Ntt Inc · TSE:9432
Ntt — Investor Presentation (August 2021)
91 slides from Ntt's investor presentation, August 2021
Slide 1: IR Presentation
©) NTT IR Presentation Ver.210805
Slide 2: to herein, as well as other risks included in NTT’s most recent Annual Securities
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
Slide 3: Contents
Contents Overview of Consolidated Results for FY2021.1Q and FY2021 Forecast Other Businesses FY2021.1Q Financial Results – Key Points 4 Promote B2B2X Model 51 Status of Consolidated Results for FY2021.1Q 5-6 Strategic Business Alliance with Fujitsu for the 52 Future Outlook Based on FY2021.1Q Result
Slide 4: Overview of Consolidated Results for FY2021.1Q and FY2021 Forecast
Overview of Consolidated Results for FY2021.1Q and FY2021 Forecast Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 3
Slide 5: 2021.1Q Financial Results – Key Points
2021.1Q Financial Results – Key Points ・In FY2021 1Q, revenues and profit both progressed more strongly than expected. ➢ Operating revenues increased by 126.1 billion yen (an increase of 4.6%) year-over-year due to an increase in sales of devices by NTT DOCOMO and an increase in SI revenues at NTT D
Slide 6: Status of Consolidated Results for FY2021.1Q
Status of Consolidated Results for FY2021.1Q ◼ Both revenues and income exceeded expectations ◼ Year-on-year, operating revenues increased, operating income decreased and profit increased ◼ Profit set a new record high level Status of Consolidated Results ⚫ Operating Revenues: ¥2,892.6B <+¥126.1B [+
Slide 7: Contributing Factors by Segment for FY2021.1Q
Contributing Factors by Segment for FY2021.1Q (Billions of yen) Operating Revenues <Year-on-year:＋126.1> Regional Long Distance and Mobile Data Other Elimination of Communications International Communications Communications Business Inter-Segment Business Communications Business Business Transaction
Slide 8: Future Outlook Based on FY2021.1Q Results
Future Outlook Based on FY2021.1Q Results ◼ Mobile Competitive Environment • Sales, especially in ahamo, were strong, with both net increases and MNP improving as expected • Acquisition of the younger market in particular has been strong, and we are aiming to further expand our customer base • The d
Slide 9: 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
Slide 10: 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
Slide 11: 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 EPS target has been revised in August 2021 ¥302 +¥54 Approx. ¥ 320 (FY2023) ＄25B Overseas Sales(1) ＄18.6B ＄19.0B +＄0.4B (FY2023) Overseas Operating
Slide 12: Topics
Topics Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 11
Slide 13: Contributions to the Tokyo 2020 Olympic and Paralympic Games
Contributions to the Tokyo 2020 Olympic and Paralympic Games ◼ Management of the Games (Network Operation, Etc.) • NTT has been operating the networks used for broadcasting and for the management of the games without any issues to this point, and will continue to provide for the networks’ stable ope
Slide 14: Contributions to Sports through R&D
Contributions to Sports through R&D ◼ Joint Testing with the Japan Softball Association • November 2017 Entered into Joint Testing Agreement NTT conducted experimental and actual measurements of top players’ and younger players’ “series of actions for batting,” promoting research on the performance
Slide 15: Initiatives in Response to COVID-19
Initiatives in Response to COVID-19 ◼ Employee Vaccination Status • NTT Group as a whole plans to vaccinate approximately 164,000 people by the end of the year • Began in stages on June 28, with vaccinations of approximately 58,000 people completed as of July 31 ◼ Rate of Remote Work • Rate of remot
Slide 16: Strengthening and Globalizing R&D
Strengthening and Globalizing R&D ◼ Launch new business using “Personalized Sound Zone (PSZ) Technology” • Helps achieve a more fulfilling life by effectively controlling the spaces where sounds can be heard and creating a comfortable acoustic space • “NTT sonority, Inc.” to be established in Septem
Slide 17: Initiatives to Create a Remote World
Initiatives to Create a Remote World ◼ Launch New Services ① Began development of “evidence.path™”, a cloud service that converts corporate bond issuance processes to DX (NTT Data Group, services planned to launch in February 2022) ✓ Converts paper-based processes that are done through paper, stamps
Slide 18: Transaction to Make NTT DOCOMO a Wholly Owned Subsidiary
