New Street Research - KDDI Corporation (9433) KDDI (Buy, TP: ¥6,600, +34%) Q3 23: Thoughts after the call with implications for Rakuten

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New Street Research

Chris Hoare

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KDDI (Buy, TP: ¥6,600, +34%) Q3 23: Thoughts after the call with implications for Rakuten

KDDI printed in-line results after market closed today, with KPIs moving in the right direction. We summarize three key takeaways from the call below.

02/02/2024 1 EN

Underlying

KDDI Corporation

KDDI is a telecommunications company. Along with its affiliates, Co. operates in four principal business segments: personal, value, business, and global. Co. is engaged in the sale of mobile handset; and the provision of mobile telecommunication services under "au" brand name, Internet contents, settlement service, and electronic money service for individual customers. Co. offers information and communication technology ("ICT") solution services and data center services for domestic corporate customers, overseas companies and individual customers. Co. is also involved in the call center business, the research and technological development, and the telecommunication facilities maintenance.

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JP3496400007 Japan

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New Street Research

Provided by our team of experienced analysts, our work is idea driven, based on independence of thought, sector expertise, and firmly focussed on fundamentals and valuation.

New Street Research is an independent, partner-owned, research firm specialising in equity and debt research. Our equity research embraces the following sectors:

Pan European Telecom Services and Cable
US Telecoms, Cable, Satellite and Towers
Global Emerging Market Telecoms
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Pan European Telecom Services and Cable

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Analysts

Chris Hoare

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KDDI (Buy, TP: ¥6,600, +34%) Q3 23: Thoughts after the call with implications for Rakuten

KDDI (Buy, TP: ¥6,600, +53%) Q4 23 Quick Take: Better mobile trend and a decent sized buyback; FY24 guidance slightly soft

Asia Telco Tour Feedback, Improving growth, ROCE and shareholder remuneration

Japanese Telcos Takeaways from Meetings with the Japanese Telcos + Rakuten in Tokyo. Incumbents still in good shape.

Further thoughts on a potential USM acquisition

NSR Policy Quick Hit: ACP Amendment to FAA Fails to Launch, but a New Path Emerges

NSR Policy: How will Government Review a TMUS/VZ Purchase of US Cellular?

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