Nomura Holdings, Inc. · TSE:8604

Nomura — Q1 FY2016/17 Earnings Presentation

36 slides from Nomura's earnings presentation, Aug 4, 2016

  1. Slide 1: Form 6-K Cover

    Table of Contents FORM 6-K U.S. SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Report of Foreign Private Issuer Pursuant to Rule 13a-16 or 15d-16 of the Securities Exchange Act of 1934 Commission File Number: 1-15270 For the month of August 2016 NOMURA HOLDINGS, INC. (Translation of regis

  2. Slide 2: Information furnished on this form

    Table of Contents Information furnished on this form: EXHIBIT Exhibit Number 1. Consolidated Results of Operations (US GAAP), First quarter, year ending March 2017

  3. Slide 3: Signatures

    Table of Contents SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized. NOMURA HOLDINGS, INC. Date: August 4, 2016 By: /s/ Hajime Ikeda Hajime Ikeda Senior M

  4. Slide 4: Consolidated Results of Operations (US GAAP), First quarter, year ending March 2017

    Table of Contents Connecting Consolidated First (US Nomura July GAAP) 2016 quarter, Holdings, ©Markets Nomura year Results ending Inc. East of Operations March & West2017

  5. Slide 5: Presentation Outline

    Table of Contents Presentation Outline Executive Overview Business segment Non Segment Robust Retail Funding Asset Wholesale Number -interest Management (p. related financial of and _Other_ segment 5-6) of summary (p. related employees results region liquidity expenses data 9-11) Financial Consolida

  6. Slide 6: Executive Summary

    Table of Contents Executive FY2016/17 7.0%; -lowering Revenues Retail Focused sidelines investment Asset Significantly liquidation Strong Cost Shareholder Launch raise Total Period: (However, Net Calculated Diluted Income income Group 68.7 19.9 46.8 46.6 -19.2 -12.3 Three 82.3 Wholesale 67.5 FY2015/

  7. Slide 7: Overview of Financial Results

    Table of Contents Overview (billions Highlights Non-interest Income taxes Net EPS2 ROE3 (1) (2) (3)1Q4Q1Q QoQYoY FY2016/17FY2015/16FY2015/16 revenue income Net Diluted Calculated 62.8-12.3-106.0-41% Y12.71-Y5.33-Y18.65-32% (loss) 7.0%-10.0% of income ofyen, (loss)1 expenses results net before 338.52

  8. Slide 8: Business Segment Results

    Table of Contents Business (billions Asset Wholesale Net (loss) income taxes Subtotal Other Unrealized equity Income *Additional (1) rather FY2016/17FY2015/16FY2015/16 1Q4Q1Q revenue Unrealized before Management *than securities Wholesale (loss) of segment Asset Retail 48.462.1-22%52.2-7% 5.816.1-64

  9. Slide 9: Retail: Results Highlights

    Table of Contents Retail 1Q Non-interest Key Net Income Revenues Choppy stocks Client (billions Total Investment Bonds Stocks 4,000 investing Discretionary /17QoQYoY FY2015/16FY2016 revenue revenue: points 2Q3Q4Q1Q sales3 franchise declines before market ofin remained yen) trusts REITs declined and

  10. Slide 10: Retail: Client Assets and Recurring Revenue

    Table of Contents Retail: and revenue Y8.7bn yen) 284.2 /Jun discussions 2QQuarterly Continued FY2015/16 /Sep at same 3Q361.8 on level discretionary /Dec focus discretionary FY2016/17 as 4Qon last /Mar providing quarter investment 40,000 1Q Sales investments /Jun 60.0 consulting of 1,500 Jan insuran

  11. Slide 11: Asset Management: Results

    Table of Contents Asset (billions /17 gains Net level Non-interest Outflows Income institutions 1Q Assets (trillions Account): 50.1 47.2 41.4 Investment 37.3 Japan for Internationally, products NCRAM5 Northern FY2015/16 Jun (1) Private fiscal 2015, (3) public Net Nomura 2Q inflows QoQ Sep revenue 50

  12. Slide 12: Asset Management: Assets under Management

    Table of Contents Asset Nomura Assets (trillions 50.0 41.4 40.0 12.8 30.0 10.0 22.0% 20.0 0.0 Jun Inflows (billions Investment 1,500 944 1,294 1,000 500 0-opportunities -500 -1,000 FY2015/16 1Q (1) Private (2) 398Source: Net 2Q 20.0% Sep American 308 24.9% 40.0 37.3 13.2 12.4 28.6 -102 -427 Manageme

  13. Slide 13: Wholesale: Results

    Table of Contents Wholesale /17 Global Investment Non-interest Income taxes (billions 59.2 200.0 250.0 40.8 150.0 100.0 31.5 50.0 73.7 FY2015/16 0.0 49.0 1Q Key nNet Net nAmericas: nEMEA: 9-nAEJ: Solid Investment Market Fixed Improved 2Q QoQ revenue points 44.8 55.4 26.4 18.0 66.2 revenue: 45.4 Y21.

