Kddi Corporation · TSE:9433

Kddi — Q1 FY2006 Earnings Presentation

27 slides from Kddi's earnings presentation, Jul 25, 2005

  1. Slide 1: KDDI CORPORATION Ubiquitous Solution Company

    IR Ubiquitous Solution Company KDDI CORPORATION 2006 3 1 2005 7 25

  2. Slide 2: 1

    1

  3. Slide 3: 1Q results highlights

    1. 2006 3 1Q 1 au PHS 0.8% 1.9% 2 au 10.2% 16.4% 2,000 6 7 TM 1,000 6 15 6 22.8% 1Q 53.8% WIN 6 432 83% 3 BBC & 116 6 41 92 4 S 2

  4. Slide 4: Consolidated results

    2. 40,000 4,000 24.7% 24.0% 3,000 30.2% 30.4% 30,000 (23.9%) (29.8%) 20,000 2,000 10,000 1,000 1Q 1Q 1Q 1Q 0 0 05.3 06.3 05.3 06.3 05.3 05.3 06.3 05.3 06.3 1Q 1Q 1Q 7,201 29,200 7,143 -0.8% 24.0% 29,760 6,759 5.7% 896 2,962 878 -1.9% 30.4% 2,890 868 1.2% 12.4% 10.1% 12.3% - - 9.7% 12.8% - 872 2,863

  5. Slide 5: au mobile business results

    3. au 29.6% 30,000 3,000 29.3% 23.4% 24.0% 20,000 2,000 10,000 1,000 1Q 1Q 1Q 1Q 0 0 05.3 06.3 05.3 06.3 05.3 06.3 05.3 06.3 ( ) 1Q 1Q 1Q 1Q 4,896 20,927 5,395 24.0% 22,450 17,591 19,542 20,123 21,540 800 2,731 931 29.6% 3,140 393 487 527 610 16.3% 13.1% 17.3% - 14.0% WIN(EV-DO) 573 3,252 4,319 7,66

  6. Slide 6: Fixed-line communications business results

    4. 8,000 200 24.6% 23.7% 1Q 6,000 0 1Q 4,000 -200 2,000 -400 1Q 1Q 0 -600 05.3 06.3 05.3 06.3 N.A. 05.3 06.3 05.3 06.3 ( ) 1Q 1Q 1Q 1Q 1,468 5,960 1,450 23.7% 6,120 DION 1 2,760 2,885 2,870 2,880 6 -3 -116 - -420 ADSL 1,251 1,494 1,494 1,500 0.4% -0.1% -8.0% - -6.9% FTTH ( ) 43 91 118 180 9 -4 -105

  7. Slide 7: Segment results

    5. 4,000 400 3,000 300 26.3% 25.1% 2,000 200 31.8% 39.1% 1,000 100 1Q 1Q 1Q 1Q 0 0 05.3 06.3 05.3 06.3 05.3 06.3 05.3 06.3 ( ) 1Q 1Q 1Q 1Q 609 2,314 513 25.1% 2,040 3,606 3,590 3,557 3,490 59 184 55 39.1% 140 ARPU 4,690 4,470 4,100 4,040 9.6% 8.0% 10.7% - 6.9% 49 152 50 38.1% 130 30 105 31 - 80 FCF

  8. Slide 8: Segment results by business and network

    6. 2GHz au 800MHz EV-DO CDN 3,000 800MHz 1X 2,000 2,500 480 1,500 2,000 180 1,500 1,000 670 1,000 370 129 500 3 500 1,010 290 26 174 20 1Q 90 65 250 76 120 1Q 18 0 0 05.3 06.3 05.3 06.3 05.3 06.3 ( ) 1Q 1Q 421 3,424 777 17.7% 4,400 au 266 2,335 520 18.6% 2,800 93 866 241 16.1% 1,500 20 77 5 12.6% 40

  9. Slide 9: au

    au 8

  10. Slide 10: 1.1 Subscribers

    1.1. * * 45,000 40,000 35,000 30,000 0 1Q 2Q 3Q 4Q 1Q 05.3 06.3 05.3 06.3 ( ) 1Q 2Q 3Q 4Q 1Q 4,440 4,570 940 1,140 1,120 1,240 1,020 38,000 38,000 37,000 39,000 39,000 38,000 38,000 1,159 1,210 255 293 287 323 270 9

  11. Slide 11: 1.2 Churn rate

    1.2. 100% 500 2.0% 80% 400 1.49% 1.51% 1.40% 1.37% 1.5% 1.26% 60% 300 1.0% 40% 200 0.5% 20% 100 0.14 0% 0 0.0% 3/'04 6/'04 9/'04 12/'04 3/'05 6/0'5 1Q 2Q 3Q 4Q 1Q 05.3 / 06.3 /1Q 05.3 06.3 <50.4%> <53.8%> <22.5%> <22.8%> <1.44%> 10

