Softbank reports 7% rise in Q2 net profit, forecasts full-year growth

29 Oct 2008

Japanese fixed, broadband and wireless operator Softbank Corp has posted a 7% rise in net profits for its fiscal second quarter ended 30 September, driven by a strong performance from fixed line and internet operations, and forecast a 5% growth for the full year. Group earnings were bolstered by a lower cost base, the company said, although net income from the operator’s main cellular business contracted after it cut call costs in a competitive market. Softbank Mobile, which unveiled the now ubiquitous Apple iPhone in July this year, posted quarterly operating profit of JPY94.9 billion (USD957 million), compared with JPY89 billion in the corresponding period of 2007, aided by a strong performance at its 41%-owned Yahoo Japan Corp unit. Softbank is now forecasting full year operating profit of JPY340 million for the year to 31 March 2009, up 4.8% year-on-year, but below the JPY355 billion figure in a Reuters’ poll of 13 analysts.

Japan, SoftBank Group Corp