Nomura Holdings, Inc. · TSE:8604
Nomura — Q1 FY2024/25 Earnings Presentation
33 slides from Nomura's earnings presentation, Aug 2, 2024
Slide 1: Consolidated Results of Operations First quarter, year ending March 2025
Consolidated Results of Operations First quarter, year ending March 2025 (US GAAP) July 2024 Nomura Holdings, Inc. We aspire to create a better world by harnessing the power of financial markets © Nomura
Slide 2: Outline
Outline Presentation Financial Supplement Executive summary (p. 2) Overview of results (p. 3) Business segment results (p. 4) Wealth Management (p. 5-7) Investment Management (p. 8-9) Wholesale (p. 10-12) Non-interest expenses (p. 13) Robust financial position (p. 14) Consolidated balance sheet (p.
Slide 3: Executive summary FY2024/25 1Q highlights
Executive summary FY2024/25 1Q highlights Income (loss) before income taxes, and net income (loss)1 Net revenue: Y454.4bn (+2% QoQ); Income before income taxes: Y102.9bn (+12% QoQ); Net income1: Y68.9bn (+21% QoQ); EPS2: Y22.36; ROE3: 8.1% Groupwide (billions of yen) Income (loss) before income taxe
Slide 4: Overview of results
Overview of results Highlights (billions of yen, excluding EPS and ROE) FY2023/24 FY2024/25 1Q 2Q 3Q 4Q 1Q QoQ YoY Net revenue 348.9 367.8 400.2 445.1 454.4 2% 30% Non-interest expenses 302.6 311.0 321.5 353.0 351.5 -0.4% 16% Income (loss) before income taxes 46.3 56.7 78.7 92.1 102.9 12% 122% Net i
Slide 5: Business segment results
Business segment results Net revenue and income (loss) before income taxes (billions of yen) FY2023/24 FY2024/25 1Q2Q3Q4Q1QQoQYoY Net revenue Wealth Management 92.1 98.9 102.6 108.8 114.0 5% 24% Investment Management 26.5 45.1 38.9 43.6 47.7 9% 80% Wholesale 190.9 204.1 217.0 254.2 244.8 -4% 28% Sub
Slide 6: Wealth Management net revenue and income before income taxes
Wealth Management Net revenue and income (loss) before income taxes Key points (billions of yen) FY2023/24 FY24/25 1Q2Q3Q4Q1Q QoQYoY Net revenue: Y114bn (+5% QoQ; +24% YoY) Income before income taxes: Y42.3bn (+9% QoQ; +84% YoY) Income before income taxes at highest level in nine years since FY2015/
Slide 7: Wealth Management: Total sales increased underpinned by diverse product and service offering
Wealth Management: Total sales increased underpinned by diverse product and service offering Total sales1 Discretionary investments, Insurance products Investment trusts Bonds Stocks (billions of yen) 7,000.0 6,000.0 5,000.0 4,000.0 3,000.0 2,000.0 1,000.0 0.0 FY2023/24 1Q 2Q 3Q4Q FY2024/25 1Q Total
Slide 8: Wealth Management: KPI summary
Wealth Management: KPI summary Net inflows of recurring revenue assets1 Recurring revenue assets and recurring revenue2 Higher net inflows of recurring revenue assets primarily into investment trusts and discretionary investments thanks to broad product and service offering Recurring revenue assets
Slide 9: Investment Management net revenue and income before income taxes
Net revenue and income (loss) before income taxes Key points (billions of yen) FY2023/24 FY24/25 QoQ YoY 1Q2Q3Q4Q1Q Net revenue: Y47.7bn (+9% QoQ; +80% YoY) Income before income taxes: Y23.2bn (+31% QoQ; 6.4x YoY) Stable business revenue at highest level since division established in April Net reven
Slide 10: Assets under management (net)
Assets under management (net)1 (trillions of yen) 100.0 Investment advisory and international businesses, etc. Investment trust business 89.0 92.5 78.5 Assets under management at record high of Y92.5trn Investment trust business Net inflows: Investment trusts (excl. ETFs, MRFs, etc.) Y410bn; ETFs 80
