Report of Foreign Issuer (6-k)

NTTYY Nippon Telegraph and Telephone Corporation (PK)

NTTYY Nippon Telegraph and Telephone Corporation (PK)

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UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 6-K

Report of Foreign Private Issuer

Pursuant to Rule 13a-16 or 15d-16 under the

Securities Exchange Act of 1934

For the month of August, 2017

Commission File Number 1-8910

NIPPON TELEGRAPH AND TELEPHONE CORPORATION

(Translation of registrant’s name into English)

OTEMACHI FIRST SQUARE, EAST TOWER

5-1, OTEMACHI 1-CHOME

CHIYODA-KU, TOKYO 100-8116 JAPAN

(Address of principal executive office)

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

Form 20-F ☒ Form 40-F ☐

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1):

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7):

ANNOUNCEMENT OF FINANCIAL RESULTS FOR THE THREE MONTHS ENDED JUNE 30, 2017

On August 4, 2017, the registrant filed with the Tokyo Stock Exchange information as to the registrant’s financial condition and results of operations at and for the three months ended June 30, 2017. Attached hereto is a copy of the press release and supplementary data relating thereto, both dated August 4, 2017, pertaining to such financial condition and results of operations, as well as forecasts for the registrant’s operations for the fiscal year ending March 31, 2018. The consolidated financial information of the registrant and that of its subsidiary NTT DOCOMO, INC., included in the press release and the supplementary data relating thereto, were prepared on the basis of accounting principles generally accepted in the United States. The non-consolidated financial information of the registrant and that of each of the registrant’s three wholly-owned subsidiaries, Nippon Telegraph and Telephone East Corporation, Nippon Telegraph and Telephone West Corporation and NTT Communications Corporation, as well as the consolidated financial information of its subsidiary NTT DATA CORPORATION, included in the press release and the supplementary data relating thereto, were prepared on the basis of accounting principles generally accepted in Japan. The consolidated financial information of the registrant’s subsidiary Dimension Data Holdings plc, included in the supplementary data related to the press release, was prepared on the basis of International Financial Reporting Standards (“IFRS”). The financial information for the three months ended June 30, 2017 in the press release is unaudited.

The earnings projections of the registrant and its subsidiaries included in the press release contain forward-looking statements. The registrant desires to qualify for the “safe-harbor” provisions of the Private Securities Litigation Reform Act of 1995, and consequently is hereby filing cautionary statements identifying important factors that could cause the registrant’s actual results to differ materially from those set forth in the attachment.

The registrant’s forward-looking statements are based on a series of assumptions, projections, estimates, judgments and beliefs of the management of the registrant in light of information currently available to it regarding the registrant and its subsidiaries and affiliates, the economy and the telecommunications industry in Japan and overseas, and other factors. These projections and estimates may be affected by the future business operations of the registrant and its subsidiaries and affiliates, the state of the economy in Japan and abroad, possible fluctuations in the securities markets, the pricing of services, the effects of competition, the performance of new products, services and new businesses, changes to laws and regulations affecting the telecommunications industry in Japan and elsewhere, other changes in circumstances that could cause actual results to differ materially from any future results that may be derived from the forward-looking statements, as well as other risks included in the registrant’s most recent Annual Report on Form 20-F and other filings and submissions with the United States Securities and Exchange Commission.

No assurance can be given that the registrant’s actual results will not vary significantly from any expectation of future results that may be derived from the forward-looking statements included herein.

The information on any website referenced herein or in the attached material is not incorporated by reference herein or therein.

The attached material is a translation of the Japanese original. The Japanese original is authoritative.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereunto duly authorized.


NIPPON TELEGRAPH AND TELEPHONE CORPORATION

By	/s/ Takashi Ameshima
	Name:	Takashi Ameshima
	Title:	Vice President
		Investor Relations Office

Date: August 4, 2017


Financial Results Release	August 4, 2017 [U.S. GAAP	]
For the Three Months Ended June 30, 2017	August 4, 2017 [U.S. GAAP	]

Name of registrant: Nippon Telegraph and Telephone Corporation (“NTT”) / URL http://www.ntt.co.jp/ir/

Code No.: 9432

Stock exchanges on which the Company’s shares are listed: Tokyo

Representative: Hiroo Unoura, President and Chief Executive Officer

Contact: Takashi Ameshima, Head of IR, Finance and Accounting Department / TEL +81-3-6838-5481

Scheduled filing date of quarterly securities report: August 7, 2017

Scheduled date of dividend payments: –

Supplemental material on quarterly results: Yes

Presentation on quarterly results: Yes (for institutional investors and analysts)

1.	Consolidated Financial Results for the Three Months Ended June 30, 2017 (April 1, 2017 – June 30, 2017)

Amounts are rounded to the nearest million yen.

(1) Consolidated Results of Operations


	(Millions of yen)
	Operating Revenues				Operating Income				Income before Income Taxes				Net Income Attributable to NTT
Three months ended June 30, 2017		2,809,782	3.4	%		491,597	0.9	%		496,233	11.2	%		271,472	11.4	%
Three months ended June 30, 2016		2,716,739	0.4	%		487,395	35.9	%		446,107	21.4	%		243,628	26.1	%


	Basic Earnings per Share Attributable to NTT			Diluted Earnings per Share Attributable to NTT
Three months ended June 30, 2017		135.24	(yen)		—	(yen)
Three months ended June 30, 2016		116.73	(yen)		—	(yen)

(2) Consolidated Financial Position


	(Millions of yen, except per share amounts)
	Total Assets		Total Equity		NTT Shareholders’ Equity		Equity Ratio (Ratio of NTT Shareholders’ Equity to Total Assets)			NTT Shareholders’ Equity per Share
June 30, 2017		21,216,993		11,637,394		9,162,335		43.2	%		4,566.41	(yen)
March 31, 2017		21,250,325		11,507,756		9,052,479		42.6	%		4,491.73	(yen)

2. Dividends


	Annual Dividends
	End of the first quarter		End of the second quarter			End of the third quarter		Year-end			Total
Year Ended March 31, 2017		—		60.00	(yen)		—		60.00	(yen)		120.00	(yen)
Year Ending March 31, 2018		—		—			—		—			—
Year Ending March 31, 2018 (Forecasts)		—		75.00	(yen)		—		75.00	(yen)		150.00	(yen)

Note: Change in dividend forecasts during the three months ended June 30, 2017: None

3. Consolidated Financial Results Forecasts for the Fiscal Year Ending March 31, 2018 (April 1, 2017 – March 31, 2018)


	(Millions of yen, except per share amount)
	Operating Revenues				Operating Income				Income before Income Taxes				Net Income Attributable to NTT				Basic Earnings per Share Attributable to NTT
Year Ending March 31, 2018		11,750,000	3.2	%		1,590,000	3.3	%		1,580,000	3.4	%		830,000	3.7	%		414.00	(yen)


Notes:	1.	Percentages above represent changes from the previous fiscal year.
	2.	Change in consolidated financial results forecasts for the fiscal year ending March 31, 2018 during the three months ended June 30, 2017: None

– 1 –

*Notes:


(1)	Change in significant consolidated subsidiaries during the three months ended June 30, 2017 that resulted in changes in the scope of consolidation: None

(2)	Adoption of accounting which is simplified or exceptional for quarterly consolidated financial statements: None

(3)	Change of accounting policy

	i.	Change due to revision of accounting standards and other regulations: Yes

	ii.	Other change: Yes
		(For further details, please see “Summary Information (notes)” on page 3.)

(4)	Number of shares outstanding (common stock)

	i.	Number of shares outstanding (including treasury stock):

			June 30, 2017 : 2,096,394,470 shares

			March 31, 2017: 2,096,394,470 shares

	ii.	Number of shares of treasury stock:

			June 30, 2017 : 89,930,196 shares

			March 31, 2017: 81,026,959 shares

	iii.	Weighted average number of shares outstanding:

			For the three months ended June 30, 2017: 2,007,361,528 shares

			For the three months ended June 30, 2016: 2,087,053,427 shares

*	This financial results release is not subject to the quarterly review.

*	Explanation of earnings forecasts and other notes:

Forward-looking statements in this earnings release, such as forecasts of results of operations, are based on the information currently available to NTT and certain assumptions that we regard as reasonable and therefore actual results may differ materially from those contained in or suggested by any forward-looking statements. With regard to the assumptions and other related matters concerning forecasts for the fiscal year ending March 31, 2018, please refer to page 9.

On Friday, August 4, 2017, NTT will hold a presentation on its financial results for institutional investors and analysts. Shortly thereafter, NTT plans to post on its website explanatory details, along with the materials used at the presentation.

– 2 –

1. Summary Information (notes)

(1)	Change in significant consolidated subsidiaries during the three months ended June 30, 2017, that resulted in changes in the scope of consolidation: None

(2)	Adoption of accounting which is simplified or exceptional for quarterly consolidated financial statements: None

(3)	Change of accounting policy: Yes

Balance sheet classification of deferred taxes

On November 20, 2015, the FASB issued ASU2015-17 “Balance sheet classification of deferred taxes” which requires that all deferred tax liabilities and assets be classified as noncurrent on the balance sheet.

Effective April 1, 2017, NTT Group adopted this ASU prospectively and prior periods were not retrospectively adjusted.

Change in Fiscal Year End of Certain Subsidiaries

As of April 1, 2017, certain of NTT’s consolidated subsidiaries changed their fiscal year ends from December 31 or January 31 to March 31, thereby eliminating a three-month or two-month lag between their fiscal year ends and NTT’s fiscal year end in NTT’s quarterly consolidated financial statements. The elimination of this lag was applied as a change in accounting policy. NTT did not make any retrospective adjustments to its financial statements as these changes did not have a material impact on the consolidated financial statements for the three months ended June 30, 2016 or the year ended March 31, 2017. As a result of this change, NTT’s retained earnings, accumulated other comprehensive income (loss) and noncontrolling interests have increased by ¥909 million, ¥484 million and ¥1,180 million, respectively, as of the beginning of the current fiscal year.

