Sbi Holdings Incorporated · TSE:8473
Sbi — Sbi Holdings Inc Ord — FY2023 Earnings Presentation
163 slides from Sbi's earnings presentation, May 11, 2024
Slide 1: SBI Holdings, Inc. FY2023 Financial Results
Strategic Business Innovator SBI Holdings, Inc. FY2023 Financial Results (Fiscal Year Ended March 31, 2024) May 10, 2024 [Unauthorized reproduction is prohibited] 0
Slide 2: Disclaimer
The items in this document are provided as information related to the financial results and the business strategy of the SBI Group companies and not as an invitation to invest in the stock or securities issued by each company. The business collaboration with SBI Shinsei Bank described in this docume
Slide 3: Agenda
I. FY2023 Consolidated Performance II. SBI Group’s dramatic growth is being achieved through business operations that maximize the organizational advantages of its business ecosystem [Unauthorized reproduction is prohibited] 2
Slide 4: I. FY2023 Consolidated Performance
I. FY2023 Consolidated Performance [Unauthorized reproduction is prohibited] 3
Slide 5: FY2023 Consolidated Performance (IFRS)
FY2023 Consolidated Performance (IFRS) [Year-on-year comparison] (Unit: JPY million) FY2022 FY2023 YoY % (Apr. 2022 – Mar. 2023) (Apr. 2023 – Mar. 2024) change Revenue 956,977 Record high* 1,210,504 +26.5 Profit before income tax expense 102,140 141,569 +38.6 Profit for the period 71,696 113,616 +58
Slide 6: Consolidated Performance Overview
[Consolidated Performance Overview] • Revenues increased 26.5% year-on-year to JPY 1,210.5bn, which is a record high. This was largely due to an increase in revenue from the Financial Services Business (increased 22.0% year-on-year to JPY 1,031.4bn) • Profit before income tax expense increased 38.6%
Slide 7: Comparison with Major Securities Companies
Comparison of Consolidated Profit Before Income Tax Expense with Major Securities Companies (JPY million) FY 2022 FY 2023 YoY % (Apr. 2022 - Mar. 2023) (Apr. 2023 – Mar. 2024) change Profit before income 102,140 141,569 +38.6 tax Expense SBI Holdings （IFRS） ROE(%) 3.7 7.7 +4.0pt P/B Ratio* 0.70 0.91
Slide 8: FY2023 Performance by Segment (IFRS)
FY2023 Performance by Segment (IFRS) [Year-on-year comparison] (Unit: JPY million) Revenue Profit Before Income Tax Expense FY2022 FY2023 YoY change FY2022 FY2023 YoY change (Apr. 2022– (Apr. 2023– (%) (Apr. 2022– (Apr. 2023– (%) Mar. 2023) Mar. 2024) Mar. 2023) Mar. 2024) Financial Services 845,166
Slide 9: Year-end Dividend for FY2023
Year-end Dividend for FY2023 ■ Dividend per share Payout Interim Year-end Full-year ratio (%) JPY 130 FY2023 JPY 30 (Including JPY 10 commemorative dividend to celebrate the 25th JPY 160 50.6 anniversary since the Company’s founding) FY2022 JPY 30 JPY 120 JPY 150 112.0 (JPY) Dividend Per Share *2 In
Slide 10: Basic Shareholder Return Policy
The Company’s Basic Shareholder Return Policy • The Company determines a total shareholder return ratio, which is the sum of dividend payouts and share buybacks, of approximately 30% of the profit before income tax expense attributable to Financial Services Business excluding extraordinary factors s
Slide 11: Shareholder Benefits for FY2023
Consistent with Following the Previous Fiscal Year, Conducting Shareholder Benefits for FY2023 [Details of shareholder benefits] *Shareholders listed or recorded in the shareholder register as of Mar. 31, 2024, are eligible Qualified Shareholders who have held For shareholders other than on the shar
Slide 12: Shareholders Composition Has Become More Balanced
SBI Group’s Shareholders Composition Has Become More Balanced (As of the end of March 2024) Total number of shareholders is 243,392 , of which the number of shareholders who hold one unit or more is 172,761 *1 Shareholding ratio of domestic and foreign institutional investors is 56.9% （％） Trends
Slide 13: Business Overview of Each Business Segment
[Business Overview of Each Business Segment] [Unauthorized reproduction is prohibited] 12
Slide 14: Financial Service Business
1. Financial Service Business [Financial Service Business Consolidated Results (IFRS)] (Unit: JPY million) FY 2022 FY 2023 YoY (%) (Apr. 2022 – Mar. 2023) (Apr. 2023 – Mar. 2024) Revenue 845,166 1,031,439 +22.0 Profit before income tax expense 152,040 164,981 +8.5 Profit before income tax expense in
Slide 15: Financial Services: Securities business
1. Financial Services Business: (1) Securities business [Major constituent companies] SBI SECURITIES, SBI Liquidity Market, SBI FXTRADE, SBI MONEYPLAZA, PTS operating companies, overseas securities subsidiaries, etc. [Business highlights] • SBI SECURITIES’ consolidated results (J-GAAP) for FY 2023 r
Slide 16: SBI SECURITIES FY2023 Consolidated Results
1. (1) Securities business SBI SECURITIES FY2023 Consolidated Results (J-GAAP) [Year-on-year comparison] (Unit: JPY million) FY2022 FY2023 YoY % (Apr. 2022 – Mar. 2023) (Apr. 2023 – Mar. 2024) change Operating Revenue 175,053 Record high 203,398 +16.2 Net Operating Revenue 161,570 Record high 182,75
Slide 17: Financial Services: Banking Business
1. Financial Services Business: (2) Banking Business [Major constituent companies] SBI Shinsei Bank Group, SBI Sumishin Net Bank, SBI ARUHI (Company name changed in January 2024), overseas banks including SBI SAVINGS BANK [Business highlights] • SBI Shinsei Bank recorded net profit attributable to o
Slide 18: Results of Companies in the Banking Business
Results of the Companies in the Banking Business (Profit Before Income Tax Expense) (Unit: JPY 100m) FY2022 FY2023 (Apr. 2022 – Mar. 2023) (Apr. 2023 – Mar. 2024) SBI Shinsei (J-GAAP) 517 629 Bank (IFRS on SBI Holdings intake basis） 547 571 SBI Sumishin Net Bank (IFRS on SBI Holdings intake basis/eq
Slide 19: Performance of SBI SAVINGS BANK
Performance of SBI SAVINGS BANK (in South Korea) Profit Before Income Tax Expense (IFRS) 23,946 YoY (Unit: JPY million) -47.8% 12,498 FY2022 FY2023 • In the current quarter (2024 Jan.-Mar.), earnings were down due to an increase in the burden of bad debt write-offs due to decline in soundness of per
Slide 20: Changes in Indicators After Becoming a Subsidiary
Changes in Indicators After Becoming a Subsidiary (K-GAAP) * Converted at KRW 1 = JPY 0.11 (Unit: KRW (％) billion) Delinquency rate Total Assets 18,000 180,000 for all loans KRW 14,679.3bn 51.6％ (Approx. JPY 16,000 160,000 1,614.7bn) 50 14,000 140,000 12,000 120,000 Balance of performing loans 40 KR
Slide 21: Financial Services: Insurance business
1. Financial Services Business: (3) Insurance business [Major constituent companies] SBI Insurance Group, SBI Insurance, SBI Life Insurance, Small-amount short-term insurance companies [Business highlights] • SBI Insurance Group’s consolidated operating revenue for FY2023 (J-GAAP), increased 13.8%Yo
Slide 22: SBI Insurance Group's Consolidated Performance
1. (3) Insurance business SBI Insurance Group’s Consolidated Performance Consolidated results for FY2023 (J-GAAP) (Unit: JPY million) FY2022 FY2023 YoY % (Apr.2022 – Mar. 2023) (Apr.2023 – Mar. 2024) change Ordinary income 96,110 Record high 109,339 +13.8 Record Ordinary profit 6,308 high 8,236 +30.
