Ntt Inc · TSE:9432

Ntt — Investor Presentation (August 2025)

133 slides from Ntt's investor presentation, August 2025

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
Slide 3: Contents
Contents Overview of Consolidated Results for the Three Months Ended June 30, 2025 R&D Status of Consolidated Results for FY2025.1Q 4 IOWN initiative 74 Contributing Factors by Segment for FY2025.1Q 5 Roadmap and Application Areas of Photonics-Electronics Convergence Devices 75 FY2025 Results Foreca
Slide 4: Overview of Consolidated Results for the Three Months Ended June 30, 2025
Overview of Consolidated Results for the Three Months Ended June 30, 2025 © NTT, Inc. 2025 3
Slide 5: Status of Consolidated Results for FY2025.1Q
Status of Consolidated Results for FY2025.1Q ◼ Operating Revenues increased, Operating Profit and Profit decreased ◼ Operating Revenues reached new record-high levels Status of Consolidated Results ⚫ Operating Revenues: ¥3,262.0B <+¥22.0B [+0.7%] year-on-year> ⚫ EBITDA(1): ¥801.4B < (¥13.9)B [(1.7)%
Slide 6: Contributing Factors by Segment for FY2025.1Q
Contributing Factors by Segment for FY2025.1Q Operating Revenues <Year-on-year:＋22.0> (Billions of yen) Integrated ICT Global Solutions Regional Others Elimination of Business Segment Business Segment Communications (Real Estate, Inter-Segment Business Segment Energy and Others) Transactions 3,262.0
Slide 8: FY2025 Forecast Summary
FY2025 Forecast Summary ◼ Operating Revenues, EBITDA, Operating Profit and Profit will all increase year-over-year Consolidated Revenues and Income Plan FY2024 Results FY2025 Forecast Year-on-Year Operating Revenues ¥13,704.7B ¥14,190.0B +¥485.3B EBITDA(1) ¥3,239.3B ¥3,390.0B +¥150.7B Operating Prof
Slide 9: FY2025 Forecast Summary by Segment
FY2025 Forecast Summary by Segment Operating Revenues <Year-on-year: +485.3> (Billions of yen) Integrated ICT Regional Global Solutions Others Elimination of Business Segment Communications Business Segment (Real Estate, Inter-Segment Business Segment Energy and Others) Transactions 14,190.0 291.3 5
Slide 10: Initiatives for Medium-Term Profit Growth
Initiatives for Medium-Term Profit Growth ◼ Since launching the Medium-Term Management Strategy, we have continued to actively invest (capital investment + equity investment) in growth areas to increase future profits. ◼ We aim to achieve our medium-term financial targets by ensuring the realization
Slide 12: FY2024/1Q Results Overview
FY2024/1Q Results Overview Recorded YOY increase in revenues but decrease in profit. Year-on-year IFRS (Billions of yen) FY2024/1Q FY2025/1Q Changes % Operating revenues 1,476.9 1,490.1 +13.3 +0.9% Operating profit 275.4 239.7 -35.7 -13.0% Profit attributable to shareholders of NTT DOCOMO, INC. 194.
Slide 13: FY2024/1Q Results by Segment: Operating Revenues
FY2024/1Q Results by Segment: Operating Revenues Smart Life and Enterprise segments recorded YOY increase. Consumer communications posted YOY decrease. Year-on-year IFRS (Billions of yen) FY2024/1Q FY2025/1Q Changes % Operating revenues 1,098.9 1,090.1 -8.8 -0.8% Consumer Smart Life 288.6 301.1 +12.
Slide 14: FY2024/1Q Results by Segment: Operating Profit
FY2024/1Q Results by Segment: Operating Profit Consumer communications recorded YOY decrease, but Enterprise YOY increase. Year-on-year IFRS (Billions of yen) FY2024/1Q FY2025/1Q Changes % Operating profit 206.7 163.9 -42.7 -20.7% Smart Life 62.3 59.4 -2.9 -4.7% Consumer communications 144.4 104.6 -
Slide 15: Key Factors behind Changes in Operating Revenues
FY2024/1Q Key Factors behind Changes in Operating Revenues Growth areas continued to achieve revenue increase. Downtrend of consumer communications revenues continued despite improved momentum (e.g., customer base and ARPU, etc.). Consumer -8.8 Enterprise (Billions of yen) Smart Life +12.5 Consumer
Slide 16: Key Factors behind Changes in Operating Profit
FY2024/1Q Key Factors behind Changes in Operating Profit Enterprise delivered solid performance. But operating profit recorded YOY decrease due to continued cost injection for reinforcement of customer base and communication quality, etc. Consumer -42.7 Enterprise (Billions of yen) Smart Life -2.9 C
Slide 17: Consumer Communications: Operating Revenues
Consumer Communications: Operating Revenues Upsells and downsells getting close to equilibrium following the launch of new rate plan, but mobile communications services revenues recorded YOY decrease due to impact of customer loss in FY24/1H, etc. Operating revenues Highlights (Billions of yen) ➢ Fa
Slide 18: Consumer Communications: Customer Base
Consumer Communications: Customer Base Net adds performance continues to improve, with MNP recording net inflows for three straight quarters. Churn rate maintained at low levels. YOY changes in individual handset net adds Churn rate MNP net positive for Company B 3 straight quarters Company A DOCOMO
Slide 19: Consumer Communications: ARPU
Consumer Communications: ARPU ARPU remained flat YOY. Aim to raise proportion of large data plan users by expanding the adoption of “MAX” plan, thereby boosting ARPU . Mobile communication ARPU*1 Expansion of large data plan subscription rate and ARPU (Yen) 28% 29% 6500 26% 27% 30% 3,990 Large data
Slide 20: docomo MAX: Initial Uptake and Planned Future Actions
Consumer Communications: “docomo MAX”: Initial Uptake and Planned Future Actions Initial uptake almost in line with plan. Potential to further improve acquisition of new/port-in customers. Plan to strengthen collaboration with partners to accelerate customer base expansion. docomo MAX Initial Uptake
Slide 21: Smart Life: Operating Revenues
Smart Life: Operating Revenues Steady expansion of finance business driving revenue growth. Operating revenues Highlights 301.1 (Billions of yen) 288.6 +12.5 ➢ Factors behind change +) Finance: +13.4 billion 106.9 120.2 ✓Growth of “d CARD” members Increased “d-Barai” usage 37.8 38.2 +) Marketing sol
Slide 22: Smart Life: Finance
