NTT DoCoMo, Inc. |
||||
Date: July 31, 2009 | By: | /s/ OSAMU HIROKADO | ||
Osamu Hirokado | ||||
Head of Investor Relations |
Financial Statements
|
July 30, 2009 | |
For the Three Months Ended June 30, 2009
|
[U.S. GAAP] |
Name of registrant:
|
NTT DoCoMo, Inc. (URL http://www.nttdocomo.co.jp/) | |
Code No.:
|
9437 | |
Stock exchange on which the Companys shares are listed:
|
Tokyo Stock Exchange-First Section | |
Representative:
|
Ryuji Yamada, Representative Director, President and Chief Executive Officer | |
Contact:
|
Ken Takeuchi, Senior Manager, General Affairs Department / TEL +81-3-5156-1111 | |
Scheduled date for filing of quarterly report:
|
August 5, 2009 | |
Scheduled date for dividend payment:
|
|
Income before | ||||||||||||||||||||||||
Operating Revenues | Operating Income | Income Taxes | ||||||||||||||||||||||
Three months ended
June 30, 2009 |
1,084,754 | (7.3 | )% | 251,819 | (15.1) | % | 247,464 | (14.2) | % | |||||||||||||||
Three months ended
June 30, 2008 |
1,170,246 | | 296,488 | | 288,419 | |
Equity Ratio | NTT DoCoMo, Inc. | |||||||||||||||
NTT DoCoMo, Inc. | (Ratio of NTT DoCoMo, Inc. | Shareholders Equity | ||||||||||||||
Total Assets | Shareholders Equity | Shareholders Equity to Total Assets) | per Share | |||||||||||||
June 30, 2009 |
6,498,969 | 4,408,193 | 67.8 | % | 105,560.67 (yen) | |||||||||||
March 31, 2009 |
6,488,220 | 4,341,585 | 66.9 | % | 103,965.64 (yen) |
Cash dividends per share (yen) | ||||||||||||||||||||
End of the first | End of the second | End of the third | ||||||||||||||||||
Date of record | quarter | quarter | quarter | Year-end | Total | |||||||||||||||
Year ended March 31, 2009 |
| 2,400.00 | | 2,400.00 | 4,800.00 | |||||||||||||||
Year ending March 31, 2010 |
| | | | | |||||||||||||||
Year ending March 31, 2010
(Forecasts) |
| 2,600.00 | | 2,600.00 | 5,200.00 |
1
Income before | ||||||||||||||||||||||||
Operating Revenues | Operating Income | Income Taxes | ||||||||||||||||||||||
Six months ending September 30, 2009 |
| | | | | | ||||||||||||||||||
Year ending March 31, 2010 |
4,382,000 | (1.5 | )% | 830,000 | (0.1 | )% | 832,000 | 6.6 | % |
(1) Changes in significant consolidated subsidiaries (which resulted in changes in scope of consolidation) |
None | |||
(2) Application of accounting which is simplified or exceptional for quarterly consolidated financial statements |
None | |||
(3) Changes in significant accounting policies, procedures and presentation in quarterly
consolidated financial statements |
||||
(i) Changes due to revision of accounting standards and other regulations: |
Yes | |||
(ii) Others: |
None | |||
(See more information on page 11.) |
(4) |
Number of issued shares (common stock) | |||||
(i) Number of issued shares (inclusive of treasury stock): | As of June 30, 2009: | 43,950,000 shares | ||||
As of March 31, 2009: | 43,950,000 shares | |||||
(ii) Number of treasury stock: | As of June 30, 2009: | 2,190,193 shares | ||||
As of March 31, 2009: | 2,190,193 shares | |||||
(iii) Number of weighted average common shares outstanding: | For the three months ended June 30, 2009: | 41,759,807 shares | ||||
For the three months ended June 30, 2008: | 42,504,235 shares |
* | Explanation for forecasts of operation and other notes: |
2
Basic Earnings per Share | Diluted Earnings per Share | |||||||||||||||
Net Income Attributable to | Attributable to NTT | Attributable to NTT | ||||||||||||||
NTT DoCoMo, Inc.* | DoCoMo, Inc. | DoCoMo, Inc. | ||||||||||||||
Three months ended June 30, 2009 |
147,377 | (15.1 | )% | 3,529.16 (yen) | | |||||||||||
Three months ended June 30, 2008 |
173,509 | | 4,082.16 (yen) | |
Basic Earnings per Share | ||||||||||||
Net Income Attributable to | Attributable to NTT | |||||||||||
NTT DoCoMo, Inc.* | DoCoMo, Inc. | |||||||||||
Six months ending September 30, 2009 |
| | | |||||||||
Year ending March 31, 2010 |
493,000 | 4.5 | % | 11,805.61 (yen) |
* | Net Income attributable to NTT DoCoMo, Inc. is calculated in the same manner as Net
income for the fiscal year ended March 31, 2009. |
3
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
* | Android is a software stack which offers free and open applications development environment. |
Billions of yen | ||||||||||||||||
(UNAUDITED) | (UNAUDITED) | |||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Operating revenues |
¥ | 1,170.2 | ¥ | 1,084.8 | ¥ | (85.5 | ) | (7.3 | )% | |||||||
Operating expenses |
873.8 | 832.9 | (40.8 | ) | (4.7 | ) | ||||||||||
Operating income |
296.5 | 251.8 | (44.7 | ) | (15.1 | ) | ||||||||||
Other income (expense) |
(8.1 | ) | (4.4 | ) | 3.7 | 46.0 | ||||||||||
Income before income taxes |
288.4 | 247.5 | (41.0 | ) | (14.2 | ) | ||||||||||
Income taxes |
118.0 | 100.2 | (17.8 | ) | (15.0 | ) | ||||||||||
Equity in net income (losses) of affiliates |
3.1 | 0.8 | (2.3 | ) | (73.7 | ) | ||||||||||
Net Income |
173.5 | 148.0 | (25.5 | ) | (14.7 | ) | ||||||||||
Less: Net (income) loss attributable to
noncontrolling interests |
(0.0 | ) | (0.7 | ) | (0.6 | ) | | |||||||||
Net income attributable to NTT DoCoMo, Inc. |
¥ | 173.5 | ¥ | 147.4 | ¥ | (26.1 | ) | (15.1 | )% | |||||||
EBITDA margin* |
40.1 | % | 39.3 | % | (0.8) point | | ||||||||||
ROCE* |
6.2 | % | 5.0 | % | (1.2) point | | ||||||||||
ROCE after tax effect* |
3.7 | % | 2.9 | % | (0.8) point | | ||||||||||
* | EBITDA and EBITDA margin, as we refer to in this earnings release, are
different from EBITDA as used in Item 10(e) of Regulation S-K and may not be comparable
to similarly titled measures used by other companies. For an explanation of our
definitions of EBITDA, EBITDA margin, ROCE and ROCE after tax effect, see
Reconciliations of the Disclosed Non-GAAP Financial Measures to the Most Directly
Comparable GAAP Financial Measures on page 18. |
Notes: 1. | Consolidated financial statements as of and for the three months ended June 30, 2008 and 2009 in this release are unaudited. |
||
2. | Amounts in this release are rounded off. |
4
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Billions of yen | ||||||||||||||||
(UNAUDITED) | (UNAUDITED) | |||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Wireless services |
¥ | 977.5 | ¥ | 941.8 | ¥ | (35.7 | ) | (3.6 | )% | |||||||
Cellular services revenues |
936.4 | 881.9 | (54.5 | ) | (5.8 | ) | ||||||||||
- Voice revenues |
570.3 | 490.6 | (79.7 | ) | (14.0 | ) | ||||||||||
Including: FOMA services |
486.6 | 450.3 | (36.3 | ) | (7.5 | ) | ||||||||||
- Packet communications revenues |
366.1 | 391.3 | 25.2 | 6.9 | ||||||||||||
Including: FOMA services |
347.7 | 381.6 | 33.9 | 9.7 | ||||||||||||
Other revenues |
41.1 | 59.9 | 18.8 | 45.9 | ||||||||||||
Equipment sales |
192.8 | 143.0 | (49.8 | ) | (25.8 | ) | ||||||||||
Total operating revenues |
¥ | 1,170.2 | ¥ | 1,084.8 | ¥ | (85.5 | ) | (7.3 | )% | |||||||
Billions of yen | ||||||||||||||||
(UNAUDITED) | (UNAUDITED) | |||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Personnel expenses |
¥ | 63.2 | ¥ | 64.4 | ¥ | 1.1 | 1.8 | % | ||||||||
Non-personnel expenses |
544.0 | 503.7 | (40.3 | ) | (7.4 | ) | ||||||||||
Depreciation and amortization |
168.5 | 169.0 | 0.5 | 0.3 | ||||||||||||
Loss on disposal of
property, plant and
equipment and intangible
assets |
6.0 | 8.3 | 2.2 | 36.7 | ||||||||||||
Communication network charges |
82.3 | 77.7 | (4.6 | ) | (5.5 | ) | ||||||||||
Taxes and public dues |
9.7 | 9.9 | 0.2 | 1.9 | ||||||||||||
Total operating expenses |
¥ | 873.8 | ¥ | 832.9 | ¥ | (40.8 | ) | (4.7 | )% | |||||||
5
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Thousand subscriptions | ||||||||||||||||
Increase | ||||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Cellular services |
53,629 | 54,864 | 1,235 | 2.3 | % | |||||||||||
Cellular (FOMA) services |
45,200 | 50,246 | 5,046 | 11.2 | ||||||||||||
Including: i-channel services |
15,823 | 16,607 | 784 | 5.0 | ||||||||||||
Including: i-concier services |
| 1,558 | | | ||||||||||||
Including: flat-rate services
for unlimited i-mode usage |
13,395 | 19,578 | 6,183 | 46.2 | ||||||||||||
Cellular (mova) services |
8,429 | 4,618 | (3,811 | ) | (45.2 | ) | ||||||||||
i-mode services |
48,061 | 48,597 | 536 | 1.1 |
Notes: 1. | Number of subscriptions of Cellular services and Cellular (FOMA) services includes
Communication Module services subscriptions. |
|
2. | Effective March 3, 2008, FOMA services subscription became mandatory for
subscription to 2in1* service. Such FOMA services subscriptions to 2in1 services
are included in the above numbers of Cellular services subscriptions and Cellular
(FOMA) services subscriptions. |
|
3. | Number of subscriptions to flat-rate services for unlimited i-mode usage
= Pake-hodai subscriptions + Pake-hodai full subscriptions + Pake-hodai double
subscriptions |
|
4. | Number of i-mode subscriptions = Cellular (FOMA) i-mode subscriptions +
Cellular (mova) i-mode subscriptions |
* | 2in1 refers to an optional network service which enables a subscriber to
subscribe to an additional phone number and an e-mail address for a single compatible
handset |
6
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Thousand units | ||||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Cellular services |
