Nomura : Financial Summary - Nine months ended December 31, 2019(PDF 268KB)

News Release

January 30, 2020

NOMURA HOLDINGS, INC.

Financial Summary - Nine months ended December 31, 2019

We are pleased to report the following consolidated financial summary based on the consolidated financial information under U.S. GAAP for the nine months ended December 31, 2019.

Financial Summary For the Nine Months Ended December 31, 2019 (U.S. GAAP)

Date:	January 30, 2020
Company name (code number):	Nomura Holdings, Inc. (8604)
Stock exchange listings:	(In Japan) Tokyo, Nagoya
	(Overseas) New York, Singapore
Representative:	Koji Nagai
	President and Group CEO, Nomura Holdings, Inc.
For inquiries:	Junko Tago
	Executive Director, Head of Investor Relations, Nomura Holdings, Inc.
	Tel: (Country Code 81) 3-5255-1000
	URL: https://www.nomura.com

1. Consolidated Operating Results

(1) Operating Results

Total revenue

Net revenue

Income (loss) before income taxes

Net income (loss) attributable to

Nomura Holdings, Inc. ("NHI") shareholders

Comprehensive income (loss)

Basic-Net income (loss) attributable to NHI shareholders per share (Yen) Diluted-Net income (loss) attributable to NHI shareholders per share (Yen)

Return on shareholders' equity - annualized

(Rounded to nearest million) (Millions of yen, except per share data)

For the nine months ended December 31

2018		2019
% Change from		% Change from
December 31, 2017		December 31, 2018
1,336,766	(8.5%)	1,582,733	18.4%
815,516	(27.1%)	1,050,359	28.8%
(62,054)	－%	272,979	－%
(101,286)	－%	251,473	－%
(38,635)	－%	227,238	－%
(30.01)		77.36
(30.03)		75.65
(5.0%)		12.6%

Note: Return on shareholders' equity is a ratio of Net income (loss) attributable to NHI shareholders to Total NHI shareholders' equity.

(2) Financial Position
	(Millions of yen, except per share data)
	At March 31		At December 31
	2019		2019
Total assets	40,969,439	46,242,334
Total equity	2,680,793	2,789,623
Total NHI shareholders' equity	2,631,061	2,701,167
Total NHI shareholders' equity as a percentage of total assets	6.4%	5.8%
Total NHI shareholders' equity per share (Yen)	794.69	873.68

2. Cash Dividends

							(Yen amounts)
		For the year ended March 31
	2019			2020			2020 (Plan)
Dividends per share
Dividends record dates
At June 30	－		－	－
At September 30	3.00	15.00			－
At December 31	－		－	－
At March 31	3.00		－	Unconfirmed
For the year	6.00		－	Unconfirmed

Note: Fiscal year 2020 Q4 dividend forecast is not presented per reasons stated in "3. Earnings Forecasts for the year ending March 31, 2020."

3. Earnings Forecasts for the year ending March 31, 2020

Nomura provides investment, financing and related services in the capital markets on a global basis. In the global capital markets there exist uncertainties due to, but not limited to, economic and market conditions. Nomura, therefore, does not present earnings forecasts.

Notes

1. Changes in significant subsidiaries during the period: None
   (Changes in Specified Subsidiaries accompanying changes in scope of consolidation)
2. Adoption of the simplified and particular accounting treatments: None
3. Changes in accounting policies
4. 1. Changes in accounting policies due to amendments to the accounting standards: Yes
   2. Changes in accounting policies due to other than a): None
5. Number of shares issued (common stock)

	At March 31		At December 31
	2019		2019
Number of shares outstanding (including treasury stock)	3,493,562,601	3,493,562,601
Number of treasury stock	182,761,802	401,863,402
	For the nine months ended December 31
	2018		2019
Average number of shares outstanding (year-to-date)	3,374,581,279	3,250,819,816

*This financial summary is not subject to certified public accountant's or audit firm's quarterly review.

