Monex Group, Inc. · TSE:8698
Monex — FY2020 Earnings Presentation
38 slides from Monex's earnings presentation, Apr 27, 2021
Slide 1: Databook: Financial Results for Fiscal Year Ended March 31, 2021
April 27, 2021 (TSE 1st Section: 8698) DATABOOK Financial Results for Fiscal Year Ended March 31, 2021 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.13 2. Financial Data p.14 - p.37 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 Asia-Pacific Segment Crypto Asset Segment 8,000,000 6,000,000 4,000,000 2,000,000 0 As of As of As of As of As of As of As of As of As of Mar.31, 2019 Jun.30, 2019 Sep.30, 2019 Dec.31, 2019 Mar.31
Slide 5: Market and Transaction Data (2) – Number of Employees
Market and Transaction Data (2) – Number of Employees (person） Japan Segment U.S. Segment Asia-Pacific Segment Crypto Asset Segment 1,000 500 0 As of As of As of As of As of As of As of As of As of Mar.31, 2019 Jun.30, 2019 Sep.30, 2019 Dec.31, 2019 Mar.31, 2020 Jun.30, 2020 Sep.30, 2020 Dec.31, 202
Slide 6: Market and Transaction Data (3) – Japan Segment - Monex, Inc. (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 2,500,000 2,000,000 1,500,000 1,000,000 500,000 0 As of Mar. 31, As of Jun. 30, As of Sep. 30, As of Dec. 31, As of Mar. 31, As of J
Slide 7: Market and Transaction Data (4) Japan Segment - Equities and ETFs
Market and Transaction Data (4) Japan Segment - Monex, Inc. (Equities and ETFs ) ◆Market share and value of equity trading ◆ Monex’s cash & margin trading value and margin balance Monex’s share in retail trading value of 2 major stock exchanges and Cash trading value per business day (left) (JPY 100
Slide 8: Market and Transaction Data (5) Japan Segment - 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) 100,000 Sales of Investment Trusts(load) (l
Slide 9: Market and Transaction Data (6) Japan Segment - FX
Market and Transaction Data (6) Japan Segment - Monex, Inc. (FX) ◆OTC FX business (JPY million) (JPY 100million) 1,500 400,000 FX revenue (left) Trading value (right) 300,000 1,000 200,000 500 100,000 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.
Slide 10: Market and Transaction Data (7) Japan Segment - Customer distribution
Market and Transaction Data (7) 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 30% 35% Homemaker Civil servant Self-employed 25
Slide 11: Market and Transaction Data (8) Japan Segment - Capital Adequacy Ratio
Market and Transaction Data (8) 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 A
Slide 12: Market and Transaction Data (9) U.S. Segment – TradeStation Group
Market and Transaction Data (9) U.S. Segment – TradeStation Group ◆ Numbers of active accounts (*1) ◆ DARTs and VIX (*2) （thousand） (account) 160,000 300 Futures DARTs(left) 40 140,000 Options DARTs(left) 250 Equities DARTs(left) 120,000 Vix Close Avg. (right) 30 200 100,000 80,000 150 20 60,000 100
Slide 13: Market and Transaction Data (10) Asia-Pacific Segment
Market and Transaction Data (10) Asia-Pacific Segment Monex Boom Securities + Monex Securities Australia ◆ Numbers of accounts with balances ◆ DARTs (account) 7,000 20,000 6,000 15,000 5,000 4,000 10,000 3,000 2,000 5,000 1,000 0 0 As of Mar. As of Jun. As of Sep. As of Dec. As of Mar. As of Jun. As
Slide 14: Market and Transaction Data (11) Crypto Asset Segment (Coincheck)
Market and Transaction Data (11) Crypto Asset Segment (Coincheck) ◆ Numbers of verified accounts ◆ Trading value (Exchange + Market place) (account) (JPY 100million) 1,400,000 25,000 1,200,000 20,000 1,000,000 800,000 15,000 600,000 10,000 400,000 5,000 200,000 0 0 As of Mar. As of Jun. As of Sep. A
Slide 15: 2. Financial Data
1. Market & Transaction Data 2. Financial Data 14
Slide 16: Consolidated financial results
Consolidated financial results (JPY million) FYE Mar. 2020 FYE Mar. 2021 Variance Change Commission received 25,375 36,864 11,488 45.3% Net trading income 8,550 24,504 15,954 186.6% Financial income 18,579 15,394 -3,185 -17.1% Other operating income 722 1,144 422 58.5% Total operating revenue 53,226
