We would like to express our heartfelt sympathy to
all those affected by COVID-19
Our responsibility
as a telecommunication carrier
Work from home
Closed schools
Stay at home
Businesses asked to close
Travel restrictions
Cancelled events
Connecting people to people
Offering students and | Providing digital | |||||
children additional | materials for | |||||
data free-of-charge | remote learning | |||||
for communication | free-of-charge | |||||
Providing 2,000
smartphones to the Diamond Princess cruise ship
How we are helping
Providing remote | Extending deadline | Over 90% of | ||||||||
working solutions | ||||||||||
employees | ||||||||||
for enterprises | for payment of | |||||||||
working from home | ||||||||||
free-of-charge | communication bills | |||||||||
(Tokyo HQ base) | ||||||||||
(For a certain period) | ||||||||||
Continue to support social infrastructure
Our Priority Issues (Materiality)
for SDGs Management
Sustainable Development Goals (SDGs)
9
Corporate Philosophy
Information Revolution
- Happiness for Everyone
10
Consistently pursue "social contribution
through the Information Revolution"
2008~
2000~ Smartphones 1995~ Mobile phones
1990~Internet
PC | 11 |
CommunicationDigital technology
innovationtransformation
4G → 5G
AI・IoT・Robotics
Largest paradigm
shift ever
Work style reform | Climate Change |
Diversity, decline of working population, | Environmental pollution and |
depletion of resources | |
remote working | |
12
Our Materiality
Priority Issues
Contribute to achieve SDGs
13
Building society and
industry through
digital transformation
Create new industries and provide solutions for transforming various businesses in society by utilizing cutting-edge technologies such as 5G and AI.
14
Connecting people
and information
to create new excitement
Provide new experiences and enrich the lifestyles of our customers by promoting the adoption of smart devices. Concurrently, create value for both consumers and enterprises by providing partners with attractive platforms that connect people to information.
15
Creating new business
through open innovation
Develop cutting-edge technologies and innovative business models in Japan by leveraging our relationships with global leading innovative companies. Concurrently, promote the development of a highly-skilled workforce and the establishment of an organization that supports the expansion and penetration of new businesses.
16
Contributing to the global environment
with the power of technology
Contribute to mitigating climate change, promoting a circular economy and the adoption of renewable energy by utilizing cutting-edge technologies to pass on a sustainable global environment to the next generation.
17
Building high-quality social communication networks
Commit to maintaining a constantly-connected and stable network and to protecting our customers' important data, as communication networks serve as a lifeline.
18
Developing a resilient
management foundation
Conduct corporate governance with integrity to earn the trust of society through ongoing dialogue with stakeholders. In addition, foster innovation and improve the well-being of our employees by developing a progressive workplace environment where diverse human resources can thrive utilizing cutting-edge technologies.
19
business | through issues | social Solving |
activities corporate | through issues | social Solving |
Materiality
SoftBank Priority Issues
Building society and | Connecting people and | Creating new business | ||
industry through | information to create | through open | ||
digital transformation | new excitement | innovation | ||
Contributing to the global | Building high-quality | Developing a resilient | ||
environment with the | social communication | management | ||
power of technology | networks | foundation | ||
20
A world where all things, information
and minds are connected
21
Earnings Results for the Fiscal Year
Ended March 31, 2020
SoftBank Corp.
May 11, 2020
Disclaimer
Important Notice Regarding Forward Looking Statements and Other Information
This document is based on the information available to SoftBank Corp. ("we" or "the Company") as of the time hereof and assumptions which it believes are reasonable. Statements contained herein that are not historical facts, including, without limitation, our plans, forecasts, strategies and beliefs about our business and financial prospects, are forward-looking statements. Forward-looking statements often include the words such as "targets", "plans", "believes", "hopes", "continues", "expects", "aims", "intends", "will", "may", "should", "would", "could" "anticipates", "estimates", "projects" or words or terms of similar substance or the negative thereof. These forward-looking statements do not represent any guarantee by us or our management of future performance or of any specific outcome are subject to various risks and uncertainties, including, without limitation, general economic conditions, conditions in the Japanese telecommunications market, our ability to adopt new technologies and business models, competition with other mobile telecommunications providers, our ability to improve and maintain our telecommunications network, our reliance on third parties in conducting our business, including SoftBank Group Corp. and its other subsidiaries and associates, our major vendors and suppliers, and other third parties, risks relating to M&A and other strategic transactions, risks relating to information security and handling of personally identifiable information, changes in the substance and interpretation of other laws and regulations and other important factors, which may cause actual results to differ materially from those expressed or implied in any forward-looking statement. The Company expressly disclaims any obligation or responsibility to update, revise or supplement any forward-looking statement in any document or generally to the extent allowed by law or stock exchange rule. Use of or reliance on the information in this material is at your own risk. Information regarding companies other than the Company and our subsidiaries and associates is quoted from public sources and others, and we have neither verified nor are we responsible for the accuracy of information. The information presented herein regarding certain joint ventures and collaborations of the Company, Vision Fund and SoftBank Group Corp. portfolio companies and investments has been selected on a subjective basis, is provided solely for illustrative purposes and does not purport to be a complete listing of all such collaborations or joint ventures. SoftBank Group Corp., the Company and the Vision Fund each have different strategies and objectives with respect to their investments and portfolio company operations. There is no guarantee that any joint venture will be consummated on the terms expressed herein or at all, or that the joint venture will be successful. All such plans are subject to uncertainties and risks, as well as investor consents and regulatory approvals, as applicable. References to such portfolio companies and investments should not be a recommendation of any particular investment.
Important Notice Regarding Trading of SoftBank Corp. Common Stock and Unsponsored American Depository Receipts
The Company encourages anyone interested in trading in its common stock to do so on the Tokyo Stock Exchange. The Company's disclosures are not intended to facilitate trades in, and should not be relied on for decisions to trade, unsponsored American Depository Receipts ("ADRs") representing the shares of its common stock. The Company has not and does not participate in, support, encourage, or otherwise consent to the creation of any unsponsored ADR programs or the issuance or trading of any ADRs issued thereunder. The Company does not represent to any ADR holder, bank or depositary institution, nor should any such person or entity form the belief, that (i) the Company has any reporting obligations under the U.S. Securities Exchange Act of 1934 (the "Exchange Act") or (ii) the Company's website will contain on an ongoing basis all information necessary for the Company to maintain an exemption from registering its common stock under the Exchange Act pursuant to Rule 12g3-2(b) thereunder. To the maximum extent permitted by applicable law, the Company disclaims any responsibility or liability to ADR holders, banks, depositary institutions, or any other entities or individuals in connection with any unsponsored ADRs representing its common stock.
