KDDI predicted net profit and revenue for fiscal 2022 (ending 31 March 2022) would be flat year-on-year due to intensifying competition, a government push to cut communications fees and continued economic uncertainty.
The company forecast net profit at JPY655 billion ($6 billion) and operating revenue of JPY5.35 trillion.
KDDI stated it is targeting stable growth in core businesses and is focusing on cost reductions, with expansion into areas including finance, commerce and energy to spur fresh income.
Net profit in fiscal Q4 2021 (to end-March) dropped 5.6 per cent year-on-year to JPY102.8 billion, attributed to higher depreciation expenses and lower gross profit from its energy business.
Revenue was up 4 per cent to JPY1.4 trillion: mobile grew 2.1 per cent to JPY578.8 billion and MVNO 41.5 per cent to JPY26.8 billion, with handset sales up 12.3 per cent to JPY154.7 billion.
Life Design revenue rose 14 per cent to JPY365 billion and business services 8.4 per cent to JPY269.6 billion: it forecast those units to book 26 per cent and 10 per cent growth in fiscal 2022 respectively.
Mobile subscribers increased 3 per cent to 60.4 million at end-March and ARPA by 3 per cent to JPY8,270. It had more than 2.4 million 5G subscribers, and reiterated targets to deploy 50,000 base stations and deliver 90 per cent population coverage by end fiscal 2022.
The board approved up to JPY150 billion in share buybacks this fiscal year.Subscribe to our daily newsletter Back