– 3 –

2. CONSOLIDATED FINANCIAL STATEMENTS

(1) Consolidated Balance Sheets


	Millions of yen
	March 31, 2017			June 30, 2017			Increase (Decrease)
ASSETS
Current assets:
Cash and cash equivalents	¥	925,213		¥	961,325		¥	36,112
Short-term investments		63,844			87,035			23,191
Notes and accounts receivable, trade		2,699,708			2,391,458			(308,250	)
Allowance for doubtful accounts		(48,626	)		(50,305	)		(1,679	)
Accounts receivable, other		505,145			576,483			71,338
Inventories		365,379			404,368			38,989
Prepaid expenses and other current assets		573,170			687,395			114,225
Deferred income taxes		228,590			—			(228,590	)

Total current assets		5,312,423			5,057,759			(254,664	)

Property, plant and equipment:
Telecommunications equipment		11,046,115			11,014,159			(31,956	)
Telecommunications service lines		16,064,732			16,102,470			37,738
Buildings and structures		6,147,869			6,191,397			43,528
Machinery, vessels and tools		2,032,389			2,078,270			45,881
Land		1,292,685			1,292,943			258
Construction in progress		421,819			452,510			30,691

		37,005,609			37,131,749			126,140
Accumulated depreciation		(27,286,588	)		(27,406,862	)		(120,274	)

Net property, plant and equipment		9,719,021			9,724,887			5,866


Investments and other assets:
Investments in affiliated companies		484,596			487,890			3,294
Marketable securities and other investments		495,290			499,208			3,918
Goodwill		1,314,645			1,317,887			3,242
Software		1,209,485			1,205,638			(3,847	)
Other intangible assets		453,918			445,215			(8,703	)
Other assets		1,492,076			1,508,162			16,086
Deferred income taxes		768,871			970,347			201,476

Total investments and other assets		6,218,881			6,434,347			215,466

Total assets	¥	21,250,325		¥	21,216,993		¥	(33,332	)

– 4 –


	Millions of yen
	March 31, 2017			June 30, 2017			Increase (Decrease)
LIABILITIES AND EQUITY
Current liabilities:
Short-term borrowings	¥	227,207		¥	256,899		¥	29,692
Current portion of long-term debt		681,904			783,976			102,072
Accounts payable, trade		1,612,996			1,157,395			(455,601	)
Current portion of obligations under capital leases		14,430			13,563			(867	)
Accrued payroll		443,308			390,344			(52,964	)
Accrued taxes on income		239,755			121,175			(118,580	)
Accrued consumption tax		75,083			98,445			23,362
Advances received		324,342			354,604			30,262
Deposits received		66,518			379,847			313,329
Other		445,850			404,292			(41,558	)

Total current liabilities		4,131,393			3,960,540			(170,853	)

Long-term liabilities:
Long-term debt (excluding current portion)		3,168,478			3,186,397			17,919
Obligations under capital leases (excluding current portion)		25,568			23,323			(2,245	)
Liability for employees’ retirement benefits		1,599,381			1,611,421			12,040
Accrued liabilities for point programs		103,047			89,425			(13,622	)
Deferred income taxes		166,751			152,404			(14,347	)
Other		497,132			502,281			5,149

Total long-term liabilities		5,560,357			5,565,251			4,894

Redeemable noncontrolling interests		50,819			53,808			2,989

Equity:
NTT shareholders’ equity
Common stock, no par value		937,950			937,950			—
Additional paid-in capital		2,862,035			2,856,019			(6,016	)
Retained earnings		5,626,155			5,777,614			151,459
Accumulated other comprehensive income (loss)		1,562			9,259			7,697
Treasury stock, at cost		(375,223	)		(418,507	)		(43,284	)

Total NTT shareholders’ equity		9,052,479			9,162,335			109,856

Noncontrolling interests		2,455,277			2,475,059			19,782

Total equity		11,507,756			11,637,394			129,638

Total liabilities and equity	¥	21,250,325		¥	21,216,993		¥	(33,332	)

– 5 –

(2) Consolidated Statements of Income and Consolidated Statements of Comprehensive Income

THREE-MONTH PERIOD ENDED JUNE 30

Consolidated Statements of Income


	Millions of yen
	2016			2017			Increase (Decrease)
Operating revenues:
Fixed voice related services	¥	311,770		¥	290,200		¥	(21,570	)
Mobile voice related services		212,977			228,736			15,759
IP / packet communications services		948,049			949,165			1,116
Sale of telecommunications equipment		186,716			173,417			(13,299	)
System integration		688,310			782,506			94,196
Other		368,917			385,758			16,841

		2,716,739			2,809,782			93,043

Operating expenses:
Cost of services (exclusive of items shown separately below)		547,254			554,873			7,619
Cost of equipment sold (exclusive of items shown separately below)		175,266			184,529			9,263
Cost of system integration (exclusive of items shown separately below)		501,733			561,091			59,358
Depreciation and amortization		359,198			332,278			(26,920	)
Impairment losses		379			—			(379	)
Selling, general and administrative expenses		645,514			685,414			39,900

		2,229,344			2,318,185			88,841

Operating income		487,395			491,597			4,202

Other income (expenses):
Interest and amortization of bond discounts and issue costs		(10,006	)		(8,329	)		1,677
Interest income		4,332			4,577			245
Other, net		(35,614	)		8,388			44,002

		(41,288	)		4,636			45,924

Income before income taxes and equity in earnings (losses) of affiliated companies		446,107			496,233			50,126

Income tax expense (benefit):
Current		129,311			156,776			27,465
Deferred		9,614			(4,378	)		(13,992	)

		138,925			152,398			13,473

Income before equity in earnings (losses) of affiliated companies		307,182			343,835			36,653

Equity in earnings (losses) of affiliated companies		4,613			3,571			(1,042	)

Net income		311,795			347,406			35,611

Less – Net income attributable to noncontrolling interests		68,167			75,934			7,767

Net income attributable to NTT	¥	243,628		¥	271,472		¥	27,844


Per share of common stock:
Weighted average number of shares outstanding (Shares)		2,087,053,427			2,007,361,528
Net income attributable to NTT (Yen)	¥	116.73		¥	135.24

– 6 –

Consolidated Statements of Comprehensive Income


	Millions of yen
	2016			2017		Increase (Decrease)
Net income	¥	311,795		¥	347,406	¥	35,611
Other comprehensive income (loss), net of tax:
Unrealized gain (loss) on securities		(14,702	)		4,123		18,825
Unrealized gain (loss) on derivative instruments		3,378			2,665		(713	)
Foreign currency translation adjustments		(100,780	)		1,782		102,562
Pension liability adjustments		2,576			2,093		(483	)

Total other comprehensive income (loss)		(109,528	)		10,663		120,191

Total comprehensive income (loss)		202,267			358,069		155,802

Less – Comprehensive income attributable to noncontrolling interests		48,290			79,384		31,094

Total comprehensive income (loss) attributable to NTT	¥	153,977		¥	278,685	¥	124,708

– 7 –

(3) Going Concern Assumption

None

(4) NTT Shareholders’ Equity

1. Dividends

Cash dividends paid


Resolution		The shareholders’ meeting held on June 27, 2017
Class of shares		Common stock
Source of dividends		Retained earnings
Total cash dividends paid		¥120,922 million
Cash dividends per share		¥60
Record date		March 31, 2017
Date of payment		June 28, 2017

2. Treasury stock

On December 12, 2016, the Board of Directors resolved that NTT may acquire up to 33 million shares of its outstanding common stock for an amount in total not exceeding ¥150 billion from December 13, 2016 through June 30, 2017. Based on this resolution, NTT repurchased 21,693,800 shares of its common stock for a total purchase price of ¥106,763 million between December 2016 and March 2017. NTT also repurchased 8,893,400 shares of its common stock for a total purchase price of ¥43,235 million in April 2017 and concluded the repurchase of its common stock authorized by Board of Directors’ resolution.

(5) Subsequent Events

None

– 8 –

[Note]

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, projections, estimates, judgments and beliefs of the management of NTT in light of information currently available to it regarding NTT and its subsidiaries and affiliates, the economy and telecommunications industry in Japan and overseas, and other factors. These projections and estimates may be affected by the future business operations of NTT and its subsidiaries and affiliates, the state of the economy in Japan and abroad, possible fluctuations in the securities markets, the pricing of services, the effects of competition, the performance of new products, services and new businesses, changes to laws and regulations affecting the telecommunications industry in Japan and elsewhere, other changes in circumstances that could cause actual results to differ materially from the forecasts contained or referred to herein, as well as other risks included in NTT’s most recent Annual Report on Form 20-F and other filings and submissions with the United States Securities and Exchange Commission.

– 9 –

LOGO

August 4, 2017
Financial Resultsfor the Three Months Ended June 30, 2017

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Table of Contents
Highlights Topics
Contributing Factors by Segment “Tokyo 2020 Medal Project:
Towards an Innovative Future for All”
Appendix
Financial Results for the Three Months Ended June 30, 2017 2 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Highlights
Both Operating Revenues and Operating Income increased.
Financial results are steadily progressing in line with the annual plan.
Status of Consolidated Financial Results
Operating Revenues    ¥2,809.8 billion (increase of ¥93.0 billion [3.4%] year-on-year)
Operating Income    ¥491.6 billion (increase of ¥4.2 billion [0.9%] year-on-year) Net Income *1    ¥271.5 billion (increase of ¥27.8 billion [11.4%] year-on-year)
Overseas Sales    $4.6 billion (increase of $0.8 billion [21.2%] year-on-year) Overseas Operating Income *2 $0.19 billion (increase of $0.06 billion [43.1%] year-on-year)
*1 Net income represents net income attributable to NTT, excluding noncontrolling interests.
*2 Operating Income excludes M&A-related temporary expenses, such as depreciation costs of intangible fixed assets.
Financial Results for the Three Months Ended June 30, 2017 3 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Topics
Increased Profitability of Network Services
Expansion of NTT’s User Base
Mobile Subscriptions: 75.11 million mobile subscriptions (net increase of 0.23 million)
(Included in the above) Kake-hodai & Pake-aeru: 38.34 million subscriptions (net increase of 1.28 million)
FTTH Subscriptions: 20.29 million subscribers (net increase of 0.24 million)
(Included in the above) Hikari Collaboration: 9.57 million (net increase of 0.83 million)
Growing number of Wi-Fi area owners*1: 612 (net increase of 55)
Cost reductions (fixed/mobile access lines) : Reduction of ¥682.0 billion (total*2) (reduction of ¥28.0 billion for this quarter)
Promotion of the B2B2X Model
Each NTT Group company has been expanding its joint demonstration experiments and collaborations with other companies through the use of AI, Big Data and IoT in various fields, such as sports and agriculture.
*1 Total number of large-scale corporate or local government customers. Excludes small-scale restaurants, etc.
*2 Compared to FY2014.
Financial Results for the Three Months Ended June 30, 2017 4 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Financial Results for the Three Months Ended June 30, 2017 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation
2,716.7 Operating Revenues 10.7 28.0 2,809.8 88.8 19.4 *
787.8
529.7
FY2017 4-6
1,136.7
462.3
Increase in Operating Revenues and Operating Income in the Long Distance and International Communications business andthe Data Communications business segment. Contributing Factors by Segment 15.1 Operating Income 487.4 491.6 * 133.6 34.8 FY20174-6
277.6
25.3
20.7 5.8 3.4 7.8 7.9 (Billions of yen)
(Year-on-year: +93.0)
(Year-on-year: +4.2) Regional communications business Long distance and international communications business Mobile communications business Data communications business Other business *Includes adjustments such as elimination FY2016 4-6 FY2016 4-6 FY2017 4-6 FY2017 4-6 Regional communications business Long distance and international communications business Mobile communications business Data communications business Other business 5

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Financial Results for the Three Months Ended June 30, 2017 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation
In the first public participation project of its kind in the history of the
Olympicand Paralympic Games, medals for the Olympic and Paralympic Games
Tokyo 2020 will be made from used mobile phones and other devicesand small household appliances.
Sponsor : The Tokyo Organising Committee of the Olympic and Paralympic Games
Collaborators: NTT DOCOMO, Japan Environmental Sanitation Center, Ministry of the Environment,
and the Tokyo Metropolitan Government
April 2017: Begin the Project
Began collecting devices from NTT DOCOMO’s nationwide stores (approx. 2,400 stores)
*April 1: Tokyo OrganisingCommittee of the Olympic and Paralympic Games launch
event at the Tokyo Station/OtemachiDOCOMO shops
Special guests: Takeshi Matsuda
(Olympics –Swimming/Medalist for three consecutive Olympic games)
TakuroYamada
(Paralympics –Swimming/Medalist at theRio Olympic games)
Collect devices from corporations and conduct promotion and collection activities at various events
Expand collections primarily from Olympic/Paralympic partners
Participate in events such as the Tokyo 2020 Approval Program
(Ex.) “Japan Walk in SENDAI” and “GOLD SPORT DAY 2017”
?Establish a “Mobile Phone Recycling Class” ( July 2017-)
•Targeting primary school students: a joint exercise for all 6th-graders within a school
* Introduce the project, explain the recycling of mobile phones, collect mobile phones that are no longer used from children’s homes, etc.
Recycled 740,000 units in the first quarter of FY2017
Initiatives by NTT DOCOMO and NTT
Mobile Phone Recycling Class
6
Project Poster
“Tokyo 2020 Medal Project: Towards an Innovative Future for All”