Slide 23: Total Number of In-Force Contracts
1.(3) Insurance business SBI Insurance Group’s Total Number of In-Force Contracts CAGR 14.3% Sept. 2023 Jyumin Seikatsu Shotan, a (the end of Mar. 2016 - provider of home equipment the end of Mar. 2024) insurance, joined the Group (million contracts) SBI JOGUCHI SAFETY 3.00 SSI 2.81 joined the Group
Slide 24: Asset Management Business
2. Asset Management Business [Major constituent companies] SBI Global Asset Management (SBIGAM), SBI Asset Management (SBIGAM subsidiary), Wealth Advisor (SBIGAM subsidiary), SBI RHEOS HIFUMI, SBI Okasan Asset Management [Asset Management Business Consolidated Results (IFRS)] (JPY million) FY2022 FY
Slide 25: Consolidated Results of SBI Global Asset Management
2. Asset Management Business: Consolidated Results of SBI Global Asset Management Consolidated Financial Results for the FY2023 (J-GAAP) FY2022 FY2023 YoY(%)/ (Unit: JPY million) (Apr. 2022-Mar. 2023) (Apr. 2023-Mar. 2024) YoY amount Net sales 8,747 Record High 10,137 +15.9 Ordinary income 2,458 Rec
Slide 26: SBI Global Asset Management AUM Surpasses JPY 6tn
2. Asset Management Business: SBI Global Asset Management Group’s Asset Under Management Surpasses JPY 6tn -Steady inflows into publicly offered index funds and low-cost active funds contributed to the significant increase in assets under management- Publicly offered active funds Publicly offered pa
Slide 27: Results for SBI RHEOS HIFUMI and SBI Okasan Asset Management
2. Asset Management Business: Financial Results for SBI RHEOS HIFUMI and SBI Okasan Asset Management Consolidated Results (J-GAAP) (JPY million) FY2022 FY2023 YoY(%) (Apr. 2022-Mar. 2023) (Apr. 2023-Mar. 2024) Operating Revenue 9,660 10,309 +6.7 Ordinary Revenue 1,625 1,797 +10.6 Profit Attributable
Slide 28: SBI Group's Asset Under Management Nears JPY 10tn
2. Asset Management Business: SBI Group’s Asset Under Management Nears JPY 10tn （JPY billion） JPY 9,809.3bn 10,000 SBI Okasan Asset Management SBI Okasan SBI RHEOS HIFUMI Asset 9,000 SBI Global Asset Management Group Management JPY 1,716.3bn Private equity, etc. 8,000 SBI RHEOS Nov. 2022 HIFUMI 7,00
Slide 29: Investment Business
3. Investment Business [Major constituent companies/businesses] Private Equity Business, SBI Leasing Services [Investment Business Consolidated Results (IFRS)] (Unit: JPY million) FY2022 FY2023 YoY change (Apr. 2022–Mar. 2023) (Apr. 2023–Mar. 2024) (%) Revenue 36,684 88,353 140.8 Profit before incom
Slide 30: IPOs and M&As of Investee Companies
3. Investment Business IPOs and M&As of the SBI Group Investee Companies Full-year FY2024 Full-year FY2023 forecast IPO・M&A deals 21 45 During the fiscal year, concluded either IPO or M&A of 21 companies EXIT Date Company Market EXIT Date Company Market M&A (listed KOSDAQ Apr. 12, 2023 ispace, inc.
Slide 31: Assets Under Management of the SBI Group
3. Investment business Assets Under Management of the SBI Group (As of the end of Mar. 2024) (*1) Private equity, etc. JPY 797.7 bn (Excluding JPY 356.6 bn of both cash and commitment amount(*2) to be paid in) Breakdown of operating investment Balance Breakdown of operating Balance securities by Ind
Slide 32: SBI Leasing Services' Consolidated Performance
3. Investment Business SBI Leasing Services’ Consolidated Performance FY2023 Consolidated Performance (J-GAAP) (Unit: JPY million) FY2022 FY2023 YoY % (Apr. 2022 - Mar. 2023) (Apr. 2023 - Mar. 2024) change Revenue 39,572 54,146 +36.8 Operating income 4,025 5,310 +31.9 Ordinary income 3,532 4,944 +40
Slide 33: Crypto-asset Business
4. Crypto-asset Business [Major constituent companies / business] SBI VC Trade, BITPoint Japan, B2C2, crypto asset mining business, HashHub [Crypto-asset Business Consolidated Performance (IFRS)] (Unit: JPY million) FY2022 FY2023 YoY(%) (Apr. 2022-Mar. 2023) (Apr. 2023-Mar. 2024) Revenue 30,320 57,1
Slide 34: Crypto Asset Companies' Performance Surges
4. Crypto-asset Business Crypto Asset-related Companies’ Performance Surges as they Capitalize on Growth in the Crypto Asset Market Crypto Asset Trading Volume*1 and Performance of the Crypto-asset Business in Japan Domestic crypto asset volume March 2024 BTC surpasses JPY10m (JPY million) June 2022
Slide 35: B2C2 Revenue Increase
4. Crypto-asset Business B2C2, One of the Largest Crypto Asset Market Makers in the World has Realized Large Increase in Revenue B2C2 Revenue and Bitcoin (BTC) Volume on the World’s Major Crypto Asset Exchanges B2C2’s quarterly revenue (Revenue of 1Q FY2023 indexed as 1.0)(Left axis) Bitcoin (BTC) v
Slide 36: Next Gen Business
5. Next Gen Business [Major constituent businesses] Biotechnology, Healthcare & Medical Informatics businesses, Semiconductor Business and other businesses including Web3 [Next Gen Business Segment Consolidated Performance (IFRS)] (Unit: JPY million) FY2022 FY2023 YoY % change (Apr. 2022 – Mar. 2023
Slide 37: Profit before Income Tax of Biotechnology, Healthcare Businesses
5, Nest Gen Business： Profit before Income Tax Expense of the Biotechnology, Healthcare & Medical Informatics Business Companies (IFRS) (JPY million) FY2022 FY2023 (Apr. 2022 – Mar. 2023) (Apr. 2023 – Mar. 2024) SBI Biotech -205 -271 5-ALA-related business* -929 -1,977 SBI Pharmaceuticals -1,245 -2,
Slide 38: SBI Group's Dramatic Growth Through Business Ecosystem
II. The SBI Group’s dramatic growth will be achieved through business operations that maximize the organizational advantages of its business ecosystem 1. Positive effects of ZERO Revolution by SBI SECURITIES 2. The Results of Synergy between SBI Shinsei Bank and the SBI Group 3. Generating mutual sy
Slide 39: Positive Effects of ZERO Revolution by SBI SECURITIES
1. Positive effects of ZERO Revolution by SBI SECURITIES (1) The main factors contributing to an increase in revenue while covering lost revenue of JPY 15.8bn in the second half of FY2023 in the consolidated results of SBI SECURITIES (2) Positive effects has rippled through the financial business ec
Slide 40: Main Factors Covering Lost Revenue of JPY 15.8bn
(1) The main factors contributing to an increase revenue while covering lost revenue of JPY 15.8bn in the second half of FY2023 in the consolidated results of SBI SECURITIES ① Measures which SBI SECURITIES has taken to diversify revenue streams for over four years offset the decline in revenue due t
Slide 41: Diversified Revenue Streams Offset ZERO Revolution Decline
