide 2: Table of Contents
Table of Contents [Data Book] Table of Contents p. 1 1. Market & Transaction Data p. 2 - p.12 2. Financial Data p. 13 - p.30 1
Slide 3: 1. Market & Transaction Data
1. Market & Transaction Data 2. Financial Data 2
Slide 4: Market and Transaction Data (1) – Customers’ Assets in Custody
Market and Transaction Data (1) – Customers’ Assets in Custody (JPY million) Japan Segment U.S. Segment China Segment 5,000,000 4,000,000 3,000,000 2,000,000 1,000,000 0 As of As of As of As of As of As of As of As of As of Mar.31, 2014 Jun.30, 2014 Sep.30, 2014 Dec.31, 2014 Mar.31, 2015 Jun.30, 201
Slide 5: Market and Transaction Data (2) – Number of Employees
Market and Transaction Data (2) – Number of Employees (person） Japan Segment U.S. Segment China Segment 1,200 800 400 0 As of As of As of As of As of As of As of As of As of Mar.31, 2014 Jun.30, 2014 Sep.30, 2014 Dec.31, 2014 Mar.31, 2015 Jun.30, 2015 Sep.30, 2015 Dec.31, 2015 Mar.31, 2016 (person）
Slide 6: Market and Transaction Data (3) – Number of Accounts
Market and Transaction Data (3) – Japan Segment - Monex, Inc. (Number of accounts) ◆Number of total accounts & active accounts (account） Total accounts Active accounts 1,600,000 1,400,000 1,200,000 1,000,000 800,000 600,000 400,000 200,000 0 As of Mar. 31, As of Jun. 30, As of Sep. 30, As of Dec. 31
Slide 7: Market and Transaction Data (4) – Equities and ETFs
Market and Transaction Data (4) Japan Segment - Monex, Inc. (Equities and ETFs ) ◆Market share and value of equity trading ◆ Breakdown of DARTs and market trading value Monex’s share in retail trading value of 2 major stock exchanges and Futures and Options DARTs (left) (JPY 100million) its equity t
Slide 8: Market and Transaction Data (5) – Mutual Funds & Bonds
Market and Transaction Data (5) Japan Segment - Monex, Inc. (Mutual Funds & Bonds) ◆Mutual Funds (Sales and Balance) ◆Fixed Income Businesses (Sales of non-domestic bonds) (JPY million) Sales of Investment Trusts(no-load) (left) (JPY million) (JPY million) 70,000 Sales of Investment Trusts(load) (le
Slide 9: Market and Transaction Data (6) – Customer distribution
Market and Transaction Data (6) Japan Segment – Monex, Inc. (Customer distribution) ◆Active accounts by gender and age ◆Active accounts by occupation Corporate Professional Corporation executive (e.g. Doctor) All accounts Accounts opened within a year 35% 35% Homemaker Civil servant Self-employed 30
Slide 10: Market and Transaction Data (7) – Capital Adequacy Ratio
Market and Transaction Data (7) Japan Segment - Monex, Inc. (Capital Adequacy Ratio) ◆Capital adequacy ratio (JPY million) 50,000 500% Risk asset amount（left） Non-fixed capital （left） Capital adequacy ratio（right） 40,000 400% 30,000 300% 20,000 200% 10,000 100% 0 0% As of As of As of As of As of As
Slide 11: Market and Transaction Data (8) – U.S. Segment – TradeStation Group
Market and Transaction Data (8) U.S. Segment – TradeStation Group ◆ DARTs and VIX(*) （thousand） 150 Futures DARTs(left) Options DARTs(left) Equities DARTs(left) Vix Close Avg. (right) 30 100 20 50 10 0 0 4Q of FYE 1Q of FYE 2Q of FYE 3Q of FYE 4Q of FYE 1Q of FYE 2Q of FYE 3Q of FYE 4Q of FYE Mar. 2
Slide 12: Market and Transaction Data (9) – China Segment
Market and Transaction Data (9) China Segment - Monex Boom Securities ◆ Numbers of accounts with balances ◆ DARTs (account) 2,000 12,000 10,000 1,500 8,000 1,000 6,000 4,000 500 2,000 0 0 As of Mar. As of Jun. As of Sep. As of Dec. As of Mar. As of Jun. As of Sep. As of Dec. As of Mar. 4Q of FYE 1Q
Slide 13: Market and Transaction Data (10) Global FX
Market and Transaction Data (10) Global FX ◆OTC FX business in Japan (Monex, Inc. and Monex FX, Inc.) ◆OTC FX business in U.S. (TradeStation Group) (JPY million) (JPY 100million) (USD thousand) （100mil USD） 1,500 Commissions(left) Trading revenue(left) 200,000 6,000 1,000 Trading revenue(left) Tradi
Slide 14: 2. Financial Data
1. Market & Transaction Data 2. Financial Data 13
Slide 15: Introduction
Introduction We have adopted IFRSs since FYE March 2013 to improve the international comparability of financial information, while we engage in business activities with a focus of 3 major locations (Japan, the U.S. and China) with a view to creating a global online financial group ■ Consolidated fin
Slide 16: Consolidated financial results
Consolidated financial results (million yen) FYE Mar. FYE Mar. Variance Change 2015 2016 Commission received 30,079 32,152 2,073 6.9% Net trading income 6,242 6,671 429 6.9% Financial income 13,987 14,610 623 4.5% Other operating income 667 839 172 25.8% Total operating revenue 50,975 54,271 3,297 6
Slide 17: Consolidated financial results (Reclassified)
Consolidated financial results (Reclassified) Reclassified consolidated statement of income (million yen) FYE Mar. 2015 FYE Mar. 2016 Variance Change Brokerage commissions 23,822 25,317 1,495 6.3% Stocks and ETFs 17,584 17,795 211 1.2% Options and Futures 6,217 7,522 1,305 21.0% OSE-FX 22 - -22 - Un
Slide 18: Consolidated financial results (SG&A)