Smart Life: Finance Accelerate growth of finance/payment transactions, leveraging “d CARD PLATINUM” and investment services. Expand our economic sphere through one-stop provision of various finance services. Finance revenues Growth of finance/payment transactions Enrichment of finance services Avera
Slide 23: Smart Life: Marketing Solutions
Smart Life: Marketing Solutions Enlarge “d POINT” economic sphere by expanding and diversifying usage opportunities. Create new value by realizing media DX through data linkage. Marketing solution revenues Expansion of “d POINT” economic sphere (Billions of yen) “d POINT” sales revenues +18% Revenue
Slide 24: Smart Life: Entertainment
Smart Life: Entertainment Create new revenue sources with the full-scale launch of venue business. Continue to expand business leveraging original IP and synergies with other services. Entertainment revenues Expansion of venue business (Billions of yen) Japan National Stadium (Started Apr. 2025) (St
Slide 25: Enterprise: Operating Revenues
Enterprise: Operating Revenues Got off to a good start capturing DX demand. Operating revenues Highlights (Billions of yen) ➢ Factors behind change 456.0 430.3 +) Organic growth: +25.7 Billion +25.7 FY24/1Q FY25/1Q © NTT, Inc. 2025 24
Slide 26: Enterprise: Growth of Solutions Domain
Enterprise: Growth of Solutions Domain Lead organic growth in integration and platform areas. Actions for expansion of solutions Industry-specific solutions Providing New Value to All Corporate Customers IT Medical Public/ Solid demand for security measures and Finance Services Manufacture Distribut
Slide 27: FY2025 Guidance
FY2025 Guidance Although sales increased due to the acceleration of organic growth, Profit declined due to continuation of upfront investments for future growth and measures to reduce the burden in subsequent years. FY2024 FY2025 Year-on-year IFRS (Billions of yen) Full year Full year Changes % Oper
Slide 28: Operating Revenues Forecast
Operating Revenues Forecast Revenues are expected to increase, driven by growth in finance of Smart Life and Enterprise solutions. (Billions of yen) Growth Areas +208.7 Consumer Communications -51.5 FY25 Specific Factors -34.3 Smart Life Enterprise Decline in mobile Enterprise Organic Organic commun
Slide 29: Operating Profit Forecast
Operating Profit Forecast Offset the decline in Consumer Communications profits by strong growth in Growth Areas. Striving to further improve momentum in FY25. (Billions of yen) Growth Areas +61.6 Consumer Communications -55.1 FY25 Specific Factors -61.0 Smart Life Enterprise Decline in mobile Enter
Slide 30: Toward Medium-Term Growth
Toward Medium-Term Growth FY25 positioned as a year of transformation for future growth, leading to significant profit expansion in FY26 and beyond. Transformation agenda and YOY profit change (conceptual) Operating profit outlook FY25 FY26 FY27 Marketing strategy reform Mobile communications servic
Slide 31: Network: FY24 Actions for Communication Quality Improvement
<Network> FY24 Actions for Communication Quality Improvement Accelerate 5G rollout using Sub6 and 4G spectrum. For further improvement of customer experience by the utilization of latest equipment and functions. FY24 FY25 Construct a network that continues to be chosen by customers Deliver comfortab
Slide 32: Network: Improving efficiency through network structural reform
<Network> Improving efficiency through network structural reform Engage in structural reforms to accelerate quality measures and reduce costs Quality Measures Cost Measures Number of base stations built and results Voices of dissatisfaction network-related investment Centered on urban areas 5G Base
Slide 33: Targets for each indicator toward FY2027
Targets for each indicator toward FY2027 FY23 FY24 FY27 Consumer business revenues ¥4,476.1 billion ¥4,489 billion Up ¥350 billion or more Customer base 34.7% 34.7% 35% or higher (Retail user market share*) Retail user mobile ARPU ¥4,090 ¥4,070 ¥4,200 Incl.) Entertainment revenues ¥221.5billion ¥230
Slide 35: Q1 FY2025 Results (Summary of YoY Changes)
Results for the First Quarter of the Fiscal Year Ending March 31, 2026 (Summary of YoY Changes) • Net sales, operating profit, and profit were roughly flat year on year, despite downward pressure from exchange rate fluctuations. However, we are on track to meet our full-year forecasts, as we expect
Slide 36: New Orders Received YoY Changes
New Orders Received｜YoY Changes (Results of Q1 FY2025) Despite an increase in the Japan Segment which secured large-scale orders, new orders received overall declined due to exchange rate fluctuations and the absence of large-scale orders in the DC business of the Overseas Segment seen in the previo
Slide 37: Net Sales YoY Changes
Net Sales ｜ YoY Changes （Results of Q1 FY2025) Net sales overall were roughly flat as the Overseas Segment saw a decline due to exchange rate fluctuations, while the Japan Segment enjoyed an increase. -42.4 (Unit: billions of yen) +8.7 -51.0 +36.9 North America -7.7 EMEAL +1.1 APAC -4.4 GTSS +11.4 -
Slide 38: Operating Profit YoY Changes
Operating Profit｜YoY Changes (Results of Q1 FY2025) Operating profit overall was also roughly flat as the Overseas Segment saw a decline, while the Japan Segment enjoyed an increase in line with higher net sales. 2,920 (Unit: billions of yen) -2.4 +3.4 -1.2 -1.2 -1.9 -0.8 Public & Social Infrastruct
Slide 39: Breakdown of Japan Segment Results
Breakdown of Japan Segment Results New orders received, net sales, and operating profit all increased year on year. • New orders received in the Public & Social Infrastructure business were robust thanks to large-scale orders for Telecom and Utility, while those in the Financial business increased s
Slide 40: Breakdown of Overseas Segment Results (North America, EMEAL, APAC)
Breakdown of Overseas Segment Results (North America, EMEAL , APAC) North America enjoyed a rise in operating profit despite lower net sales, while EMEAL posted a drop in operating profit despite higher net sales excluding exchange rate effects. APAC suffered drops in both net sales and operating pr