① Measures which SBI SECURITIES has taken to diversify revenue streams for over four years offset the decline in revenue due to ZERO Revolution [Unauthorized reproduction is prohibited] 40
Slide 42: Estimated Loss of JPY 15.8bn in Operating Profit
Estimated Loss of JPY 15.8bn in Operating Profit in FY2023 at SBI SECURITIES due to the ZERO Revolution 【FY2023 results】 (Unit: JPY million) 1Q 2Q 3Q 4Q Full year Operating revenue 51,050 51,040 49,643 51,664 203,399 YoY + 33.9% + 19.5% + 8.5% + 6.6% + 16.2% Operating income 18,399 18,645 16,122 15,
Slide 43: Like-for-like Comparison of Major Brokerage Companies
Like-for-like Comparison of Financial Results of Major Brokerage Companies for FY2023 (JPY million) Profit attributable to Operating profit Ordinary profit owners of the Company 1 Nomura Securities (non-consolidated) 148,901 148,771 104,306 2 Daiwa Securities (non-consolidated) 84,034 86,369 57,186
Slide 44: Revenue Increase Despite Losing JPY 15.8 Billion
SBI SECURITIES Achieved YoY Increase in Revenue Despite Losing JPY 15.8 Billion (estimated) in Revenue due to ZERO Revolution <SBI SECURITIES’ Consolidated Operating Revenue (Net Sales) Structure for FY2023> YoY +16.2% (JPY million) 203,398 Others 31 （0％） 200,000 175,053 69 （0％） Financial revenues 6
Slide 45: 4Q Revenue Higher than 2Q Before ZERO Revolution
SBI SECURITIES’ Revenue in 4Q FY2023 are Higher than its Revenue in 2Q FY2023 before the start of ZERO Revolution -The result of ZERO Revolution has clearly appeared - <Comparison of Quarterly Consolidated Operating Revenue (JPY million) (net sales) Before and After the Starts of ZERO Revolution> Yo
Slide 46: Margin Trading Open Interest and Financial Revenue Record Highs
Margin Trading Open Interest Credit Balance and Financial Revenue Achieved Record Highs <Trend of Open Interest Credit Balance (EOM) and Number of Margin Accounts> <Trend of Financial Revenue> YoY (thousand accounts) (JPY billion) +41.9%JPY1,989.2bn 18,798 2000 The first major online 1,600 (JPY YoY
Slide 47: Investment Trust Balance and Fees Record Highs
Investment Trust Balance and Investment Trust Fees has Steadily Increased and Achieved Record Highs <Investment Trust Balance>* <Investment Trust Fees> (JPY million) Record Record high (JPY billion) high 12,327.4 YoY 2,901 12,000 2,900 +40.2% 10,000 2,563 2,514 8,000 6,944.5 2,300 2,271 6,000 5,571.
Slide 48: Demand for Investment Trust Expected to Expand
The Demand for Investment Trust is Expected to Further Expand Among the Trend “from Savings to Investment” Due to the spread of individual investors as a result of the ZERO Revolution and new NISA, the monthly accumulation amount of investment trust has steadily exceeded and reached JPY 211.1bn as o
Slide 49: SBI Wrap Surpasses JPY 97.8bn in AUM
“SBI Wrap,” a Fully Automated Discretionary Investment Service, Has Surpassed JPY 97.8bn in AUM and 120,000 Applications in Just Over Two Years Since the Service Launch • SBI SECURITIES and FOLIO jointly developed “SBI Wrap” service using “4RAP”, a discretionary investment management system platform
Slide 50: Revenue from Foreign Stocks Record High
Revenue from Foreign Stocks Reached a Record High <Foreign Stocks (including foreign ETFs)> • Handles stocks from China, Korea, Russia, Vietnam, Indonesia, Singapore, Thailand, and Malaysia, in addition to 5,400 U.S. stocks which is the Industry-leading level • Released “Real-time U.S. Stock Prices,
Slide 51: Futures, Options and Individual Stock Options
The Service Environment for Futures and Options and Individual Stock Option Has also Expanded [Futures・options trading] [Individual stock options trading] • Futures and options trading including content • Individual stock options trading are offered in a structure targeted to new customers for the n
Slide 52: Trend of Trading Revenue at SBI SECURITIES
Trend of Trading Revenue at SBI SECURITIES (consolidated) -FX revenue and foreign bond sales made a significant contribution- Record FX revenue high (JPY million) Crypto-asset trading revenue Others (revenue through foreign currency bond, etc) YoY 60,000 56,290 ＋9.2% 50,222 51,551 50,000 46,670 40,0
Slide 53: Sales of Foreign Currency Bonds
Sales of Foreign Currency Bonds Remained at a High Level <Trend of Quarterly Sales of Foreign Bonds> Yen-dominated bonds sales (JPY billion) Foreign currency bonds sales 120 100.2bn 80 80.1bn 40 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q FY2021 FY2022 FY2023 Higher US interest rates led to 50% YoY increase in
Slide 54: Acquiring New Customer Segments and Products
② Further increase revenue by acquiring new customer segment and offering new products and services [Unauthorized reproduction is prohibited] 53
Slide 55: Strengthening Wealth Management Initiatives
SBI SECURITIES Strengthens its Wealth Management Business Initiatives Expansion of customer base resulted in more diverse customer needs • High net sales customers with over JPY 100m in assets under management grew 90% in the year before and after the Zero Revolution (Mar. 2023 to Mar. 2024). Those
Slide 56: Strengthening the IFA Business
Strengthening the IFA Business IFA Course were launched in Aug. 2009 to meet the needs for “trusted advisers to consult on asset management” Seminars are held on regularly, in addition to consultation by visiting the customers and on telephone Number of new accounts opened in 4Q FY2023 was Reven
Slide 57: Consistent IPO Underwriting System
Further Strengthen the Consistent IPO Underwriting System by Utilizing Functions within the Group -Collaboration with SBI Shinsei Bank Group enables flexible support in terms of both equity and debt in line with the growth phase of the investee companies- Venture capital [SBI SECURITIES] [SBI MONEY
Slide 58: Highest IPO Underwriting Share Since FY2012
SBI SECURITIES Has Been Maintaining the Highest IPO Underwriting Share in the Industry Since FY2012 -Steady growth in POs and corporate bond underwriting- IPO Underwriting Ranking (Apr. 2023 – Mar. 2024) • Between Apr. 2023 and Mar. 2024, 99 companies were listed during the period SBI SECURITIES und
Slide 59: Strengthening M&A Business Targeting SMEs
Strengthening M&A Business targeting SMEs M&A Advisory [SBI TSUJI HONGO M&A] [SBI SECURITIES] Division • SBI M&A Solutions and TSUJI HONGO • Provides advice on acquisitions, sales, M&A SOLUTION merged in Oct. 2023 management integration, MBO, industry (investment ratio: SBI SECURITIES 51%, reorganiz
Slide 60: Launched SBI Cross Spot-trade Matching Service
