SUMITOMO MITSUI TRUST HOLDINGS, INC. Explanatory Material
3rd Quarter of Fiscal Year 2015 ended on Dec. 31, 2015
Financial results --------- Summary 1-3
Financial conditions --------- Summary 3-4
Financial figures1. Status of profit and loss
---------
1-2
2. Breakdown of profit by business group
---------
3
Gross business profit
Net business profit before credit costs
Securities with fair value
Securities with no available fair value
Balance of loans and deposits
Overseas loans
Loans by industry
Problem assets based on the Financial Reconstruction Act 7
(Banking a/c and principal guaranteed trust a/c combined)
Problem assets based on the Financial Reconstruction Act (After partial direct written-off)
Coverage ratio and allowance ratio of Problem assets based on the Financial Reconstruction Act
Balance Sheets
Statements of Income
Statement of trust account
Breakdown of principal guaranteed trust a/c
Sales volume and sales balance of investment trust/ insurance
[Non-consolidated]
(Billions of Yen)Total sales volume
3QFY2015 (Cumulative total)11 1,408.0
3QFY2014
(Cumulative total)
1,627.9
Change from 3QFY2014
(219.9)
Investment trust
12 863.3 1,117.5
(254.2)
Fund wrap, SMA Insurance
13 255.7
14 289.0
283.1
227.3
(27.4)
61.7
(Billions of Yen)Dec. 2015
Sep. 2015
Mar. 2015
Change from Sep. 2015
Change from Mar. 2015
Total sales balance
15
5,854.5
5,653.1
5,837.3
201.3
17.2
Investment trust
16
2,721.5
2,625.4
2,814.0
96.1
(92.5)
Fund wrap, SMA
17
862.5
841.4
741.2
21.0
121.3
Insurance
18
2,270.5
2,186.2
2,282.0
84.2
(11.5)
Fees and commissions
3. Yields and margins | --------- | 4 |
4. Unrealized gains/ losses on investment securities | --------- | 4-5 |
5. Deferred unrealized gains/ losses of derivative transactions qualified for hedge accounting | --------- | 6 |
6. Loans and Deposits (Banking a/c and principal guaranteed trust a/c combined) | --------- | 6 |
--------- 8-10
Sumitomo MitsuiTrust Holdings (Consolidated): "SuMi TRUST Holdings"or"Consolidated" Sumitomo Mitsui Trust Bank (Non-consolidated): "SuMi TRUST Bank" or "Non-Consolidated"
Regarding forward-looking Statements contained in this material
This presentation material contains information that constitutes forward-looking statements. Such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and actual results may differ from those in the forward-looking statements as a result of various factors including but not limited to changes in managerial circumstances. By virtue of the aforementioned reasons, Sumitomo Mitsui Trust Holdings, Inc. hereby cautions against sole reliance on such forward-looking statements in making investment decisions.
Summary of 3QFY2015 financial results | ||||||
1. Financial Results | ||||||
（1） "Net business profit before credit costs" decreased by 4.9 billion yen from 3QFY2014 to 227.9 billion yen due primarily to decrease in market-related profit in SuMi TRUST Bank, whereas "Net fees and commissions and related profit" increased mainly in subsidiaries engaging in asset management and real estate brokerage. （2） "Ordinary profit" decreased by 25.8 billion yen from 3QFY2014 to 206.6 billinon yen due primarily to increase in "Total credit costs" which was attribultable to non-recurrence of profit from credit cost recovery posted in last fiscal year in SuMi TRUST Bank, whereas "Net gains on stocks" increased.（3） "Net income attributable to owners of the parent" increased by 2.7 billion yen from 3QFY2014 to 129.2 billion yen due primarily to non-recurrence of extraordinary losses posted in last fiscal year in SuMi TRUST Bank. | ||||||
[Consolidated] | (Billions of Yen) | |||||
3QFY2015 (Cumulative total) | 3QFY2014 (Cumulative total) | Change | Forecast for FY2015 | |||
Net business profit before credit costs (*1) | 1 | 227.9 | 232.8 | (4.9) | 315.0 | |
Ordinary profit | 2 | 206.6 | 232.5 | (25.8) | 280.0 | |
Net income attributable to owners of the parent | 3 | 129.2 | 126.5 | 2.7 | 175.0 | |
Total credit costs | 4 | (9.2) | 20.7 | (29.9) | (10.0) | |
Net gains/ losses on stocks | 5 | 23.9 | 9.5 | 14.3 | ||
(Difference from non-consolidated financial results) (*2) | ||||||
Net business profit before credit costs | 6 | 55.2 | 53.1 | 2.1 | ||
Net income attributable to owners of the parent (*3) | 7 | 26.2 | 19.2 | 7.0 | ||
Total credit costs | 8 | (9.2) | 1.8 | (11.1) | ||
Net gains/ losses on stocks | 9 | 16.1 | (5.6) | 21.7 | ||
(*1) Consolidated net business profit before credit costs = Non-consolidated net business profit before credit costs + Ordinary profits of Other subsidiary companies | ||||||