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Appendix

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Progress of Broadband Services

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2016.62016.92016.122017.32017.62018.3E4-67-910-121-34-6261183199150241794800Opened connections7866496727508512,8572,900(34)(32)(32)(36)(38)(134)(128)7793111104104385229FY2017EFLET’S HikariFLET’S ADSLHikari DenwaFY2016FY2017FY201619,52019,70419,90320,05320,2941,01998795591988120,540 20,69120,85820,97221,17517,45117,54517,65517,75917,86212,00014,00016,00018,00020,00022,00020,85379121,64417,988 Number of Subscribers Changes from the Preceding Quarter [5,912] [6,917][11,894][7,854] [8,744] Number of Subscribers for Fixed Broadband Services [9,574] *1Number of FLET’S Hikari (including Hikari Collaboration Model) subscribers includes B FLET’S, FLET’S Hikari Next, FLET’S HikariLight, FLET’S HikariLightplus, and FLET’S Hikari WiFi Access provided by NTT East, B FLET’S, FLET’S Hikari Premium, FLET’S Hikari Mytown, FLET’S Hikari Next, FLET’S HikariMytownNext, FLET’S Hikari Light and FLET’S Hikari WiFi Access provided by NTT West, and wholesale services (Hikari Collaboration Model) provided by both NTT East and NTT West. *2 Figures in [ ] represent the number of subscribers to “HikariCollaboration Model,” the wholesale provision of services by NTT East and NTT West to service providers. *3 Number of opened connections excludes openings as a result of relocations. *4 Numbers for Hikari Denwa include wholesale services provided to service providers by NTT East and NTT West. *5 Numbers of Hikari Denwa subscribers are presented in thousands of channels. (Thousands) *1*2 (Thousands) FLET’SADSL HikariDenwa FLET’S Hikari (including Hikari Collaboration Model) *1 *3 *4*5 7

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Number of Subscribers for Mobile Broadband Services Number of Subscribers * (Thousands) LTE Xi FOMA 80,000 60,000 40,000 20,000 0 72,943 73,58874,88075,114 71,614 39,89341,28142,67144,54445,659 31,72131,66230,91730,33629,455 2016.62016.92016.122017.32017.6 77,100 51,700 25,400 2018.3E Changes from the Preceding Quarter (Thousands) FY2016 FY2017 FY2016 FY2017E 4-6 7-9 10-12 1-3 4-6 LTE(Xi)+FOMA 650 1,330 645 1,292 234 3,916 2,200 *Number of subscribers for Mobile Broadband Services includes Communications Module Service subscribers Financial Results for the Three Months Ended June 30, 2017 8 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Number of Subscribers for Video Services Number of Subscribers (Thousands) 5,000 4,492 4,505 4,521 4,544 4,571 4,632 4,000 1,4451,4641,4891,5211,5511,602 3,000 2,000 3,0473, 0413, 0323, 0233, 0213, 030 1, 000 0 2016 .6 2016 .9 2016.12 2017 .3 2017 .6 2018 .3E FLET’S TV Transmission Services * Hikari TV * Number of subscribers to FLET’S TV Transmission Services includes wholesale services provided to service providers by NTT East and NTT West. Financial Results for the Three Months Ended June 30, 2017 9 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Financial Information

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Details of Consolidated Statement of Income Operating Revenues (Year-on-year: +93.0) (Billions of yen) of SI telecommunications revenues and sale Other revenues equipment 16.8 IP/packet 80.9 services Voice related revenues communications services revenues 2,809.8 5.8 1.1 Systems Integration: +94.2 Fixed voice: (21.6) 2,716.7 Telecommunications Mobile voice: +15.8 equipment: (13.3) FY2016 4-6 FY2017 4-6 Operating Expenses (Year-on-year: +88.8) 23.8 3.0 80.3 expenses Depreciation and loss on Other expenses Personnel expenses disposal of assets 35.4 Expenses of goods and for purchase services 2,318.2 and other expenses 2,229.3 FY2016 4-6 FY2017 4-6 Financial Results for the Three Months Ended June 30, 2017 10 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Details of Consolidated Balance Sheet (Billions of yen) 21,250.3 Liabilities 9,691.8 Assets 21,250.3 Other Cash and Cash 50.8 Equivalents 925.2 Equity Property, plant and 11,507.8 equipment 9,719.0 Retained earnings 5,626.2 Treasury Stock (375.2) March 31, 2017 21,217.0 [(33.3)] Liabilities 9,525.8 [(166.0)] Assets 21,217.0 [(33.3)] Other 53.8 [+3.0] Cash and Cash Equivalents Equity 961.3 11,637.4 [+36.1] [+129.6] Property, plant and Retained earnings equipment 5,777.6 9,724.9 [+151.5] [+5.9] Treasury Stock (418.5) [(43.3)] June 30, 2017 Financial Results for the Three Months Ended June 30, 2017 11 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Details of Consolidated Cash Flows Billions of yen Cash flows from Cash flows from FCF Cash flows from operating investing activities (A) + (B) financing activities activities (B) (A) 1,000 500 0 (500) (1,000) (112.0) 539.1 531.8 Acquisitions/Sales of property, plant, equipment and intangibles [(39.6)] (119.3) Increase/Decrease in current and non-current investments 104.6 [(20.6)] 57.5 (61.9) (7.3) (258.6) (481.7) +363.2 (593.7) Acquisitions/Sales of treasury stock [+224.1] Acquisitions of shares of subsidiaries [+46.1] Increase/Decrease from the same FY2016 FY2017 period of the previous fiscal year 4-6 4-6 Financial Results for the Three Months Ended June 30, 2017 12 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Details of Capital Investment Billions of yen Capital Investment 1,700.0 1,700.0 1,687.2 356.0 67.4 285.8 284.4 33.9 45.4 49.0 26.8 18.1 28.5 28.0 25.1 42.1 57.9 46.2 58.5 46.1 42.1 120.9 93.1 97.1 FY2015 4-6 FY2016 4-6 FY2017 4-6 FY2015 FY2016 FY2017 E Other NTT DATA (Consolidated) NTT Communications NTT West NTT East NTT DOCOMO (Consolidated) Financial Results for the Three Months Ended June 30, 2017 13 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

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Shareholder Returns (Billions of yen) Share Buybacks (Billions of yen) 539.4 406.5 366.5 381.7 338.1 374.1 200.0 120.0 150.0 86.2 100.0 94.4 93.6 TBD FY1999 FY2002 FY2003 FY2004 FY2005 FY2007 FY2008 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017E Dividends per Pay-out ratio (Yen) Share 150 Note: Dividends have been adjusted to reflect the two-for-one stock split carried out on July 1, 2015 120 110 85 90 80 70 55 60 60 40 45 38.2% 38.0% 37.2% 36.2% 25 30 30 32.3% 31.2% 33.4% 31.4% 30.7% 23.0% 27.5% 12.3% 13.0% 19.5% 17.1% FY2003 FY2004 FY2005 FY2006 FY2007 FY2008 FY2009 FY2010 FY2011 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017E Financial Results for the Three Months Ended June 30, 2017 14 Copyright (c) 2017 Nippon Telegraph and Telephone Corporation

August 4, 2017

FOR IMMEDIATE RELEASE

Financial Statements for the Three Months Ended June 30, 2017

The financial results of Nippon Telegraph and Telephone East Corporation (NTT East) for the three months ended June 30, 2017 are presented in the following attachments.

(Attachments)

1.	Non-Consolidated Comparative Balance Sheets

2.	Non-Consolidated Comparative Statements of Income

3.	Business Results (Non-Consolidated Operating Revenues)

For inquiries, please contact:

Mr. Kenkichi Nakata or Mr. Ryou Yamamoto

Accounting Section, Finance Division

Nippon Telegraph and Telephone East Corporation

Tel: +81-3-5359-3331

E-mail: kessan_info-ml@east.ntt.co.jp

1. Non-Consolidated Comparative Balance Sheets

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	March 31, 2017			June 30, 2017			Increase (Decrease)
ASSETS
Fixed assets:
Fixed assets - telecommunications businesses
Property, plant and equipment
Machinery and equipment		339,631			339,785			154
Antenna facilities		3,604			3,572			(31	)
Terminal equipment		22,947			22,277			(669	)
Local line facilities		866,722			870,317			3,594
Long-distance line facilities		2,843			2,788			(54	)
Engineering facilities		588,683			584,517			(4,166	)
Submarine line facilities		732			697			(35	)
Buildings		409,835			410,411			575
Construction in progress		19,988			18,866			(1,122	)
Other		266,121			265,035			(1,085	)
Total property, plant and equipment		2,521,110			2,518,268			(2,841	)
Intangible fixed assets		84,120			83,967			(153	)
Total fixed assets - telecommunications businesses		2,605,230			2,602,235			(2,994	)
Investments and other assets
Other investments and assets		199,112			200,897			1,784
Allowance for doubtful accounts		(773	)		(760	)		13
Total investments and other assets		198,338			200,137			1,798
Total fixed assets		2,803,569			2,802,372			(1,196	)
Current assets:
Cash and bank deposits		5,605			6,093			488
Notes receivable		—			5			5
Accounts receivable, trade		230,736			206,054			(24,682	)
Supplies		26,005			24,415			(1,589	)
Other current assets		435,502			309,943			(125,558	)
Allowance for doubtful accounts		(327	)		(281	)		46
Total current assets		697,521			546,230			(151,291	)

TOTAL ASSETS		3,501,091			3,348,603			(152,488	)

– 1 –


	(Millions of yen)
	March 31, 2017		June 30, 2017		Increase (Decrease)
LIABILITIES
Long-term liabilities:
Long-term borrowings from parent company		225,220		225,220		—
Liability for employees’ retirement benefits		247,366		249,830		2,464
Reserve for point services		4,145		4,321		176
Reserve for unused telephone cards		8,460		7,992		(467	)
Allowance for environmental measures		3,637		3,637		—
Asset retirement obligations		902		898		(4	)
Other long-term liabilities		36,166		36,079		(87	)
Total long-term liabilities		525,898		527,980		2,081
Current liabilities:
Current portion of long-term borrowings from parent company		140,615		140,615		—
Accounts payable, trade		89,029		37,552		(51,477	)
Accrued taxes on income		14,186	*	7,069		(7,117	)
Allowance for environmental measures		2,285		1,945		(339	)
Asset retirement obligations		1		—		(1	)
Other current liabilities		442,617		436,637		(5,979	)
Total current liabilities		688,735		623,819		(64,915	)

TOTAL LIABILITIES		1,214,633		1,151,800		(62,833	)

NET ASSETS
Shareholders’ equity:
Common stock		335,000		335,000		—
Capital surplus		1,499,726		1,499,726		—
Earned surplus		447,459		357,862		(89,596	)
Total shareholders’ equity		2,282,186		2,192,589		(89,596	)
Unrealized gains (losses), translation adjustments, and others:
Net unrealized gains (losses) on securities		4,271		4,213		(57	)
Total unrealized gains (losses), translation adjustments, and others		4,271		4,213		(57	)

TOTAL NET ASSETS		2,286,457		2,196,803		(89,654	)

TOTAL LIABILITIES AND NET ASSETS		3,501,091		3,348,603		(152,488	)

Note:

*NTT East participates in a consolidated tax return system, which has been adopted by NTT (Holding Company) and its wholly-owned subsidiaries in Japan. However, except for a portion of the calculation of taxes, income taxes have not been calculated on a consolidated basis in the quarterly financial statements.