Consolidated Results
Fiscal Year 2019
24
Revenue | |||
[JPY bn] | 4,656.8 | 4,861.2 | |
4,500.0 | |||
ZHD impact | |||
4,000.0 | 3,746.3 | 910.5 | |
3,500.0 | |||
3,000.0 | |||
2,500.0 | |||
2,000.0 | |||
1,500.0 | |||
1,000.0 | |||
500.0 | |||
0.0 | |||
FY2018 | FY2018 | FY2019 |
(Prior to ZHD adj) (Post ZHD adj)
Up 30%
(Post ZHD adj, Up 4%)
(Notes) | |
Actuals for FY2018 have been adjusted retrospectively to have | |
consolidated Z Holdings Corporation (formerly Yahoo Japan Corporation, | |
hereinafter "ZHD") from April 1, 2018. | 25 |
"Yahoo" is used as the segment name when referring to ZHD business. |
Revenue by Segment
[JPY bn] | 4,656.8 | 4,861.2 | |||
4,500.0 | |||||
954.4 | 1,052.9 | Yahoo | |||
4,000.0 | |||||
Distribution, | |||||
472.7 | |||||
3,500.0 | 401.4 | ||||
others | |||||
3,000.0 | 620.5 | 638.9 | Enterprise | ||
2,500.0 | |||||
2,000.0 | |||||
1,500.0 | 2,680.5 | 2,696.7 | Consumer | ||
1,000.0 |
500.0
0.0
Increased
across all segments
FY2018FY2019
(Post ZHD adj)
(Note) Actuals for FY2018 have been adjusted retrospectively to have | 26 |
consolidated ZHD from April 1, 2018 | |
Operating Income
[JPY bn] | 911.7 | ||
9,000 | 818.2 | ||
8,000 | 719.5 | ZHD impact | |
98.7 | |||
7,000 | |||
6,000 | |||
5,000 | |||
4,000 | |||
3,000 | |||
2,000 | |||
1,000 | |||
0 | |||
FY2018 | FY2018 | FY2019 |
Up 27%
(Post ZHD adj, Up 11%)
(Prior to ZHD adj) (Post ZHD adj) | (Note) Actuals for FY2018 have been adjusted retrospectively to have | 27 |
consolidated ZHD from April 1, 2018 |
Operating Income by Segment
[JPY bn]
865.0
765.0
665.0
565.0
465.0
365.0
265.0
165.0
65.0
-35.0
818.2
135.9
15.2
76.3
627.4
-36.7
911.7
152.3 Yahoo
17.2 Distribution
83.6 Enterprise Increased
across all segments
647.3
Consumer
11.4 Other, Adjustment
FY2018 | FY2019 | (Note) Actuals for FY2018 have been adjusted retrospectively to have | 28 |
(Post ZHD adj) | consolidated ZHD from April 1, 2018 | ||
SoftBank Growth Strategy
New
Business
Fields
Beyond Carrier
AI / Technologies
Cutting-edge business models
Yahoo
Telecom Business
Smartphone subscriber growth | Broadband subscriber growth | New infrastructure | 29 |
Telecom Business
30
Consumer: Revenue
[JPY bn] | 2,680.5 | 2,696.7 | ||
2,611.9 | ||||
Sales of goods | ||||
2,500.0 | ||||
636.1 | ||||
706.5 | 690.8 | and others | Revenue from handset sales declined | |
2,000.0 | Telecom Service Revenue | |||
316.3 | 361.1 | 383.8 | Broadband | |
(Mobile and Broadband) | ||||
1,500.0 | Up 4% | |||
1,000.0 | ||||
1,589.0 | 1,628.6 | 1,676.8 | Mobile | |
500.0 | (Year on Year) | |||
0.0 | ||||
FY2017 | FY2018 | FY2019 |
31
FY2019 Initiatives
Promoting multi-brand strategy
Enhanced service plans | Enhanced service plans | Sales expansion | ||
5G launch | Sales expansion | |||
Strengthened collaboration with
Yahoo and PayPay
Initiatives to maintain and improve
communication quality
32
(Note) All prices exclude tax unless otherwise noted.
Large Capacity
Merihari PlanSince March 2020
Subjective video and SNS | Data capacity |
Unlimited*1 50GB
There might be speed limit depending on timing
Including subjective video and SNS | Discount at |
2 GB or less | |
¥1,500 /month |
*1 Applicable only to eligible services. There are cases unlimited video and SNS is not applied within the eligible services. There are device models that are not eligible for unlimited video and SNS.
Smartphone Debut
Smartphone Debut Plan
Since June 2019
Voice and Data
Basic | ¥ 980/month*3 | |
(12 months) | ||
*2 | ||
Domestic calls within 5 minutes + 1 GB data | ||
Extensive support | ||
Smartphone advisors | Simple smartphones | |
*2 The plan is for migration from feature phones to smartphones (MNP/upgrades). The rate applies from the | |
2nd month, including the basic voice call plan, option for semi-flat-rate voice calls, and 1 GB data with the | |
First Year Discount and Small Capacity Discount, excluding handset payments. Rate becomes ¥1,980 | 34 |
/month after 14 months. In case of 5G smartphones, rate becomes ¥2,980 /month after 26 months. | |
*3 Certain phone numbers, such as numbers beginning with 0570, may not be eligible. |
Large Capacity | Smartphone Debut | |
Merihari PlanSince March 2020 | Since June 2019 | |
Smartphone Debut Plan | ||
Q. At what level are you satisfied with | Number of subscribers | |
Merihari plan? | 100,000 | More than 2 times |
80,000 | ||
90,000 |
Satisfied
91%
compared with prior plan
70,000 | ||||
60,000 | ||||
50,000 | ||||
40,000 | ||||
30,000 | ||||
Prior plan | ||||
20,000 | ||||
10,000 | ||||
0 | ||||
Mar 2019 | Jun | Sep | Dec | Mar 2020 |
(Note) Survey by SoftBank Corp. in April 2020. Survey | (Note) The number of smartphone subscribers to debut plan is monthly | 35 |
for customer satisfaction (n=700) | cumulative subscribers, excluding new subscribers to the student discounts. | |
Unbundled Plan
Enhanced Price Plans
Since Oct 2019
Simple plans with no cancellation fee
S M R
3GB /month 9GB /month 14GB /month
Sales Promotion
Dual Brand Shop Expansion
SoftBank and Y!mobile dual brand shops
expanding nationwide
c. 1,800 shops
1.5 times in 2 years
Free domestic voice calls *1
(up to 10 min per call)
Additional data campaign *2
(applicable for one year)
(Note) Unbundled plan refers to the price plan that separates service fees
and handset payments.