4,946 | 4,344 | (603 | ) | (12.2 | )% | ||||||||||
Cellular (FOMA) services |
||||||||||||||||
New FOMA subscription |
1,039 | 986 | (52 | ) | (5.0 | ) | ||||||||||
Change of subscription from mova to FOMA |
836 | 813 | (23 | ) | (2.8 | ) | ||||||||||
FOMA handset upgrade by FOMA subscribers |
3,032 | 2,538 | (494 | ) | (16.3 | ) | ||||||||||
Cellular (mova) services |
||||||||||||||||
New mova subscription |
23 | 4 | (19 | ) | (83.2 | ) | ||||||||||
mova handset upgrade by mova subscribers
and change of subscription from FOMA to mova |
17 | 2 | (14 | ) | (86.3 | ) | ||||||||||
Churn Rate |
0.51 | % | 0.44 | % | (0.07) point | |
Yen/Minutes | ||||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Aggregate ARPU* (FOMA+mova) |
¥ | 5,890 | ¥ | 5,440 | ¥ | (450 | ) | (7.6 | )% | |||||||
Voice ARPU |
3,560 | 3,010 | (550 | ) | (15.4 | ) | ||||||||||
Packet ARPU |
2,330 | 2,430 | 100 | 4.3 | ||||||||||||
Aggregate ARPU (FOMA) |
6,260 | 5,610 | (650 | ) | (10.4 | ) | ||||||||||
Voice ARPU |
3,630 | 3,010 | (620 | ) | (17.1 | ) | ||||||||||
Packet ARPU |
2,630 | 2,600 | (30 | ) | (1.1 | ) | ||||||||||
Aggregate ARPU (mova) |
3,890 | 3,550 | (340 | ) | (8.7 | ) | ||||||||||
Voice ARPU |
3,220 | 2,940 | (280 | ) | (8.7 | ) | ||||||||||
Packet ARPU |
670 | 610 | (60 | ) | (9.0 | ) | ||||||||||
MOU* (FOMA+mova) (minutes) |
137 | 135 | (2 | ) | (1.5 | )% |
* | See Definition and Calculation Methods of ARPU and MOU on page 17 for details
of definitions and calculation methods of ARPU and MOU. |
Billions of yen | ||||||||||||||||
(UNAUDITED) | (UNAUDITED) | |||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Operating revenues from mobile phone business |
¥ | 1,154.8 | ¥ | 1,057.9 | ¥ | (96.9 | ) | (8.4 | )% | |||||||
Operating income from mobile phone business |
301.0 | 255.2 | (45.8 | ) | (15.2 | ) |
7
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Billions of yen | ||||||||||||||||
(UNAUDITED) | (UNAUDITED) | |||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Operating revenues from miscellaneous businesses |
¥ | 15.5 | ¥ | 26.9 | ¥ | 11.4 | 73.6 | % | ||||||||
Operating loss from miscellaneous businesses |
(4.5 | ) | (3.4 | ) | 1.1 | 24.6 |
Billions of yen | ||||||||||||||||
(UNAUDITED) | (UNAUDITED) | |||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Mobile phone business |
¥ | 138.6 | ¥ | 122.3 | ¥ | (16.3 | ) | (11.7 | )% | |||||||
Other (including information systems) |
25.2 | 30.8 | 5.6 | 22.1 | ||||||||||||
Total capital expenditures |
¥ | 163.8 | ¥ | 153.1 | ¥ | (10.7 | ) | (6.5 | )% | |||||||
8
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Billions of yen | ||||||||||||||||||||
(UNAUDITED) | (UNAUDITED) | Increase | (Reference) | |||||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | March 31, 2009 | |||||||||||||||||
Total assets |
¥ | 6,082.3 | ¥ | 6,499.0 | ¥ | 416.6 | 6.8 | % | ¥ | 6,488.2 | ||||||||||
NTT DoCoMo, Inc. shareholders equity |
4,278.0 | 4,408.2 | 130.2 | 3.0 | 4,341.6 | |||||||||||||||
Liabilities |
1,802.8 | 2,085.2 | 282.4 | 15.7 | 2,144.9 | |||||||||||||||
Interest bearing liabilities |
525.9 | 762.6 | 236.8 | 45.0 | 639.2 | |||||||||||||||
Equity ratio (1) |
70.3 | % | 67.8 | % | (2.5) point | | 66.9 | % | ||||||||||||
Debt ratio (2) |
10.9 | % | 14.7 | % | 3.8 point | | 12.8 | % |
Notes: (1) | Equity ratio = NTT DoCoMo, Inc. shareholders equity / Total assets |
|
(2) | Debt ratio = Interest bearing liabilities / (NTT DoCoMo, Inc. shareholders equity + Interest bearing liabilities) |
Billions of yen | ||||||||||||||||
(UNAUDITED) | (UNAUDITED) | |||||||||||||||
Three months ended | Three months ended | Increase | ||||||||||||||
June 30, 2008 | June 30, 2009 | (Decrease) | ||||||||||||||
Net cash provided by operating activities |
¥ | 135.3 | ¥ | 154.5 | ¥ | 19.3 | 14.2 | % | ||||||||
Net cash used in investing activities |
(190.4 | ) | (242.2 | ) | (51.7 | ) | (27.2 | ) | ||||||||
Net cash provided by (used in) financing activities |
(102.7 | ) | 24.3 | 127.0 | | |||||||||||
Free cash flows (1) |
(55.2 | ) | (87.6 | ) | (32.5 | ) | (58.9 | ) | ||||||||
Free cash flows excluding the effects of changes
in investments for cash management purposes (2)* |
(105.6 | ) | (90.8 | ) | 14.8 | 14.0 |
Notes: (1) | Free cash flows = Net cash provided by operating activities + Net cash used in
investing activities |
|
(2) | Changes in investments for cash management purposes = Changes by
purchases, redemption at maturity and disposals of financial instruments held for
cash management purposes with original maturities of longer than three months |
* | See Reconciliations of the Disclosed Non-GAAP Financial Measures to the Most
Directly Comparable GAAP Financial Measures on page 18. |
9
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
10
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
1. | Changes in significant subsidiaries for the three months ended June 30, 2009 (which resulted
in changes in scope of consolidation): None |
2. | Application of accounting which is simplified or exceptional for quarterly consolidated
financial statements : None |
3. | Changes in significant accounting policies, procedures and presentation in quarterly
consolidated financial statements: |
11
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Millions of yen | ||||||||
(UNAUDITED) | ||||||||
March 31, 2009 | June 30, 2009 | |||||||
ASSETS |
||||||||
Current assets: |
||||||||
Cash and cash equivalents |
¥ | 599,548 | ¥ | 537,193 | ||||
Short-term investments |
2,448 | 1,906 | ||||||
Accounts receivable |
835,063 | 826,803 | ||||||
Allowance for doubtful accounts |
(15,072 | ) | (15,644 | ) | ||||
Inventories |
123,206 | 174,941 | ||||||
Deferred tax assets |
102,903 | 86,658 | ||||||
Prepaid expenses and other current assets |
179,632 | 209,606 | ||||||
Total current assets |
1,827,728 | 1,821,463 | ||||||
Property, plant and equipment: |
||||||||
Wireless telecommunications equipment |
5,361,043 | 5,390,421 | ||||||
Buildings and structures |
814,056 | 816,971 | ||||||
Tools, furniture and fixtures |
519,213 | 522,986 | ||||||
Land |
198,985 | 199,010 | ||||||
Construction in progress |
99,232 | 102,682 | ||||||
Accumulated depreciation and amortization |
(4,301,044 | ) | (4,380,163 | ) | ||||
Total property, plant and equipment, net |
2,691,485 | 2,651,907 | ||||||
Non-current investments and other assets: |
||||||||
Investments in affiliates |
572,014 | 583,579 | ||||||
Marketable securities and other investments |
141,544 | 154,803 | ||||||
Intangible assets, net |
578,728 | 595,690 | ||||||
Goodwill |
154,385 | 184,031 | ||||||
Other assets |
273,440 | 262,282 | ||||||
Deferred tax assets |
248,896 | 245,214 | ||||||
Total non-current investments and other assets |
1,969,007 | 2,025,599 | ||||||
Total assets |
¥ | 6,488,220 | ¥ | 6,498,969 | ||||
LIABILITIES AND EQUITY |
||||||||
Current liabilities: |
||||||||
Current portion of long-term debt |
¥ | 29,000 | ¥ | 14,000 | ||||
Short-term borrowings |
| 137,962 | ||||||
Accounts payable, trade |
668,525 | 617,969 | ||||||
Accrued payroll |
58,627 | 39,992 | ||||||
Accrued interest |
1,187 | 1,348 | ||||||
Accrued income taxes |
238,742 | 87,491 | ||||||
Other current liabilities |
152,354 | 173,186 | ||||||
Total current liabilities |
1,148,435 | 1,071,948 | ||||||
Long-term liabilities: |
||||||||
Long-term debt (exclusive of current portion) |
610,233 | 610,654 | ||||||
Liability for employees retirement benefits |
146,326 | 148,994 | ||||||
Other long-term liabilities |
239,918 | 253,608 | ||||||
Total long-term liabilities |
996,477 | 1,013,256 | ||||||
Total liabilities |
2,144,912 | 2,085,204 | ||||||
Equity: |
||||||||
NTT DoCoMo, Inc. shareholders equity |
||||||||
Common stock |
949,680 | 949,680 | ||||||
Additional paid-in capital |
785,045 | 785,045 | ||||||
Retained earnings |
3,061,848 | 3,109,001 | ||||||
Accumulated other comprehensive income (loss) |
(65,689 | ) | (46,234 | ) | ||||
Treasury stock, at cost |
(389,299 | ) | (389,299 | ) | ||||
Total NTT DoCoMo, Inc. shareholders equity |
4,341,585 | 4,408,193 | ||||||
Noncontrolling interests |
1,723 | 5,572 | ||||||
Total equity |
4,343,308 | 4,413,765 | ||||||
Total liabilities and equity |
¥ | 6,488,220 | ¥ | 6,498,969 | ||||
12
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Millions of yen | ||||||||
(UNAUDITED) | (UNAUDITED) | |||||||
Three months ended | Three months ended | |||||||
June 30, 2008 | June 30, 2009 | |||||||
Operating revenues: |
||||||||
Wireless services |
¥ | 977,464 | ¥ | 941,795 | ||||
Equipment sales |
192,782 | 142,959 | ||||||
Total operating revenues |
1,170,246 | 1,084,754 | ||||||
Operating expenses: |
||||||||
Cost of services (exclusive of items shown separately below) |
203,615 | 219,331 | ||||||
Cost of equipment sold (exclusive of items shown separately below) |
242,048 | 190,826 | ||||||
Depreciation and amortization |
168,480 | 169,005 | ||||||
Selling, general and administrative |
259,615 | 253,773 | ||||||
Total operating expenses |
873,758 | 832,935 | ||||||
Operating income |
296,488 | 251,819 | ||||||
Other income (expense): |
||||||||
Interest expense |