Slide 41: Breakdown of Overseas Segment Results (GTSS)
Breakdown of Overseas Segment Results (GTSS) The GTSS (Global Technology and Solution Services) unit posted an increase in operating profit despite lower net sales. • New orders received decreased sharply due to the absence of large-scale orders in the DC business seen in the previous year. • Net sa
Slide 42: Breakdown of Overseas Segment Results
Breakdown of Overseas Segment Results 2025 Apr-Jun FY2024 FY2025 YoY Excl. Exchange Rate YoY FY2025 Exchange Rate Progress Apr-Jun Apr-Jun (Amount) Effects(*2) (Rate) Forecasts Toward Forecasts Effects (*2) Net Sales 697.6 655.2 -42.4 +8.7 -51.0 -6.1% 3,052.7 21.5% North America 169.6 150.2 -19.4 -7
Slide 43: Investment, etc. in the DC Business
Overseas Segment Investment, etc. in the DC Business • The transfer of fixed assets to NTT DC REIT has been completed, and associated revenue and profits will be recorded in Q2 (July- September). • Investment in Q1 progressed steadily, totaling $496 (¥71.7 billion). • The total capacity as of the en
Slide 44: Orders Received, Financial Results of the DC Business
Overseas Segment Orders Received, Financial Results of the DC Business • Demand remained strong, despite a decline in new orders received due to the absence of large-scale orders seen in the previous year. • The business remained steady with net sales in Q1 totaling $665M (up $77M), and EBITDA comin
Slide 45: Status of the Data Center Business (Overseas Segment)
Status of the Data Center Business (Overseas Segment) ■Revenue, etc. of the Data Center business *1*2 (Unit: billions of yen) Q1 FY2024 Q1 FY2025 YoY FY2024 Results FY2025 Forecasts YoY (Apr-Jun) (Apr-Jun) (Amount) (Full Year) (Full Year) (Amount) New Orders Received 398.0 40.2 -357.7 692.8 Order Ba
Slide 46: Forecasts for the Fiscal Year Ending March 31, 2026
Forecasts for the Fiscal Year Ending March 31, 2026 Expected to achieve the MMP targets (consolidated net sales of 4.7 trillion yen, consolidated operating profit margin(*1) of 10%, overseas EBITA ratio(*1) of 10%) ➢ Net sales are forecast to rise by over 6% year on year on the back of an expected b
Slide 47: Breakdown of Forecasts for FY Ending March 2026 (Japan)
Breakdown of Forecasts for the Fiscal Year Ending March 31, 2026 (Japan) • New orders received, net sales, and operating profit are expected to rise year on year. • Net sales are expected to grow by 1.3% year on year, but by 4.0% if the effects of the change in accounting treatment(*1) in the Paymen
Slide 48: Breakdown of Forecasts for FY Ending March 2026 (Overseas)
Breakdown of Forecasts for the Fiscal Year Ending March 31, 2026 (Overseas) (Unit: billions of yen) • Net sales and profits are expected to rise in all units on the back of an expected expansion of each unit and utilization of REITs in the Data Center business. FY2024 FY2025 YoY YoY Results (*1) (*5
Slide 49: Data Center Business as a Growth Engine
Data Center Business as a Growth Engine NTT has committed to invest at least JPY1.5 trillion into data centers until the end of FY2027 as one of the pillars of our new medium-term strategy, aiming to double EBITDA during this period by leveraging our proven operational and technological capabilities
Slide 50: Expansion and Upgrade of Data Centers
（2023年5月公表）新中期経営戦略より Expansion and Upgrade of Data Centers ◼ NTT will further expand the world’s third-largest(1) data center infrastructure, and implement upgrades through the introduction of IOWN technology (will make investments of at least ~¥1.5tn/5 years(2)) ◼ NTT aims to achieve carbon neutr
Slide 51: NTT's Position In The Global Market
NTT’s Position In The Global Market Global Data Center Colocation Revenue Share1 Global IDC MarketScape Vendor Assessment 2 Operators 1 Equinix 2 Digital Realty 12% 3 NTT GDC 4 Digital Bridge 9% 5 CyrusOne Total 6% 6 KDDI $51.8B 3% 7 American Tower 3% 8 Cyxtera 9 Flexential 10 QTS Others NTT GDC is
Slide 53: FY2024 Results and FY2025 Forecast (NTT East)
FY2024 Financial Results and FY2025 Financial Results Forecast (NTT East） (Units: Billions of yen, except Hikari Subscriptions) IFRS FY2023 FY2024 FY2025 (Consolidated) Results Results Year-over-year Forecast Year-over-year 1,710.5 (4.5) Operating Revenues 〈1,655.9※2〉 1,665.4 〈＋9.5〉 1,670.0 ＋4.6 298
Slide 54: FY2024 Results and FY2025 Forecast (NTT West)
FY2024 Financial Results and FY2025 Financial Results Forecast (NTT West）（Billions of yen） IFRS FY2023 FY2024 FY2025 Compared to (Consolidated) Results Results Year-over-year Forecast Year-over-year Forecast Operating Revenues 1,497.0 1,468.6 (28.3) +23.6 1,472.0 +3.4 Operating Profit 138.9 81.8 (5
Slide 55: Initiatives to Restore Business Results
Initiatives to Restore Business Results (Billions of yen) 437.7 + Expansion of new businesses, 420.5 α further re-evaluation of fees, etc. Streamlining Shifting to profit Re-evaluation of personnel and Non-Core 3 business portfolio growth with Operating Profit Assets FY2024 as the + FY2027 +¥45.0 bi
Slide 56: Direction of Each Business Portfolio
Direction of Each Business Portfolio Market Growth Investments/capital increases Strengthening in response to market expansion Growth/new business:¥300.0 billion Enterprise Business: ¥750.0 billion New Business (Subsidiary) • Solving local social issues SI,etc. • Developing communication Networks in
Slide 57: Evolving and Expanding the Enterprise Network Business
Evolving and Expanding the Enterprise Network Business Making the most of existing optical networks, we will leverage our strengths in regional connections and engineering to expand our network businesses that support the digitalization of society (targeting a ¥25.0 billion increase in profit throug
Slide 58: Current Status of Fiber Optic Services and Future Targets
