This English translation of the financial report was prepared for reference purposes only and is qualified in its entirety by the original
Japanese version. The financial information contained in this report is derived from our unaudited consolidated financial statements
appearing in item 3 of this report.

SoftBank Group Corp.
Consolidated Financial Report
For the three-month period ended June 30, 2015 (IFRS)Tokyo, August 6, 2015

1.

Financial Highlights(Millions of yen; amounts are rounded off to the nearest million yen)

(1) Results of Operations(Percentages are shown as year-on-year changes)

OperatingincomeNet sales
AmountThree-month period
endedJune 30, 2015
Three-month period
endedJune 30, 2014

Three-month period
endedJune 30, 2015
Three-month period
endedJune 30, 2014

Incomebefore income
tax

Total
comprehensive
incomeAmountAmountAmount%Amount%Amount¥2,139,058 9.8¥343,552

7.6¥398,673 120.1 ¥250,017 124.6 ¥213,382 175.1 ¥351,838 418.3¥1,948,264¥319,352-¥181,159-

Basic earnings per
share (yen)Diluted earnings per
share (yen)¥179.43¥176.70¥65.27¥65.14%

Net income

Net income
attributable toowners of theparent-%%%¥111,308 (58.7) ¥77,574 (68.3) ¥67,889 (80.4)

Note:
Net sales, operating income, and income before income tax for the three-month period ended June 30, 2015 are presented based on
the amounts from continuing operations only. Year-on-year percentage changes in net sales, operating income, and income before
income tax for the three-month period ended June 30, 2014 are not presented because corresponding amounts for the three-month
period ended June 30, 2014 are revised and presented respectively.
Please refer to page 46 “Note 10. Discontinued operations” under “3. Condensed Interim Consolidated Financial Statements (6)Notes to Condensed Interim Consolidated Financial Statements” for details.

(2) Financial Position

Total assets

Total equity

Equityattributable toowners of theparentRatio of equity
attributable toowners of the parent
to total assets (%)

As of June 30, 2015

¥20,878,435¥3,900,659¥3,000,669

14.4

As of March 31, 2015

¥21,034,169¥3,853,177¥2,846,306

13.5

2.

Dividends
Dividends per shareFirst quarter
Fiscal year ended
March 31, 2015
Fiscal year ended
March 31, 2016
Fiscal year ending
March 31, 2016
(Forecasted)

Second quarter

Third quarter

Fourth quarter

Total

(yen)

(yen)

(yen)

(yen)

(yen)

-

20.00

-

20.00

40.00

20.00

-

20.00

40.00

-

Note:
Revision of forecasts on the dividends: No

3. Forecasts on the Consolidated Results of Operations for the Fiscal Year Ending March 2016 (April 1, 2015 – March 31, 2016)
Currently it is difficult to provide forecasts on the results in figures due to a large number of uncertain factors affecting theearnings. The Company will announce its forecasts on the consolidated results of operations when it becomes possible to
make a rational projection.
* Notes(1) Significant changes in scope of consolidation (changes in scope of consolidation of specified subsidiaries): Yes
Excluded from consolidation: Three companies
SoftBank BB Corp. SoftBank Telecom Corp. Ymobile Corporation
Please refer to page 31 “Significant Changes in Scope of Consolidation for the Three-month Period Ended June 30, 2015”
under “2. Notes to Summary Information” for details.
(2) Changes in accounting policies and accounting estimates[1] Changes in accounting policies required by IFRSs: No[2] Changes in accounting policies other than those in [1]: No[3] Changes in accounting estimates: No(3) Number of shares issued (common stock)[1] Number of shares issued (including treasury stock):
As of June 30, 2015:
1,200,660,365 shares
As of March 31, 2015:
1,200,660,365 shares[2] Number of treasury stock:
As of June 30, 2015:
11,380,357 shares
As of March 31, 2015:
11,463,275 shares[3] Number of average stocks during three-month period (April-June):
As of June 30, 2015:
1,189,244,141 shares
As of June 30, 2014:
1,188,481,740 shares* Implementation status of interim review proceduresThis interim consolidated financial report is not subject to interim review procedures based on the Financial Instruments
and Exchange Act, and the review procedures for the condensed interim consolidated financial statements were being
conducted when this report was disclosed.
* Note to forecasts on the consolidated results of operations and other items
The company name was changed from SoftBank Corp. to SoftBank Group Corp. on July 1, 2015.
The forecast figures are estimated based on the information that the Company is able to obtain at the present point andassumptions which are deemed to be reasonable. However, actual results may be different due to various factors.
On August 6, 2015, the Company will hold an earnings results briefing for the media, institutional investors, and financial
institutions. This earnings results briefing will be broadcast live on our web site in both Japanese and English at
http://www.softbank.jp/en/corp/irinfo/. The Earnings Results Data Sheet will also be posted on the Company’s web sitearound 4 p.m. on the same day at http://www.softbank.jp/en/corp/irinfo/presentations/.

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(Appendix)

Contents
1. Qualitative Information Regarding Three-month Period Results ........................................................................... P. 2
(1) Qualitative Information Regarding Consolidated Results of Operations ......................................................... P. 2
a. Consolidated Results of Operations ............................................................................................................... P. 2
b. Results by Segment ....................................................................................................................................... P. 6
(Reference 1: Principal Operational Data) ........................................................................................................ P. 17(Reference 2: Definitions and Calculation Methods of Principal Operational Data) ........................................ P. 20(Reference 3: Capital Expenditure and Depreciation and Amortization) .......................................................... P. 22(2) Qualitative Information Regarding Consolidated Financial Position ............................................................... P. 23
a. Assets, Liabilities and Equity ........................................................................................................................ P. 23
b. Cash Flows .................................................................................................................................................... P. 28(3) Qualitative Information Regarding Forecasts on Consolidated Results of Operations .................................... P. 30
2. Notes to Summary Information ............................................................................................................................... P. 31
Significant Changes in Scope of Consolidation for the Three-month Period Ended June 30, 2015 ....................... P. 31
3. Condensed Interim Consolidated Financial Statements ........................................................................................... P. 32(1) Condensed Interim Consolidated Statements of Financial Position .................................................................. P. 32(2) Condensed Interim Consolidated Statements of Income and Comprehensive Income ..................................... P. 34(3) Condensed Interim Consolidated Statements of Changes in Equity ................................................................. P. 36(4) Condensed Interim Consolidated Statements of Cash Flows ............................................................................ P. 38(5) Significant Doubt about Going-Concern Assumption ....................................................................................... P. 39(6) Notes to Condensed Interim Consolidated Financial Statements ...................................................................... P. 39
Change of Company Names
On July 1, 2015, SoftBank Corp., the pure holding company, changed its company name to SoftBank Group Corp.
Moreover, on April 1, 2015, SoftBank Mobile Corp., the company that operates the telecommunications business in Japan,
absorbed SoftBank BB Corp., SoftBank Telecom Corp., and Ymobile Corporation and was renamed SoftBank Corp. on
July 1, 2015.