Table of Contents for the Accompanying Materials
1.	Qualitative Information of the Quarterly Consolidated Results .........................................................	P.	2
	(1)	Consolidated Operating Results ...........................................................................................................	P.	2
	(2)	Consolidated Financial Position ..........................................................................................................	P.	4
	(3)	Consolidated Earnings Forecasts .........................................................................................................	P.	4
2.	Notes to the Summary Information .......................................................................................................	P.	5
	(1)	Changes in Accounting Policies ..........................................................................................................	P.	5
3.	Quarterly Consolidated Financial Statements ......................................................................................	P.	5
	(1)	Consolidated Balance Sheets................................................................................................................	P.	6
	(2)	Consolidated Statements of Income .....................................................................................................	P.	8
	(3)	Consolidated Statements of Comprehensive Income ...........................................................................	P.	9
	(4)	Note with respect to the Assumption as a Going Concern ..................................................................	P.	9
	(5)	Segment Information - Operating Segment .........................................................................................	P.10
	(6)	Significant Changes in Equity .............................................................................................................	P.11
4.	Supplementary Information ...................................................................................................................	P.12
	(1)	Consolidated Statements of Income - Quarterly Comparatives ..........................................................	P.12
	(2)	Business Segment Information - Quarterly Comparatives ..................................................................	P.13
	(3)	Other ....................................................................................................................................................	P.14

- 1 -

1. Qualitative Information of the Quarterly Consolidated Results

(1) Consolidated Operating Results U.S. GAAP

	Billions of yen		% Change
	For the nine months ended
	December 31,		December 31,		(B-A)/(A)
	2018 (A)		2019 (B)
Net revenue	815.5	1,050.4	28.8
Non-interest expenses	877.6		777.4		(11.4)
Income (loss) before income taxes	(62.1)	273.0		－
Income tax expense	36.3		16.4		(54.9)
Net income (loss)	(98.4)	256.6		－
Less: Net income (loss) attributable to noncontrolling interests	2.9		5.1		76.7
Net income (loss) attributable to NHI shareholders	(101.3)	251.5		－
Return on shareholders' equity - annualized
(5.0%)	12.6%		－

Note: Return on shareholders' equity is a ratio of Net income (loss) attributable to NHI shareholders to Total NHI shareholders' equity.

Nomura Holdings, Inc. and its consolidated entities (collectively, "Nomura") reported net revenue of 1,050.4 billion yen for the nine months ended December 31, 2019, an increase of 28.8% from the same period in the prior year. Non-interest expenses decreased by 11.4% from the same period in the prior year to 777.4 billion yen. Income before income taxes was 273.0 billion yen and net income attributable to NHI shareholders was 251.5 billion yen for the nine months ended December 31, 2019.

Segment Information

	Billions of yen		% Change
	For the nine months ended
	December 31,		December 31,		(B-A)/(A)
	2018 (A)		2019 (B)
Net revenue	824.5	1,055.1	28.0
Non-interest expenses	877.6		777.4		(11.4)
Income (loss) before income taxes	(53.0)	277.8		－

In the above segment information totals, which exclude unrealized gain (loss) on investments in equity securities held for operating purposes, net revenue for the nine months ended December 31, 2019 was 1,055.1 billion yen, an increase of 28.0% from the same period in the prior year. Non-interest expenses decreased by 11.4% from the same period in the prior year to 777.4 billion yen. Income before income taxes was 277.8 billion yen for the nine months ended December 31, 2019. Please refer to page 10 for further details of the differences between U.S. GAAP and business segment amounts.

