Ntt Inc · TSE:9432

Ntt — Q4 2020 Earnings Presentation

31 slides from Ntt's earnings presentation, May 12, 2021

  1. Slide 1: Financial Results for FY Ended March 31, 2021 and Forecasts for FY2022

    Financial Results for the Fiscal Year Ended March 31, 2021 and Financial Forecasts for the Fiscal Year Ending March 31, 2022 May 12, 2021

  2. Slide 2: Translation notice and forward-looking statements

    This document is a translation of the Japanese original. The Japanese original is authoritative. The forward-looking statements and projected figures concerning the future performance of NTT and its subsidiaries and affiliates contained or referred to herein are based on a series of assumptions, pro

  3. Slide 3: Table of Contents

    Table of Contents  Response to Recent Occurrence  Overview of FY2020 Consolidated Results  FY2020 Consolidated Results Highlights  FY2020 Contributing Factors by Segment  FY2021 Results Forecast  FY2021 Forecast Summary  FY2021 Forecast Summary by Segment  Overview of Medium-Term Financial T

  4. Slide 4: Response to Recent Occurrence

    Response to Recent Occurrence Copyright 2021 NTT CORPORATION 3

  5. Slide 5: Apology regarding management dining with ministry officials

    Regarding the recent occurrence in which members of management dined with ministry officials, we sincerely apologize for causing great inconvenience and concern to our customers, our shareholders and all related parties. Copyright 2021 NTT CORPORATION 4

  6. Slide 6: Current Status

     Current Status • On March 9, NTT established a Special Investigations Committee, including external experts, and an investigation to clarify facts and other matters related to the occurrence is being conducted by the committee • The recent occurrence was a result of a lack of awareness of members

  7. Slide 7: Overview of FY2020 Consolidated Results

    Overview of FY2020 Consolidated Results Copyright 2021 NTT CORPORATION 6

  8. Slide 8: FY2020 Consolidated Results Highlights

    FY2020 Consolidated Results Highlights  Operating Revenues, Operating Income and Profit all increased  Operating Revenues and Profit set new record highs Status of Consolidated Results  Operating Revenues: ¥11,944.0B <+¥44.6B [+0.4%] year-on-year>  Operating Income: ¥1,671.4B <+¥109.2B [+7.0%] y

  9. Slide 9: Contributing Factors by Segment for FY2020

    Contributing Factors by Segment for FY2020 (Billions of yen) Operating Revenues [Year-on-year: ＋44.6] Regional Long Distance and Mobile Data Other Elimination of Communications International Communications Communications Business Inter-Segment Business Communications Business Business Transactions B

  10. Slide 10: FY2021 Results Forecast

    FY2021 Results Forecast Copyright 2021 NTT CORPORATION 9

  11. Slide 11: FY2021 Forecast Summary

    FY2021 Forecast Summary  Operating Revenues, Operating Income and Profit will all increase  Operating Revenues, Operating Income and Profit are each expected to reach record high levels Consolidated Revenues and Income Plan FY2020 Results FY2021 Forecast Year-on-Year Operating ¥11,944.0B ¥12,000.0

  12. Slide 12: FY2021 Forecast Summary by Segment

    FY2021 Forecast Summary by Segment (Billions of yen) Operating Revenues [Year-on-year: ＋56.0] Regional Long Distance and Mobile Data Other Elimination of Communications International Communications Communications Business Inter-Segment Business Communications Business Business Transactions Business

  13. Slide 13: Overview of Medium-Term Financial Targets

    Overview of Medium-Term Financial Targets Target FY2021 (Target Fiscal Year) FY2020 Results Forecasts Year-on-Year <announced November 8, 2018> EPS ¥248 ¥300 +¥52 Approx. ¥ 320 (FY2023) ＄25B Overseas Sales(1) ＄18.6B ＄19.0B +＄0.4B (FY2023) Overseas Operating 3.0% 6.0% +3.0pt 7% Income Margin(1) (FY20

  14. Slide 14: Topics

    Topics Copyright 2021 NTT CORPORATION 13

  15. Slide 15: Enhance and Globalize R&D (1/2)

    Enhance and Globalize R&D (1/2)  “IOWN Integrated Innovation Center” to be established in July 2021 • Strengthen collaboration between NTT’s fundamental R&D and development capabilities of global vendors • Accelerate the following initiatives using photonics-electronics convergence technologies  D

  16. Slide 16: Enhance and Globalize R&D (2/2)

    Enhance and Globalize R&D (2/2)  Lab Concept of Aiming for a Natural World (scheduled to be launched in May) • Translate and spread a new image of society created by the IOWN concept into information that can be felt by ordinary people at an individual level • Take initiative to gain the world’s ap