Launched “SBI Cross”, a Spot-trade Matching Service for Domestic Stocks ● As a new intermediary dealing in SOR (smart order routing) trades, on April 22, 2024, started connecting to SBI Cross (Dark Pool) run by SBI Neotrade Securities ● A service executed on ToSNet that matches customer orders to th
Slide 61: Positive Effects Rippled Through Financial Ecosystem
（2） Positive effects has rippled through the financial ecosystem in terms of an expanded customer base and increased market share ① The ZERO Revolution further accelerates the pace of SBI SECURITIES’ customer acquisition ② Started early on building a system structure enable to withstand the expected
Slide 62: ZERO Revolution Accelerates Customer Acquisition
① The ZERO Revolution further accelerates the pace of SBI SECURITIES’ customer acquisition [Unauthorized reproduction is prohibited] 61
Slide 63: Customer Base Expanding at Rapid Pace
SBI Group’s Customer Base is Expanding at a Rapid Pace <Number of Accounts of SBI SECURITIES Group and (thousand of Major Face-to-face Securities Companies> CAGR：% accounts) (end of Mar. 2009 – end of Mar. 2024) 12,452 (End of Mar.2009 - end of Mar. 2024） 11,500 13.5 9,500 SBI 7,500 Nomura 5,496 1.4
Slide 64: New Accounts Opened Higher after ZERO Revolution
Number of New Accounts Opened is One Step Higher after the ZERO Revolution <Trend of Quarterly Number of New Accounts Opened> Record Apr. 2021: Sept. 22, 2023: Program to virtually high Announced “ZERO (thousand of accounts) eliminate commissions Revolution part two” 800 of domestic stock 766 Dec. 2
Slide 65: Share of Trading Value Increasing Rapidly
SBI Group’s Share of Trading Value Has been Increasing Rapidly Following the Start of ZERO Revolution <Trend in Share (quarter) of <(of which) Trend in Share (quarter) of Individual Stock Trading Value*> Individual Margin Trading Value*> Record Record 55.0 high high 55.2 55.0 52.1 50.0 50.0 46.4 45.
Slide 66: Customer Acquisition through Alliances
Acquisition of the Customer Base through Alliances also Increased with the Start of the ZERO Revolution SBI SECURITIES’ past alliances Conclusion of financial instruments intermediary business with regional financial institutions and provision of real-time deposit and withdrawal services Provisi
Slide 67: Customers Acquired through SMBC Group
High Growth in Number of Customers Acquired through Cooperation with SMBC Group • The number of new account applied through the alliance with SMBC Group in Mar. 2024 achieved +15% compared to the previous month • All following indicators going well: the balance of deposit assets, profits from the al
Slide 68: Multi-card Strategy Contributes to Customer Acquisitions
Multi-card Strategy also Contributed to an Increase in Number of Customer Acquisitions • SBI SECURITIES allows accumulation-type fund investment with a total of seven credit cards: Sumitomo Mitsui Card, Takashimaya Card, Tokyu Card, APLUS, UCS Card (Credit Cards of Pan Pacific International), JFR Ca
Slide 69: Multipoint Ecosystem Established
Multipoint Ecosystem Has Been Successfully Established SBI SECURITIES has established multipoint ecosystem where the customers can choose the shared points they are most likely to use by cooperating with various companies outside the Group through open alliance Saving points by opening accounts and,
Slide 70: Seeking Top Position in NISA Accounts
SBI SECURITIES Seeks the Top Position in Number of NISA Accounts with ZERO Revolution Part Two <Trend of the Number of NISA Accounts> Number of NISA accounts have rapidly (Mar. 2016– Mar. 2024) increased due to the spreading interest in (million accounts) investment including the drastic expansion 5
Slide 71: Newly Opened NISA Accounts and Transfers
Number of Newly Opened NISA Accounts and NISA Account Transfers from Other Securities Companies are Rising <Quarterly Trend of the Number of <Quarterly Trend of the Number of NISA Account Newly Opened NISA Accounts> Transfers from Other Securities Companies> 806,984 (Accounts) (Accounts) 750,000 YoY
Slide 72: NISA Customer Acquisition: SBI and Rakuten
Trend of Customer Acquisition in NISA Accounts at SBI SECURITIES and Rakuten Securities (Million accounts) 0.81 1 Rakuten 0.65 SBI 0.68 0.65 0.53 0.54 0.41 0.41 0.38 0.35 Jan. - June July - Dec. Jan. - June July - Dec. 0 2022 2022 2023 2023 Jan. - Mar. 2024 *1 number of customer acquisition up to De
Slide 73: Building System Structure for Customer Growth
② Started early on building a system structure that can withstand the expected increase in the customer base [Unauthorized reproduction is prohibited] 72
Slide 74: In-house System Development with SBI Simplex Solutions
Building a Robust In-house System Development and Operation Structure with the Establishment of SBI Simplex Solutions (Feb.28, 2023) [SBI SECURITIES] 51% 49% (Strategic systems subsidiary of SBI SECURITIES) Approximately 600 IT engineers operate as a group of practical IT engineers based on Custom
Slide 75: Trading System Transferred to AWS Cloud
SBI SECURITIES Transferred Trading System to the AWS Cloud to Quickly Respond to the Growing Number of Accounts and Transaction Volume in Preparation New NISA and ZERO Revolution [Benefits of migration to the AWS cloud] Agility Resilience Ability to expand and scale services in Transaction stability
Slide 76: Customer Base Contributes to the SBI Group
③ Expansion of SBI SECURITIES’ customer base contributes to the SBI Group as a whole [Unauthorized reproduction is prohibited] 75
Slide 77: Customer Base Impact on the Group Ecosystem
The Dramatic Expansion of SBI SECURITIIES’ Customer Base Has Positive Impact on the Entire SBI Group, which is Building a Corporate Ecosystem Free domestic stock brokerage fee is expected to not only increase retail customers interest in a variety of other financial products who open an account with
Slide 78: Zero Revolution Effects in the FX Business
Positive Effects of the Zero Revolution Are Already Apparent in the FX Business -SBI Liquidity Market achieved record-high operating revenue- Operating revenue and Operating profit of SBI Liquidity Market (Non-consolidated, J-GAAP) (JPY million) FY2022 FY2023 YoY(%) (Apr. 2022-Mar. 2023) (Apr. 2023-
Slide 79: Growth in FX Trading Accounts
Increase of Customer Base by ZERO Revolution Greatly Contributing to the Expansion of SBI Group’s Number of FX Trading Accounts Changes in the number of accounts among Customer Margin Deposits of FX Trading 5 major FX Trading Related Companies Related Companies (Thousand (as the end of January 2021