The company names that appear in this appendix are the names as of the publication date of this financial

report.
Definition of Company Names and Abbreviations Used in this Appendix
Company names and abbreviations used in this appendix, except as otherwise stated or interpreted differently in the context,
are as follows:
Company Name/ Abbreviation

Definition“SoftBank Group Corp.”

SoftBank Group Corp. (stand-alone basis)

The “Company”

SoftBank Group Corp. and its subsidiaries*Each of the following abbreviations indicates the respective company, and its subsidiaries if any.
“Sprint”

Sprint Corporation“Brightstar”

Brightstar Corp.

“Supercell”

Supercell Oy“Alibaba”

Alibaba Group Holding Limited“GungHo”

GungHo Online Entertainment, Inc.

1

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

1. Qualitative Information Regarding Three-month Period Results(1) Qualitative Information Regarding Consolidated Results of Operations
a. Consolidated Results of Operations(Millions of yen)Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

ChangeChange %1,948,264

2,139,058

190,7949.8%

319,352

343,552

24,2007.6%

181,159

398,673

217,514120.1%

100,331

256,985

156,654156.1%

10,977(6,968)(17,945)-

111,308

250,017

138,709124.6%

77,574

213,382

135,808

175.1%

Continuing operations
Net sales
Operating income
Income before incometax
Net income fromcontinuing operations
Discontinued operations
Net income (loss) fromdiscontinued operations
Net income
Net income attributable toowners of the parent< Results Related to GungHo >In the three-month period ended June 30, 2015 (the “first quarter”), due to the conclusion of a tender offer by GungHo
for its own shares, in which the Company tendered, and the extinguishing of a pledge on 100,000,000 of GungHo’s
common shares held by Heartis G.K. (a pledge with Son Holdings Inc. as the pledgee), GungHo was no longer
qualified as a subsidiary and newly became an equity method associate.

Accordingly, GungHo’s net income andloss up until June 1, 2015, when GungHo became an equity method associate, are presented as discontinued
operations separately from continuing operations.

The Company’s equity in the net income and loss of GungHo

following its transition to an equity method associate are recognized as income and loss on equity method investments
under continuing operations.

Net income and loss of GungHo for the three-month period ended June 30, 2014 (the“same period of the previous fiscal year”) are revised retrospectively and presented under discontinued operations.
Please refer to page 46 “10. Discontinued operations” under “3. Condensed Interim Consolidated Financial
Statements (6) Notes to Condensed Interim Consolidated Financial Statements” for details.

Three-month Period
Ended June 30, 2014

Fiscal Year Ended March 2015
Three-month Period
Three-month Period
Ended Sept. 30, 2014
Ended Dec. 31, 2014

Q1

Q2

Three-month Period
Ended Mar. 31, 2015

Q3

Q4

Fiscal Year Ending March 2016
Three-month Period
Ended June 30, 2015
Q1
June 1
GungHo changed to an equity
method associate from a subsidiary
Continuing
Operations

Discontinued Operations

Net income and loss from discontinued operations

2

Income and loss
on equity
methodinvestments

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

The main factors affecting earnings for the first quarter were as follows.
From the first quarter, the Company’s reportable segments have been changed to the Domestic Telecommunications
segment, the Sprint segment, the Yahoo Japan segment, and the Distribution segment.

Please refer to page 6 “b. Resultsby Segment” for details.
(Continuing Operations)(a) Net Sales
Net sales totaled ¥2,139,058 million, for a ¥190,794 million (9.8%) increase from the same period of the previous fiscal
year.

This resulted from increases in net sales of all the segments.

The Domestic Telecommunications segment’s net sales (for customers) amounted to ¥712,697 million, for a ¥45,981
million (6.9%) increase year on year.

The main reason for the increase was an increase in product sales at SoftBank

Corp.
The Sprint segment’s net sales (for customers) totaled ¥937,813 million, for a ¥41,770 million (4.7%) year-on-yearincrease.

The main reason for the increase was the yen’s depreciation against the U.S. dollar in the first quartercompared to the same period of the previous fiscal year, while the U.S. dollar based net sales decreased year on year.
The Distribution segment’s net sales (for customers) amounted to ¥284,180 million, for a ¥69,176 million (32.2%)
year-on-year increase.

The main reason for the increase was an increase in sales of mobile devices for Sprint.

Since

September 2014, the sales of mobile devices at Sprint which were previously sold directly from Sprint to dealers, has
gradually been shifted to selling to dealers via Brightstar to pursue higher distribution efficiency.

(b) Operating Income
Operating income totaled ¥343,552 million, for an increase of ¥24,200 million (7.6%) year on year.

The main reasonsfor the increase were increases in income in the Domestic Telecommunications and the Sprint segments of ¥9,653
million and ¥9,095 million respectively.

(c) Finance Cost
Finance cost totaled ¥105,511 million, for a ¥20,526 million (24.2%) increase year on year.

The increase was mainly

due to an increase in finance cost at Sprint caused by the yen’s depreciation in the first quarter compared to the same
period of the previous fiscal year.
(Millions of yen)

Finance cost
SprintThree-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

84,985105,511

20,52624.2%

55,17968,98913,81025.0%

3ChangeChange %SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(d) Income and Loss on Equity Method Investments
Income on equity method investments was ¥80,602 million, an improvement of ¥144,027 million year on year (loss of¥63,425 million was recorded in the same period of the previous fiscal year).

Income on equity method investments

includes income on equity method investments related to Alibaba of ¥64,094 million (loss of ¥65,285 million wasrecorded in the same period of the previous fiscal year) and income on equity method investments related to GungHoof ¥357 million (no entry was recorded in the same period of the previous fiscal year) after application of equity-method
accounting on June 1, 2015.
(Millions of yen)Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

Income and loss on equity
method investments(63,425)80,602

144,027-

Alibaba(65,285)

64,094

129,379-

ChangeChange %(e) Other Non-operating Income and Loss
Other non-operating income was ¥80,030 million, an increase of ¥69,813 million year on year (other non-operating
income of ¥10,217 million was recorded in the same period of the previous fiscal year).

This was mainly because ofrecording remeasurement gain from financial assets at FVTPL of ¥84,272 million for changes in the fair value of theCompany’s financial assets at FVTPL during the period from March 31, 2015 (the “end of the previous fiscal year”) to
June 30, 2015 (the “end of the first quarter”).

Financial assets at FVTPL includes preferred shares of Jasper Infotech

Private Limited, which operates the e-commerce website snapdeal.com in India, and ANI Technologies Pvt. Ltd., which
operates the taxi booking platform Ola also in India.
Financial assets at FVTPL (Fair Value Through Profit or Loss) is a class of financial instruments under IFRSs.

The

fair values of financial assets at FVTPL are required to be measured at the end of each quarter, with changes to berecognized as net income or loss.
Please refer to page 46 “9. Other non-operating income” under “3. Condensed Interim Consolidated Financial
Statements (6) Notes to Condensed Interim Consolidated Financial Statements” for details.

(f) Income before Income Tax
As a result of (b) to (e), income before income tax was ¥398,673 million, an increase of ¥217,514 million (120.1%) year
on year.

(g) Income Taxes
Provisions for current income taxes were ¥141,688 million, an increase of ¥60,860 million (75.3%) year on year.

