Nomura Holdings, Inc. · TSE:8604
Nomura — Debt Investor Presentation (July 2013)
22 slides from Nomura's debt investor presentation, July 2013
Slide 1: Creditor Presentation
Creditor Presentation First Quarter, Fiscal Year Ending March 2014 Nomura Holdings, Inc. July 2013 © Nomura
Slide 2: Table of Contents
Table of Contents Executive Summary Overview of Results Retail, Asset Management, Wholesale Non-Interest Expenses Balance Sheet Management ¾ Financial Position ¾ Liquidity Profile ¾ Funding Profile Appendix Unless otherwise stated, conversion of Yen figures to U.S. Dollars has been calcu
Slide 3: Executive Summary
Executive Summary Firm-Wide Highlights Income Before Income Taxes Firm-wide (JPY bn) Solid firm-wide performance: Higher revenues and income YoY as Retail drove strong contribution 169.7 from Japan businesses Net revenue and income before income taxes declined QoQ due to the non-recurrence of on
Slide 4: Overview of Results
Overview of Results Quarter Key Points FYE2013 FYE2014 ( (JPY bn)) QoQ YoY Retail R t il (USD bn) 1Q 2Q 3Q 4Q 1Q – Net revenue Y166.3bn (+20% QoQ) 431.3 – Income before income taxes Y81.1bn (+42% QoQ) Net revenue 369.3 401.7 389.1 653.6 -34% +17% $4.35 9 Strong demand for equity related products o
Slide 5: Retail
Retail Net Revenue and Income Before Income Taxes Key Points Quarter Net revenue and income before income taxes both at highest level since fiscal yyear ended March 2002 FYE2013 FYE2014 – Total sales of approx. Y7trn (JPY bn) QoQ YoY – Strong demand for equity related products on back of market ra
Slide 6: Asset Management
Asset Management Net Revenue and Income Before Income Taxes Key Points Quarter Highest revenues since quarter ended March 2008 driven by growth in assets under (JPY bn) management and dividend income (USD bn) Income before income taxes at high level despite booking full career retirement FYE2013
Slide 7: Wholesale
Wholesale Net revenue and Income (Loss) Before Income Taxes Key Points (JPY bn) FYE2013 FYE2014 (USD bn) QoQ YoY Revenues in line with previous quarter driven by Japan 1Q 2Q 3Q 4Q 1Q – Equities and Investment Banking reported higher revenues on the back of improved market conditions and increased
Slide 8: Wholesale: Global Markets, Investment Banking
Wholesale: Global Markets, Investment Banking Net Revenue1 Net Revenue Investment Banking (Gross) (JPY bn) (JPY bn) Equities 173.1 32.2 33.3 33.4 44.1 47.2 165.3 QoQ Fixed Income 158.0 -4% Investment Banking (Net) 30.9 29.3 41.9 59.9 QoQ 120.7 67.8 YoY Other +23% 108.6 23.8 3.7 +52% 13 2 13.2 04 0.4
Slide 9: Non-Interest Expenses
Non-Interest Expenses F ll Year Full Y Q Quarter t K P Key Points i t Non-interest expenses: Y318.1bn (-34% (JPY bn) (JPY bn) 1,575.9 QoQ) 483.9 500 1,500 1,450.9 – NREH has been deconsolidated from Other 1Q resulting in significant firm-wide Business development 376.1 400 decline in expenses (par
Slide 10: Balance Sheet Management
Balance Sheet Management Balance Sheet (June 2013) Funding Profile B l Balance Sheet Sh Composition C ii Assets Liabilities / Equity Conservative Funding Profile Highly Liquid, Healthy Balance Sheet – Approx. 80% of unsecured funding3 is – 83% of assets are highly liquid trading long-term debt a
Slide 11: Robust Financial Position
Robust Financial Position Balance Sheet Related Indicators and Capital Ratios Risk Weighted Assets and Tier 1 Ratio RWA (Basel 2.5) (lhs) RWA (Basel 3) (lhs) (JPY trn) Tier 1 ratio (Basel 2.5) (rhs) Tier 1 ratio (Basel 3) (rhs) (As of June 2013) Total assets Y42.0trn 20 16.9% 20% 15.0% 15.1% Sha