Slide 80: Group Customer Base Exceeds 50 Million
The Entire Group Customer Base has Exceeded 50 Million due to SBI SECURITIES’ ZERO Revolution (Thousand) Breakdown of the Customer Base 50,501 (as of the end of Mar. 2024) *1,2 (Thousand) 50,000 YoY SBI SECURITIES +10.6% SBI Neotrade Securities (No. of accounts) 12,452 FOLIO 46,000 YoY 45,647 SBIH I
Slide 81: Results of Synergy between SBI Shinsei Bank and SBI Group
2. The Results of Synergy between SBI Shinsei Bank and the SBI Group -SBI Shinsei Bank has already achieved certain results in its cooperation initiatives with the SBI Group, particularly in the collaboration between the banking and securities business- [Unauthorized reproduction is prohibited] 80
Slide 82: Retail Accounts and Deposits at SBI Shinsei Bank
Number of Retail Accounts and Deposits at the SBI Shinsei Bank (JPY trillion) (10 thousand accounts) 15 Dec. 2021 353 Joined the SBI Group 14 316 13 309 308 11.5 305 12 300 11 Total amount of deposits (Left) 9.9 10 Number of accounts (Right) 9 8 6.5 6.3 6.3 7 6 200 5 4 3 2 1 0 100 2020 2021 2022 202
Slide 83: Strengthening Cooperation with Group Companies in Retail
In the Retail Business, after Joining the SBI Group, SBI Shinsei Bank thoroughly Promoted the Strengthening of Cooperation with the Group Companies <Major examples of measures> July 2022 Start of alliance with SBI SECURITIES and SBI MONEYPLAZA in the retail business Aug. 2022 Financial instruments i
Slide 84: Collaboration with SBI SECURITIES Increases Accounts and Deposits
Collaboration with SBI SECURITIES in the Financial Products Intermediary Business and Banking Agency Business has Significantly Contributed to the Increase in the Number of Retail Accounts and Deposits of SBI Shinsei Bank For SBI Shinsei Bank, the simultaneous opening of accounts with SBI SECURITI
Slide 85: Wholesale Business Foundation Expanded
In the Wholesale Business, Business Foundation has Expanded Dramatically Due to the Vitalization of Sales Activities and Strengthening of Cooperation with the SBI Group Partners -Significant expansion of network to business and financial corporations- +250% +231% New Corporate JPY 1.6tn JPY 5.6tn Bu
Slide 86: Project Finance Expansion with SBI SECURITIES
Significant Expansion of Project Finance in Cooperation with SBI SECURITIES Number and Value of Synergies Created Example of collaboration between SBI 236.9 Shinsei Bank and SBI SECURITIES 300.0 (Unit: JPY bn) 250.0 (75 cases) SBI Shinsei Bank provides a non- recourse loan for ST issued 200.0 proj
Slide 87: Mutual Synergy Among Expanding Business Ecosystem
3. Generating mutual synergy among the expanding business ecosystem, introducing new products, service and the way of marketing (1)SBI MONEYPLAZA further expands its business scale by strengthening its co-managed store strategy and developing a sales strategy in line with current trend (2) Endeavor
Slide 88: SBI MONEYPLAZA Expands Co-managed Stores Strategy
（1）SBI MONEYPLAZA further expands its business scale by strengthening its co-managed store strategy and developing a sales strategy in line with current trend [Unauthorized reproduction is prohibited] 87
Slide 89: SBI MONEYPLAZA FY2023 Financial Result
SBI MONEYPLAZA FY2023 Financial Result <Financial Result of SBI MONEYPLAZA(J-GAAP)> (Unit: JPY million) FY2022 FY2023 YoY Change (%) (Apr. 2022 – Mar. 2023) (Apr. 2023 – Mar. 2024) Revenue 6,297 8,087 +28.4 Profit before Income Tax Expense 992 2,350 +136.9 (JPY million) <Trend of SBI MONEYPLAZA’s AU
Slide 90: Face-to-face Channel via Co-managed Stores
SBI MONEYPLAZA Has Steadily Expanded its Face-to-face Channel through Co-managed Stores with SBI Shinsei Bank and Regional Financial Institutions SBI MONEYPLAZA and 14 regional financial institutions operates 22 co-managed stores introducing first tore at The Shimizu Bank, THE SENDAI BANK, The Ehi
Slide 91: Real Estate-related Products at Co-managed Stores
Strengthening Sales of Real Estate-related products at Co-managed stores • SBI MONEYPLAZA has been handling real estate small-lot beneficiary interests since 2020 and has sold JPY 49,675m in 16 projects • Real estate small-lot beneficiary interests are products for receiving income from real estate
Slide 92: Further Expansion of Face-to-Face Channels
Further Expansion of Face-to-Face Channels through Deepening the Co-managed stores Strategy with SBI Shinsei Bank Prefectures with SBI Shinsei Starting with the establishment of a Co- Bank branches (for individuals) managed stores in Ikebukuro in Aug. 2022, 9 stores (Ikebukuro, Umeda, Ginza, Yokoh
Slide 93: iDeCo as New Strategic Product
（2） Endeavor to expanding customer with positioning iDeCo as the SBI Group’s new strategic product [Unauthorized reproduction is prohibited] 92
Slide 94: Expanding iDeCo via SBI Benefit Systems
Striving to further Expand iDeCo, which is Contracted by SBI Benefit Systems, as a Strategic Product SBI Group focused on the Individual Defined Contribution (iDeCo) pension business through SBI Benefit Systems (est. 2001), well before expectations for the market size to expand as a result of revisi
Slide 95: Industry Leader in iDeCo Customers
SBI SECURITIES is the Industry Leader in the Cumulative Number of Individual Defined Contribution Plan (iDeCo) Customers <Cumulative Number of Customers (subscribers & transfers*) of iDeCo by Planning Administrator> (Nov. 2017 – Mar. 2024) SBI (thousand) Surpassed 940 thousand customers which is the
Slide 96: Products Capturing Social Trends in Asset Management
(3) Provide products to customers within and outside the SBI Group that capture social trends and needs in the Asset Management Business ① Offer a wide range of investment products, both within and outside the group, that capture the evolving needs of individual investors with the introduction of th
Slide 97: Wide Range of Investment Products with New NISA
① Offer a wide range of investment products, both within and outside the group, that capture the evolving needs of individual investors with the introduction of the “New NISA” [Unauthorized reproduction is prohibited] 96
Slide 98: SBI Asset Management Trusts Increase AUM
Investment Trusts Managed by SBI Asset Management and Sold Exclusively Through SBI SECURITIES Dramatically Increased Assets Under Management With the Launch of the ZERO Revolution -Expansion of SBI SECURITIES’ client base has contributed significantly to the expansion of the asset under management o
Slide 99: Ten Quarterly Distribution-type Investment Trusts