*1 For domestic calls exceeding 10 minutes per call, a separate call charge of ¥20 per 30 seconds will be applied. Some calls are not eligible for free. *2 For new users, upgrade users, or users changing from PHS plans, the additional data option (¥500 37 /month) is free for one year.
Unbundled Plan
Enhanced Price Plans
Since Oct 2019
Q. At what level are you satisfied with
Y!mobile price plans?
Satisfied
94%
Sales Promotion
Cumulative Subscribers
600Exceeded 5 mil
500
400
300
200
100
0
FY16 FY17 FY18 FY19
(Note) Survey by SoftBank Corp. in April 2020. Survey | 38 |
for customer satisfaction (n=2,600) | |
Customer Satisfaction
Q. At what level are you satisfied with
LINE MOBILE price plans?
Satisfied
93%
(Note) Survey by SoftBank Corp. in April 2020. Survey
for customer satisfaction (n=2,500)
Cumulative Subscribers
Since LINE MOBILE joined SoftBank family
100 | 2 times | ||||||||
80 | More than | ||||||||
90 | |||||||||
70 | |||||||||
60 | |||||||||
50 | |||||||||
40 | |||||||||
30 | |||||||||
20 | |||||||||
10 | |||||||||
0 | |||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | ||
FY2018 | FY2019 | 40 |
Collaboration with Yahoo and PayPay
Acquisition | Retention | ||
mobile service | |||
Award PayPay for subscription | Offer user benefit | *1 | |
bonus light | |||
Use Yahoo or PayPay as | Improve customer satisfaction |
a trigger for mobile subscription | by providing user benefits |
(Notes) All information is as of May 11, 2020. *1 Smart login is required. Some plans, such as those for enterprises, are not applicable. Some products are not eligible. | 41 |
The rewards of up to 10%, 20%, or 16% have terms and conditions of each campaign respectively. Please refer to the campaign and reward pages for details. |
Smartphone Cumulative Subscribers
[Mil] | 24.13 | 2.05 mil | ||
22.08 | ||||
net adds | ||||
2,000 | ||||
1,500
1,000
Up 9%
Net adds for all brands
500
0
FY2016 | FY2017 | FY2018 | FY2019 |
(Note) Including enterprise subscribers. 42
Smartphone Churn Rate
[%]
1.00%
0.86%
0.80%
0.83%
0.60% | 0.70% |
0.40%
0.20%
0.00%
FY2017 | FY2018 | FY2019 |
Record low
(Notes)
Churn rate = Number of churns / Number of active subscribers
Figures in graph show the average monthly churn rate for each fiscal year. 43
Initiatives to maintain and improve network quality
Traffic at peak time
Doubled1,200in 2 years
1,000 | ||
800 | ||
600 | ||
400 | ||
200 | ||
0 | ||
FY17 | FY18 | FY19 |
Maintained by indispensable daily
network efforts
Build additional base stations, actively use Massive MIMO technology, and make other efforts
44
The beginning of a new era where
everything is connected
45
SoftBank 5G Deployment
Maximize our technology strengths and collaborate with other companies
Promoting early 5G nationwide deployment
Using existing base stations
Nationwide
c. 230k locations
Massive MIMO
knowhow
Advantages of Massive MIMO
Number of antennas | Dedicated |
Maximum 64 times | signal is assigned |
of that of traditional | to each user for |
base stations | smooth experience |
SoftBank the first in the world to introduce technology
Operation technology
matured with 4G experience
Infrastructure sharing with KDDI
April 2020
Established JV with KDDI "5G JAPAN Corporation"
Sharing base station assets in rural areas
Accelerate 5G rollout
in rural areas
46
5G Deployment Plan
March 2020 End of FY2020 During FY2021 End of FY2021
Population
Nationwide | Stand Alone | coverage | |
(47 prefectures) | deployment | 90%+ | Ultra-low |
Launch | latency | ||
(10,000+ base stations) | (50,000+ base stations) | Mass machine | |
connections |
Ultra-high speed
Large capacity
47
A New Society with 5G
Ultra-low latency
Mass machine connections
Ultra-high speed
Large capacity
Smart home
Game | Face |
VR | authentication |
Remote
operation
Autonomous
driving
Unmanned
stores
Unmanned | |
Smart city | warehouse |
Security robot
Smart factory
48
Enterprise: Revenue
[JPY bn]
604.2
600.0
500.0
264.5
400.0
300.0
210.8
620.5 638.9
268.1 275.1
207.4 194.6
Enterprise total revenue | |
Mobile | Up 3% |
Business solution and | |
Fixed-line | Mobile grew steadily |
Fixed-line declined |
200.0
100.0 | 169.2 | ||||
128.9 | 145.0 | ||||
0.0 |
Business solution and others
FY2017 FY2018 FY2019
49
Enterprise: Revenue
[JPY bn] | 620.5 | 638.9 | ||
604.2 | ||||
Business solution and others | ||||
600.0 | ||||
500.0 | 268.1 | 275.1 | Mobile | Up 17% |
264.5 | ||||
400.0 | ||||
300.0 | Drivers include cloud, IoT, | |||
210.8 | 207.4 | 194.6 | Fixed-line | security and digital marketing |
200.0 | ||||
100.0 | 169.2 | Business solution | ||
128.9 | 145.0 | |||
and others | ||||
0.0 | ||||
FY2017 | FY2018 | FY2019 |
50
Enterprise: Business Solution Initiatives
Support digitalization of enterprises in various business
Cloud |
Revenue Up 36% YoY |
Promoted new |
enrollments and |
upgrades to higher plan |
IoT | Security |
Revenue Up 213% YoY | Revenue Up 167% YoY |
Fluorescent light integrated | |
security camera service | |
Remote monitor | |
for LP gas meters | |
Release and monetization | More than 1 mil IDs |
of new services | No.1 share in Japan |
Digital Marketing
Revenue Up 26% YoY
Further sales
collaboration with group companies
(Note) Cybereason is an end point security service. Share in Japan refers to number of IDs sold in Japan for end point security service. 51
Enterprise
Demand for digitalization of enterprises is increasing further
Remote access to corporate system
Internet access via VPN *1
Web conference | Voice calls |
*2
(Support Microsoft Teams)
6 times | 10 times | 2 times | |||
New connected IDs | New sign-ups | New connected IDs | |||
Feb 2020 | Mar 2020 | Feb 2020 | Mar 2020 | Feb 2020 | Mar 2020 |
*1 A service that enables access to corporate system with security from PCs | *2 An enhanced voice communication service of Microsoft Teams 52 |
and smart devices remotely |