- 2 -

Operating Results of Retail

	Billions of yen		% Change
	For the nine months ended
	December 31,		December 31,		(B-A)/(A)
	2018 (A)		2019 (B)
Net revenue	265.3	247.6	(6.7)
Non-interest expenses	219.1		216.5		(1.2)
Income (loss) before income taxes	46.2	31.0	(32.8)

Net revenue decreased by 6.7% from the same period in the prior year to 247.6 billion yen, primarily due to decreasing commissions from brokerage and distribution of investment trusts. Non-interest expense decreased by 1.2% to 216.5 billion yen. As a result, income before income taxes decreased by 32.8% to 31.0 billion yen.

Operating Results of Asset Management

	Billions of yen		% Change
	For the nine months ended
	December 31,		December 31,		(B-A)/(A)
	2018 (A)		2019 (B)
Net revenue	66.9	85.6	27.8
Non-interest expenses	47.2		48.1		1.9
Income (loss) before income taxes	19.8	37.5	89.8

Net revenue increased by 27.8% from the same period in the prior year to 85.6 billion yen. Non-interest expense increased by 1.9% to 48.1 billion yen. As a result, income before income taxes increased by 89.8% to 37.5 billion yen. Assets under management were 55.6 trillion yen as of December 31, 2019.

Operating Results of Wholesale

	Billions of yen		% Change
	For the nine months ended
	December 31,		December 31,		(B-A)/(A)
	2018 (A)		2019 (B)
Net revenue	413.1	502.7	21.7
Non-interest expenses	511.5	420.6	(17.8)
Income (loss) before income taxes	(98.4)	82.1		－

Net revenue increased by 21.7% from the same period in the prior year to 502.7 billion yen. Non-interest expense decreased by 17.8% to 420.6 billion yen. As a result, income before income taxes was 82.1 billion yen.

- 3 -

Other Operating Results

	Billions of yen		% Change
	For the nine months ended
	December 31,		December 31,		(B-A)/(A)
	2018 (A)		2019 (B)
Net revenue	79.1	219.3	177.2
Non-interest expenses	99.7		92.2		(7.6)
Income (loss) before income taxes	(20.6)	127.1		－

Net revenue was 219.3 billion yen including income of 73.3 billion yen recognized in July 2019 from the sale of a part of our shares held in Nomura Research Institute, Ltd. Income before income taxes was 127.1 billion yen.

(2) Consolidated Financial Position

Total assets as of December 31, 2019 were 46,242.3 billion yen, an increase of 5,272.9 billion yen compared to March 31, 2019, mainly due to the increase in Trading assets and Securities purchased under agreements to resell. Total liabilities as of December 31, 2019 were 43,452.7 billion yen, an increase of 5,164.1 billion yen compared to March 31, 2019, mainly due to the increase in Securities sold under agreements to repurchase. Total equity as of December 31, 2019 was 2,789.6 billion yen, an increase of 108.8 billion yen compared to March 31, 2019.

(3) Consolidated Earnings Forecasts

Nomura provides investment, financing and related services in the capital markets on a global basis. In the global capital markets there exist uncertainties due to, but not limited to, economic and market conditions. Nomura, therefore, does not present earnings and dividend forecasts.

- 4 -

2. Notes to the Summary Information

(1) Changes in Accounting Policies

Leases

On April 1, 2019, Nomura adopted Accounting Standards Update 2016-02 "Leases" using a modified retrospective transition method. As a result of recognizing operating leases on the consolidated balance sheet, Other Asset-Officebuildings, land, equipment, and facilities increased by 169,277 million yen and Other liabilities increased by 163,685 million yen on April 1, 2019. Also, Retained earnings increased by 5,592 million yen on April 1, 2019 mainly due to changes in certain lease classifications.

3. Quarterly Consolidated Financial Statements

The quarterly consolidated financial information herein has been prepared in accordance with Nomura's accounting policies which are disclosed in the notes to the consolidated financial statements of Nomura Holdings, Inc.'s Annual Securities Report (the annual report filed in Japan on June 25, 2019) and Form 20-F (the annual report filed with the U.S. Securities and Exchange Commission on June 25, 2019) for the year ended March 31, 2019.