SBI Asset Management has Launched Ten Quarterly Distribution-type Investment Trusts So Far -Net asset balance has steadily increased due to support from investors who place importance on distributions- Japanese Bonds & Equities Changes in Net Asset Balance of Quarterly • SBI Japan High Dividend Equi
Slide 100: Rheos Capital Works Launches Small-cap Fund
Rheos Capital Works, a Subsidiary of SBI RHEOS HIFUMI, Launches a New Fund Investing in Small-cap Stocks with High Growth Potential Name： “Hifumi Microscope Pro” *Eligible for the Growth Quota of the new NISA Trust fee: 1.485% (Incl. tax) • Establishment and management began on September 22, 2023 •
Slide 101: Alternative Investment Opportunities
② Endeavor to acquire a wide customer base by providing investors with new investment opportunities such as alternative investments [Unauthorized reproduction is prohibited] 100
Slide 102: Alternative Investment Products for Retail Investors
Plan to provide Alternative Investment Products to Retail Investors Centered around “Alternative Strategies” and “Alternative Assets” -Initially provide funds that incorporate alternative assets through SBI Asset Management- SBI Holdings has agreed to partner with two leading global alternative asse
Slide 103: Public Funds Incorporating Unlisted Securities
Movement Within the SBI Group Towards Provision Publicly Offered Investment Funds that Incorporate Unlisted Securities (Private Equity) With the recent allowance of including unlisted stocks up to 15% in investment trusts, this will improve the liquidity of unlisted stocks. This not only increases f
Slide 104: Building AUM Toward JPY 20tn by FY2027
Endeavor to Build Up Assets by Providing Variety of Products to Achieve an AUM of JPY 20tn by FY2027 <Active> <Index & multi-asset> <U.S. govt. bonds> ＜investment information service＞ AUM * AUM * Approx. 5.9tn Approx. 3.1tn <Private equity, etc.> <Alternative investment (planned)> AUM * Joint ventur
Slide 105: Digital Ecosystem New Services in Digital Assets
(4) Group companies that make up the digital ecosystem are actively developing new services and products to promote rapid growth in the digital asset domain ① SBI VC Trade and BITPOINT provide services that meet various customer needs, including staking that is easy to use even for crypto asset begi
Slide 106: SBI VC Trade and BITPOINT Services
① SBI VC Trade and BITPOINT provide services that meet various customer needs, including staking that is easy to use even for crypto asset beginners [Unauthorized reproduction is prohibited] 105
Slide 107: SBI VC Trade and BITPOINT Respond to Customer Needs
SBI VC Trade and BITPOINT Respond to Various Customer Needs Through Business Development that Leverages Their Respective Characteristics [Expanding the number of crypto assets handled] Promoting expansion of crypto assets handled. Realize crypto asset lineup that does not fall behind other companies
Slide 108: Staking Services Performed Well
Staking Services Provided by the SBI Group Performed Well Staking is the process of earning rewards by participating in generation and approval of blocks and supporting the operation of the blockchain network, which adopts a proof-of- stake mechanism, in accordance with the amount of crypto assets h
Slide 109: High Standard Staking Rewards
Realized High Standard Staking Rewards by Sophisticating Operations Staking Rewards for Crypto Assets Eligible for Staking at SBI Group’s Crypto-asset Business (Major crypto assets provided through SBI VC Trade and BITPOINT : January 2023-March 2024) Decline in staking at AVAX network 23.00% 10.00%
Slide 110: Crypto Asset Customers Increased 2.5 Times
Crypto Asset Customers have Increased 2.5 Times in Two Years QoQ (Thousand accounts) +10.8％ 900 *Total of SBI VC Trade and BITPOINT Accounts 806.9 800 727.7 695.3 700 666.7 635.5 592.8 612.7 600 July 1, 2022 Made BITPOINT a 500 consolidated subsidiary 400 345.4 YoY 313.1 300 +26.9％ 200 100 0 Mar. 20
Slide 111: Stable Coin-related Initiatives
② SBI Group promotes stable coin-related initiatives with high growth potential [Unauthorized reproduction is prohibited] 110
Slide 112: Stablecoin Use Grows
Stablecoin Use Grows in Both Real and Virtual Worlds What are stablecoins A type of crypto asset that is linked to the price of a specific legal tender, such as the U.S. dollar or Japanese yen. Typical examples are USDT and USDC. In Japan, the Payment Services Act defines “collateralized” stable coi
Slide 113: Progress with Circle on Stablecoins in Japan
Steady Progress with U.S.-Based Company Circle to Promoting Circulation of Stablecoins Within Japan Announcement of the Basic Agreement (November 27, 2023) Circle issues a US dollar denominated stablecoin, backed by USD cash and cash-equivalent assets, called USDC. With USD 33.1bn (approx. JPY 5.2tn
Slide 114: Osaka Digital Exchange and Security Tokens
③Osaka Digital Exchange Contributes to the Expansion of Issuance and Distribution of Security Tokens (ST) The ST market will be boosted through START, the first PTS in Japan operated by Osaka Digital Exchange To prepare for future market expansion, ST issuers, trust banks, blockchain platformers,
Slide 115: Partnership with Chiliz for Sports Fan Tokens
④ Plans to Partner With Chiliz to Offer Sports Fan Tokens That Will Enjoy a Variety of Benefits for Holding the Tokens SBI Digital Asset Holdings and Chiliz, the world’s largest sports fan token platform, signed a basic agreement on strategic partnership. Announcement of the basic agreement Investme
Slide 116: Restructuring Business Portfolio
4. Restructuring the business portfolio to adapt changing business environment in the future (1) SBI Group has been promoting thoroughly reinforcing its profitability through allocating business resources to banking business in anticipation of rising interest rates in Japan (2) Strengthen the bankin
Slide 117: Allocating Resources to Banking Business
(1) SBI Group has been promoting thoroughly reinforcing its profitability through allocating business resources to banking business in anticipation of rising interest rates in Japan ① Banking Business has already Outperforms Securities Business in its Contribution to Consolidated Results ② Future pe
Slide 118: Banking Business Outperforms Securities Business
① Banking Business has Already Outperforms Securities Business in its Contribution to Consolidated Results Financial Services Business Segment Breakdown of Profit before Income Tax Expense and Composition *1 ( Unit: JPY million, % in parentheses) FY2021 FY2022 FY2023 Securities 55,480 54,330 66,564
