Sbi Holdings Incorporated · TSE:8473
Sbi — Sbi Holdings Inc Ord — Q1 2020 Earnings Presentation
159 slides from Sbi's earnings presentation, Jul 31, 2020
Slide 1: SBI Holdings, Inc. Financial Results
Strategic Business Innovator SBI Holdings, Inc. Financial Results for the Three-month Period Ended June 30, 2020 (Fiscal Year Ending March 31, 2021) July 30, 2020
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. None of the Group companies guarantees the completeness of this document
Slide 3: Agenda
I. 1Q FY2020 consolidated financial results (IFRS) II. Factors that contributed to favorable financial results in the midst of the COVID-19 situation III. Measures to increase the customer base, and the strengthening of profitability during and after the COVID-19 Era [Unauthorized reproduction is pr
Slide 4: Overview of Consolidated Financial Results
I. 1Q FY2020 consolidated financial results (IFRS) [Overview of Consolidated Financial Results] • Revenue increased 20.6% year-on-year to JPY 111.1bn, which is an historical high for a quarterly result since the Company’s inception. Profit before income tax expense rose 37.3% year-on-year to JPY 27.
Slide 5: 1Q FY2020 Consolidated Performance (IFRS)
1Q FY2020 Consolidated Performance (IFRS) [Year-on-year comparison] (Unit: JPY million) 1Q FY2019 1Q FY2020 YoY % (Apr.-June 2019) (Apr.-June 2020) change Revenue 92,127 111,101 +20.6 Profit before income tax expense 20,217 27,757 +37.3 Profit for the period 13,705 20,279 +48.0 Profit attributable t
Slide 6: 1Q FY2020 Performance by Segment (IFRS)
1Q FY2020 Performance by Segment (IFRS) [Year-on-year comparison] Profit before Income (Unit: JPY million) Revenue Tax Expense YoY % 1Q FY2019 1Q FY2020 YoY % 1Q FY2019 1Q FY2020 change / (Apr. 2019– (Apr. 2020– (Apr. 2019– (Apr. 2020– June 2019) June 2020) change June 2019) June 2020) YoY change Fi
Slide 7: Factors that contributed to favorable financial results during COVID-19
II. Factors that contributed to favorable financial results in the midst of the COVID-19 situation 1. Despite the COVID-19 affected adverse business conditions, various financial markets which were languishing are now in a recovery phase 2. Social changes such as the advancement of digital transform
Slide 8: Financial markets in recovery phase
1. Despite the COVID-19 affected adverse business conditions, various financial markets which were languishing are now in a recovery phase [Unauthorized reproduction is prohibited] 7
Slide 9: OECD Countries' Economic Growth Rates Expected to Turn Negative
Owing to the Global Economic Turmoil Caused by COVID-19, the OECD Countries’ Economic Growth Rates are Expected to Turn Sharply Negative Annual GDP growth rate of major OECD countries (year-on-year %) 2018 - 2020 (forecast) (%) 8.0 China6.8 6.1 6.0 If there is a second wave 4.0 U.S. 2.9 of infection
Slide 10: Quantitative Easing Leading to Surge in Monetary Base
Owing to the Special Operations in Response to COVID-19, Quantitative Easing was Further Advanced, Leading to a Surge in the Monetary Base -The Bank of Japan’s monetary base hits a record high- (JPY trillion) (USD billion) 550 Monetary base of Japan and U.S 550 5,500 (Jan. 2019 – June 2020) Mar. 11,
Slide 11: Stock Market on a Recovery Trend
The Stock Market is on a Recovery Trend, as Economic Activity Resumes After a Period of Turmoil Precipitated by the Worldwide Spread of COVID-19 -Stock prices remained steady, owing to various levels of liquidity supplied by central banks- Nikkei Stock Average and NY Dow (USD/JPY) (Jan. 2019 – July
Slide 12: Businesses Sold and M&A Activities Increased
The Number of Businesses Sold and M&A Activities Increased, Owing to the Impact of COVID-19, but the Transaction Values Declined (Number of Comparison of number of businesses sold Transaction) Number of businesses sold Number of M&As 450 406 395 300 139 150 85 0 Jan.- June 2019 Jan.- June 2020 • An
Slide 13: Recovery of the equity market
(1) Recovery of the equity market ① Owing to active trading by individual investors, the two market’s individual stock brokerage trading value increased steadily by 48.4% year-on-year, contributing to an increase in SBI SECURITIES’ commission fees ② As the equity market was on a recovery trend, reco
Slide 14: Online securities: Operating income comparison
① Increase of SBI SECURITIES’ commissions fee Comparison of Major Securities Companies’ Operating Income (J-GAAP; YoY) (Unit: JPY million) 1Q FY2019 1Q FY2020 YoY % (Apr. 2019 – June 2019) (Apr. 2020 – June 2020) change SBI Holdings *1 20,217 27,757 +37.3 Nomura *2 (cons.) 74,806 181,811 +143.0 Face
Slide 15: Quarterly Operating Income of 5 Online Securities Companies
① Increase of SBI SECURITIES’ commissions fee Quarterly Operating Income of the 5 Online (JPY million) Securities Companies 18,000 SBI Rakuten Matsui au Kabucom Monex Group 16,000 14,000 12,678 12,000 10,000 8,000 6,000 4,000 3,308 2,977 2,000 1,944 0 55 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q -2,000
Slide 16: Average Daily Individual Brokerage Trading Value
① Increase in SBI SECURITIES’ commission fees Average Daily Individual Brokerage Trading Value (2 Market Total *) (JPY 100 (JPY) million) Average daily individual brokerage trading value (left-side scale) End-of-month Nikkei Average (right-side scale) 24,000 2,000 20,000 1Q FY2020 +48.4% Individual
Slide 17: SBI SECURITIES' Brokerage Trading Value and Commissions
① Increase in SBI SECURITIES’ commission fees SBI SECURITIES’ Stock Brokerage Trading Value and Commissions Stock Brokerage Trading Value Commissions (JPY trillion) (JPY million) 40 12,000 11,403 36.9 +71.7% +83.9% YoY 10,000 YoY 30 8,000 6,639 20.0 20 6,000 4,000 10 2,000 0 0 1Q 1Q 1Q 1Q FY2019 FY2
Slide 18: Fair value valuation gains in Asset Management Business
② Significant fair value valuation gains in the Asset Management Business During the Apr. to June Period of FY2020, Significant Valuation Gains were Recorded Among the High-tech Portfolio Companies, which were Early Stage Investments NASDAQ and Dow Jones ■ BASE, Inc. (Ticker: 4477) (Jan. 2020 ～July
Slide 19: A booming bond market
(2) A booming bond market SBI Sumishin Net Bank successfully captured the timing of the rise in bond prices, owing to the spread of COVID-19 infections, to increase its bond trading revenue [Unauthorized reproduction is prohibited] 18
Slide 20: Conventional Banking Business Slumped on Credit Costs
