Nomura Holdings, Inc. · TSE:8604
Nomura — FY2023/24 Earnings Presentation
34 slides from Nomura's earnings presentation, May 2, 2024
Slide 1: Consolidated Results of Operations, Fourth quarter, year ended March 2024
NOMURA Connecting Markets East & West We aspire to create a better world by harnessing the power of financial markets Consolidated Results of Operations Fourth quarter, year ended March 2024 (US GAAP) Nomura Holdings, Inc. 813479 STAMP 4 April 2024 © Nomura
Slide 2: Outline
NOMURA Outline Presentation Financial Supplement ï¬ Executive summary (p. 2-3) ï¬ Consolidated balance sheet (p. 17) ï¬ Overview of results (p. 4) ï¬ Value at risk (p. 18) ï¬ Business segment results (p. 5) ï¬ Consolidated financial highlights (p. 19) ï¬ Retail (p. 6-8) ï¬ Consolidated income (p. 20
Slide 3: Executive summary (1/2)
NOMURA Executive summary (1/2) FY2023/24 full year highlights Income before income taxes: Y273.9bn (+83% YoY); Net income1: Y165.9bn (+79% YoY); EPS2: Y52.69; ROE: 5.1% Three segment income before income taxes of Y236.8bn (+123% YoY) underpinned by gains across all divisions Retail income before inc
Slide 4: Executive summary (2/2)
NOMURA Executive summary (2/2) FY2023/24 4Q highlights Net revenue: Y445.1bn (+11% QoQ); Income before income taxes: Y92.1bn (+17% QoQ); Net income1: Y56.8bn (+12% QoQ); EPS2: Y18.02; ROE3 : 6.8% Three segment income before income taxes of Y77.1bn (+9% QoQ); Retail earnings momentum has continued si
Slide 5: Overview of results
Overview of results NOMURA Highlights (billions of yen, excluding EPS and ROE) FY2022/23 FY2023/24 FY2022/23 FY2023/24 4Q 1Q 2Q 3Q 4Q QoQ YoY Full year Full year YoY Net revenue 324.9 348.9 367.8 400.2 445.1 11% 37% 1,335.6 1,562.0 17% Non-interest expenses 302.2 302.6 311.0 321.5 353.0 10% 17% 1,18
Slide 6: Business segment results
Business segment results NOMURA Net revenue and income (loss) before income taxes (billions of yen) FY2022/23 FY2023/24 FY2022/23 FY2023/24 4Q 1Q 2Q 3Q 4Q QoQ YoY Full year Full year YoY Net revenue Retail 75.3 92.1 98.9 102.6 108.8 6% 44% 300.2 402.4 34% Investment Management 37.8 26.5 45.1 38.9 43
Slide 7: Retail
Retail NOMURA Net revenue and income before income taxes (billions of yen) Full year Quarter FY22/ FY22/ FY23/ FY2023/24 23 QoQ YoY 23 24 4Q 1Q 2Q 3Q 4Q Net revenue 300.2 402.4 75.3 92.1 98.9 102.6 108.8 6% 44% Non-interest expenses 266.7 279.7 65.5 69.1 69.9 70.7 70.0 -1% 7% Income before income 33
Slide 8: Retail: Strong sales growth across broad range of products and services
Retail: Strong sales growth across broad range of products and services Total Sales1 7000.0 Discretionary 6000.0 investments, Insurance products Investment trusts 5000.0 4000.0 Bonds 3000.0 2000.0 Stocks 1000.0 0.0 FY2022/23 FY2023/24 (billions of yen) 4Q 1Q 2Q 3Q 4Q Stocks 2,669.6 2,788.5 3,484.8 3
Slide 9: Retail KPI summary
Retail KPI summary Net inflows of recurring revenue assets1 Recurring revenue assets and recurring revenue2 Ongoing net inflows of recurring revenue assets driven by investment trusts, loans (trillions of yen) (billions of yen) and insurance Recurring revenue assets Recurring revenue (rhs) (billions
Slide 10: Investment Management
Investment Management Net revenue and income (loss) before income taxes Key points (billions of yen) Full year Quarter Full year Net revenue: Y154.1bn (+20% YoY) FY22/ FY22/ FY23/ FY2023/24 Income before income taxes: Y60.2bn (+38% YoY) 23 QoQ YoY 23 24- Stable business revenue continued to grow ste
Slide 11: Investment Management: AuM growth, private asset momentum
Investment Management AuM growth, private asset momentum Assets under management (net)1 (trillions of yen) Investment advisory and international businesses, etc. Assets under management at record high of Y89trn, trending above Investment trust business FY2024/25 KPI target of Y75.8trn 100.0 89.0 76.
