Date: 7th August 2019
SoftBank Corp reported a 4 percent increase in operating profit for the first quarter of the year on Monday as a result of an increase in mobile users. The profit figure replicated the estimates of analysts.
Analyst’s average estimate for the company’s first-quarter performance was 268 billion yen operating profit. SoftBank’s operating income stood at 268.9 billion yen.
As the telco company launched a plan targeted towards heavy data users, the subscribers count increased by 372,000 in the last three months. The forecasted earnings before tax and interest was retained at 890 billion yen by the company, which is 9 percent greater than that of the previous year.
Shares of the company were 0.5 percent down recently. The company also turned Yahoo Japan Corp into its subsidiary in order to support its expansion plans. It recently increased its stake in the internet company to do so.
The telco company’s share listing was the largest in Japan. It came as SoftBank Group Corp, the parent company, looks into investing in technology. It is planning to develop a platform for self-driving vehicles in collaboration with Toyota Motor.
Ventures such as this will need the 5G network which is expected to start in Japan in the coming year. Ken Miyauchi, Chief Executive of the company, said in a statement that the 5G service will bolster growth in the economy and will clear doubts on whether the Japanese market has reached its maturity.
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