Conventional Banking Business Slumped, Owing to Higher Credit Costs Precipitated by Increased Provisions as a Result of COVID-19 * Aggregated from each bank's financial data [Net Income comparison of 6 Major Banks in the U.S.] (USD million) 1H FY2019 1H FY2020 YoY % (Jan. 2019–June 2019) (Jan. 2020–
Slide 21: Bond Market Volatility Owing to COVID-19
Bond Market Volatility Owing to COVID-19 Change in JGB yield * Source: Ministry of Finance website “Interest rate information on government bonds” (Apr. 1, 2020 – July 1, 2020) (%) Bond prices rose on Bond prices rise as COVID-19 0.15 fears of another COVID- infection spreads 19 infection spread 10-
Slide 22: SBI Sumishin Net Bank's Earnings Expected to Increase
SBI Sumishin Net Bank’s Earnings are Expected to Increase Over the Corresponding Period of the Previous Fiscal Year ~Change in SBI Sumishin Net Bank’s ordinary income (J-GAAP) (JPY million) after start of operations~ Achieved a single month profit for the first time in Jan. 2009 Achieved a single qu
Slide 23: Gains on Sale of Bonds Held
In the Securities and Insurance Businesses, Gains on Sale, etc., of Bonds Held In the internationally low interest rate SBI SECURITIES environment, investments at a relatively high Sri Lanka level yield of about 10% in U.S. dollars may Government Bonds be managed Selling a portion of bonds held at a
Slide 24: Foreign exchange markets with strong trading volumes
(3) Foreign exchange markets with strong trading volumes [Unauthorized reproduction is prohibited] 23
Slide 25: FX Volatility Calm but Trading Volume Robust
Volatility in the Foreign Exchange Markets were Calm as Compared to the Previous Quarter, but Trading Volume Remained Robust USD/JPY exchange rate and trading volume for over- the-counter retail margin FX trading (Apr. 2019 – June 2020) USD/JPY exchange rate (right axis) (JPY trillion) (JPY) Trading
Slide 26: Expansion of FX-related Business at the SBI Group
Expansion of FX-related Business at the SBI Group - An increasing number of domestic and foreign companies are participating in trading at the OTC market of SBI Liquidity Market - [SBI SECURITIES] [SBI FXTRADE] YJFX! Central Tanshi Korea Investment & Securities Kiwoom Securities Shinhan Investment T
Slide 27: SBI SECURITIES' Trading Revenue Trend
SBI SECURITIES’ Trading Revenue Trend Trading revenue, including FX trading revenue, significantly increased, leading to an increased contribution to earnings (JPY million) 14,000 FX-related revenue Revenue related to crypto-asset Others (Revenue related to foreign 12,112 12,000 currency denominated
Slide 28: SBI VC Trade Measures to Expand Crypto-asset Business
27 *Basis date Business, in Response to the Revisions in the Payment Services Act Crypto-asset fund Sept. 2020 SBI VC Trade is Implementing Various Measures to Expand Its operation initiation Connecting to the 2020 Aug. OTC market maker B2C2 2020 Aug. CFD service ~ June 2020 Smartphone app Financial
Slide 29: Proactively advance M&A activities
(4) The decline in asset prices is viewed as an opportunity to proactively advance M&A activities for companies which may be expected to provide synergies with existing businesses [Unauthorized reproduction is prohibited] 28
Slide 30: M&A: Rheos Capital Works
Proactively advancing M&As ①: Rheos Capital Works Endeavors to Increase the Group AUM through Strengthened Collaborations between SBI SECURITIES and Rheos Capital Works, which has become a Consolidated Subsidiary • Acquired 51.28% of the outstanding shares of Rheos Capital Works, a company that mana
Slide 31: M&A: Stake in Crypto-Asset Market Maker B2C2
Proactively advancing M&As ②: B2C2 Basic Agreement to Acquire a Stake in a Global Crypto-Asset Market Maker, as a Component to Expand Trading Revenue (July 1, 2020) 【Examples of the benefits of partnership with B2C2】 【About B2C2】 • One of the leading market makers in the crypto-asset sector [Operati
Slide 32: M&A: livestar Securities
Proactively advancing M&As ③: livestar Securities Agreed to Acquire All Shares of livestar Securities, a Securities Company Dedicated to Online Trading (Announced on July 29, 2020) [livestar Securities] • livestar Securities implemented a waiver of margin trading fees, and lowered its rates on margi
Slide 33: The SBI Group's Current Approach for M&A Activities
The SBI Group’s Current Approach for M&A Activities -In principle, SBI Holdings or the Group's intermediate holding company will implement M&A activities- Share Share Share acquisition acquisition (plan) acquisition (plan) [livestar Securities] Will endeavor to achieve mutual evolution with the exis
Slide 34: Acquisition of Joguchi Safety SSI
SBI Insurance Group will Acquire All Shares of Joguchi Safety SSI, which Deals with Rental Housing Insurance in Hokkaido (Announced in June 2020) SBI Insurance Group will continue to expand its business organically, as well as advance discontinuous business expansion through M&A activities SBI Insur
Slide 35: Utilizing Funds from CB Issuance for M&A
Utilizing Funds Raised from the Issuance of CBs to Advance M&A Activities [Overview of the issuance of Euro Yen Convertible Bonds, due 2025 (bonds with stock acquisition rights), resolved on July 7, 2020] Aggregate issue amount JPY 70.0bn Due Five years (Redemption date: July 25, 2025) Coupon 0% Amo
Slide 36: Digital transformation provides a tailwind
2. Social changes such as the advancement of digital transformation (DX) provides a tailwind for the Group, which has developed its businesses primarily through the online channels -COVID-19 has reshaped the preferences of consumers/investors from real to online- [Unauthorized reproduction is prohib
Slide 37: SBI SECURITIES increased customer base
(1) SBI SECURITIES significantly increased its customer base by capturing the rising demand for online investments, against the backdrop of voluntary stay-at-home restraints and the payment of government benefits, owing to the spread of COVID-19 infections [Unauthorized reproduction is prohibited] 3
Slide 38: New Account Openings Increased
Online Financial Services Preferences became More Evident through Customer Investment Patterns in Financial Products [SBI SECURITIES] [Neo-Moba] SBI SECURITIES and SBI NEOMOBILE SECURITIES’ monthly average number of new account openings 2.50 * Figures as of 1Q FY2019 as 1 2.27 2.15 2.00 1.53 1.48 1.
