On the report of Japanese Telco SoftBank, the quarterly operating profit fell 17 percent. It failed to reach analysts’ expectations even as a grow on revenue.
SoftBank Corp became the largest ever IPO in Japan last December. Then last year, it reported 102.3 billion yen profit. But this year, the company’s profit fell to 84.5 billion yen for the fourth quarter which ended last March.
On the other hand, three analysts anticipate at least 93 billion yen average, which Japan’s third-largest telco didn’t reach.
In the current financial year, the company is confident that its operating profits will increase by 24 percent to 890 billion yen.
SoftBank and Yahoo Japan
Yahoo Japan may become a consolidated subsidiary, assumed by the forecast. On Wednesday, SoftBank stated that it would raise its stake to Yahoo Japan, from 12.08 percent to 44.64.
The company will buy new shares worth 456.5 billion yen ($4.15 billion) and Yahoo Japan Corp will issue it.
Meanwhile, SoftBank corp parent SoftBank Group Corp will report on Thursday about its fourth-quarter earnings.
After the fall on Wednesday, Japan stocks sank further. The declines in Shipbuilding, Transportation Equipment and Marine Transport sectors are the reason for lower shares.
The Nikkei 225 dropped 1.46% at the close in Tokyo. The company hit its new 1-month low.
The session’s best performer on the Nikkei 225 is Tokai Carbon Co., Ltd. It added 3.45% or 44.0 points to end at 1318.0. Then, Yahoo Japan Corp was up 2.32 or 7.0 points to 309.0 in late trade. And Kawasaki Kaisha, Ltd. rose 1.60% or 25.0 points to trade at 1589.0 at the close.
On the other hand, the worst performer is Yamaha Motor Co Ltd, which declined 13.37% or 301.0 points to end at 1950.0. Then it was followed by Mitsui Mining and Smelting Co. down 6.40% or 175.0 points to 2560.0. And Takara Holdings Inc. fell 5.40% or 70.0 points to trade at 1227.0 at the close.