Transaction to Make NTT DOCOMO a Wholly Owned Subsidiary Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 17
Slide 19: Background
Background Changes surrounding the telecommunications market Changes in social trends environment Integration of fixed-line and mobile Remote world communications (decentralized society) Multifaceted, multilayered market competition that transcends the level New Glocalism of communications Dynamic c
Slide 20: Toward NTT's Medium-Term Growth and Development (1)
Toward NTT’s Medium-Term Growth and Development (1) ◆ Goals Being Pursued ① Development and offering of new services for a remote world ② Centralization of resources and promotion of DX ③ Promotion of research and development on a global scale ④ Strengthening of new types of businesses, including th
Slide 21: Toward NTT's Medium-Term Growth and Development (2)
Toward NTT’s Medium-Term Growth and Development (2) ◆ Transaction to Make NTT DOCOMO a Wholly Owned Subsidiary Objective ➢ Improved competitiveness of, and growth of, NTT DOCOMO NTT DOCOMO can utilize the capabilities of NTT Communications and NTT Comware and promote new services/solutions and the d
Slide 22: Primary Initiatives
Primary Initiatives ① Strengthening corporate sales capabilities ✓ Creating services that integrate mobile and fixed-line services ✓ Creating integrated solutions through the combination of clouds and data ② Strengthening service creation capabilities ✓ Strengthening the smart life business and crea
Slide 23: Social Contributions through Initiatives
Social Contributions through Initiatives ① Enhancing the international competitiveness of Japanese industry ✓ Development and production of telecommunications equipment, software and services that will be used around the world ✓ Contribution to international standards for telecommunications ② Resolv
Slide 24: Financing and Financial Policy
Financing and Financial Policy ◆ Financing ✓ Funds required to make NTT DOCOMO a wholly owned subsidiary had been financed through a bridge loan ✓ Bridge loan is planned to eventually be taken out with domestic bonds, foreign bonds, bank loans or other forms of financing ( Domestic bonds in December
Slide 25: NTT Group Medium-Term Management Strategy
NTT Group Medium-Term Management Strategy Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 24
Slide 26: Medium-Term Targets
Medium-Term Targets Financial Targets Target EPS Growth EPS Growth ＋50％ （vs.FY2023 FY2017） ※2 ＋50％ Overseas Sales/ Overseas Operating $25B/ FY2023 Income Margin 7％ ※3 Approx. ※1 Cost Reductions At least ¥800B（ FY2023 FY2017） vs. (in fixed-line/mobile access networks) ※1 320 yen ※2 212 yen ROIC 8％ FY
Slide 27: Transition of Medium-Term Targets
Transition of Medium-Term Targets *1 EPS Growth Cost Reductions （in fixed-line/mobile access networks） Approx. Target to be achieved At the time of Profit expansion 320yen two years ahead of publication in /share buybacks schedule November 2018 FY 2017 FY 2018 FY 2019 FY 2020 FY 2021E FY 2023 Target
Slide 28: Overview of Medium-Term Management Strategy Initiatives
Overview of Medium-Term Management Strategy Initiatives Overview since May 2021 Roll Out 5th-Generation • Developed enterprise solutions that utilize 5G with NEC in Germany (NTT DATA, from June) Wireless System • Cumulative number of “Lightning Speed 5G” base stations exceeded 10,000 (NTT DOCOMO, Ju
Slide 29: Global Business
Global Business Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 28
Slide 30: Global Business Overview
Global Business Overview Overseas Sales/Overseas Operating Income Margin* Revenue $25B 7.0％ Operating profit Margin $19.5B $18.6B $19.0B $18.4B $18.9B 2.4％ 3.0％ ６.0％ Operating Profit 3.1％ 3.2％ $1.75B** $1.14B $0.56B $0.60B $0.46B $0.56B FY 2017 FY 2018 FY 2019 FY 2020 FY 2021E FY 2023 Target * Inclu
Slide 31: Enhance Competitiveness in Global Business (1)
Enhance Competitiveness in Global Business (1) ⚫ We established a new global holding company under NTT Corporation by the third quarter of the fiscal year ending March 31, 2019.And NTT Communications, Dimension Data, NTT DATA, NTT Security, and NTTi3 will be transferred to NTT, Inc. and will align t
Slide 32: Enhance Competitiveness in Global Business (2)
Enhance Competitiveness in Global Business (2) ”One NTT” Global Growth Strategy Deliver High Value Solutions Create New Innovative Solutions Business Modernization Disruptive Innovation Industry Advisory Expertise Drives Global Innovation Fund Outcome-Based Solutions Invest in the Next Innovative Fi
Slide 33: Structural Reform of NTT Ltd.