– 2 –

2. Non-Consolidated Comparative Statements of Income

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	Three months ended June 30, 2016		Three months ended June 30, 2017		Increase (Decrease)			Year ended March 31, 2017
Telecommunications businesses:
Operating revenues		385,050		378,660		(6,389	)		1,534,745
Operating expenses		324,919		307,656		(17,263	)		1,367,603
Operating income from telecommunications businesses		60,130		71,004		10,873			167,142
Supplementary businesses:
Operating revenues		25,090		26,894		1,804			137,497
Operating expenses		21,096		22,293		1,197			115,534
Operating income from supplementary businesses		3,994		4,601		606			21,962
Operating income		64,125		75,605		11,480			189,104
Non-operating revenues:
Interest income		6		4		(1	)		26
Dividends received		3,155		6,885		3,729			3,226
Gains on sales of fixed assets		13,538		625		(12,912	)		14,363
Miscellaneous income		672		655		(16	)		2,647
Total non-operating revenues		17,371		8,171		(9,200	)		20,263
Non-operating expenses:
Interest expenses		1,170		894		(276	)		4,669
Miscellaneous expenses		122		26		(95	)		260
Total non-operating expenses		1,292		920		(372	)		4,930
Recurring profit		80,203		82,856		2,652			204,438
Income before income taxes		80,203		82,856		2,652			204,438
Income taxes	*	22,393	*	22,794		401			54,774
Net income		57,810		60,061		2,250			149,663

Note:

* NTT East participates in a consolidated tax return system, which has been adopted by NTT (Holding Company) and its wholly-owned subsidiaries in Japan. However, except for a portion of the calculation of taxes, income taxes have not been calculated on a consolidated basis in the quarterly financial statements.

– 3 –

3. Business Results (Non-Consolidated Operating Revenues)

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	Three months ended June 30, 2016		Three months ended June 30, 2017		Increase (Decrease)			Percent Increase (Decrease)			Year ended March 31, 2017
Voice transmission services revenues (excluding IP services revenues)		101,448		94,295		(7,153	)		(7.1	)		396,519
Monthly charge revenues*		76,586		71,477		(5,109	)		(6.7	)		299,992
Call rates revenues*		6,900		5,981		(919	)		(13.3	)		26,272
Interconnection call revenues*		11,762		10,910		(851	)		(7.2	)		45,606
IP services revenues		213,354		213,425		70			0.0			850,388
Leased circuit services revenues (excluding IP services revenues)		24,066		23,269		(796	)		(3.3	)		93,307
Telegram services revenues		3,163		2,978		(184	)		(5.8	)		11,422
Other telecommunications services revenues		43,017		44,691		1,674			3.9			183,107

Telecommunications total revenues		385,050		378,660		(6,389	)		(1.7	)		1,534,745

Supplementary business total revenues		25,090		26,894		1,804			7.2			137,497

Total operating revenues		410,140		405,555		(4,585	)		(1.1	)		1,672,243

*	Partial listing only

– 4 –

August 4, 2017

FOR IMMEDIATE RELEASE

Financial Results for the Three Months Ended June 30, 2017

The financial results of Nippon Telegraph and Telephone West Corporation (NTT West) for the three months ended June 30, 2017 are presented in the following attachments.

(Attachments)

1.	Non-Consolidated Comparative Balance Sheets

2.	Non-Consolidated Comparative Statements of Income

3.	Business Results (Non-Consolidated Operating Revenues)

For inquiries, please contact:

Junichiro Maekawa or Kenichi Matsuno

Accounting Section, Finance Division

Nippon Telegraph and Telephone West Corporation

Tel: +81-6-4793-3141

E-mail: kessan-info@west.ntt.co.jp

1. Non-Consolidated Comparative Balance Sheets

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	March 31, 2017			June 30, 2017			Increase (Decrease)
ASSETS
Fixed assets:
Fixed assets - telecommunications businesses
Property, plant and equipment
Machinery and equipment		297,757			295,635			(2,121	)
Antenna facilities		5,895			5,831			(64	)
Terminal equipment		11,318			11,435			117
Local line facilities		1,051,300			1,057,094			5,793
Long-distance line facilities		1,693			1,665			(28	)
Engineering facilities		517,724			513,266			(4,458	)
Submarine line facilities		3,131			3,692			561
Buildings		312,924			308,503			(4,420	)
Construction in progress		31,294			25,715			(5,579	)
Other		219,918			218,593			(1,325	)
Total property, plant and equipment		2,452,960			2,441,434			(11,526	)
Intangible fixed assets		64,444			62,089			(2,355	)
Total fixed assets - telecommunications businesses		2,517,404			2,503,523			(13,881	)
Investments and other assets
Other investments and assets		187,606			188,779			1,173
Allowance for doubtful accounts		(681	)		(605	)		76
Total investments and other assets		186,924			188,173			1,249
Total fixed assets		2,704,329			2,691,697			(12,632	)
Current assets:
Cash and bank deposits		18,251			5,927			(12,324	)
Notes receivable		—			16			16
Accounts receivable, trade		199,820			173,558			(26,261	)
Supplies		29,950			29,756			(194	)
Other current assets		151,715			117,616			(34,099	)
Allowance for doubtful accounts		(339	)		(241	)		98
Total current assets		399,398			326,634			(72,764	)

TOTAL ASSETS		3,103,728			3,018,332			(85,396	)

– 1 –


	(Millions of yen)
	March 31, 2017		June 30, 2017		Increase (Decrease)
LIABILITIES
Long-term liabilities:
Long-term borrowings from parent company		591,000		571,000		(20,000	)
Liability for employees’ retirement benefits		242,251		244,155		1,904
Reserve for point services		3,792		2,694		(1,098	)
Reserve for unused telephone cards		8,000		7,558		(441	)
Allowance for environmental measures		9,074		9,074		—
Asset retirement obligations		228		229		0
Other long-term liabilities		4,749		4,702		(47	)
Total long-term liabilities		859,097		839,413		(19,683	)
Current liabilities:
Current portion of long-term borrowings from parent company		110,707		130,707		20,000
Accounts payable, trade		71,635		29,851		(41,783	)
Short-term borrowings		105,259		115,246		9,986
Accrued taxes on income		8,731	*	4,885		(3,846	)
Allowance for loss on disaster		4,096		3,983		(112	)
Allowance for environmental measures		2,361		1,811		(549	)
Asset retirement obligations		133		140		6
Other current liabilities		362,351		308,976		(53,374	)
Total current liabilities		665,277		595,603		(69,673	)

TOTAL LIABILITIES		1,524,374		1,435,017		(89,357	)

NET ASSETS
Shareholders’ equity:
Common stock		312,000		312,000		—
Capital surplus		1,170,054		1,170,054		—
Earned surplus		96,911		100,767		3,855
Total shareholders’ equity		1,578,965		1,582,821		3,855
Unrealized gains (losses), translation adjustments, and others:
Net unrealized gains (losses) on securities		388		492		104
Total unrealized gains (losses), translation adjustments, and others		388		492		104

TOTAL NET ASSETS		1,579,353		1,583,314		3,960

TOTAL LIABILITIES AND NET ASSETS		3,103,728		3,018,332		(85,396	)

Note:

* NTT West participates in a consolidated tax return system, which has been adopted by NTT (Holding Company) and its wholly-owned subsidiaries in Japan. However, except for a portion of the calculation of taxes, income taxes have not been calculated on a consolidated basis in the quarterly financial statements.

– 2 –

2. Non-Consolidated Comparative Statements of Income

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	Three months ended June 30, 2016		Three months ended June 30, 2017		Increase (Decrease)			Year ended March 31, 2017
Telecommunications businesses:
Operating revenues		333,039		321,822		(11,217	)		1,325,585
Operating expenses		297,705		275,913		(21,791	)		1,242,485
Operating income from telecommunications businesses		35,334		45,908		10,574			83,099
Supplementary businesses:
Operating revenues		29,016		29,188		172			153,430
Operating expenses		25,641		25,540		(101	)		141,343
Operating income from supplementary businesses		3,375		3,648		273			12,086
Operating income		38,709		49,557		10,847			95,186

Non-operating revenues:
Interest income		3		3		(0	)		12
Dividends received		593		827		234			615
Miscellaneous income		626		549		(76	)		2,330
Total non-operating revenues		1,222		1,381		158			2,957

Non-operating expenses:
Interest expenses		2,037		1,492		(544	)		7,114
Miscellaneous expenses		57		49		(8	)		2,875
Total non-operating expenses		2,095		1,542		(552	)		9,989
Recurring profit		37,837		49,396		11,558			88,154
Special losses		5,705		—		(5,705	)		6,915
Income before income taxes		32,132		49,396		17,264			81,239
Income taxes	*	8,830	*	14,340		5,510			21,469
Net income		23,302		35,055		11,753			59,770

Note:

– 3 –

3. Business Results (Non-Consolidated Operating Revenues)

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	Three months ended June 30, 2016		Three months ended June 30, 2017		Increase (Decrease)			Percent Increase (Decrease)			Year ended March 31, 2017
Voice transmission services revenues (excluding IP services revenues)		101,607		93,779		(7,827	)		(7.7	)		396,272
Monthly charge revenues*		76,153		70,991		(5,162	)		(6.8	)		298,340
Call rates revenues*		6,484		5,578		(905	)		(14.0	)		24,590
Interconnection call revenues*		12,909		11,628		(1,281	)		(9.9	)		49,676
IP services revenues		175,536		173,530		(2,006	)		(1.1	)		697,252
Leased circuit services revenues (excluding IP services revenues)		22,078		22,001		(77	)		(0.3	)		86,362
Telegram services revenues		3,408		3,113		(295	)		(8.7	)		12,625
Other telecommunications services revenues		30,408		29,397		(1,010	)		(3.3	)		133,071

Telecommunications total revenues		333,039		321,822		(11,217	)		(3.4	)		1,325,585

Supplementary business total revenues		29,016		29,188		172			0.6			153,430

Total operating revenues		362,056		351,011		(11,045	)		(3.1	)		1,479,015

*	Partial listing only

– 4 –

August 4, 2017

FOR IMMEDIATE RELEASE

NTT Com Announces Financial Results for the Three Months Ended June 30, 2017

TOKYO, JAPAN — NTT Communications Corporation (NTT Com) announced today its financial results for the three months ended June 30, 2017. Please see the following attachments for further details:

I.	Financial Results of NTT Communications Group

II.	Non-Consolidated Comparative Balance Sheets

III.	Non-Consolidated Comparative Statements of Income

IV.	Business Results (Non-Consolidated Operating Revenues)

# # #

About NTT Communications Corporation

NTT Communications provides consultancy, architecture, security and cloud services to optimize the information and communications technology (ICT) environments of enterprises. These offerings are backed by the company’s worldwide infrastructure, including a leading global tier-1 IP network, the Arcstar Universal One™ VPN network, reaching 196 countries/regions, and 140 secure data centers worldwide. NTT Communications’ solutions leverage the global resources of NTT Group companies, including Dimension Data, NTT DOCOMO and NTT DATA.

www.ntt.com | Twitter@NTT Communications | Facebook@NTT Communications | LinkedIn@NTT

For more information

(Mr.) Akira Ito or (Mr.) Shinichi Shimizu

Accounting and Taxation, Finance, NTT Communications

Tel: +81 3 6700 4311

Email: info-af@ntt.com

I. Financial Results of NTT Communications Group


	(Millions of yen)
	Three months ended Jun 30, 2016		Three months ended Jun 30, 2017		Increase (Decrease)		Percent Increase (Decrease)
Operating revenues		306,052		317,421		11,369		3.7
Operating expenses		272,440		277,043		4,603		1.7
Operating income		33,612		40,378		6,766		20.1

