Nomura Holdings (8604): FY3/27 1Qest : Upgrade to Buy reflecting continuing near 11% RoE

Research evidence excerpt

Nomura Holdings (8604): FY3/27 1Qest : Upgrade to Buy reflecting continuing near 11% RoE

iQprofile SM Nomura Holdings (8604)

Key Income Statement Data 3/25A 3/26A 3/27E 3/28E 3/29E Company Sector

(¥ Billion) Securities Broker/Dealer

Commission received 619 656 757 760 781

Net trading income 580 697 795 767 783

Net gain on private equity and other securities 8 13 6 8 8

Net interest income 84 79 60 60 60 Company Description

Net operating revenue 1,892 2,168 2,381 2,383 2,442 The brokerage/investment bank is Japan's largest. Nomura

S,G & A (1,421) (1,628) (1,845) (1,843) (1,874)

Operating Income 472 540 536 540 568 Holdings, the holding company, includes Nomura Securities

Ordinary Income 472 540 536 540 568 (Japan brokerage and investment banking operations),

Extraordinary Gain(Loss) NA NA NA NA NA

overseas subsidiaries, Nomura Asset Management, and Income Before Taxes 472 540 536 540 568

Total income taxes (125) (165) (155) (156) (164) Nomura Trust and Banking. The segments are wealth

Net Profit 341 362 369 372 392 management (formerly domestic retail), investment

Fully Diluted Shares (mn) 3,070 2,901 2,844 2,803 2,765

management (asset management subsidiaries' profits and

Key Balance Sheet Data

investment gains/losses), and wholesale (IB and global Trading Assets 22,524 23,200 23,896 24,613 25,351

Assets under repurchase agreements and 18,664 19,223 19,800 20,394 21,006 markets). Management does not disclose earnings

securities lending transactions forecasts.

Trading Liabilities 11,379 11,720 12,072 12,434 12,807

Liabilities under repurchase agreements and 18,646 19,205 19,781 20,375 20,986

securities lending transactions

Deposits NA NA NA NA NA Investment Rationale

Borrowings 14,491 14,926 15,373 15,835 16,310