Solve issuesfor enterprises and society through digital transformation
53
54
Yahoo: Revenue
[JPY bn]
1,000.0 | 954.4 |
800.0 | 301.9 |
600.0
400.0
652.5
200.0
0.0
1,052.9
307.7 Media
Up 10%
745.3 Commerce and Other
FY2018 | FY2019 | (Note) ZHD made ZOZO, Inc that operates ZOZOTOWN - an online fashion | |
shopping website - a subsidiary in November 2019, and FY2019 revenue | 55 | ||
in Commerce and Other includes five-months worth of ZOZO sales. |
Yahoo: Commerce Business
Made dynamic management decisions promptly
after becoming SoftBank subsidiary
New services
Acquisition of | Collaboration | X shopping concept |
ZOZO | with Yamato | Cross |
and others to be launched
56
Yahoo: e-Commerce Transaction Value | |||||
[JPY bn] | 2,269.4 | 2,593.6 | |||
25,000 | |||||
20,000 | Up 14% | ||||
15,000 | |||||
10,000 | Impact from ZOZO consolidation | ||||
(5 months) | |||||
and PayPay Mall launch, etc. | |||||
5,000 | |||||
0 | FY2017 | FY2018 | FY2019 | ||
FY2016 | (Source) ZHD Earnings Results Materials as of April 30, 2020 | ||||
(Note) Transaction value from ZOZO was added only after November | 57 | ||||
2019 after it became a consolidated subsidiary of ZHD |
Yahoo: Media Business
Collaborating with SoftBank to strengthen sales
Ad products | Sales | Effect |
Uplift | c. ¥4.4 bn | ||
FY2019 2H | |||
Ad placements | |||
Attractive | SoftBank Corp. | SoftBank sales network | |
Ad products | Enterprise sales | New clients |
Yahoo existing clients
Digital marketing subsidiary
INCUDATA Corp.Additional
ad placements
58 | ||
(Source) ZHD Earnings Results Presentation Materials, dated April 30, 2020 |
Yahoo Operating Income (ZHD consolidated operating income)
[JPY bn] | ZHD Consolidation | |||||
2,000 | 185.8 | June 2019 | ||||
1,800 | ||||||
1,600 | 152.3 | |||||
140.5 | ||||||
1,400 | Turnaround | |||||
1,200 | ||||||
1,000 | ||||||
after SoftBank consolidated ZHD | ||||||
800 | ||||||
600 | ZOZO consolidation impact | +8.9 | ||||
400 | Collaboration with SoftBank accelerated | |||||
200 | growth in Commerce and Media | |||||
0 | ||||||
FY2017 | FY2018 | FY2019 | (Note) Operating income of ZHD is a consolidated result of ZHD, and | 59 | ||
different from that of Yahoo segment of the Company. |
Communication | AI | IoT | Media/Advertisement |
Create a future that others cannot repeat
Commerce | Payment | FinTech | SNS |
(Note) Concluded definitive business integration agreement on December 23, 2019 60
Distribution and Other
61
Distribution
Expanded due to demand for PC replacement
Revenue | Operating income | ||||||
[JPY bn] | 482.4 | ||||||
300 | |||||||
4,500 | 417.3 | ||||||
347.1 | 250 | ||||||
4,000 | |||||||
3,500 | |||||||
200 | 17.2 | ||||||
3,000 | 15.2 | ||||||
13.3 | |||||||
2,500 | |||||||
150 | |||||||
2,000 | |||||||
100 | |||||||
1,500 | |||||||
1,000 | |||||||
50 | |||||||
500 | |||||||
0 | 0 | ||||||
FY2017 | FY2018 | FY2019 | FY2017 | FY2018 | FY2019 |
62
Other: Settlement Service Business
SB Payment Service Corp. Operating Income (Standalone)
Operating Income
60 | Up 60% | |||
80 | ||||
[JPY bn] | 6.9 | |||
70 | ||||
50 | 4.2 | |||
3.4 | Transaction value | |||
40 | c. ¥3.5 tn | |||
(FY2019) | ||||
30 | ||||
20 | ||||
10 | ||||
0 | ||||
FY2017 | FY2018 | FY2019 |
(Note) Operating income is on a JGAAP basis 63
Operating Income: Analysis of YoY Change | |
[JPY2,000 | bn] |
1,500 | |
818.2 | |
1,000 | |
500 | |
0 |
FY2018 | |
2018年度 | |
(Post ZHD Adj) | 64 |
Operating Income (YoY) | ||||
[JPY2,000 | bn] | |||
Consumer | ||||
1,500 | Up 19.8 bn | |||
Consumer | ||||
818.2 | +19.8 | |||
Mobile subscriber increase | ||||
1,000 | ||||
500 | Smartphone subs | +2.05 mil | ||
ARPU improvement | ¥ +60 | |||
0 |
FY2018 2018年度
(Post ZHD Adj)
(Notes) ARPU:average revenue per subscriber per | |
month (annual average for fiscal year), monthly discount | 65 |
and broadband service bundle discount included |
Operating Income (YoY) | ||||
[JPY2,000 | bn] | |||
Distribution | Enterprise and Distribution | |||
Up 9.2 bn | ||||
1,500 | +2.0 | |||
Consumer | ||||
818.2 | +19.8 | Enterprise | ||
Business solutions | ||||
+7.3 | ||||
1,000 | contributed to profit | |||
Distribution | ||||
Demand for PC replacement | ||||
500 | Enterprise | |||
Mobile subscriber increase | ||||
Some of business solutions | ||||
0 | contributed to profit | |||
FY2018 | |
2018年度 | |
(Post ZHD Adj) | 66 |
Operating Income (YoY) | |||||||
[JPY2,000 | bn] | ||||||
Distribution | Yahoo | Yahoo | |||||
Up 16.4 bn | |||||||
1,500 | +2.0 | +16.4 | |||||
Consumer | |||||||
818.2 | +19.8 | Enterprise | |||||
+7.3 | Commerce expansion | ||||||
1,000 | |||||||
Commerce | +24.9 | *1 | |||||
500 | |||||||
(impact from ZOZO | +8.9) | ||||||
0 |
FY2018 | ||
2018年度 | *1 refer to a year-on-year increase in Commerce Business in | |
(Post ZHD Adj) | 67 | |
the consolidated operating income of ZHD. |
Operating Income (YoY) | ||||||
[JPY2,000 | bn] | |||||
Other | Other | |||||
+48.1 | ||||||
Distribution | Yahoo | |||||
Up 48.1 bn | ||||||
1,500 | +2.0 | +16.4 | ||||
Consumer | ||||||
818.2 | +19.8 | Enterprise | ||||
+7.3 | Temporary factors | |||||
1,000 | including PayPay | |||||
500 | PayPay accounted for as equity method | +29.8 | ||||
Cybereason evaluation gain | +11.9 | |||||
Growth from settlement service business | ||||||
0 |
FY2018 | 2019年度 |
2018年度 | |
(Post ZHD Adj) | 68 |
Operating Income (YoY) | 911.7 | ||||
[JPY2,000 | bn] | ||||
Other | |||||
Yahoo | +48.1 | ||||
Distribution | |||||
1,500 | +2.0 | +16.4 | All segments contributed | ||
818.2 | Consumer | ||||
+19.8 | Enterprise | to growth | |||
+7.3 | |||||
1,000 | Up 11% | ||||
500 | |||||
0 |
FY2018 | FY2019 |
2018年度 | 2019年度 |
(Post ZHD Adj) | 69 |
Equity Method
Investments
70
P/L for Investments Using Equity Method
[JPY bn]
FY2018 | FY2019 |
(Post ZHD Adj) | Upfront expenditures | ||
increased for | |||
-16.3 | Shares of | future growth | |
profit/losses | |||