Slide 17: Consolidated financial results (Reclassified)
Consolidated financial results (Reclassified) Reclassified consolidated statement of income (JPY million) FYE Mar.2020 FYE Mar.2021 Variance Change Brokerage commissions 19,383 26,860 7,476 38.6% Stocks and ETFs 12,022 18,516 6,494 54.0% Options and Futures 7,309 8,015 706 9.7% Cryptocurrency 52 329
Slide 18: Consolidated financial results (SG&A)
Consolidated financial results (SG&A) The details of SG&A in consolidated statement of income (JPY million) FYE Mar.2020 FYE Mar.2021 Variance Change Transaction-related expenses 11,975 15,986 4,011 33.5% Commissions paid 4,780 5,754 974 20.4% Exchange and association dues 779 984 205 26.2% Communic
Slide 19: Quarterly consolidated financial results (Reclassified)
Quarterly consolidated financial results (Reclassified) Reclassified consolidated statement of income (JPY million) FYE Mar. 2020 FYE Mar. 2021 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Brokerage commissions 4,341 4,328 4,663 6,052 6,559 6,054 6,190 8,058 Stocks and ETFs 2,575 2,566 3,084 3,797 4,414 4,029 4,360 5,71
Slide 20: 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. 2020 FYE Mar. 2021 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Transaction-related expenses 2,881 2,834 2,831 3,429 3,172 3,490 3,596 5,728 Commissions paid 1,160 1,151 1,066 1,404 1,313 1,362
Slide 21: Quarterly consolidated financial results (Other income and other expenses)
Quarterly consolidated financial results (Other income and other expenses) (JPY million) FYE Mar. 2020 FYE Mar. 2021 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Other financial income 30 60 23 -64 83 31 121 197 Gain on valuation of investments in 16 56 22 -74 68 20 128 193 securities Gain on sales of investments in sec
Slide 22: Quarterly financial results by segment (Japan, the US and Asia-Pacific)
Quarterly financial results by segment (Reclassified) (Japan, the US and Asia-Pacific) Reclassified statement of income (JPY million) FYE Mar. 2020 FYE Mar. 2021 3Q 4Q 1Q 2Q 3Q 4Q JPN US AP JPN US AP JPN US AP JPN US AP JPN US AP JPN US AP Brokerage commissions 2,730 1,888 89 3,298 2,681 177 3,734 2
Slide 23: Quarterly financial results by segment (Crypto Asset, Investment)
Quarterly financial results by segment (Reclassified) (Crypto Asset Segment, Investment Segment) Reclassified statement of income (JPY million) FYE Mar. 2020 FYE Mar. 2021 3Q 4Q 1Q 2Q 3Q 4Q Crypto Crypto Crypto Crypto Crypto Crypto Investment Investment Investment Investment Investment Investment As
Slide 24: Quarterly financial results by segment (SG&A) (Japan, the US and Asia-Pacific)
Quarterly financial results by segment (SG&A) (Japan, the US and Asia-Pacific) The details of SG&A in statement of income (JPY million) FYE Mar. 2020 FYE Mar. 2021 3Q 4Q 1Q 2Q 3Q 4Q JPN US AP JPN US AP JPN US AP JPN US AP JPN US AP JPN US AP Transaction-related 1,269 1,387 62 1,514 1,769 83 1,412 1,
Slide 25: Quarterly financial results by segment (SG&A) (Crypto Asset, Investment)
Quarterly financial results by segment (SG&A) (Crypto Asset Segment, Investment Segment) The details of SG&A in statement of income (JPY million) FYE Mar. 2020 FYE Mar. 2021 3Q 4Q 1Q 2Q 3Q 4Q Crypto Crypto Crypto Crypto Crypto Crypto Investment Investment Investment Investment Investment Investment
Slide 26: Quarterly segment results (Other income and expenses) (Japan, US, Asia-Pacific)
Quarterly financial results by segment (Other income and other expenses) ( Japan, the US and Asia-Pacific) (JPY million) FYE Mar. 2020 FYE Mar. 2021 3Q 4Q 1Q 2Q 3Q 4Q JPN US AP JPN US AP JPN US AP JPN US AP JPN US AP JPN US AP Gain on valuation of investments in securities 22 － － -74 － － 68 － － 20 －
Slide 27: Quarterly segment results (Other income and expenses) (Crypto Asset, Investment)
Quarterly financial results by segment (Other income and other expenses) (Crypto Asset Segment, Investment Segment) (JPY million) FYE Mar. 2020 FYE Mar. 2021 3Q 4Q 1Q 2Q 3Q 4Q Crypto Invest Crypto Invest Crypto Invest Crypto Invest Crypto Invest Crypto Invest Asset ment Asset ment Asset ment Asset m
