KDDI sees solid growth in 9M profit, revenue

3 Feb 2017

Japan’s KDDI has released its financial results for the nine months ending 31 December 2016 (1-3Q 2017) with net profit climbing by 15.4% to JPY471.4 billion (USD4.2 billion) from JPY408.486 billion, fuelled by a 6.8% improvement in operating revenue to JPY3.5 trillion. Operating income also rose sharply by 15.7% year-on-year to JPY775.7 billion, which KDDI said reflected steady progress in the domestic telecommunications business driven by an increase in mobile communications revenues and revenues from handset sales, as well as the impact of the conversion of Jupiter Shop Channel Co, into a new consolidated subsidiary in order to maximise the so-called ‘au economic zone’. Mobile revenues grew by JPY31 billion (+1.7%), by and large attributable to increased value-added ARPU, which helped drive a 15.4% increase in domestic communications revenues to JPY775.7 billion.

Operationally speaking, KDDI closed out 31 December 2016 with a total of 47.829 million mobile (au) subscriptions, up from 45.241 million in the corresponding year-earlier period, while WiMAX users at its UQ subsidiary topped 23.296 million – up 29% (5.248 million) y-o-y. Furthermore, the group reported a total of 3.875 million fibre-to-the-home (FTTH) broadband subscribers, compared to 3.750 million at end-2015, and 5.277 million CATV subscriptions (+4% y-o-y). The carrier notes that J:COM, a consolidated subsidiary handling the cable television business, provides CATV service via 75 channels in the Sapporo, SendKanto, Kansai, and Kyushu areas as of 31 December 2016, as well as high speed internet connectivity, telephone and other services.

Japan,KDDI (au),

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