of associates | Gains on sales of | ||
accounted for | (New businesses including PayPay) | ||
equity method | |||
using equity | |||
method | investments/impa | ||
irment loss on | |||
-39.8 | equity method | ||
investments | |||
+13.7 | -42.4 | ||
71
SoftBank New Business Fields
Providing new value to society
72
New Business Fields FY2019 Initiatives
Focus on portfolio optimization of new businesses
Concentrated investment in
expanding businesses
Entering growth markets
Aggressive investment in PayPay | Digital marketing |
Established | AI map services |
AI image authentication | |
No. 1 position in | |
smartphone payments | and other areas |
AI-enabledtaxi-hailing | Community centric | MaaS | |||||
workspace | |||||||
DiDi | MONET | ||||||
WeWork | |||||||
73
Smartphone
Payment Service
PayPay
74
PayPay
Cumulative Registered Users
[Mil]
2.5
1.5
JPY10bn
Give out
campaign
0.5
0
Second
JPY10bn
campaign
Government
Consumer
Return* /
Convenient
PayPay
Maintain a high growth rate
Exceeded 28 mil
(April 2020)
(Source) Data by PayPay Corporation, collected from October 5, 2018 to April 30, 2020.
(Note) Number of registered users: number of accounts registered.
* Government Consumer Return refers to the Point Reward Project for Consumers using Cashless | |||
Oct 2018 | Apr 2020 | Payment, initiated by the Ministry of Economy, Trade and Industry, which is a subsidy program for | |
small and medium-sized enterprises and micro enterprises that wish to issue point rewards for | 75 | ||
consumers using cashless payment. This project aims to level demand after the consumption tax | |||
rate hike on October 1, 2019. |
PayPay | Cumulative number | ||||||
of payments | |||||||
Number4 of Payments per Quarter | 375 | 1,000+ mil *1 | |||||
[Mil] | |||||||
300 | Number of Payments | ||||||
17 times | |||||||
200 | |||||||
in one year | |||||||
100 | |||||||
21.6 | |||||||
0 | |||||||
Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | ||
FY2018 | FY2019 | (Source) Data by PayPay Corporation | 76 | ||||
*1 as of May 9, 2020 |
PayPay | |||||||
Number of Merchants | 2.15 | ||||||
[Mil] | |||||||
Number of Merchants | |||||||
1.5 | Exceeded 2 mil | ||||||
1.0 | |||||||
locations nationwide | |||||||
0.5 | 0.5 | ||||||
0 | |||||||
Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | (Source) Data by PayPay Corporation | |
FY2018 | FY2019 | ||||||
(Note) Number of merchants: number of applications to PayPay, including | 77 | ||||||
shops, taxies, etc. |
PayPay
To establish a revenue model with full-scaleentry into financial services
Personal loan | Business loan | Postpay (revolving payment) |
Investment | Insurance |
78
PayPay
Started trials for Postpay and Investment services
PayPay Postpay
Investment with PayPay Bonus
Users can shop using PayPay even if they do not have a PayPay balance
The payable amount will be collected in the following month
Started a trial investment service
using PayPay bonus
Plan to provide the service to | Plan to launch full- |
all users in summer 2020 | scale service |
operation
(Note) Postpay is a service provided by YJ Card Corporation | (Note) This is a service provided by One Tap BUY Co., Ltd. 79 |
PayPay evolving to "Super App" by strengthening financial services
Off-line | Utility | bills/Tax | On- | line/O2O | |||
Convenience | Barber shop | EC | Movie | ||||
store | reservation | ||||||
Tax | Utilities | Phone bill | |||||
Retail store | Food stand | Orders/ | Taxi | ||||
Booking | |||||||
Pharmacy | Restaurant | Hotel | Ticket | ||||
Flight tickets |
Financial Services | P2P/Social | ||
Personal | Business | Pleading | |
loan | loan | money | for tip |
Postpay | Investment | Gift | Celebration |
Insurance | Donation | Splitting bill |
80
AI-enabled
Taxi-hailing Platform
DiDi
Case studies presented herein are for illustrative purposes only, have been selected in order to provide examples of the types of investments made by SBIA and do not purport to be a complete list thereof. It should not be assumed that investments made in the future will be comparable in quality or performance to the investments described herein. Further, references to the investments included in the illustrative case studies should not be construed as a recommendation of any particular investment or security. Certain information was provided by third parties and certain statements reflect SBKK's beliefs
as of the date hereof based on prior experience and certain assumptions that SBKK believes are reasonable, but may prove incorrect. Past performance is 81 not necessarily indicative of future results. Please refer to visionfund.com/portfolio for a more complete list of Vision Fund I's investments.
DiDi
Service Areas
25 prefectures
(As of March 31, 2020)
Rapid
expansion
in FY2019
(Source) Provided by DiDi Mobility Japan
The information contained herein is provided for illustrative purposes only. The information presented here was provided DiDi. Nothing herein should be construed | 82 |
as a recommendation of any investment or security. The metrics regarding select aspects of the company's operations were selected by SBIA on a subjective basis. | |
Such metrics are provided solely for illustrative purposes to demonstrate elements of the company's business, are incomplete, and are not necessarily indicative of | |
the company's performance or overall operations. There can be no assurance that historical trends will continue throughout the life of SVF1. |
DiDi | ||||
Number of Taxi Partners | 563 | |||
[# 500of companies] | ||||
432 | ||||
400 | ||||
295 | ||||
300 | ||||
200 | 171 | |||
100 | ||||
49 | ||||
0 | ||||
Mar 2019 | Jun | Sep | Dec | Mar 2020 |
Number of taxi partners
11 times
in one year
(Source) DiDi Mobility Japan
(Note) Number of taxi partners refers to the number of taxi companies that have signed on membership of DiDi platform at the beginning of each month.
