Demand for iPhones drives Softbank's profits in fiscal first-quarter

28 Jul 2011

Softbank Corp has reported a five-fold increase in net income for its fiscal first-quarter ending 30 June 2011 to a record JPY94.79 billion (USD1.22 billion), from JPY19.44 billion in the same period a year earlier, driven by strong demand for iPhones and iPads. Commenting on the results Softbank CEO Masayoshi Son said: ‘The solid growth in average per-user revenue and subscribers are behind our stable profits. I believe this trend will continue for some time.’ With strong sales of Apple devices continuing to underpin earnings, Son added: ‘The iPhone’s strength is standing out the more people come to use smartphones’. Softbank booked quarterly operating profit of JPY175.83 billion, up 12% from JPY156.60 billion a year earlier, while revenue rose 9% year-on-year to JPY764.24 billion. Softbank said average per-user revenue (ARPU) for the April-June quarter declined to JPY4,210 per month from JPY4,290 in the corresponding period a year ago. However, data ARPU increased to JPY2,440 from JPY2,250, aided by the aforementioned rise in iPhone users, who typically generate more revenue from data traffic.

Japan, SoftBank Group Corp