Slide 11: Wholesale net revenue and income before income taxes
Net revenue and income (loss) before income taxes Key points Net revenue: Y244.8bn (-4% QoQ; +28% YoY) Income before income taxes: Y21.1bn (+3% QoQ; 10.1x YoY) Net revenue remained strong despite slowing QoQ In Global Markets, Macro Products was flat QoQ, while Spread Products revenues reported stro
Slide 12: Wholesale: Global Markets net revenue
Net revenue Key points Net revenue: Y207.7bn (+2% QoQ; +29% YoY) Fixed Income revenues grew 3% QoQ driven by stronger revenues in Spread Products such as Credit and Securitized Products Equities revenues remained roughly unchanged QoQ as higher revenues in Execution Services offset a slowdown in Equ
Slide 13: Wholesale: Investment Banking net revenue
Net revenue (billions of yen) Leveraged Japan strengths on multiple high-profile deals Advisory Financing 40.0 Financing, Solutions, etc. Collaborated across regions to win multiple cross-border mandates Supported clients’ global fundraising needs driven by 20.0 0.0 FY2023/24 FY2024/25 Advisory Majo
Slide 14: Non-interest expenses
Other (billions of yen) 1,500 Full year Quarter 1,288.2 353.0 351.5 (billions of yen) 400 Key points Non-interest expenses: Y351.5bn (-0.4% QoQ) Business development expenses Occupancy and related depreciation Information processing and communications Commissions and floor brokerage Compensation and
Slide 15: Robust financial position
Robust financial position Balance sheet related indicators and capital ratios RWA and CET 1 capital ratio3 Mar 2024 Jun 2024 Total assetsY55.1trnY59.7trn Shareholders’ equityY3.4trnY3.5trn (trillions of yen) 20.0 RWA (Basel 3) (lhs)CET 1 capital ratio (Basel 3) (rhs) 16.6%16.5%16.3%16.2% 20.0% Gross
Slide 16: Financial Supplement
NOMURA Financial Supplement
Slide 17: Consolidated balance sheet
Consolidated balance sheet Consolidated balance sheet (billions of yen) Assets Mar 31, 2024 Jun 30, 2024 Increase (Decrease) Liabilities Mar 31, 2024 Jun 30, 2024 Increase (Decrease) Total cash and cash deposits 5,155 4,806 -349 Short-term borrowings 1,055 1,186 131 Total payables and deposits 6,490
Slide 18: Value at risk
Value at risk Definition 95% confidence level 1-day time horizon for outstanding portfolio Inter-product price fluctuations considered From April 1, 2023, to June 30, 2024 (billions of yen) Maximum:6.9 Minimum:5.2 Average:6.0 (billions of yen) FY2022/23 MarFY2023/24 MarFY2023/24 Jun Sep Dec MarFY202
Slide 19: Consolidated financial highlights
Consolidated financial highlights (billions of yen) Net income (loss) attributable to Nomura Holdings, Inc. (“NHI”) shareholders ROE(%) 200 150 100 50 92.8 3.1% 165.9 5.1% 10% 8% 6% 4% 2% 100 75 50 25 23.3 2.9% 35.2 3.6% 50.5 4.5% 56.8 5.1% 8.1% 68.9 10% 8% 6% 4% 2% 0 FY2022/23 0% FY2023/24 0 FY2023
Slide 20: Consolidated income
Consolidated income (billions of yen) FY2022/23 FY2023/24 FY2023/24 FY2024/25 Revenue 1Q 2Q 3Q4Q1Q Commissions279.9364.182.888.985.7106.7102.8 Fees from investment banking113.2173.331.138.655.248.341.3 Asset management and portfolio service fees271.7310.271.876.777.584.290.3 Net gain on trading563.3
Slide 21: Main revenue items
Main revenue items (billions of yen) FY2022/23 FY2023/24 FY2023/24 FY2024/25 Commissions 1Q 2Q 3Q 4Q 1Q Stock brokerage commissions 190.8 242.7 55.2 58.3 56.4 72.7 64.9 Other brokerage commissions 17.9 15.6 4.0 4.0 3.9 3.8 4.1 Commissions for distribution of investment trusts 30.3 56.2 13.4 14.0 13.
