Nomura Holdings, Inc. · TSE:8604

Nomura — Debt Investor Presentation (April 2015)

27 slides from Nomura's debt investor presentation, April 2015

  1. Slide 1: Creditor Presentation Fourth Quarter, Year Ended March 2015

    Connecting Markets East & West Creditor Presentation Fourth Quarter, Year Ended March 2015 (US GAAP) Nomura Holdings, Inc. April 2015 © Nomura

  2. Slide 2: Outline

    Outline Presentation Financial Supplement  Executive Summary (p. 2-3)  Consolidated Balance Sheet (p. 16)  Overview of Results (p. 4)  Consolidated Income (p. 17)  Retail (p. 5)  Consolidated Results: Income (loss) before Income Taxes by Segment and Region (p. 18)  Asset Management (p. 6)  R

  3. Slide 3: Executive summary: full year highlights

    Executive summary Full year highlights Income before income taxes, net income1 and EPS3  Net income1 up 5% YoY at Y224.8bn[$1.9bn], the highest level since FY2005/062 (billions of yen) (yen) and the second best year since reporting under US GAAP started in FY2001/02 − Although income before income

  4. Slide 4: Executive summary: 4Q highlights

    Executive summary Income before income taxes and net 4Q highlights income1 Group-wide (billions of yen) 税前利益 Income before income taxes  Net income at highest level in past two years driven by improved profitability in international [$0.9bn] 113.2 当期純利益 Net income 116.1 business 105.0 – Net revenue

  5. Slide 5: Overview of Results

    Overview of Results Quarterly Full Year FY2014/2015 (billions of yen) QoQ YoY FY2013/2014 FY2014/2015 YoY (billions of dollar) 3Q 4Q Net revenue 434.5 1,604.2 425.0 +2% +11% 1,557.1 +3% [$3.6] [$13.4] 122.9 476.5 Retail 128.8 -5% +26% 511.9 -7% [$1.0] [$4.0] 23.9 92.4 Asset Management 23.4 +2% +17%

  6. Slide 6: Retail

    Retail Net revenue and income before income taxes Key points (billions of yen) Full year Quarter (billions of dollars) Full year results FY13/ 14 FY2014/15  Net revenue: Y476.5bn[$4.0bn] (-7% YoY) FY13/ 14 FY14/ 15 QoQ YoY 4Q 1Q 2Q 4Q 3Q  Income before income taxes: Y161.8bn[$1.3bn] (-16% YoY) 476

  7. Slide 7: Asset Management

    Asset Management Net income and income before income taxes Key points (billions of yen) Full year Quarter (billions of dollars) FY13/ FY14/ FY13/ FY2014/15 Full year results 14 QoQ YoY 14 15  Net revenue: Y92.4bn[$0.8bn] (+15% YoY) 4Q 1Q 2Q 3Q 4Q  Income before income taxes: Y32.1bn[$0.3bn] (+18%

  8. Slide 8: Wholesale

    Wholesale Net revenue and income before income taxes Key points (billions of yen) Full year Quarter (billions of dollars) Full year results FY13/ FY13/ FY14/ 14 FY2014/15  Net revenue: Y789.9bn[$6.6bn] (+3% YoY) QoQ YoY 14 15  Income before income taxes: Y82.2bn[$0.7bn] (-26% YoY) 4Q 1Q 2Q 3Q 4Q 6

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

    Wholesale: Global Markets and Investment Banking Global Markets : Net revenue Investment Banking : Net revenue (billions of yen) [$1.7bn] (billions of yen) Investment Banking (gross) Equities 199.0 QoQ 55.4 43.2 40.7 52.7 57.3 Fixed Income +33% 166.8 166.6 168.1 Investment Banking (net) Other [$0.3b

  10. Slide 10: Non-interest expenses

    Non-interest expenses Full year Quarter Key points (billions of yen) (billions of yen) Full year  Non-interest expenses: Y1,257.4bn[$10.5bn] 500 1,500 (+5% YoY) Other 1,257.4 1,195.5 400 1,200 [$2.8bn] – Increase mainly due to yen depreciation Business development expenses 319.2 329.6 – Other facto

  11. Slide 11: Robust financial position

    Robust financial position Balance sheet related indicators and capital ratios Risk weighted assets3 and Tier 1 ratio (trillions of yen) RWA (Basel 3) (lhs) Tier 1 ratio (Basel 3) (rhs) Mar 2014 Dec 2014 Mar 2015 20.0 20.0%  Total assets Y43.5trn Y44.1trn Y41.8trn [$348bn] 15.0 13.2% 13.1% 12.7% 12.