- 5 -

(1) Consolidated Balance Sheets

				Millions of yen
		March 31,		December 31,	Increase/
		2019	2019		(Decrease)
	ASSETS
Cash and cash deposits:
Cash and cash equivalents	2,686,659	3,152,017		465,358
Time deposits	289,753	266,708		(23,045)
Deposits with stock exchanges and other segregated cash	285,457		316,822		31,365
Total cash and cash deposits	3,261,869	3,735,547		473,678
Loans and receivables:
Loans receivable	2,544,218	2,943,499		399,281
Receivables from customers	449,706	406,029		(43,677)
Receivables from other than customers	892,283	513,962		(378,321)
Allowance for doubtful accounts	(4,169)		(6,069)	(1,900)
Total loans and receivables	3,882,038		3,857,421		(24,617)
Collateralized agreements:
Securities purchased under agreements to resell	13,194,543	15,632,816		2,438,273
Securities borrowed	4,112,416		3,922,106		(190,310)
Total collateralized agreements	17,306,959	19,554,922		2,247,963
Trading assets and private equity investments:
Trading assets*	14,355,712	16,672,458		2,316,746
Private equity investments*	30,077		39,112		9,035
Total trading assets and private equity investments	14,385,789	16,711,570		2,325,781
Other assets:
Office buildings, land, equipment and facilities
(net of accumulated depreciation and amortization of
¥	416,052 million as of March 31, 2019 and
¥	417,071 million as of December 31, 2019)	349,365	460,101		110,736
Non-trading debt securities*	460,661	465,999		5,338
Investments in equity securities*	138,447	129,940		(8,507)
Investments in and advances to affiliated companies*	436,220	362,406		(73,814)
Other		748,091		964,428		216,337
Total other assets	2,132,784	2,382,874		250,090
Total assets		40,969,439	46,242,334		5,272,895
*Including securities pledged as collateral

- 6 -

			Millions of yen
	March 31,		December 31,	Increase/
	2019	2019		(Decrease)
LIABILITIES AND EQUITY
Short-term borrowings	841,758	1,067,890		226,132
Payables and deposits:
Payables to customers	1,229,083	1,174,953		(54,130)
Payables to other than customers	1,146,336	1,292,192		145,856
Deposits received at banks	1,392,619	1,237,028		(155,591)
Total payables and deposits	3,768,038	3,704,173		(63,865)
Collateralized financing:
Securities sold under agreements to repurchase	15,036,503	19,387,218		4,350,715
Securities loaned	1,229,595	1,266,228		36,633
Other secured borrowings	418,305	317,138		(101,167)
Total collateralized financing	16,684,403		20,970,584		4,286,181
Trading liabilities	8,219,811	8,626,238		406,427
Other liabilities	858,867	1,172,645		313,778
Long-term borrowings	7,915,769	7,911,181		(4,588)
Total liabilities	38,288,646	43,452,711		5,164,065
Equity
NHI shareholders' equity:
Common stock
Authorized - 6,000,000,000 shares
Issued - 3,493,562,601 shares as of March 31, 2019 and
3,493,562,601 shares as of December 31, 2019
Outstanding - 3,310,800,799 shares as of March 31, 2019 and
3,091,699,199 shares as of December 31, 2019	594,493	594,493		－
Additional paid-in capital	687,761	683,304		(4,457)
Retained earnings	1,486,825	1,695,182		208,357
Accumulated other comprehensive income (loss)	(29,050)	(58,404)		(29,354)
Total NHI shareholders' equity before treasury stock	2,740,029	2,914,575		174,546
Common stock held in treasury, at cost -
182,761,802 shares as of March 31, 2019 and
401,863,402 shares as of December 31, 2019	(108,968)	(213,408)	(104,440)
Total NHI shareholders' equity	2,631,061		2,701,167		70,106
Noncontrolling interests	49,732	88,456		38,724
Total equity	2,680,793		2,789,623		108,830
Total liabilities and equity	40,969,439	46,242,334		5,272,895