(1,140 | ) | (1,614 | ) | ||||
Interest income |
566 | 318 | ||||||
Other, net |
(7,495 | ) | (3,059 | ) | ||||
Total other income (expense) |
(8,069 | ) | (4,355 | ) | ||||
Income before income taxes |
288,419 | 247,464 | ||||||
Income taxes: |
||||||||
Current |
102,531 | 89,531 | ||||||
Deferred |
15,467 | 10,712 | ||||||
Total income taxes |
117,998 | 100,243 | ||||||
Equity in net income (losses) of affiliates, net of applicable taxes |
3,123 | 821 | ||||||
Net income |
173,544 | 148,042 | ||||||
Less: Net (income) loss attributable to noncontrolling interests |
(35 | ) | (665 | ) | ||||
Net income attributable to NTT DoCoMo, Inc. |
¥ | 173,509 | ¥ | 147,377 | ||||
Net income |
¥ | 173,544 | ¥ | 148,042 | ||||
Other comprehensive income (loss): |
||||||||
Unrealized holding gains (losses) on available-for-sale securities, net of applicable taxes |
(948 | ) | 10,462 | |||||
Change in fair value of derivative instruments, net of applicable taxes |
(18 | ) | (27 | ) | ||||
Foreign currency translation adjustment, net of applicable taxes |
(18,522 | ) | 8,887 | |||||
Pension liability adjustment, net of applicable taxes |
(250 | ) | 149 | |||||
Total other comprehensive income (loss) |
(19,738 | ) | 19,471 | |||||
Comprehensive income |
153,806 | 167,513 | ||||||
Less: Comprehensive (income) loss attributable to noncontrolling interests |
(37 | ) | (681 | ) | ||||
Comprehensive income attributable to NTT DoCoMo, Inc. |
¥ | 153,769 | ¥ | 166,832 | ||||
PER SHARE DATA |
||||||||
Weighted average common shares outstanding Basic and Diluted (shares) |
42,504,235 | 41,759,807 | ||||||
Basic and Diluted earnings per share attributable to NTT DoCoMo, Inc. (yen) |
¥ | 4,082.16 | ¥ | 3,529.16 | ||||
13
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Millions of yen | ||||||||
(UNAUDITED) | (UNAUDITED) | |||||||
Three months ended | Three months ended | |||||||
June 30, 2008 | June 30, 2009 | |||||||
Cash flows from operating activities: |
||||||||
Net income |
¥ | 173,544 | ¥ | 148,042 | ||||
Adjustments to reconcile net income to net cash provided by operating activities- |
||||||||
Depreciation and amortization |
168,480 | 169,005 | ||||||
Deferred taxes |
17,673 | 11,225 | ||||||
Loss on sale or disposal of property, plant and equipment |
4,718 | 5,620 | ||||||
Equity in net (income) losses of affiliates |
(5,288 | ) | (1,306 | ) | ||||
Changes in assets and liabilities: |
||||||||
(Increase) / decrease in accounts receivable |
(37,828 | ) | 8,911 | |||||
Increase / (decrease) in allowance for doubtful accounts |
421 | 406 | ||||||
(Increase) / decrease in inventories |
(49,510 | ) | (50,888 | ) | ||||
(Increase) / decrease in prepaid expenses and other current assets |
(20,370 | ) | (20,583 | ) | ||||
(Increase) / decrease in non-current installment receivable for handsets |
(25,804 | ) | 9,214 | |||||
Increase / (decrease) in accounts payable, trade |
(13,272 | ) | 4,303 | |||||
Increase / (decrease) in accrued income taxes |
(101,437 | ) | (152,187 | ) | ||||
Increase / (decrease) in other current liabilities |
4,619 | 17,792 | ||||||
Increase / (decrease) in liability for employees retirement benefits |
2,409 | 2,532 | ||||||
Increase / (decrease) in other long-term liabilities |
17,484 | 13,545 | ||||||
Other, net |
(561 | ) | (11,095 | ) | ||||
Net cash provided by operating activities |
135,278 | 154,536 | ||||||
Cash flows from investing activities: |
||||||||
Purchases of property, plant and equipment |
(163,740 | ) | (123,547 | ) | ||||
Purchases of intangible and other assets |
(72,033 | ) | (91,400 | ) | ||||
Purchases of non-current investments |
(1,122 | ) | (2,309 | ) | ||||
Proceeds from sale of non-current investments |
410 | 0 | ||||||
Acquisitions of subsidiaries, net of cash acquired |
27 | (24,900 | ) | |||||
Purchases of short-term investments |
(1,611 | ) | (1,662 | ) | ||||
Redemption of short-term investments |
2,036 | 4,843 | ||||||
Proceeds from redemption of long-term bailment for consumption to a related party |
50,000 | | ||||||
Other, net |
(4,413 | ) | (3,204 | ) | ||||
Net cash used in investing activities |
(190,446 | ) | (242,179 | ) | ||||
Cash flows from financing activities: |
||||||||
Proceeds from long-term debt |
79,944 | | ||||||
Repayment of long-term debt |
(27,767 | ) | (15,000 | ) | ||||
Proceeds from short-term borrowings |
| 137,949 | ||||||
Repayment of short-term borrowings |
(1,712 | ) | | |||||
Principal payments under capital lease obligations |
(814 | ) | (919 | ) | ||||
Payments to acquire treasury stock |
(49,998 | ) | | |||||
Dividends paid |
(102,307 | ) | (98,061 | ) | ||||
Other, net |
(3 | ) | 372 | |||||
Net cash provided by (used in) financing activities |
(102,657 | ) | 24,341 | |||||
Effect of exchange rate changes on cash and cash equivalents |
(2,033 | ) | 947 | |||||
Net increase (decrease) in cash and cash equivalents |
(159,858 | ) | (62,355 | ) | ||||
Cash and cash equivalents at beginning of period |
646,905 | 599,548 | ||||||
Cash and cash equivalents at end of period |
¥ | 487,047 | ¥ | 537,193 | ||||
Supplemental disclosures of cash flow information: |
||||||||
Cash received during the period for: |
||||||||
Income taxes |
¥ | 18 | ¥ | 27 | ||||
Cash paid during the period for: |
||||||||
Interest, net of amount capitalized |
638 | 1,453 | ||||||
Income taxes |
203,606 | 241,612 |
14
DOCOMO Earnings Release | Three Months Ended June 30, 2009 |
Three months ended | Millions of yen | |||||||||||
June 30, 2008 | Mobile phone business | Miscellaneous businesses | Consolidated | |||||||||
Operating revenues |
¥ | 1,154,771 | ¥ | 15,475 | ¥ | 1,170,246 | ||||||
Operating expenses |
853,756 | 20,002 | 873,758 | |||||||||
Operating income (loss) |
¥ | 301,015 | ¥ | (4,527 | ) | ¥ | 296,488 | |||||
Three months ended | Millions of yen | |||||||||||
June 30, 2009 | Mobile phone business | Miscellaneous businesses | Consolidated | |||||||||
Operating revenues |
¥ | 1,057,893 | ¥ | 26,861 | ¥ | 1,084,754 | ||||||
Operating expenses |
802,662 | 30,273 | 832,935 | |||||||||
Operating income (loss) |
¥ | 255,231 | ¥ | (3,412 | ) | ¥ | 251,819 | |||||
15
Full-year forecast: as announced at April 28, 2009 |
||||||||||||||||||||
Fiscal Year | ||||||||||||||||||||
(Ref.) | (Ref.) | Ending Mar. 2010 | (Ref.) | |||||||||||||||||
Fiscal Year | First Quarter | First Quarter | Fiscal Year | |||||||||||||||||
Ended Mar. 2009 | (Apr.-Jun. 2008) | (Apr.-Jun. 2009) | Ending Mar. 31, 2010 | |||||||||||||||||
Full-year Results | Results | Results | Full-year Forecast | |||||||||||||||||
Cellular |
||||||||||||||||||||
Subscriptions |
thousands | 54,601 | 53,629 | 54,864 | 55,760 | |||||||||||||||
FOMA (1) |
thousands | 49,040 | 45,200 | 50,246 | 52,980 | |||||||||||||||
Communication Module Service (FOMA) (2) |
thousands | 858 | 741 | 897 | | |||||||||||||||
mova |
thousands | 5,560 | 8,429 | 4,618 | 2,780 | |||||||||||||||
Communication Module Service (DoPa) (3) |
thousands | 669 | 726 | 621 | | |||||||||||||||
Prepaid |
thousands | 38 | 40 | 38 | | |||||||||||||||
Market Share (4) (5) |
% | 50.8 | 51.7 | 50.6 | | |||||||||||||||
Net Increase from Previous Period (5) |
thousands | 1,213 | 241 | 263 | 1,160 | |||||||||||||||
FOMA (1) |
thousands | 5,091 | 1,251 | 1,206 | 3,940 | |||||||||||||||
mova |
thousands | (3,878 | ) | (1,010 | ) | (942 | ) | (2,780 | ) | |||||||||||
Churn Rate (5) |
% | 0.50 | 0.51 | 0.44 | | |||||||||||||||
Number of Handsets (FOMA+mova) Sold (6) |
thousands | 20,129 | 4,946 | 4,344 | | |||||||||||||||
Aggregate ARPU (FOMA+mova) (7) |
yen/month/subscription | 5,710 | 5,890 | 5,440 | 5,280 | |||||||||||||||
Voice ARPU (8) |
yen/month/subscription | 3,330 | 3,560 | 3,010 | 2,860 | |||||||||||||||
Packet ARPU |
yen/month/subscription | 2,380 | 2,330 | 2,430 | 2,420 | |||||||||||||||
i-mode ARPU |
yen/month/subscription | 2,340 | 2,290 | 2,380 | 2,360 | |||||||||||||||
ARPU Generated from International Services (9) |
yen/month/subscription | 80 | 80 | 70 | 80 | |||||||||||||||
ARPU Generated Purely from i-mode (FOMA+mova) (7) |
yen/month/subscription | 2,550 | 2,480 | 2,610 | 2,600 | |||||||||||||||
Aggregate ARPU (FOMA) (7) |
yen/month/subscription | 6,010 | 6,260 | 5,610 | 5,420 | |||||||||||||||
Voice ARPU (8) |
yen/month/subscription | 3,360 | 3,630 | 3,010 | 2,860 | |||||||||||||||
Packet ARPU |
yen/month/subscription | 2,650 | 2,630 | 2,600 | 2,560 | |||||||||||||||
i-mode ARPU |
yen/month/subscription | 2,590 | 2,590 | 2,540 | 2,490 | |||||||||||||||
ARPU Generated from International Services (9) |
yen/month/subscription | 90 | 90 | 80 | 90 | |||||||||||||||
ARPU Generated Purely from i-mode (FOMA) (7) |
yen/month/subscription | 2,760 | 2,730 | 2,740 | 2,700 | |||||||||||||||
Aggregate ARPU (mova) (7) |
yen/month/subscription | 3,750 | 3,890 | 3,550 | 3,340 | |||||||||||||||
Voice ARPU (8) |
yen/month/subscription | 3,090 | 3,220 | 2,940 | 2,800 | |||||||||||||||
i-mode ARPU |
yen/month/subscription | 660 | 670 | 610 | 540 | |||||||||||||||
ARPU Generated from International Services (9) |
yen/month/subscription | 10 | 10 | 0 | 10 | |||||||||||||||
ARPU Generated Purely from i-mode (mova) (7) |
yen/month/subscription | 870 | 860 | 840 | 770 | |||||||||||||||