The information contained herein is provided for illustrative purposes only. The information presented here was provided DiDi. Nothing herein should be construed
as a recommendation of any investment or security. The metrics regarding select aspects of the company's operations were selected by SoftBank Corp. on a 83 subjective basis. Such metrics are provided solely for illustrative purposes to demonstrate elements of the company's business, are incomplete, and are not necessarily indicative of the company's performance or overall operations. There can be no assurance that historical trends will continue throughout the life of SVF1.
DiDi | |||||||
Number of Taxi Trips | |||||||
[# of taxi trips] | Number of taxi trips | ||||||
50000 | 8 times | ||||||
40000 | |||||||
30000 | in one year | ||||||
20000 | |||||||
10000 | |||||||
(Source) DiDi Mobility Japan | |||||||
0 | (Note) Number of taxi trips: number of trips that taxi hailing is completed | ||||||
Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | via DiDi platform. | |
The information contained herein is provided for illustrative purposes only. The information presented here was provided DiDi. Nothing herein should be construed as | |||||||
FY2018 | FY2019 | a recommendation of any investment or security. The metrics regarding select aspects of the company's operations were selected by SoftBank Corp. on a subjective | 84 | ||||
basis. Such metrics are provided solely for illustrative purposes to demonstrate elements of the company's business, are incomplete, and are not necessarily indicative | |||||||
of the company's performance or overall operations. There can be no assurance that historical trends will continue throughout the life of SVF1. |
DiDi
Taxi Partner Revenue Impact
Compared with revenue in January 2020
Using DiDi results in | -6% | DiDi mitigated | |||||
small revenue impact | |||||||
0% | 0% | impact of "stay-at- | |||||
-13% | home" request | ||||||
Japan's taxi industry average | -27% | Gaining orders through DiDi app | |||||
mitigated business decline due to lower | |||||||
Nearly 30% revenue | |||||||
street passenger acquisition | |||||||
decrease | |||||||
-50% | (Source) Results of survey conducted by DiDi Mobility Japan through | ||||||
Jan 2020 | Feb | interviews with Japan Federation of Hire-Taxi Associations | |||||
Mar The information contained herein is provided for illustrative purposes only. The information presented here was provided DiDi. Nothing herein should be construed as | 85 | ||||||
a recommendation of any investment or security. The metrics regarding select aspects of the company's operations were selected by SoftBank Corp. on a subjective | |||||||
basis. Such metrics are provided solely for illustrative purposes to demonstrate elements of the company's business, are incomplete, and are not necessarily indicative | |||||||
of the company's performance or overall operations. There can be no assurance that historical trends will continue throughout the life of SVF1. |
DiDi
Supporting safe travels with infection prevention measures
Encourage cashless payment
Reducing cash transactions
Preventing spread
of infections in
taxi cabs
Currently 70% of
the transactions
are cashless
Provide health info in app
Display infection prevention info within app
such as drivers' mask usage
and/or health checks
(Note) Plan to launch in May 2020. The screenshot is a image under development
(Source) DiDi Mobility Japan | 86 |
SBG and SVF1 investment
Community Centric
Workspace
WeWork
Case studies presented herein are for illustrative purposes only, have been selected in order to provide examples of the types of investments made by SBIA and do not purport to be a complete list thereof. It should not be assumed that investments made in the future will be comparable in quality or performance to the investments described herein. Further, references to the investments included in the illustrative case studies should not be construed as a recommendation of any particular investment or security. Certain information was provided by third parties and certain statements reflect SoftBank Corp's beliefs as of the date hereof based on prior experience and certain assumptions that SoftBank Corp believes are reasonable, but may prove incorrect. Past
performance is not necessarily indicative of future results. Please refer to visionfund.com/portfolio for a more complete list of Vision Fund I's investments. | 87 |
(Photo credits) WeWork |
WeWork Japan
Membership in Japan
22,000+ | |||||||||
[# of memberships] | |||||||||
20,000 | 20,000 | ||||||||
15,000 | |||||||||
10,000 10,000 | |||||||||
5,000 | |||||||||
0 | 0 | ||||||||
Mar | Jun | Sep | Dec | Mar | Jun | Sep | Dec | Mar | |
2018 | 2019 | 2020 |
Membership
1.8 times
in one year
(Source) Provided by WeWork Japan
(Note) Memberships at the beginning of each month
The information herein is provided for illustrative purposes only and is based on WeWork's data. Past performance is not necessarily indicative of future results
throughout the life of the SVF1. Nothing herein should be construed as a recommendation of any investment or security. The metrics regarding select aspects 88 of the company's operations were selected by SoftBank Corp. on a subjective basis. Such metrics are provided solely for illustrative purposes to demonstrate
elements of the company's business, are incomplete, and are not necessarily indicative of the company's performance or overall operations.
WeWork Japan
Tokyo area (represents c.70% of total desks nationwide)
Ikebukuro | Tokyo | |||
metropolitan | ||||
area | ||||
Jimbocho | ||||
Area average | Kanda | |||
Shinjuku | Yotsuya | Hanzomon | Marunouchi | |
occupancy rate | ||||
Nihonbashi | ||||
80%+ | ||||
Hibiya | ||||
Roppongi | Kyobashi | |||
Nogizaka | Toranomon | |||
Omotesando | Ginza | |||
Shibuya | Shimbashi | |||
Shiroyama | ||||
Harumi | ||||
Gotanda
Wide-range deployment in
Tokyo area with
high occupancy rate
Fukuoka | Kobe | Osaka |
(Source) Edited based on WeWork Japan materials. | ||
Nagoya | (Notes) The map shows all sites that are open as of the end of March 2020. | |
Yokohama | Ratio of number of desks: the ratio of number of desks at the sites in Tokyo area to | |
the total number of desks nationwide, as of the end of March 2020. | ||
Area average occupancy rate: average occupancy rate as of the end of March 2020 | 89 | |
for the 15 sites in Tokyo areas which has been open more than 6 months. |
WeWork Japan
Aim for monthly break-even during FY2020
"Work Style Reform" entering new era | Supporting diversified office demand |
Office HQ | Home |
WeWork
Fukuoka
Ikebukuro Kanda
Nagoya
Shinjuku | Marunouchi |
Osaka
Shibuya Ginza
- Distributed offices
- Utilization for projects
- Space and cost reduction
90
Innovative Hotel Service
OYO Hotels
Case studies presented herein are for illustrative purposes only, have been selected in order to provide examples of the types of investments made by SBIA and do not purport to be a complete list thereof. It should not be assumed that investments made in the future will be comparable in quality or performance to the investments described herein. Further, references to the investments included in the illustrative case studies should not be construed as
a recommendation of any particular investment or security. Certain information was provided by third parties and certain statements reflect SBKK's beliefs 91 as of the date hereof based on prior experience and certain assumptions that SBKK believes are reasonable, but may prove incorrect. Past performance is
not necessarily indicative of future results. Please refer to visionfund.com/portfolio for a more complete list of Vision Fund I's investments.
