Japan Securities Finance : Financial Presentation for FY2021 (PDF 4.08MB)

Japan Securities Finance Co., Ltd.

FY2021

Financial Results Presentation

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Table of Contents

＜Part Ⅰ＞ Overview of Financial Results for FY2021

◼ １．Executive summary (Consolidated)	Ｐ３
◼ ２．Summary Financial Results for FY2021	Ｐ４
◼ ３．Summary Financial Results for FY2021（JSF parent）	Ｐ５
◼ ４．Financial Highlight（Margin Loan Business）	Ｐ６
◼ ５．Financial Highlight（Securities Financing）	Ｐ７
◼ ６．Financial Highlight（Securities Investment of JSF parent）	Ｐ８
◼ ７．Summary Financial Results for FY2021（ JSF Trust Bank）	Ｐ９
◼ ８．Balance Sheet Summary (Consolidated)	Ｐ１０
◼ ９．Estimated Figures for FY2021	Ｐ１１

＜Part Ⅱ＞ Our Initiatives and achievements in the 6th Mid-Term Management Plan

◼	１．FY2021 Results	P１３
◼ ２．Achievements of the 6th Mid-Term Management Plan	P１４
◼ ３．Results of JSF's Efforts to Date	P１５
◼ ４．Efforts in FY2021 (Summary)	P１６
◼ ５．Medium-term Management Policy: Overview	P１７
◼	6.	Measures to Realize Management Goals & Concept of our Business portfolio	P１８
◼	7.	Effort in Corporate Governance (1) Composition of Board of Directors	P１9
		(2) Appointment of Executive Officers	P２０
		(3) Sustainability	P２１
◼	8.	Shareholder	P２2
◼		(Results for the previous term and planned for this term)	P２3
(Reference) Medium-term management policy	P２4
(Appendix)	P２６-５２

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１．Executive Summary (Consolidated)
（¥ mil）	FY2021			Highlights
Full Year	YoY ⊿	⊿％
				✓ There was a downturn in the margin loan
				business （△46.1％） due to a decrease in
				the balance of stock loans.
Operating				✓ Securities financing saw an increase in
30,138	▲786	△2.5％	revenue（+22.4%). Bond lending
Revenues
			remained steady and outstanding equity
				repo transactions also increased.
				✓ Revenue of subsidiary JSFTB increased
				(+10.3%) due to steady trust business.
				✓ Operating expenses decreased due to a
				decrease in borrowing fees accompanying
Operating				a decrease in the stock loan balance.
6,235	＋1,458	＋30.5％	✓ General and administrative expenses
Income
			decreased mainly due to a revision of the
				method to calculate the allowance for
				doubtful accounts, etc.
Recurring	7,162	＋1,606	＋28.9％
Income
Net	5,172	＋1,203	＋30.3％
Income
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２．Summary of Financial Results for FY2021

			Consolidated
	（¥ mil）
		FY2021	YoY.⊿	(%⊿)
			Full Year
Operating Revenues		30,138	▲786	(△2.5%)
	Except		27,305	3,593	(＋15.2%)
	Premium Charges
Operating Expenses		16,533	▲1,484	(△8.2%)
	Except		13,728	2,908	(＋26.9%)
	Premium Charges
General &		7,368	▲760	(△9.4%)
Administrative Expenses
Operating Income		6,235	1,458	(＋30.5%)
Recurring Income		7,164	1,606	(＋28.9%)
	Gain or Loss in		446	51	(+13.1%)
	Equity-Method
Extraordinary		▲17	▲61	(ー)
Profit or Loss
Net Income		5,174	1,203	(＋30.3%)

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Non-consolidated

JSF	JSF Trust Bank	Nihon Building

YoY.⊿ YoY.⊿ YoY.⊿

26,586	▲964	2,960	335	1,286	▲8
23,753	3,416
16,335	▲1,312	435	▲90	25	5
13,529	3,080
6,004	▲985	1,140	293	666	▲12
4,246	1,334	1,383	132	595	▲1
5,928	1,444	1,385	130	707	▲8
▲17	▲17	―	―	―	▲43
4,539	1,029	1,023	166	465	▲35
	～ All For Securities Market ～	4

３．Summary of Financial Results for FY2021

（Non-consolidated）

Japan Securities Finance

（Non-consolidated）

*Excluding premium charge

			（¥ mil）	FY2021	YoY.⊿	(%⊿)
			Full Year
		Operating Revenues*	23,753	3,416	(+16.8%)
			Margin Loan Business*	3,285	▲860 (△20.8%)
			Securities Financing	15,391	3,021	(＋24.4%)
			Others	5,076	1,255	(＋32.9%)
		Operating Expenses*	13,529	3,080	(＋29.5%)
		General &	6,004	▲985	(△14.1%)
		Administrative Expenses
		Operating Income	4,246	1,334	(+45.8%)
		Recurring Income	5,928	1,444	(＋32.2%)
		Extraordinary	▲17	▲17	(ー)
		Profit or Loss
		Net Income	4,539	1,029	(＋29.3%)

Key Points

●Operating Revenues

• Up ¥3,416 mil (+16.8%) YoY driven by Securities Investment （"Others"）.
• Margin loan business decreased YoY. The balance of stock loans continued to decline.
• Securities financing saw an increase in revenue. Bond lending remained steady and outstanding equity repo transactions also increased.
• Others (securities investment) also saw an increase in revenue due to the steady accumulation of carry income and the recording of gains on

sale under portfolio management.

*For details of segments, see "Financial

Highlights for FY2021 (P6-P8)"

●Operating Expenses

• Up ¥3,080mil (+29.5%) YoY
• Fees on borrowing securities in bond lending increased.

●General & Administrative Expenses

• Decreased ¥985mil (△14.1%) YoY
• This was mainly due to a revision of the method to calculate the allowance for doubtful accounts.

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