Nomura Holdings, Inc. · TSE:8604

Nomura — Debt Investor Presentation (January 2014)

23 slides from Nomura's debt investor presentation, January 2014

  1. Slide 1: Creditor Presentation, Third Quarter FY ending March 2014

    Connecting Markets East & West Creditor Presentation Thi d quarter, Third t year ending di March M h 2014 (US GAAP) Nomura Holdings, Inc. January 2014 © Nomura

  2. Slide 2: Disclaimer

    Disclaimer „ This document is produced by Nomura Holdings, Inc. (“Nomura”). „ Nothing in this document shall be considered as an offer to sell or solicitation of an offer to buy any security, commodity or other instrument, including securities issued by Nomura or any affiliate thereof. Offers to sel

  3. Slide 3: Table of Contents

    Table of Contents „ Executive Summary P3 „ Overview of Results P4 „ Retail, Asset Management, Wholesale P5 „ Non-Interest Expenses P9 „ Balance Sheet Management P10 ¾ Financial Position P11 ¾ Liquidity Profile P12 ¾ Funding Profile P13 ¾ Credit Ratings P14 „ Appendix Unless otherwise stated, convers

  4. Slide 4: Executive summary

    Executive summary Highlights FY2013/14 1Q – 3Q „ Significant growth in income before income taxes and net income1 driven by market rally and initiatives to boost profitability; EPS2 of Y39.83 „ Revenues up compared to same period last year when Nomura Real Estate Holdings was a consolidated subsidia

  5. Slide 5: Overview of Results

    Overview of Results Key Points FY2013/14 (JPY bn) FY2012/13 FY2013/14 (USD bn) QoQ YoY 1 YoY 1 Segmentation Highlight 2Q 3Q 1Q-3Q 1Q-3Q 379.4 379 4 1,167.1 1 167 1 „ Retail Net revenue 356.4 +6% -2% 1,160.0 +1% $3.6 $11.1 ¾ Net revenue: Y128bn (+7% QoQ; +34% 128.0 414.0 YoY) Retail 119.7 +7% +34% 25

  6. Slide 6: Retail

    Retail Net revenue and Income Before Income Taxes Key Points JPYbn FY2012/13 FY2013/14 QoQ YoY „ Net revenue and income before income taxes both up QoQ USDbn 3Q 4Q 1Q 2Q 3Q – Sales of stocks and investment trusts increased on higher stock prices, yen 128.0 depreciation p and robust trading g volumes

  7. Slide 7: Asset Management

    Asset Management Net revenue and Income Before Income Taxes Key Points JPYbn FY2012/13 FY2013/14 „ Record assets under management driven by fund inflows and investment QoQ YoY 3Q 4Q 1Q 2Q 3Q environment USDbn „ Strong g income before income taxes on contributions from dividend income 21.2 21 2 Net r

  8. Slide 8: Wholesale

    Wholesale Net revenue and Income Before Income Taxes Key Points FY2012/13 FY2013/14 JPYbn QoQ YoY „ Revenues and income up QoQ; Higher revenues from Japan and Americas 3Q 4Q led to improved revenue mix across regions 1Q 2Q 3Q USDbn – Global Markets driven by strong revenues in Fixed Income 158.0 9 S

  9. Slide 9: Wholesale: Global Markets and Investment Banking

    Wholesale: Global Markets and Investment Banking N t revenue1 Net N t revenue Net (billions of yen) Investment Banking (gross) (billions of yen) Equities 33.4 44.1 47.2 45.8 35.9 QoQ Fixed Income 173.1 165.3 -1% Investment Banking (net) 158.0 159.6 158.0 Other Q Q QoQ 59.9 YoY Y Y +29% 41.9 67.8 30.

  10. Slide 10: Non-Interest Expenses

    Non-Interest Expenses F ll Year Full Y Q Quarter t K P Key Points i t (billions of yen) (billions of yen) „ Non-interest expenses: Y292.5bn 1,575.9 483.9 500 (+3% QoQ) 1,500 1,450.9 Other – Compensation and benefits: +3% QoQ Business development 376.1 400 1,200 9 Bonus provisions increased in line w

  11. Slide 11: Balance Sheet Management

    Balance Sheet Management Balance Sheet (As of Dec 2013) Funding Profile Balance Sheet Structure Assets Liabilities and equity „ Conservative Funding Profile „ Highly liquid, healthy balance sheet structure – More than 80% of unsecured funding2 – 83% of assets are highly liquid is long-term debt trad