Current Status of Fiber Optic Services and Future Targets • By strengthening sales and improving the pricing strategies for FLET’s Hikari Cross and the apartment building market business, we plan to expand our market share and improve our profitability, with a goal of generating profit of ¥40.0 bill
Slide 59: Initiatives to Increase Hikari Cross Sales
Initiatives to Increase Hikari Cross Sales （Responding to Demand for Faster Fiber Optic Speeds） We will expand the Hikari base with improved support for high-speed demand by promoting transitions to Hikari Cross, which is expected to increase ARPU, with free installations and other promotional measu
Slide 60: Initiatives in the Apartment Market
Initiatives in the Apartment Market • We will strengthen collaborations with developers and management companies to launch comprehensive apartment building-wide services that meet market needs and have high operating efficiency • We will shift to a business model in which we can maintain medium- and
Slide 61: Reforming Telecommunications Operations through DX and AI
Reforming Telecommunications Operations through DX and AI • We will fully leverage DX and AI to redesign personnel-heavy front and back-office support services ⇒ Enhancing efficiency and transitioning to “zero-touch (automated)” • We are aiming to improve profit by ¥18.0 billion through FY2027 by re
Slide 62: Reforming Telecommunications Operations through DX and AI
Reforming Telecommunications Operations through DX and AI • We will upgrade on-site operations and other manual tasks through the use of AI diagnostic imaging and other technologies • We will fully leverage DX and AI to transition routine repetitive tasks in the operation of NW equipment to “zero-to
Slide 63: Exit from Unprofitable Services
Exit from Unprofitable Services We will aim to improve profit by ¥13.5 billion in FY2027 through the termination of consumer line-related businesses and initiatives to promote the rapid shift to digital services Schedule Profit Improvement Effects (Billions of yen) （FY） 2024 2025 2026 2027 +13.5 ▲Ju
Slide 64: Migration to Alternative PSTN Services
Migration to Alternative PSTN Services • The ¥350.0 billion PSTN service revenue base will be maintained to the fullest extent possible by encouraging migration and improving pricing strategies at various contact opportunities with customers • Migration to alternative services (optical and wireless
Slide 65: Further Expansion of Growth Businesses (Solmare)
Further Expansion of Growth Businesses （Solmare Expansion） Solmare Revenue Expansion Comic Production Product Sales Licensing Development Comprehensive Implementation Publications Drama Anime/Movies Merchandise New Initiatives from FY2025 onwards Domestic Business Expansion Global Expansion Revenue
Slide 67: Sustainability Charter
Sustainability Charter • Establishment of Sustainability Charter in November 2021 • Three themes and nine challenges are set. Key indicators (carbon neutrality, percentage of new female managers, employee engagement rate, customer engagement) are reflected in executive compensation. Sustainability C
Slide 68: Targets of NTT Green Innovation toward 2040
Targets of “NTT Green Innovation toward 2040” ⚫ FY2030 Reduction of NTT Group’s greenhouse gas emissions by 80% (compared to FY2013) Carbon neutrality for the mobile (NTT DOCOMO) and data center businesses ⚫ FY2040 Carbon neutrality as NTT Group Energies Source: Created from “NTT Green Innovation to
Slide 69: Outlook of NTT Group's Energy Consumption
Outlook of NTT Group’s Energy Consumption ⚫ BY replacing legacy facilities with IOWN, energy consumption will be reduced by approximately half by FY2040 ⚫ Renewable energy will be adopted for the remaining half to achieve carbon neutrality Outcome Approx. doubled (compared to FY2013) Energy Savings
Slide 70: Towards Achieving Net Zero in 2040
Towards Achieving Net Zero in 2040 ◼ With 2023 preliminary results for scope 1 and 2 emissions being 2.42 million tons, our emissions are reducing faster than planned and we are making steady progress towards carbon neutral in 2040 ◼ By encouraging and supporting suppliers with their emissions reduc
Slide 71: Current Status and Future of Renewable Energy Business
Current Status and Future of Renewable Energy Business ◼ As a result of acquiring Green Power Investment (GPI), a leading domestic renewable energy company, in 2023, NTT added wind power generation to its solar power generation capabilities, and anticipates achieving its renewal energy acquisition f
Slide 72: New Green Transformation Initiatives (GX)
New Green Transformation Initiatives (GX) ◼ Launch the new solutions brand to strengthen initiatives in the GX field Improving power generation businesses through integrated management, analysis and visualization of Specific Initiatives: power generation and financial data Integrated Data Management
Slide 73: Reinforcement of Corporate Governance
Reinforcement of Corporate Governance June 2020 • Introduced an executive officers system* (separation of the functions of managerial decision-making/supervision and business execution) • Increased the ratio of outside directors from 27% to 50% *Introduced an executive officers system into key group
Slide 75: IOWN initiative
IOWN initiative ◼ In order to utilize all types of information beyond the limits of conventional infrastructures, photonics technologies such as photonics-electronics convergence devices will be utilized everywhere from networks to terminals to realize a network and information processing infrastruc
Slide 76: Roadmap and Application Areas of Photonics-Electronics Convergence Devices
Roadmap and Application Areas of Photonics- Electronics Convergence Devices IOWN is now entering the second stage, 2.0, initiating the introduction of photonics inside computers ２０２３２０２５２０２８ー２０３２ー IOWN 1.0 IOWN 2.0 IOWN 3.0 IOWN 4.0 PEC-1 (APN commercialized as 1.0)* PEC-2 PEC-3 PEC-4 Data center
Slide 77: IOWN Targets