Structural Reform of NTT Ltd. ⚫ Promoted integration at NTT Ltd. since its establishment in July 2019 ⚫ Promoting structural reforms to realize business shift to attractive markets centered on managed IT services • Streamlining business operations - Optimization by consolidating operations and overl
Slide 34: NTT Ltd. Road to FY23
NTT Ltd. Road to FY23 7.0%* 1000M USD Execute GTM strategy Transition to high value services High value services approx. 3%* Utilize Shared service centers approx. 300M USD 2020年度 Accelerate IT integration Cost reduction FY20 FY23 [* Based on Overseas Operating Income Margin**] **Operating Income ex
Slide 35: Smart City Project (Las Vegas City)
Smart City Project (Las Vegas City) Pain Point of the City: To reduce “Response Time” Requirements: ① Reactive actions: Notify “What is going on？” ② Proactive actions: Notify “What is going to happen next？” ③ Flexible ICT : Deploy ICT resources ASAP NW bandwidth Actions by Officers City Sensor setti
Slide 36: Smart City Project (Chicago City)
Smart City Project (Chicago City) ・By leveraging the Smart City technology being provided in Las Vegas, facilitates real-time awareness of on-site situations and provides information to visitors by using statistical data on space occupancy and analysis of usage patterns for particular times ・ Contri
Slide 37: Global Data Centers Service delivery schedule
Global Data Centers Service delivery schedule FY2020 FY2021 India UK Japan US Malaysia US US US In 20 + Countries/ Regions Mumbai 7 London 1 Tokyo 11 Hillsboro 1 Cyberjaya 5 Chicago 1 Silicon Valley 1 Ashburn 5 Data Center Data Center Data Center Data Center Data Center Data Center Data Center Data
Slide 38: Mobile Communication Business
Mobile Communication Business Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 37
Slide 39: NTT DOCOMO Recent Major Topics
NTT DOCOMO Recent Major Topics ・ Cumulative total of over 10,000 “Lightning Speed 5G” base stations (June) Communications business ・ Launch of “U15 Hajimete Sumaho Plan” (July) ・ Launch of "home 5G" (scheduled for August) • Introduction of a new genre "Live" to dTV (May) • Development of a business
Slide 40: NTT DOCOMO Fast Expansion of 5G Area
NTT DOCOMO Fast Expansion of 5G Area Number of 5G base stations reached 10,000 and is expanding steadily Introduction of 5G Core Network and launch of standalone 5G services planned for the third quarter (Number of 5G base stations) 32,000 20,000 Population coverage* approx.70% 10,000 Population 7,1
Slide 41: NTT DOCOMO Expansion of Customer Base
NTT DOCOMO Expansion of Customer Base Expand customer base by offering rate plans and services catered to customer needs Aim to grow 5G subscriptions to 10 million within FY2021 ※ ※as of May 12, 2021 Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 40
Slide 42: NTT DOCOMO Provision of 5G Solutions
NTT DOCOMO Provision of 5G Solutions Expand and advance sectors by enrichment of 5G solutions, etc. Accelerate growth through horizontal deployment in Japan and overseas Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 41
Slide 43: NTT DOCOMO Smart Life Business: Principal Services
NTT DOCOMO Smart Life Business: Principal Services Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 42
Slide 44: Growth and Scope Expansion of Finance/Payment Business
NTT DOCOMO Growth and Scope Expansion of Finance/Payment Business Further grow finance/payment business by stimulating everyday use, and broaden scope of business by strengthening customer touchpoints and data utilization Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 43
