NTT DoCoMo on Wednesday said quarterly operating profits jumped 45 per cent as Japan’s largest mobile operator benefited from a reduction of handset subsidies and focused on retaining customers.

Operating profits rose to Y296.5bn ($2.75bn) for the April-June quarter, with the change in the business model to cutting subsidies and selling handsets in instalments more than offsetting a decline in revenue from discount plans. The picture would even out over time, an analyst said.