IOWN Targets Power efficiency Power efficiency APN 100-times * 100-times * Server 13-times 8-times 1.0-times 1.0-times Up to IOWN IOWN IOWN IOWN Up to IOWN IOWN IOWN 最終 IOWN now 1.0 2.0 3.0 4.0 now 1.0 2.0 3.0 目標 4.0 2023 2025 2028 2032 2023 2025 2028 2032 * Power efficiency for the entire photonics
Slide 78: IOWN use cases at EXPO 2025 Osaka, Kansai, Japan
IOWN use cases at EXPO 2025 Osaka, Kansai, Japan ◼ On NTT Pavilion Day, NTT held CHO-KABUKI Powered by IOWN “Hanakurabe Senbonzakura Expo2025 ver.”, a real- time joint performance using IOWN APN and two-way transmission between Japan and Taiwan. ◼ At the NTT Pavilion, computers utilizing IOWN 2.0 co
Slide 79: NTT's LLM
NTT’s LLM ◼ Since commercialization in March 2024, customers from a variety of fields have indicated interest, with over 600 proposals for implementation ◼ Going forward, NTT will collaborate with its partners to accelerate the expansion of tsuzumi both domestically and overseas Expanding Further th
Slide 80: High Level Cost Performance of tsuzumi
High Level Cost Performance of tsuzumi Achieves high level of functionality while reducing hardware costs necessary for the implementation 生成AI利用 and operation of generative AI Main Cost Components AI’s Customizability Needed for Generative AI (Knowledge Upgrades, etc.) Use Operation GPU Cost Cost (
Slide 81: Upgraded purely Japanese-made LLM [tsuzumi 2]
Upgraded purely Japanese-made LLM [tsuzumi 2] ◼ An upgraded version of tsuzumi, NTT’s LLM, to be launched in October 2025 ◼ The best in the world among LLMs with the same parameter size in terms of Japanese language performance Comparison of enhanced context processing and sentence understanding Evo
Slide 82: Establish NTT AI-CIX to Promote Linked AI
Establish “NTT AI-CIX” to Promote Linked AI ◼ In August 2024, NTT established “NTT AI-CIX* Corporation (NTT AI-CIX)” to promote cross-business/cross- industry-linked AI services * AI-Cross Industry transformation ◼ NTT aims to achieve the optimization of the entire supply chain through the use of cr
Slide 84: Shareholder Returns
Shareholder Returns Dividends ◼ Dividends forecast for FY2025 ・Annual dividends per share are forecasted to be ¥5.3 (an increase of ¥0.1 from FY2024) → Dividends are expected to increase for the 15th consecutive year Share Buybacks ◼ Share Buybacks in order to improve capital efficiency and enhance
Slide 85: Record of Share Buybacks
Record of Share Buybacks Amount of Share Buybacks (Billions of yen) Up to 200.0* * On May 9, 2025, the Board of Directors of NTT resolved to buy back shares in an amount up to ¥200.0 billion. Buyback Period: May 12, 2025 to March 31, 2026. © NTT, Inc. 2025 84
Slide 86: Changes in Dividend
Changes in Dividend （Yen） 5.3 5.0 85% 4.0 Dividend per share 65% Payout Ratio 3.0 45% 2.0 43.5% 42.1% 40.9% 41.1% 42.3% 37.2% 38.0% 33.4% 34.9% 34.5% 33.8% 31.2% 38.2% 31.4% 30.7% 32.9% 32.3% 25% 1.0 27.5% 0.5 17.1% 23.0% 19.5% 12.3% 13.0% 0.0 5% • FY2003-FY2017, financial statements were prepared i
Slide 87: Status of Shareholder Count
Status of Shareholder Count Percentage of Voting Shareholder Count Rights Total Shareholder Count by Age Individual invertors also hold a Approximately 3x after the Diversification of shareholder composition larger share of voting rights.*3 stock split, setting a new has also progressed.*1 record hi
Slide 89: NTT Group Formation
NTT Group Formation Operating revenue：¥6,213.1 billion Integrated ICT Operating income ：¥1,020.5 billion Business No. of employees ： 51,700 No. of subsidiaries： 130 Operating revenue：¥4,638.7 billion Global Solutions Operating income ：¥ 323.9 billion Business No. of employees ： 197,800 NTT, Inc. No.
Slide 90: Trend in Consolidated Financial Results
Trend in Consolidated Financial Results 14.2 13.4 13.7 13.1 ■ Operating 12.2 11.8 11.9 11.9 11.9 Revenues 11.4 （Trillion yen） 1.9 1.8 1.8 1.8 ■ Operating 1.6 1.7 1.7 1.6 Income 1.5 1.6 /Operating Profit 1.00 1.04 （Trillion yen） 0.91 0.92 1.28 0.85 0.86 1.18 1.21 0.80 ■ Net Income * /Profit 12.0 12.6
Slide 91: Changes in Consolidated Operating Revenues
Changes in Consolidated Operating Revenues （Billion yen） 13,704.7 14,190.0 13,136.2 13,374.6 15,000 12,156.4 11,879.8 11,899.4 11,944.0 11,944.0 11,391.0 11,799.6 6,336.0 6,213.1 6,059.0 6,140.0 4,840.8 4,651.3 4,725.2 4,769.4 5,870.2 4,584.6 5,880.9 10,000 2,205.8 2,065.6 2,218.9 2,278.7 2,129.3 4,
Slide 92: Changes in Consolidated Operating Income
Changes in Consolidated Operating Income （Billion yen） 1,922.9 2,000 1,829.0 1,768.6 1,770.0 1,693.8 1,671.4 1,671.4 1,649.6 1,642.8 1,539.8 1,562.2 1,500 1,144.4 1,093.9 966.0 913.2 1,072.5 1,013.6 1,020.5 982.1 854.7 1,060.0 951.6 1,000 103.6 146.2 100.1 210.5 265.6 309.6 93.6 522.0 40.8 130.9 139
Slide 93: Changes in CAPEX
Changes in CAPEX （Billion yen） 2,530.0 2,500 2,063.1 2,087.4 875.0 2,000 1,806.6 1,862.4 1,700.0 1,674.8 1,697.0 1,728.3 1,728.3 1,687.6 705.4 714.3 1,500 572.8 569.1 706.3 597.1 576.4 593.7 734.3 698.6 801.0 279.3 1,000 259.0 657.4 675.7 244.9 232.5 244.3 193.8 500.4 169.5 327.9 347.2 158.1 194.1 1
Slide 94: Details of Consolidated Balance Sheet
Details of Consolidated Balance Sheet (Billions of yen) (1) The scope of aggregation for each of the figures presented for Finance Business is internal management figures of Finance business in Smart Life of NTT DOCOMO Group in Integrated ICT Business Segment. Such figures include that calculated ba
Slide 95: Changes in Interest-bearing Debt
Changes in Interest-bearing Debt （Billion yen） 12,000.0 120.0% Debt/Equity ratio* 100.8% 96.1% 97.4% 97.9% 10,000.0 100.0% 88.9% 8,000.0 80.0% 6,000.0 60.0% 51.9% 45.2% 46.0% 10,400.0 43.9% 9,591.0 10,010.1 40.6% 4,000.0 8,230.5 40.0% 7,624.3 7,364.3 4,699.9 2,000.0 4,088.2 3,971.6 4,262.7 20.0% 3,8
Slide 96: Changes in Number of Employees
Changes in Number of Employees NTT Consolidated Number of 338,650 338,450 341,300 343,650 Employees 324,650 333,850 324,650 （Persons） 319,050 307,900 28,100 46,500 47,150 51,050 51,700 52,600 27,550 300,000 284,550 26,650 45,850 274,850 27,450 49,950 26,750 51,600 52,550 47,350 43,850 200,000 188,30
