Analysis of business results & financial statements · Quý 2/2026
▼ Slightly negative
Trailing net profit reached 37.0bn, rose 1.1bn compared with the same period last year. Key positives came from lower finance costs, better other profit, and lower selling expenses. Offsetting pressure came mainly from lower gross profit, lower financial income, and higher administrative expenses. Detailed impact is shown below:
See what is changing ↓- P/E
- 6.61x
- P/B
- 0.96x
- EPS
- 1,574
- BVPS
- 10,801
- ROE
- 15.7%
- ROA
- 2.9%
- Market price
- 10,400 02 Oct 2026
The current picture
What Is Changing
On a TTM 2026Q2 basis, NTT shows virtually no significant change versus the same period — both revenue and margins are holding near prior levels — margins have been expanding consistently over multiple periods. More notably, operating cash flow is significantly negative relative to profit — this is pressure that needs close monitoring.
Profit bridge
Vs last year · TTM
- Finance costs
- Other profit
- Selling expenses
- Gross profit
- Financial income
- Administrative expenses
Across periods
A single data point, or a trajectory?
Latest eight quarters · Quý 2/2026
| Metric | Q2'26 | Q1'26 | Q4'25 | Q3'25 | Q2'25 | Q1'25 | Q4'24 | Q3'24 |
|---|---|---|---|---|---|---|---|---|
| Revenue | 425.1 | 322.3 | 372.1 | 339.9 | 417.7 | 396.5 | 385.1 | 285.2 |
| LNST | 11.0 | 15.6 | 5.5 | 4.8 | 11.2 | 17.5 | 2.6 | 4.5 |
| Net margin | 2.60% | 4.84% | 1.48% | 1.43% | 2.67% | 4.42% | 0.69% | 1.60% |
Revenue
425bnNet income
11bnNet margin
2.60%Inside the statements
A closer look at what is happening inside the business
A company's statements are read with the questions that fit its type of business.
Is the profit sustainable?
Accounting profit is positive but operating cash flow has not caught up — needs more time to confirm.
Revenue Growth
●Is growth real and durable?
Trailing-12-month revenue declined 1.7% year on year — but the quarterly pace is slowing (+19% → +2%).
2 of the last 4 quarters grew year on year.
- Revenue TTM
- 1,459bn −1.7%
- Latest quarter YoY
- +2% slowing
What is driving the margin?
●Net margin stands at 2.54%, broadly flat versus the same period. Supportive factors and pressure points are offsetting one another.
Margin is nearly flat but the underlying components are moving — this is a transitional phase, more time is needed to see the real trend.
- Net Margin
- 2.54% +0.1pp
- Gross Margin
- 8.31% −0.2pp
- SG&A / Revenue
- 3.20% −0.1pp
TTM YoY · 2025Q2 -> 2026Q2
Cash Flow
▼▼Is profit converting into cash?
High leverage combined with negative cash flow reveals the actual liquidity pressure. Operating cash flow reached -36.9bn against investing cash flow of -13.2bn (annual cash-flow figures for 2025).
Post-investment cash flow was negative +50.1bn. Financing cash flow was positive +67.0bn.
CFO / net income was −7,36 lần.
After spending +44.5bn on fixed-asset investment, the business generated trailing free cash flow of −316.9bn.
Earnings Quality
▲How much income is non-core?
About 90% of pre-tax profit comes from core operations.
Within that, net financial result at −68.9%, other profit at +9.7% of PBT.
- Non-core / PBT
- 9.7% low
- Net financial / PBT
- −68.9%
- Other profit / PBT
- 9.7%
Is capital being used efficiently?
Capital efficiency should be read in industry context — ROIC may fluctuate with business specifics.
Is capital being deployed efficiently?
●Track how much operating profit the business generates on invested capital.
Industry characteristics make ROIC cyclical — this is a reference signal and should be read with the business context.
Working Capital Efficiency
▼▼Cash conversion cycle lengthened by 39.3 days versus the same period last year. The main moves came from DIO rose 1.9 days, DSO rose 10.9 days, and DPO fell 26.6 days.
All 3 drivers are deteriorating — working capital is becoming more deeply tied up in the operating cycle.
CCC is up by +39.3 days, indicating weaker working-capital turnover versus the prior year.
DSO increased by +10.9 days, pointing to slower receivables turnover.
DuPont
What drives ROE?
ROE fell from 17.9% to 15.7% — dragged by leverage and asset turnover together, though net margin still provided support.
Is financial risk significant?
High leverage combined with negative operating cash flow — this area needs close monitoring.
Leverage & Liquidity
▼▼Leverage warrants monitoring, with net debt / equity at 2.72x and interest coverage only at 0.99x.
At present, short-term debt accounts for 68.0% of total debt, cash equals 3.4% of debt, and total debt stands at 713.7bn.
- Net Debt / Equity
- 2.72x +0.57x
- Interest Coverage
- 0.99x +0.10x
- Cash / Debt
- 3.4% −9.2pp
- Short-term Debt / Total Debt
- 68.0% −2.6pp
TTM YoY · 2025Q2 -> 2026Q2
Net debt / equity stands at 2.72x, increasing balance-sheet pressure.
Interest coverage is 0.99x, leaving limited room to absorb financing costs.
Balance Sheet
▼▼Leverage is very high, with clear pressure on the capital structure — liabilities at 3.95x equity, net debt at 2.72x equity.
Inventory ended the period at 239.4bn, roughly 21.3% of total assets.
Over the last 12 months, working capital released 0.0bn of cash.
In summary
Research synthesis
What this reporting period is showing
The business is showing a few weaker signals, but the current magnitude is not yet clear enough to conclude that this is a broader weakening phase. The next item to monitor is capital efficiency. The main risk still sits in leverage and liquidity, with interest coverage at 0.99x.
- Watchpoint: Capital efficiency needs cycle context.
- Key risk: leverage and liquidity still require discipline, with interest coverage only at 0.99x.
What to verify next
Questions for the next period
Whether revenue stabilizes after a −1,7% YoY decline or keeps falling.
Whether margins hold around the current 2.54% level or narrow again.
Whether operating cash flow holds its -36.9bn (cumulative for 2025) level in upcoming periods or weakens.
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