Monex Group, Inc. · TSE:8698

Monex — Q3 FY3/2002 Earnings Presentation

19 slides from Monex's earnings presentation, January 2002

  1. Slide 1: FYE 03/2002 3Q Financial Results

    Monex, Inc FYE 03/2002 3Q Financial Results January 2002 Forward-looking Statements Statements made at this presentation and in this material include forward-looking statements that are based on our current expectations, assumptions, estimates and projections about our business and the industry. The

  2. Slide 2: FY 3/2002 Financial Summary

    Monex, Inc FY 3/2002 Financial Summary ） (million Yen） FY 3/2001 FY3/2002 Apr.-Dec. Total Apr.-Dec. Total % chg Operating Revenue 2,246 2,486 +10.7% (Commission Revenue） 2,216 2,422 +9.3% Operating Expense 2,787 3,373 +21.0% Operating Loss 540 887 - Ordinary Loss 651 852 - Net Loss 688 921 - * P/L o

  3. Slide 3: FY 3/2002 Third Quarter Financial Summary

    Monex, Inc FY 3/2002 Third Quarter Financial Summary Year on Year ） (million Yen） FY 3/2001 FY3/2002 3Q 3Q % chg Operating Revenue 748 779 +4.1% (Commission Revenue） 743 762 +2.6% Operating Expense 923 1,217 31.7% Operating Loss 175 437 - Ordinary Loss 176 435 - Net Loss 187 452 - Quarter on Quarter

  4. Slide 4: Operating Revenue vs. Sales and General Administrative Expenses

    Monex, Inc Operating Revenue vs. Sales and General Administrative Expenses (million Yen) FEY 03/2001 FEY 03/2002 1Q 2Q 3Q 4Q 1Q 2Q 3Q Operating Revenue (1) 647 850 748 752 942 764 779 Sales and Administrative Expenses (2) 848 1,015 923 891 974 1,182 1,217 (1) / (2) 76% 84% 81% 84% 97% 65% 64% (milli

  5. Slide 5: Number of Customers' Accounts

    0 20,000 40,000 60,000 80,000 100,000 120,000 140,000 160,000 180,000 200,000 99 /1 0 14 99 ,6 /1 38 1 24 99 ,3 /1 76 2 33 00 ,6 /0 76 1 39 00 ,4 /0 22 2 45 00 ,6 /0 91 3 51 00 ,3 /0 10 4 56 00 ,5 /0 94 5 63 Number of Customers’ 00 ,4 /0 17 6 69 00 ,0 /0 56 7 79 00 ,4 /0 88 8 86 00 ,9 /0 02 9 91 ,7

  6. Slide 6: Cost to Acquire Customers' Accounts

    Monex, Inc Cost to Acquire Customers’ Customers’ Accounts Nu m be r of C u stom e rs' Accou n ts Acqu i re d 25,000 20,000 44,270 accounts 15,000 transferred from Saison 10,000 Securities are not 5,000 0 included in new FYE 03/2001 2Q 4Q 2Q accounts acquired for 1Q (Avg.） in FYE 03/2001. Adve rtisin

  7. Slide 7: Break-Even Analysis – Spreadsheet

    Monex, Inc Break- Break-Even Analysis – Spreadsheet 1. Divide major ite ms of SG & A into 2 categories (1) Variable (trade volume and number of accounts base) and (2) Fixed. Afte r excluding one-time cost, Outsourcing Expe nses are divided into three categorie s. FYE 03/2001 FYE 03/2002 Major Items

  8. Slide 8: Break-Even Analysis – Number of Trade

    Monex, Inc Break- Break-Even Analysis – Number of Trade Cost Number of Trade （Million Yen） ('000） 2Q: One-time cost and 1,000 fixed cost rose due to 2,000 867 strategic investments and 822 merger effect. 800 1,500 612 788 601 564 577 600 3Q: In line with the increase 441 441 465 in the number of cli

  9. Slide 9: Break-Even Analysis – Executed Deal Ratio

    Monex, Inc Break- Break-Even Analysis – Executed Deal Ratio B/E Executed Deal Ratio and Nikkei 225 Avg. 20000 20.0% 18000 18.0% 16000 16.0% Executed Deal Ratio Nikkei 225 Avg 14000 14.0% 12000 12.0% 10000 10.0% 8000 8.0% 6000 6.0% 4000 4.0% Due to merger with Saison sec. on Jun 30. 30 2000 2.0% 0 0.