  12. Slide 12: Robust Financial Position

    Robust Financial Position B l Balance Sh t Related Sheet R l t d Indicators I di t and d Capital C it l Ratios R ti Ri k W Risk Weighted t 3 and i ht d Assets A d Tier Ti 1 Ratio R ti (trillions of yen) RWA (Basel 2.5) (lhs) RWA (Basel 3) (lhs) Tier 1 ratio (Basel 2.5) (rhs) Tier 1 ratio (Basel 3) (

  13. Slide 13: Liquidity Profile

    Liquidity Profile Breakdown of Liquidity Portfolio (December 2013) „ Maintains JPY6.3 trillion (USD60billion) liquidity portfolio1 as of December 31, 2013 for liquidity risk management and liquidity regulations under Basel 3 „ Liquidity portfolio is diversified by instrument, currency and entities B

  14. Slide 14: Debt Profile

    Debt Profile „ More than 80% of debt is long-term „ Funding sources are diversified among the following three markets to mitigate refinance risk: 9 Bank Lending Market: Funded mainly from Japanese relationship banks 9 Wholesale Market: Access to the bond markets including international market where

  15. Slide 15: Credit Ratings

    Credit Ratings Standard & Moody’s Fitch Rating and Japan Credit As of December 31 2013 Poor’s Investment Rating Agency Information Nomura Holdings, Inc. Long-term BBB+ Baa3 A- A+ AA- Short-term A-2 - F1 a-1 - Outlook stable stable Stable stable stable Nomura Securities Co., Ltd. Long-term A- Baa2 A-

  16. Slide 16: Financial Supplement

    Financial Supplement

  17. Slide 17: Consolidated Balance Sheet

    Consolidated Balance Sheet Millions of yen Millions of yen en March 31, December 31, March 31, December 31, Increase/(Decrease) Increase/(Decrease) 2013 2013 2013 2013 ASSETS LIABILITIES AND EQUITY Cash and cash deposits: Short-term borrowings 738,445 559,795 (178,650) Cash and cash equivalents 805,

  18. Slide 18: Consolidated Income

    Consolidated Income F ll Year Full Y Q Quarter t (billions of yen) FY2012/13 FY2013/14 FY2011/12 FY2012/13 3Q 4Q 1Q 2Q 3Q Revenue Commissions 347.1 359.1 83.7 125.7 157.6 105.6 121.4 Fees from investment banking 59.6 62.4 13.0 21.8 25.4 23.0 15.8 Asset management and portfolio service fees 144.3 141

  19. Slide 19: Income (Loss) Before Income Taxes by Segment and Region

    Consolidated Results: Income (Loss) Before Income Taxes by Segment and Region Adj t Adjustment t off Consolidated C lid t d Results R lt and d Segment S t Results: R lt Income I (Loss) (L ) Before B f I Income T Taxes FY2012/13 FY2012/13 (billions of yen) FY2011/12 FY2012/13 3Q 4Q 1Q 2Q 3Q Retail 63

  20. Slide 20: Segment "Other"

    Segment “Other” Income (loss) Before Income Taxes F ll Year Full Y Q Quarter t (billions of yen) (billions of yen) 40 35.2 50.1 40 20 20 6.6 0 0 -7.0 -3.5 -3.7 -20 -20 -40 -40 -60 -60 -80 80 -67 67.9 9 -80 FY2012/13 FY2013/14 FY2011/12 FY2012/13 3Q 4Q 1Q 2Q 3Q Net gain (loss) related to economic 8.4

  21. Slide 21: Value at Risk

    Value at Risk „ Definition „ From April 1, 1 2013 to December 31, 31 2013 (billions of yen) − 99% confidence level − Maximum: 9.9 − 1-day time horizon for outstanding portfolio − Minimum: 4.4 − Inter-product price fluctuations considered − Average: 6.8 (billions of yen) FY2011/12 FY2012/13 FY2012/13

  22. Slide 22: Number of Employees

    Number of Employees FY2011/12 FY2012/13 FY2012/13 FY2013/14 Mar. 2012 Mar. 2013 Dec. 2012 Mar. 2013 Jun. 2013 Sep. 2013 Dec. 2013 Japan (excluding FA) 19,598 14,123 19,877 14,123 14,654 14,454 14,454 Japan (FA) 2,011 1,907 1,951 1,907 1,911 1,923 1,923 Europe 4,014 3,618 3,747 3,618 3,485 3,459 3,45

  23. Slide 23: Nomura Holdings, Inc.

    Nomura Holdings, g , Inc. www.nomura.com

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