Slide 39: SBI Surpassed Nomura's Number of Accounts
SBI has Surpassed Nomura’s Number of Accounts to Become No.1 Number of Accounts of SBI SECURITIES and 2 Major Face-to-face Securities Companies (Mar. 2009 – June 2020) CAGR: % (Thousand *As for Nomura, the chart shows the trend until Dec. 2019 (Mar. 2009-June 2020) accounts) SBI SECURITIES’ number o
Slide 40: SBI SECURITIES' Share of Individual Stock Trading
SBI SECURITIES’ Share of Individual Stock Trading Share of Individual Stock (of which) Share of Individual Trading Value (%) Margin Trading Value (%) 1Q FY2020 1Q FY2020 (Apr. 2020 – June 2020) (Apr. 2020 – June 2020) Others (including major face-to- face securities) 56.7 SBI SBI 35.3 40.3 Others 35
Slide 41: SBI Sumishin Net Bank delivers favorable results
(2) SBI Sumishin Net Bank delivers favorable results, owing to changes in the social preferences toward online financial services [Unauthorized reproduction is prohibited] 40
Slide 42: SBI Sumishin Net Bank's Performance Remained Positive
SBI Sumishin Net Bank’s Performance Remained Positive Year-on-year, Despite the COVID-19 Disaster (Equity method investment gain; IFRS) SBI Holdings’ equity in earnings of SBI Sumishin Net Bank based on IFRS for 1Q FY2020 was JPY 2,023mn, up 1.9% year-on-year (JPY million) 1,985 2,023 2,000 1,000 +1
Slide 43: Accounts and Deposits Exceeded 4.07 Million and JPY 5.6tn
As of June 30, 2020, the Balance of Accounts and Deposits Exceeded 4.07 Million Accounts and JPY 5.6tn, Respectively, to Significantly Surpass Its Competitors Number of accounts：4,076,240 / Deposits：5,662.8bn (As of the end of June 2020) Change in SBI Sumishin Net Deposits of 6 Internet Banks (JPY b
Slide 44: Attractive Loan Products with Low Interest Rates
SBI Sumishin Net Bank has been Offering Attractive Loan Products with Low Interest Rates to Individual Customers, Especially Through Online, so the COVID-19 Impact on Its Results will be Limited (*1) Change in Balance of Housing Loans (Mar. 2008 – June 2020) (JPY billion) *1 Deducts repayments from
Slide 45: Insurance business benefits from behavior changes
(3) In the insurance business, changes in people’s behavior patterns owing to COVID-19 infections have contributed to earnings, in terms of increased demand for insurance products and fewer claims payments [Unauthorized reproduction is prohibited] 44
Slide 46: SBI Insurance Group's Performance (Preliminary)
SBI Insurance Group’s Performance (Preliminary Figures) * Final consolidated figures for 1Q FY2020 will be released on Aug. 7 Consolidated Results for 1Q FY2020 (J-GAAP) (Unit: JPY million) 1Q FY2019 1Q FY2020 YoY % (Result) (Preliminary) change Ordinary revenue 16,428 21,348 +29.9 Ordinary profit 1
Slide 47: COVID-19 Lifestyle Changes Impact on Insurance Businesses
Lifestyle Changes of Individuals, Owing to COVID-19, has had a Positive Impact on the SBI Group’s Life and Non-life Insurance Businesses SBI Insurance SBI LIFE Insurance The number of motor vehicle accident by Key words such as “death” and reports declined by more than 20%, owing “hospitalization,”
Slide 48: SBI SAVINGS BANK captured growing demand for funds
(4) SBI SAVINGS BANK was successful in efficiently capturing the growing demand for funds, as a result of COVID-19, by expanding its service offerings through mobile channels [Unauthorized reproduction is prohibited] 47
Slide 49: SBI SAVINGS BANK Steadily Increased Assets
SBI SAVINGS BANK Steadily Increased Its Assets by Successfully Capturing Changes in Market and Industry Trends, as a Result of COVID-19 Total assets exceed Changes in Indicators since becoming a subsidiary KRW 10tn (K-GAAP) (KRW billion) (％) 10,211.2 60 51.6％ Delinquency rate for all loans (Right si
Slide 50: SBI SAVINGS BANK Achieved Favorable Results
SBI SAVINGS BANK Achieved Favorable Business Results, Despite COVID-19 (Jan. to June 2020; K-GAAP ) (KRW billion) ＜Net income＞ Owing to the widespread demand 134 from the stay-at-home situation, succeeded in increasing assets through mobile channels 109 As a result of having raised the credit criter
Slide 51: Increasing need for advanced asset management
3. Increasing need for advanced asset management for individuals and financial corporations (especially for regional financial institutions) [Unauthorized reproduction is prohibited] 50
Slide 52: Increasing asset management needs for individuals
(1) Increasing need of asset management for individuals ① SBI SECURITIES’ sales of investment trust products, such as NISA and iDeCo (individual-type defined contribution pension plan), are going well ② Owing to the increasing need of asset management for the regional financial institutions’ custome
Slide 53: Importance of Asset Formation Recognized
Individuals of All Ages Strongly Recognize the Importance of Asset Formation • The JPY 20m issue raised by the Financial Services Agency provoked a national debate, as the post retirement funding issue is a personal issue that will be faced by individuals of all ages Even among younger individuals,
Slide 54: NISA Accounts Surpassed Nomura
① SBI SECURITIES: Through the Successful and Continued Steady Acquisition of New Customers of NISA, the Number of Accounts Surpassed that of Nomura to Become the Industry’s No. 1 (thousand Number of NISA accounts accounts) (Sept. 2015 – June 2020) NISA’s customer attribute of 1,780 SBI SECURITIES (%
Slide 55: Strengthening the iDeCo Pension Business
① SBI SECURITIES: Further Strengthening the Individual Defined Contribution (iDeCo) Pension Business The SBI Group has been focused on the Individual Defined Contribution (iDeCo) pension business, well before the expectations for the market size expansion as a result of revisions in the regulation a
Slide 56: Number of iDeCo Customers Acquired
① SBI SECURITIES: SBI SECURITIES Steadily Increased the Number of New Customers Acquired for Individual-type Defined Contribution Pension Plans (iDeCo), and became the (No. of Cumulative Industry Leader in Oct. 2018 thousand customers) Cumulated number of customers (subscribers & transfers*) of iDeC
Slide 57: Balance of Investment Trusts Rapidly Increased
① SBI SECURITIES: At SBI SECURITIES, the Balance of Investment Trusts have Rapidly Increased During the Course of COVID-19 Month-end accumulated investment Investment trust balance (JPY trust set amount (upper limit) (JPY million) billion) Achieved a record high 2,574.7 2,600 Total set amount in NIS
Slide 58: Morningstar Japan Wealth Advisors Increased
② Morningstar Japan Number of Morningstar Japan’s Asset Management Advice Tools, “Wealth Advisors,” Increased Significantly, Owing to the Increasing Need for Asset Management Services (Unit) Number of companies served：444 (Companies) Number of units provided：92,217 100,000 (As the end of June 2020)
Slide 59: Asset management needs of regional financial institutions
(2) The increasing need of asset management for regional financial institutions [Unauthorized reproduction is prohibited] 58
Slide 60: Challenge: Sophistication of Asset Management at Regional Institutions
