TOKYO—Japanese technology investor SoftBank 9984; 0.74%
Group Corp. reported on Monday a loss of more than $23 billion in the quarter to June after its Vision Fund investments suffered from a global selloff in tech stocks.
SoftBank reported a net loss of ¥3.16 trillion, or $23.4 billion, for the quarter ended June 30. That compares with a net loss of ¥2.1 trillion in the January-March quarter. For SoftBank’s full fiscal year ended March 31, it reported a loss of $1.71 trillion. ¥, record.
The weak results reflect a decline in tech stocks around the world recently, fueled by interest rate hikes and China’s crackdown on tech companies.
Shares of Uber Technologies Inc. and DoorDash Inc.,
two US companies in which SoftBank has invested fell more than 40% in the April-June quarter.
In the three months to June, SoftBank reported an operating loss of ¥2.33 trillion, or $17.2 billion, for Vision Fund 1, Vision Fund 2 and others. Vision Fund 2 is currently SoftBank’s primary vehicle for investing in technology companies.
SoftBank rushed to plow its money into tech startups last year, seeing new opportunities in businesses like finance and health that were changing in the era of the pandemic. CEO Masayoshi Son and his team invested $38 billion from SoftBank’s Vision Fund 2 in 183 companies last year, according to SoftBank filings.
In May, as losses from those investments began to emerge, Mr. Son said he turned to a defensive policy and made sure to invest new money.
Shares in SoftBank were flat recently and rose 0.7% on Monday in Tokyo trading, which ended before the results were announced.
Write to Megumi Fujikawa at firstname.lastname@example.org
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