– 1 –

II. Non-Consolidated Comparative Balance Sheets

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	March 31, 2017			June 30, 2017			Increase (Decrease)
ASSETS
Fixed assets:
Fixed assets - telecommunications businesses
Property, plant and equipment
Machinery and equipment		151,531			128,138			(23,392	)
Antenna facilities		1,674			1,371			(302	)
Terminal equipment		1,963			2,118			154
Local line facilities		1,103			1,084			(18	)
Long-distance line facilities		5,122			5,127			5
Engineering facilities		49,878			49,404			(474	)
Submarine line facilities		16,701			16,277			(424	)
Buildings		205,475			208,475			3,000
Construction in progress		13,323			11,190			(2,132	)
Other		105,983			120,088			14,105
Total property, plant and equipment		552,757			543,278			(9,479	)
Intangible fixed assets		98,820			102,273			3,452
Total fixed assets - telecommunications businesses		651,578			645,551			(6,026	)
Investments and other assets
Investment securities		108,152			111,280			3,128
Investments in subsidiaries and affiliated companies		387,905			390,251			2,345
Other investments and assets		65,778			65,285			(493	)
Allowance for doubtful accounts		(160	)		(146	)		14
Total investments and other assets		561,675			566,671			4,995
Total fixed assets		1,213,254			1,212,222			(1,031	)

Current assets:
Cash and bank deposits		3,406			9,438			6,031
Notes receivable		8			8			—
Accounts receivable, trade		178,248			157,748			(20,499	)
Supplies		9,643			9,101			(542	)
Other current assets		90,655			76,705			(13,950	)
Allowance for doubtful accounts		(1,367	)		(1,228	)		138
Total current assets		280,595			251,773			(28,821	)

TOTAL ASSETS		1,493,849			1,463,996			(29,852	)

– 2 –


	(Millions of yen)
	March 31, 2017		June 30, 2017		Increase (Decrease)
LIABILITIES
Long-term liabilities:
Long-term borrowings from parent company and subsidiary		222,333		216,738		(5,595	)
Liability for employees’ retirement benefits		89,994		91,049		1,055
Reserve for point services		407		399		(8	)
Reserve for unused telephone cards		3,540		3,344		(195	)
Asset retirement obligations		4,126		4,164		38
Other long-term liabilities		19,416		24,325		4,909
Total long-term liabilities		339,818		340,022		204
Current liabilities:
Accounts payable, trade		29,548		17,619		(11,929	)
Short-term borrowings		—		40,353		40,353
Accrued taxes on income		3,749	*	3,681		(68	)
Allowance for losses on construction		627		608		(18	)
Asset retirement obligations		56		12		(43	)
Other current liabilities		169,379		160,987		(8,391	)
Total current liabilities		203,360		223,262		19,901

TOTAL LIABILITIES		543,179		563,285		20,106


NET ASSETS
Shareholders’ equity:
Common stock		211,763		211,763		—
Capital surplus		131,615		131,615		—
Earned surplus		563,997		512,104		(51,892	)
Total shareholders’ equity		907,376		855,483		(51,892	)
Unrealized gains (losses), translation adjustments, and others:
Net unrealized gains (losses) on securities		43,080		45,227		2,146
Deferred gains or losses on hedges		213		—		(213	)
Total unrealized gains (losses), translation adjustments, and others		43,293		45,227		1,933

TOTAL NET ASSETS		950,670		900,711		(49,958	)

TOTAL LIABILITIES AND NET ASSETS		1,493,849		1,463,996		(29,852	)

Note:

*NTT Com participates in a consolidated tax return system, which has been adopted by NTT (Holding Company) and its wholly-owned subsidiaries in Japan. However, except for a portion of the calculation of taxes, income taxes have not been calculated on a consolidated basis in the quarterly financial statements.

– 3 –

III. Non-Consolidated Comparative Statements of Income

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	Three months ended June 30, 2016		Three months ended June 30, 2017		Increase (Decrease)			Year ended March 31, 2017
Telecommunications businesses:
Operating revenues		172,579		171,426		(1,152	)		697,333
Operating expenses		154,581		146,742		(7,838	)		620,370
Operating income from telecommunications businesses		17,998		24,684		6,686			76,963

Supplementary businesses:
Operating revenues		47,628		58,965		11,336			226,522
Operating expenses		39,804		52,238		12,433			210,936
Operating income from supplementary businesses		7,823		6,726		(1,096	)		15,585
Operating income		25,821		31,411		5,589			92,549

Non-operating revenues:
Interest income		27		7		(19	)		62
Dividends received		4,599		3,735		(863	)		8,258
Lease and rental income		2,835		2,667		(168	)		11,204
Miscellaneous income		32		387		354			1,222
Total non-operating revenues		7,495		6,798		(697	)		20,748

Non-operating expenses:
Interest expenses		277		187		(90	)		1,050
Lease and rental expenses		1,361		1,200		(160	)		5,712
Miscellaneous expenses		704		38		(666	)		1,072
Total non-operating expenses		2,344		1,426		(917	)		7,836
Recurring profit		30,973		36,782		5,809			105,461
Special profits		—		2,433		2,433			—
Income before income taxes		30,973		39,215		8,242			105,461
Income taxes	*	8,668	*	11,546		2,878			20,458
Net income		22,304		27,668		5,364			85,003

Note:

– 4 –

IV. Business Results (Non-Consolidated Operating Revenues)

(Based on accounting principles generally accepted in Japan)


	(Millions of yen)
	Three months ended June 30, 2016		Three months ended June 30, 2017		Increase (Decrease)			Percent Increase (Decrease)			Year ended March 31, 2017
Cloud Computing Platforms		17,147		20,200		3,053			17.8			72,034
Data Networks		94,815		97,246		2,430			2.6			384,804
Voice Communications		63,069		60,039		(3,029	)		(4.8	)		250,794
Applications & Content		9,446		8,775		(670	)		(7.1	)		37,732
Solution Services		31,974		37,319		5,345			16.7			163,496
Others		3,754		6,809		3,055			81.4			14,993

Total operating revenues		220,207		230,392		10,184			4.6			923,855

– 5 –

August 4, 2017

Nippon Telegraph and Telephone Corporation

Supplementary Data for

the Three Months Ended June 30, 2017

Contents



1. Financial Results Summary (Consolidated)			pages 1-2

2. Financial Results (Business Segments)			page 3

3. Financial Results (Holding Company and Subsidiaries)			pages 4-6

4. Operating Data			pages 7-9

Disclaimers

The projected figures concerning the future performance of NTT and its subsidiaries and affiliates contained herein are based on a series of assumptions, projections, estimates, judgments and beliefs of the management of NTT in light of information currently available to it regarding NTT and its subsidiaries and affiliates, the economy and telecommunications industry in Japan and overseas, and other factors. These projections and estimates may be affected by the future business operations of NTT and its subsidiaries and affiliates, the state of the economy in Japan and abroad, possible fluctuations in the securities markets, the pricing of services, the effects of competition, the performance of new products, services and new businesses, changes to laws and regulations affecting the telecommunications industry in Japan and elsewhere, other changes in circumstances that could cause actual results to differ materially from the forecasts contained herein, as well as other risks included in NTT’s most recent Annual Report on Form 20-F and other filings and submissions with the United States Securities and Exchange Commission.

*	“E” in this material represents that the figure is a plan or projection for operation.

**	“FY” in this material indicates the fiscal year ending March 31 of the succeeding year.

1. Financial Results Summary (NTT Consolidated Financial Results, EBITDA and EBITDA Margin and Interest-Bearing Liabilities)

NTT Consolidated Financial Results


	(Billions of yen)
	FY 2016															FY 2017							FY 2017 (E)
	Three Months Ended												Year Ended			Three Months Ended						Year Ended	Year Ending
	June 30			September 30			December 31			March 31			March 31			June 30			September 30	December 31	March 31	March 31	March 31
Consolidated (US GAAP)
Operating Revenues		2,716.7			2,807.6			2,836.2			3,030.5			11,391.0			2,809.8							11,750.0
Fixed Voice Related Services		311.8			307.5			299.8			314.7			1,233.9			290.2							—
Mobile Voice Related Services		213.0			216.6			221.8			213.9			865.3			228.7							—
IP/Packet Communications Services		948.0			953.3			941.0			966.6			3,809.0			949.2							—
Sales of Telecommunications Equipment		186.7			236.4			227.0			156.4			806.5			173.4							—
System Integration		688.3			708.8			726.7			917.9			3,041.6			782.5							—
Other		368.9			385.0			419.9			461.0			1,634.8			385.8							—
Operating Expenses		2,229.3			2,368.5			2,444.1			2,809.3			9,851.2			2,318.2							10,160.0
Cost of Services (excluding items shown separately below)		547.3			606.1			598.0			736.2			2,487.6			554.9							—
Cost of Equipment Sold (excluding items shown separately below)		175.3			231.2			248.3			225.0			879.7			184.5							—
Cost of System Integration (excluding items shown separately below)		501.7			484.5			510.3			664.4			2,161.0			561.1							—
Depreciation and Amortization		359.2			357.3			366.4			379.3			1,462.2			332.3							1,359.0
Impairment Loss		0.4			14.3			51.3			7.9			73.9			—							—
Goodwill		—			4.5			48.8			—			53.3			—							—
Other		0.4			9.8			2.5			7.9			20.6			—							—
Selling, General and Administrative Expenses		645.5			675.1			669.7			796.5			2,786.8			685.4							—
Operating Income		487.4			439.1			392.1			221.2			1,539.8			491.6							1,590.0
Income Before Income Taxes		446.1			450.8			410.3			220.6			1,527.8			496.2							1,580.0
Net Income Attributable to NTT		243.6			232.5			192.6			131.4			800.1			271.5							830.0

(Ref.) Details of “Cost of Services,” “Cost of Equipment Sold,” “Cost of System Integration” and “Selling, General and Administrative Expenses”
Personnel		557.7			569.7			547.5			601.9			2,276.8			593.1							—
Cost of Services and Equipment Sold, and Selling, General and Administrative Expenses		1,227.9			1,335.4			1,384.4			1,664.2			5,612.0			1,308.2							—
Loss on Disposal of Property, Plant and Equipment		24.2			36.3			39.8			96.8			197.0			27.3							—
Other Expenses		60.0			55.6			54.7			59.1			229.4			57.3							—
Total		1,869.8			1,996.9			2,026.4			2,422.1			8,315.1			1,985.9							—
EBITDA and EBITDA Margin with Reconciliation
EBITDA [a+b+c+d] ⁽¹⁾		860.0			830.7			829.8			662.9			3,183.3			837.4							3,190.0
a Operating Income		487.4			439.1			392.1			221.2			1,539.8			491.6							1,590.0
b Depreciation and Amortization		359.2			357.3			366.4			379.3			1,462.2			332.3							1,359.0
c Loss on Sales and Disposal of Property, Plant and Equipment		13.0			20.0			20.0			54.4			107.4			13.5							241.0
d Impairment Loss		0.4			14.3			51.3			7.9			73.9			—							—
EBITDA Margin [(e/f)*100] ⁽¹⁾		31.7	%		29.6	%		29.3	%		21.9	%		27.9	%		29.8	%						27.1	%
e EBITDA [a+b+c+d]		860.0			830.7			829.8			662.9			3,183.3			837.4							3,190.0
f Operating Revenues		2,716.7			2,807.6			2,836.2			3,030.5			11,391.0			2,809.8							11,750.0

Interest-Bearing Liabilities

	FY 2016															FY 2017							FY 2017 (E)
	As of June 30			As of September 30			As of December 31			As of March 31						As of June 30			As of September 30	As of December 31	As of March 31		As of March 31
Interest-Bearing Liabilities		4,353.6			4,091.8			4,497.1			4,088.2						4,419.3							3,900.0


Notes :			(1	)		Beginning with the three months ended March 31, 2017, the method for calculating EBITDA has been revised to add Loss on Sales of Property, Plant and Equipment and Impairment Loss. EBITDA and EBITDA Margin, as calculated using the previous method including only Operating Income and Depreciation and Amortization, and Loss on Disposal of Property, Plant and Equipment, would have been 837.1 billion yen and 29.8%, respectively, for the three months ended June 30, 2017. EBITDA and EBITDA Margin figures presented in the table above have been retroactively recalculated using the new calculation method.

