Nomura Holdings, Inc. · TSE:8604
Nomura — FY2016/17 Earnings Presentation
37 slides from Nomura's earnings presentation, May 9, 2017
Slide 1: Form 6-K Nomura Holdings, Inc.
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 May 2017 NOMURA HOLDINGS, INC. (Translation of registra
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), Fourth quarter and fiscal year ended March 2017
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: May 9, 2017 By: /s/ Hajime Ikeda Hajime Ikeda Senior Mana
Slide 4: Consolidated Results of Operations, Fourth quarter and year ended March 2017
Table of Contents Connecting Consolidated Fourth (US Nomura April GAAP) 2017 quarter, Holdings, ©Markets Results Nomura yearInc. ended East of Operations &March West 2017
Slide 5: Presentation Outline
Table of Contents Executive Presentation Outline Financial Consolidated Segment Retail Asset Management related “Other” Supplement summary balance results: data(p.23) (p. related (p. Income sheet 242 27) 3)data (p.17) Overview (loss) (p.Value 28 before 29) ofatresults Wholesale income risk (p.18) (p
Slide 6: Executive summary FY2016/17
Table of Contents Executive FY2016/17 Strong All Three Retail Asset Inflows Significantly Wholesale Shareholder Dividend Launch 2017, (1) (2) Income (billions Net 500.0 EPS 400.0 60.03 0.0 100.0 20 28.37 200.0 35.52 40 300.0 55.81 2FY12/13 Net FY2005/06 international income1 revenue: income 30Manage
Slide 7: Executive summary: quarterly results
Table of Contents Executive FY2016/17 Quarterly International ROE2: EPS3: Sales AuM Net Equities 1. 2. 3. Income Group 106.0 68.7 81.8 12.3 Three Asset Wholesale 67.5 Retail FY2015/16 4.9 31QNet Calculated Diluted 2Q revenue: income1: revenue 70.3 19.2 61.1 of growth Management Income segment income
Slide 8: Overview of results
Table of Contents Overview (billions Highlights FY2016/17 4Q QoQYoYYoY Non Income Net EPS2 ROE3 1. 2. 43. Net Diluted Calculated revenue income1 interest Full income Y17.00 before 8.8% ofyear of net yen, expenses results using FY2016/17 income 8.7% 349.1 attributable income 61.3 13% except annualize
Slide 9: Business segment results
Table of Contents Business (billions 4QFull QoQYoYYoY Asset Other* Net (loss) income Wholesale Subtotal Other Unrealized equity Income *Additional 1. 5quarter, Unrealized revenue before Management *securities year taxes (loss) year of 54.3+89% segment Retail 22.6 297.7 62.6 gain yen) information and
Slide 10: Retail results
Table of Contents FY15/ 4Q1Q2Q3Q4Q 1617 Non taxes (billions 4,000 0FY2015/16 1,000 2,000 3,000 4Q 1. 2. Key Full Retail Sentiment Fourth Income Net Variable Total Stocks: Decline Investment Stronger Bonds: Sales 6Discretionary revenue: revenue Retail year points interest 1Q2Q3Q4Q sales1 of Stocks cl
Slide 11: Retail: key metrics
Table of Contents Retail: 100.0 25% 71.9 60.0 20% 80.0 20.0 40.0 Quarterly 2,500 2,193.8 51.7 1,000 1,500 2,000 Continued Annualized Mar Recurring Investment Discretionary Client Retail Accounts NISA Net Sales (billions 200.0 234.8 277.5 400.0 600.0 602.8 FY2015/16 0.0 76.1 4Q 1. 2. 3. 74. Retail 2.