Slide 12: Wholesale
Wholesale Net revenue and income (loss) before income taxes1 Key points Full year Quarter Full Year (billions of yen) Net Revenue: Y866.1bn (+12% YoY); Income before income taxes: Y53.9bn FY22 (+84% YoY) FY22 FY23 FY2023/24 /23 QoQ YoY Global Markets net revenue grew 8% YoY as Spread Products and Eq
Slide 13: Wholesale: Global Markets
Wholesale: Global Markets Net revenue Key points (billions of yen) Full Net year revenue: Y707.1bn (+8% YoY) as 800.0- in Fixed Spread Income Products net revenue and International increased 4% Wealth YoY Management solid momentum more than offset a slowdown in Macro Products Equity 200.0- Products
Slide 14: Wholesale: Investment Banking
Wholesale: Investment Banking Advisory Financing Business momentum remains strong, executed multiple high-Net revenue profile transactions (billions of yen) 60.0 Full year FY2023/24 4Q key transactions 160.0 (billions of yen) many Leveraged cross domestic -border/regional and international deals coo
Slide 15: Non-interest expenses
Non-interest expenses Full year Fourth quarter Key points (billions of yen) (billions of yen) Full year Non (+9% -interest YoY) expenses: Y1,288.2bn 1,500 400 1,288.2 353.0 Other – Compensation and benefits (+11% YoY) 1,186.1 311.0 321.5 Increase mainly due to yen 302.2 302.6 Business development de
Slide 16: Robust financial position
Robust financial position Balance sheet related indicators and capital ratios RWA and CET 1 capital ratio4 Mar 2023 Dec 2023 Mar 2024 (trillions of yen) RWA (Basel 3) (lhs) CET 1 capital ratio (Basel 3) (rhs) Total assets Y47.8trn Y54.8trn Y55.1trn 20.0 16.6% 16.5% 16.3% 16.2% 20.0% 16.3% Shareholde
Slide 17: Financial Supplement
Financial Supplement
Slide 18: Consolidated balance sheet
Consolidated balance sheet Consolidated balance sheet (billions of yen) Mar 31, Mar 31, Increase Mar 31, Mar 31, Increase 2023 2024 (Decrease) 2023 2024 (Decrease) Assets Liabilities Total cash and cash deposits 4,521 5,155 634 Short-term borrowings 1,009 1,055 46 Total payables and deposits 5,297 6
Slide 19: Value at risk
Value at risk Definition From April 1, 2023, to March 31, 2024 (billions of yen)- 95% confidence level- Maximum: 6.8- 1-day time horizon for outstanding portfolio- Minimum: 4.3- Inter-product price fluctuations considered- Average: 5.6 (billions of yen) FY2022/23 FY2023/24 FY2022/23 FY2023/24 Mar Ma
Slide 20: Consolidated financial highlights
Consolidated financial highlights Full year Quarter (billions of yen) (billions of yen) 200 8% 200 8% 165.9 Net income (loss) attributable to 150 6% 150 6% 5.1% 5.1% Nomura Holdings, Inc. (“NHI”) 4.5% shareholders 92.8 3.6% 100 4% 100 4% 3.1% 2.9% 3.1% ROE(%) 56.8 50.5 50 2% 50 2% 35.2 23.3 7.4 0 0%
Slide 21: Consolidated income
Consolidated income Full year Quarter (billions of yen) FY2022/23 FY2023/24 FY2022/23 FY2023/24 4Q 1Q 2Q 3Q 4Q Revenue Commissions 279.9 364.1 63.8 82.8 88.9 85.7 106.7 Fees from investment banking 113.2 173.3 28.0 31.1 38.6 55.2 48.3 Asset management and portfolio service fees 271.7 310.2 67.4 71.8
Slide 22: Main revenue items
Main revenue items Full year Quarter (billions of yen) FY2022/23 FY2023/24 FY2022/23 FY2023/24 4Q 1Q 2Q 3Q 4Q Stock brokerage commissions 190.8 242.7 41.3 55.2 58.3 56.4 72.7 Other brokerage commissions 17.9 15.6 4.0 4.0 4.0 3.9 3.8 Commissions Commissions for distribution of investment trusts 0 13.