(non-recurring effect adjusted) + Ordinary profits of Affiliates (non-recurring effect adjusted) x Ratio of equity holdings - Intra-group transaction (dividends, etc.) | ||||||
(*2) Differences between "Consolidated (SuMi TRUST Holdings)" and "Non-Consolidated (SuMi TRUST Bank") | ||||||
(*3) Differences between "Net income attributable to owners of the parent" in "Consolidated" and "Net income" in "Non-consolidated". | ||||||
（1） "Net business profit before credit costs" decreased by 7.0 billion yen from 3QFY2014 to 172.7 billion yen due to decrease in "Net interest income and related profit" mainly attributable to increased foreign currencies funding costs as well as decrease in market-related profit, whareas "General and administrative expenses" , mainly non-personnel expenses, decreased.（2） "Ordinary profit" decreased by 34.9 billion yen from 3QFY2014 to 151.3 billinon yen due to non-recurrence of profit from credit cost recovery in "Total credit costs" posted in last fiscal year and decrease in "Net gains on stocks" , etc. in addition to the above.（3） "Net income" decreased by 4.3 billion yen from 3QFY2014 to 102.9 billion yen with effect of non-recurrence of extraordinary losses related to IT system integration posted in last fiscal year. | ||||||
[Non-consolidated] | (Billions of Yen) | |||||
3QFY2015 (Cumulative total) | 3QFY2014 (Cumulative total) | Change | Forecast for FY2015 | |||
Gross business profit | 10 | 347.6 | 365.6 | (17.9) | ||
Net interest income and related profit | 11 | 166.2 | 171.5 | (5.3) | ||
Net fees and commissions and related profit | 12 | 142.2 | 142.3 | (0.0) | ||
Net trading profit | 13 | 13.3 | 26.5 | (13.2) | ||
Net other operating profit | 14 | 25.8 | 25.1 | 0.6 | ||
Net gains on bonds | 15 | 13.6 | 49.3 | (35.6) | ||
Net gains from derivatives other than for trading or hedging | 16 | 3.9 | (24.5) | 28.5 | ||
General and administrative expenses | 17 | (174.9) | (185.8) | 10.9 | ||
Net business profit before credit costs | 18 | 172.7 | 179.7 | (7.0) | 245.0 | |
Net non-recurring profit | 19 | (21.3) | 6.5 | (27.8) | ||
Banking a/c credit costs | 20 | (3.9) | (0.2) | (3.6) | ||
Reversal of allowance for loan losses, etc. | 21 | 3.9 | 19.0 | (15.1) | ||
Net gains/ losses on stocks | 22 | 7.7 | 15.1 | (7.4) | ||
Others | 23 | (29.1) | (27.4) | (1.6) | ||
Ordinary profit | 24 | 151.3 | 186.3 | (34.9) | 210.0 | |
Extraordinary profit/ losses | 25 | (1.4) | (57.2) | 55.8 | ||
IT system integration costs | 26 | - | (55.3) | 55.3 | ||
Income before income taxes | 27 | 149.9 | 129.1 | 20.8 | ||
Total income taxes | 28 | (47.0) | (21.8) | (25.2) | ||
Net income | 29 | 102.9 | 107.3 | (4.3) | 140.0 | |
Total credit costs | 30 | 0.0 | 18.8 | (18.7) | (10.0) | |
(For reference) Overview of the business operation
(1) Ending balance of major accounts (Banking a/c and principal guaranteed trust a/c combined)
Change from Change from
Sep. 2015 Mar. 2015
[Non-consolidated] (Billions of Yen)
Sep. 2015
Mar. 2015
Loans 1 | 26,956.1 | 26,380.1 | 25,894.3 | 575.9 | 1,061.7 | |
Deposits, Trust principal (*) 2 | 26,892.3 | 27,703.4 | 26,469.5 | (811.1) | 422.7 | |
(*) Deposits: Excluding NCDs. | ||||||
(2) Yields and margins (Domestic banking a/c) | ||||||
[Non-consolidated] | (%) | |||||
3 (Cu | QFY2015 (A) 3QFY2015 1HF mulative total) | Y2015 3QFY2014 (B) Change (Cumulative total) (A) - (B) | ||||
Loan deposit margin | 3 | 0.64 | 0.63 | 0.65 | 0.69 | (0.05) |
Loans and bills discounted | 4 | 0.85 | 0.83 | 0.86 | 0.94 | (0.09) |
Deposits and trust principal | 5 | 0.21 | 0.20 | 0.21 | 0.25 | (0.04) |
(3) Status of loans (Banking a/c and principal guaranteed trust a/c combined)
[Non-consolidated] (Billions of Yen)
Dec. 2015 | Sep. 2015 | Mar. 2015 | Change from Sep. 2015 | Change from Mar. 2015 | ||
Loans to individuals | 6 | 7,730.4 | 7,650.7 | 7,564.2 | 79.7 | 166.2 |
Residential mortgage loans | 7 | 7,237.9 | 7,153.8 | 7,076.2 | 84.0 | 161.6 |
Loans to corporations | 8 | 19,225.6 | 18,729.3 | 18,330.1 | 496.2 | 895.5 |
Overseas Japanese borrowers | 9 | 3,163.1 | 3,128.0 | 2,979.6 | 35.0 | 183.5 |
Non-Japanese borrowers | 10 | 3,419.1 | 3,147.3 | 2,924.7 | 271.8 | 494.4 |
[Non-consolidated] (Billions of Yen)
3QFY2014
(Cumulative total)
Change from
3QFY2014
Total fees and commissions 19
50.8 48.3 2.4Sales fees of investment trust/ insurance 20 | 27.9 | 30.2 | (2.2) |
Administration fees 21 | 22.9 | 18.1 | 4.7 |
Sumitomo Mitsui Trust Holdings Inc. issued this content on 28 January 2016 and is solely responsible for the information contained herein. Distributed by Public, unedited and unaltered, on 28 January 2016 07:19:32 UTC
Original Document: http://www.smth.jp/en/ir/fs/1512/E1512_02.pdf