OYO Hotels Japan
6,000Number of Hotel Rooms | 5,857 |
[# of rooms] | ||||
4,000 | ||||
2,000 | ||||
0 | ||||
Apr | Jun | Sep | Dec | Mar |
2019 | 2020 |
Revamp
Growth
Strategy
Establishing a community-based OYO brand
at affordable prices
(Source) Provided by OYO Hotels Japan
(Note) Number of Hotel Rooms: Hotel rooms opened under OYO brand
The information herein is provided for illustrative purposes only and is based on OYO Hotel's data. Past performance is not necessarily indicative of future | 92 |
results throughout the life of the SVF1. Nothing herein should be construed as a recommendation of any investment or security. The metrics regarding select | |
aspects of the company's operations were selected by SoftBank Corp. on a subjective basis. Such metrics are provided solely for illustrative purposes to | |
demonstrate elements of the company's business, are incomplete, and are not necessarily indicative of the company's performance or overall operations. |
OYO Hotels Japan
Average Occupancy Rates
(Jan to Mar)
OYO Hotel
59%62%
54%53%
51%
Even with uncertainty over COVID-19
Occupancy rates remained stable
Japan Hotel Average 32%
Jan 2020 | Feb | Mar |
relative to market average
(Source) Japan hotel average occupancy rate:Overnight Travel Statics Survey by Japan Tourism Agency
(Note) OYO Hotel average occupancy rate:Occupied hotel rooms opened under OYO brand name / Number of sellable rooms under OYO brand
The information herein is provided for illustrative purposes only and is based on OYO Hotel's data. Past performance is not necessarily indicative of future results throughout the life of the SVF1. Nothing herein should be construed as a recommendation of any investment or security. The metrics regarding select
aspects of the company's operations were selected by SoftBank Corp. on a subjective basis. Such metrics are provided solely for illustrative purposes to 93 demonstrate elements of the company's business, are incomplete, and are not necessarily indicative of the company's performance or overall operations.
OYO Hotels Japan
Implementation of COVID-19 Support Programs
For Hotel Owners | For Medical Personnel |
#CareforCare
** | |
Working capital support*1 | Free accommodation *2 |
(Source) OYO Hotel Japan
*1 OYO Hotels pays one-time support capital to hotels in Japan that join OYO on and after March 13, 2020. This payment is not required to be refunded.
But the hotels are subject to brand loyalty according to normal terms and conditions of OYO membership. The rate of payment will vary depending on the 94 facility and timing. *2 Free stay is valid for bookings before May 21, 2020.
Cyber Security Platform
Cybereason
95
Cybereason
Japan-based Enterprise Implementations (partial)
Endpoint Security Solution
No.1
EDR share in Japan
(Source) Cybereason Japan Corp. | |
(Note) EDR stands for Endpoint Detection and Response, and the | |
EDR platform is an endpoint security solution built for enhanced | |
endpoint monitoring and used to detect and respond to cyber attacks | 96 |
such as targeted attacks and ransomware. |
Cybereason
Number of Active Endpoints | 1+ mil |
[IDs] | |||
1,200,000 | |||
1,000,000 | |||
800,000 | |||
600,000 | |||
400,000 | |||
200,000 | |||
0 | |||
FY2016 | FY2017 | FY2018 | FY2019 |
Number of Active Endpoints
Doubled
in FY2019
(Source) Cybereason Japan Corp. 97
Cybereason | ||
Number of Orders per Month | Rising remote working trend is leading to | |
[# of orders] | expanding security solution needs | |
Cybereason orders from March | ||
Surge | ||
Sales of security products of SoftBank increased | ||
Communication | Multi-factor | |
encryption | authentication | |
Remote Access Gateway | PKI certification | |
one-time password | ||
Apr May Jun | Jul Aug Sep Oct Nov Dec Jan Feb Mar | ||
2019 | 2020 | (Source) Cybereason Japan Corp. | 98 |
(Note) Number of Orders per Month: number of sales through SoftBank Corp. |
Net Income
[JPY bn] | 462.5 | 473.1 | |
430.8 | |||
4,500 | |||
4,000 | ZHD impact | ||
31.7 | |||
3,500 | |||
3,000 | |||
2,500 | |||
2,000 | |||
1,500 | |||
1,000 | |||
500 | |||
0 | |||
FY2018 | FY2018 | FY2019 |
(Prior to ZHD adj) (Post ZHD adj)
Even with extraordinary factors
Record high
Main extraordinary factors | |
Recording of income tax | -19.5 |
related to LINE business integration (Q3) | |
Loss on valuation and Impairment (Q4) | -8.7 |
(Notes)
Net Income: net income attributable to owners of SoftBank Corp.
Net income recorded the income taxes of ¥19.5 billion related to the gain on intergroup transfer of shares of Z Holdings, following the conclusion
of the definitive agreement for the business integration between Z 99 Holdings and LINE Corporation.
FY2019 Consolidated Results
[JPY bn] | |||||||||
FY2018 | FY2018 | FY2019 | YoY | YoY % | |||||
(Prior to ZHD adj) | (Post ZHD adj) | (vs Post ZHD | (vs Post ZHD | ||||||
adj) | adj) | ||||||||
Revenue
Adj. EBITDA
Operating
Income
Net Income
3,746.3 | 4,656.8 | 4,861.2 | +204.4 | +4% | ||||
1,209.8 | 1,367.1 | 1,606.5 | +239.5 | +18% | ||||
719.5 | 818.2 | 911.7 | +93.5 | +11% | ||||
430.8 | 462.5 | 473.1 | +10.7 | +2% | ||||
Adj. EBITDA (Adjusted EBITDA) = operating income + depreciation and amortization (including loss on disposal of non-current assets) ± other adjustments | 100 |
Net Income: net income attributable to owners of SoftBank Corp. |
CAPEX (Acceptance Basis) | ||
[JPY bn] | 381.6 | 369.8 |
350.1 | ||
3,500 | ||
Even with 5G investment drive | ||
3,000 | ||
2,500 | Maintained level of | |
1,500 | 380 bn | |
2,000 | ||
1,000 | ||
500 | ||
0 | ||
FY2017 | FY2018 | FY2019 |
(Note) Excluding ZHD, device for rental service, and impact from | 101 |
adopting IFRS 16. |
Adjusted Free Cash Flow
[JPY bn] | 524.2 | |
508.0 | 512.0 | |
5,000 | ||
4,000 | ||
3,000 | ||
2,000 | ||
1,000 | ||
0 | ||
FY2017 | FY2018 | FY2019 |
Maintained level of
500 bn
excluding ZHD and impact from adopting IFRS16
(Note)
Adjusted free cash flow = free cash flow ± total cash flows relating to non- recurring transactions with SoftBank Group Corp. + (proceeds from the securitization of installment sales receivables - repayments thereof), 102 excluding ZHD and impact from adopting IFRS 16.