  14. Slide 14: Wholesale: Global Markets

    Table of Contents Wholesale: (billions 176.2 QoQ 158.7 92.1 75.5 84.1 107.9 80.7 FY2015/16 27.6 1Q Key ?A offsetting Fixed Strong Improved opportunities favorable Net Revenues Chi-X FY2016/17 YoY Markets Global 0% Japan AEJ EMEA Americas Income Equities Americas: in of EMEA: uptick AEJ: revenues Jap

  15. Slide 15: Wholesale: Investment Banking

    Table of Contents Wholesale: 1Q2Q3Q4Q1Q deals 38.9%)1 financial consolidation Daiwa financing product Japan: HouseHitachi deals International: institutions contributed Investment Market and inKey Japan large turmoil points and and toand Revenues Banking DCM revenues SSAs2 Mitsubishi(HKD7.8bn) cross-

  16. Slide 16: Non-interest expenses

    Table of Contents Non-interest benefits Other 19.2 personnel reductions 19.6 227.2 0 20.9 expenses FY2014/15 in228.2 expenses international 18.2Total -12.8% FY2015/16 Non-personnel Full 1,257.4 operations, year 8.3 8.5 (billions 1,230.5 Compensation 9.3expenses focus 9.8 Quarter of8.3 yen) on-15.2%

  17. Slide 17: Robust financial position

    Table of Contents Robust portfolioY5.9trnY5.5trn ratio18.1%19.0% 15.013.5%13.2%15.0% Assets30% H exposure oldingsshareholders’ financial (sum Netof Level position on-balance Consolidated 3 equity.(2) Assets 10.010.0% (billions Balance sheet /leverage Tier of June sheet exposures 5.05.0% yen) 1 Capit

  18. Slide 18: Funding and liquidity related

    Table of Contents Funding that equityTrading borrowingsmaturityJapanretail etc.market Trading client arelong funds.14 liabilities and portfolio -term liquidity assetswithin (3)Excludes and debt surplus related: marked Balance 1yr, long-term without Repo, bonds, -to-market 8% sheet and the securities

  19. Slide 19: Financial Supplement

    Table of Contents Financial Supplement

  20. Slide 20: Consolidated balance sheet

    Table of Contents Consolidated deposits4,2493,555-694 Total and equity41,09042,9181,828 trading assets1 balanceand sheet Total private16,41017,5471,137Total (billions loans (1) Including and of yen) receivables2,9703,180210Total securities Mar 31,pledged Junliabilities38,34740,2191,872 30,IncreaseMa

  21. Slide 21: Value at risk

    Table of Contents Value at risk Definition From yen)FY2014/15FY2015/16FY2015/16FY2016/17 VaR4.63.53.85.45.73.54.4 17 April 1, 2016, to June MarMarJunSepDecMarJun 30, 2016 (billions of yen)Equity1.00.91.31.51.70.90.7 99% confidence level Maximum:6.7 Interest rate4.23.83.95.24.93.84.1 1-day time horiz

  22. Slide 22: Consolidated financial highlights

    Table of Contents Consolidated financial 00%-20-19.20% Nomura224.8131.668.746.635.4-19.246.8 NHI61.6636.5319.1112.959.83-5.3113.00 (yen)752.40748.32774.39767.73777.74748.32736.47 FY2014/15 highlights FY2015/16FY2015/16FY2016/17 Full yearQuarter shareholders Holdings, Inc. (billions 18per (1) (“NHI”)

  23. Slide 23: Consolidated results

    Table of Contents Consolidated portfolio securities29.4-20.59.2-10.94.7-23.5-10.0 expenses1,257.41,230.5318.0316.7303.3292.5275.7 service income fees203.4229.059.958.257.853.152.6 Full yearQuarter FY2015/16FY2016/17 Other175.7156.544.939.627.944.135.5 Income Net gain (loss) on (billions before tradi

  24. Slide 24: Main revenue items

    Table of Contents Main revenue distribution fromM&A fees32.645.710.711.311.911.711.9 / of Financial items investment advisory Fulltrusts134.389.534.322.020.812.415.8 yearQuarter fees24.633.17.77.56.511.39.4 feesCustodial (billionsfees19.019.05.04.84.74.44.5 of yen)FY2014/15 investment Other46.844.21