Taxeffects were recognized in principle for income on equity method investments in associates, such as Alibaba, and gainfrom financial assets at FVTPL.

(h) Net Income from Continuing Operations
As a result of (f) and (g), net income from continuing operations totaled ¥256,985 million, for a ¥156,654 million

4SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(156.1%) year-on-year increase.

(Discontinued Operations)(i) Net Income and Loss from Discontinued Operations
Net loss from discontinued operations resulted in ¥6,968 million (net income of ¥10,977 million was recorded in thesame period of the previous fiscal year).

This was due to recording ¥12,739 million for loss relating to loss of control

in discontinued operations related to GungHo, while also recording income after income tax of ¥5,632 million for theperiod from April 1 to June 1, 2015 as well as other expenses.

The amount of loss relating to loss of control in

discontinued operations is the difference between the carrying amount of GungHo on consolidated basis and its fairvalue, which is the closing share price of GungHo multiplied by the number of its shares held by the Company, at thetime of loss of control over GungHo on June 1, 2015.

(j) Net Income
As a result of (h) and (i), net income amounted to ¥250,017 million, a ¥138,709 million (124.6%) year-on-year increase.

(k) Net Income Attributable to Owners of the Parent
After deducting net income attributable to non-controlling interests such as Yahoo Japan Corporation, Supercell, and
GungHo, from (j), net income attributable to owners of the parent amounted to ¥213,382 million, for a ¥135,808 million(175.1%) increase year on year.

(l) Comprehensive Income
Comprehensive income totaled ¥351,838 million, for a ¥283,949 million (418.3%) year-on-year increase.

Of this,comprehensive income attributable to owners of the parent was ¥302,837 million, for a ¥259,059 million (591.8%) yearon-year increase.

5SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015b. Results by Segment
The Company’s reportable segments are components of business activities for which decisions on resource allocation
and assessment of performance are made.
In preparation for the transition to “SoftBank 2.0,” the Company has initiated its transformation from a strong
Japanese business with global assets to a global business that will strive to create sustainable growth over the longterm.

In line with this, the Company has revised its segment classifications and changed its reportable segments fromthe first quarter as follows:< Before the Change >Segments

MobileCommunications

Reportablesegments

Main Businesses
・Provision of mobile communications services inJapan・Sale of PC software and peripherals
・Production and distribution of online games for
smartphones and other devices

Core Companies
Former SoftBank Mobile Corp.
Former Ymobile Corporation
Wireless City Planning Inc.
Brightstar Corp.
Former SoftBank Telecom Corp.
GungHo Online Entertainment, Inc.
Supercell Oy
Sprint Corporation

・Provision of mobile communications services bySprint in the U.S.
・Sale of mobile devices and accessories accompanying
Sprintthe above services
・Provision of fixed-line telecommunications services
by Sprint
・Provision of telecom services such as fixed-line
Former SoftBank Telecom Corp.
telephone and data communications services toFormer SoftBank BB Corp.
Fixed-line
Former Ymobile Corporation
domestic corporate customers
Yahoo Japan Corporation
Telecommunications ・Provision of broadband services to domestic retailcustomers
・Services accompanying the above services
・Internet advertising
Yahoo Japan Corporation
Internet・e-commerce business・Membership services
・Fukuoka SoftBank HAWKS related businesses
Fukuoka SoftBank HAWKS Corp.
Others< After the Change >Segments

Reportablesegments

Main Businesses

Core Companies

・Provision of mobile communications services in
SoftBank Corp.
Japan
Wireless City Planning Inc.
・Sale of mobile devices in Japan・Provision of broadband services to retail customers in
Domestic
Telecommunications Japan・Provision of telecom services to corporate customers
in Japan, such as data communications and fixed-line
telephone services
・Provision of mobile communications services in the Sprint Corporation
U.S.
・Sale and lease of mobile devices and sale ofSprintaccessories in the U.S.
・Provision of fixed-line telecommunications services
in the U.S.
・Internet advertising
Yahoo Japan Corporation
Yahoo Japan・e-commerce business・Membership services
・Distribution of mobile devices overseas
Brightstar Corp.
Distribution
・Sale of PC software, peripherals, and mobile device SoftBank Commerce & Service
accessories in Japan
Corp.
・Production and distribution of online games forSupercell Oy
Otherssmartphones and other devices
Fukuoka SoftBank HAWKS Corp.
・Fukuoka SoftBank HAWKS related businesses

6SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

Notes:
1. The results for the same period of the previous fiscal year are presented in accordance with the reportable segments after
the change.
2. The results at Yahoo Japan Corporation related to Yahoo! BB, the broadband service which is run jointly by SoftBank Corp.
and Yahoo Japan Corporation, are included under the Yahoo Japan segment after the change. The results were previously
included under the Fixed-line Telecommunications segment.
3. The calculation method of segment income has been changed from the first quarter as follows:
Before the change:
Segment income = (net sales – cost of sales – selling, general and administrative expenses) in each segment
After the change:
Segment income = (net sales – cost of sales – selling, general and administrative expenses + other operating income (loss))in each segment
4. EBITDA in each segment = (segment income + depreciation and amortization – other operating income (loss)) in eachsegment(a) Domestic Telecommunications Segment(Millions of yen)Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

Net sales

671,256

720,567

49,311

7.3%

EBITDA

309,930

321,940

12,0103.9%

Depreciation andamortization(105,164)(107,521)(2,357)

2.2%

Other operating
income (loss)

-

-

-

-

Segment income

204,766

214,419

9,653

4.7%

ChangeChange %< Overview of the Segment >The Domestic Telecommunications segment comprises the subsidiaries that operate domestic telecommunications
businesses, such as SoftBank Corp. and Wireless City Planning Inc.

SoftBank Corp. provides (i) mobile

communications services under the SoftBank and Y!mobile brands, (ii) broadband services for retail customers, suchas SoftBank Hikari1 and Yahoo! BB, and (iii) fixed-line telecommunications services for corporate customers, suchas data communications and fixed-line telephone services.

Wireless City Planning Inc. provides broadband

wireless access (BWA) services using the 2.5GHz band.
The net sales of the segment are categorized as telecom service revenue and product and other sales.

Telecom

service revenue includes the communication revenues of each service (i)-(iii) above, as well as device warrantee
service revenue, advertising revenue, and content-related revenues.

Product and other sales include the sales ofmobile devices for mobile communications services and the sales of customer premises terminal for broadband
services.

1

A fiber-optic service using the wholesale fiber-optic connection of NIPPON TELEGRAPH AND TELEPHONE EAST CORPORATION (“NTTEast”) and NIPPON TELEGRAPH AND TELEPHONE WEST CORPORATION (“NTT West”).

7SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

< Breakdown of Net Sales >(Millions of yen)Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

Telecom service revenue

573,313578,702

5,389

0.9%

Mobile communications

478,945

482,412

3,467

0.7%

Broadband

33,061

37,480

4,419

13.4%

Fixed-line
telecommunications

61,30758,810

Product and other sales

97,943

141,865(2,497)43,922(4.1%)

44.8%

Total net sales

671,256

720,567

49,311

7.3%

ChangeChange %< Overview of Operations >The segment’s net sales increased by ¥49,311 million (7.3%) year on year to ¥720,567 million.

