DoCoMo grows Q1 profit 12%

Dylan Bushell-Embling
01 Aug 2011

Japan's NTT DoCoMo grew its net profit 11.7% in its first quarter to 158.7 billion yen ($2.05 billion), in a result driven by mobile data revenue and smartphone sales.

The company said it sold 1.3 million smartness during the quarter, nearly a third of total mobile sales of 4.6 million.

Mobile data revenue grew by 30.3 billion yen, nearly helping DoCoMo negate a 43.9 billion yen decline in voice revenue and ARPU.

But DoCoMo said the slumping voice ARPU – attributed to higher adoption of its low-cost Value Plan – and streamlining costs forced overall revenue down 3.9% to 1.05 trillion yen.

Total mobile subscribers grew to 58.4 million, up 1.9 million from the same quarter last year.

The company said it is on track for full restoration of its networks in September following the damage wreaked by the March earthquake and tsunami.

DoCoMo also aims to finish implementing new disaster preparedness measures - involving having a single base station covering multiple station sites, installing uninterruptible power supplies and batteries in base stations and developing a disaster voice message service – by the end of the year.

DoCoMo forecast a 5.3 billion yen increase in operating income for the year ending March 2012 to an estimated 850 billion yen, and expects mobile data and equipment sales to stimulate a 5.7 billion yen increase in revenue over this period.

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