NTT sees 7.1% fall in nine-month net income

9 Feb 2015

Nippon Telegraph and Telephone Corp (NTT Corp) has reported a 7.1% fall in net profit for the nine months ended 31 December 2014 to JPY449.94 billion (USD3.78 billion) from JPY484.30 billion previously, despite a 2.0% rise in revenues to JPY8.18 trillion from JPY8.03 trillion in the year-earlier period. Operating income fell 7.5% to JPY910.9 billion and pre-tax profit slumped 11.1% to JPY910.18 billion. Capital expenditure in the nine months to 31 December 2014 fell to JPY1.20 trillion with an outlook of JPY1.89 trillion for the full year ending 31 March 2015. Revenues for full-year 2014/15 are expected to reach JPY11.01 trillion, up 0.8% y-o-y, while net profit is forecast at JPY529 billion (down 9.6%).

NTT Corp closed out 2014 with a total of 18.6 million fibre-optic (Flet’s Hikari) broadband subscribers, having added a net 567.000 new connections in the last three months of the year. It also added 654,000 net new Hikari Denwa (IP telephony) customers for a total of 16.91 million, while ADSL lines continued to contract, down a net 65,000 to just over 1.27 million. The group’s NTT East and NTT west operating divisions had 10.67 million and 11.03 million telephone subscriber lines, respectively, at end-2014, down a combined 1.3 million y-o-y. The carrier also reported 2.97 million Hikari TV users and 1.30 Flet’s TV customers.

Japan, NTT (NTT East & NTT West)