Dividend Per Share
[JPY]
Annual 85
Annual 75*
80
70
60
50
40
30
Year-end
20
37.5
10
0
FY2018FY2019
(Forecast)
As planned
Annual 85 (Forecast)
(Up 10 YoY)
*In FY2018, SoftBank Corp. paid a half-year dividend of ¥37.50 per share | |
(which converts to a dividend of ¥75.00 per share if calculated on a full- | 103 |
year basis) as the Company listed on December 19, 2018. |
FY2020 Forecast
(Excluding impact from LINE business integration)
104
Even with impact from COVID-19
Continue to increase both
profits and dividends
105
FY2020 Management Policy
Telecom | Yahoo | New businesses | |||||||||||
Smartphone | e-Commerce | Monetization for | |||||||||||
subscriber growth | growth | ||||||||||||
expanding business | |||||||||||||
Active 5G | |||||||||||||
Growth | Financial business | (PayPay, DiDi, etc.) | |||||||||||
deployment | |||||||||||||
Strategy | expansion | Creation of new | |||||||||||
Promotion of DX | |||||||||||||
Business integration | businesses | ||||||||||||
for enterprises | |||||||||||||
of ZHD and LINE | |||||||||||||
Structural | Promotion of cost optimization across entire company | ||||||||||||
Reform | |||||||||||||
106 |
Business Impact from COVID-19
TelecomYahoo
Negative
Immaterial
Additional demands
Shop traffic | decrease | |
Number of | remain stable | |
subscribers | ||
Data traffic | increase | |
Remote work demand | increase | |
Ad placements | decrease |
(certain industries) | |
Travel and restaurant | decrease |
business usage | |
Subscription | remain stable |
services | |
e-Commerce sales | increase |
(Merchandise) |
Yahoo service usage time increase
Total impact
Immaterial impact on | Uncertain prospects in | |
telecom business | advertising, e-commerce steady | |
(Note) Includes the impact estimated as of April 2020. 107
Revenue | |||||
[JPY bn] | 4,861.2 | 4,900.0 | |||
5,000.0 | 4,656.8 | ||||
4,500.0 | |||||
4,000.0 | FY2020 Forecast | ||||
3,500.0 | 4.9 tn | ||||
2,000.0 | |||||
3,000.0 | |||||
2,500.0 | |||||
1,500.0 | (Up 1% YoY) | ||||
1,000.0 | |||||
500.0 | |||||
0.0 | |||||
FY2018 | FY2019 | FY2020 | (Notes) | ||
Actuals for FY2018 have been adjusted retrospectively to have consolidated | |||||
Actual | Actual | Forecast | ZHD from April 1, 2018. | ||
The financial impact of the business integration of ZHD and LINE | 108 | ||||
Corporation is not reflected in the consolidated financial result forecasts |
Operating Income | ||||
[JPY bn] | 911.7 | 920.0 | ||
900.0 | ||||
818.2 | ||||
800.0 | ||||
700.0 | FY2020 Forecast | |||
400.0 | 920 bn | |||
600.0 | ||||
500.0 | ||||
300.0 | (Up 1% YoY) | |||
200.0 | ||||
100.0 | ||||
0.0 | (Notes) | |||
FY2018 | FY2019 | FY2020 | Actuals for FY2018 have been adjusted retrospectively to have consolidated | |
ZHD from April 1, 2018. | ||||
Actual | Actual | Forecast | The financial impact of the business integration of ZHD and LINE | 109 |
Corporation is not reflected in the consolidated financial result forecasts |
Net Income | ||||
[JPY bn] | 473.1 | 485.0 | ||
462.5 | ||||
450.0 | ||||
400.0 | FY2020 Forecast | |||
350.0 | 485 bn | |||
200.0 | ||||
300.0 | ||||
250.0 | ||||
150.0 | (Up 3% YoY) | |||
100.0 | ||||
50.0 | ||||
0.0 | (Notes) | |||
FY2018 | FY2019 | FY2020 | Actuals for FY2018 have been adjusted retrospectively to have consolidated | |
ZHD from April 1, 2018. | ||||
Actual | Actual | Forecast | The financial impact of the business integration of ZHD and LINE | 110 |
Corporation is not reflected in the consolidated financial result forecasts |
FY2020 Forecast
[JPY bn] | |||||||
FY2019 | FY2020 | Change | Change% | ||||
Actual | Forecast | (YoY) | (YoY) | ||||
Revenue
Adj. EBITDA
Operating
Income
Net Income
Adj. Free Cash Flow
4,861.2 4,900.0
1,606.5 1,630.0
911.7 920.0
473.1 485.0
524.2 550.0
+38.8 +1%
+23.5 +1%
+8.3 +1%
+11.9 +3%
+25.8 +5%
Adjusted EBITDA = operating income + depreciation and amortization (including loss on disposal of non-current assets) ± other adjustments Adjusted free cash flow = free cash flow ± total cash flows relating to non-recurring transactions with SoftBank Group Corp. + (proceeds from the securitization of installment sales receivables - repayments thereof), excluding ZHD and impact from adopting IFRS 16.
(Note) The financial impact of the business integration
of ZHD and LINE Corporation is not reflected in the 111 consolidated financial result forecasts.
Dividend Per Share | |||||
[JPY] | Annual 85 | Annual 86 | |||
80.0 | Annual 75* | ||||
70.0 | Continue to | ||||
60.0 | |||||
40.0 | increase | ||||
50.0 | |||||
30.0 | dividend | ||||
20.0 | Year-end | ||||
37.5 | |||||
10.0 | |||||
0.0 | |||||
FY2018 | FY2019 | FY2020 | |||
Actual | Actual | Forecast | *In FY2018, SoftBank Corp. paid a half-year dividend of ¥37.50 per share | ||
(which converts to a dividend of ¥75.00 per share if calculated on a full- | 112 | ||||
year basis) as the Company listed on December 19, 2018. |
Summary
FY2019
Achieved increases in revenue and profits across segments
Increased ¥10 (forecast) for dividend per share
Number of smartphone subscribers increased 2.05 mil
FY2020
Continue to increase both profits and dividends Telecom business has immaterial impact from COVID-19 whereas uncertainty on ZHD business such as advertising Proceed with business integration of ZHD and LINE
113
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SoftBank Group Corporation published this content on 11 May 2020 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 22 May 2020 11:16:02 UTC