MOU (FOMA+mova) (7) |
minute/month/subscription | 137 | 137 | 135 | | |||||||||||||||
MOU (FOMA) (7) |
minute/month/subscription | 148 | 150 | 143 | | |||||||||||||||
MOU (mova) (7) |
minute/month/subscription | 63 | 69 | 54 | | |||||||||||||||
i-mode |
||||||||||||||||||||
Subscriptions |
thousands | 48,474 | 48,061 | 48,597 | 48,850 | |||||||||||||||
FOMA |
thousands | 44,853 | 42,118 | 45,682 | 47,350 | |||||||||||||||
i-mode Subscription Rate (5) |
% | 88.8 | 89.6 | 88.6 | 87.6 | |||||||||||||||
Net Increase from Previous Period |
thousands | 481 | 68 | 123 | 380 | |||||||||||||||
i-mode Packet Flat-rate Services Subscriptions (10) |
thousands | 17,610 | 13,395 | 19,578 | | |||||||||||||||
i-channel Subscriptions |
thousands | 16,545 | 15,823 | 16,607 | | |||||||||||||||
i-concier Subscriptions |
thousands | 929 | | 1,558 | | |||||||||||||||
Others |
||||||||||||||||||||
DCMX Subscriptions (11) |
thousands | 8,980 | 6,440 | 9,620 | 11,800 |
* | Please refer to the appendix 2 for the definition of ARPU and MOU, and an explanation of the
methods used to calculate ARPU and the number of active subscriptions. |
|
(1) | From March 3, 2008 onward, another FOMA subscription is a prerequisite for the application of
2in1 in principle, and those FOMA subscriptions are included in the number of FOMA subscribers. |
|
(2) | FOMA Ubiquitous plan subscriptions |
|
(3) | DoPa Single service subscriptions |
|
(4) | Source for other cellular telecommunications operators: Data announced by Telecommunications
Carriers Association |
|
(5) | Data are calculated including communication module services subscriptions. |
|
(6) | Sum of new FOMA/mova subscriptions, change of subscription from mova to FOMA, FOMA handset
upgrade by FOMA subscribers, mova handset upgrade by mova subscribers, and change of subscription
from FOMA to mova |
|
(7) | Data are calculated excluding communication module services-related revenues and communication
module services subscriptions. |
|
(8) | Inclusive of circuit-switched data communication |
|
(9) | Inclusive of voice communication and packet communication |
|
(10) | Sum of Pake-hodai double subscriptions, Pake-hodai full subscriptions and Pake-hodai
subscriptions |
|
(11) | Inclusive of DCMX mini subscriptions |
16
i) | ARPU (Average monthly Revenue Per Unit)1: |
||
Average monthly revenue per unit, or ARPU, is used to measure average monthly operating revenues
attributable to designated services on a per subscription basis. ARPU is calculated by dividing
various revenue items included in operating revenues from our wireless services, such as basic
monthly charges, voice communication charges and packet communication charges, from designated
services which are incurred consistently each month, by the number of active subscriptions to the
relevant services. Accordingly, the calculation of ARPU excludes revenues that are not
representative of monthly average usage such as activation fees. We believe that our ARPU figures
provide useful information to analyze the average usage per subscription and the impacts of
changes in our billing arrangements. The revenue items included in the numerators of our ARPU
figures are based on our U.S. GAAP results of operations. This definition applies to all ARPU
figures hereinafter. |
|||
ii) | MOU (Minutes of Use): Average monthly communication time per subscription. |
i) | ARPU (FOMA+mova) |
| Aggregate ARPU (FOMA+mova) = Voice ARPU (FOMA+mova) + Packet ARPU (FOMA+mova) |
||
| Voice ARPU (FOMA+mova): Voice ARPU (FOMA+mova) Related Revenues (basic monthly charges,
voice communication charges) / No. of active subscriptions (FOMA+mova) |
||
| Packet ARPU (FOMA+mova): {Packet ARPU (FOMA) Related Revenues (basic monthly charges,
packet communication charges) + i-mode ARPU (mova) Related Revenues (basic monthly charges,
packet communication charges)}/ No. of active subscriptions (FOMA+mova) |
||
| i-mode ARPU (FOMA+mova)2: i-mode ARPU (FOMA+mova) Related Revenues (basic
monthly charges, packet communication charges) / No. of active subscriptions (FOMA+mova) |
||
| ARPU generated purely from i-mode (FOMA+mova)3: i-mode ARPU (FOMA+mova) Related
Revenues (basic monthly charges, packet communication charges) / No. of active subscriptions
(i-mode (FOMA+mova)) |
ii) | ARPU (FOMA) |
| Aggregate ARPU (FOMA) = Voice ARPU (FOMA) + Packet ARPU (FOMA) |
||
| Voice ARPU (FOMA): Voice ARPU (FOMA) Related Revenues (basic monthly charges, voice
communication charges) /
No. of active subscriptions (FOMA) |
||
| Packet ARPU (FOMA): Packet ARPU (FOMA) Related Revenues (basic monthly charges, packet
communication charges) /
No. of active subscriptions (FOMA) |
||
| i-mode ARPU (FOMA)2: i-mode ARPU (FOMA) Related Revenues (basic monthly charges,
packet communication charges) / No. of active subscriptions (FOMA) |
||
| ARPU generated purely from i-mode (FOMA)3: i-mode ARPU (FOMA) Related Revenues
(basic monthly charges, packet communication charges) / No. of active subscriptions (i-mode
(FOMA)) |
iii) | ARPU (mova) |
| Aggregate ARPU (mova) = Voice ARPU (mova) + i-mode ARPU (mova) |
||
| Voice ARPU (mova): Voice ARPU (mova) Related Revenues (basic monthly charges, voice
communication charges) /
No. of active subscriptions (mova) |
||
| i-mode ARPU (mova)2: i-mode ARPU (mova) Related Revenues (basic monthly charges,
packet communication charges) / No. of active subscriptions (mova) |
||
| ARPU generated purely from i-mode (mova)3: i-mode ARPU (mova) Related Revenues
(basic monthly charges, packet communication charges) / No. of active subscriptions (i-mode
(mova)) |
No. of active subscriptions used in ARPU/MOU/Churn Rate calculations is as follows: |
||
No. of active subscriptions for each month: |
||
(No. of subscriptions at the end of previous month + No. of subscriptions at the end of current
month) / 2 |
||
No. of active subscriptions for full-year results/forecasts: |
||
Sum of No. of active subscriptions for each month from April to March |
1 | Communication module services subscriptions and the revenues thereof are not included in the
ARPU and MOU calculations. |
|
2 | The denominator used in calculating i-mode ARPU (FOMA+mova, FOMA, mova) is the aggregate
number of subscriptions to each service (FOMA+mova, FOMA, mova, respectively), regardless of
whether i-mode service is activated or not. |
|
3 | ARPU generated purely from i-mode (FOMA+mova, FOMA, mova) is calculated using only the number
of i-mode subscriptions as a denominator. |
17
Billions of yen | |||||||||
Three months ended | Three months ended | ||||||||
June 30, 2008 | June 30, 2009 | ||||||||
a. EBITDA |
¥ | 469.7 | ¥ | 426.4 | |||||
Depreciation and amortization |
(168.5 | ) | (169.0 | ) | |||||
Loss on sale or disposal of property, plant and equipment |
(4.7 | ) | (5.6 | ) | |||||
Operating income |
296.5 | 251.8 | |||||||
Other income (expense) |
(8.1 | ) | (4.4 | ) | |||||
Income taxes |
(118.0 | ) | (100.2 | ) | |||||
Equity in net income (losses) of affiliates |
3.1 | 0.8 | |||||||
Less: Net (income) loss attributable to noncontrolling interests |
(0.0 | ) | (0.7 | ) | |||||
b. Net income attributable to NTT DoCoMo, Inc. |
173.5 | 147.4 | |||||||
c. Operating revenues |
1,170.2 | 1,084.8 | |||||||
EBITDA margin (=a/c) |
40.1 | % | 39.3 | % | |||||
Net income margin (=b/c) |
14.8 | % | 13.6 | % | |||||
Note: | EBITDA and EBITDA margin, as we use them, are different from EBITDA as used in Item
10(e) of regulation S-K and may not be comparable to similarly titled measures used by other
companies. |
Billions of yen | |||||||||
Three months ended | Three months ended | ||||||||
June 30, 2008 | June 30, 2009 | ||||||||
a. Operating income |
¥ | 296.5 | ¥ | 251.8 | |||||
b. Operating income after tax effect {=a*(1-effective tax rate)} |
175.2 | 149.1 | |||||||
c. Capital employed |
4,779.4 | 5,075.8 | |||||||
ROCE before tax effect (=a/c) |
6.2 | % | 5.0 | % | |||||
ROCE after tax effect (=b/c) |
3.7 | % | 2.9 | % | |||||
Notes: | The effective tax rate for the three months ended June 30, 2008 and 2009 was 40.9% and
40.8%, respectively. Capital employed = Two period ends average of (NTT DoCoMo, Inc. shareholders equity + Interest bearing liabilities) Interest bearing liabilities = Current portion of long-term debt + Short-term borrowings + Long-term debt |
Billions of yen | |||||||||
Three months ended | Three months ended | ||||||||
June 30, 2008 | June 30, 2009 | ||||||||
Free cash flows excluding changes in investments for cash management purposes |
¥ | (105.6 | ) | ¥ | (90.8 | ) | |||
Changes in investments for cash management purposes (*) |
50.4 | 3.2 | |||||||
Free cash flows |
(55.2 | ) | (87.6 | ) | |||||
Net cash used in investing activities |
(190.4 | ) | (242.2 | ) | |||||
Net cash provided by operating activities |
135.3 | 154.5 | |||||||
Note: | (*)Changes in investments for cash management purposes were derived from purchases,
redemption at maturity and disposals of financial instruments
held for cash management purposes with original maturities of longer than three months. |
18
1. | Changes in the business environment in the telecommunications industry, such as intensifying