Of this, telecom

service revenue increased by ¥5,389 million (0.9%) year on year to ¥578,702 million, while product and other sales
increased by ¥43,922 million (44.8%) year on year to ¥141,865 million due to brisk shipments of mobile devices.
The increase in telecom service revenue reflected an increase in broadband service revenue following the startupof the SoftBank Hikari fiber-optic service (launched in March 2015), as well as an increase in mobile communications
service revenue.
Telecom service revenue related to mobile communications services increased by ¥3,467 million (0.7%) year on
year to ¥482,412 million primarily due to an increase in the number of main subscribers, which were partially offset
by a decrease in PHS subscribers. The main drivers of revenue and profit in mobile communications services arereferred to as the Company’s “main subscribers,” which includes subscribers for smartphones, feature phones, tablets,
and mobile data communication devices.

The Company makes a focused effort to acquire and retain these main

subscribers.
EBITDA increased by ¥12,010 million (3. 9%) year on year to ¥321,940 million.

Operating expenses (hereinafter

excluding depreciation and amortization) increased by ¥37,301 million (10.3%) year on year to ¥398,627 million.
The main factors affecting operating expenses are as follows.
・Cost of products increased by ¥29,913 million (41.3%) year on year, primarily reflecting an increase in thenumber of mobile devices shipped.2

On the other hand, the gross margin on product sales improved due toa year-on-year improvement in valuation loss of mobile device inventories.
・Sales commission fees increased by ¥6,197 million (8.6%) year on year.

This was mainly due to a year-on-

year increase in the number of units sold.
・Telecommunications network charges increased by ¥7,738 million (24.6%) year on year.

This primarilyreflected an increase in access charges paid to other operators as a result of an increase in the amount of calls
made by SoftBank Corp. mobile communications service subscribers to subscribers of other operators,

2

The number of devices shipped (sold) to dealers.
SoftBank ONLINE SHOP.

Includes the number of devices sold to customers at stores operated by SoftBank Corp. and the8SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

coupled with an increase in subscribers to the Smartphone Flat-rate mobile communication service price plan
(launched in July 2014) providing unlimited voice calls at a flat rate.
・Outsourcing expenses decreased by ¥8,498 million (27.7%) year on year.

This mainly reflected efficiency

gains in outsourced operations related to customer service and network maintenance following the absorptionof SoftBank BB Corp., SoftBank Telecom Corp., and Ymobile Corporation by SoftBank Corp. (formerly
SoftBank Mobile Corp.) in April 2015.
Depreciation and amortization increased by ¥2,357 million (2.2%) year on year to ¥107,521 million.
As a result of the above, segment income increased by ¥9,653 million (4.7%) year on year to ¥214,419 million.

< Overview of Business Operations >The following is an overview of the business operations of the mobile communications and broadband services of
SoftBank Corp. among the segment’s businesses.

The analysis for mobile communications services focuses on

main subscribers, looking at its number of subscribers, ARPU, number of units sold, and churn rate.

< Changes in Presentation Method and Definitions of Principal Operational Data >The presentation method and definitions for the principal operational data of mobile communications services havebeen changed from the first quarter. The main changes are as follows:
・The total number of subscribers for SoftBank and Y!mobile services are categorized and presented as main
subscribers, communication modules, and PHS. Main subscribers include the service contracts that are the main
focus of management strategy; namely, smartphones, feature phones, tablets, and mobile data communication
devices.
・ARPU, number of units sold, and churn rates are presented based on data of main subscribers.
・ARPU for main subscribers is separately presented as “telecom ARPU” and “service ARPU.” Telecom ARPU
is calculated by dividing data-related revenue, basic monthly charges, and voice-related revenues by the numberof active subscribers. Service ARPU is calculated by dividing device warrantee service revenue, advertising
revenue, and content-related revenues, etc., by the number of active subscribers.
・The number of subscribers, ARPU, number of units sold and churn rates for the fiscal year ended March 31, 2015
are also presented based on data of main subscribers.
Please refer to page 18 “(Reference 1: Principal Operational Data) (a) SoftBank Corp. < Changes in Presentation
Method and Definitions of Principal Operational Data >.” for details of the changes. For definitions and calculation
methods of subscribers, ARPU, and churn rate at SoftBank Corp., please refer to page 20 “(Reference 2: Definitions
and Calculation Methods of Principal Operational Data) (a) SoftBank Corp.”

9

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

< Mobile Communications Service >・Subscribers (Main Subscribers)
The cumulative number of main subscribers of mobile communications services at the end of the first quarter stoodat 31,565,000, an increase of 20,000 from the previous fiscal year-end.

A subscriber net addition in smartphones,

tablets, and mobile data communication devices was partially offset by a net loss in feature phones.
(Thousands)

As of March 31, 2015
Cumulative number ofsubscribers

As of June 30, 2015

31,545

Change31,56520・ARPU (Main Subscribers)
Total ARPU for main subscribers of mobile communications services for the first quarter decreased by ¥40 year on
year to ¥4,660.
Of this, telecom ARPU declined by ¥80 year on year to ¥4,140.

This was mainly due to a decline in voice-related

revenues accompanying the higher penetration of the Smartphone Flat-rate, which were partially offset by anincrease in the compositional ratio of smartphone subscribers within the cumulative number of subscribers.

The

Company expects the negative impact from the Smartphone Flat-rate on telecom ARPU to be reduced going forward,
as the migration of a majority of customers with high voice usage to the Smartphone Flat-rate is complete by the endof the first quarter.
Service ARPU increased ¥40 year on year to ¥520.

The Company will strive to increase total ARPU going

forward by aggressively pursuing the increase of service ARPU.
(Yen)

Three-month Period Ended
June 30, 2014

Three-month Period Ended
June 30, 2015

4,700

4,660

(40)

Telecom ARPU

4,220

4,140

(80)

Service ARPU

480

520

40

Total ARPU

10

ChangeSoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

・Number of Units Sold (Main Subscribers)
The number of units sold3 for main subscribers of mobile communications services for the first quarter increased by
203,000 year on year to 2,197,000. This was mainly due to a year-on-year increase of 217,000 in the number ofdevice upgrades, mainly reflecting the impact of an aggressive promotional campaign4 for upgrading customers.
(Thousands)

Three-month Period Ended
June 30, 2014

Three-month Period Ended
June 30, 2015

1,994

2,197

203

New subscriptions

1,182

1,168

(14)

Device upgrades

812

1,029

217

Units Sold

Change・Churn Rate (Main Subscribers)
Churn rate for main subscribers of mobile communications services for the first quarter was 1.24%, up 0.05 of apercentage point year on year.

This was mainly due to an increase in churn for smartphones reaching the end of

their two-year subscriptions.
To increase the number of main subscribers of mobile communications services, it is important to lower the churnrate as well as acquire new customers.

After making significant progress on improving the network connectivity,

which has been a longstanding issue, the Company is now executing initiatives targeting lower churn rates over the
medium term.