Consolidated financial results (SG&A) The details of SG&A in consolidated statement of income (million yen) FYE Mar. 2015 FYE Mar. 2016 Variance Change Transaction-related expenses 13,236 13,862 627 4.7% Commissions paid 5,151 5,312 161 3.1% Exchange and association dues 1,251 1,154 -97 -7.8% Commun
Slide 19: Quarterly consolidated financial results
Quarterly consolidated financial results (JPY million) FYE Mar. 2015 FYE Mar. 2016 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Commission received 6,314 7,205 8,319 8,242 8,499 8,872 7,345 7,435 Net trading income 1,244 1,175 1,968 1,854 1,813 1,934 1,432 1,491 Financial income 3,115 3,471 3,673 3,729 3,670 3,753 3,950
Slide 20: Quarterly consolidated financial results (Reclassified)
Quarterly consolidated financial results (Reclassified) Reclassified consolidated statement of income (JPY million) FYE Mar. 2015 FYE Mar. 2016 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Brokerage commissions 4,906 5,710 6,679 6,527 6,769 7,061 5,651 5,836 Stocks and ETFs 3,627 4,352 4,917 4,688 4,974 4,940 3,956 3,92
Slide 21: Quarterly consolidated financial results (SG&A)
Quarterly consolidated financial results (SG&A) The details of SG&A in consolidated statement of income (JPY million) FYE Mar. 2015 FYE Mar. 2016 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Transaction-related expenses 3,006 3,220 3,520 3,490 3,522 3,544 3,365 3,430 Commissions paid 1,124 1,198 1,375 1,454 1,371 1,502
Slide 22: Quarterly consolidated financial results (Other income and other expenses)
Quarterly consolidated financial results (Other income and other expenses) (JPY million) FYE Mar. 2015 FYE Mar. 2016 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Other financial income 20 35 20 7 77 -50 979 -368 Gain on sales of investment securities - - 1 -0 - - - - Dividends income 16 34 11 5 15 5 5 5 Gain or loss on
Slide 23: Quarterly financial results by segment
Quarterly financial results by segment (JPY million) FYE Mar. 2015 FYE Mar. 2016 3Q 4Q 1Q 2Q 3Q 4Q JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN Commission received 5,304 2,949 96 5,112 3,057 99 5,394 2,975 163 5,415 3,379 114 4,324 2,968 86 4,297 3,084 90 Net trading
Slide 24: Quarterly financial results by segment (Reclassified)
Quarterly financial results by segment (Reclassified) Reclassified statement of income (JPY million) FYE Mar. 2015 FYE Mar. 2016 3Q 4Q 1Q 2Q 3Q 4Q JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN Brokerage commissions 4,438 2,173 96 4,205 2,250 99 4,488 2,153 161 4,529 2
Slide 25: Quarterly financial results by segment (SG&A)
Quarterly financial results by segment (SG&A) The details of SG&A in statement of income (JPY million) FYE Mar. 2015 FYE Mar. 2016 3Q 4Q 1Q 2Q 3Q 4Q JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN Transaction-related 1,573 1,928 52 1,680 1,783 56 1,656 1,856 45 1,638 1,
Slide 26: Quarterly financial results by segment (Other income and other expenses)
Quarterly financial results by segment (Other income and other expenses) (JPY million) FYE Mar. 2015 FYE Mar. 2016 ３Q ４Q 1Q 2Q 3Q 4Q JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN JPN U.S. CHN Gain or loss on Financial - 7 - - 133 - -138 195 - -112 -30 - 90 -3 - 21 -111 - instrumen
Slide 27: U.S. Segment: Quarterly financial results (Reclassified) (in USD)
U.S. Segment :Quarterly financial results (Reclassified) (in USD) Reclassified statement of income (USD thousand) FYE Mar. 2015 FYE Mar. 2016 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Brokerage commissions 15,954 16,552 19,051 19,174 17,714 20,168 17,244 19,496 Stocks and ETFs 4,624 4,699 5,198 4,886 4,356 4,580 4,39
Slide 28: U.S. Segment: Quarterly financial results (SG&A) (in USD)
U.S. Segment :Quarterly financial results (SG&A) (in USD) The details of SG&A in statement of income (USD thousand) FYE Mar. 2015 FYE Mar. 2016 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Transaction-related expenses 14,970 16,397 16,816 15,015 15,277 15,601 14,120 17,507 Commissions paid 8,320 8,614 9,409 9,174 8,626
Slide 29: Consolidated statement of financial position (1)
Consolidated statement of financial position (1) ■Assets (JPY million) As of As of As of As of Mar. 31, 2015 Mar. 31, 2016 Mar. 31, 2015 Mar. 31, 2016 Cash and cash equivalents 68,540 61,902 Property and equipment 2,408 2,457 Cash segregated as deposits 525,567 497,442 Intangible assets 48,807 53,05
Slide 30: Consolidated statement of financial position (2)
Consolidated statement of financial position (2) ■Liabilities ■Equity (JPY million) As of As of As of As of Mar. 31, 2015 Mar. 31, 2016 Mar. 31, 2015 Mar. 31, 2016 Derivative liabilities 12,159 7,178 Common stock 10,394 10,394 Margin transaction liabilities 46,125 33,006 Additional-paid in capital 4
Slide 31: Consolidated statement of financial position (3)
Consolidated statement of financial position (3) ■Investments in securities (JPY million) As of Mar. As of Mar. measurement method Description 31, 2015 31, 2016 Investments in securities 8,176 3,707 Fair Value Through Profit or Loss Quoted prices (unadjusted) in active markets for identical Akatsuki