– 1 –

1. Financial Results Summary (Capital Investment)

Capital Investment


	(Billions of yen)
	FY 2016										FY 2017						FY 2017 (E)
	Three Months Ended								Year Ended		Three Months Ended					Year Ended	Year Ending
	June 30		September 30		December 31		March 31		March 31		June 30		September 30	December 31	March 31	March 31	March 31
Capital Investment ⁽¹⁾		284.4		381.5		426.5		607.8		1,700.0		356.0						1,700.0
Regional communications business		96.3		118.7		130.6		237.7		583.4		106.4						555.0
Long distance and international communications business		44.8		56.6		67.0		76.5		244.9		52.1						249.0
Mobile communications business		97.1		148.9		153.3		197.7		597.1		120.9						570.0
Data communications business		28.5		39.1		37.9		52.5		158.1		44.4						192.0
Other business		17.6		18.1		37.6		43.3		116.6		32.1						134.0
(Ref.) Core Group Companies
NTT (Holding Company)		1.0		2.6		3.8		8.1		15.7		1.9						18.0
R&D Facilities		—		—		—		—		12.9		—						15.0
Joint Facilities		—		—		—		—		2.8		—						3.0
NTT East ⁽²⁾		42.1		52.4		61.0		118.0		273.8		58.5						250.0
Service Expansion and Improvement		—		—		—		—		249.6		—						231.0
Voice Transmission		—		—		—		—		142.6		—						133.0
Data Transmission		—		—		—		—		17.8		—						14.0
Leased Circuit		—		—		—		—		88.2		—						83.0
Telegraph		—		—		—		—		0.9		—						1.0
R&D Facilities		—		—		—		—		2.7		—						2.0
Joint Facilities		—		—		—		—		21.3		—						17.0
NTT West ⁽²⁾		46.2		56.8		61.7		109.3		274.1		42.1						260.0
Service Expansion and Improvement		—		—		—		—		256.0		—						239.0
Voice Transmission		—		—		—		—		157.7		—						144.0
Data Transmission		—		—		—		—		22.9		—						17.0
Leased Circuit		—		—		—		—		74.9		—						77.0
Telegraph		—		—		—		—		0.3		—						1.0
R&D Facilities		—		—		—		—		1.9		—						2.0
Joint Facilities		—		—		—		—		16.0		—						19.0
NTT Communications		25.1		32.2		34.1		43.6		135.1		18.1						111.0
Cloud Computing Platforms		—		—		—		—		39.6		—						23.0
Data Networks		—		—		—		—		26.3		—						22.1
Voice Communications		—		—		—		—		10.2		—						8.2
Applications & Content		—		—		—		—		1.9		—						4.1
Solution Services		—		—		—		—		6.3		—						5.3
Infrastructure and Joint Facilities, etc.		—		—		—		—		50.5		—						48.0
NTT DOCOMO (Consolidated)		97.1		148.9		153.3		197.7		597.1		120.9						570.0
NTT DATA (Consolidated)		28.5		39.1		37.9		52.5		158.1		49.0						192.0

(Ref.) Optical Access Network Investment
NTT East		—		—		—		—		85.0		—						Approx. 80.0
NTT West		—		—		—		—		71.0		—						Approx. 73.0


Notes :	(1)	Capital Investment figures for domestic access network businesses for the three months ended June 30, 2016, the three months ended June 30, 2017 and the year ending March 31, 2018 (Forecast) are 211.3 billion yen, 240.4 billion yen and 1,193.0 billion yen, respectively.
	(2)	Figures for NTT East and NTT West include figures for Optical Access Network Investment.

– 2 –

2. Financial Results (Business Segments)


	(Billions of yen)
	FY 2016											FY 2017						FY 2017 (E)
	Three Months Ended									Year Ended		Three Months Ended					Year Ended	Year Ending
	June 30		September 30		December 31			March 31		March 31		June 30		September 30	December 31	March 31	March 31	March 31
Business segments ⁽¹⁾
Regional communications business
Operating Revenues		802.9		817.5		814.4			873.4		3,308.2		787.8						3,230.0
Operating Expenses		675.1		713.1		716.2			844.3		2,948.7		654.2						2,900.0
Operating Income		127.8		104.5		98.2			29.0		359.5		133.6						330.0
Long distance and international communications business
Operating Revenues		519.0		519.8		531.8			558.6		2,129.3		529.7						2,230.0
Operating Expenses		492.0		504.7		555.3			536.5		2,088.4		494.9						2,110.0
Operating Income		27.0		15.2		(23.5	)		22.1		40.8		34.8						120.0
Mobile communications business
Operating Revenues		1,108.7		1,179.4		1,181.2			1,115.3		4,584.6		1,136.7						4,750.0
Operating Expenses		810.4		893.9		925.6			1,003.0		3,632.9		859.1						3,795.0
Operating Income		298.3		285.4		255.6			112.3		951.6		277.6						955.0
Data communications business
Operating Revenues		373.5		388.6		402.6			554.1		1,718.7		462.3						1,970.0
Operating Expenses		351.6		374.6		371.4			513.3		1,610.8		437.0						1,840.0
Operating Income		21.9		14.0		31.2			40.8		107.9		25.3						130.0
Other business
Operating Revenues		272.1		295.5		322.3			392.4		1,282.3		281.4						1,260.0
Operating Expenses		259.8		278.1		292.7			374.4		1,205.0		262.3						1,185.0
Operating Income		12.3		17.4		29.6			18.0		77.3		19.0						75.0


Note:			(1	)		Figures for each segment include inter-segment transactions.

– 3 –

3. Financial Results (Holding Company and Subsidiaries)


	(Billions of yen)
	FY 2016												FY 2017						FY 2017 (E)
	Three Months Ended										Year Ended		Three Months Ended					Year Ended	Year Ending
	June 30		September 30			December 31		March 31			March 31		June 30		September 30	December 31	March 31	March 31	March 31
NTT (Holding Company) (JPN GAAP)
Operating Revenues		269.1		32.7			138.6		33.7			474.3		436.7						662.0
Operating Expenses		29.4		30.7			31.1		43.3			134.6		30.0						130.0
Operating Income		239.6		2.0			107.5		(9.5	)		339.6		406.6						532.0
Non-Operating Revenues		6.0		6.2			5.7		6.0			24.1		5.1						22.0
Non-Operating Expenses		7.7		6.8			6.7		7.6			28.9		6.1						25.0
Recurring Profit		237.9		1.4			106.5		(11.0	)		334.9		405.6						529.0
Net Income		237.5		(19.7	)		79.2		(8.9	)		288.1		405.3						530.0
NTT East (JPN GAAP)
Operating Revenues		410.1		413.3			413.1		435.5			1,672.2		405.5						1,640.0
Voice Transmission Services (excluding IP) ⁽¹⁾		101.4		99.9			99.2		95.8			396.5		94.2						370.0
IP Services		213.3		211.7			212.4		212.8			850.3		213.4						850.0
Leased Circuit (excluding IP)		24.0		23.6			23.0		22.6			93.3		23.2						93.0
Other		46.1		46.0			48.1		54.1			194.5		47.6						193.0
Supplementary Business		25.0		31.9			30.3		50.0			137.4		26.8						134.0
Operating Expenses		346.0		353.6			363.1		420.2			1,483.1		329.9						1,450.0
Personnel		23.6		23.6			23.2		24.0			94.6		21.4						85.0
Cost of Services and Equipment Sold, and Selling, General and Administrative Expenses		224.3		230.9			236.1		270.7			962.1		222.9						947.0
Depreciation and Amortization		72.2		72.5			76.0		74.2			295.0		58.7						234.0
Loss on Disposal of Property, Plant and Equipment		6.1		8.4			9.7		31.5			55.9		7.6						110.0
Taxes and Public Dues		19.5		18.1			17.9		19.6			75.3		19.1						74.0
Operating Income		64.1		59.6			49.9		15.3			189.1		75.6						190.0
Non-Operating Revenues		17.3		0.5			1.5		0.7			20.2		8.1						5.0
Non-Operating Expenses		1.2		1.2			1.2		1.1			4.9		0.9						5.0
Recurring Profit		80.2		58.9			50.2		14.9			204.4		82.8						190.0
Net Income		57.8		42.1			36.5		13.1			149.6		60.0						131.0
NTT West (JPN GAAP)
Operating Revenues		362.0		368.4			362.7		385.7			1,479.0		351.0						1,436.0
Voice Transmission Services (excluding IP) ⁽¹⁾		101.6		99.9			99.0		95.6			396.2		93.7						370.0
IP Services		175.5		173.6			174.0		173.9			697.2		173.5						689.0
Leased Circuit (excluding IP)		22.0		21.7			21.3		21.1			86.3		22.0						87.0
Other		33.8		35.0			35.9		40.8			145.6		32.5						138.0
Supplementary Business		29.0		38.0			32.2		54.0			153.4		29.1						152.0
Operating Expenses		323.3		335.9			336.6		387.8			1,383.8		301.4						1,336.0
Personnel		20.3		20.0			19.9		20.2			80.5		18.9						77.0
Cost of Services and Equipment Sold, and Selling, General and Administrative Expenses		206.3		219.1			215.4		254.4			895.4		206.0						860.0
Depreciation and Amortization		70.4		70.8			74.1		72.1			287.6		52.2						213.0
Loss on Disposal of Property, Plant and Equipment		8.6		9.4			10.9		24.1			53.2		6.6						119.0
Taxes and Public Dues		17.5		16.3			16.2		16.8			66.9		17.4						67.0
Operating Income		38.7		32.5			26.0		(2.0	)		95.1		49.5						100.0
Non-Operating Revenues		1.2		0.4			0.5		0.7			2.9		1.3						4.0
Non-Operating Expenses		2.0		1.7			1.7		4.3			9.9		1.5						9.0
Recurring Profit		37.8		31.1			24.8		(5.7	)		88.1		49.3						95.0
Net Income		23.3		22.2			18.0		(3.8	)		59.7		35.0						70.0


Note:		(1)		Operating Revenues from Voice Transmission Services (excluding IP) of NTT East and NTT West for the three months ended June 30, 2017 include monthly charges, call charges and interconnection charges of 71.4 billion yen, 5.9 billion yen and 10.9 billion yen for NTT East, and 70.9 billion yen, 5.5 billion yen and 11.6 billion yen for NTT West, respectively.