- 7 -

(2) Consolidated Statements of Income

	Millions of yen		% Change
	For the nine months ended
	December 31,	December 31,		(B-A)/(A)
	2018(A)	2019(B)
Revenue:
Commissions	226,954			212,743	(6.3)
Fees from investment banking	76,207			76,379	0.2
Asset management and portfolio service fees	186,312			180,909	(2.9)
Net gain on trading	244,586			327,700	34.0
Gain on private equity investments	1,335			3,275	145.3
Interest and dividends	572,835			618,404	8.0
Gain (loss) on investments in equity securities	(8,864)			1,488		－
Other	37,401			161,835		332.7
Total revenue	1,336,766			1,582,733	18.4
Interest expense	521,250			532,374		2.1
Net revenue	815,516			1,050,359	28.8
Non-interest expenses:
Compensation and benefits	372,428			374,514	0.6
Commissions and floor brokerage	64,335			74,565	15.9
Information processing and communications	123,232			126,939	3.0
Occupancy and related depreciation	48,692			53,756	10.4
Business development expenses	27,354			24,243	(11.4)
Other	241,529			123,363		(48.9)
Total non-interest expenses	877,570			777,380	(11.4)
Income (loss) before income taxes	(62,054)			272,979		－
Income tax expense	36,331			16,379	(54.9)
Net income (loss)	(98,385)			256,600		－
Less: Net income attributable to noncontrolling interests	2,901			5,127	76.7
Net income (loss) attributable to NHI shareholders	(101,286)			251,473		－
Per share of common stock:
	Yen			% Change
Basic-
Net income (loss) attributable to NHI shareholders per share	(30.01)			77.36		－
Diluted-
Net income (loss) attributable to NHI shareholders per share	(30.03)			75.65		－

- 8 -

(3) Consolidated Statements of Comprehensive Income

	Millions of yen		% Change
	For the nine months ended
	December 31,	December 31,		(B-A)/(A)
	2018(A)	2019(B)
Net income (loss)	(98,385)		256,600		－
Other comprehensive income (loss):
Cumulative translation adjustments:
Cumulative translation adjustments	35,040		(16,837)		－
Deferred income taxes	(1,702)		67		－
Total	33,338		(16,770)		－
Defined benefit pension plans:
Pension liability adjustment	2,039		4,167	104.4
Deferred income taxes	(995)	625		－
Total	1,044		4,792		359.0
Own Credit Adjustments:
Own Credit Adjustments	31,350		(19,640)		－
Deferred income taxes	(5,982)		2,256		－
Total	25,368		(17,384)		－
Total other comprehensive income (loss)	59,750		(29,362)		－
Comprehensive income (loss)	(38,635)		227,238		－
Less: Comprehensive income attributable to noncontrolling interests	3,645		5,119	40.4
Comprehensive income (loss) attributable to NHI shareholders	(42,280)		222,119		－

1. Note with respect to the Assumption as a Going Concern Not applicable.

- 9 -

(5) Segment Information - Operating Segment

The following table shows business segment information and reconciliation items to the consolidated statements of income.

Net revenue

Business segment information: Retail

Asset Management Wholesale Subtotal

Other

Net revenue Reconciliation items:

Unrealized gain (loss) on investments in equity securities held for operating purposes

Net revenue

Millions of yen		% Change
For the nine months ended
December 31,		December 31,		(B-A)/(A)
2018 (A)		2019 (B)
265,325	247,565	(6.7)
66,948	85,581	27.8
413,148		502,711		21.7
745,421	835,857	12.1
79,117		219,279		177.2
824,538		1,055,136		28.0
(9,022)	(4,777)		－
815,516	1,050,359	28.8

Non-interest expenses

Business segment information: Retail

Asset Management Wholesale Subtotal

Other Non-interest expenses

Reconciliation items:

