KDDI full year net income climbs 24.9%, operating revenue up 4.6%

12 May 2016

KDDI Corp, which markets mobile services in Japan through its ‘au’ brand, has published full year results for its fiscal year ending 31 March 2016, reporting that consolidated operating revenue increased 4.6% year-on-year to JPY4.466 trillion (USD41.069 billion), operating income increased by 25.2% to JPY833.358 billion, EBITDA rose 9.8% to JPY1.411 trillion and net income rose 24.9% to JPY494.465 billion from JPY395.805 billion in FY2015. The carrier says that the impressive metrics across the board helped it to achieve its medium-term targets – double-digit annual growth in consolidated operating income in three consecutive years and dividend pay-out ratio over 30% every year – which were announced in April 2013. Going forward, KDDI Corp has laid down new medium-term goals: toward the fiscal year ending 31 March 2019 it is looking for 7% CAGR growth in operating income and dividend pay-out ratio of over 35%. The operator is forecasting a consolidated operating revenue of JPY4.700 trillion for the year to 31 March 2017, up 5.2% y-o-y, and an operating income of JP885 billion (up 6.2%).

Operationally, KDDI had a total of 45.910 million au mobile subscribers at 31 March 2016, up from 43.478 million a year earlier. Within this figure, KDDI said that smartphone penetration stood at 58.2% of the total (compared to 54.3% in 2015), as total monthly ARPA rose to JPY6,130 from JPY5,950; au ARPA of JPY5,690 marked a 2.9% improvement y-o-y, while value added ARPA increased 4.8% to JPY440. In addition, the carrier said it had a total of 3.699 million FTTH broadband subscribers, up from 3.435 million, 18.048 million UQ WiMAX customers (+89.1%), and 5.052 million CATV households (applicable to RGU), with a bundle ratio of 2.07 based on a total of 10.461 million RGUs. CAPEX in the year to 31 March 2016 stood at JPY531.434 billion, down from JPY667.714 billion the year before.

Japan, KDDI (au)