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The Markets
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Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
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The Markets
by Proactive
Proactive UK has moved.
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Hardware & electrical equipment

SoftBank up 2% after earnings beat as leans into the faltering AI boom

SoftBank’s second-quarter net profit more than doubled to ¥2.5 trillion, or $16.6 billion.

This was well above the ¥207 billion consensus and driven by a ¥3.5 trillion Vision Fund gain, including ¥2.16 trillion from its OpenAI holding.

That compares with ¥1.18 trillion a year earlier. The print rides a rally in AI-linked assets, yet funding risks are rising.

SoftBank is leaning in. It led a $40 billion OpenAI round in March at a $300 billion valuation and, in October, joined a $6.6 billion secondary, implying $500 billion.

To finance its push, it sold $5.83 billion of Nvidia Corp (NASDAQ:NVDA, ETR:NVD) stock, issued bonds worth ¥620 billion, $2.2 billion and €1.7 billion, and arranged bridge loans of US$8.5 billion for OpenAI and US$6.5 billion for Ampere (undrawn).

Founder Masayoshi Son’s record is a mix of big wins and misfires. With AI capex accelerating, the upside is clear, but an overbuild would pressure returns.

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