Softbank Group Operating Profit Up 8.1 Pct in April-June
Tokyo, Aug. 5 (Jiji Press)–Softbank Corp. said Tuesday that its group operating profit in April-June rose 8.1 pct from a year before to 85,086 million yen, despite slowing mobile phone sales.
For the first quarter of fiscal 2008, Softbank posted a net profit of 19,368 million yen, down 22.9 pct, and sales of 647,255 million yen, down 2.4 pct.
The sales decline was partly attributed to slumping mobile phone sales at a time of falling replacement demand. Lower average revenue per user also pushed down sales, although the number of subscriptions grew by a net 525,500, the largest growth in the industry.
Nevertheless, Softbank was able to report the operating profit increase because of cost cuts and the strong performance of its Internet and broadband infrastructure operations.
The net profit drop was mainly due to valuation losses on investment securities.[EARNINGS]END
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