NTT (9432) Q4 2026 (Media) earnings summary

Executive summary

• FY 2025 operating revenue reached a record-high ¥14,409.1 billion, up 5.1% year-on-year, driven by enterprise, Smart Life, digital transformation, AI, and data center REIT transfers.

• EBITDA and operating profit increased year-on-year, with operating profit at ¥1,706.2 billion, despite higher costs for DOCOMO customer base and network quality improvements.

• Growth was supported by the consolidation of SBI Sumishin Net Bank and NTT DATA Group, and strategic initiatives in AI, photonics, and sustainability.

• FY 2026/2027 forecasts anticipate further revenue, EBITDA, and operating profit growth, but a decrease in net profit due to higher interest payments.

• Medium-term EBITDA target of JPY 4 trillion postponed to FY 2030, with a strategic shift toward AI and value-added services.

Financial highlights

• FY 2025 operating revenue rose by ¥704.4 billion year-on-year to ¥14,409.1 billion; operating profit increased by ¥56.7 billion to ¥1,706.2 billion.

• Net profit attributable to shareholders increased by ¥37 billion to ¥1,037.0 billion; comprehensive income surged 66.1% to ¥1,719.1 billion.

• Cash and cash equivalents at year-end nearly doubled to ¥1,921.9 billion.

• Total assets increased to ¥46,721.3 billion, mainly due to new subsidiaries and asset growth.

• FY 2026/2027 guidance projects record-high operating revenue, but profit is expected to decline due to increased interest payments.

Outlook and guidance

• FY 2026/2027 expects operating revenue, EBITDA, and operating profit to rise, but net profit to decrease year-on-year.

• All segments forecast revenue growth, especially Integrated ICT and Global Solutions.

• Dividend per share forecast for FY 2026/2027 is ¥5.40, marking 16 consecutive years of increases.

• Share buyback program up to ¥200 billion planned, with up to 1.4 billion shares to be repurchased.