Unrealized gain (loss) on investments in equity securities held for operating purposes Non-interest expenses

219,136	216,546	(1.2)
47,191	48,073	1.9
511,532		420,580		(17.8)
777,859	685,199	(11.9)
99,711		92,181		(7.6)
877,570	777,380	(11.4)
－		－		－
877,570	777,380	(11.4)

Income (loss) before income taxes

Business segment information:
Retail	46,189	31,019	(32.8)
Asset Management	19,757	37,508	89.8
Wholesale	(98,384)		82,131		－
Subtotal	(32,438)	150,658		－
Other *	(20,594)		127,098		－
Income (loss) before income taxes	(53,032)	277,756		－
Reconciliation items:
Unrealized gain (loss) on investments in equity	(9,022)	(4,777)		－
securities held for operating purposes
Income (loss) before income taxes	(62,054)	272,979		－

*Major components

Transactions between operating segments are recorded within segment results on commercial terms and conditions, and are eliminated in "Other." The following table presents the major components of income (loss) before income taxes in "Other."

Net gain (loss) related to economic hedging transactions

Realized gain (loss) on investments in equity securities held for operating purposes Equity in earnings of affiliates

Corporate items Other

Total

Millions of yen	% Change
For the nine months ended
December 31,	December 31,	(B-A)/(A)
2018 (A)	2019 (B)
(4,754)		22,170		－
158		6,265		－
16,599		21,072		26.9
(25,570)		(12,339)	－
(7,027)		89,930		－
(20,594)		127,098		－

- 10 -

(6) Significant Changes in Equity

Not applicable. For further details of the changes, please refer below.

Common stock

Balance at beginning of year

Balance at end of period

Additional paid-in capital

Balance at beginning of year

Stock-based compensation awards

Balance at end of period

Retained earnings

Balance at beginning of year

Cumulative effect of change in accounting principle (1)

Net income attributable to NHI shareholders

Cash dividends

Gain (loss) on sales of treasury stock

Balance at end of period

Accumulated other comprehensive income (loss)

Cumulative translation adjustments

Balance at beginning of year

Net change during the period

Balance at end of period

Defined benefit pension plans

Balance at beginning of year

Pension liability adjustment

Balance at end of period

Own credit adjustments

Balance at beginning of year

Own credit adjustments

Balance at end of period

Balance at end of period

Common stock held in treasury

Balance at beginning of year

Repurchases of common stock

Sale of common stock

Common stock issued to employees

Balance at end of period

Total NHI shareholders' equity

Balance at end of period

Noncontrolling interests

Balance at beginning of year

Net change during the period

Balance at end of period

Total equity

Balance at end of period

Millions of yen

For the nine months ended

December 31, 2019

594,493

594,493

687,761

(4,457)

683,304

1,486,825

5,592

251,473

(48,477)

(231)

1,695,182

17,833

(16,762)

1,071

(71,107)

4,792

(66,315)

24,224

(17,384)

6,840

(58,404)

(108,968)

(117,720)

0

13,280

(213,408)

2,701,167

49,732

38,724

88,456

2,789,623

1. Represents the adjustment to initially apply Accounting Standards Update 2016-02 "Leases", please refer to section "2. Notes to the Summary Information (1) Changes in Accounting Policies."

- 11 -

4. Supplementary Information

(1) Consolidated Statements of Income - Quarterly Comparatives

Revenue: Commissions

Fees from investment banking

Asset management and portfolio service fees Net gain on trading

Gain (loss) on private equity investments Interest and dividends

Gain (loss) on investments in equity securities

Other

Total revenue Interest expense Net revenue

Non-interest expenses: Compensation and benefits Commissions and floor brokerage Information processing and communications Occupancy and related depreciation Business development expenses

Other

Total non-interest expenses

Income (loss) before income taxes

Income tax expense

Net income (loss)