competition from other service providers or other technologies caused by Mobile Number
Portability, new market entrants and other factors, could limit our acquisition of new
subscriptions and retention of existing subscriptions, or may lead to diminishing ARPU or an
increase in our costs and expenses. |
2. | Current and new services, usage patterns, and sales schemes introduced by our corporate group
may not develop as planned, which could affect our financial condition and limit our growth. |
3. | The introduction or change of various laws or regulations or the application of such laws and
regulations to our corporate group could restrict our business operations, which may adversely
affect our financial condition and results of operations. |
4. | Limitations in the amount of frequency spectrum or facilities made available to us could
negatively affect our ability to maintain and improve our service quality and level of
customer satisfaction. |
5. | The W-CDMA technology that we use for our 3G system and/or mobile multimedia services may not
be introduced by other overseas operators, which could limit our ability to offer
international services to our subscribers. |
6. | Our domestic and international investments, alliances and collaborations may not produce the
returns or provide the opportunities we expect. |
7. | As electronic payment capability and many other new features are built into our cellular
phones, and services of parties other than those belonging to our corporate group are provided
through our cellular handsets, potential problems resulting from malfunctions, defects or loss
of handsets, or imperfection of services provided by such other parties may arise, which could
have an adverse effect on our financial condition and results of operations. |
8. | Social problems that could be caused by misuse or misunderstanding of our products and
services may adversely affect our credibility or corporate image. |
9. | Inadequate handling of confidential business information including personal information by
our corporate group, contractors and other factors, may adversely affect our credibility or
corporate image. |
10. | Owners of intellectual property rights that are essential for our business execution may not
grant us the right to license or otherwise use such intellectual property rights on acceptable
terms or at all, which may limit our ability to offer certain technologies, products and/or
services, and we may also be held liable for damage compensation if we infringe the
intellectual property rights of others. |
11. | Earthquakes, power shortages, malfunctioning of equipment, software bugs, computer viruses,
cyber attacks, hacking, unauthorized access and other problems could cause systems failures in
the networks required for the provision of service, disrupting our ability to offer services
to our subscribers and may adversely affect our credibility or corporate image. |
12. | Concerns about wireless telecommunication health risks may adversely affect our financial
condition and results of operations. |
13. | Our parent company, NIPPON TELEGRAPH AND TELEPHONE CORPORATION (NTT), could exercise
influence that may not be in the interests of our other shareholders. |
* | Names of companies, products, etc., contained in this document are the trademarks or registered
trademarks of their respective organizations. |
19
Copyright (C) 2009 NTT DOCOMO, INC. All rights reserved. NTT DOCOMO, INC. Results for the first three months of the fiscal year ending Mar. 31, 2010 July. 30, 2009 |
This presentation contains forward-looking statements such as forecasts of results of operations, management strategies, objectives and plans, forecasts of operational data such as the expected number of subscriptions, and the expected dividend payments. All forward-looking statements that are not historical facts are based on management's current plans, expectations, assumptions and estimates based on the information currently available. Some of the projected numbers in this presentation were derived using certain assumptions that are indispensable for making such projections in addition to historical facts. These forward-looking statements are subject to various known and unknown risks, uncertainties and other factors that could cause our actual results to differ materially from those contained in or suggested by any forward-looking statement. Potential risks and uncertainties include, without limitation, the following: 1. Changes in the business environment in the telecommunications industry, such as intensifying competition from other service providers or other technologies caused by Mobile Number Portability, new market entrants and other factors, could limit our acquisition of new subscriptions and retention of existing subscriptions, or may lead to diminishing ARPU or an increase in our costs and expenses. 2. Current and new services, usage patterns, and sales schemes introduced by our corporate group may not develop as planned, which could affect our financial condition and limit our growth. 3. The introduction or change of various laws or regulations or the application of such laws and regulations to our corporate group could restrict our business operations, which may adversely affect our financial condition and results of operations. 4. Limitations in the amount of frequency spectrum or facilities made available to us could negatively affect our ability to maintain and improve our service quality and level of customer satisfaction. 5. The W-CDMA technology that we use for our 3G system and/or mobile multimedia services may not be introduced by other overseas operators, which could limit our ability to offer international services to our subscribers. 6. Our domestic and international investments, alliances and collaborations may not produce the returns or provide the opportunities we expect. 7. As electronic payment capability and many other new features are built into our cellular phones, and services of parties other than those belonging to our corporate group are provided through our cellular handsets, potential problems resulting from malfunctions, defects or loss of handsets, or imperfection of services provided by such other parties may arise, which could have an adverse effect on our financial condition and results of operations. 8. Social problems that could be caused by misuse or misunderstanding of our products and services may adversely affect our credibility or corporate image. 9. Inadequate handling of confidential business information including personal information by our corporate group, contractors and other factors, may adversely affect our credibility or corporate image. 10.Owners of intellectual property rights that are essential for our business execution may not grant us the right to license or otherwise use such intellectual property rights on acceptable terms or at all, which may limit our ability to offer certain technologies, products and/or services, and we may also be held liable for damage compensation if we infringe the intellectual property rights of others. 11.Earthquakes, power shortages, malfunctioning of equipment, software bugs, computer viruses, cyber attacks, hacking, unauthorized access and other problems could cause systems failures in the networks required for the provision of service, disrupting our ability to offer services to our subscribers and may adversely affect our credibility or corporate image. 12.Concerns about wireless telecommunication health risks may adversely affect our financial condition and results of operations. 13.Our parent company, NIPPON TELEGRAPH AND TELEPHONE CORPORATION (NTT), could exercise influence that may not be in the interests of our other shareholders. Forward-Looking Statements |
FY2009/1Q Financial Results Highlights Copyright (C) 2009 NTT DOCOMO, INC. All rights reserved. |
US GAAP 2008/4-6 (1Q) (1) 2009/4-6 (1Q) (2) Changes (1)(2) 2010/3 (Full-year forecast)(3) Progress to forecast (2) /(3) Operating Revenues (Billions of yen) Operating Revenues (Billions of yen) 1,170.2 1,084.8 -7.3% 4,382.0 24.8% Cellular Services Revenues (Billions of yen) 936.4 881.9 -5.8% 3,449.0 25.6% Operating Expenses (Billions of yen) Operating Expenses (Billions of yen) 873.8 832.9 -4.7% 3,552.0 23.4% Operating Income (Billions of yen) Operating Income (Billions of yen) 296.5 251.8 -15.1% 830.0 30.3% Income Before Income Taxes (Billions of yen) Income Before Income Taxes (Billions of yen) 288.4 247.5 -14.2% 832.0 29.7% Net income attributable to NTT DOCOMO, INC. (Billions of yen) Net income attributable to NTT DOCOMO, INC. (Billions of yen) 173.5 147.4 -15.1% 493.0 29.9% EBITDA Margin (%) * EBITDA Margin (%) * 40.1 39.3 -0.8 points 35.8 - Adjusted Free Cash Flow (Billions of yen) * Adjusted Free Cash Flow (Billions of yen) * -105.6 -90.8 +14.0% 380.0 - Consolidated financial statements in this document are unaudited. * For an explanation of the calculation processes for these numbers, please see the reconciliations to the most directly comparable financial measures calculated and presented in accordance with GAAP on Slide 35 and the IR page of our website, www.nttdocomo.co.jp. Adjusted free cash flow excludes the effects of uncollected revenues due to bank holidays at the end of the fiscal year and changes in investment for cash management purposes with original maturities of longer than three months. FY2009/1Q Financial Results |
