SoftBank has announced its consolidated financial results for the first quarter of the fiscal year, reporting strong performance and progress on strategic initiatives designed for long-term growth. The company’s results show notable year-on-year improvements across key financial metrics.
For the three months ended June 30, 2024, SoftBank reported:
- Revenue: ¥1,535,722 million, a 7.4% increase year-on-year.
- Operating income: ¥303,927 million, up 23.4%.
- Profit before income taxes: ¥273,912 million, a 10.2% rise.
- Net income: ¥200,569 million, an increase of 15.5%.
- Net income attributable to owners of the company: ¥162,510 million, up 10.8%.
- Total comprehensive income: ¥222,448 million, growing by 15.0%.
Basic earnings per share rose to ¥34.32 from ¥30.99 in the same period last year.
SoftBank attributes its growth to its long-standing corporate philosophy, “Information Revolution—Happiness for everyone,” and its ambition to play a central role in building next-generation social infrastructure for a digital society. The company is prioritizing data processing capacity and power infrastructure to meet the expanding demands driven by AI and broader digital adoption.
Market trends
Despite geopolitical tensions, yen depreciation, and inflationary pressures, Japan’s economy is showing modest recovery. The COVID-19 pandemic accelerated digital adoption—telework, online commerce, and contactless payments have become widespread—highlighting the need for digital transformation across corporations and government. These shifts create demand for infrastructure and services where SoftBank is well positioned to contribute.
Under its Medium-term Management Plan, SoftBank seeks to rebuild its business foundation and reach record-high profitability. Central to this plan is the Beyond Carrier growth strategy, which focuses on:
- Expanding telecoms: Strengthening collaboration between telecom operations and other group businesses to increase user engagement and generate synergies across services.
- Generative AI investments: SoftBank has secured approval from the Ministry of Economy, Trade and Industry for initiatives to ensure a stable supply of cloud-based AI services. This program involves approximately ¥150 billion in capital expenditure to build new AI computing platforms across multiple domestic sites, with an expected subsidy of up to ¥42.1 billion.
Major initiatives
- Stock split and shareholder benefits: A 10-for-1 stock split is scheduled for October 1, 2024. In addition, a new shareholder benefits program will provide PayPay Points to long-term shareholders.
- 5G collaboration: In May 2024, SoftBank and KDDI Corporation agreed to deepen cooperation on 5G network deployment, expanding coverage from rural areas to nationwide reach and assessing the reuse of 4G base station assets.
- AI and digitalization: With digital transformation accelerating, SoftBank’s investments in AI and cloud infrastructure are positioned to support future growth and help Japan transition to a more digitally enabled society.
As of June 30, 2024, SoftBank reported total assets of ¥15,690,883 million and total equity of ¥3,912,144 million, resulting in an equity ratio of 15.0%. For the fiscal year ending March 31, 2025, the company’s outlook anticipates revenue of ¥6,200,000 million, operating income of ¥900,000 million, and net income attributable to owners of the company of ¥500,000 million.
By advancing digitalization and investing in next-generation technologies, SoftBank aims to maintain its growth trajectory and contribute to the infrastructure needed for a data-driven society.
(Photo by Possessed Photography)
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