DoCoMo operating growth shows first rise in three years

25 Apr 2008

Japan’s largest mobile operator by subscribers NTT DoCoMo today posted operating profit of JPY808.3 billion (USD7.7 billion) for the financial year ended 31 March 2008, up from JPY773.5 billion in FY2006/07 and its first operating profit growth in three years. The company attributed its stronger-than-expected performance to lower sales costs and the effects of other cost-cutting measures. Analysts polled by Thomson Financial had expected an operating profit of JPY795.4 billion for the year. DoCoMo said its net profit climbed 7.4% year-on-year to JPY491.2 billion, although revenues dipped marginally by 1.6% to JPY4.71 trillion. At the start of this year the cellco forecast its FY2007/08 revenue would be JPY4.667 trillion while operating profit would reach JPY780 billion and net income JPY467 billion. DoCoMo says it expects to post turnover of JPY4.768 trillion in its current financial year, as well as operating profit of JPY830 billion and net profit of JPY503 billion.