Slide 119: Banking Business in Rising Interest Rate Environment
② Future perspectives of the banking business in a rising interest rate environment in Japan (i) SBI Shinsei Bank (ii) SBI Sumishin Net Bank [Unauthorized reproduction is prohibited] 118
Slide 120: Impact of Policy Rate Increase on SBI Shinsei Bank
（i） SBI Shinsei Bank Considering the Impact on SBI Shinsei Bank’s Businesses from the Increase in the Policy Interest Rate The end of negative interest rates and its impact on non-consolidated earnings in FY 2024 A positive effect of approx.JPY 6.7bn expected centered on loans and management of se
Slide 121: SBI Sumishin Net Bank Variable-Rate Focus
(ii) SBI Sumishin Net Bank SBI Sumishin Net Bank’s Focus on Variable-Rate Mortgage Products Means Interest Rate Rise will have Positive Impact [Impact from changes in the policy interest rate in FY2023] Annual Mortgage Other lending [Variable-rate [Variable-rate Other assets under impact management
Slide 122: Strengthen Banking Business Synergies
(2) Strengthen the banking business by the Strategy to create further synergies between SBI Group and SBI Shinsei Bank Group ① Future Initiatives to further expand the customer base on both sides by vitalizing sales activities and strengthening cooperation with the SBI Group companies ② Repayment of
Slide 123: Expand Customer Base on Both Sides
① Future Initiatives to further expand the customer base on both sides by vitalizing sales activities and strengthening cooperation with the SBI Group companies [Unauthorized reproduction is prohibited] 122
Slide 124: Fourth Megabank Concept
Thoroughly Promote the “Fourth Megabank concept” to further Expand SBI Shinsei Bank’s Customer Base “Fourth Megabank concept” Further expansion of the size of SBI Shinsei Bank’s assets, of course through organic growth, but also through M&A SBI Group seeks to become a wide-area regional platform
Slide 125: Build a Strong Corporate Customer Base
Endeavor to Build a Strong Corporate Customer Base through Mutually Beneficial Relationships Transfers from the SBI Group side ahead of SBI Shinsei side 【SBI SECURITIES】 Promotion of increased contribution from SBI Shinsei side to other SBI Group companies Transfer of corporate customers, such as su
Slide 126: Exchange of Senior Executive-Level Personnel
Initiatives to Create Further Synergies through the Exchange of Senior Executive- Level Personnel -SBI Group and SBI Shinsei Bank integration strategy of human resources moves into final phase- Examples of Senior Executive personnel exchange① The Managing Executive Officer in charge of financial ins
Slide 127: Repayment of Public Funds by SBI Shinsei Bank
② Repayment of public funds by SBI Shinsei Bank -Repayment of public funds is a great cause and an opportunity for SBI Group to flourish dramatically- （i） Current status of voting rights ratios after de-listing and capital increase （ii） Schedule and direction for the future repayment of the public f
Slide 128: Voting Rights Ratios After De-listing and Capital Increase
（i） Current status of voting rights ratios after de- listing and capital increase [Recent trends] Note: Rounded to nearest JPY 100m On February 9, 2024, court authorization obtained, the SBI Group to execute a purchase of the fractional shares at an amount equivalent to the tender offer price (JPY
Slide 129: Schedule and Direction for Repayment of Public Funds
（ii） Schedule and direction for the future repayment of the public funds [Unauthorized reproduction is prohibited] 128
Slide 130: Initiatives Toward Repayment of Public Funds
SBI Shinsei Bank’s Thorough Pursuit of Various Initiatives toward the Repayment of Public Funds Carry out a rapid succession of Group collaborative initiatives such as simultaneous opening of accounts with SBI SECURITIES and opening of co-managed stores with SBI MONEYPLAZA to make a major expansio
Slide 131: SBI Shinsei Bank Full-year Consolidated Results FY2023
SBI Shinsei Bank’s Full-year Consolidated Results for FY2023 Achieved a Significant Increase in Revenues and Profits -Ordinary Business Profits exceeded JPY 100bn for the first time in 13 years, since FY2010- Note: Units are rounded down to the nearest decimal (Unit: JPY billion) YoY FY2022 FY2023 c
Slide 132: SBI Shinsei Bank Net Profit and Nikkei 225
SBI Shinsei Bank Consolidated Net Profit and Nikkei 225 Stock Price Feb. 19, 2004 Stock price of SBI Shinsei bank Mar. 22, 2024 IPO price JPY 8,720 (JPY/left axis) Nikkei 225 (JPY/right axis) Nikkei 225 JPY 40,888 Apr. 10, 2006 Consolidated net 40,000 9,000 Highest price JPY 8,880 profit (JPY bn) Se
Slide 133: Methods for Repayment of Public Funds
Repayment of Public Funds: Various Methods can be Considered Based on Past Examples Example 1: (Reference: Case of Aozora Bank) Steadily repay public funds via a special dividend paid each fiscal year after converting common stock held by the Deposit Insurance Corporation of Japan (DICJ) and The Res
Slide 134: Integration of Domestic and Overseas Operations
(3) In the Financial Services Business, promote the integration of domestic and overseas operations by directing management resources more broadly than before toward countries with high-growth prospects. Also pursue further expansion of the revenue base by strengthening the bank-securities link in o
Slide 135: International Financial Services in Southeast Asia
① Companies that provide Financial Services Business in international markets, with emphasis on Southeast Asia, are already contributed to earnings backed by high economic growth, allowing for further business expansion (i) Bank Subsidiaries in Southeast Asia focus on economical management based on
Slide 136: Bank Subsidiaries in Southeast Asia
(i) Bank Subsidiaries in Southeast Asia Focus on Economical Management Based on Market Environment and Local Conditions < Changes in Profit Before Income Tax Expense SBI LY HOUR BANK (Investment ratio: 70.0％) of each Bank under Local Accounting Standards > (Unit: JPY million) Acquired a medium-siz
Slide 137: Securities Subsidiaries in Thailand and Cambodia
(ii) Endeavor to Further Expand Business Base at Securities Subsidiaries in Thailand and Cambodia and Establishing a Distinctive Position in the Industry < Changes in Profit Before Income Tax Expense of each SBI Thai Online Securities Company under Local (Investment ratio 100.0%; established in Oct.
