SoftBank Group Corp.’s mobile division on Tuesday saw a profit jump in the third quarter, as its heavy data plan attracts more and more users, securing future growth on the rise of 5G services.
For its first earnings report as a public company, SoftBank Corp. stated that operating profit rose 24 percent to ¥191.6 billion ($1.74 billion) in the three months ended December, compared with the ¥155.1 billion generated in the same period in 2017.
The firm also kept its forecast for operating profit unchanged, estimating a 10 percent increase to ¥700 billion for the year through March, against analysts’ forecast of ¥691 billion.
The figures came after the Japanese mobile unit experienced a turbulent period.
Last year, SoftBank suffered a network outage, fielded ongoing government calls for lower prices, and was under suspicion for its ties with Chinese tech titan Huawei Technologies Co. Ltd., which telecoms equipment Western influences was allegedly being used for spying.
The third quarter also saw the Tokyo-based conglomerate carry out Japan’s biggest-ever initial public offering (IPO), although the stock fell 15 percent from its ¥1,500 IPO price upon its December 19 debut, leaving domestic retail investors disappointed and sentiment subdued, according to finance executives.