The initiatives include improving the quality of customer service at sales channels such as SoftBank

Stores, as well as expanding the Smartphone & Internet Bundle Discount launched in March 2015, which offers a
discount on the communication charges of mobile phones to customers subscribing to bundled packages including
mobile phones and broadband services such as SoftBank Hikari.

Churn rate

Three-month Period Ended
June 30, 2014

Three-month Period Ended
June 30, 2015

1.19%

1.24%

3

Change0.05 pp

The total number of new subscriptions and device upgrades. New subscriptions where customers switch between SoftBank and Y!mobile using Mobile
Number Portability (MNP) are included in the number of device upgrades.
4
A promotional campaign for customers upgrading to certain mobile phones including iPhone, offering them a trade-in on their previous mobile phone
for either a discount on their monthly service charges or points.

11

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

< Broadband Service >The cumulative number of subscribers for broadband services at the end of the first quarter stood at 4,452,000, for
an increase of 95,000 from the previous fiscal year-end.

The increase mainly reflected an increase of 222,000

subscribers to SoftBank Hikari, 5 while subscribers to Yahoo! BB hikari with FLET’S 6 and Yahoo! BB ADSL 7
decreased by 62,000 and 65,000, respectively.
After the launch of SoftBank Hikari, a fiber-optic service, in March 2015, the main focus of broadband services
has been shifted from Yahoo! BB hikari with FLET’S to SoftBank Hikari and the Company is now working to acquire
customers through sales channels nationwide such as electronics retail stores and SoftBank Stores.

SoftBank Hikari

5

ARPU for the first quarter was ¥4,270, higher than that of Yahoo! BB hikari with FLET’S (¥1,830 for the first quarter)
and Yahoo! BB ADSL (¥2,680 for the first quarter).

The Company therefore expects a steady increase in telecom

service revenue of broadband services in step with the increase in subscribers to SoftBank Hikari.
(Thousands)

As of March 31, 2015

As of June 30, 2015

ChangeCumulative subscribers

4,357

4,452

95

SoftBank Hikari5

119

341

222

Yahoo! BB hikariwith FLET’S

2,672

2,610

(62)

Yahoo! BB ADSL

1,566

1,501

(65)

5

Includes the number of subscribers and ARPU of SoftBank Air, the high-speed wireless internet service available through the Air terminal the connection
terminal
6
An Internet service provider (ISP) service offered as a package with NTT East and NTT West’s FLET’S Hikari Series fiber-optic connection
7
A service combining an ADSL connection service and an ISP service

12SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(b) Sprint Segment(Millions of yen)Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

ChangeChange %Net sales

897,737

973,994

76,257

8.5%

EBITDA

190,326

259,172

68,84636.2%

Depreciation andamortization(128,621)(190,278)(61,657)

47.9%

Other operating
income (loss)(1,212)

694

1,906

-

Segment income

60,49369,588

9,095

15.0%

(Reference: U.S. dollar based results (IFRSs)(Millions of U.S. dollars)

Net sales

8,789

8,027

(762)

(8.7%)EBITDA

1,863

2,136

273

14.7%

Segment income

592

574

(18)

(3.0%)

Avg. exchange rate
USD/ JPY

102.14121.34

19.2

18.8%

< Overview of Operations >The segment’s net sales increased by ¥76,257 million (8.5%) year on year to ¥973,994 million.

The main factor

behind the overall increase was the yen’s depreciation against the U.S. dollar by 18.8% in the first quarter comparedto the same period of the previous fiscal year, although net sales declined in U.S. dollar terms by $762 million (8.7%)
year on year.

The decrease in U.S. dollar net sales mainly reflected a decrease in Sprint platform8 postpaid ARPU9compared to the same period of the previous fiscal year.
EBITDA increased by ¥68,846 million (36.2%) year on year to ¥259,172 million.
increase in EBITDA in U.S. dollar terms by $273 million (14.7%).

This mainly reflected an

Another contributing factor was the yen’s

depreciation against the U.S. dollar in the first quarter compared to the same period of the previous fiscal year.
On a U.S. dollar basis, EBITDA increased primarily as a result of a decrease in cost of goods, despite a decreasein net sales.

The decrease in cost of goods mainly occurred because the compositional ratio of postpaid units soldunder the leasing program, which started in September 2014, reached 51% of the number of Sprint platform postpaid
units sold (excluding wholesale and affiliate) in the first quarter.

This was partially offset by the increase in thenumber of Sprint platform postpaid units sold in the first quarter by around 5% compared to the same period of theprevious fiscal year.

89

Sprint-operated CDMA and LTE networks
For definitions and calculation methods of ABPU/ARPU and churn rate of the Sprint platform, see page 21 “(Reference 2: Definitions and Calculation
Methods of Principal Operational Data) (b) Sprint Platform.”

13

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

For the conventional sales of mobile devices, including the installment billing method, the sale of the devices andthe cost of goods are recognized at the point of sale.

However, under the leasing program, lease revenue isrecognized throughout the period of the lease (typically 24 months), along with depreciation expenses for thecapitalized leased devices.
Depreciation and amortization increased by ¥61,657 million (47.9%) year on year to ¥190,278 million, reflecting
the increase in leased mobile devices and the expansion of telecommunications equipment.

Other operating income

was ¥694 million (loss of ¥1,212 million was recorded in the same period of the previous fiscal year).
As a result of the above, segment income increased by ¥9,095 million (15.0%) year on year to ¥69,588 million.
Since the amounts of lease revenues and depreciation on capitalized leased devices are essentially the same, anincrease in sales under the leasing program will contribute to an increase in EBITDA, but will only have a slight
impact on segment income.

< Overview of Business Operations >・Number of Subscribers (Sprint Platform)
The Sprint platform had 675,000 net subscriber additions for the first quarter. This represented a net addition of
731,000 in wholesale and affiliate, driven mainly by growth in the number of communication modules, and a net
addition of 310,000 in postpaid due to factors such as a decrease in the number of deactivations in phones. This waspartially offset by a net loss of 366,000 in prepaid. As a result, the cumulative number of Sprint platform subscribers
at the end of the first quarter stood at 56,812,000.

Among postpaid subscribers, the net loss in postpaid phone

subscribers for the first quarter was 12,000, compared to a net loss of 620,000 in the same period of the previous fiscal
year.

・ABPU (Sprint Platform)
Sprint platform postpaid ABPU9 for the first quarter was $61.67 for a $1.92 year-on-year decrease.

This was mainly

due to a customer shift to lower price plans offered in conjunction with device financing programs such as installment
sales and leases. There was also an impact from a decline in the composition ratio of phone subscriptions, whose
ARPU is high, and an increase in the ratio of tablet subscriptions, whose ARPU is lower than that of phones. The
decline was partially offset by higher equipment billings10 due to the increased adoption of device financing programs.

・Churn Rate (Sprint Platform)
The Sprint platform postpaid churn rate9 for the first quarter was 1.56%, down 0.49 of a percentage point year on
year.

The decrease in the churn rate was primarily attributable to network performance improvements, as well as adecrease in deactivations due to non-payment of service charges following focused efforts to acquire customers withhigher credit quality beginning in August 2014.