FY2009/1Q Financial Results Highlights (1) FY2009/1Q Financial Results: Main Topics Total handset sales New handset purchase method "Value Plan" subscriptions grew by 2.7-fold from same period of last fiscal year FY09/1Q: 4.34 million units Down 600,000 units year-on-year Flat-rate services Pake-hodai subscription rate* grew to 43% * Pake-hodai subscription rate= No. of Pake-hodai subscriptions (inclusive of "Pake-hodai full" and "Pake-hodai double" subscriptions)/Total FOMA i-mode subscriptions Decrease in voice revenues Growth in packet revenues Decrease in equipment sales revenues & cost of equipment sold |
Decrease in voice revenues: Down \79.7 billion FY2009/1Q Financial Results Highlights (2) FY2008/1Q FY2009/1Q Operating income \296.5 billion Operating Income \251.8 billion Down 44.7 billion (15.1%) year-on-year Key factors behind YOY changes in operating income Operating revenues: Down \85.5 billion Operating expenses: Down \40.8 billion Decrease in other expenses: Up \6.1billion Down \49.8 billion Decrease in cost of equipment sold: Down \46.9 billion Increase in packet revenues: Up \25.2 billion Increase in other revenues: Up\18.8 billion Decrease in equipment sales revenues: |
1Q 2Q 3Q 4Q 1Q 2Q (forecast) 3Q (forecast) 4Q (forecast) 2965 2805 1698 842 2518 2255 2119 1425 FY2009/1Q Financial Results Highlights (3) 296.5 280.5 169.8 251.8 84.2 FY2008 Operating income: \831.0 billion FY2009 Operating income: \830.0 billion (forecast) (Billions of yen) In FY2008, large amount of income was generated in the first half, due to income-boosting effect resulting from the introduction of new handset purchase method FY2009/1Q operating income was almost in line with forecast Plan to continually promote initiatives aimed at growing packet revenues and improving cost efficiency to achieve annual operating income target of \830 billion Impact of income-boosting effect of new handset purchase method Accelerated depreciation of mova-related assets, etc. Irregular factors for FY2008 300 0 |
05/4-6(1Q) 7-9(2Q) 10-12(3Q) 06/1-3(4Q) 06/4-6(1Q) 7-9(2Q) 10-12(3Q) 07/1-3(4Q) 4-6(1Q) 7-9(2Q) 10-12(3Q) 08/1-3(4Q) 4-6(1Q) 7-9(2Q) 10-12(3Q) 09/1-3(4Q) 4-6(1Q) 10-12(3Q) 08/3(?) 09/3(?) YOY changes in packet ARPU (%) 5.3 6.9 7.2 7.6 11.6 9.5 9.1 9.9 9.0 8.6 6.6 4.3 9.5 7.3 (Incl.) Int'l services ARPU 30 40 40 40 50 50 50 60 60 70 70 80 80 90 80 70 70 70 90 (Incl.) i-mode ARPU 1,810 1,870 1,860 1,920 1,950 1,960 1,990 2,060 2,090 2,180 2,170 2,230 2,290 2,360 2,350 2,370 2,380 2,170 2,320 Packet ARPU 1820 1880 1880 1940 1970 1980 2010 2080 2120 2210 2200 2270 2330 2410 2390 2420 2430 4090 2200 2360 Voice ARPU 5120 5170 5040 4780 4930 4740 4660 4450 4440 4340 4090 3780 3560 3450 3340 2970 3010 2200 4160 3280 6,560 6,550 6,290 Aggregate ARPU for FY2009/1Q was 5,440 yen (Down 7.6% year-on-year) Packet ARPU was 2,430 yen (Up 4.3% year-on-year) 6,050 2,120 2,210 2,200 2,270 Cellular (FOMA+mova) ARPU Full-year aggregate ARPU: \6,360 (Down 5.1% year-on-year) Full-year aggregate ARPU: \5,710 (Down 10.2% year-on-year) For an explanation of ARPU, please see Slide 34 of this document, "Definition and Calculation Methods of MOU and ARPU". (yen) 5,890 5,860 5,730 5,390 2,330 2,410 2,390 2,420 2,430 5,440 FY2009 |
07/9 07/12 08/3 08/6 08/9 08/12 09/3 09/6 10/3(Forecast) 1122 1756 22.09 25.86 28.46 30.43 32.72 34.25 36.36 4173 3559 3130 2777 2548 0.21 0.33 0.41 0.48 0.53 0.562 0.599 0.624 65.2 07/12 08/3 08/6 08/9 08/12 09/3 09/6 159 529 889 1296 1648.3 2082 2399 ? 0.94 0.978 0.968 0.923 0.952 0.98 0.987 New Discount Services*1 New Purchase Methods New Business Model "Value Plan" subscriptions & "Value Course" selection rate*2 No. of subscriptions (Million subs.) (Subscription rate) *1 "Fami-wari MAX 50", "Hitoridemo Discount 50" and "Office-wari MAX 50" *2 Percentage of users who chose "Value Course" among total users who purchased a handset using new purchase methods :"Value Course" selection rate (right axis) :No. of "Value Plan" subs (left axis) (Million subs.) (Selection rate) :Subscription rate (right axis) :No. of subscriptions (left axis) FY2007 FY2008 FY2009 FY2007 FY2008 FY2009 |
03/4-6(1Q) 7-9(2Q) 10-12(3Q) 04/1-3(4Q) 04/4-6(1Q) 7-9(2Q) 10-12(3Q) 05/1-3(4Q) 05/4-6(1Q) 7-9(2Q) 10-12(3Q) 06/1-3(4Q) 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q ? 1.17 1.19 1.11 1.36 1.06 1.08 0.95 0.96 0.8 0.81 0.72 0.75 0.64 0.6 0.93 0.97 0.85 0.94 0.74 0.68 0.51 0.52 0.44 0.52 0.44 Churn Rate (%) 0.51% 0.44% New discount services (Aug. 07) New handset purchase method (Nov. 07) Full-year churn rate: 0.80% Full-year churn rate: 0.50% FY2007 FY2008 FY2009 Cellular (FOMA+mova) Churn Rate 0.52% 0.44% 0.52% FY2009/1Q churn rate was 0.44% FY2009 |
Net Additions/MNP No. of net additions in FY2009/1Q: 263,000 subs MNP subscriber acquisition/loss performance continued to improve 06/10 06/11 12 07/1 07/2 07/3 4 07/5 6 07/7 8 07/9 10 07/11 12 08/1 08/2 3 4 08/5 6 08/7 8 08/9 10 08/11 12 09/1 09/2 09/3 4 09/5 6 MNP+- -73228 -163929 -109300 -98489 -74164 -110667 -89357 -58275 -63397 -82668 -90193 -77701 -70460 -58058 -61515 -61403 -66371 -136960 -59228 -58262 -38576 -51074 -43673 -26102 -13339 -1100 1200 2480 -7053 -39060 -19333 -20007 -10465 Monthly net acquisitions/losses of MNP subscribers No. of net additions (comparison with 1Q of previous fiscal years) 2007/1Q 2Q 3Q 4Q 2008/1Q 2Q 3Q 4Q 2009/1Q 22.5 9.6 20.9 23.7 24.1 30.8 21.8 44.6 26.3 -57.5 -77.7 88.3 -41.8 7.1 220.8 4.3 88.2 9.1 (10,000subs) 22.5 24.1 26.3 Significant decrease in MNP outflows (10,000subs) |
1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 1Q 11 11 13.29 14.55 12.1 13.31 12.56 13.58 9.6 10.23 8.86 10.67 8.686 5.7 6.12 6.86 7.36 6.24 6.56 6.52 6.42 4.947 5.318 4.511 5.353 4.343 Total Handset Sales FY2007 FY2008 Calculated based on financial results materials of each company Handsets sold by TU-KA and EMOBILE are not included FY2009 : Total handsets sold (DoCoMo + au +SOFTBANK) : Total handsets sold (DoCoMo) (Millions units) 4.3 4 Total no. of handsets sold in FY2009/1Q: 4.34 million (Down 12% year-on-year) 4.95 6.24 |
37681 37773 37865 37956 38047 38139 38231 38322 38412 38504 05/9 05/12 06/3 06/6 06/9 06/12 07/3 07/6 07/9 07/12 08/3 08/6 08/9 08/12 09/3 09/6 10/3 (forecast) FOMA 33 53.5 100.3 188.1 304.5 458.3 648.8 849.9 1150.1 1371 1677.01 2012.8724 2346 2621.6 2908.8 3211.3 35.529 37.854 40.0426 42.0775 43.9493 45.199 46.44 47.49 49.0403 50.25 52 mova 4353.1 4413.8 4437.8 4385.4 4328.3 4225 4087.5 3941.5 3732.4 3570.9 3313.41 3023.6974 2768 2545.6 2300.5 2010 17.0916 14.991 12.8991 11.073 9.4384 8.428 7.49 6.66 5.5604 4.62 3.5 No. of subscribers who have migrated to FOMA in FY2009/1Q: 810,000 Aim to grow FOMA subscriptions to 95% of total by Mar. 31, 2010 Subscriber Migration to FOMA mova 55.76 52.98 (95.0%) 49.04 (89.8%) 54.60 53.39 43.95 (82.3%) 9.44 5.56 2.78 Numbers in parentheses indicate the percentage of FOMA subscriptions to total cellular subscriptions (Million subs.) Inclusive of Communication Module Services subscriptions 14.99 37.85 (71.6%) 52.85 54.86 4.62 50.25 (91.6%) 45.20 (84.3%) 8.43 53.63 FY2007 FY2008 FY2009 |
Principal Actions and Results Copyright (C) 2009 NTT DOCOMO, INC. All rights reserved. |
Actions undertaken to transform DOCOMO and to respond to customers' requests Appointment Visit & investigate "Mobile Phone Checking Service" "Battery Pack Anshin Support" * From July 1, 2009 Tester Free portable charger Free battery pack Or Free check-up of mobile phones Customer visit within 48 hours Expanded after-sales support No. of visits11,000 Percentage of cases resulting in immediate improvement 78% FY2009/1Q track record Improvement of Customer Satisfaction (No. of visits completed in FY2008: Approx. 13,000) Percentage of customers who responded "satisfied" after visit95% Visit customers "in principle within 48 hours" after receiving inquiries for area coverage/quality * * Including some case to be improved |
Expansion of Packet Usage Minimum rate of "Pake-hodai double" to be lowered from \490 to \390/month (effective Aug. 1, 2009) so that customers can use our service more easily without worries about phone bill Enrich video content aiming to establish our reputation for outstanding video content services Revision of "Pake-hodai double" rates \315/Month (tax included) 05/3 05/6 05/9 05/12 06/3 06/6 06/9 06/12 07/3 07/6 07/9 07/12 08/3 08/6 08/9 08/12 09/3 09/06 10/3() 267.6689 327.0285 388.2829 444.9122 559.0038 691.949 782 856 956 1046 1126.6566 1194.5439 1274 1340 1395 1575 1760.9526 1950 2200 0.233 0.239 0.232 0.221 0.2382 0.263648809 0.2687 0.2666 28 17.61 Pake-hodai subscription rate*2 43% (As of June 30, 2009) (Million subs.) 09/6 08/12 0 9/3 15.75 "Pake-hodai double" *1 Inclusive of "Pake-hodai full" and "Pake-hodai double" subsciptions *2 Pake-hodai subscription rate= No. of Pake-hodai subscriptions/Total FOMA i-mode subscriptions Video content Launched May 1, 2009 Total subs: Topped 550,000 Percentage of subs who have joined paid service after free trial period: Over 75% (As of July 21, 2009) 19.58 Growing faster than expected 13.95 13.40 08/9 08/6 5,838 packets 52,500 packets \490 \1,029 (After revision) \4,410 ~ ~ \390 4,650 packets Minimum rate to be lowered to \390/month from Aug. 1, 2009 "Pake-hodai*1" subscriptions" |