A Major Challenge Facing the Regional Financial Institutions is the Sophistication of Asset Management Delay in the sophistication of market operations Securities holding status Decreased operating income, owing of regional banks (End of Mar. 2020) to continued negative interest rates With 40% o
Slide 61: AUM from Regional Financial Institutions Exceeded JPY 1.2tn
SBI Asset Management Group’s AUM from Several Regional Financial Institutions, Including 4 Banks as Capital and Business Partners of SBI Holdings, Exceeded JPY 1.2tn SBI Bond Investment Management (co-founded with PIMCO, one of the world’s largest bond investors) has consistently provided low cost
Slide 62: SBI Asset Management Group Investment Asset Balance Exceeded JPY 2tn
In Response to the Increasing Asset Management Needs for Individuals and Corporations, the SBI Asset Management Group’s Investment and Advisory Companies’ Investment Asset Balance Exceeded JPY 2tn SBI Asset Management Group significantly increased its investment asset balance, owing to the increasin
Slide 63: Selection and concentration in Biotechnology-related Business
4. Pursuit of selection and concentration, as well as cost reduction in the Biotechnology-related Business [Unauthorized reproduction is prohibited] 62
Slide 64: Profit before Income Tax of Biotechnology-related Business
Profit before Income Tax Expense of the Biotechnology-related Business (IFRS) (JPY million) 1Q FY2019 1Q FY2020 (Apr. - June 2019) (Apr. - June 2020) Profit before income tax expense (excluding temporary factors) -2,527 -1,692 Loss associated with the sale of Kubota Pharmaceutical Holdings -1,352 －
Slide 65: COVID-19 Impact on Quark's AKI Clinical Trials
Impact of COVID-19 (New Coronavirus) Epidemic on the Clinical Trials for U.S. Quark’s Acute Kidney Injury (AKI) Prophylaxis COVID-19 Impact In line with the movement to resume economic activities in each country, the recruitment of subjects that had to be stopped gradually progressed, and the recr
Slide 66: SBI Biotech's Drug Discovery Pipeline
SBI Biotech’s Drug Discovery Pipeline Licensing Adaptation disease Progress partner (timing) An interim analysis of the ongoing phase Ib trial yielded favorable results, Systemic lupus erythematosus, VIB7734 including a therapeutic effect. Viela Bio* Cutaneous lupus erythematosus, (Anti-ILT7 Phase I
Slide 67: SBI Pharmaceuticals 5-ALA-related Drug R&D
SBI Pharmaceuticals Engages in the Research and Development of 5-ALA-related Drugs -Progress in the main pipeline of pharmaceutical products utilizing 5-ALA- Current status Fields Pipeline projects Phase II Phase III Application Cisplatin nephropathy Phase II is 1 protection Scheduled to complete (b
Slide 68: Measures to increase customer base and profitability
III. Measures to increase the customer base, and the strengthening of profitability during and after the COVID-19 era 1. Proactively advancing initiatives in anticipation of new trends in the financial industry, during and after the COVID-19 era 2. Further expand customer base and strengthen profita
Slide 69: Initiatives for new trends in financial industry
1. Proactively advancing initiatives in anticipation of new trends in the financial industry, during and after the COVID-19 era (1) As the transition from face-to-face to online transactions accelerates, especially in terms of retail customer preferences, will endeavor to actualize the Neo-securitie
Slide 70: Neo-securities initiatives through M&A
(1) As the transition from face-to-face to online transactions accelerates, especially in terms of retail customer preferences, will endeavor to actualize the Neo-securities initiatives through proactive M&A activities -Further reduction of dependence on stock brokerage fees is essential- Neo-securi
Slide 71: SBI SECURITIES' Operating Revenue Composition
SBI SECURITIES’ Operating Revenue Composition -Advanced the diversification of revenue sources, to achieve a business foundation that is less affected by the equity market- Proportion of commissions decreased from 71% in FY2003 to 32% currently Composition of online domestic stock trading commission
Slide 72: Realization of Neo-securities Initiative in Three Stages
Realization of the Neo-securities Initiative, in Three Stages • In order to achieve the third step, SBI SECURITIES is endeavoring to reduce the contribution of online domestic stock trading commissions to operating income to become less than 5% • Will implement the initiative through measures with s
Slide 73: Current Initiatives for Neo-securities Initiative
Current Initiatives to Actualize the Neo-securities Initiative Establish a business structure that is less dependent on online domestic stock brokerage commissions Further expand the corporate business by focusing on the equity and bond underwriting businesses, for both primary and secondary marke
Slide 74: Enhancing the Corporate Business
Pursing the achievement of the Neo-securities initiatives: Further expanding the corporate business Enhancing the Corporate Business to Further Strengthen the Comprehensive Capacity of the Securities Business, by Focusing on the Equity and Bond Underwriting Businesses for Both Primary and Secondary
Slide 75: Financial Institutional Sales Dept. Brokerage Services
Pursing the achievement of the Neo-securities initiatives: Further expanding the corporate business Through SBI SECURITIES’ Financial Institutional Sales Dept., Expanded Brokerage Services to Its Customer Financial Institutions, which Total 390 Companies*1 SBI SECURITIES is strengthening the distrib
Slide 76: Co-managed Shops with Regional Financial Institutions
Pursing the achievement of the Neo-securities initiatives: Increasing commissions through face- to-face transactions Co-managed Shops with Regional Financial Institutions have Rapidly Increased Their Number of Accounts and Customers’ Deposit Assets Established a total of 15 shops with 12 banks, incl
Slide 77: Co-managed Shops Customer Attributes and Deposit Assets
Pursing the achievement of the Neo-securities initiatives: Increasing commissions through face- to-face transactions At the Co-managed Shops with Regional Financial Institutions, Account Opening of Corporations and Wealthy Individuals, Including Company Owners Continues to Progress Breakdown of cust
Slide 78: Target Areas for M&A Activities
Toward the actualization of Neo-securities initiatives: Advancing M&As Target Areas for Domestic and Overseas M&A Activities, in Order to Proactively Advance the Actualization of the Neo-securities Initiatives Businesses that decrease dependence on brokerage commissions* *Deals that will lead to an
Slide 79: Increasing investments in promising ventures
(2) Increasing investments in promising ventures, such as digital health, which is expected to grow post the COVID-19 era [Unauthorized reproduction is prohibited] 78
Slide 80: Advanced Startups Created During Recessions
Advanced Startups Created During Recessions During a recession, the world’s cycle gets reset, with previously non-existent demand being created, leading to the acceptance of new technologies Historical Movement of Stock Index and Establishment of Disruptive Startups Dot-com Bubble Burst 2008 Financi
Slide 81: SBI Investment Preparing New JPY 100bn Fund
