SoftBank Group Expected to Report Lower First-Quarter Net Profit

Dow Jones08-05 11:49
 
 

SoftBank Group is scheduled to report its first-quarter results on Thursday. Here's what you need to know:

 

NET PROFIT FORECAST: SoftBank Group's net profit is expected to have fallen 70% to 125.9 billion yen, equivalent to $798.2 million, for the three months ended June, according to a poll of analysts by Visible Alpha. The Japanese technology investment company reported net profit of Y421.82 billion in the year-earlier period.

 

The stock has risen 19% year to date through Tuesday, following a 92% surge in 2025. Shares have been driven by hopes that artificial intelligence-related demand will boost earnings of its investees such as Arm Holdings.

 

WHAT TO WATCH:

--Its Vision Funds business recorded a profit of Y6.445 trillion for the year ended March thanks to gains in its OpenAI investment, compared with a loss of Y115.02 billion the previous year. Investors will be focusing on further signs of recovery in its tech funds business.

--SoftBank Group said in June it planned to offer cybersecurity services in Japan, through its joint venture with OpenAI, the creator of ChatGPT. Investors will be watching for updates on the joint venture and any other initiatives with OpenAI.

--In late May, SoftBank Group unveiled a $52 billion data-center plan in France to tap the country's nuclear-driven power surplus and diversify its data-center footprint outside the U.S. and Japan. Investors will be paying attention to any updates on the French project and any other data center-related investments.

 
 

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