Slide 12: Asset Management results
Table of Contents Asset (billions FY15/ 4Q1Q2Q3Q4Q 1617 Non Assets taxes (trillions 48.2 51.452.6 40.1 FY2015/16 Mar Key Full Strong and Fourth Net Income However, Top Nomura Investment Ongoing 1. 82. Total Net revenue cost revenue: 3year points interest Management publicly after 44.7 FY16/16FY2016/
Slide 13: Asset Management: assets under management and inflows
Table of Contents Asset Assets (trillions 50.0 40.1 13.4 40.0 30.0 10.0 20.0 0.0 Inflows (billions Investment 1,500 1,203 477 24 500 1,000 427 4Q Nomura 26.0% share2 FY2015/16 20.0% 22.0% 24.0% 24.0%24.2% 24.8% Mar ETF by Launched Nikkei 7.57.8 Stock further lineup; of 0M 1. FY15/16FY16/17 92. arJun
Slide 14: Wholesale results
Table of Contents Wholesale FY15/ 16/174Q1Q2Q3Q4Q Non income (billions 150.0 200.0 45.4 53.3 100.0 23.7 50.0 49.0 67.7Japan FY2015/16 0.0 4Q Key Full Income Significantly Significant Fourth Investment Net Global EMEA: Fixed 10 revenue: revenue year points interest 1Q2Q3Q4Q Income 40.839.6EMEA 21.426
Slide 15: Wholesale: Global Markets
Table of Contents Wholesale: (billions 170.5 62.6 143.5QoQYoYYoY 156.1+7%QoQ 108.3 107.9 80.7 +33% 57.0YoYAmericas 27.6 4Q Key FY2015/16 Net Fixed Credit Full Revenues Fourth Americas: Equities Japan: revenue revenue: year points 1Q Income revenues 55.8 Fixed quarter AEJ 173.0 99.6117.386.5EMEA 56.5
Slide 16: Wholesale: Investment Banking
Table of Contents Wholesale: 49.7 27.9 QoQ 20.4 23.824.2YoY FY2015/16 4Q Key Fourth Net Investment Japan DCM International Completion Deals Decline companies up Asia Retained league equity AEJ Kyushu Power (Y153bn) (Y400bn Ezaki (US) Euroyen (Y30.9bn) Sushiro (HKD7.1bn)IPO(INR12.4bn) EMEA Global ECM
Slide 17: Non-interest expenses
Table of Contents (billions 1,500 1,230.5 265.2266.8 1,080.4275.7272.7300 expenses Information depreciation and 0brokerage benefits FY2015/16 FY2015/16FY2016/17 4Q1Q2Q3Q4Q Commissions Inf Occupancy Business Other Total Key Full Fourth Compensation Non marketing 13 ormation 0communications year point
Slide 18: Robust financial position
Table of Contents Robust Balance Shareholders’ Gross Liquidity (net) Basel Total Tier CET adequacy Consolidated HQLA5 LCR5 RWA (trillions 20.0 15.4% 15.0 10.0 5.0 0.0 applied balance Level (estimate) (billions 800 Net 600 400 017%16%17%20% 200 10% FY2015/16 Mar 1. 3. 4. 14 Tier Net CET leverage1 Lev
Slide 19: Funding and liquidity
Table of Contents Funding Highly 79% Liquidity Y5.0trn, Maintain Balance (As Assets Unsecured Approx. long Diversified Trading and Long (incl.lending 24%LoansBank AverageEuro Short Cash borrowings Other Total bonds, Breakdown short term 1. 2. 3. 15 Trading Definition Excludes related1 ofterm debtreg
Slide 20: Financial Supplement
Table of Contents Financial Supplement
Slide 21: Consolidated balance sheet
Table of Contents Consolidated (billions 2016 Assets Trading Long equity Noncontrolling Total 1. 17 Including cash payables loans collateralized trading other NHI assets term investments 2017(Decrease)20162017(Decrease) liabilities7,4998,192692 of Liabilities and shareholders’ borrowings8,1307,195 a
Slide 22: Value at Risk
Table of Contents Value Definition 199% Inter (billions Equity MarMarMarJunSepDecMar Interest Foreign Sub Diversification VaR 18daytotal confidence product time at 3.53.33.54.43.94.93.3 rate exchange risk of 0.90.70.90.70.91.40.7 horizon 5.55.05.57.35.88.05.0 yen) price 3.82.73.84.13.22.92.7 From be
Slide 23: Consolidated income and ROE
Table of Contents Consolidated Full (billions 300 8.7%8.6% 7.0% (loss)attributable Nomura Inc. ROE(%) 239.661.261.3 40 1100 0131.6 FY2015/16 FY2015/16FY2016/17 4Q1Q2Q3Q4Q Income Net Holdings, ROE Basic Diluted shareholders Total 1. 19 9.2 Quarterly 0% revenue income (‘‘NHI’’) year (%)1 NHI Net 9%100
Slide 24: Consolidated income statement
Table of Contents Consolidated Full (billions FY2015/16 Commissions Revenue 4Q1Q2Q3Q4Q Fees Asset Gain Other Total Interest Non Income Net 20 gain revenue income year interest from on (loss) revenue management and expense (loss) 156.5 private of oninvestment Quarter on yen) FY2016/17 (loss) trading
Slide 25: Main revenue items
Table of Contents Mainportfolio Full (billions Stock 4Q1Q2Q3Q4Q Commissions Equity Fees investment Other Asset and fees Total 21 yearQuarter from revenue management brokerage Custodial underwriting 432.0327.187.876.374.686.390.0 118.392.629.017.323.423.728.2 229.0216.553.152.652.155.156.6 44.226.98.