SBI Investment is Preparing a New Fund (Common Name 4+5 Fund) Up to JPY 100bn to Accelerate Investments into Growth Industries - Active investments in promising ventures, such digital healthcare, which is expected to grow post the COVID-19 era- ■ Investment areas: In addition to fintech, AI and bloc
Slide 82: SBI Post-Corona Fund
SBI Asset Management Established the “SBI Post- Corona Fund” to Capture the Wave of Social Changes Caused by COVID-19 Fund concept： Seizing the social transformation brought about by COVID-19 as an opportunity, will endeavor to capture corporate growth to generate medium-to long-term returns by inve
Slide 83: New funds with crypto-assets and unlisted equities
(3) Create new funds that incorporate new asset classes, such as crypto-assets and unlisted equities, to meet the diversified investment needs of customers [Unauthorized reproduction is prohibited] 82
Slide 84: Japan's First Crypto-asset Fund
Establishment of Japan’s First “Crypto-asset Fund” (Anonymous Partnership) -Fund raise is expected to begin during the summer of 2020- Providing individual investors with a crypto-asset fund that embodies the resources of the SBI Group Crypto-assets, which have a low correlation to traditional a
Slide 85: SBI-Pictet Asia High-Tech Venture Fund
SBI Group’s Private Equity Investment Fund, “SBI-Pictet Asia High-Tech Venture Fund,” a Fund that Incorporates Unlisted Equities, was Established on July 29, 2020 The first collaboration fund by SBI and PICTET Maximum 15% investment in unlisted Japanese and Asian equities Investment in Japanes
Slide 86: Digital assets in the financial system
(4) As digital transformation is expected to accelerate, with the use of digital assets in the international financial system expected to rapidly progress, will accelerate the establishment of businesses and an organizational structure that will support the process ① Creating a global ecosystem for
Slide 87: Rising Interest in Central Bank Digital Currencies
Rising Worldwide Interest in Issuance of Central Bank Digital Currencies (CBDCs) In the Guidelines for Economic and Fiscal Management, which Digital RMB July 20: BOJ was adopted by the Cabinet on envisioned by China establishes the July 17, through the "Big-boned is already at four “digital currency
Slide 88: Crypto-asset Derivatives and STOs Under Financial Instruments Act
Crypto-asset Derivatives and STOs are Covered Under the Financial Instruments and Exchange Act that became Effective in May 2020 Problems with ICOs • Owing to the global explosion of virtual currencies from 2017 to 2018, the number of fraudulent ICO projects have rocketed, with the purpose and means
Slide 89: Global ecosystem in digital assets
① Creating a global ecosystem for proactive business developments in the digital asset field (i) Establishing a global organizational structure centered on SBI Digital Asset Holdings (ii) The SBI Group cooperates closely with U.S R3 and U.S. Ripple, which could become the De Facto standard of the ne
Slide 90: Global Organizational Structure Centered on SBI Digital Asset Holdings
(i) Establishing a Global Organizational Structure Centered on SBI Digital Asset Holdings New companies to be established SBI Digital Technologies JV (Singapore / tentative name) Technology Services Technology Services SBI Gaming (New Company Digital IT Digital IT / tentative BaaS BaaS name) custody
Slide 91: Cooperation with R3 and Ripple
(ii) The SBI Group Cooperates Closely with U.S R3 and U.S. Ripple, which could Become the De Facto Standard of the Next Generation, Through Investment, Establishment of JV, etc., with Both Companies Development of project by participating companies from various industries using technology based on t
Slide 92: Security token markets
② Progress towards expansion of primary & secondary markets for security tokens, to innovate financial transactions [Unauthorized reproduction is prohibited] 91
Slide 93: Japan STO Association Certified as Self-regulatory Organization
Japan STO Association Received Certification as a Self-regulatory Organization in Apr. 2020 -Adopt Self-regulatory Rules for Security Token Offering (STO), a Financing Method through Electronic Records, for the Sound Development of the Industry- • 10 companies, including SBI SECURITIES, SMBC Nikko S
Slide 94: STO as a New Source of Funding
Transforming the Financial Markets with the STO as a New Source of Funding About security tokens • Managing real-world assets, such as stocks, bonds and real estate as tokens distributed via blockchain as securities • Working toward fundraising methods designed to provide a higher degree of freedom
Slide 95: Collaboration with STO Platform Operator BOOSTRY
Expanding the Security Token Business within Japan through Collaboration with STO Platform Operator BOOSTRY MOU announced on July 22, for capital and business alliance Nomura Holdings 56%* * Expected ownership ratios Nomura Research Institute (NRI) 10%* 34%* BOOSTRY develops and runs the ibet STO
Slide 96: Global Ecosystem to Develop the STO Market
Establishing a Global Ecosystem to Develop the STO Market Enhancement of an ecosystem consisting of not only primary markets that issue tokens, but also secondary markets where tokens are traded among holders, is essential for developing and growing the STO market In addition to constructing a d
Slide 97: Blockchain in supply chain management
③ Supporting use of blockchain and distributed ledger technology (DLT) in the supply chain management field [Unauthorized reproduction is prohibited] 96
Slide 98: Accumulated Know-how in Blockchain and DLT
The SBI Group has Already Systematically Accumulated Know-how and Technologies for the Development of Blockchain and Distributed Ledger Technology (DLT) in Various Fields, Including the Supply Chain A cross-sectional SBI Ripple Asia organization of the SBI (A joint venture between Blockchain Group S
Slide 99: Supply Chain Platform Using Corda
A Supply Chain Platform Using Corda, Developed by U.S. R3 -Tie-up with Hyakusho Market, a Ministry of Agriculture, Forestry and Fisheries registered exporter, to build a supply chain platform for produce, starting PoC tests for rice shipment process- The produce supply chain has numerous problems, i
Slide 100: Digital assets in remittance and payment
④ Expand the utilization of digital assets in the remittance and payment sector (i) Inexpensive payment service connections utilizing Money Tap (ii) Digital currency issuance and distribution support [Unauthorized reproduction is prohibited] 99
Slide 101: Money Tap and OpenLegacy API Integration
(i) Inexpensive payment service connections utilizing Money Tap Israel’s OpenLegacy API Integration Services will Enable a Faster Deployment of API-based Connections New company 36 Banks Invest (Money Tap) The Ashikaga Bank, The Awa Bank, EHIME BANK, Kita-Nippon Bank, Accelerating Kiraboshi Bank, Th
Slide 102: Money Tap Collaborating with Financial Institutions
(i) Inexpensive payment service connections utilizing Money Tap Money Tap Collaborating with Financial Institutions for a Win-win Service Offering P2P (remittance P2B between individuals) Individual user 36 financial institutions are participating as shareholders in the 3 banks connected as of Apr.