Less: Net income (loss) attributable to noncontrolling interests

Net income (loss) attributable to NHI shareholders

Per share of common stock: Basic-

Net income (loss) attributable to NHI shareholders per share

Diluted-

Net income (loss) attributable to NHI shareholders per share

						Millions of yen							% Change		Millions of yen
				For the three months ended								For the year ended
June 30,		September 30,		December 31,	March 31,	June 30,		September 30,		December 31,		(B-A)/(A)		March 31,
2018		2018		2018		2019		2019		2019(A)		2019(B)				2019
79,456	74,783	72,715		66,115		68,200	65,254	79,289	21.5	293,069
23,959	19,119	33,129		25,314		27,311	22,265	26,803	20.4	101,521
62,981	62,740	60,591		59,207		59,963	59,926	61,020	1.8	245,519
71,887	75,752	96,947		98,378		112,825	105,609	109,266	3.5	342,964
553	321	461		(328)		791	981	1,503	53.2	1,007
169,590	188,703	214,542		204,129		199,473	215,881	203,050	(5.9)	776,964
2,092	(1,104)	(9,852)		1,881		(2,838)	2,083	2,243	7.7	(6,983)
20,467		28,067		(11,133)	43,656		45,654	101,905	14,276	(86.0)	81,057
430,985		448,381		457,400		498,352		511,379		573,904		497,450		(13.3)		1,835,118
158,988		165,459		196,803		197,098		179,378		190,524		162,472		(14.7)		718,348
271,997		282,922		260,597		301,254		332,001		383,380		334,978		(12.6)		1,116,770
127,700	125,800	118,928		124,637		125,102	120,425	128,987	7.1	497,065
20,935	19,579	23,821		18,302		24,551	25,446	24,568	(3.5)	82,637
40,961	40,515	41,756		43,633		41,757	42,361	42,821	1.1	166,865
16,376	16,464	15,852		16,248		19,120	18,360	16,276	(11.4)	64,940
8,896	9,337	9,121		9,561		7,828	7,906	8,509	7.6	36,915
43,486		70,760		127,283		64,520		38,837		40,396		44,130		9.2		306,049
258,354		282,455		336,761		276,901		257,195		254,894		265,291		4.1		1,154,471
13,643	467	(76,164)	24,353		74,806	128,486	69,687	(45.8)	(37,701)
6,930		9,703		19,698		20,679		17,917		(11,875)		10,337		－		57,010
6,713		(9,236)		(95,862)	3,674		56,889	140,361	59,350	(57.7)	(94,711)
1,490		1,997		(586)	2,830		1,056	1,787	2,284	27.8	5,731
5,223	(11,233)	(95,276)	844		55,833	138,574	57,066	(58.8)	(100,442)
						Yen							% Change		Yen
1.54	(3.31)	(28.52)		0.25		16.83	42.11	18.07	(57.1)	(29.90)
1.50	(3.32)	(28.52)		0.23		16.48	41.23	17.63	(57.2)	(29.92)

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(2) Business Segment Information - Quarterly Comparatives

The following table shows quarterly business segment information and reconciliation items to the consolidated statements of income.