Slide 45: NTT DOCOMO Creation of New Lifestyles
NTT DOCOMO Creation of New Lifestyles Reinforce video business leveraging 5G’s unique properties and tackle new business development making use of our membership base Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 44
Slide 46: NTT DOCOMO Digitalization of Sales Channel
NTT DOCOMO Digitalization of Sales Channel Accelerate digital shift of sales channel and DX utilization responding to the needs of society (Support digitalization and DX of customers) Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 45
Slide 47: NTT DOCOMO Termination of FOMA (3G) Service
NTT DOCOMO Termination of FOMA (3G) Service Terminate 3G service on Mar.31, 2026 ◆ Stop accepting ◆ Terminate service on Mar. 31, 2026 new applications for 3G after Mar.31 2020. ◆ Max.download speed of 1.7Gbps to be offered from Mar. 2020 ◆ Commercial launch in Mar. 2020 Copyright 2021 NIPPON TELEGR
Slide 48: Fixed-line Communication Business
Fixed-line Communication Business Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 47
Slide 49: Local 5G utilization example
Local 5G utilization example ➢ Realizing the improvement of the manufacturing site by remote monitoring, etc. by utilizing local 5G, eliminates labor shortage and improves productivity .(Collaboration agreement with Yamaguchi Prefecture and joint experimental agreement with Hibiki Seiki Co., Ltd. Ap
Slide 50: Migrate PSTN to IP Networks
Migrate PSTN to IP Networks Simplify services and networks with IP networks ⚫ Nation-wide call rates to fixed-line telephones will be 8.5 yen per every 3 minutes (from January 2024) ⚫ Migrate tandem/signal transfer switches to IP, and connect to other carriers through IP (scheduled completion by Jan
Slide 51: Other Businesses
Other Businesses Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 50
Slide 52: Promote B2B2X Model
Promote B2B2X Model ⚫ Number of B2B2X Projects: 112 (as of the end of July 2021) ⚫ Set B2B2X Sales Target: ¥600.0 billion (for FY2023) Sales / Number of Projects Target ¥ 600.0 billion Create new B2B2X project 440円 ¥ 60 billion FY 2018 FY 2020 1Q FY 2023 target Number of Projects 39 112 Copyright 20
Slide 53: Strategic Business Alliance with Fujitsu
Strategic Business Alliance with Fujitsu for the “Realization of a Sustainable Future Digital Society” NTT Fujitsu As “Your Value Partner,” aims to resolve Makes the world more sustainable by social issues through its business building trust in society through operations, working together with its i
Slide 54: Create New Lines of Business (1)
Create New Lines of Business(1) We are rolling out urban development plans with maximum use of resources such as nationwide exchange station buildings by collaborating with NTT Group's regional bases and building partnerships with other companies and organizations. Main group resources Telephone exc
Slide 55: Create New Lines of Business (2)
Create New Lines of Business(2) Promotion of Smart Energy Business FY2025 (Target) ⚫ Establishment of “NTT Anode Energy” (June 3, 2019) ⚫ Efforts to popularize and expand the use of renewable energy ■ Expansion of Green energy (capital tie-up etc.) Geothermal power July 2020 ／ Biomass August 2020 Wi
Slide 56: R&D
R&D Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 55
Slide 57: Worldwide promotion of research and development
Worldwide promotion of research and development Road to (1) Wireless - Expanding wireless coverage IOWN and increasing capacity - 6G strategy Cognitive Foundation (4) Disaggregated Computing / OS (2) All-Photonics Network (APN) (3) Digital Twin - LSI serving as a key Computing (DTC) to the APN - 4D