Slide 23: 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 Full year Quarter (billions of yen) FY2022/23 FY2023/24 FY2022/23 FY2023/24 4Q 1Q 2Q 3Q 4Q Retail 33.5 122.7 9.8 22.9 29.0 31.9 38.8
Slide 24: Segment "Other"
Segment “Other” Income (loss) before income taxes Full year Quarter (billions of yen) 90 73.4 60 47.4 30 21.9 21.2 15.7 10.8 0 1 2 -63.5 4 5 -30 FY2022/23 FY2023/24 FY2022/23 FY2023/24 4Q 1Q 2Q 3Q 4Q Net gain (loss) related to economic -4.8 2.0 6.3 3.4 -8.9 7.6 0.0 hedging transactions Realized gain
Slide 25: Retail related data (1)
Retail related data (1) Full year Quarter (billions of yen) FY2022/23 FY2023/24 FY2022/23 FY2023/24 QoQ YoY 4Q 1Q 2Q 3Q 4Q Commissions 112.5 173.5 29.1 41.3 41.9 41.1 49.1 19.4% 68.7% Of which, stock brokerage commission 50.9 80.2 13.4 19.1 18.8 17.2 25.1 46.5% 86.9% Of which, commissions for distri
Slide 26: Retail related data (2)
Retail related data (2) Retail client assets (trillions of yen) 160 153.5 153.5 Other 140 133.3 134.4 135.9 Foreign investment 120 122.2 122.2 trusts Bond investment 100 trusts Stock investment 80 trusts 60 Domestic bonds Foreign currency 40 bonds 20 Equities 0 FY2022/23 FY2023/24 FY2022/23 FY2023/2
Slide 27: Retail related data (3)
Retail related data (3) Net inflows of cash and securities1 (billions of yen) Full year Quarter Corporates Individuals Corporates Individuals 1,400 1,400 1,200 1,200 1,000 1,000 800 800 600 600 400 400 200 200 0 0 -200 -200 -400 -400 -600 -600 -800 -800 FY2022/23 FY2023/24 FY2022/23 FY2023/24 4Q 1Q
Slide 28: Retail related data (4)
Retail related data (4) Number of accounts (thousands) FY2022/23 FY2023/24 FY2022/23 FY2023/24 Mar Mar Mar Jun Sep Dec Mar Accounts with balance 5,353 5,496 5,353 5,395 5,396 5,448 5,496 Equity holding accounts 2,993 2,972 2,993 2,976 2,962 2,964 2,972 NISA accounts opened (accumulated)1 1,632 1,780
Slide 29: Investment Management related data (1)
Investment Management related data (1)Full year Quarter FY2022/23 FY2023/24 (billions of yen) FY2022/23 FY2023/24 QoQ YoY 4Q 1Q 2Q 3Q 4Q Business revenue 120.7 137.2 28.7 32.5 33.4 33.3 38.0 14.0% 32.2% Investment gain/loss 7.9 16.9 9.1 -6.0 11.7 5.6 5.6 -0.9% -38.7% Net revenue 128.6 154.1 37.8 26.
Slide 30: Investment Management related data (2)
Investment Management related data (2) Asset inflows/outflows by business1 Full year Quarter FY2022/23 FY2023/24 (billions of yen) FY2022/23 FY2023/24 4Q 1Q 2Q 3Q 4Q Investment trusts business 156 1,845 -358 649 475 -60 780 of which ETFs -250 473 -221 42 266 -131 296 Investment advisory and -916 1,9
Slide 31: Wholesale related data
Wholesale related data Full year Quarter (billions of yen) FY2022/23 FY2023/24 FY2022/23 FY2023/24 QoQ YoY 4Q 1Q 2Q 3Q 4Q Net revenue 772.4 866.1 178.8 190.9 204.1 217.0 254.2 17.2% 42.1% Non-interest expenses 743.0 812.2 193.1 188.7 195.8 194.0 233.6 20.4% 21.0% Income (loss) before income taxes 29
Slide 32: Number of employees
Number of employees FY2022/23 FY2023/24 FY2022/23 FY2023/24 Mar Mar Mar Jun Sep Dec Mar Japan 15,131 14,872 15,131 15,382 15,158 14,996 14,872 Europe 2,937 3,053 2,937 2,971 2,993 3,015 3,053 Americas 2,387 2,440 2,387 2,426 2,486 2,458 2,440 Asia and Oceania1 6,320 6,488 6,320 6,465 6,492 6,449 6,4
Slide 33: 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 34: Nomura Holdings, Inc. www.nomura.com
Nomura Holdings, Inc. www.nomura.com