Slide 103: Connections with Prepaid Charging Providers via Money Tap
(i) Inexpensive payment service connections utilizing Money Tap Status of Connections with Prepaid Charging Service Providers Utilizing Money Tap -Charging is possible without utilizing existing infrastructure, such as CAFIS, leading to an easier, lower charging cost- Advantage (for banks) • Advanta
Slide 104: Charges through Money Tap Steadily Increasing
(i) Inexpensive payment service connections utilizing Money Tap The Number and Amount of Charges through Money Tap is Steadily Increasing In May 2020, the number of charges increased by 16.2%, and the amount of charges increased by 19.6%, a significant increase Currently supports PayPay and LINE
Slide 105: Support for Digital Currency Issuance
(ii) Digital currency issuance and distribution support SBI Group Supports Digital Currency Issuance in Multiple Regions -Previously, the technologies of domestic investee startups invested in were utilized, but moving forward, the mechanism to issue and distribute digital tokens on Corda, which is
Slide 106: PoC Testing of S Coins on S Coin Platform
(ii) Digital currency issuance and distribution support Starting PoC Testing on S Coins Issued for Settlements Using the S Coin Platform Built with Corda <App UI> The S coin platform, built using Corda, can design and issue unique digital currencies according to the application. In this demonstrat
Slide 107: Concept of Japan as Global Financial Center (i)
⑤ Concept of Japan as a Global Financial Center (i) With the collapse of the "one country, two systems" in Hong Kong, Japan has the opportunity to acquire the status of a global financial center, which has been touted as London for Europe, New York for the U.S. and Hong Kong for Asia Funds New York
Slide 108: Concept of Japan as Global Financial Center (ii)
Concept of Japan as a Global Financial Center (ii) While Japan has made efforts to establish a global financial center centered in Tokyo in the past, the problems of a uni-centralized society have become apparent owing to the COVID-19 disaster. From the perspective of a future arrival of a decentral
Slide 109: Strengthening Contact with Digital Generation through Esports
⑥ Strengthening Contact with the Digital Generation through the Esports Business <What is esports?> • Form of sports competition using computer and video games • 70% of the approx. 5 million viewers in Japan are of the young (digital generation) adult segment, and have a high affinity with the targe
Slide 110: Open Alliance Strategy
2. Through the advancement of the “Open Alliance Strategy,” will endeavor to increase the customer base and revenues (1) “Open Alliance Strategy” with regional financial institutions (2) SBI Sumishin Net Bank is moving toward a global IPO, by unbundling its banking functions and advancing its Neo-ba
Slide 111: Open Alliance Strategy with regional financial institutions
(1) “Open Alliance Strategy” with regional financial institutions ① Advancing the sophistication and diversification of asset management at regional financial institutions ② Solving the business succession issue for local companies ③ Steady progress within various measures undertaken with the region
Slide 112: Post-COVID-19 Environment for Regional Financial Institutions
The Post-COVID-19 Era Environment Surrounding the Regional Financial Institutions Short-term Mid-term Long-term Change in Negative interest Progress and Accelerated arrival of evolution of an aging and declining management rate policy financial innovation population environment Negative impact on In
Slide 113: Sophistication of asset management at regional institutions
① Advancing the sophistication and diversification of asset management at regional financial institutions [Unauthorized reproduction is prohibited] 112
Slide 114: Investment and Loan Opportunities for Pre-IPO Startups
Introducing Investment and Loan Opportunities to Pre-IPO Startup Companies, as well as Providing Co-investment and Loan Opportunities through a SPC Developing new asset management opportunities for regional financial institutions in parallel with the operation of SBI Regional Revitalization Asset
Slide 115: Interest Rate Arbitrage Intermediary for Regional Institutions
Introduce as an Intermediary in the Arbitrage Business that Focuses on the Interest Rate Differentials between Japan and Abroad, to Partner Regional Financial Institutions Providing high-yield earnings opportunities, based on information derived from the SBI Group’s investee Southeast Asian financia
Slide 116: Group AUM Reached JPY 3tn; Targets JPY 5tn and 10tn
SBI Group’s Assets Under Management, Including Private Equity, have Already Reached JPY 3tn, and by Responding to the Diversifying Needs of the Regional Financial Institutions, will Endeavor to Increase the AUM to JPY 5tn within 2 years, and JPY 10tn within 5 years (JPY billion) Announced that Leos
Slide 117: Business succession for local companies
② Solving the business succession issue for local companies [Unauthorized reproduction is prohibited] 116
Slide 118: SBI Regional Business Succession Fund
Established SBI Regional Business Succession Fund and Began Full-scale Investing Activities in Order to Support Business Succession Nationwide -Establishing subsequent funds to expand the fund size to approx. JPY 100bn in total at an early date- Supporting business successions of SMEs not only in
Slide 119: Collaboration with TRANBI M&A Platform
In Collaboration with TRANBI, which Operates an M&A Matching Platform “TRANBI,” will Provide a Wide Range of Business Succession and M&A Opportunities -Strengthen the business succession support service to SMEs’ executive management- Business Succession Advisory Office, M&A Advisory Dept. [SBI SECUR
Slide 120: 4th Megabank Concept progress
③ Steady progress within various measures undertaken with the regional financial institutions, with which there are capital and business alliances, toward the “4th Megabank Concept” (i) Shimane Bank (ii) Fukushima Bank (iii) CHIKUHO Bank (iv) Shimizu Bank [Unauthorized reproduction is prohibited] 11
Slide 121: SBI Regional Bank Holdings
Shares of Regional Financial Institutions that SBI has Entered into Capital and Business Alliances will be Transferred into the New Holding Company -Up to 10 banks may be forming a capital and business alliance, in consideration of the available resources, including human capital, of the Group- (Shi
Slide 122: Regional Revitalization Partners Co., Ltd.