Slide 22: Consolidated results: Income before income taxes by segment and region
Consolidated results: Income (loss) before income taxes by segment and region Adjustment of consolidated results and segment results: Income (loss) before income taxes (billions of yen) Geographic information: Income (loss) before income taxes1 (billions of yen) FY2022/23 FY2023/24 FY2023/24FY2024/2
Slide 23: Segment "Other"
Segment “Other” Income (loss) before income taxes (billions of yen) 90 73.4 60 47.4 30 21.9 21.2 10.8 15.1 0 1 2345 -6.5 -30 FY2022/23 FY2023/24 FY2023/24 FY2024/25 Net gain (loss) related to economic 1Q 2Q 3Q 4Q 1Q -4.8 2.0 3.4 -8.9 7.6 0.0 -2.9 hedging transactions Realized gain (loss) on investme
Slide 24: Wealth Management related data (1)
Wealth Management related data (1) (billions of yen) FY2022/23 FY2023/24 FY2023/24 FY2024/25 1Q 2Q 3Q 4Q 1Q QoQ YoY Commissions112.5173.541.341.941.149.149.81.5%20.6% Of which, stock brokerage commission50.980.219.118.817.225.119.1-24.2%-0.4% Of which, commissions for distribution of investment trus
Slide 25: Wealth Management related data (2)
Wealth Management related data (2) Wealth Management client assets (trillions of yen) Other Foreign investment trusts Bond investment trusts Stock investment trusts Domestic bonds Foreign currency bonds Equities 160 120 80 40 0 122.2 153.5 133.3 134.4 135.9 153.5153.5 FY2022/23FY2023/24 FY2023/24 FY
Slide 26: Wealth Management related data (3)
Wealth Management related data (3) Net inflows of cash and securities1 (billions of yen) 1,600 Wealth Management total Retail only Wealth Management total Retail only 1,200 800 400 0 720 194 1,273 755 352 357 238 90 1,220 290 138 803 460 -400 -800 -656 FY2022/23 FY2023/24FY2023/24FY2024/25 1Q2Q3Q4Q1
Slide 27: Wealth Management related data (4)
Wealth Management related data (4) Number of accounts (thousands) FY2022/23 Mar FY2023/24 MarFY2023/24 Jun Sep Dec MarFY2024/25 Jun Accounts with balance 5,353 5,496 5,395 5,396 5,448 5,496 5,524 Equity holding accounts 2,993 2,972 2,976 2,962 2,964 2,972 2,978 NISA accounts opened1 1,632 1,780 1,68
Slide 28: Investment Management related data (1)
Investment Management related data (1) Net revenue and income (loss) before income taxes (bill Asset under management by company1 (tril 1. From June 2024, assets under management (gross) of Nomura Asset Management and Group company overlap assets decreased similarly due to the reorganization in the
Slide 29: Investment Management related data (2)
Investment Management related data (2) Asset inflows/outflows by business1 (billions of yen) FY2022/23 FY2023/24 FY2023/24 FY2024/25 1Q2Q3Q4Q1Q Investment trusts business1561,845649475-60780695 of which ETFs -25047342266-131296145 Investment advisory and international -916 businesses 1,915 1,064 118
Slide 30: Wholesale related data
Wholesale related data Net revenue and income (loss) before income taxes (billions of yen) FY2022/23 FY2023/24 FY2023/24FY2024/25 QoQ YoY 1Q2Q3Q4Q1Q Net revenue772.4866.1190.9204.1217.0254.2244.8-3.7%28.3% Non-interest expenses743.0812.2188.7195.8194.0233.6223.7-4.2%18.5% Income (loss) before income
Slide 31: Number of employees
Number of employees Japan Europe FY2022/23 Mar FY2023/24 MarFY2023/24 Jun Sep Dec MarFY2024/25 Jun 15,131 14,870 15,382 15,158 14,996 14,870 15,215 2,937 3,053 2,971 2,993 3,015 3,053 3,057 Americas 2,387 2,440 2,426 2,486 2,458 2,440 2,450 Asia and Oceania1 6,320 6,487 6,465 6,492 6,449 6,487 6,622
Slide 32: Disclaimer
Disclaimer This document is produced by Nomura Holdings, Inc. (“Nomura”). Nothing in this document shall be considered as an offer to sell or solicitation of an offer to buy any security, commodity or other instrument, including securities issued by Nomura or any affiliate thereof. Offers to sell, s
Slide 33: Nomura Holdings, Inc. www.nomura.com
Nomura Holdings, Inc. www.nomura.com