Slide 97: Changes of Outstanding Shares
Changes of Outstanding Shares (Hundred million shares) 1,400 1,276 Cumulative total of shares decreased by around ▲36% 1,200 (▲2.5% Average Decrease Annually) 1,000 821 800 600 400 200 0 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025E (Note1)
Slide 98: Age Distribution of Employees at NTT East and NTT West
Age Distribution of Employees at NTT East and NTT West (As of March 31, 2025） 4,000 Number of Employees 2,000 0 20 30 40 50 60 65 * Figures for NTT East include employees from the consolidated regional outsourcing companies (NTT EAST-MINAMIKANTO and others), NTT-ME and NTT EAST SERVICE, while figure
Slide 99: Fixed Broadband Business FTTH Subscriptions
Fixed Broadband Business FTTH Subscriptions * FTTH Subscriptions (Sum of NTT East and NTT West） 23.65 23.79 23.95 Reference: (millions subs) 23.27 23.58 FY2025E Breakdown of FTTH Subscriptions (millions subs) 22.56 FY2025E Total FTTH Service: +0.16 Change from preceding Fiscal Year Hikari (1) Number
Slide 100: Broadband Access Services in Japan
Broadband Access Services in Japan Mobile Fixed Rakuten mobile market share Approx. 4％ Approx. Mobile Approx. FTTH 223.79M subs 40.99M subs 40M 200M SoftBank SoftBank market share Approx. 25％ 30M 150M KDDI KDDI market share Approx. 31％ 100M 20M NTT East and NTT DOCOMO NTT West Approx. Approx. 91.41M
Slide 101: New Medium-Term Management Strategy: New Value Creation & Sustainability 2027 Powered by IOWN
Attachment 1 New Medium-Term Management Strategy New Value Creation & Sustainability 2027 Powered by IOWN © NTT, Inc. 2025 100
Slide 102: Fundamental Principles of New Value Creation & Sustainability 2027
Fundamental Principles of New Value Creation & Sustainability 2027 Powered by IOWN Innovating a Sustainable Future for People and Planet © NTT, Inc. 2025 101
Slide 103: Will invest ~¥8.0 trillion in growth areas
For that Purpose, We Will Increase Our Investments in Growth Areas Will invest ~¥8.0 trillion in growth areas over the next 5 years 50％UP ¥0.6tn/year ~¥8.0 trillion ¥1.0tn/year over the next 5 years ¥1.5tn/year ~¥12.0 trillion ¥1.0tn/year in total 2015 FY FY 2022 FY2027 © NTT, Inc. 2025 102
Slide 104: Further Increase Our Cash-Generation Ability
We Will Also Further Increase Our Cash-Generation Ability for the Future Looking ahead to FY2027, aiming to increase our cash-generation ability for growth and reach EBITDA of ~¥4.0 trillion 4.0 ¥ tn +20％ increase ¥3.3tn FY 2022 2027 FY © NTT, Inc. 2025 103
Slide 105: Pillars of Our Initiatives
Pillars of Our Initiatives 1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ① IOWN-Driven Creation of New Value ③ Achievement of a Circular Economy Society (from concept to commercialization) i. Establishment of manufacturing company for photonic- i. Develop sustainab
Slide 106: IOWN-Driven Creation of New Value
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ① IOWN-Driven Creation of New Value (from Concept to Commercialization) ⅰ. Establishment of manufacturing company for photonic-electronic convergence devices ◼ Will establish “NTT Innovative Devices Corporation” in June
Slide 107: Data-Driven Creation of New Value: Personal Business
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ②Data-Driven Creation of New Value (Smart World) ⅰ. Strengthening personal business (strengthening DOCOMO’s Smart Life businesses) ◼ Will actively invest in personal business and other growth areas (at least ~¥1.0tn/5 y
Slide 108: Data-Driven Creation of New Value: DX/Data in Society and Industry
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ②Data-Driven Creation of New Value (Smart World) ⅱ. Strengthening the Use of DX/Data in Society and Industry (use of AI/Robots) ◼ Will jointly develop technology and solutions globally, transforming industries that supp
Slide 109: Expansion and Upgrade of Data Centers
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ②Data-Driven Creation of New Value (Smart World) ⅲ. Expansion and Upgrade of Data Centers ◼ Will further expand the world’s third-largest(1) data center infrastructure, and implement upgrades through the introduction of
Slide 110: Green Energy
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ③Achievement of a Circular Economy Society i. Develop sustainability solutions for customers ◼ Will promote green solutions that can be achieved by “Green Energy x ICT” (will make investments of ~¥1.0tn/5 years) ◼ Will
Slide 111: Achievement of a Circular Economy Society
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ③Achievement of a Circular Economy Society ⅱ. Creating Circular Economy-Oriented Businesses ◼ Will achieve a sustainable society by recycling resources across various industries and further accelerating regional revital
Slide 112: Progression towards Net-Zero
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ③Achievement of a Circular Economy Society ⅲ. Progression towards Net-Zero ◼ Looking ahead to FY2040, aiming to expand “NTT Green Innovation toward 2040” to Scope 3 NTT Green Innovation toward 2040(1) Expansion to Scope
Slide 113: World-class Cybersecurity practices
1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society ④Further Strengthening of Business Foundations ◼ We will make our networks/systems more resilient to withstand large-scale failures, cyberattacks or other occurrences in order to strengthen social infrastructure and enh
Slide 114: Fusion of R&D with a Market-Focused Strategy
2. Upgrading the Customer Experience (CX) ⑤ Fusion of Research and Development with a Market-Focused Strategy ◼ Will combine and strengthen our R&D capabilities with our market analysis and alliance capabilities at the holding company level ◼ Will enable us to strengthen our product-oriented R&D to
Slide 115: Customer Experience First
2. Upgrading the Customer Experience (CX) ⑥Strengthening of Services that Emphasize CX Customers (Individuals, businesses, local governments, government organizations, etc.) Customer Experience Offer New Experiences and Set/Implement KPIs that Track the Customer Journey First Impressions that Exceed
