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Last updated : November 10, 2021
For the fiscal year, both revenues and income are planned to reach record highs. What is the likelihood of achieving that?
In the first half of the fiscal year, revenues and income both progressed more strongly than anticipated. In the second half of the fiscal year, we also expect further increases in income as a result of NTT East and NTT West's strong sales of optical services and NTT DATA's capture of high demand for digitization, in addition to cost reductions at each company through the promotion of DX, among other factors. As a result, we believe that it will be possible to achieve the annual plan.
Please discuss the mobile competitive environment, including the status of sales of new billing plans, and the future outlook.
The number of subscriptions for ahamo has steadily increased, and both net increases of handsets and MNP (mobile number portability) have also greatly improved compared to the prior year. The mobile phone service churn rate remains at the same 0.53% level as in the first quarter. We will continue to work to further strengthen our customer base through services that meet the needs of customers. In addition, although mobile ARPU is expected to decrease as a result of expanding customer returns, we will work to mitigate that decrease through upselling.
Please discuss how you plan to achieve the recently announced FY2023 EPS target of ¥370.
The new EPS target reflects an upwards +¥50 revision of the previous EPS target of ¥320, which is a challenging target of a 75% increase over FY2017 EPS (¥212). Nonetheless, we plan to achieve the target by focusing on profit growth through the effect of synergies in the newly formed NTT DOCOMO group (¥100.0 billion profit increase in FY2023) and cost reductions (over ¥200.0 billion in FY2023) from the further promotion of DX, among other factors, as recently set forth in the refinement of our Medium-Term Management Strategy.
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