"i-concier" subscriptions topped 1.8 million in July 2009 after its launch in Nov. 2008 Plan to make further functional enhancements to offer more personalized support Personalization "i-concier" 172 364 Functional enhancement by linking "i-concier" with location data Planned for FY2009/2H Enrichment of community information content Enrich community-based content to deliver "personal" and "more relevant" information to each and every subscriber - Service examples (conceptual) - Provide notice of limited-time offers of a supermarket to people in the neighborhood Remind users of time of last train from nearest train station even if they are in different locations than usual Also aim to adopt B-to-B-to-C* model for delivery of information No. of "i-concier" content Future plans No. of subscriptions (Million subs.) 09/6 08/12 09/3 0.5 1.0 1.5 08/12 09/3 09/6 10/3() 30 93 160 380 30 100 160 3.8 1.56 0.93 0.30 Topped 1.8 million (As of July 21, 2009) At service launch (Nov. 19, 2008) (As of July 22, 2009) * B to B to C:Business to Busines s to Consumer |
Address social issues Leverage DOCOMO's strengths Establish infrastructure for delivering personal medical information using mobile communications Health care/medical information delivery service Remote medical support Health care business Establish infrastructure for information collection by combining sensing technologies with mobile communications Environmental sensing Eco-life support (energy-saving support) Environment/ecology business Social Support (1) Establish infrastructure that enhances efficiency of information distribution in such areas as environment/ecology, safety/security and health care/medical management and develop into commercial business to contribute to sustainable growth of society Social Platform Safety/security business Health care business Finance/ payment business Environment/ ecology business Education support business Further diversify services and businesses in finance and payment fields Promotion of mobile CRM* New convergence service in the field of finance Finance/payment business Environmental support by rolling out sensing infrastructure Medical support, Wellness support Mobile remittance service * CRM:Customer Relationship Mana gement |
Launched various new services to secure new revenue sources Established AEON Marketing to offer CRM solutions Social Support (2) (Launched July 21, 2009) (Health management platform) User docomo Partner Mobile remittance service (CRM solutions) AEON Marketing Co., Ltd. Receive bargain information Mobile member Purchase at store or online Authentication via mobile member certificate and pay by cash or mobile, etc. Mobile business Club support business Marketing business Timely information delivery Member data operation & management Identification of customer needs "Deliver information tailored to each customer in a timely manner" Mobile member ( Launched June 1, 2009 ) Wellness support (Established July 24, 2009) AEON Marketing Co., Ltd. Mobile member Advice from public health nurse, nutritionist, etc. Automatic data transmission Vital data Various health services (Analysis of vital data, etc) Wellness support server (Vital data collection center) Measure vital data using health equipment and read data by mobile phone Enables subscribers to use their mobile phone to remit money to another DOCOMO user |
Converged Services Internet DOCOMO network Content/service provider Broadband network Femto BTS Prepared for provision of new values using Femto BTS for service delivery Developed high-performance Femto BTS Converged services HSPA*-enabled To be introduced from Autumn 2009 or beyond * HSPA (High Speed Packet Access) is a general term for HSDPA and HSUPA Delivery of information and services linked with user location (inside or outside Femto area) Notice Steve has returned home Ex) Return to home notice between family members Limited-time sale from 15:00-17:00 today. With a \500 discount coupon! ABC Supermarket Ex) Delivery of flyer/coupon High-quality & large-capacity content e.g., video and music Remote control of home appliances Home From outside Viewing of high-resolution video Planned launch Autumn 2009 Planned launch Autumn 2009 (1) Stable communications environment (dedicated use of bandwidth) (2) Life/behavior support (3) Convergence with home appliances (for future) |
Business & Technology Cooperation Committee (BTCC) Board representation/employee secondment GSM network roll-out support Actions aimed at enhancing enterprise value of investee Cooperation for value-added service development Global Expansion Deployed new products/services in collaboration with overseas operators Newly created DOCOMO Support Desk to strengthen overseas customer support Mutual Cooperation Collaborated with Telefonica (Spain) for handset verification, etc. in the procurement of T-01A handsets Manga content delivery Distributes Japanese manga comics from our wholly-owned European subsidiary, DOCOMO Netherlands B.V.via Bouygues Telecom's (France) mobile portal site (Started June 11, 2009) ("MANGA MODE") Services (DOCOMO Support Desk London) London Desk ( May 29, 200 9 ) New York Desk (Early Sept. 2009 Planned ) New service brand for GSM (TATA DOCOMO) GSM service launched in South India on June 24, 2009. Acquired 1.8 million subs in 1 month after launch "i-channel" trial launched simultaneously India (TTSL) DOCOMO Support Desk Support for short-term travelers DOCOMO handset reservation for Japanese expats returning to Japan Introduction of mobile services to Japanese nationals living abroad * *Over 50% market share of net additions in circles where GSM service has been launched |
Attractive Handset Lineup Provision of handsets attuned to the needs of individual customer 2009 Summer model i-appli touch Ease of use Gaming between two phones only by holding close together: Voice-input mail Exportable settings for handover to new handset 18 models (56 colors) Enables i-appli versus games between multiple handsets using local connection through simple Bluetooth pairing New features |
Attractive Handset Lineup Enriched lineup of smartphones to expand market and acquire new subscriptions Revise "Biz-hodai double" rates to allow customers to use smartphones free of concerns about phone bill Wide array of Google mobile services accessible from a single handset! Comfortable Internet browsing Smartphone 4.1-inch VGA screen Full touch-panel screen 1GHz high-performance CPU Windows Mobile 6.1-enabled "Biz-hodai double" HT-03A T-01A Smartphone data plan will also be revised to make our service more affordable and easier to use! (to be applied from Aug. 1, 2009) ?490 390 ~ ~ ?1,029 ?5,985 ~ ~ Minimum rate to be lowered to \390/month from Aug. 1, 2009 (After revision) 4,650 packets 5,838 packets 71,250 packets |
LTE Received LTE license on June 10, 2009 Started preparations toward roll-out (Service launch planned for 2010/12) 3G area LTE area Roll-out first from areas where demand for high-speed access is high Introduce LTE first using 2GHz band spectrum, and then expand to 1.5GHz band Start service with card-type devices Handset type to be offered from 2011 or beyond High-speed access within LTE areas Offer benefits of nationwide 3G coverage Coverage Devices/Handsets Spectrum Aim to achieve by FY2014... Area coverage: Approx. 20,000 base stations covering Approx. 50% of populated areas in Japan 3G/LTE dual-mode devices CAPEX Plan Total capital expenditures for next 5 years (up to FY 2014) estimated to be \300-400 billion |
Names of companies, products, etc., contained in this document are the trademarks or registered trademarks of their respective organizations |
Appendices Copyright (C) 2009 NTT DOCOMO, INC. All rights reserved. |
(1) Development and evolution of personalized services (2) Deployment of social support services (3) Introduction and promotion of converged services (4) Expansion and promotion of video services (5) Introduction of LTE and evolution of network (6) Further advancement of handsets: Adoption of open OS handsets (7) Initiatives to realize handset/network collaboration (8) New value creation leveraging peta-mining technology <basic research> (9) Expansion of global businesses (10) Promotion of investments/alliances in Japan Principal "Challenge" Items |
US GAAP 2007/4-6(1Q) 2008/4-6(1Q) 2009/4-6(1Q) 2010/3(Full year forecast) Cellular services revenues (voice, packet) 1032.7 936.4 881.9 3449 PHS revenues 3.8 - - - Other revenues 25.8 41.1 59.9 269 Equipment sales revenues 120.6 192.8 143 664 1,170.2 4,382.0 -7.3% (Billions of yen) (Billions of yen) "International services revenues" are included in "Cellular services revenues (voice, packet)". Operating Revenues 1,084.8 |
