KDDI (9433) Q2 2026 (Q&A) earnings summary

Executive summary

• Revenue and profit increased year-over-year in H1 FY26-03, driven by growth in mobile, finance, IoT, and data center businesses, with strong quarter-on-quarter gains and progress in mobile structural reforms and AI initiatives.

• Strategic focus includes finance, energy, DX, data centers, and expansion into new fields such as mobility, space, healthcare, Web3/metaverse, and sports/entertainment.

• Headquarters relocated to Takanawa Gateway City in July 2025 to foster innovation and collaboration.

• Interim dividend of ¥40 per share declared, with consolidated results and mobile progress in line with forecasts.

Financial highlights

• Operating revenue reached ¥2,963.2 billion, up 3.8% year-over-year, with Q2 sequential growth of 6.3%.

• Operating income was ¥577.2 billion, up 0.7% year-over-year, and profit attributable to owners rose 7.6% to ¥377.7 billion.

• Net income progress rate reached 50.5% of the full-year forecast.

• Basic earnings per share increased to ¥96.95 after a two-for-one stock split.

• Free cash flow increased by ¥417.9 billion year-over-year in H1 FY26-03.

Outlook and guidance

• Full-year forecast: operating revenue ¥6,330,000 million (+7.0%), operating income ¥1,178,000 million (+5.3%), profit attributable to owners ¥748,000 million (+9.1%), and basic EPS ¥194.38.

• Targeting a ¥55 billion profit increase in H2, with ¥30 billion from focus areas (finance, energy, DX, Lawson).

• Confident in achieving full-year EPS and dividend targets; interim dividend set at ¥40.

• No changes to previously announced forecasts.