  17. Slide 17: Promote ESG Management

    Promote ESG Management  Enhancement of Governance • Activation of the Board of Directors  Introduced the outside member of the board/executive officer system to major subsidiaries (NTT East, NTT West, NTT Com and NTT Urban Solutions; scheduled to be implemented from June 2021) • Review of Executiv

  18. Slide 18: Initiatives to Create a Remote World

    Initiatives to Create a Remote World  Launch New Services ＜Expanding the work that can be done remotely＞ ① “COTOHA® Call Center,” a cloud-based contact center service that enables remote work (NTT Com, from March 31, 2021)  Easy and inexpensive implementation possible for medium and small-sized en

  19. Slide 19: Overview of Medium-Term Management Strategy Initiatives

    Overview of Medium-Term Management Strategy Initiatives Overview since February 2021 • Number of B2B2X Projects: 104 (+91)* • Established a new DX company with Mitsubishi Corporation, and will launch services beginning with the Promote B2B2X Model food products distribution field (scheduled to be es

  20. Slide 20: Shareholder Returns

    Shareholder Returns Dividends  Aggregate annual dividends for FY2021 are expected to increase to ¥110 per share, an increase of ¥5 from FY2020  Dividends are expected to increase for the 11th consecutive year since FY2011 Completion of Share Buybacks  Share Buybacks: Completed share buybacks of ¥

  21. Slide 21: Appendix

    Appendix Copyright 2021 NTT CORPORATION 20

  22. Slide 22: Broadband Services

    Broadband Services Copyright 2021 NTT CORPORATION 21

  23. Slide 23: Fixed-Line Broadband Services Subscriptions

    Fixed-Line Broadband Services Subscriptions （Thousands） Number of Subscriptions 25,000 23,264 22,144 22,338 22,564 21,563 21,658 21,923 21,078 21,260 21,416 20,000 15,000 12,690 13,055 13,357 13,633 13,888 14,257 14,601 14,906 15,245 16,395 10,000 5,000 8,388 8,205 8,058 7,930 7,770 7,666 7,543 7,43

  24. Slide 24: Mobile Communications Services Subscriptions

    Mobile Communications Services Subscriptions （Thousands） Number of Subscriptions 5G LTE（Xi） FOMA 84,212 80,987 81,751 82,632 78,896 79,203 79,670 80,326 80,615 80,000 78,453 1,413 3,091 14 149 376 10,370 60,000 55,872 57,285 58,542 59,897 61,664 62,397 63,476 64,012 64,210 62,392 40,000 20,000 22,58

  25. Slide 25: Financial Information

    Financial Information Copyright 2021 NTT CORPORATION 24

  26. Slide 26: Details of Consolidated Statement of Income

    Details of Consolidated Statement of Income (Billions of yen) Operating Revenues <Year-on-year: ＋44.6> Voice related IP/packet System integration Other services services communications services / Sales of services telecommunications equipment 85.2 131.3 52.4 38.3 11,899.4 11,944.0 Fixed voice: (64.1

  27. Slide 27: Details of Consolidated Balance Sheet

    Details of Consolidated Balance Sheet (Billions of yen) 23,014.1 22,965.5[(48.6)] Liabilities 11,551.5 Liabilities 14,762.4 [+3,210.9] Assets Assets 23,014.1 22,965.5 [(48.6) ] Equity Equity 11,462.6 8,203.0 [(3,259.6)] Retained earnings Retained earnings 7,068.0 [+568.1] 6,499.9 Treasury stock Trea

  28. Slide 28: Details of Consolidated Cash Flows

    Details of Consolidated Cash Flows (Billions of yen) Cash Flows Cash Flows Cash Flows Interest-Bearing from Operating from Investing FCF from Financing Debt Activities Activities Activities (A) (B) (A)+(B) 000000000000 Copyright 2021 NTT CORPORATION 27

  29. Slide 29: Details of Capital Investment

    Details of Capital Investment (Billions of yen) FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2017 FY2018 FY2019 FY2020 FY2021E [SEC] [IFRS] Copyright 2021 NTT CORPORATION 28

  30. Slide 30: Shareholder Returns

    Shareholder Returns 105 110 Dividends per Share ● Pay-out Ratio （Yen） 95 90 75 55 60 42.5 45 40 35 27.5 30 30 42.3% 20 22.5 38.2% 37.2% 38.0% 40.9% 41.1% 36.7% 12.5 15 15 32.3% 31.2% 33.4% 31.4% 30.7% 32.9% 12.3% 13.0% 27.5% 23.0% 19.5% 17.1% FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 F

  31. Slide 31: Your Value Partner

    Your Value Partner

Nippon Telegraph & Telephone (NTT) — Q4 2020 Earnings Presentation on 6ix