Slide 116: Open and Innovative Corporate Culture
3. Improvement of Employee Experience (EX) ⑦Open and Innovative Corporate Culture ◼ Foster a culture of openness, collaboration and trial and error for a better customer experience ◼ Continue to strengthen diversity and inclusion Openness • Open discussions • Transparency • Healthy debate • Psycholo
Slide 117: Support Career Growth
3. Improvement of Employee Experience (EX) ⑧ Support Career Growth ◼ Support employee career growth and increase investment in human capital to drive business growth Supporting Growth Improve Expertise by Repeating the Cycle Career Work Training/ Review/ New EX Joining the Onboarding Design Experien
Slide 118: Global Benefits for Employees and their Families
3. Improvement of Employee Experience (EX) ⑨Global Benefits for Employees and their Families ◼ Expand the benefits that support a portion of educational expenses for children of deceased employees until they reach age 22 Current Future Scheme Scholarship fund Expand the current scheme Japan-based El
Slide 119: Medium-Term Financial Targets
Medium-Term Financial Targets Targets Indicators Target Levels (FY2027) Company-Wide Targets EBITDA ＋20％ increase (compared to FY2022) Growth EBITDA ＋40％ increase (compared to FY2022) Areas(1) Overseas Operating Income Margin(2) 10％（FY2025） Existing EBITDA ＋10％ increase (compared to FY2022) Areas(3)
Slide 120: Strengthening Our Ability to Generate Cash for Growth
Strengthening Our Ability to Generate Cash for Growth (with EBITDA as a Key Indicator) ◼ We will strengthen initiatives focused on our cash generation abilities to achieve further sustainable growth and have set EBITDA as a key indicator, aiming for an increase of 20% to reach ¥4.0 trillion by FY202
Slide 121: Increase Investments to Achieve Further Growth
Increase Investments to Achieve Further Growth ◼ We will make investments/contributions to our growth areas(1) amounting to ~¥8.0 trillion in the next five years(2) (an increase of 50% over current levels), and plan for a total of ~¥12.0 trillion ◼ Maintain/reduce our debt-to-EBITDA ratio to ~2x Gro
Slide 122: Fundamental Policy on Shareholder Returns
Fundamental Policy on Shareholder Returns Dividend Policy Our basic policy is to implement steady increases in dividends Share Buybacks We will flexibly conduct share buybacks to improve capital efficiency © NTT, Inc. 2025 121
Slide 123: Transaction to Make NTT DATA Group a Wholly Owned Subsidiary
Attachment 2 Transaction to Make NTT DATA Group a Wholly Owned Subsidiary May 8, 2025 © NTT, Inc. 2025 122
Slide 124: Strategic Direction of NTT Group
Strategic Direction of NTT Group ◆ NTT Group Medium-Term Management Strategy (announced May 2023) Fundamental Principles Pillars of Our Initiatives 1. NTT as a Creator of New Value and Accelerator of a Global Sustainable Society - Strengthening the use of DX/data in society and industry Innovating a
Slide 125: Objectives of Transaction to Make NTT DATA Group a Wholly Owned Subsidiary
Objectives of Transaction to Make NTT DATA Group a Wholly Owned Subsidiary ◆ Challenges arising from the current capital relationship between NTT and NTT DATA Group (1) Conflicts of interest associated with the dual listing (2) Complex decision-making processes (3) Accountability to shareholders of
Slide 126: Objectives of Transaction to Make NTT DATA Group a Wholly Owned Subsidiary
Objectives of Transaction to Make NTT DATA Group a Wholly Owned Subsidiary ◆ Objectives of Transaction to Make NTT DATA Group a Wholly Owned Subsidiary ✓ By unifying decision-making processes, a structure will be established where NTT DATA Group plays a central role in NTT Group’s global solutions b
Slide 127: Key Initiatives 1/3
Key Initiatives 1/3 (1) Enhancement of the global solutions business portfolio ✓ Enhance growth investments by leveraging NTT Group’s cash flow and financing capabilities • Strengthen presence in markets like North American, which has the highest demand worldwide and continues to produce the cutting
Slide 128: Key Initiatives 2/3
Key Initiatives 2/3 (2) Enhancement of coordination of resources/capabilities of both groups ✓ Corporate Sales: Strengthen cooperation between NTT DATA Group and NTT Group companies • Strengthen and expand sales of integrated solutions for large corporations by combining customer bases and offerings
Slide 129: Key Initiatives 3/3
Key Initiatives 3/3 (3) Facilitation of rapid decision-making and improving cost-competitiveness and customer/employee experience ✓ Facilitate rapid decision-making and optimize resources and assets by simplifying governance and consolidating overlapping functions ✓ Promote cross-group DX of shared
Slide 130: Overview of Transaction to Make NTT DATA Group a Wholly Owned Subsidiary
Overview of Transaction to Make NTT DATA Group a Wholly Owned Subsidiary ➢ Implement the Tender Offer for Shares of NTT DATA Group Tender Offer Period May 9 (Friday) – June 19 (Thursday) Tender Offer Price JPY 4,000 per share Shares to be 592,810,968 shares Purchased ➢ If NTT is not able to acquire
Slide 131: Financing and Financial Policy
Financing and Financial Policy ◆ Financing ✓ The Tender Offer will be financed through bridge loans from five Japanese financial institutions ✓ The bridge loans are planned to eventually be replaced with long-term financing ◆ Financial Policy ✓ Continue to make growth investments and return profits
Slide 132: Initiatives for Synergy Creation
Initiatives for Synergy Creation ➢ NTT DATA Group and NTT Group companies will engage in discussions to strengthen collaboration and optimize overlapping functions ◆ Topics and Relevant Group Companies (Examples) ✓ Corporate Sales - Optimization of sales to large corporations: NTT Communications - A
Slide 133: Innovating a Sustainable Future for People and Planet
©NTT Innovating a Sustainable Future for People and Planet