Slide 58: Open access networks (O-RAN plus vRAN)
Open access networks (O-RAN plus vRAN) Flexible and advanced management Operational vCU vDU operations High availability Scalability RU RU Resilience RU Virtualization management Operational vCU vRAN vDU NEC NTT RU RU - Software technology - Verification for practical RU - Production technology use
Slide 59: Three elements that make up IOWN
Three elements that make up IOWN Cognitive Foundation Digital Twin Computing API Cloud Ctrl Ctrl Edge Multi-orchestrator API Fixed network Mobile network API Ctrl Operator A Operator B Operator C Operator D Ctrl Ctrl Ctrl API API Ctrl All Photonics Network Copyright 2021 NIPPON TELEGRAPH AND TELEPHO
Slide 60: Shareholder Returns/ ESG
Shareholder Returns/ ESG Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 59
Slide 61: Shareholder Returns (1)
Shareholder Returns (1) ◆Dividend Policy • Basic policy is steady dividend increases ◆Share Buybacks • Carry out buybacks flexibly to improve capital efficiency Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 60
Slide 62: Shareholder Returns (2)
Shareholder Returns (2) Share Buybacks ⚫ Resolved to buy back shares in order to improve capital efficiency and enhance shareholder returns ⚫ Details of Share Buybacks ・Aggregate Amount: Up to ¥250.0 billion ・Aggregate Number of Shares: Up to 100,000,000 shares ・Buyback Period: From August 10, 2021
Slide 63: Changes in Dividend
Changes in Dividend 110 （Yen） 105 100 85% 75 65% Dividend per share Payout Ratio 50 45% 40.9% 41.1% 42.3% 38.2% 37.0% 38.0% 36.4% 32.3% 31.2% 33.4% 32.9% 25 31.4% 30.7% 12.5 25% 27.5% 23.2% 19.5% 17.2% 12.3% 13.1% 0 5% • Dividend reflects the one hundred-for-one stock split effective on January 4, 2
Slide 64: Record of Share Buybacks
Record of Share Buybacks Approx. 4.5 Trillion Yen in Buybacks (Billions of yen) From From From From From From From From From From From From Market/ Market/Gov’t Market/ Market/ Market/ Gov’t Gov’t Market Gov’t Market Market Gov’t Market Market Gov’t Gov’t 600 539.4 *8 501.1 500 *5 406.5 *7 400 *4 38
Slide 65: Changes of EPS and Outstanding Shares
Changes of EPS and Outstanding Shares EPS(right axis) (mil shares) （Yen） 302 EPS Growth (Average Annual Growth Rate +11.0%) 96 (Note1) Outstanding Shares : Average number of shares outstanding, excluding own shares (Note2) This chart reflects the two-for-one stock split effective on July 1, 2015 , a
Slide 66: Promote ESG Management (1)
Promote ESG Management (1) Environment Social Governance ⚫ Reduce ⚫ Promote diversity ⚫ Enhance structure on environmental impact ⚫ Protect personal the basis of the intent ⚫ Leverage ICT to information of Japan’s Corporate contribute to the ⚫ Support customers in Governance Code environment reinfor
Slide 67: Promote ESG Management (2) NTT Green Innovation toward 2040
Promote ESG Management (2) NTT Green Innovation toward 2040 80% Reduction in Greenhouse Gas Emissions 2030 (compared to FY2013) Mobile (NTT DOCOMO) Carbon-Neutral Data Centers 2040 Carbon-Neutral • Targets of the Above Reduction Objectives GHG Protocol: Scope 1 (our own direct greenhouse gas emissio
Slide 68: Promote ESG Management (2)
Promote ESG Management (2) Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 67
Slide 69: Promote ESG Management (3)
Promote ESG Management (3) ◼ Enhancement of Governance ① Introduced the outside member of the board/executive officer system to major subsidiaries (NTT East, NTT West, NTT Com and NTT Urban Solutions) ② Expanded the scope of performance-based compensation from 30% to 50%, and introduced a new stock
Slide 70: Financial Data, etc.
