Japanese tech conglomerate SoftBank returns to profit after record losses
- SoftBank’s net income hit US$11.8 billion for the quarter ended June 30, up from a loss of US$13.6 billion three months earlier
- A global rally in technology shares lifted the value of SoftBank’s stakes in listed companies like Uber and improved the prospects for start-ups in its portfolio, such as Didi Chuxing
Tokyo-based SoftBank reported net income of 1.26 trillion yen (US$11.8 billion) for the quarter ended June 30, following a loss of 1.44 trillion yen three months earlier. The profit was boosted by more than 1 trillion yen in one-time gains from the sale of Sprint Corp and shares in T-Mobile US.
Son has shifted his attention to investments in recent years after building his fortune in the telecommunications sector. The asset management initiative expands on previous efforts like the US$100 billion Vision Fund, which he set up three years ago to take stakes in start-ups. The new arm has already bought shares in Apple, Amazon.com and Facebook.
“As an investment company, we need to explore various angles and scope. But our focus is still on companies driving the information revolution,” Son said. “This is the purpose of our company.”
SoftBank will own 67 per cent of the asset management firm, while Son personally will own the rest. The unit has about US$555 million in capital, he said.