  12. Slide 12: 1.3 ARPU

    1.3. ARPU Total ARPU WIN ARPU 14,000 11,550 12,000 11,190 10,570 10,160 9,970 10,000 7,260 7,300 7,190 7,050 7,150 8,000 6,960 6,810 7,270 6,970 6,640 6,480 6,000 5,540 5,570 5,470 5,180 5,240 5,020 4,000 2,000 4,400 3,920 3,600 3,520 3,490 1,720 1,730 1,720 1,780 1,810 1,790 0 06.3 1Q 2Q 3Q 4Q 1Q 1

  13. Slide 13: 2. WIN

    2. WIN DEV-DO 05 9 99.9% WIN DEV-DO Rev.A 06 & 04 8 1 ~ D04 11 ~ EZ TM 05 5 1 ~ D05 6 ~ EZ D05 9 ~ EZ FeliCa ~ PCSV 06 FeliCa WIN PCSV PC site viewer 12

  14. Slide 14: 3. WIN (1)

    3. WIN (1) 05.5 3/’06 WIN 766 100% 5,000 87% 83% 81% 79% 77% * 83% 80% 4,000 4,319 60% 3,252 3,000 40% 2,000 2,032 20% 1,191 1,000 343 573 0% 0 3/'04 6/'04 9/'04 12/'04 3/'05 6/'05 05.6 05.3 WIN 05.5 6% 13

  15. Slide 15: 3. WIN (2)

    3. WIN (2) WIN ARPU WIN 12,000 9,970 10,000 8,000 7,050 6,480 6,000 4,000 5,240 51% 49% 2,000 3,490 1,810 0 WIN ARPU 06.3 1Q ARPU 06.3 1Q 14

  16. Slide 16: 3. WIN (3)

    3. WIN (3) WIN ARPU 1X WIN ARPU 1,500 1,000 500 0 12/'03 4/'04 8/'04 12/'04 4/'05 500 1,000 1,500 2,000 2,500 WIN ARPU 15

  17. Slide 17: 4. (1)

    4. (1) TM 6 15 1,000 TM D/L 6 15 D/L 1,000 12,000 10,000 4 3 500 8,000 6,000 1 5 4,000 100 2,000 0 11/'04 12 1/'05 2 3 4 5 6 16

  18. Slide 18: 4. (2)

    4. (2) TM au ARPU TM 1 2 10 -20 6 50 5% 100% 83% 40 12% 80% 58% 30 21% 60% 20 40% 37% 10 20% 25% 0% 0% 10% 20% 30% 40% 1 05.6 2 05.5 17

  19. Slide 19: 4. (3) DUOBLOG

    4. (3) DUOBLOG 5/19 6 1.9 DUOBLOG 2,000 20,000 1,500 PV 15,000 1,000 10,000 500 5,000 0 0 5/19 5/26 6/2 6/9 6/16 6/23 6/30 18

  20. Slide 20: 4. (4) DUOBLOG

    4. (4) ARPU DUOBLOG 1 2 20 -30 1,000 6 787 50 7% 800 40 14% 600 335 2 400 30 31% 200 20 33% 0 10 15% 2005/3 2007/3 0% 10% 20% 30% 40% 1,651 3,455 1 05.5.19 6.12 2 SNS 05.5.17 SNS Social Networking Service 19

  21. Slide 21: 3,000 2,200 2,000 1,000 3/'05 6/'05 3/'06( ) GC 720 1,800 05.6 919 20

    3,000 2,200 2,000 1,000 408 41 0 3/'05 6/'05 3/'06( ) GC 300 720 1,800 05.6 919 20

  22. Slide 22: EZ FeliCa 3G

    EZ FeliCa 3G 21

  23. Slide 23: EZ FeliCa

    EZ FeliCa EZ FeliCa FEZ FeliCa 22

  24. Slide 24: EZ FeliCa

    EZ FeliCa + F2EZ FeliCa

  25. Slide 25: au / KDDI 3G

    3G au / KDDI 3G 100Mbps 100Mbps CDMA2000 10Mbps 2003 10 10Mbps 3.1Mbps NxEV-DO 2.4Mbps 1xEV-DO 1xEV-DO u ti on 1Mbps Rev. 0 Rev. A Evol 0 2006 A200 154kbps CDMA2000 M 100kbps CD 1X 2002 4 2002 2005 2010 1xEV-DO 1xEV-DO (Rev. 0) Rev. A 2.4Mbps 3.1Mbps 154kbps 1.8Mbps QoS (Quality of Service) 24

  26. Slide 26: 3G and FMC

    3G 3G 3G 4 FMC 1980s 1990s 2000s 2010s 1 2 3 4 xDSL 2 LAN LAN IMT-2000 Bluetooth ZigBee 25

  27. Slide 27: Ubiquitous Solution Company

    Ubiquitous Solution Company 26

KDDI — Q1 FY2006 Earnings Presentation on 6ix