Financial Data, etc. Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 69
Slide 71: NTT Group Formation
NTT Group Formation Voting rights to major subsidiaries (As of March 31, 2021) Operating revenue：¥4,725.2 billion 100% Operating income ：¥ 913.2 billion Mobile communications No. of employees ： 28,100 business No. of subsidiaries： 82 Operating revenue：¥3,207.4 billion 100% Operating income ：¥ 420.2
Slide 72: Trend in Consolidated Financial Results
Trend in Consolidated Financial Results 11.9 11.9 11.9 12.0 11.8 ■ Operating 11.8 11.5 11.4 Revenues 11.1 10.9 （Trillion yen） ■ Operating 1.54 1.64 1.64 1.69 1.56 1.67 1.73 Income 1.21 1.08 1.35 /Operating Profit （Trillion yen） 0.91 0.90 0.85 0.86 0.92 1.09 0.80 * 0.74 ■ Net Income 0.59 0.52 /Profit
Slide 73: Changes in Consolidated Operating Revenues
Changes in Consolidated Operating Revenues ：Mobile communications business ：Data communications business ：Regional communications business ：Other business ：Long distance and international （Billion yen） communications business 15,000 12,000.0 11,799.6 11,782.1 11,879.8 11,899.4 11,944.0 11,541.0 11,3
Slide 74: Changes in Consolidated Operating Income
Changes in Consolidated Operating Income ：Mobile communications business ：Data communications business ：Regional communications business ：Other business （Billion yen） ：Long distance and international 2,000 communications business 1,730.0 1,693.8 1,671.4 1,642.8 1,641.1 1,539.8 1,562.2 1,500 1,348.1
Slide 75: Changes in CAPEX
Changes in CAPEX ：Mobile communications business ：Data communications business ：Regional communications business ：Other business ：Long distance and international （Billion yen） communications business 1,892.8 2,000 1,817.5 1,687.2 1,806.6 1,700.0 1,674.8 1,697.0 1,728.3 1,750.0 1,697.9 753.7 703.1 57
Slide 76: Changes in Interest-bearing Debt
Changes in Interest-bearing Debt （Billion yen） Debt/Equity ratio* * Debt Equity ratio = Interest-bearing debt / Shareholders’ equity x 100 Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 75
Slide 77: Medium-Term Debt Levels
Medium-Term Debt Levels ◼ Targeted debt levels are ¥6 trillion; includes the spin-off of the leasing business, securitizations of receivables and debt repayments of ¥0.9 trillion. ◼ Debt will be repaid while maintaining the same shareholder returns as before. ◼ No goodwill will be generated by the t
Slide 78: Changes in Number of Employees
Changes in Number of Employees ：Mobile communications business ：Data communications business ：Regional communications business ：Other business ：Long distance and international communications business 319,050 324,650 327,750 307,900 (296,500) (298,900) (319,500) (284,550) 28,100 29,100 284,550 27,550
Slide 79: Age Distribution of Employees at NTT East, NTT West and Outsourcing Companies
Age Distribution of Employees at NTT East, NTT West and “Outsourcing Companies” (As of March 31, 2021） 4,000 Number of Employees 2,000 0 20 30 40 50 60 65 Age * Figures for East Outsourcing Companies include employees from the consolidated regional outsourcing companies (NTT EAST-MINAMIKANTO and oth
Slide 80: Changes in Personnel expenses (NTT East Group, NTT West Group)
Changes in Personnel expenses (NTT East Group, NTT West Group) （Billion yen） 1000 500 938.5 885.7 827.6 785.1 738.1 709.4 683.2 675.4 664.0 0 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021E * The scope of aggregation for each of the figures are not audited and are provided for refere
Slide 81: Broadband Access Services in Japan
