SoftBank reports $7.7 billion of quarterly net profit

SoftBank reports $7.7 billion of quarterly net profit

TOKYO

Japanese tech investor SoftBank Group on Nov. 12 posted a bumper quarterly net profit of $7.7 billion, returning to the black after net losses in the first quarter and the previous financial year.

The company's results often swing dramatically because it invests heavily in tech start-ups and semiconductor firms, whose share prices are volatile.

In July-September, SoftBank's net profit totalled 1.18 trillion yen, far higher than the 295 billion yen forecast by analysts.

The figure marked a turnaround from a net loss of 174.3 billion yen in April-June, which itself was an improvement on net losses in the previous three months.

SoftBank's bets on artificial intelligence and other tech innovations, championed by flamboyant founder Masayoshi Son, have made for rollercoaster earnings seasons.

Son has repeatedly said that "Artificial Superintelligence" will arrive in a decade, bringing new inventions, new medicine, new knowledge and new ways to invest.

"The gold rush of intelligence is upon us," he said in a recent speech.

SoftBank Group's 1.01 trillion yen net profit in the first half of this year stood in stark contrast to a whopping six-month net loss of 1.4 trillion yen in the same period a year ago.

The group said it had benefited in particular from higher market values for South Korean e-commerce giant Coupang and Chinese ride-hailing app DiDi Global.

SoftBank's Vision Fund has reportedly decided to invest $500 million into Open AI, the firm behind popular generative artificial intelligence chatbot ChatGPT.

Son has also predicted that AI personal agents will become available in a few years, to do everything from managing email accounts to serving as a mentor.