10

The sum of installment billings under the installment billing program and lease fees under the leasing program

14

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(c) Yahoo Japan Segment(Millions of yen)Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

Net sales

98,779110,455

11,676

11.8%

EBITDA
Depreciation andamortization

50,87154,498

3,627

7.1%

(3,653)(5,646)(1,993)

54.6%

Other operating
income (loss)

-

-

-

-

Segment income

47,21848,852

1,634

3.5%

The segment’s net sales increased by ¥11,676 million (11.8%) year on year to ¥110,455 million.

This increase was

ChangeChange %< Overview of Operations >mainly a result of revenue growth in the advertising business at Yahoo Japan Corporation, driven by an increase insales of display advertising.11
EBITDA increased by ¥3,627 million (7.1%) year on year to ¥54,498 million primarily due to the increase in net
sales.
Depreciation and amortization increased by ¥1,993 million (54.6%) year on year to ¥5,646 million, due tocontinuing capital expenditure related to big data.
As a result of the above, segment income increased by ¥1,634 million (3.5%) year on year to ¥48,852 million.

11

Display advertising is graphical, Flash®, and video advertising that appears on a certain defined area and includes premium advertisements such as
Brand Panel shown on Yahoo! JAPAN’s top page and Yahoo! Display Ad Network, which shows advertisements most suitable to the user based on thecontent the user is viewing and their interests, attributes, and geographical location.

15

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(d) Distribution Segment(Millions of Yen)

Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

225,126

303,743

78,617

34.9%

Net Sales

ChangeChange %EBITDA
Depreciation andamortization

3,102

2,817

(285)

(9.2%)(2,446)(2,406)40(1.6%)

Other operating
income (loss)

1,787

-

(1,787)-

Segment income

2,443

411

(2,032)(83.2%)< Overview of the Segment >The Distribution segment comprises subsidiaries such as Brightstar Corp. and SoftBank Commerce & Service Corp.
Brightstar Corp. became a subsidiary of the Company on January 30, 2014.

Its operations include a wholesaling

business purchasing mobile devices from manufacturers and distributing them to telecommunications operators andretailers in countries around the world.

SoftBank Commerce & Service Corp.’s operations include the sale ofmobile device accessories and IT-related software and hardware in Japan.

< Overview of Operations >The segment’s net sales increased by ¥78,617 million (34.9%) year on year to ¥303,743 million.
due to an increase in sales of mobile devices for Sprint.

This was mainly

Since September 2014, the sales of mobile devices at Sprint

which were previously sold directly from Sprint to dealers, has gradually been shifted to selling to dealers via
Brightstar to pursue higher distribution efficiency.

This increase of sales outweighed a decrease in sales associatedwith the termination of a mobile device wholesale supply contract with Verizon Communications Inc. and acontraction in the mobile device OEM business being conducted in Argentina (contracted manufacturing for mobile
device manufacturers).

Another factor increasing the net sales was the yen’s depreciation against the U.S. dollar by

18.8% in the first quarter compared to the same period of the previous fiscal year.
EBITDA declined by ¥285 million (9.2%) year on year to ¥2,817 million.

This was mainly attributable to theabovementioned termination of the mobile device wholesale supply contract with Verizon Communications Inc. andcontraction of the mobile device OEM business in Argentina.
Depreciation and amortization decreased by ¥40 million (1.6%) year on year to ¥2,406 million.
As a result of the above, segment income was ¥411 million, down ¥2,032 million (83.2%) from the same periodof the previous fiscal year.

Of this, segment income at SoftBank Commerce & Service Corp. declined by ¥528

million (19.7%) year on year due to factors such as the absence of a surge in PC replacement demand that occurredin the same period of the previous fiscal year in conjunction with Microsoft Corporation ending support for Windows
XP in April 2014, despite continued strong performance in the highly profitable mobile device accessories business.

16SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(Reference 1: Principal Operational Data)(a) SoftBank Corp.
< Mobile Communications Service >Fiscal YearEndingMarch 2016

Fiscal Year Ended March 2015
Three-month
Period Ended
June 30, 2014
Q1

Three-month
Period Ended
Sept. 30, 2014
Q2

Three-month
Period Ended
Dec. 31, 2014
Q3

Three-month
Period Ended
Mar. 31, 2015
Q4

Fiscal Year
Ended
Mar. 31, 2015
Full Year

Three-month
Period Ended
June 30, 2015
Q1

31,54531,565Main subscribers12
Cumulative subscribers

Thousands

30,86831,01831,173

Net additions

Thousands

80

150

155

373

758

20

Total ARPU12¥ / month

4,700

4,710

4,710

4,580

4,670

4,660

Telecom ARPU12¥ / month

4,220

4,230

4,230

4,080

4,190

4,140

Service ARPU12¥ / month

480

480

490

500

490

520

Churn rate12% / month

1.19

1.30

1.38

1.57

1.36

1.24

Units sold13

Thousands

1,994

2,864

3,587

3,236

11,681

2,197

New subscriptions

Thousands

1,182

1,365

1,387

1,817

5,750

1,168

Device upgrades

Thousands

812

1,499

2,201

1,419

5,930

1,029

Overall mobile communications
Cumulative subscribers

Thousands

44,56444,90044,88744,88644,417Main subscribers12

Thousands

30,86831,01831,17331,54531,565

Communication
modules12

Thousands

8,426

8,723

8,787

8,615

8,322

PHS

Thousands

5,271

5,160

4,927

4,726

4,530

4,242

4,243

4,256

4,357

4,452

119

341

< Broadband Service >Cumulative subscribers

Thousands

SoftBank Hikari12、14

Thousands

Yahoo!BB hikari with
FLET’S12、15

Thousands

2,531

2,583

2,638

2,672

2,610

Yahoo! BB ADSL12、16

Thousands

1,711

1,660

1,618

1,566

1,501

ARPU12
SoftBank Hikari12、14¥ / month

Yahoo! BB hikari with
FLET’S12、15¥ / month

1,770

1,830

1,840

1,830

1,820

1,830

Yahoo! BB ADSL12、16¥ / month

2,870

2,830

2,780

2,740

2,810

2,680

3,100

4,270

Note:
5. The presentation method and definitions for the principal operational data of SoftBank Corp.’s mobile communications service has
been changed from the first quarter of the fiscal year ending March 2016. Please refer to “<Changes in Presentation Method andDefinitions of Principal Operational Data>” for details. Data for the fiscal year ended March 31, 2015 are also presented based on
the new definitions.

12

For definitions and calculation methods of subscribers, churn rate, and ARPU at SoftBank Corp., see page 20 “(Reference 2: Definitions andCalculation Methods of Principal Operational Data) (a) SoftBank Corp.”
13
The total number of new subscriptions and device upgrades. New subscriptions where customers switch between SoftBank and Y!mobile using MNP
are included in the number of device upgrades.
14
A fiber-optic service using the wholesale fiber-optic connection of NTT East and NTT West. Includes the number of subscribers and ARPU of
SoftBank Air.
15
An ISP service offered as a package with NTT East and NTT West’s FLET’S Hikari Series fiber-optic connection
16
A service combining an ADSL connection service and an ISP service

17

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

< Changes in Presentation Method and Definitions of Principal Operational Data >SoftBank Mobile Corp., the company that operates domestic telecommunications businesses, absorbed SoftBank BB Corp.,
SoftBank Telecom Corp., and Ymobile Corporation on April 1, 2015 and was renamed SoftBank Corp. on July 1, 2015.
In line with this, the presentation method and definitions of the principal operational data of SoftBank Corp.’s mobile
communications services were also changed from the first quarter of the fiscal year ending March 2016.
The main changes are as follows.