  10. Slide 10: Correlation with Market

    Monex, Inc Correlation with Market Individual Trading Volume at TSE and Monex Clients'Trading Volume at TSE (index April 2000 =100) 200 180 160 140 120 100 80 60 40 20 0 Aug-00 Aug-01 Jun-00 Jun-01 Apr-00 Dec-00 Apr-01 Dec-01 Oct-00 Feb-01 Oct-01 9 Individual Trading Volume at TSE Monex, Inc.

  11. Slide 11: Monex Share Price vs. Nikkei 225

    20 00 0 20 40 60 80 100 120 140 160 180 200 2 0 /8 /4 00 /8 / 20 18 00 2 0 /9 /1 00 / 2 0 9 /15 00 2 0 /9 /29 00 / 2 0 1 0/1 3 00 / 2 0 1 0/2 7 00 / 2 0 1 1/1 0 00 /1 1 20 /2 00 4 Nikkei 225 Avg. Index 2 0 /1 2/8 （as of Jan. 18, 2002） 00 /1 2 / 20 2 2 01 20 / 1 Monex (Based on IPO price） 0 1 /5 /1 /

  12. Slide 12: Customers' Asset in Custody

    Monex, Inc Customers’ Customers’ Asset in Custody 8,000 21,000 19,000 7,000 17,000 15,000 6,000 13,000 11,000 5,000 4,184 9,000 4,021 4,000 3,745 2,919 3,000 2,459 2,451 1,938 2,000 1,306 3,185 3,030 2,745 1,000 1,924 1,911 2,226 1,510 1,021 0 MRF (quasi- 2 0 0 0 年3 月 6月 9月 12月 2 0 0 1 年3 月 6月 9月 12

  13. Slide 13: Investment Trust Business

    Monex, Inc Investment Trust Business Outstanding (billion Yen） Number of accounts 80.0 1,000 760 792 839 900 70.0 773 646 643 800 60.0 700 50.0 470 600 421 405 40.0 30.1 30.2 500 307 30.5 30.0 28.7 29.5 30.0 31.0 400 13.0 14.6 300 20.0 13.9 200 10.0 11.6 100 7.6 8.2 8.2 11.0 10.3 9.5 10.3 10.7 10.6

  14. Slide 14: Underwriting Business

    Monex, Inc Underwriting Business （issue） 18 Mon e x Underwriting 16 16 15 Expanding revenue 14 with keeping the cost at 12 low level 10 8 7 6 5 Aiming to raise 4 underwriting share, not 2 the number of deals 0 FY 01/3 FY 02/3 1Q FY 02/3 2Q FY 02/3 3Q Major issues and Monex’s share in coming quarter:

  15. Slide 15: Basic Direction: Over-all account – to expand and to reinforce

    Monex, Inc Basic Direction "Over-all account – to expand and to reinforce "Cash Management Account (Credit Card, ATM) Monex ≪Saison≫Card: 11,806 cards issued as of Jan. 18, 2002 (issuance started in July 2001) "Money Station (Account Aggregation) "Link-settlement (Connecting Money Transfer with bank

  16. Slide 16: Core Competence = Enlarging the Scale

    Monex, Inc Core Competence = Enlarging the Scale "Co-marketing with Credit Saison "Expanding Services and Contents "To reinforce information services "To connect Monex Nighter with more companies "To expand the number of mini-stocks "To strengthen a line-up of Investment Trust "To correspond to simp

  17. Slide 17: For More Profitability - Possible Theme to Study

    Monex, Inc For More Profitability - Possible Theme to Study "To pursue more profit and less cost by possible M & A "To charge to some part of Information Service "To activate existing accounts "Underwriting business : more deals as a lead-manage 16

  18. Slide 18: Supplementary Explanation: Margin Trade and Information Services

    Monex, Inc Supplementary Explanation: Margin Trade and Information Services Is it reasonable to pursue Monex type of Margin Trade to provide clients with a broader range of hedging tool? From protecting clients’ benefit point of view, we have provided a bear-fund only as a hedging tool. However, as

  19. Slide 19: http://www.monex.co.jp/

    MONEX http://www.monex.co,jp/

Monex Group — Q3 FY3/2002 Earnings Presentation on 6ix