The July-September loss of 1.1 trillion yen fell significantly short of LSEG analyst forecasts, which had anticipated results between a 233 billion yen profit and a 113 billion yen loss. SoftBank has faced broader headwinds as its shares plunged nearly 50 percent since early June amid mounting industry skepticism. Concerns are growing around the group's massive artificial intelligence commitments, which encompass $64.6 billion spent to acquire a 13 percent holding in OpenAI. The broader AI market has also been rattled by an FBI inquiry regarding Nvidia CEO Jensen Huang, though SoftBank no longer owns shares in the chipmaker.
Key points
Heavy artificial intelligence investments are facing mounting investor scrutiny as tech e…: Heavy artificial intelligence investments are facing mounting investor scrutiny as tech earnings display extreme volatility.
Recent Democratic victories in U.S. midterm elections have amplified market concerns over…: Recent Democratic victories in U.S. midterm elections have amplified market concerns over impending regulatory scrutiny of tech firms.
SoftBank completely exited its former major investment position in artificial intelligenc…: SoftBank completely exited its former major investment position in artificial intelligence chipmaker Nvidia.
Sources checked by our analysis pipeline: 1
TOKYO, Nov 10 : Technology investor SoftBank Group generated a net loss of 1.1 trillion yen ($7 billion) in the July-September quarter, it said on Tuesday.
The result compares with 2.5 trillion yen profit in the same period a year earlier when it logged a huge investment gain on an increase in the value of its stake in ChatGPT-maker OpenAI.
SoftBank's earnings are volatile and difficult to predict. Forecasts from three analysts polled by LSEG had ranged from a profit of 233 billion yen to a loss of 113 billion yen.
The Japanese firm's big bets on artificial intelligence — particularly the $64.6 billion it has spent on its 13 per cent stake in OpenAI — have raised questions about how well it will be able to weather setbacks currently buffeting the sector.
The Democratic Party's sweeping success in US midterm elections last week heightened expectations of regulatory scrutiny, amplifying concerns that had been growing among investors about returns for the AI industry.
SoftBank's shares, like other AI stocks, have been hit hard, almost halving in value since the start…
Market activity shows Ferrexpo equity facing downward pressure during today's trading session. Current reporting indicates that trading movement remains negative while additional details concerning the slide have not yet emerged. Observers await further updates to understand the specific drivers behind this downward performance.
Regional market participants drove strong momentum across domestic equities, pushing the Jakarta exchange into firmly positive territory by the closing bell. This solid upward push reflects sustained buying interest throughout the daily trading session. The performance demonstrates continued strength for local shares as market activities wrapped up for the day.