Slide 26: Segment and geographic results
Table of Contents Consolidated Adjustment Retail Asset Wholesale Three Other Segments Unrealized securities Geographic Full (billions Americas 4Q1Q2Q3Q4Q Europe Asia Subtotal Japan Income 1. used 22 Geographic year and for Management business (loss) 6.1 244.8 127.6 business of Oceania held 67.4 tota
Slide 27: Segment 'Other' results
Table of Contents Segment Full (billions 40.0 50.0 10.0 0.0 FY2015/16 FY2015/16FY2016/17 30.0 20.0 Net 4Q1Q2Q3Q4Q hedging Realized securities Equity Corporate Others Income 23 gain year 6.1 in 37.6 22.6 16.113.1 3.8 (loss) transactions of (loss) 19.2 gain “Other” earnings held items 5.8 yen) Quarter
Slide 28: Retail related data (1)
Table of Contents Full (billions Commissions 4Q1Q2Q3Q4Q Of Fees Investment Net Non Income Domestic Bond Stock Foreign Accumulated Other Sales Retail 1. 24 Excluding which, interest revenue year interest from credit of investment investment related foreign before investment JGBs ofdistribution broker
Slide 29: Retail related data (2)
Table of Contents Retail (trillions 120 Other 100 80 60 Equities MarMarMarJunSepDecMar FY2015/16FY2016/17FY2015/16FY2016/17 Domestic Stock Bond Foreign Other2 Total 1. 2. 25 Including investment 107.7108.0107.7 investment related client 100.6107.7100.695.399.1108.0107.7 currency investment 100.6100.
Slide 30: Retail related data (3)
Table of Contents Retail Net Full (billions 01,000 48 319 43 306 500 FY2015/16 4Q 1. 26 Cash 0inflows year 1Q2Q3Q4Q 43 500 related 243 500 1,000 and of 338 Quarter yen) FY2016/17 of securities FY2016/17 data cash(billions (3) and inflows securities1 of yen) minus outflows, excluding regional financi
Slide 31: Retail related data (4)
Table of Contents Retail Number Mar Accounts Equity Nomura Net Full (thousands) FY2015/16 New 4Q1Q2Q3Q4Q IT No. Transaction 1. 27 Percentage share1 & of year Individual individual related MarMarJunSepDecMar Call orders holding ofwith Home Quarter accounts value FY2016/17FY2015/16FY2016/17 FY2016/17
Slide 32: Asset Management related data (1)
Table of Contents Asset Full (billions FY2015/16FY2016/17 Net 4Q1Q2Q3Q4Q Non Income (trillions FY2015/16 MarMarMarJunSepDecMar Nomura Group Assets 1. 2. 28 Total Netrevenue year interest Management after company under before assets Asset Funds Corporate of of Quarter yen) deducting yen) FY2016/17FY2
Slide 33: Asset Management related data (2)
Table of Contents Asset Full (billions FY2015/16FY2016/17 4Q1Q2Q3Q4Q of Investment Net FY2015/16 (trillions Mar Domestic Market ETF Nomura 1. 2. 29 Based Source:Investment which asset year Management inflows/outflows MarMarJunSepDecMar Asset of on of ETFs 78.6 13.9 15.8 inflow public Quarter yen) tr
Slide 34: Wholesale related data
Table of Contents Wholesale FY2015/16 Non Income Breakdown Full (billions Fixed 4Q1Q2Q3Q4Q Equities Global Net Investment 1. 30 Past revenue year interest Income figures Markets (loss) of325.1 related Quarter yen) Banking1 Banking FY2016/17 of expenses before 720.3 Wholesale for 275.2 231.980.762.65
Slide 35: Number of employees
Table of Contents Number FY2015/16 Mar Japan Europe Americas Asia Total 1. 31 Includes and MarMarJunSepDecMar 28,865 16,083 of Oceania1 3,424 employees Powai 2,503 FY2016/17FY2015/16FY2016/17 28,18628,86529,21228,65428,39828,186 16,22716,08316,79216,54316,45016,227 3,0263,4243,1703,1473,0633,026 2,3
Slide 36: Disclaimer
Table of Contents Disclaimer Nothing securities or accepted All without This be nature, consider website events Forward Thesales read rights information consolidated document and are in may (http://www.nomura.com) the in all looking by issued regarding the inherently investor this prior of Nomura be
Slide 37: Nomura Holdings, Inc.
Table of Contents Nomura Holdings, Inc. www.nomura.com