Nippon Telegraph & Telephone (NTT)

From now, we would like to start the press conference on the financial results for the three months ended June 30th, 2026 of NTT Inc. Thank you very much for gathering despite your very busy schedule. I will be serving as MC from Public Relations Department, NTT Inc. My name is Ichihashi. Let me introduce the attendees today. At the beginning, President and CEO, Representative Member of the Board, Akira Shimada, Senior Vice President, Head of Finance and Accounting, Toshihiko Nakamura, Senior Vice President, Head of Corporate Strategy Planning, Akitoshi Hattori. These are the three members. As for the materials for today, they are uploaded on our official website at 1.30 p.m. We will start the conference.

Shimada-san, the floor is yours.

Thank you very much for sparing your precious time. I will be busy scheduled to attend this meeting. This is for Shimada, President. First and foremost, Our deepest sympathies go out to everyone affected by the recent Kumamoto earthquake and their families. We are fully committed to restoring services and supporting recovery efforts as quickly as possible, working in close cooperation with telecom companies and local governments to restore communication infrastructure and assist affected areas. Although mobile services were disrupted in two municipalities, they were restored within approximately two days. During this period, we work to maintain connectivity through measures such as the rapid implementation of Japan Rail Link. We are also continuing to provide support at evacuation shelters through the Tsunagu Kakeru Project, collaborating with telecom companies and battery manufacturers. We remain dedicated to contributing to the earliest possible recovery and risk construction. Now I will proceed with the explanation of our financial results of the first quarter of this fiscal year. Overview of consolidated financial results Increase in both revenues and income year-on-year Operating revenues reached new record high levels Operating revenues increased by ¥355.7 billion to 3 trillion 617.7 billion yen driven by the data group they were overseas and the domestic business group as well as the smart life business were increased centering around the finance of Dokomo. And out of this increase, foreign currency impact positive 75 billion yen. Profit despite the cost related to Dokomo customer base enhancement and network quality improvement Growth in Smart Life Business Profits and Business Growth Updated Group It increased by 34.8 billion yen to 836.2 billion yen. Open profit was up 20 billion yen year-on-year and was 425.1 billion yen. To achieve full-year plan, we are committed to work to expand enterprise business both at home and abroad and expand smart life business. Net profit was driven by the increase in operating profit and others and ¥274.8 billion up ¥15.1 billion by segment. In all of the segments, a deliberate growth both in revenues and profit. Integrated ICT business segment, despite the cost spent for reinforcing customer base and improving network quality, As a result of Customer-Based Enhancement Initiative and others, well, smart light business expansion resulted increase in revenues and profits YOY. And as a result of Customer-Based Enhancement Initiative, MNMP performed strongly and improved from the previous year. Dopamers have been selling well and resulted in upward improvement. and the rate of decline in mobile communication services revenue decreased steadily against the previous year and we aim for the turnaround to increase revenue year-on-year. Global solutions business segment. In addition to business growth in Japan and overseas increased due to foreign exchange impact Both revenues and profit increased in your year. Regional communications segment. And though legacy business revenues declined, increase in Hikari business revenues resulted in increase in revenue in your year and profit remained at almost the same level as that of last year. Net increase in Hikari service was almost at the same level as that of the previous year. and others about real estate and energy. Growth in real estate business of urban solutions led to increase in revenue and profit year on year.