Slide 12: Liquidity Profile
Liquidity Profile Liquidity Portfolio1: JPY6.3tn ($63bn), 15% of Total Assets Firm-Wide Liquidity Management Liquidity Portfolio (USD bn) LP/Total Assets 16% 16% Liquidity Stress Test ~ Quantify Liquidity Risk Tolerance 15% 15% 15% – The firm carries out its liquidity stress test daily in order to
Slide 13: Funding Profile
Funding Profile Maintaining both a diversified and less-credit-sensitive unsecured funding structure allows us the ability to withstand changes in lending climate Maturities of long-term debt are staggered and the weighted average life of the firm’s long-term debt1 is over 5 years We issued un
Slide 14: Appendix
NOMURA Appendix
Slide 15: Consolidated Balance Sheet
Consolidated Balance Sheet Millions of yen Millions of yen March 31, June 30, March 31, June 30, Increase/(Decrease) Increase/(Decrease) 2013 2013 2013 2013 ASSETS LIABILITIES AND EQUITY Cash and cash deposits: Short-term borrowings 738,445 973,036 234,591 Cash and cash equivalents 805,087 1,201,766
Slide 16: Consolidated Income
Consolidated Income F ll Year Full Y Q Quarter t (JPY bn) FYE2013 FYE2014 FYE2012 FYE2013 1Q 2Q 3Q 4Q 1Q Revenue Commissions 347.1 359.1 77.4 72.3 83.7 125.7 157.6 Fees from investment banking 59.6 62.4 10.4 17.1 13.0 21.8 25.4 Asset management and portfolio service fees 144.3 141.0 33.8 33.4 35.0 3
Slide 17: Consolidated Results: Income Before Income Taxes by Segment and Region
Consolidated Results: Income Before Income Taxes by Segment and Region Adj t Adjustment t off Consolidated C lid t d Results R lt and d Segment S t Results: R lt Income I (Loss) (L ) Before B f I Income T Taxes (JPY bn) FYE2013 FYE2014 FYE2012 FYE2013 1Q 2Q 3Q 4Q 1Q Retail 63.1 100.6 12.2 11.0 20.3
Slide 18: Segment "Other"
Segment “Other” Income (Loss) Before Income Taxes F ll Year Full Y Q Quarter t (JPY bn) (JPY bn) 60 50.1 60 35.2 40 40 17 0 17.0 7.3 20 20 6.6 0 0 -7.0 -20 -20 -40 -40 -60 -60 -80 -67.9 -80 FYE2013 FYE2014 FYE2012 FYE2013 1Q 2Q 3Q 4Q 1Q Net gain (loss) related to economic 8.4 1.0 -1.2 1.0 0.4 0.8 7.
Slide 19: Value at Risk
Value at Risk Definition From April 1, 1 2013 to June 30, 30 2013 (billions of yen) − 99% confidence level − Maximum: 7.9 − 1-day time horizon for outstanding portfolio − Minimum: 4.5 − Inter-product price fluctuations considered − Average: 6.1 (JPY bn) Mar 31, Jun. 30, Sep. 30, Dec. 31, Mar. 31
Slide 20: Number of Employees
Number of Employees Mar. 31,2012 Jun. 30,2012 Sep. 30,2012 Dec. 31,2012 Mar. 31,2013 Jun. 30,2013 Japan (excluding FA)1 19,598 20,197 20,039 19,877 14,123 14,654 Japan (FA) 2,011 2,014 1,981 1,951 1,907 1,911 Europe 4,014 3,975 3,940 3,747 3,618 3,485 Americas 2,420 2,423 2,425 2,316 2,271 2,240 Asi
Slide 21: Credit Ratings
Credit Ratings Standard & Moody’s Rating and Japan Credit As of June 30, 2013 Poor’s Investment Rating Agency Information Nomura Holdings, Inc. Long-term BBB+ Baa3 A+ AA- Short-term A-2 - a-1 - Outlook stable stable stable stable Nomura Securities Co., Ltd. Long-term A- Baa2 A+ AA- Short-term A-2 P-
Slide 22: 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, security commodity or other instrument, instrument including securities issued by Nomura or any affiliate th
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