KDDI posts strong third quarter results but lowers net income guidance

Japanese service provider KDDI has posted revenue of JPY970 billion (USD10.6 billion) for the three months ending 31 December 2012, up 7.5% year-on-year. Net income for the period came in at JPY100.5 billion (USD1.1 billion) on the back of stronger sales of smartphones. The telco raised its fixed line guidance for the year ending 31 March 2013 to JPY3.6 trillion from JPY3.58 trillion, but warned that overall net income may slip by 1.5% to JPY235 billion as a result of a writedown of its fixed assets. KDDI is Japan’s second largest wireless operator by subscribers, and added 707,000 new users during the quarter, to bring its total subscriber base to 36.8 million.