Slide 28: US Segment: Quarterly financial results (Reclassified) (in USD)
US Segment :Quarterly financial results (Reclassified) (in USD) Reclassified statement of income (USD thousand) FYE Mar. 2020 FYE Mar. 2021 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Brokerage commissions 19,477 19,745 17,358 24,787 25,588 25,059 23,937 31,924 Stocks and ETFs 4,248 4,212 3,504 5,479 6,899 6,614 7,074
Slide 29: US Segment: Quarterly financial results (SG&A) (in USD)
US Segment :Quarterly financial results (SG&A) (in USD) The details of SG&A in statement of income (USD thousand) FYE Mar. 2020 FYE Mar. 2021 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q Transaction-related expenses 13,458 13,575 12,751 16,353 15,388 16,196 16,176 18,532 Commissions paid 7,444 7,532 6,801 9,392 8,305 8,
Slide 30: Financial results by consolidated and segment
Financial results by consolidated and segment (JPY million) FYE Mar. 2020 FYE Mar. 2021 Variance Cons. * JPN US AP Cons. JPN US AP Cons. JPN US AP Commission received 25,375 12,614 12,270 454 36,864 17,811 17,988 1,079 11,488 5,196 5,719 625 Net trading income 8,550 5,030 － 0 24,504 4,553 － -0 15,95
Slide 31: Financial results by consolidated and segment
Financial results by consolidated and segment (JPY million) FYE Mar. 2020 FYE Mar. 2021 Variance Crypto Asset Investment Crypto Asset Investment Crypto Asset Investment Commission received 287 － 853 － 566 － Net trading income 3,528 － 19,960 － 16,431 － Financial income － 148 － 672 － 524 Sales － － － －
Slide 32: Financial results by consolidated and segment (Reclassified)
Financial results by consolidated and segment(Reclassified) (JPY million) FYE Mar. 2020 FYE Mar. 2021 Variance Cons.* JPN US AP Cons.* JPN US AP Cons.* JPN US AP Brokerage commissions 19,383 10,294 8,838 451 26,860 15,293 11,322 1,071 7,476 4,999 2,483 620 Stocks and ETFs 12,022 9,926 1,895 451 18,5
Slide 33: Financial results by consolidated and segment (Reclassified)
Financial results by consolidated and segment(Reclassified) (JPY million) FYE Mar. 2020 FYE Mar. 2021 Variance Crypto Asset Investment Crypto Asset Investment Crypto Asset Investment Brokerage commissions 49 － 40 － -9 － Stocks and ETFs － － － － － － Options and Futures － － － － － － Cryptocurrency 49 －
Slide 34: Financial results by consolidated and segment (SG&A)
Financial results by consolidated and segment(SG&A) (JPY million) FYE Mar. 2020 FYE Mar. 2021 Variance Cons.* JPN US AP Cons. JPN US AP Cons. JPN US AP Transaction-related expenses 11,975 5,106 6,098 272 15,986 6,648 7,047 374 4,011 1,542 949 102 Commissions paid 4,780 1,454 3,386 55 5,754 2,553 3,5
Slide 35: Financial results by consolidated and segment (SG&A)
Financial results by consolidated and segment(SG&A) (JPY million) FYE Mar. 2020 FYE Mar. 2021 Variance Crypto Asset Investment Crypto Asset Investment Crypto Asset Investment Transaction-related expenses 781 10 2,878 8 2,097 -2 Commissions paid 166 2 485 2 319 0 Exchange and association dues － － － －
Slide 36: 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, 2020 Mar. 31, 2021 Mar. 31, 2020 Mar. 31, 2021 Cash and cash equivalents 132,561 176,726 Property and equipment 4,921 4,961 Cash segregated as deposits 620,222 774,582 Intangible assets 46,006 44,
Slide 37: 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, 2020 Mar. 31, 2021 Mar. 31, 2020 Mar. 31, 2021 Trading securities and other 16 － Common stock 10,394 10,394 Derivative liabilities 3,256 5,621 Additional-paid in capital 40,291 40,253
Slide 38: Consolidated statement of financial position (3)
Consolidated statement of financial position (3) ■Investments in securities (JPY million) As of As of Measurement method Description Mar. 31, 2020 Mar. 31, 2021 Investments in securities 5,447 8,515 Fair Value Through Profit or Loss (FVTPL) Quoted prices (unadjusted) in active markets for identical