The number of subscribers are categorized as “main subscribers,” which are the main

focus in terms of management strategy, with the remaining number of subscribers classified under “communication
modules” and “PHS.”

In addition, some services have been removed from the scope of inclusion for subscriber numbers.

i. Presentation Method
Number of subscribers
Before the change: respective numbers of subscribers for the former SoftBank Mobile Corp. and former Ymobile
Corporation were presented
After the change: the number of subscribers at SoftBank Corp. is presented in the following categories
Category
Main subscribers

Details
Smartphones, Note 6 feature phones, tablets, mobile data communication devices, Note 7 others

Communication modules

Communication modules, Note 8Mimamori Phone, prepaid mobile phones, others

PHS

PHS

Notes:
6. Smartphones to which the Smartphone Family Discount are applied are included under communication modules. The
Smartphone Family Discount is a promotion offering discounts to the family members of upgrading existing customers when
they use the old handset and make a new subscription.
7. Mobile data communication devices to which the Data Card 2-Year Special Discount are applied are included undercommunication modules. The Data Card 2-Year Special Discount is a price plan based on usage of traffic with a free basic flat
rate. It is provided to customers using a data card with a contract period of two years or more.
8. Communication modules that use PHS networks are included under PHS.

ARPU, number of units sold, and churn rate
Before the change: ARPU was calculated based on all the subscribers and revenues of the former SoftBank Mobile
Corp. excluding those of communication modules. The number of units sold and churn rates were
calculated based on all the subscribers of the former SoftBank Mobile Corp.
After the change: all the data are calculated based on the data for main subscribers at SoftBank Corp.
ii. Definitions
Scope of inclusion for number of subscribers
Before the change: including the contracts described below
After the change: excluding the contracts described below
The overlapping portion of mobile data communications devices Note 9 compliant with the spectrums of former SoftBank
Mobile Corp. and former Ymobile Corporation, etc. (number of subscribers as of March 31, 2015: 2,897,000)
Note:
9. Mobile data communication device provided by the former SoftBank Mobile Corp. and former Ymobile Corporation that arecompatible with both companies’ spectrums. The devices were provided from February 2009 through a business alliance, prior
to the acquisition of the former eAccess Ltd. by SoftBank Corp. (currently SoftBank Group Corp.). Previously, the numbers ofsubscribers for these devices were included in the respective numbers of subscribers of both companies.

18

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(b) Sprint

Three-month
Period Ended
June 30, 2014

Three-month
Period Ended
Sept. 30, 2014

Three-month
Period Ended
Dec. 31, 2014

Three-month
Period Ended
Mar. 31, 2015

Fiscal Year
Ended Mar. 31,
2015

Fiscal YearEnding March
2016
Three-month
Period Ended
June 30, 2015

Q1

Q2

Q3

Q4

Full Year

Q1

Fiscal Year Ended March 2015

Thousands

54,55355,03755,92957,141

57,668Sprint platform

Thousands

53,331

53,92154,88856,13756,812

Postpaid

Thousands

29,737

29,46529,49529,70630,016

Prepaid
Wholesale andaffiliate

Thousands

14,715

14,75015,16015,706

15,340Thousands

8,879

9,706

10,233

10,725

11,456

Thousands

1,222

1,116

1,041

1,004

856

Net additions17

Thousands

(220)

590

967

1,249

2,586

675

Postpaid

Thousands

(181)

(272)

30

211

(212)

310

Prepaid
Wholesale andaffiliate

Thousands

(542)

35

410

546

449

(366)

Thousands

503

827

527

492

2,349

731

Postpaid ABPU19$ / month

63.59

62.75

62.16

61.71

61.67

Postpaid$ / month

62.07

60.58

58.90

56.94

55.48

Prepaid$ / month

27.38

27.19

27.12

27.50

27.81

Postpaid% / month

2.05

2.18

2.30

1.84

1.56

Prepaid% / month

4.44

3.76

3.94

3.84

5.08

Cumulative subscribers17

Sprint total

Sprint platform

U.S. Cellular andClearwire18

ARPU19Churn rate 19

17

Includes the number of communication module service subscribers
Subscribers acquired through the acquisition of assets from U.S. Cellular Corporation (“U.S. Cellular”) and Clearwire Corporation (“Clearwire”).
19
For definitions and calculation methods of ABPU/ARPU and churn rate of the Sprint platform, see page 21 “(Reference 2: Definitions andCalculation Methods of Principal Operational Data) (b) Sprint Platform.”
18

19

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(Reference 2: Definitions and Calculation Methods of Principal Operational Data)(a) SoftBank Corp.
< Mobile Communications Service >i. Subscribers
The following categories serve as cover-all terms for the service contracts described.
Main subscribers: smartphones, Note 10 feature phones, tablets, mobile data communications devices, Note 11 others
Communication modules: communication modules, Note 12 Mimamori Phone, prepaid mobile phones, others
PHS: PHS
Notes:
10. Smartphones to which the Smartphone Family Discount are applied are included under communication modules.
11. Mobile data communication devices to which the Data Card 2-Year Special Discount are applied are included undercommunication modules.
12. Communication modules that use PHS networks are included under PHS.

Principal Operational Data for Main Subscribers
i. ARPU
ARPU: Average Revenue Per User per month
Total ARPU = (data-related revenue + basic monthly charge and voice-related revenues + device warrantee services +advertising revenue + content-related revenues, etc.) / number of active subscribers (rounded to the nearest ¥10)
Telecom ARPU = (data-related revenue (packet communication and flat-rate charges, basic monthly Internet connection chargesetc.) + basic monthly charge and voice-related revenues (basic monthly usage charges, voice call charges,
revenues from incoming calls, etc.)) / number of active subscribers (rounded to the nearest ¥10)
Service ARPU = (device warrantee services, advertising revenue, content-related revenues, etc.) / number of active subscribers(rounded to the nearest ¥10)
Number of active subscribers: the total of the monthly numbers of active subscribers for the relevant period((subscribers at the beginning of the month + subscribers at the end of the month) / 2)
Revenues from incoming calls: interconnection charges received from other operators for voice calls from their customers on
their network to SoftBank and Y!mobile phones as a charge for the services provided in the
SoftBank Corp. service area.

ii. Churn rate
Churn rate: average monthly churn rate (rounded to the nearest 0.01%)
Churn rate = number of churn / number of active subscribers for the relevant period. The number of churn excludes thenumber of subscribers who switch between SoftBank and Y!mobile using MNP.
Number of active subscribers: the total of the monthly numbers of active subscribers for the relevant period((subscribers at the beginning of the month + subscribers at the end of the month) / 2)

