Nomura Holdings Inc 6-K, filed Jan 30, 2020

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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 ExchangeAct of 1934

Commission File Number: 1-15270

For the month of January 2020

NOMURA HOLDINGS, INC.

(Translation of registrant’s name intoEnglish)

9-1, Nihonbashi 1-chome

Chuo-ku, Tokyo 103-8645

Japan

(Address of principal executive offices)

Indicate by check mark whether the registrant files or will file annual reports under cover Form 20-F or Form 40-F.

Form 20-F X             Form 40-F

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

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Information furnished on this form:

EXHIBIT

Exhibit Number
1.		Financial Summary – Nine months ended December 31, 2019.

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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: January 30, 2020		By:		/s/ Go Sugiyama
				Go Sugiyama
				Senior Managing Director

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Financial Summary For the Nine Months EndedDecember 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

		(Rounded to nearest million)
		(Millions of yen, except per share data)
		For the nine months ended December 31
		2018								2019
						% Change fromDecember 31, 2017								% Change fromDecember 31, 2018
Total revenue			1,336,766				(8.5	%)			1,582,733				18.4	%
Net revenue			815,516				(27.1	%)			1,050,359				28.8	%
Income (loss) before income taxes			(62,054	)			—	%			272,979				—	%
Net income (loss) attributable to Nomura Holdings, Inc. (“NHI”) shareholders			(101,286	)			—	%			251,473				—	%
Comprehensive income (loss)			(38,635	)			—	%			227,238				—	%
Basic-Net income (loss) attributable to NHI shareholders per share (Yen)			(30.01	)							77.36
Diluted-Net income (loss) attributable to NHI shareholders per share<br>(Yen)			(30.03	)							75.65
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.

(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

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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

	a)	Changes in accounting policies due to amendments to the accounting standards: Yes
	b)	Changes in accounting policies due to other than a): None
---	---	---

(4) 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<br>(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.

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Table of Contents for the Accompanying Materials

1.    Qualitative Information of the Quarterly ConsolidatedResults			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

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1.	Qualitative Information of the Quarterly Consolidated Results
(1)	Consolidated Operating Results
---	---

U.S. GAAP

		Billions of yen								% Change
		For the nine months ended								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>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.

SegmentInformation

		Billions of yen								% Change
		For the nine months ended								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>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.

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<Business Segment Results>

Operating Results of Retail

		Billions of yen								% Change
		For the nine months ended								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>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								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>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								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>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.

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Other Operating Results

		Billions of yen								% Change
		For the nine months ended								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>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.

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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—Office buildings, 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.

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(1)	Consolidated Balance Sheets
		Millions of yen
---	---	---	---	---	---	---	---	---	---	---	---	---
		March 31,<br>2019				December 31,<br>2019				Increase/<br>(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<br><br><br>(net of accumulated depreciation and amortization of<br>¥ 416,052 million as of March 31, 2019<br>and<br>¥ 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
---	---

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						Millions of yen
						March 31,<br>2019				December 31,<br>2019				Increase/<br>(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<br> <br>3,493,562,601 shares as of December 31, 2019
Outstanding		-		3,310,800,799 shares as of March 31, 2019 and<br> <br>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<br><br><br>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

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(2)	Consolidated Statements of Income
		Millions of yen								% Change
---	---	---	---	---	---	---	---	---	---	---	---	---
		For the nine months ended
		December 31,<br>2018(A)				December 31,<br>2019(B)				(B-A)/(A)
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				—

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(3)	Consolidated Statements of Comprehensive Income
		Millions of yen								% Change
---	---	---	---	---	---	---	---	---	---	---	---	---
		For the nine months ended								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>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				—
(4)	Note with respect to the Assumption as a Going Concern
---	---

Not applicable.

