NTT (9432) investor relations material

Executive summary

• Six-month revenue reached a record ¥7,362,154 million, up 8.7% YoY, while operating profit fell 12.2% and attributable profit fell 16.0%.

• FY27 forecasts were raised, reflecting DOCOMO performance and strong Integrated ICT sales; AI infrastructure remains a cross-business priority.

Financial highlights

• Operating profit was ¥830,073 million, down ¥114,956 million YoY; profit attributable to NTT was ¥500,193 million, down from ¥595,651 million.

• EBITDA was ¥1,655.7 billion, down 4.9% YoY; operating expenses rose to ¥6,532,081 million from ¥5,827,684 million.

• DOCOMO raised full-year revenue and operating profit guidance by ¥20 billion each; its mobile service revenue turnaround is expected a year earlier than planned.

• DATA expects FY profit growth of ¥40 billion excluding data center transfer gains, mostly from Japan; achievement remains challenging by business area.

Outlook and guidance

• FY27 forecasts: revenue ¥15,080 billion, EBITDA ¥3,450 billion, operating profit ¥1,730 billion and attributable profit ¥994 billion; attributable profit is forecast down 4.1% YoY.

• Versus May 8, forecasts rose 0.1% for revenue, 1.2% for operating profit, 1.3% for pretax profit and 1.4% for attributable profit; the annual dividend forecast was unchanged.

• FY27 capital investment forecast increased ¥43 billion to ¥2,473 billion to improve mobile network quality amid traffic growth.

• DOCOMO expects consumer communications to turn around this fiscal year; H2 enterprise orders in AI and security are expected to support profit guidance.

• Data center transfer gains were zero in Q2; the planned H2 gain of ¥70 billion remains unchanged.