– 4 –

3. Financial Results (Holding Company and Subsidiaries)


	(Billions of yen)
	FY 2016															FY 2017							FY 2017 (E)
	Three Months Ended												Year Ended			Three Months Ended						Year Ended	Year Ending
	June 30			September 30			December 31			March 31			March 31			June 30			September 30	December 31	March 31	March 31	March 31
NTT Communications (JPN GAAP)
Operating Revenues ⁽¹⁾		220.2			226.9			227.0			249.6			923.8			230.3							940.0
Cloud Computing Platforms		17.1			17.6			17.6			19.5			72.0			20.2							87.0
Data Networks		94.8			95.1			96.3			98.4			384.8			97.2							393.0
Voice Communications		63.0			63.3			63.7			60.6			250.7			60.0							244.0
Applications & Content		9.4			9.2			9.3			9.6			37.7			8.7							37.0
Solution Services		31.9			37.7			36.1			57.5			163.4			37.3							159.0
Others		3.7			3.7			3.8			3.6			14.9			6.8							20.0
Operating Expenses		194.3			202.5			204.1			230.2			831.3			198.9							847.0
Personnel		19.2			18.9			19.0			19.7			77.0			19.1							77.0
Cost of Services, Cost of Equipment Sold, and Selling, General and Administrative Expenses		90.8			98.8			95.1			121.6			406.4			94.8							639.0
Communication Network Charges		54.7			54.6			59.2			54.4			223.1			57.6
Depreciation and Amortization		25.4			25.6			26.2			27.0			104.4			22.7							96.0
Loss on Disposal of Property, Plant and Equipment		0.5			1.0			0.9			4.1			6.7			0.8							22.0
Taxes and Public Dues		3.5			3.2			3.4			3.2			13.4			3.6							13.0
Operating Income		25.8			24.3			22.9			19.4			92.5			31.4							93.0
Non-Operating Revenues		7.4			5.6			4.0			3.5			20.7			6.7							18.0
Non-Operating Expenses		2.3			1.6			1.3			2.5			7.8			1.4							8.0
Recurring Profit		30.9			28.3			25.6			20.5			105.4			36.7							103.0
Net Income		22.3			20.4			18.5			23.6			85.0			27.6							73.0
Dimension Data (IFRS) ⁽²⁾⁽³⁾
Operating Revenues		206.6			198.6			196.4			207.4			809.0			207.0							890.0
Operating Expenses		207.9			205.7			197.9			207.4			818.9			207.2							881.0
Operating Income ⁽⁴⁾		(1.3	)		(7.0	)		(1.5	)		(0	)		(9.9	)		(0.2	)						9.0
Net Income Attributable to Dimension Data		(2.4	)		(9.6	)		(14.6	)		(1.4	)		(27.9	)		(1.8	)						—


Notes:	(1)	The following are the main services included in each line item:
		- Cloud Computing Platforms: “Data center services” and “Private Cloud (Enterprise Cloud, etc.)”
		- Data Networks: “Closed network services (Arcstar Universal One, etc.)” and “Open network service (OCN, etc.)”
		- Voice Communications: “Telephone services” and “VoIP services (050 plus, etc.)”
		- Applications & Content: “Application services (Mail services, etc.)”
		- Solution Services: “System integration services”
	(2)	Because Dimension Data’s statements of income from January 1 to March 31, 2017 are consolidated into NTT’s consolidated statements of income from April 1 to June 30, 2017, Dimension Data’s financial results for the three months ended March 31, 2017 are included under the three months ended June 30, 2017 and Dimension Data’s forecast for the twelve months ending December 31, 2017 is included under Year Ending March 31, 2018 (Forecast).
	(3)	The conversion rate used for Dimension Data figures for the three months ended June 30, 2017 is USD1.00 = JPY113.60.
	(4)	Operating Income for the three months ended June 30, 2017 under US GAAP was (2.8) billion yen.

– 5 –

3. Financial Results (Holding Company and Subsidiaries)


	(Billions of yen)
	FY 2016															FY 2017							FY 2017 (E)
	Three Months Ended												Year Ended			Three Months Ended						Year Ended	Year Ending
	June 30			September 30			December 31			March 31			March 31			June 30			September 30	December 31	March 31	March 31	March 31
NTT DOCOMO Consolidated (US GAAP)
Operating Revenues		1,108.7			1,179.7			1,181.3			1,115.0			4,584.6			1,136.7							4,750.0
Telecommunications Services		729.7			744.8			750.7			759.9			2,985.1			774.9							3,125.0
Mobile Communications Services		704.2			712.8			712.1			714.8			2,844.0			723.1							2,894.0
Voice Revenues		215.9			219.6			224.8			215.0			875.2			231.2							928.0
Packet Communications Revenues		488.3			493.3			487.4			499.8			1,968.8			491.9							1,966.0
Optical-fiber Broadband Services and Other Telecommunications Services		25.5			31.9			38.6			45.1			141.1			51.8							231.0
Equipment Sales		165.8			214.4			206.2			132.9			719.2			150.6							748.0
Other Operating Revenues		213.2			220.5			224.4			222.2			880.3			211.2							877.0
Operating Expenses		809.4			893.4			924.5			1,012.6			3,639.8			858.4							3,790.0
Personnel		72.3			72.8			72.2			74.5			291.8			72.9							300.0
Cost of Services, Cost of Equipment Sold, and Selling, General and Administrative Expenses		531.5			600.6			622.8			677.3			2,432.1			553.3							2,498.0
Depreciation and Amortization		109.7			110.8			113.9			117.9			452.3			119.0							490.0
Impairment Loss		—			—			—			12.2			12.2			—							—
Loss on Disposal of Property, Plant and Equipment		7.9			16.8			16.5			38.3			79.6			12.4							60.0
Communication Network Charges		76.7			82.1			88.8			81.8			329.4			90.9							400.0
Taxes and Public Dues		11.2			10.3			10.3			10.5			42.4			9.9							42.0
Operating Income		299.3			286.3			256.7			102.4			944.7			278.3							960.0
Non-Operating Income (Loss)		(4.0	)		(0.4	)		8.3			1.0			4.8			3.5							6.0
Income Before Income Taxes		295.3			285.9			265.0			103.4			949.6			281.8							966.0
Net Income Attributable to NTT DOCOMO		206.9			198.6			184.0			63.1			652.5			189.9							655.0
NTT DATA Consolidated (JPN GAAP)
Net sales		392.2			387.4			401.2			551.5			1,732.4			540.4							2,060.0
Public & Social Infrastructure		89.1			97.6			109.5			159.1			455.4			85.9							447.0
Financial		118.6			127.7			124.3			147.2			518.0			127.5							539.0
Enterprise & Solutions		97.7			103.1			103.0			121.6			425.6			105.2							442.0
Global		145.2			122.8			128.7			206.5			603.3			284.7							908.0
Elimination or Corporate		(58.5	)		(63.9	)		(64.5	)		(83.0	)		(269.9	)		(63.0	)						(276.0	)
Cost of Sales		294.5			286.7			293.7			418.6			1,293.6			413.5							1,550.0
Gross Profit		97.6			100.6			107.5			132.9			438.8			126.9							510.0
Selling, General and Administrative Expenses		80.3			72.7			78.3			90.4			321.7			104.7							390.0
Operating Income		17.3			27.9			29.1			42.5			117.1			22.1							120.0
Non-Operating Income (Loss)		(0	)		(0.1	)		(1.1	)		(2.7	)		(4.1	)		0.2							(4.0	)
Ordinary income		17.3			27.7			28.0			39.8			112.9			22.4							116.0
Net Income Attributable to Owners of Parent		10.0			18.9			16.0			20.6			65.6			8.1							59.0

– 6 –

4. Operating Data

Number of Subscribers


	(in thousands except for Public Telephones)
	FY 2016								FY 2017					FY 2017 (E)
	As of June 30		As of September 30		As of December 31		As of March 31		As of June 30		As of September 30	As of December 31	As of March 31	As of March 31
Telephone Subscriber Lines ⁽¹⁾		19,671		19,413		19,117		18,797		18,482					17,785
NTT East		9,740		9,617		9,471		9,315		9,166					8,865
NTT West		9,931		9,796		9,647		9,482		9,316					8,920
INS-Net ⁽²⁾		2,719		2,661		2,602		2,539		2,488					2,326
NTT East		1,384		1,356		1,325		1,293		1,269					1,193
NTT West		1,334		1,305		1,276		1,246		1,219					1,133
Telephone Subscriber Lines + INS-Net		22,390		22,074		21,719		21,336		20,970					20,111
NTT East		11,125		10,973		10,796		10,609		10,434					10,059
NTT West		11,265		11,102		10,923		10,727		10,535					10,052
Public Telephones		168,673		166,120		163,921		161,375		160,396					157,972
NTT East		76,511		74,846		73,357		71,434		71,037					70,434
NTT West		92,162		91,274		90,564		89,941		89,359					87,538
FLET’S ISDN		83		81		79		77		75					70
NTT East		36		35		34		33		33					30
NTT West		47		46		45		44		43					39
FLET’S ADSL		1,019		987		955		919		881					791
NTT East		459		444		428		411		394					351
NTT West		560		543		527		508		487					440
FLET’S Hikari (including Hikari Collaboration Model) ^(3)(4)(5)		19,520		19,704		19,903		20,053		20,294					20,853
NTT East		10,839		10,958		11,078		11,173		11,318					11,673
NTT West		8,681		8,746		8,825		8,880		8,976					9,180
(incl.) Hikari Collaboration Model		5,912		6,917		7,854		8,744		9,574					11,894
NTT East		3,781		4,337		4,846		5,328		5,770					7,028
NTT West		2,131		2,580		3,008		3,416		3,804					4,866
Hikari Denwa ⁽⁶⁾		17,451		17,545		17,655		17,759		17,862					17,988
NTT East		9,180		9,242		9,311		9,369		9,433					9,569
NTT West		8,271		8,302		8,344		8,390		8,430					8,419
Conventional Leased Circuit Services		231		229		227		225		224					218
NTT East		112		111		110		109		109					105
NTT West		118		118		117		116		115					113
High Speed Digital Services		114		112		110		108		106					100
NTT East		58		57		56		55		54					52
NTT West		56		55		54		53		52					48
NTT Group Major ISPs ⁽⁷⁾		11,360		11,328		11,303		11,231		11,189					11,031
(incl.) OCN		7,969		7,905		7,847		7,739		7,678					7,496
(incl.) Plala		3,024		3,047		3,075		3,106		3,124					3,130
Hikari TV		3,047		3,041		3,032		3,023		3,021					3,030
FLET’S TV Transmission Services ⁽⁶⁾		1,445		1,464		1,489		1,521		1,551					1,602
NTT East		917		926		939		951		963					981
NTT West		528		538		551		570		587					621
Mobile Telecommunications Services ⁽⁸⁾		71,614		72,943		73,588		74,880		75,114					77,100
(incl.) “Kake-hodai & Pake-aeru” billing plan		31,586		33,416		35,198		37,066		38,342					—
Telecommunications Services (LTE (Xi))		39,893		41,281		42,671		44,544		45,659					51,700
Telecommunications Services (FOMA (3G))		31,721		31,662		30,917		30,336		29,455					25,400
sp-mode		33,082		33,809		34,749		35,921		36,671					40,200
i-mode		18,136		17,416		16,503		15,493		14,662					11,300


Notes:	(1)	Number of Telephone Subscriber Lines is the total of individual lines and central station lines (Subscriber Telephone Light Plan is included).
	(2)	“INS-Net” includes “INS-Net 64” and “INS-Net 1500.” In terms of number of channels, transmission rate, and line use rate (base rate), “INS-Net 1500” is in all cases roughly ten times greater than “INS-Net 64.” For this reason, one “INS-Net 1500” subscription is calculated as ten “INS-Net 64” subscriptions (including subscriptions to the “INS-Net 64 Lite Plan”).
	(3)	Number of “FLET’S Hikari (including Hikari Collaboration Model)” subscribers includes subscribers to “B FLET’S,” “FLET’S Hikari Next,” “FLET’S Hikari Light,” “FLET’S Hikari Lightplus” and “FLET’S Hikari WiFi Access” provided by NTT East, subscribers to “B FLET’S,” “FLET’S Hikari Premium,” “FLET’S Hikari Mytown,” “FLET’S Hikari Next,” “FLET’S Hikari Mytown Next,” “FLET’S Hikari Light” and “FLET’S Hikari WiFi Access” provided by NTT West and subscribers to the “Hikari Collaboration Model,” the wholesale provision of services to service providers by NTT East and NTT West.
	(4)	The comparative results for the three months ended June 30, 2017 compared to the year ended March 31, 2017 for “FLET’S Hikari (including Hikari Collaboration Model)” are as follows: the numbers of new subscribers for NTT East and NTT West were 480 thousand lines and 371 thousand lines, respectively, for a total of 851 thousand lines; the numbers of new subscribers (excluding switchover lines) for the “Hikari Collaboration Model” for NTT East and NTT West were 358 thousand lines and 262 thousand lines, respectively, for a total of 619 thousand lines; and the numbers of switchover lines for NTT East and NTT West were 268 thousand lines and 241 thousand lines, respectively, for a total of 509 thousand lines.
	(5)	The comparative forecast for the year ending March 31, 2018 compared to the results for the year ended March 31, 2017 for “FLET’S Hikari (including Hikari Collaboration Model)” are as follows: the numbers of new subscribers for NTT East and NTT West are expected to be 1,700 thousand lines and 1,200 thousand lines, respectively, for a total of 2,900 thousand lines; the numbers of new subscribers (excluding switchover lines) for the “Hikari Collaboration Model” for NTT East and NTT West are expected to be 1,250 thousand lines and 850 thousand lines, respectively, for a total of 2,100 thousand lines; and the numbers of switchover lines for NTT East and NTT West are expected to be 1,100 thousand lines and 1,000 thousand lines, respectively, for a total of 2,100 thousand lines.
	(6)	Numbers of subscribers for “Hikari Denwa” and “FLET’S TV Transmission Services” include wholesale services provided to service providers by NTT East and NTT West.
	(7)	“NTT Group Major ISPs” includes “WAKWAK” and “InfoSphere,” in addition to “OCN” and “Plala.”
	(8)	Number of Mobile Telecommunications Services (including “Telecommunications Services (LTE (Xi))” and “Telecommunications Services (FOMA (3G))”) includes Communication Module Services.

