On August 5, 2019, SoftBank Corp. held its earnings results conference for the first quarter of the fiscal year ending March 31, 2020. President & CEO Ken Miyauchi discussed financial highlights, including the impact of consolidating Yahoo Japan as a subsidiary on July 27, 2019.
Diversifying revenue sources, acquiring high credit ratings
Covering the financial highlights, Miyauchi noted that for the April 1 to June 30, 2019 period revenue increased by 6% year-on-year to 1,164.9 billion yen, operating income was up by 4% to 268.9 billion yen and net income increased by 2% to 164.8 billion yen. Mobile communications and broadband drove growth, and the Consumer, Enterprise and Distribution segments all saw steady sales increases, while consolidating Yahoo Japan as a subsidiary helped diversify revenue sources. Miyauchi also stressed that SoftBank Corp. acquired high credit ratings, with Rating and Investing Information, Inc. (R&I) and Japan Credit Rating Agency, Ltd. (JCR) awarding A+ and AA- ratings, respectively.
Miyauchi commented, “It’s been two years since we shifted to our ‘Beyond Carrier’ strategy and now we’re starting to see the results.”
Enterprise segment leveraging technologies to solve Japan’s social issues and drive growth
Miyauchi then turned his attention to SoftBank World 2019, an event for enterprise customers that took place in Tokyo on July 18 and 19. The event, which showcased the Enterprise segment’s solutions for various industries, was highly attended and watched online. Miyauchi said that 17 of 35 digital transformation projects in progress are expected to be monetized by fiscal 2020, and that SoftBank Corp. will aim to double profits for the Enterprise segment.
With Yahoo Japan’s big data and the SoftBank Group’s AI companies, SoftBank Corp. will “create a future that others can’t imitate” by leveraging 5G
Miyauchi touched on 5G, which SoftBank Corp. is planning to launch commercially in 2020. He talked about pre-service events that enable participants to experience the power and speed of 5G and noted plans to mutually use base station assets with KDDI in rural areas starting this autumn. “5G has the potential to fundamentally change the world. We’re going to work aggressively to build out 5G connectivity so we can solve social issues in Japan,” he noted.
In closing, Miyauchi expressed his determination to “create a future that others can’t imitate” by driving synergies between Yahoo Japan’s big data resources, SoftBank Corp.’s 5G network and AI companies in the SoftBank Group’s portfolio to further digitalize industries.
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(Posted August. 5, 2019, updated August. 8, 2019)
by SoftBank News Editors