NTT — Investor Presentation (August 2025) on 6ix

Ntt — Investor Presentation (August 2025)

Slide 1: IR Presentation

Slide 2: Translation notice and forward-looking statements

Slide 3: Contents

Slide 4: Overview of Consolidated Results for the Three Months Ended June 30, 2025

Slide 5: Status of Consolidated Results for FY2025.1Q

Slide 6: Contributing Factors by Segment for FY2025.1Q

Slide 7: FY2025 Results Forecast

Slide 8: FY2025 Forecast Summary

Slide 9: FY2025 Forecast Summary by Segment

Slide 10: Initiatives for Medium-Term Profit Growth

Slide 11: Integrated ICT Business

Slide 12: FY2024/1Q Results Overview

Slide 13: FY2024/1Q Results by Segment: Operating Revenues

Slide 14: FY2024/1Q Results by Segment: Operating Profit

Slide 15: Key Factors behind Changes in Operating Revenues

Slide 16: Key Factors behind Changes in Operating Profit

Slide 17: Consumer Communications: Operating Revenues

Slide 18: Consumer Communications: Customer Base

Slide 19: Consumer Communications: ARPU

Slide 20: docomo MAX: Initial Uptake and Planned Future Actions

Slide 21: Smart Life: Operating Revenues

Slide 22: Smart Life: Finance

Slide 23: Smart Life: Marketing Solutions

Slide 24: Smart Life: Entertainment

Slide 25: Enterprise: Operating Revenues

Slide 26: Enterprise: Growth of Solutions Domain

Slide 27: FY2025 Guidance

Slide 28: Operating Revenues Forecast

Slide 29: Operating Profit Forecast

Slide 30: Toward Medium-Term Growth

Slide 31: Network: FY24 Actions for Communication Quality Improvement

Slide 32: Network: Improving efficiency through network structural reform

Slide 33: Targets for each indicator toward FY2027

Slide 34: Global Solutions Business

Slide 35: Q1 FY2025 Results (Summary of YoY Changes)

Slide 36: New Orders Received YoY Changes

Slide 37: Net Sales YoY Changes

Slide 38: Operating Profit YoY Changes

Slide 39: Breakdown of Japan Segment Results

Slide 40: Breakdown of Overseas Segment Results (North America, EMEAL, APAC)

Slide 41: Breakdown of Overseas Segment Results (GTSS)

Slide 42: Breakdown of Overseas Segment Results

Slide 43: Investment, etc. in the DC Business

Slide 44: Orders Received, Financial Results of the DC Business

Slide 45: Status of the Data Center Business (Overseas Segment)

Slide 46: Forecasts for the Fiscal Year Ending March 31, 2026

Slide 47: Breakdown of Forecasts for FY Ending March 2026 (Japan)

Slide 48: Breakdown of Forecasts for FY Ending March 2026 (Overseas)

Slide 49: Data Center Business as a Growth Engine

Slide 50: Expansion and Upgrade of Data Centers

Slide 51: NTT's Position In The Global Market

Slide 52: Regional Communications Business

Slide 53: FY2024 Results and FY2025 Forecast (NTT East)

Slide 54: FY2024 Results and FY2025 Forecast (NTT West)

Slide 55: Initiatives to Restore Business Results

Slide 56: Direction of Each Business Portfolio

Slide 57: Evolving and Expanding the Enterprise Network Business

Slide 58: Current Status of Fiber Optic Services and Future Targets

Slide 59: Initiatives to Increase Hikari Cross Sales

Slide 60: Initiatives in the Apartment Market

Slide 61: Reforming Telecommunications Operations through DX and AI

Slide 62: Reforming Telecommunications Operations through DX and AI

Slide 63: Exit from Unprofitable Services

Slide 64: Migration to Alternative PSTN Services

Slide 65: Further Expansion of Growth Businesses (Solmare)

Slide 66: Initiatives of a sustainable society, etc.

Slide 67: Sustainability Charter

Slide 68: Targets of NTT Green Innovation toward 2040

Slide 69: Outlook of NTT Group's Energy Consumption

Slide 70: Towards Achieving Net Zero in 2040

Slide 71: Current Status and Future of Renewable Energy Business

Slide 72: New Green Transformation Initiatives (GX)

Slide 73: Reinforcement of Corporate Governance

Slide 74: R&D

Slide 75: IOWN initiative

Slide 76: Roadmap and Application Areas of Photonics-Electronics Convergence Devices

Slide 77: IOWN Targets

Slide 78: IOWN use cases at EXPO 2025 Osaka, Kansai, Japan

Slide 79: NTT's LLM