In Collaboration with Several Partners who Share the Same Desire of Realizing Regional Revitalization, Planning the Establishment of Regional Revitalization Partners Co., Ltd., this August [SBI Holdings] [Yamaguchi Financial Group] [Shinsei Bank] Regional Revitalization [Concordia Financial Group] [
Slide 123: SBI Regional Bank Holdings Framework
SBI Regional Bank Holdings will Utilize the Functions that Contribute to the Regional Revitalization or Asset Management Functions of the Framework Centered on the Regional Revitalization Partners Co., Ltd. SBI Regional [Regional Revitalization Bank Holdings Partners] SBI Regional SBI Regional Revit
Slide 124: Collaboration with Shimane Bank
(i) Shimane Bank Progress of Various Measures in Collaboration with Shimane Bank (34.0% of Shares Held) Measures to strengthen profitability Joint branches with SBI MONEY PLAZA have made a strong start, with the number of accounts and assets under custody increasing 5 times and 23 times, respectiv
Slide 125: Shimane Bank 1Q FY2020 Results
(i) Shimane Bank Regarding 1Q FY2020 Results -V-shaped recovery, partly owing to collaborations with the SBI Group- Key factors for the recovery (JPY million) Quarterly comparison of core operating profit Number and balance of SME loans to SMEs in San- in region increased as a result of sales base
Slide 126: Attendance Management Services with Japan High Soft
(i) Shimane Bank Using Regional Financial Institutions as Intermediaries, the Group is Working with Local Businesses to Expand Attendance Management Services to SMEs Nationwide -Case study on the joint development of a cloud-based attendance management solution with Japan High Soft in the Shimane Pr
Slide 127: Collaboration with Fukushima Bank
(ii) Fukushima Bank Progress of Various Measures in Collaboration with Fukushima Bank (19.25% of Shares Held) Measures to strengthen profitability Compared to the end of Feb. 2020, the number of accounts and assets under custody at joint branches with SBI MONEY PLAZA have increased 4 times and 52
Slide 128: Collaboration with CHIKUHO Bank
(iii) CHIKUHO Bank Progress of Various Measures in Collaboration with CHIKUHO Bank (Approx. 3% of Shares Held) Measures to strengthen profitability Strengthen collaboration with SBI MONEY PLAZA by launching the operation of “CHIKUHO Bank-SBI MONEY PLAZA Fukuoka” as the second joint branch in Mar.
Slide 129: Collaboration with Shimizu Bank
(iv) Shimizu Bank Progress of Various Measures in Collaboration with Shimizu Bank (Approx. 3% of Shares Held) Measures to strengthen profitability Strengthen collaboration with SBI MONEY PLAZA by launching the operation of “Shimizu Bank- SBI MONEY PLAZA Shizuoka” as the second joint branch in Mar.
Slide 130: SBI Sumishin Net Bank moving toward global IPO
(2) SBI Sumishin Net Bank is moving toward a global IPO, by unbundling its banking functions and advancing its Neo-bank initiatives to partner companies -Preparations for the IPO are underway, including the decision to have Nomura Securities as one of its lead managers- [Unauthorized reproduction is
Slide 131: SBI Sumishin Net Bank Growing into Top Neo-bank
SBI Sumishin Net Bank is Steadily Growing into One of the World’s Top Neo-banks Neo-bank initiative: Customers using business services of partner companies, also have access to ancillary banking functions from SBI Sumishin Net Bank. SBI Sumishin Net Bank works with partner companies to create a fram
Slide 132: JAL NEOBANK
The First Project in the Neo-Bank Initiative “JAL NEOBANK,” which is an Exclusive Banking Service for JAL Mileage Bank Members • Banking service utilizing cutting-edge IT technology of SBI Sumishin Net Bank • Opening a dedicated account allows one to use banking functions as deposit, transfer and se
Slide 133: Alliance with Hikari Tsushin Group
An Alliance with the Hikari Tsushin Group, to Utilize the Financing Capabilities of SBI Sumishin Net Bank -Basic Agreement Reached with the Hikari Tsushin Group for the Creation of New Businesses for the SME Customer Base, in Nov. 2019- Fintech-related technology Hikari Tsushin Group Possesses next-
Slide 134: Alliance with Z Holdings, The Japan Net Bank
As Part of the Alliance with Z Holdings, The Japan Net Bank is Preparing to Provide Housing Loan Products “Flat 35” Handled by SBI Sumishin Net Bank (The Japan Net Bank) Established as Japan’s first Internet-only bank in Sept. 2000 In Feb. 2018, became a consolidated subsidiary of Z Holdings (fo
Slide 135: Acquisition of NetMove
Acquisition of NetMove as a Leading Example of the SBI Group’s Open Alliance Strategy -Promotion of open alliances through M&A- NetMove, which became a wholly owned subsidiary in Apr. 2019, is steadily expanding its settlement business on the back of the cashless trend NetMove Corp. NetMove posses
Slide 136: Alliances with business corporations
(3) Strengthening relationships with business corporations, to promote alliances in various business fields [Unauthorized reproduction is prohibited] 135
Slide 137: Expanding Open Alliance with Leading Companies
In Order to Expand “Open Alliance,” will Maximally Utilize the Group’s Management Resources, and Proactively Propose and Approach Alliances with Leading Companies in Various Industries Financial Services Asset Management Biotechnology Leading business -related companies in a Regional variety of indu
Slide 138: Strategic Alliance with SMBC Group
Open alliance example ①: Mega bank group Continuing to Advance Specific Initiatives of the Strategic Capital and Business Alliance that was Agreed Upon with the SMBC Group in April 2020 Financial Conglomerate Mega Bank Group 〔On Apr. 28, 2020, reached a basic agreement for the strategic capital and
Slide 139: Alliance Initiatives in Securities Business
Open alliance example ①: Mega bank group Specific Alliance Initiatives in the Securities Business Endeavoring to further improve customer convenience through the partnership in the smartphone securities and financial service intermediary operations, as well as the provision of a new asset management
Slide 140: Banking Sector Partnership Discussions
Example of open alliance ①： Megabank group Discussions on a Banking Sector Partnership have Commenced Through the introduction and expansion of the advanced services of the Sumitomo Mitsui Card, will accelerate the “Neo-bank Initiative” promoted by SBI Sumishin Net Bank Experience in handling vari
