NTT DOCOMO’s nine-month net income climbs 11%, revenues up nearly 4%

31 Jan 2018

Japan’s biggest mobile network operator (MNO) in terms of subscribers NTT DOCOMO has published its consolidated financial results for the nine months ending 31 December 2017, highlighting an 11.0% year-on-year rise in net income to JPY654.29 billion (USD6.02 billion) from JPY589.43 billion in the corresponding year-earlier period, as operating revenue rose 3.6% to JPY3.596 trillion and operating income slipped 0.8% to JPY835.35 billion from JPY842.34 billion. The carrier said it was on track to meet its full-year revenue and cost savings targets, but noted that higher costs for sales and its expansion in fibre broadband services had impacted on operating income. EBITDA, meanwhile, was up 1.7% year-on-year at JPY1.222 trillion and nine-month capital expenditure was up 1.0% to JPY403.60 billion.

DOCOMO closed out 2017 with a total of 5.768 million mobile subscribers, up a net 2.090 million on an annualised basis. The MNO has, however, revised down its forecast for year-end subscribers to 76.2 million from 77.1 million. Broken down, DOCOMO had 48.200 million 4G LTE subscribers at 31 December 2017 (up 12%) and 27.478 million 3G users (down 11%), as quarterly churn edged up to 0.62% from 0.56% reported in October-December 2016. In the fixed line sphere, DOCOMO reported 4.480 million ‘docomo Hikari’ fibre broadband subscribers at the end of last year, up sharply from 2.969 million a year earlier, driven by an increase in the number of bundle discount offers being taken with its ‘Ultra Pack’ plans for Hikari subscribers, launched in February.