Broadband Access Services in Japan Mobile Fixed Mobile FTTH Approx. Approx. Rakuten mobile 194.33M subs 35.02M subs market share Approx. 2％ SoftBank SoftBank market share 150M Approx. 25％ 30M KDDI KDDI market share 100M Approx. 31％ NTT EAST and 20M NTT WEST Approx. 22.56M subs NTT DOCOMO CATV Approx
Slide 82: Fixed Broadband Business FTTH Subscriptions
Fixed Broadband Business FTTH Subscriptions FTTH Subscriptions (Sum of NTT East and NTT West） * 23.26 22.56 Reference: (millions subs) 21.66 FY2021E Breakdown of FTTH Subscriptions (millions subs) 21.08 20.05 20.53 Hikari FY2021E Collaboration Total FTTH Service: +0.70 Model Change from preceding Fi
Slide 83: Share Buybacks and Cancellation
Share Buybacks and Cancellation ＜＞：share holding ratio Buyback from Buyback from Buyback from Disposal of treasury stock by way of Buyback from Gov’t and Cancellation Gov’t and Cancellation Gov’t and third-party Market Market Market Market allotment Excess Holdings 118mil. shares Excess Holdings 98m
Slide 84: Your Value Partner
Your Value Partner
Slide 85: Matters Currently under Consideration to Strengthen Collaboration after Making NTT DOCOMO a Wholly Owned Subsidiary
Attachment ※The Document submitted for the commission at the Ministry of Internal Affairs and Communications Matters Currently under Consideration to Strengthen Collaboration after Making NTT DOCOMO a Wholly Owned Subsidiary December 25, 2020
Slide 86: These materials include a discussion of matters which are currently under consideration as of
These materials include a discussion of matters which are currently under consideration as of the date hereof and which are all subject to change in the future. Copyright 2021 NIPPON TELEGRAPH AND TELEPHONE CORPORATION 85
Slide 87: Objectives and Initiatives
Objectives and Initiatives ◼ NTT DOCOMO will utilize the capabilities of NTT Communications and NTT Comware and promote new services/solutions and the development of 6G-focused communications infrastructure that integrates mobile and fixed-line services, to evolve into a comprehensive ICT company th
Slide 88: Timeline for Implementation
Timeline for Implementation ◼ Transformation into a new DOCOMO Group is planned to be implemented through the following two steps (Proposed for Summer 2021) STEP 1 • Making Communications and Comware into subsidiaries of DOCOMO • Strengthening collaboration in the research and development capabiliti
Slide 89: Matters Currently under Consideration <STEP 1>
Matters Currently under Consideration <STEP 1> ◼ Making Communications and Comware subsidiaries of DOCOMO ◼ Research and development functions will be operated in an integrated manner to strengthen 6G and IOWN development capabilities Holding Company Laboratories Research/Development Integrated Oper
Slide 90: Matters Currently under Consideration <STEP 2> ①
Matters Currently under Consideration <STEP 2> ① ◼ Allocation of Functions between DOCOMO, Communications, Comware and Others ✓ Sales for individual customers will be primarily conducted by DOCOMO. For the MVNO and ISP businesses, VNE business will primarily be the responsibility of Communications,
Slide 91: Matters Currently under Consideration <STEP 2> ②
Matters Currently under Consideration <STEP 2> ② ◼ Allocation of Functions between DOCOMO, Communications, Comware and Others Holding Company Laboratories Research/Development Integrated Operation DOCOMO Individual Smart Life Practical Sales MNO Business Business Development Wholesale Offering Colla