SoftBank Corp Q3 2025 Earnings Investor Presentation Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Kazuki Tokunaga - Daiwa Securities Co. - Analyst : Tokunaga from Daiwa Securities. I have two questions. First about investment in GenAI. In last year's fourth quarter, you mentioned that you kept investing in GenAI, and once it goes over breakeven, investment in GenAI would grow even further? So the investment that you have done so far would go over a breakeven point pretty soon and also maybe we should look at longer phase in terms of your investment for the future.

Question: Kazuki Tokunaga - Daiwa Securities Co. - Analyst : Should we expect more expenses in the future? REFINITIV STREETEVENTS | www.refinitiv.com | Contact Us consent of Refinitiv. 'Refinitiv' and the Refinitiv logo are registered trademarks of Refinitiv and its affiliated companies. FEBRUARY 10, 2025 / 9:00AM, 9434.T - Q3 2025 SoftBank Corp Earnings Investor Presentation

Question: Kazuki Tokunaga - Daiwa Securities Co. - Analyst : Second question about your third quarter, you made a steady growth and in line with the consensus. Is there any significant difference by the segments? For example, do you have still room for growth investment? I don't know, PayPay consumer, there are segments where you want to spend the money, but do you still have room for investment in particular segments?

Question: Kazuki Tokunaga - Daiwa Securities Co. - Analyst : About the Sakai actually, do you incur cost once you sign a deal, sign an agreement?

Question: Mitsunobu Tsuruo - Citigroup Inc. - Analyst : I have two questions. One is about slide 26. So up to this quarter, so the competition is severe this year, and the churn rate is higher and the net additions as big difference. So what do you see about the situation of this?

Question: Mitsunobu Tsuruo - Citigroup Inc. - Analyst : Thank you. The second question. So about SB OpenAI the next fiscal year's PL, what do you see about that? So JPY450 billion from SBG and then SBKK will be paying to OpenAI. So the ARM or SoftBank bank group, if SBKK are to provide -- offer and resource and what would be this like? And -- So looking at the resources allocated by SBKK, so how much do you think be spent from JPY450 billion. So what is the plan mid- and long term?

Question: Daisaku Masuno - Nomura Securities Co. - Analyst : Two questions. First, PayPay. Revenue wise, GMV grew and it looks like revenue was really good, but expenses did not increase a lot. It seems to good to be true. I mean next year and onwards, should I expect more expenses as well as more revenue. So can we expect not so much expenses next year for PayPay? Or should we expect a reasonable level of expenses next year? Do you share with us your view?

Question: Daisaku Masuno - Nomura Securities Co. - Analyst : Next question about investment in AI. For Sakai plant, if it's started running in '25, in FY27 or '26, you may have to incur some cost after plant gets running in FY25. And [75%] of OpenAI Japan will be gone as minority holding. So I wonder, if you send 1,000 people to be SB OpenAI Japan, can you sustain?

Question: Daisaku Masuno - Nomura Securities Co. - Analyst : OpenAI joint venture, even though they make money, only 25% will go back to you, can you strike a balance?

Question: Satoru Kikuchi - SMBC Nikko Securities Inc. - Analyst : So this fiscal year, I think it's going well. And the next fiscal year's positive factors and the segment, which segment do you think will be the best contribution to the business or performance as a whole. And since business is going well, you said that there will be -- there are more choices to make. What kind of choice are you thinking about? Even though you mentioned AI, are you talking about SB OpenAI Japan. Can you clarify what you mean by options?

Question: Satoru Kikuchi - SMBC Nikko Securities Inc. - Analyst : So about cash flow, the investment to the AI computing infrastructure this fiscal year and the investment can be secured for that this fiscal year. But for next fiscal year, is going to be covered by the Bond-Type Class Shares as well or what is the scale of investment amount to?

Question: Satoru Kikuchi - SMBC Nikko Securities Inc. - Analyst : Thank you.