TOKYO (AP) – Japanese investor SoftBank Group reported yesterday that it sank into a deep loss for the October-December quarter, slammed by the global plunge in technology shares.
SoftBank Group Corp racked up a JPY783 billion (USD5.9 billion) loss for the fiscal third quarter, a reversal from the JPY29 billion profit recorded the same period a year ago.
SoftBank invests in hundreds of companies, including mobile carrier SoftBank, web services provider Yahoo, vehicle-for-hire company Didi and Chinese e-commerce giant Alibaba.
It also runs the Vision Fund that includes other global investors.
SoftBank Group recorded nearly JPY512 billion (USD3.9 billion) in losses on investments during the quarter, as prices of its shareholdings and funds nose-dived, it said.
Various uncertainties have slammed Japanese companies recently, such as soaring material costs and rising interest rates.
Quarterly sales edged up six per cent on year to JPY1.69 trillion.
Over the last year, Tokyo-based SoftBank Group raised money using Alibaba shares and selling shares in European telecommunications company T-Mobile, while exiting or partially exiting companies like Uber, according to the company.
Earlier this month, group company Z Holdings decided to merge the messaging app company Line and Yahoo Japan, a move aimed at boosting synergies and better focusing on products.
SoftBank’s charismatic founder and chief executive Masayoshi Son has often managed to put a positive spin on his vision, even in the most challenging times.
He has said putting your money on artificial intelligence, massive data and robotics will pay off as paving the way for future innovation.