						Millions of yen							% Change		Millions of yen
					For the three months ended								For the year ended
	June 30,		September 30,		December 31,		March 31,	June 30,		September 30,		December 31,		(B-A)/(A)		March 31,
	2018	2018	2018	2019		2019		2019(A)		2019(B)			2019
Net revenue
Business segment information:
Retail	92,833	85,710	86,782	74,155		80,640	76,882	90,043	17.1	339,480
Asset Management	26,089	24,681	16,178	30,897		34,500	25,676	25,405	(1.1)	97,845
Wholesale	137,290		147,660		128,198		142,240		159,486		156,698		186,527		19.0		555,388
Subtotal	256,212	258,051	231,158	247,292		274,626	259,256	301,975	16.5	992,713
Other	13,738		25,982		39,397		52,144		60,289		123,295		35,695		(71.0)		131,261
Net revenue	269,950	284,033	270,555	299,436		334,915	382,551	337,670	(11.7)	1,123,974
Reconciliation items:
Unrealized gain (loss) on investments in equity	2,047	(1,111)	(9,958)	1,818		(2,914)	829	(2,692)		－	(7,204)
securities held for operating purposes
Net revenue	271,997	282,922	260,597	301,254		332,001	383,380	334,978	(12.6)	1,116,770
Non-interest expenses
Business segment information:
Retail	72,909	73,494	72,733	70,854		72,522	71,621	72,403	1.1	289,990
Asset Management	15,806	15,768	15,617	16,469		16,358	15,630	16,085	2.9	63,660
Wholesale	144,714		142,745		224,073		155,255		139,479		137,777		143,324		4.0		666,787
Subtotal	233,429	232,007	312,423	242,578		228,359	225,028	231,812	3.0	1,020,437
Other	24,925		50,448		24,338		34,323		28,836		29,866		33,479		12.1		134,034
Non-interest expenses	258,354	282,455	336,761	276,901		257,195	254,894	265,291	4.1	1,154,471
Reconciliation items:
Unrealized gain (loss) on investments in equity	－		－		－		－	－		－		－		－		－
securities held for operating purposes
Non-interest expenses	258,354	282,455	336,761	276,901		257,195	254,894	265,291	4.1	1,154,471
Income (loss) before income taxes
Business segment information:
Retail	19,924	12,216	14,049	3,301		8,118	5,261	17,640	235.3	49,490
Asset Management	10,283	8,913	561	14,428		18,142	10,046	9,320	(7.2)	34,185
Wholesale	(7,424)		4,915		(95,875)		(13,015)		20,007		18,921		43,203		128.3		(111,399)
Subtotal	22,783	26,044	(81,265)	4,714		46,267	34,228	70,163	105.0	(27,724)
Other *	(11,187)		(24,466)		15,059		17,821		31,453		93,429		2,216		(97.6)		(2,773)
Income (loss) before income taxes	11,596	1,578	(66,206)	22,535		77,720	127,657	72,379	(43.3)	(30,497)
Reconciliation items:
Unrealized gain (loss) on investments in equity	2,047	(1,111)	(9,958)	1,818		(2,914)	829	(2,692)		－	(7,204)
securities held for operating purposes
Income (loss) before income taxes	13,643	467	(76,164)	24,353		74,806	128,486	69,687	(45.8)	(37,701)

* Major components

Transactions between operating segments are recorded within segment results on commercial terms and conditions, and are eliminated in "Other."

The following table presents the major components of income (loss) before income taxes in "Other."

						Millions of yen							% Change		Millions of yen
					For the three months ended								For the year ended
	June 30,		September 30,		December 31,		March 31,	June 30,		September 30,		December 31,	(B-A)/(A)		March 31,
	2018		2018		2018		2019		2019		2019(A)		2019(B)				2019
Net gain (loss) related to economic	(13,807)	(16,018)	25,071	6,554		12,794	7,043	2,333		(66.9)	1,800
hedging transactions
Realized gain (loss) on investments in equity	45	7	106	63		76	1,254	4,935		293.5	221
securities held for operating purposes
Equity in earnings of affiliates	6,619	8,536	1,444	15,933		8,265	8,009	4,798		(40.1)	32,532
Corporate items	(2,482)	(23,719)	631	(10,426)		1,391	(4,635)	(9,095)		－	(35,996)
Other	(1,562)		6,728		(12,193)		5,697		8,927		81,758		(755)	－	(1,330)
Total	(11,187)		(24,466)		15,059		17,821		31,453		93,429		2,216		(97.6)		(2,773)

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(3) Other

Quarterly financial information for Nomura Securities Co., Ltd. can be found at the following URL.

https://www.nomuraholdings.com/company/group/nsc/pdf/2020_3q.pdf

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