US GAAP 2007/4-6(1Q) 2008/4-6(1Q) 2009/4-6(1Q) 2010/3(Full year forecast) (Incl.) Other non-personnel expenses 177.0 189.3 195.9 867.0 (Incl.)Revenue-linked expenses* 456.5 354.7 307.8 1326.0 Non-personnel expenses 633.5 544 503.7 2193 Communication network charges 88.1 82.3 77.7 302 Loss on disposal of property, plant and equipment and intangible assets 7.6 6 8.3 45 Depreciation and amortization 177.1 168.5 169 710 Taxes and public duties 9.8 9.7 9.9 39 Personnel expenses 62.8 63.2 64.4 263 873.8 3,552.0 -4.7% Operating Expenses (Billions of yen) (Billions of yen) *Revenue-linked expenses: Cost of equipment sold + distributor commissions + cost of docomo point service 832.9 |
2007/4-6(1Q) 2008/4-6(1Q) 2009/4-6(1Q) 2010/3(Full year forecast) Mobile phone business (Other) 16.7 20.3 14.5 90 Mobile phone business (mova) 2.7 2.6 2 5 Mobile phone business (FOMA) 106.9 115.6 105.8 454 PHS business 0.1 0 0 0 Other (information systems, etc.) 24.9 25.2 30.8 140 163.8 690.0 -6.5% Capital Expenditures (Billions of yen) (Billions of yen) 153.1 |
2008/4-6 (1Q) (1) 2009/4-6 (1Q) (2) Changes (1)(2) 2010/3 (Full year forecast) Cellular Phone No. of Subscribers (1,000)* No. of Subscribers (1,000)* No. of Subscribers (1,000)* No. of Subscribers (1,000)* No. of Subscribers (1,000)* No. of Subscribers (1,000)* 53,629 54,864 +2.3% 55,760 Cellular Phone mova mova mova mova mova 8,429 4,618 -45.2% 2,780 Cellular Phone FOMA FOMA FOMA FOMA FOMA 45,200 50,246 +11.2% 52,980 Cellular Phone i-mode i-mode i-mode i-mode i-mode 48,061 48,597 +1.1% 48,850 Cellular Phone Communication Module Service Communication Module Service Communication Module Service Communication Module Service Communication Module Service 1,466 1,518 +3.5% 1,610 Cellular Phone Market share(%) Market share(%) Market share(%) Market share(%) Market share(%) Market share(%) 51.7 50.6 -1.1 points - Cellular Phone Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Total handsets sold Total handsets sold Total handsets sold 4,946 4,344 -12.2% - Cellular Phone Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) mova New New 23 4 -83.2% - Cellular Phone Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) mova Replacement Replacement 17 2 -86.3% - Cellular Phone Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) FOMA New New 1,039 986 -5.0% - Cellular Phone Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) FOMA Migration from mova Migration from mova 836 813 -2.8% - Cellular Phone Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) Handsets sold (1,000) (including handsets sold without involving sales by DoCoMo) FOMA Other** Other** 3,032 2,538 -16.3% - Cellular Phone Churn rate (%) Churn rate (%) Churn rate (%) Churn rate (%) Churn rate (%) Churn rate (%) 0.51 0.44 -0.07 points - Cellular Phone ARPU(FOMA+mova)(yen)*** ARPU(FOMA+mova)(yen)*** ARPU(FOMA+mova)(yen)*** ARPU(FOMA+mova)(yen)*** ARPU(FOMA+mova)(yen)*** ARPU(FOMA+mova)(yen)*** 5,890 5,440 -7.6% 5,280 Cellular Phone MOU(FOMA+mova)(minutes)*** MOU(FOMA+mova)(minutes)*** MOU(FOMA+mova)(minutes)*** MOU(FOMA+mova)(minutes)*** MOU(FOMA+mova)(minutes)*** MOU(FOMA+mova)(minutes)*** 137 135 -1.5% - *Communication Module Service subscribers are included in the number of cellular phone subscribers in order to align the calculation method of subscribers with that of other cellular phone carriers. (Market share, the number of handsets sold and churn rate are calculated inclusive of Communication Module Service subscribers.) ** Other includes purchases of additional handsets by existing FOMA subscribers. *** For an explanation of MOU and ARPU, please see Slide 34 of this document, "Definition and Calculation Methods of MOU and ARPU". Operational Results and Forecasts |
05/4-6(1Q) 7-9(2Q) 10-12(3Q) 06/1-3(4Q) 06/4-6(1Q) 7-9(2Q) 10-12(3Q) 07/1-3(4Q) 07/4-6(1Q) 7-9(2Q) 10-12(3Q) 08/1-3(4Q) 08/4-6(1Q) 7-9(2Q) 10-12(3Q) 09/1-3(4Q) 09/4-6(1Q) Softbank -7 2 12 6 3 7 17 23 39.76 47.89 47.1 44.22 56.88 44 37 38.1 32.3 KDDI 51 52 44 46 48 47 73 54 38.95 39.73 28.35 35.65 -3.7 12.4 9.9 17.6 15.3 DoCoMo 56 45 44 48 49 46 10 23 16.78 7.51 17.53 10.78 26.09 26 22 26.8 26.3 EMOBILE 4.5 4.86 7.02 9.35 20.74 17.6 31.1 17.5 26.2 KDDI 51 52 44 46 48 47 73 54 41 Softbank -7 2 12 6 3 7 17 23 42 DOCOMO's market share of net additions in FY2009/1Q was 26.3% SoftBank FY2007 FY2008 au EMOBILE docomo FY07 full-year net adds share : 12.8% FY08 full-year net adds share : 25.5% Source of data used in calculation: Telecommunications Carriers Association (TCA) Market Share of Net Additions (%) FY2009 FY2009 |
04/4-6(1Q) 7-9(2Q) 10-12(3Q) 05/1-3(4Q) 05/4-6(1Q) 7-9(2Q) 10-12(3Q) 06/1-3(4Q) 06/4-6(1Q) 7-9(2Q) 10-12(3Q) 07/1-3(4Q) 07/4-6(1Q) 7-9(2Q) 10-12(3Q) 08/1-3(4Q) 08/4-6(1Q) 7-9(2Q) 10-12(3Q) 09/1-3(4Q) 09/4-6(1Q) MOU (left axis) 152 155 153 145 149 152 151 146 145 146 146 139 140 140 139 135 137 138 139 133 135 Year-on-year changes in MOU (right axis) -6.2 -3.7 -4.4 -5.8 -2 -1.9 -1.3 0.7 -2.7 -3.9 -3.3 -4.8 -3.4 -4.1 -4.8 -2.9 -2.1 -1.4 0 -1.5 -1.5 MOU for FY2009/1Q was 135 minutes (Down 1.5% year-on-year) Cellular (FOMA+mova) MOU Full-year MOU: 138 minutes (Down 4.2% year-on-year) Full-year MOU: 137 minutes (Down 0.7% year-on-year) For an explanation of MOU, please see Slide 34 of this document, "Definition and Calculation Methods of MOU and ARPU". (%) (minutes) FY2009 |
Operating Income: Progress to Forecast (Comparison with 1Q of previous fiscal years) 2003/1Q 2004/1Q 2005/1Q 2006/1Q 2007/1Q 2008/1Q 2009/1Q (?) 30.6 35.3 34.5 35.3 25.2 35.7 30.3 ??(?) 30.6 35.3 34.5 35.3 25.2 35.7 30.3 (%) * * Progress to FY2009 full-year forecast Progress of FY2009/1Q operating income to full-year forecast: 30.3% FY2009 full-year forecast: \830.0 billion FY2009/1Q operating income (actual): \251.8 billion 30.6% 35.3% 34.5% 35.3% 25.2% 35.7% 30.3% |
Definition and Calculation Methods of MOU and ARPU MOU (Minutes of Use): Average monthly communication time per subscription. ARPU (Average monthly Revenue Per Unit): Average monthly revenue per unit, or ARPU, is used to measure average monthly operating revenues attributable to designated services on a per subscription basis. ARPU is calculated by dividing various revenue items included in operating revenues from our wireless services, such as basic monthly charges, voice communication charges and packet communication charges, from designated services which are incurred consistently each month, by the number of active subscriptions to the relevant services. Accordingly, the calculation of ARPU excludes revenues that are not representative of monthly average usage such as activation fees. We believe that our ARPU figures provide useful information to analyze the average usage per subscription and the impacts of changes in our billing arrangements. The revenue items included in the numerators of our ARPU figures are based on our U.S. GAAP results of operations. Aggregate ARPU (FOMA+mova): Voice ARPU (FOMA+mova) + Packet ARPU (FOMA+mova) Voice ARPU (FOMA+mova): Voice ARPU (FOMA+mova) Related Revenues (basic monthly charges, voice communication charges) / No. of active subscriptions (FOMA+mova) Packet ARPU (FOMA+mova): {Packet ARPU (FOMA) Related Revenues (basic monthly charges, packet communication charges) + i-mode ARPU (mova) Related Revenues (basic monthly charges, packet communication charges)} / No. of active subscriptions (FOMA+mova) i-mode ARPU (FOMA+mova): i-mode ARPU (FOMA+mova) Related Revenues (basic monthly charges, packet communication charges) / No. of active subscriptions (i-mode (FOMA+mova)) Aggregate ARPU (FOMA): Voice ARPU (FOMA) + Packet ARPU (FOMA) Voice ARPU (FOMA): Voice ARPU (FOMA) Related Revenues (basic monthly charges, voice communication charges) / No. of active subscriptions (FOMA) Packet ARPU (FOMA): Packet ARPU (FOMA) Related Revenues (basic monthly charges, packet communication charges) / No. of active subscriptions (FOMA) i-mode ARPU (FOMA): i-mode ARPU (FOMA) Related Revenues (basic monthly charges, packet communication charges) / No. of active subscriptions (i-mode (FOMA)) Aggregate ARPU (mova): Voice ARPU (mova) + i-mode ARPU (mova) Voice ARPU (mova): Voice ARPU (mova) Related Revenues (basic monthly charges, voice communication charges) / No. of active subscriptions (mova) i-mode ARPU (mova): i-mode ARPU (mova) Related Revenues (monthly charges, packet communication charges) / No. of active subscriptions (i-mode (mova)) Number of active subscriptions used in ARPU and MOU calculations are as follows: Quarterly data: sum of "No. of active subscriptions in each month"* of the current quarter Half-year data: sum of "No. of active subscriptions in each month"* of the current half Full-year data: sum of "No. of active subscriptions in each month"* of the current fiscal year * "No. of active subscriptions in each month": (No. of subs at end of previous month + No. of subs at end of current month)/2 The revenues and no. of subscriptions of Communication Module Services are not included in the above calculation of ARPU and MOU. |
Reconciliation of the Disclosed Non-GAAP Financial Measures to the Most Directly Comparable GAAP Financial Measures |
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