Japan's 3 Major Mobile Carriers Log Higher Operating Profits
Tokyo, Feb. 5 (Jiji Press)--All three major Japanese mobile phone carriers saw their consolidated operating profits increase year on year in April-December 2020, according to their earnings reports released by Friday.
The rosy results were backed by brisk earnings from services for corporate clients thanks to the growing use of teleworking amid the novel coronavirus crisis or robust non-telecommunications operations, such as cashless payment services.
In the first three quarters of fiscal 2020, NTT Docomo Inc. logged an operating profit of 821.7 billion yen, up 4.3 pct, on revenue of 3,513.1 billion yen, down 0.1 pct. KDDI Corp.'s <9433> operating profit rose by 3.2 pct to 871 billion yen and revenue by 0.5 pct to 3,923.7 billion yen. At SoftBank Corp. <9434>, operating profit was up 5.8 pct at 841.5 billion yen, and revenue grew 5.2 pct to 3,807 billion yen.
In fiscal 2021, however, the carriers' revenue is expected to be pushed down by their new low-cost mobile phone services.
NTT Docomo said that its planned "ahamo" branch low-cost service will be launched on March 26. Its president, Motoyuki Ii, told a press conference on Friday that the number of applications for ahamo has topped one million, expressing his confidence in the success of the new service.
[Copyright The Jiji Press, Ltd.]