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(5)	Segment Information – Operating Segment

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

		Millions of yen								% Change
		For the nine months ended								(B-A)/(A)
		December 31,<br>2018(A)				December 31,<br>2019(B)
Net revenue
Business segment information:
Retail			265,325				247,565				(6.7	)
Asset Management			66,948				85,581				27.8
Wholesale			413,148				502,711				21.7
Subtotal			745,421				835,857				12.1
Other			79,117				219,279				177.2
Net revenue			824,538				1,055,136				28.0
Reconciliation items:
Unrealized gain (loss) on investments in equity securities held for operating purposes			(9,022	)			(4,777	)			—
Net revenue			815,516				1,050,359				28.8
Non-interest expenses
Business segment information:
Retail			219,136				216,546				(1.2	)
Asset Management			47,191				48,073				1.9
Wholesale			511,532				420,580				(17.8	)
Subtotal			777,859				685,199				(11.9	)
Other			99,711				92,181				(7.6	)
Non-interest expenses			877,570				777,380				(11.4	)
Reconciliation items:
Unrealized gain (loss) on investments in equity securities held for operating purposes			—				—				—
Non-interest expenses			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 securities held for operating purposes			(9,022	)			(4,777	)			—
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.”

		Millions of yen								% Change
		For the nine months ended
		December 31,<br>2018(A)				December 31,<br>2019(B)				(B-A)/(A)
Net gain (loss) related to economic hedging transactions			(4,754	)			22,170				—
Realized gain (loss) on investments in equity securities held for operating purposes			158				6,265				—
Equity in earnings of affiliates			16,599				21,072				26.9
Corporate items			(25,570	)			(12,339	)			—
Other			(7,027	)			89,930				—
Total			(20,594	)			127,098				—

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(6)	Significant Changes in Equity

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

		Millions of yen
		For the nine months ended<br>December 31, 2019
Common stock
Balance at beginning of year			594,493
Balance at end of period			594,493
Additional paid-in capital
Balance at beginning of year			687,761
Stock-based compensation awards			(4,457	)
Balance at end of period			683,304
Retained earnings
Balance at beginning of year			1,486,825
Cumulative effect of change in accounting principle (1)			5,592
Net income attributable to NHI shareholders			251,473
Cash dividends			(48,477	)
Gain (loss) on sales of treasury stock			(231	)
Balance at end of period			1,695,182
Accumulated other comprehensive income (loss)
Cumulative translation adjustments
Balance at beginning of year			17,833
Net change during the period			(16,762	)
Balance at end of period			1,071
Defined benefit pension plans
Balance at beginning of year			(71,107	)
Pension liability adjustment			4,792
Balance at end of period			(66,315	)
Own credit adjustments
Balance at beginning of year			24,224
Own credit adjustments			(17,384	)
Balance at end of period			6,840
Balance at end of period			(58,404	)
Common stock held in treasury
Balance at beginning of year			(108,968	)
Repurchases of common stock			(117,720	)
Sale of common stock			0
Common stock issued to employees			13,280
Balance at end of period			(213,408	)
Total NHI shareholders’ equity
Balance at end of period			2,701,167
Noncontrolling interests
Balance at beginning of year			49,732
Net change during the period			38,724
Balance at end of period			88,456
Total equity
Balance at end of period			2,789,623
(1)	Represents the adjustment to initially apply Accounting Standards Update 2016-02 “Leases”,<br>please refer to section “2. Notes to the Summary Information (1) Changes in Accounting Policies.”
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Table of Contents

