ソフトバンクＧ、純利益が３兆円　日本企業過去最高　４～１２月期

Softbank G, net income of 3 trillion yen, record high for Japanese companies

SoftBank Group Corp. (SBG) announced on the 8th that its net income for the April-December period of 2020 was 3.55.1 trillion yen, more than six times that of the same period of the previous year. According to SMBC Nikko Securities, it is the highest ever for Japanese companies, including full-year financial results. The value of the investee companies of the investment funds under its umbrella has increased, resulting in huge unrealized gains. However, looking at the contents of the stock holdings, China's "political risk" seems to be the key to whether it will continue to move smoothly.

Among the group companies, Softbank, a major mobile phone company, was strong, and sales increased 6.1% year-on-year to 4,138 billion yen.

Regarding the performance of SBG, the investment business was hampered last year due to the huge loss caused by the deterioration of the management of the major US share office "WeWork". This term, it looks like it has recovered rapidly due to the global stock price rise.

Eight companies, including "DoorDash," a major rice delivery company, are listed on the "SoftBank Vision Fund," which is under the umbrella of the company. The stock price of Uber Technologies Inc., a major US ride-hailing company, was also strong, with an unrealized gain of 1.5 trillion yen. The value of unlisted companies invested in has also increased, and Chairman and President Masayoshi Son said at a press conference on the 8th that "the harvest season has finally begun." SBG's stock price closed at 9485 yen on the 8th, the highest since the 2000 IT bubble.

Although it seems that it has returned to the growth trajectory, there are also blind spots. Mr. Son emphasizes the total value of his stocks rather than profits, but Alibaba, a major Chinese IT company that accounts for more than 50%, is exposed to political risks in China. Stock prices have fallen by more than 10% since the end of October last year due to the postponement of listing of the affiliated financial company Ant Group and the tightening of regulations from the Chinese government. There is a question mark on medium- to long-term growth. It can be said that China's policy changes could affect SBG's management.

Source: https://digital.asahi.com/articles/DA3S14793815.html