Slide 141: Capital and Business Alliance with Escrit
Examples of open alliances ②: business corporation Conclusion of a Capital and Business Alliance with Escrit (Announced on July 16, 2020) -Increased efforts to maximize “lifetime value”- Escrit Inc. (listed on the first section of the Tokyo Stock Exchange) • Engaged in bridal business such as weddin
Slide 142: Business Alliance with Takashimaya
Open alliance example ②: Business corporations Initiated the Provision of Financial Services through a Business Alliance with Takashimaya [SBI SECURITIES] The Takashimaya Group will play a leading role in providing various financial services to its customers, both on a face-to-face and online basis,
Slide 143: SBI Insurance Group Expanding Sales Channels
Examples of open alliances ②: business cooperation Small-amount Short-term Insurance Companies of the SBI Insurance Group Leverage the Diversity of Their Products, by Expanding Their Sales Channels to Increase Customer Contact SBI Nihon SSI SBI PRISM SSI Motorcycle insurance Pet insurance Manufactur
Slide 144: CVC Fund Investment Commitments
Open Alliance Example ②： Business Corporation The CVC Fund, which Commenced Operations in 2016, has Steadily Accumulated the Investment Commitment Amount, and will Endeavor to Further Increase the Amount through Alliances with (JPY billion) Business Corporations Commitment amount Commitment amount (
Slide 145: Reference materials for each business
[Reference materials for each business] [Unauthorized reproduction is prohibited] 144
Slide 146: SBI SECURITIES 1Q FY2020 Consolidated Results
1-(1) SBI SECURITIES: SBI SECURITIES 1Q FY2020 Consolidated Results (J-GAAP) [Year-on-year comparison] (Unit: JPY million) 1Q FY2019 1Q FY2020 YoY % (Apr. 2019 – June 2019) (Apr. 2020 – June 2020) change Operating Revenue 27,464 35,375 +28.8 Net Operating Revenue 25,032 32,966 +31.7 Operating Income
Slide 147: SBI SECURITIES Customer Base
1-(1) SBI SECURITIES: SBI SECURITIES Attains an Overwhelming Customer Base [Number of Accounts and Amount of Customer Asset] Customer Accounts of 5 Major Customers’ Deposit Assets of Online Securities Companies 5 Major Online Securities Companies (Mar. 2013 – June 2020) (as of the end of June 2020)
Slide 148: FX Business Accounts and Deposit Assets
1-(2) FX Business： The SBI Group’s (SBI SECURITIES, SBI FXTRADE and SBI Sumishin Net Bank) Total Number of Accounts and Customer Deposit Assets have Overwhelmingly Surpassed that of Its Competitors in the OTC FX Industry Changes in the number of accounts among Customers’ Deposit Assets Ranking (May
Slide 149: Asset Management Business 1Q FY2020 Performance
2. Asset Management Business Asset Management Business’ 1Q FY2020 Performance Overview (IFRS) (JPY billion) 1Q FY2019 1Q FY2020 YoY % (Apr. 2019 – (Apr. 2020 – June 2019) June 2020) change Revenue 32.8 39.7 +21.2 Profit before income tax expense 11.9 12.0 +1.0 SBI SAVINGS BANK 4.9 4.5 -7.1 (*1) Prof
Slide 150: Expected Number of IPOs and M&As
2. Asset Management Business The Number of IPOs and M&As are Expected to be at the Same Level as that in the Previous Fiscal Year Full-year FY2020 Full-year FY2019 Prospects IPO・M&A Deals 24 Over 25 In this current fiscal year, 4 companies were IPO’d EXIT Date Company Market May 8, 2020 Ayala Pharma
Slide 151: Exit Results and Planned IPOs of Fintech Fund Investees
2. Asset Management Business Exit Results and Planned IPO Schedule of Investee Companies of the Fintech Fund (Established in 2015) and SBI AI&Blockchain Fund (Established in 2018) -Both funds moved into the monetization phase, and preparations are underway for successor funds- <Investment results> I
Slide 152: Assets Under Management of the SBI Group
2. Asset Management Business Assets Under Management of the SBI Group (As of the end of June 2020) (*1) (*2) Private equity, etc. JPY 476.9bn (Excluding JPY 129.0bn of both cash and commitment amount to be paid in) Breakdown of operating investment Breakdown of operating investment Amount securities
Slide 153: Biotechnology-related Business Profit before Income Tax
3. Biotechnology-related Business Profit before Income Tax Expense of the Biotechnology-related Business (IFRS) (JPY million) 1Q FY2019 1Q FY2020 (Apr. - June 2019) (Apr. - June 2020) SBI Biotech -87 -86 Quark Pharmaceuticals (“Quark”) -1,832 -945 5 business related SBI Pharmaceuticals -278 -456 -AL
Slide 154: Stores Offering 5-ALA Health Foods Increasing
3. Biotechnology-related Business Number of Domestic Stores that Offer Health Foods Containing 5-ALA are Increasing Steadily Number of stores that offer SBI ALApromo products (stores) (Jan. 2014 – July 28, 2020) 20,000 18,000 As of July 28, 2020: 17,352 The leading drug store chains started 16,000 s
Slide 155: SBI ALApromo New Functional Foods
3. Biotechnology-related Business SBI ALApromo Accelerates the Development of New Foods with Functional Claims Offering of foods with functional claims: Function to improve high levels of fasting blood Cognitive improvement glucose levels and postprandial glucose levels “SBI Ichoha” utilizing • “ALA
Slide 156: Digital Asset-related Business 1Q FY2020 Performance
4. Digital asset-related business Digital Asset-related Business 1Q FY2020 Performance (IFRS) (Crypto-asset exchange) (Included in the Financial Services Business from 1Q FY2019) （JPY million） 1Q FY2019 1Q FY2020 （Apr. －June 2019） （Apr. －June 2020） Profit before income tax 2,207 2,778 expense (crypt
Slide 157: SBI Group Customer Base
5. State of the Group: SBI Group’s Customer Base, which was Expanded through the Thorough Pursuit of the Customer-centric Principle and Group Synergies Breakdown of the Customer Base Compound average (Thousand) (As of the end of June 2020)*1,2 (Thousand) growth rate (Mar. 2018 ~ June 2020) SBI SECUR
Slide 158: Number of Companies and Consolidated Employees
5. State of the Group: Number of Companies and Consolidated Employees of the SBI Group Number of group companies Mar. 2020 June 2020 Consolidated subsidiary (companies) 247 249 Consolidated partnerships (partnerships) 21 26 Total consolidated Subsidiaries (subsidiaries) 268 275 Equity method compani
Slide 159: https://www.sbigroup.co.jp/english/
https://www.sbigroup.co.jp/english/ [Unauthorized reproduction is prohibited] 158