4.	Supplementary Information
(1)	Consolidated Statements of Income – Quarterly Comparatives
---	---
		Millions of yen																												% Change				Millions of yen
---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---	---
		For the three months ended																												(B-A)/(A)				For the year ended<br>March 31,<br>2019
		June 30,<br>2018				September 30,<br>2018				December 31,<br>2018				March 31,<br>2019				June 30,<br>2019				September 30,<br>2019(A)				December 31,<br>2019(B)
Revenue:
Commissions			79,456				74,783				72,715				66,115				68,200				65,254				79,289				21.5				293,069
Fees from investment banking			23,959				19,119				33,129				25,314				27,311				22,265				26,803				20.4				101,521
Asset management and portfolio service fees			62,981				62,740				60,591				59,207				59,963				59,926				61,020				1.8				245,519
Net gain on trading			71,887				75,752				96,947				98,378				112,825				105,609				109,266				3.5				342,964
Gain (loss) on private equity investments			553				321				461				(328	)			791				981				1,503				53.2				1,007
Interest and dividends			169,590				188,703				214,542				204,129				199,473				215,881				203,050				(5.9	)			776,964
Gain (loss) on investments in equity securities			2,092				(1,104	)			(9,852	)			1,881				(2,838	)			2,083				2,243				7.7				(6,983	)
Other			20,467				28,067				(11,133	)			43,656				45,654				101,905				14,276				(86.0	)			81,057
Total revenue			430,985				448,381				457,400				498,352				511,379				573,904				497,450				(13.3	)			1,835,118
Interest expense			158,988				165,459				196,803				197,098				179,378				190,524				162,472				(14.7	)			718,348
Net revenue			271,997				282,922				260,597				301,254				332,001				383,380				334,978				(12.6	)			1,116,770
Non-interest expenses:
Compensation and benefits			127,700				125,800				118,928				124,637				125,102				120,425				128,987				7.1				497,065
Commissions and floor brokerage			20,935				19,579				23,821				18,302				24,551				25,446				24,568				(3.5	)			82,637
Information processing and communications			40,961				40,515				41,756				43,633				41,757				42,361				42,821				1.1				166,865
Occupancy and related depreciation			16,376				16,464				15,852				16,248				19,120				18,360				16,276				(11.4	)			64,940
Business development expenses			8,896				9,337				9,121				9,561				7,828				7,906				8,509				7.6				36,915
Other			43,486				70,760				127,283				64,520				38,837				40,396				44,130				9.2				306,049
Total 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			13,643				467				(76,164	)			24,353				74,806				128,486				69,687				(45.8	)			(37,701	)
Income tax expense			6,930				9,703				19,698				20,679				17,917				(11,875	)			10,337				—				57,010
Net income (loss)			6,713				(9,236	)			(95,862	)			3,674				56,889				140,361				59,350				(57.7	)			(94,711	)
Less: Net income (loss) attributable to noncontrolling interests			1,490				1,997				(586	)			2,830				1,056				1,787				2,284				27.8				5,731
Net income (loss) attributable to NHI shareholders			5,223				(11,233	)			(95,276	)			844				55,833				138,574				57,066				(58.8	)			(100,442	)
		Yen																												% Change				Yen
Per share of common stock:
Basic-
Net income (loss) attributable to NHI shareholders per share			1.54				(3.31	)			(28.52	)			0.25				16.83				42.11				18.07				(57.1	)			(29.90	)
Diluted-
Net income (loss) attributable to NHI shareholders per share			1.50				(3.32	)			(28.52	)			0.23				16.48				41.23				17.63				(57.2	)			(29.92	)

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Table of Contents

(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																												(B-A)/(A)				For the year ended<br>March 31,<br>2019
		June 30,<br>2018				September 30,<br>2018				December 31,<br>2018				March 31,<br>2019				June 30,<br>2019				September 30,<br>2019(A)				December 31,<br>2019(B)
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 securities held for operating purposes			2,047				(1,111	)			(9,958	)			1,818				(2,914	)			829				(2,692	)			—				(7,204	)
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 securities held for operating purposes			2,047				(1,111	)			(9,958	)			1,818				(2,914	)			829				(2,692	)			—				(7,204	)
Income (loss) before income taxes			13,643				467				(76,164	)			24,353				74,806				128,486				69,687				(45.8	)			(37,701	)
*	Major components
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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																												(B-A)/(A)				For the year ended<br>March 31,<br>2019
		June 30,<br>2018				September 30,<br>2018				December 31,<br>2018				March 31,<br>2019				June 30,<br>2019				September 30,<br>2019(A)				December 31,<br>2019(B)
Net gain (loss) related to economic hedging transactions			(13,807	)			(16,018	)			25,071				6,554				12,794				7,043				2,333				(66.9	)			1,800
Realized gain (loss) on investments in equity securities held for operating purposes			45				7				106				63				76				1,254				4,935				293.5				221
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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Table of Contents

(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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