Slide 138: Expansion in Other Regions: SBI Bank
（iii）Focus on Expansion in Other Regions and Development of New Financial Services, etc. ① < Changes in Profit Before SBI Bank (Investment ratio: 90.7％) Income Tax Expense under Local Accounting Standards > A commercial bank with a full banking license in Russia and (Unit: JPY million) became a wh
Slide 139: Expansion in Other Regions: UDC Finance
（iii）Focus on Expansion in Other Regions and Development of New Financial Services, etc. ② UDC Finance Limited (Shareholding ratio: 100%) New Zealand's largest non-bank, which became a wholly owned subsidiary of SBI Shinsei Bank in Sept. 2020 Has a strong personal and corporate customer base, an
Slide 140: SBI Shinsei International in London
(iii) A Focus on Other Regions and the Development of New Financial Services ③ -Putting forth SBI Shinsei International as the key player in strengthening Japanese stocks business overseas, centered in London- Provide support to SBI Shinsei Bank on investment and lending projects in Europe and the
Slide 141: Capital Alliance with Novastar
（iii）Focus on Expansion in Other Regions and Development of New Financial Services, etc. ④ -Signed a Strategic Capital Alliance Agreement with UK-based Venture Capital Firm Novastar which invests in Africa (November 2, 2023)- [Details of Capital Alliance] SBI group invested USD40 million in a fund
Slide 142: Investment in the Middle East Region
②Accelerate investment of management resources to increase involvement in the cash-rich Middle East region (i) SBI Middle East was Established in Saudi Arabia’s Capital Riyadh in February 2024 as the SBI Group’s Middle Eastern Hub to Further Business Expansion in the Middle East Region (ii) Also Pro
Slide 143: SBI Middle East Established in Riyadh
（i） SBI Middle East was Established in Saudi Arabia’s Capital Riyadh in February 2024 as SBI Group’s Middle Eastern Hub to Further Business Expansion in the Middle East Region Collaboration with leading local companies and research institutes already underway 【Aramco】 Basic agreement to consider a
Slide 144: Business Alliances in the UAE
(ii) Also Promoting Expansion of Business Alliances with Major Companies in the United Arab Emirates (UAE) 【SC Ventures】 May 2022: Signed a basic agreement for a business alliance with SC Ventures, a venture investment and incubation unit of Standard Chartered Bank, a British financial giant with
Slide 145: Establishing Overseas Business Management Division
(iii)Strengthening the profitability, establishing Overseas Business Management Division -Constructing the system including human resource side in approximately six months- Overseas Business Management Division Securities Banking Insurance Investment Others business business business business LY HOU
Slide 146: Entering the Semiconductor-related Business
(4) Entering the semiconductor-related business, which the Japanese government has positioned as a national industry -Contribute to the revival of manufacturing in Japan and expand the corporate clientele of the Group's financial companies- ① Alliance with PSMC, a leading Taiwanese semiconductor fou
Slide 147: Alliance with PSMC
① Alliance with PSMC, a leading Taiwanese semiconductor foundry company, to enter the semiconductor business [Unauthorized reproduction is prohibited] 146
Slide 148: Combining PSMC Expertise with SBI Strengths
Combining PSMC’s Manufacturing Expertise with SBI Group's Strengths in Various Financial and Investment functions PSMC's Manufacturing Expertise SBI Group’s Financial and Investment Functions Contributing to financing from domestic and overseas capital Third-largest semiconductor markets, center
Slide 149: Perfect Timing to Enter Semiconductor Field
Now is the Perfect Timing to Enter the Semiconductor Field -The timing vouchsafed by heaven, the advantage of land, and the harmony of people- • The Japanese government has positioned the semiconductor Timing industry as a national industry Vouchsafed by • U.S.-China struggle for supremacy in the se
Slide 150: High Growth Expected in Semi-advanced Semiconductor Market
High Growth is Expected in the Semiconductor Market for Industrial Machinery, Automobiles, and Home Appliances, where Semi-advanced Fields account for the Bulk of Demand While overall global semiconductor sales in 2030 are expected to be +68% compared to 2020, semiconductors for Industrial Machinery
Slide 151: 28nm or More Accounts for 90% of Automotive Demand
Semiconductors of 28nm or More Account for More than 90% of The Total Demand for Automotive Applications Demand in this area is expected to increase especially with the adaptation of electric vehicles (EVs), which are expected to require more than three times the amount of semiconductors needed by c
Slide 152: Target Market for Semiconductor Business
The Target Market for the Semiconductor Business is Semi-advanced Fields with High Demand • JSMC Holdings will produce semiconductors in the semi-advanced fields (28nm/40nm/55nm) for Industrial machinery and automobiles, where the volume zone is expected to expand • JSMC Holdings’ efforts extend bey
Slide 153: Progress Toward Semiconductor Foundry Construction
② Progress toward semiconductor foundry construction [Unauthorized reproduction is prohibited] 152
Slide 154: Planned Foundry Site in Ohira Village, Miyagi
Planned Site for a Semiconductor Foundry is Determined to be Second Northern Sendai Central Industrial Park in Ohira Village, Miyagi Prefecture • The construction of a foundry requires various essential factors, such as water supply and drainage, high-voltage power, and infrastructure development. T
Slide 155: Preparations for Construction of Foundry
Advancing Preparations for the Construction of a Semiconductor Foundry Shimizu Corporation was selected as the general contractor for design and construction • The company was selected because of its extensive knowledge of semiconductor foundry construction and its ability to begin design and cons
Slide 156: Business Plan for the Semiconductor Foundry
Business Plan for the Semiconductor Foundry to be Constructed Expected increase in investment required from the original plan due to soaring construction costs resulting from labor shortages, rising construction material costs, etc. • In Phase 1, as the start of operations, over JPY 500bn is expecte
Slide 157: Corporate Ecosystems and Alliances in Semiconductors
③ Promote the creation of corporate ecosystems and alliances in the semiconductor business [Unauthorized reproduction is prohibited] 156
Slide 158: Synergies Between Foundry Business and Financial Ecosystem
Mutual Synergies can be Expected Between the Foundry Business and the Financial Ecosystem in Terms of Customer Development In the Foundry Business, strong long-term relationships with various companies in the supply chain, including wafer delivery manufacturers and material suppliers will be built a
Slide 159: Semiconductor Ecosystem Expands Beyond SBI Group
Semiconductor Ecosystem Expands Beyond SBI Group In the foundry business, the goal is to build a comprehensive ecosystem covering the entire supply chain, with a competitive advantage over other foundries, by partnering with OSAT companies specializing in post-processing activities such as assembly
Slide 160: Capital and Business Alliance with Restar Corporation
Capital and Business Alliance with Restar Corporation to Collaborate on Semiconductor-Related Business Capital and business alliance agreement （May 10, 2024） Restar Corporation Restar, which is listed on the Prime Market of the TSE, is an “Electronics Value Platformer” which can deal with all kinds
Slide 161: Reference material
[Reference material] [Unauthorized reproduction is prohibited] 160
Slide 162: Number of Companies and Employees of the SBI Group
Number of Companies and Employees of the SBI Group (Consolidated) Number of Group Companies End of Mar. 2023 End of Mar. 2024 Consolidated subsidiaries (companies) 518 595 Consolidated partnerships (partnerships) 62 64 Total consolidated subsidiaries (companies) 580 659 Equity method companies (comp
Slide 163: https://www.sbigroup.co.jp
https://www.sbigroup.co.jp [Unauthorized reproduction is prohibited] 162