  25. Slide 25: Consolidated results: segment and geographic information

    Table of Contents Consolidated by Adjustment FY2015/16 Retail Asset Wholesale Three Other Segments Unrealized securities Geographic Full (billions 1Q Americas Europe Asia Subtotal Japan Income (1) entity segment Geographic 2Q year and Management 46.0 363.2 providing business 161.8 3Q -23.5 (loss) -1

  26. Slide 26: Segment Other income (loss) before income taxes

    Table of Contents Segment _Other_ Income (loss) economic15.16.4-2.61.1-0.68.512.0 Others4.019.27.26.9-2.67.7-3.5 Income before hedging (loss) income transactions before taxes income Full Realized yearQuarter taxes46.06.114.7-23.0-1.616.15.8 gain on (billions investments of yen) in 50.046.0 equity4.7

  27. Slide 27: Retail related data

    Table of Contents Retail Of administration before investment policies2,401.72,806.42,531.42,640.52,742.72,806.42,850.01.6%12.6% 37.3%-28.2% which, related income commissions trusts5,445.13,656.31,378.9922.2842.0513.2640.524.8%-53.5% data 23 taxes161.8127.650.936.727.812.28.7-28.7%-83.0% fees (1) (1)

  28. Slide 28: Retail related data: client assets

    Table of Contents Retail (trillions 120 113.4 Other 100 80 0F 20 Mar Equities Foreign Domestic Stock Bond Overseas Other2 Total (1) (2) Y2014/15 Including 109.5 95.3 Mar 109.5 investment 100.6 investment related client 4.5 currency 67.2 of Jun mutual bonds bonds1 108.8 5.8 yen) 100.6 FY2015/16 103.0

  29. Slide 29: Retail related data: net inflows

    Table of Contents Retail related minus outflows, data excluding (3) Netregional inflowsfinancial of cash and institutions. securities251 Full yearQuarter (billions of yen)(billions of yen) 1,5001,000 997 1,000500 352 95 5000 -43 48-356-243 0-500 FY2015/16FY2016/17 FY2014/15FY2015/16 1Q2Q3Q4Q1Q (1) C

  30. Slide 30: Retail related data: accounts

    Table of Contents Retail related Home orders59%58%59%60%55%59%58% Trade / data Net &(4)CallNumber accounts4,2164,4124,2704,3374,3844,4124,443 of accounts Transaction (thousands)FY2014/15FY2015/16FY2015/16FY2016/17 value37%36%37%40%32%36%35% New Individual(1) accounts Percentage / ITMarMarJunSepDecMa

  31. Slide 31: Asset Management related data

    Table of Contents Asset Management Income Nomura company 2016. Equity duplications (2)Nomura Capital before Funds overlap from income on Research Asset 1,28.88.18.77.28.68.17.4 December assets related taxes32.136.711.78.410.75.812.2111.8%4.2% Management under and data 1, Technologies management 2015

  32. Slide 32: Asset Management related data: market share

    Table of Contents Asset (2) 102838-24 yen)FY2014/15FY2015/16FY2015/16FY2016/17 Market16.713.917.716.016.013.911.9 (net). Management Sourcev Investment Investment related advisory data Trusts (2) business502,038381,446646-92-169 Association, Asset Nomurainflows/outflows Asset Japan. MarMarJunSepDecMa

  33. Slide 33: Wholesale related data

    Table of Contents Wholesale Non-interest Income Breakdown Full (billions 1Q Fixed Equities1 Global Other Net Investment (1) 29 Fixed 2Q revenue year 1.8 Income1 3Q Markets (loss) of Quarter Income 11.5 286.5 4Q related yen) Banking of 789.9 expenses before 1Q Wholesale -0.1 396.9 683.4 325.1 FY2014/

  34. Slide 34: Number of employees

    Table of Contents Number of employees FY2014/15 FY2015/16FY2015/16FY2016/17 Oceania16,7656,8556,7886,8626,8536,8556,769 Total28,67228,86529,28929,25129,06928,86529,212 MarMarJunSepDecMarJun Japan15,97316,08316,57016,38116,28216,08316,792 30 (1) Includes Powai office in India. Europe3,4853,4243,4923,

  35. Slide 35: Disclaimer

    Table of Contents Disclaimer affiliate regulations, implied, unless document read all (http://www.nomura.com) investor are unaudited. of inherently made, inthe otherwise the thereof sentiments, are following and contains context This rules made uncertain Nomura .document indicated. Offers and that o

  36. Slide 36: Nomura Holdings, Inc. www.nomura.com

    Table of Contents Nomura Holdings, Inc. www.nomura.com

Nomura Holdings — Q1 FY2016/17 Earnings Presentation on 6ix