SoftBank Group (TYO: 9984) reported a stunning 2.5 trillion yen ($16.6 billion) quarterly profit — more than double last year’s figure — as Masayoshi Son’s bold bet on OpenAI delivered major valuation gains.
The surge marks SoftBank’s best quarter since 2022, reinforcing its position at the center of the global AI investment wave.
🔹 Key Highlights
- 💰 Q2 Net Profit: ¥2.5 trillion ($16.6B), up from ¥1.18 trillion a year earlier
- 🚀 Vision Fund Gain: ¥3.5 trillion — driven mainly by OpenAI holdings valued at ¥2.16 trillion
- 💵 Total Investment in OpenAI: Projected to reach $34.7 billion by end-2025
- 💹 Stock Split: 4-to-1 split announced after SoftBank shares quadrupled in six months
“The risk of not investing is far greater than the risk of investing,” said CFO Yoshimitsu Goto, underscoring SoftBank’s continued conviction in AI.
🔹 Strategic Moves
- 🔄 Divestments:
- Sold remaining NVIDIA stake for $5.83B
- Trimmed T-Mobile holdings for $9.17B
- 💵 Fundraising:
- Issued bonds in yen, USD, and euros totaling $6.4B+
- Secured $8.5B bridge loan for OpenAI investment
- Arranged $6.5B bridge loan for semiconductor firm Ampere
- 🧠 OpenAI Exposure:
- Led a $40B round at a $300B valuation (March)
- Joined consortium buying $6.6B in employee shares at a $500B valuation (October)
🔹 AI Boom — or Bubble?
While SoftBank has emerged as one of AI’s biggest winners, skepticism remains.
Investors warn that valuations may outpace earnings potential, and OpenAI’s losses are rising, even as its market value soars.
Still, Son’s AI-first strategy has transformed SoftBank from a telecom-tech hybrid into a pure-play AI powerhouse, echoing his earlier success with Alibaba, though his WeWork losses remain a cautionary tale.
“SoftBank’s earnings reflect a high-conviction pivot — selling mature tech holdings to double down on the next paradigm: artificial intelligence.”