  12. Slide 12: Funding and liquidity

    Funding and liquidity Balance sheet (As of Mar 2015) Funding Profile Balance sheet structure Assets Liabilities and equity  Conservative Funding Profile  Highly liquid, healthy balance sheet structure – More than 80% of unsecured funding2 – 81% of assets are highly liquid is long-term debt trading

  13. Slide 13: Debt Profile

    Debt Profile  Robust structure: More than 80% of long-term debt is comprised of unsecured funding  Funding sources are diversified among the following three markets to mitigate refinance risk:  Bank Lending Market: Funding mainly from Japanese relationship banks  Wholesale Market: Access to the

  14. Slide 14: Liquidity Portfolio

    Liquidity Portfolio  The firm’s liquidity portfolio1 was approximately JPY6.1 trillion ($50.5bn) as of March 31, 2015 and is measured on the basis of an established liquidity management framework  The liquidity portfolio is primarily comprised of highly liquid G4 government bonds, is diversified a

  15. Slide 15: Credit Ratings

    Credit Ratings Standard & Moody’s Fitch Rating and Japan Credit As of April 30, 2015 Poor’s Investment Rating Agency Information Nomura Holdings, Inc. Long-term BBB+ Baa1 A- A+ AA- Short-term A-2 - F1 a-1 - Outlook stable Stable Stable stable stable Nomura Securities Co., Ltd. Long-term A- A3 A- A+

  16. Slide 16: Financial Supplement

    Financial Supplement

  17. Slide 17: Consolidated Balance Sheet

    Consolidated Balance Sheet M illions of yen M illions of yen M arch 31, M arch 31, M arch 31, M arch 31, Increase/(Decrease) Increase/(Decrease) 2014 2015 2014 2015 AS S ETS LIABILITIES AND EQUITY Cash and cash deposits: Short-term borrowings 602,131 662,256 60,125 Cash and cash equivalents 1,489,79

  18. Slide 18: Consolidated income

    Consolidated income Full year Quarter (billions of yen) FY2013/14 FY2014/15 FY2013/14 FY2014/15 4Q 1Q 2Q 3Q 4Q Revenue Commissions 473.1 453.4 89.5 95.6 110.8 123.2 123.7 Fees from investment banking 91.3 95.1 27.2 19.8 20.6 28.8 25.8 Asset management and portfolio service fees 168.7 203.4 42.5 46.1

  19. Slide 19: Income before income taxes by segment and region

    Consolidated results: Income (loss) before income taxes by segment and region Adjustment of consolidated results and segment results: Income (loss) before income taxes Full year Quarter FY2013/14 FY2014/15 (billions of yen) FY2013/14 FY2014/15 4Q 1Q 2Q 3Q 4Q Retail 192.0 161.8 23.3 31.6 38.9 50.5 40

  20. Slide 20: Retail related data

    Retail related data Full year Quarter FY2013/14 FY2014/15 (billions of yen) FY2013/14 FY2014/15 QoQ 4Q 1Q 2Q 3Q 4Q Commissions 300.2 258.9 46.1 55.4 67.5 70.6 65.3 -7.4% Sales credit 106.1 106.4 26.4 25.0 25.9 30.0 25.4 -15.3% Fees from investment banking and other 40.3 32.5 9.1 9.1 6.7 8.7 8.0 -7.3

  21. Slide 21: Asset Management related data

    Asset Management related data Full year Quarter FY2013/14 FY2014/15 (billions of yen) FY2013/14 FY2014/15 QoQ YoY 4Q 1Q 2Q 3Q 4Q Net revenue 80.5 92.4 20.5 23.3 21.7 23.4 23.9 1.9% 16.7% Non-interest expenses 53.4 60.3 15.1 15.1 13.9 14.1 17.2 22.2% 13.7% Income before income taxes 27.1 32.1 5.3 8.3

  22. Slide 22: Wholesale related data

    Wholesale related data Wholesale Full year Quarter (billions of yen) FY2013/14 FY2014/15 FY2013/14 FY2014/15 QoQ YoY 4Q 1Q 2Q 3Q 4Q Net revenue 765.1 789.9 198.5 188.9 190.6 178.9 231.5 29.4% 16.6% Non-interest expenses 653.3 707.7 165.0 183.1 168.4 178.5 177.7 -0.5% 7.7% Income before income taxes

  23. Slide 23: Segment “Other”

    Segment “Other” Income (loss) before income taxes Full year Quarter (billions of yen) 50.0 46.0 44.8 40.0 34.2 30.0 20.0 20.0 10.0 2.6 2.5 0.0 -4.0 -10.0 1 2 1 2 3 4 5 FY2013/14 FY2014/15 FY2013/14 FY2014/15 4Q 1Q 2Q 3Q 4Q Net gain related to economic 17.4 15.1 6.5 6.9 2.2 6.4 -0.3 hedging transacti

  24. Slide 24: Value at risk

    Value at risk  Definition  From April 1, 2014 to March 31, 2015 (billions of yen) − 99% confidence level − Maximum: 9.8 − 1-day time horizon for outstanding portfolio − Minimum: 3.1 − Inter-product price fluctuations considered − Average: 6.4 (billions of yen) FY2013/14 FY2014/15 FY2013/14 FY2014/

  25. Slide 25: Number of employees

    Number of employees FY2013/14 FY2014/15 FY2013/14 FY2014/15 Mar Mar Mar Jun Sep Dec Mar Japan (excluding FA) 14,149 14,144 14,149 14,559 14,391 14,290 14,144 Japan (FA) 1,888 1,829 1,888 1,889 1,853 1,853 1,829 Europe 3,461 3,485 3,461 3,481 3,530 3,539 3,485 Americas 2,281 2,449 2,281 2,335 2,421 2

  26. Slide 26: 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

  27. Slide 27: Nomura Holdings, Inc.

    Nomura Holdings, Inc. www.nomura.com

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