SoftBank (9434) Q1 2027 earnings summary

Executive summary

• Revenue for Q1 FY2026 reached JPY 1,814.7 billion, up 9–9.4% year-on-year, with all business segments achieving growth and a record high.

• Operating income was JPY 302.3 billion, up 4% year-on-year, overcoming last year's one-time gain impact.

• Net income totaled JPY 150.1 billion, a 3–7% year-on-year increase, with progress toward full-year targets at 27%.

• Strong performance in enterprise, distribution, and financial businesses, with consumer business exceeding expectations despite anticipated challenges.

• Strategic alliances and acquisitions, including with Seven & i Holdings and SP.LINKS, support next-generation infrastructure and payment expansion.

Financial highlights

• Enterprise business revenue grew 11–11.4% year-on-year to JPY 260.4 billion; operating income up 27.5–28% to JPY 62.2 billion.

• Consumer business revenue rose 4–4.4% to JPY 749.7 billion; operating income down 0.6–1% to JPY 152.9 billion.

• Media and EC business revenue increased 9.8–10% to JPY 446.8 billion; operating income up 19% year-on-year, excluding one-time factors.

• Financial business revenue surged 27% to JPY 115.9 billion; operating income up 76% to JPY 31.8 billion, driven by PayPay.

• Adjusted EBITDA increased 7.9% year-on-year to JPY 508.1 billion.

Outlook and guidance

• Cloud and AI segment expected to maintain ~30% annual growth through FY2027, with revenue forecast to reach JPY 430.0 billion.

• Full-year forecasts: revenue JPY 7,500.0 billion, operating income JPY 1,100.0 billion, net income JPY 560.0 billion.

• Second quarter will face tough comparison due to last year's one-time gain; management determined to overcome.

• No revisions to previously announced forecasts.