– 7 –

4. Operating Data

Average Monthly Revenue per Unit (ARPU)

Average monthly revenue per unit, or ARPU, is used to measure average monthly operating revenues attributable to each designated service on a per user basis. In the case of NTT Group’s fixed-line business, ARPU is calculated by dividing revenue items included in the operating revenues of NTT Group’s regional communications business segment, that is, fixed-line (telephone subscriber lines and INS-NET) and FLET’S Hikari, by the number of active subscribers to the relevant services.

In the case of NTT Group’s mobile communications business, ARPU is calculated by dividing revenue items included in operating revenues from its mobile communications business segment, such as revenues from LTE (Xi) mobile phone services, FOMA (3G) mobile phone services and “docomo Hikari” services, that are incurred consistently each month, by the number of active users to the relevant services. The calculation of these figures excludes revenues that are not representative of monthly average usage, such as telecommunications equipment sales, activation fees and universal service charges.

NTT believes that its ARPU figures calculated in this way provide useful information regarding the monthly average usage of its subscribers. The revenue items included in the numerators of NTT Group’s ARPU figures are based on its financial results comprising its U.S. GAAP results of operations.


	(Yen)
	FY 2016										FY 2017						FY 2017 (E)
	Three Months Ended								Year Ended		Three Months Ended					Year Ended	Year Ending
	June 30		September 30		December 31		March 31		March 31		June 30		September 30	December 31	March 31	March 31	March 31
NTT East ^{(1)(2)(3)(4)(5)}
Aggregate Fixed Line ARPU (Telephone Subscriber Lines + INS-NET Subscriber Lines)		2,620		2,620		2,620		2,590		2,610		2,580						2,570
FLET’S Hikari ARPU ⁽⁶⁾		5,340		5,280		5,230		5,170		5,250		5,120						5,050
Basic Monthly Charge		3,750		3,720		3,690		3,670		3,700		3,640						3,600
Optional Services		1,590		1,560		1,540		1,500		1,550		1,480						1,450
NTT West ^{(1)(2)(3)(4)(5)}
Aggregate Fixed Line ARPU (Telephone Subscriber Lines + INS-NET Subscriber Lines)		2,580		2,580		2,580		2,560		2,580		2,540						2,550
FLET’S Hikari ARPU ⁽⁶⁾		5,350		5,300		5,260		5,210		5,280		5,160						5,080
Basic Monthly Charge		3,640		3,620		3,590		3,570		3,610		3,550						3,490
Optional Services		1,710		1,680		1,670		1,640		1,670		1,610						1,590
NTT DOCOMO ^(7)(8)(9)
Aggregate ARPU		4,330		4,420		4,450		4,550		4,430		4,600						4,700
Voice ARPU (LTE (Xi) + FOMA (3G))		1,240		1,250		1,280		1,220		1,250		1,330						1,350
Data ARPU		3,090		3,170		3,170		3,330		3,180		3,270						3,350
Packet ARPU (LTE (Xi) + FOMA (3G))		2,960		2,990		2,960		3,080		2,990		2,970						3,010
“docomo Hikari” ARPU		130		180		210		250		190		300						340


Notes:	(1)	We compute the following two categories of ARPU for business conducted by each of NTT East and NTT West.
		a. Aggregate Fixed Line ARPU (Telephone Subscriber Lines + INS-NET Subscriber Lines): Calculated based on revenues from monthly charges and call charges for Telephone Subscriber Lines and INS-NET Subscriber Lines, which are included in operating revenues from Voice Transmission Services (excluding IP Services), and revenues from “FLET’S ADSL” and “FLET’S ISDN,” which are included in operating revenues from IP Services.
		b. FLET’S Hikari ARPU: Calculated based on revenues from “FLET’S Hikari” (including “FLET’S Hikari” optional services), which are included in operating revenues from IP Services, revenues from monthly charges, call charges and connection device charges for “Hikari Denwa,” and revenues from “FLET’S Hikari” optional services, which are included in Supplementary Business revenues.
		- “FLET’S Hikari” includes “B FLET’S,” “FLET’S Hikari Next,” “FLET’S Hikari Light,” “FLET’S Hikari Lightplus” and “FLET’S Hikari WiFi Access” provided by NTT East, and “B FLET’S,” “FLET’S Hikari Premium,” “FLET’S Hikari Mytown,” “FLET’S Hikari Next,” “FLET’S Hikari Mytown Next,” “FLET’S Hikari Light” and “FLET’S Hikari WiFi Access” provided by NTT West. In addition, “FLET’S Hikari” also includes the “Hikari Collaboration Model,” the wholesale provision of services to service providers by NTT East and NTT West.
		- “FLET’S Hikari” Optional Services includes wholesale services provided to service providers by NTT East and NTT West.

	(2)	Revenues from interconnection charges are excluded from the calculation of Aggregate Fixed Line ARPU (Telephone Subscriber Lines + INS-NET Subscriber Lines) and FLET’S Hikari ARPU.

	(3)	Numbers of active subscribers used in the ARPU calculation of NTT East and NTT West are as below.
		- Quarterly Results: Sum of number of active subscribers* for each month in the relevant quarter
		- FY Results: Sum of number of active subscribers* for each month from April to March
		- FY Forecast: Sum of the average expected active number of subscribers during the fiscal year ((number of subscribers at March 31, 2017 + number of expected subscribers at March 31, 2018)/2)x12
		*activesubscribers = (number of subscribers at end of previous month + number of subscribers at end of the current month)/2

	(4)	For purposes of calculating Aggregate Fixed Line ARPU (Telephone Subscriber Lines + INS-NET Subscriber Lines), the number of subscribers is determined based on the number of subscriptions for fixed-line services (Telephone Subscriber Lines + INS-NET Subscriber Lines).

	(5)	In terms of number of channels, transmission rate, and line use rate (base rate), INS-Net 1500 is in all cases roughly ten times greater than INS-Net 64. For this reason, for the purpose of calculating Aggregate Fixed Line ARPU (Telephone Subscriber Lines + INS-NET Subscriber Lines), one INS-Net 1500 subscription is calculated as ten INS-Net 64 subscriptions.

	(6)	For purposes of calculating FLET’S Hikari ARPU, the number of subscribers is determined based on the number of FLET’S Hikari subscribers, which includes subscribers to “B FLET’S,” “FLET’S Hikari Next,” “FLET’S Hikari Light,” “FLET’S Hikari Lightplus” and “FLET’S Hikari WiFi Access” provided by NTT East, subscribers to “B FLET’S,” “FLET’S Hikari Premium,” “FLET’S Hikari Mytown,” “FLET’S Hikari Next,” “FLET’S Hikari Mytown Next,” “FLET’S Hikari Light” and “FLET’S Hikari WiFi Access” provided by NTT West, and the “Hikari Collaboration Model,” the wholesale provision of services to service providers by NTT East and NTT West.

	(7)	The following is the formula we use to compute ARPU for NTT DOCOMO.
		a. Aggregate ARPU = Voice ARPU + Packet ARPU + “docomo Hikari” ARPU
		b. Data ARPU= Packet ARPU + “docomo Hikari” ARPU
		- Voice ARPU: Voice ARPU Related Revenues (basic monthly charges, voice communication charges) / No. of active users
		- Packet ARPU: Packet ARPU Related Revenues (basic monthly charges, packet communication charges) / No. of active users
		- “docomo Hikari” ARPU: “docomo Hikari” ARPU Related Revenues (basic monthly charges, voice communication charges) / No. of active users

	(8)	Numbers of active users used in the ARPU calculation of NTT DOCOMO are as below.
		- Quarterly Results: Sum of number of active users* for each month in the relevant quarter
		- FY Results/FY Forecast: Sum of number of active users/expected number of active users for each month from April to March
		*activeusers = (number of users at end of previous month + number of users at end of current month)/2

	(9)	The number of “users” used to calculate ARPU is the total number of subscriptions, excluding the subscriptions listed below:
		a. Subscriptions of communication modules services, “Phone Number Storage,” “Mail Address Storage,” “docomo Business Transceiver” and wholesale telecommunications services and interconnecting telecommunications facilities that are provided to Mobile Virtual Network Operators (MVNOs); and
		b. Data Plan subscriptions in the case where the customer contracting for such subscription in his/her name also has a subscription for “Xi” or “FOMA” services in his/her name.
		Note that revenues from communication module services, “Phone Number Storage,” “Mail Address Storage,” “docomo Business Transceiver” and wholesale telecommunications services and interconnecting telecommunications facilities that are provided to Mobile Virtual Network Operators (MVNOs) are not included in ARPU calculations.

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4. Operating Data

Number of Employees


	(Persons)
	FY 2016								FY 2017					FY 2017 (E)
	As of June 30		As of September 30		As of December 31		As of March 31		As of June 30		As of September 30	As of December 31	As of March 31	As of March 31
NTT Consolidated ⁽¹⁾		248,650		248,650		280,600		274,850		280,850					281,350
Regional communications business		67,400		67,300		73,700		68,250		70,000					67,150
Long distance and international communications business		45,150		44,450		44,050		43,850		43,850					45,850
Mobile communications business		27,500		27,450		27,400		26,750		28,150					28,050
Data communications business		83,200		84,000		109,950		111,650		113,950					115,950
Other business		25,400		25,450		25,500		24,350		24,900					24,350
Core Group Companies ⁽¹⁾
NTT (Holding Company)		2,800		2,800		2,750		2,700		2,750					2,700
NTT East		5,200		4,950		4,950		4,850		5,200					4,800
NTT West		4,600		4,450		4,450		4,400		4,550					4,300
NTT Communications		6,550		6,450		6,450		6,350		6,400					6,300
NTT DOCOMO (Consolidated)		27,500		27,450		27,400		26,750		28,150					28,050
NTT DATA (Consolidated)		83,200		84,000		109,950		111,650		113,950					115,950


Note:		(1)		Starting from the nine-month period ended December 31, 2016, “Number of Employees” includes employees whose contracts were changed from fixed-term contracts to open-ended contracts.

– 9 –

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Comprehensive income (loss) attributable to NTT:

For the three months ended June 30, 2017: 278,685 million yen 81.0%

For the three months ended June 30, 2016: 153,977 million yen (9.2%)

Percentages above represent changes from the corresponding previous period.