< Broadband Service >i. Subscribers
SoftBank Hikari subscribers:
Number of users for which connection construction of a fiber-optic line at central office of NTT East or NTT West is complete.
Includes the number of subscribers to SoftBank Air.
Yahoo! BB hikari with FLET’ S subscribers:
Number of users of Yahoo! BB hikari with FLET’ S for which connection construction of a fiber-optic line at the central office of
NTT East or NTT West is complete and who are provided with services
Yahoo! BB ADSL subscribers:
Number of users of Yahoo! BB ADSL for which connection construction of an ADSL line at the central office of NTT East or
NTT West is complete

20

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

ii. ARPU
ARPU: Average Revenue Per User per month (rounded to the nearest ¥10)
ARPU = Revenue of each broadband service / the number of active subscribers
SoftBank Hikari ARPU =SoftBank Hikari revenue (basic monthly charge + provider charge + Hikari BB unit rental charge + White hikari Phone and BB
Phone voice call charge + optional service charges, etc.) / the number of active SoftBank Hikari subscribers* Calculation of SoftBank Hikari ARPU includes revenues and subscribers of SoftBank Air.
Yahoo! BB hikari with FLET’ S ARPU =Yahoo! BB hikari with FLET’ S revenue (provider charge + Hikari BB unit rental charge + BB Phone voice call charge +optional service charges, etc. (excluding usage charges for FLET’S hikari and FLET’S hikari LIGHT)) / the number of active
Yahoo! BB hikari with FLET’S subscribers
Yahoo! BB ADSL ARPU =Yahoo! BB ADSL revenue (basic monthly charge + provider charge + modem rental charge + BB Phone voice call charge +optional service charges, etc.) / the number of active Yahoo! BB ADSL subscribers
Number of active subscribers: the total of the monthly numbers of active subscribers for the relevant period(subscribers at the beginning of the month + subscribers at the end of the month) / 2(b) Sprint Platform
i. ABPU/ARPUABPU: Average Billings Per User per month (rounded to the nearest $.01)
ABPU = (service revenue + equipment billings) / number of active subscribers
Equipment billings: the sum of installment billings under the installment billing program and lease fees under the leasing
program
ARPU: Average Revenue Per User per month (rounded to the nearest $.01)
ARPU = service revenue / number of active subscribers
Number of active subscribers: the total of the monthly numbers of active subscribers for the relevant period(subscribers at the beginning of the month + subscribers at the end of the month) / 2

ii. Churn rate
Churn rate: average monthly churn rate (rounded to the nearest 0.01%)
Churn rate = number of deactivations / number of active subscribers
Deactivations: the total number of subscribers that churned during the relevant period. The number of deactivations excludes
the number of subscribers who switch between prepaid and postpaid.
Number of active subscribers: the total of the monthly numbers of active subscribers for the relevant period(subscribers at the beginning of the month + subscribers at the end of the month) / 2

21

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(Reference 3: Capital Expenditure and Depreciation and Amortization)(a) Capital Expenditure (Acceptance Basis)(Millions of yen)
Fiscal YearEnding March2016

Fiscal Year Ended March 2015
Three-month
Period Ended
June 30, 2014

Three-month
Period Ended
Sept. 30, 2014

Three-month
Period Ended
Dec. 31, 2014

Three-month
Period Ended
Mar. 31, 2015

Fiscal Year Ended
Mar. 31, 2015

Three-month
Period Ended
June 30, 2015

Q1

Q2

Q3

Q4

Full Year

Q1

Domestic
Telecommunications segment

130,281

133,170

140,713

177,587

581,751

72,440Sprintsegment

148,793

162,025

213,765

175,266

699,849

160,367

Yahoo Japan
segment

8,532

5,031

9,418

7,073

30,054

7,196

Distribution
segment

2,559

2,709

2,958

5,969

14,195

1,896

Others

5,574

4,596

9,700

7,714

27,584

1,345

295,739

307,531376,554373,609

1,353,433

243,244

Consolidated total(b) Depreciation and Amortization(Millions of yen)
Fiscal YearEnding March2016

Fiscal Year Ended March 2015
Three-month
Period Ended
June 30, 2014

Three-month
Period Ended
Sept. 30, 2014

Three-month
Period Ended
Dec. 31, 2014

Three-month
Period Ended
Mar. 31, 2015

Fiscal Year Ended
Mar. 31, 2015

Three-month
Period Ended
June 30, 2015

Q1

Q2

Q3

Q4

Full Year

Q1

Domestic
Telecommunications segment

105,164

106,843

109,863

130,428452,298

107,521

Sprintsegment

128,621

132,762

145,355

172,414579,152

190,278

Yahoo Japan
segment

3,653

4,271

4,515

5,925

18,364

5,646

Distribution
segment

2,446

2,141

2,220

3,441

10,2482,406

Others

8,325

8,243

8,770

9,845

35,183

10,347248,209254,260

270,723

322,053

1,095,245

316,198

Consolidated total

Notes:
13. The results for the fiscal year ended March 2015 are presented in accordance with the reportable segments for the first quarter of the
fiscal year ending March 2016.
14. The amount of capital expenditure and depreciation and amortization excludes those of discontinued operations.

22SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(2) Qualitative Information Regarding Consolidated Financial Positiona. Assets, Liabilities and Equity
Assets, liabilities and equity at the end of the first quarter were as follows:(Millions of yen)

As of March 31, 2015

As of June 30, 2015

ChangeChange %Total assets

21,034,169

20,878,435(155,734)(0.7%)

Total liabilities

17,180,992

16,977,776(203,216)(1.2%)

Total equity

3,853,177

3,900,659

47,482

1.2%¥120.17¥122.45

¥2.28

1.9%

(Reference)
Exchange rate
USD/ JPY(a) Current Assets(Millions of yen)

Item

As of March 31, 2015

Cash and cash equivalents

As of June 30, 2015

Change3,258,653

2,385,278(873,375)

481,891

252,209(229,682)

1,895,648

1,802,050(93,598)

433,013450,311

17,298Other financial assets

197,068

238,667

41,599Inventories

351,152

334,799(16,353)

Other current assets

255,399604,727

349,328

Total current assets

5,957,920

5,365,521(592,399)

SprintTrade and other receivables
SprintCurrent assets totaled ¥5,365,521 million, for a ¥592,399 million (9.9%) decrease from the previous fiscal yearend.

The primary components of the change were as follows:i. Cash and cash equivalents decreased by ¥873,375 million from the previous fiscal year-end.
ii. Trade and other receivables decreased by ¥93,598 million from the previous fiscal year-end.

The decrease

mainly reflected a decrease in receivables at Brightstar and decreases in receivables and accrued revenue at
SoftBank Corp.

Another factor for the decrease was the transition of GungHo from a subsidiary to an equity

method associate.
iii. Other current assets increased by ¥349,328 million from the previous fiscal year-end.

This mainly reflected

the recording of ¥317,692 million of income tax withheld at source to be paid and then recovered by
September 30, 2015 related to dividend payments between Group companies.

23

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(b) Non-current Assets(Millions of yen)

Item

As of March 31, 2015

As of June 30, 2015

ChangeProperty, plant and equipment

4,317,448

4,424,687

107,239

Sprint2,141,120

2,281,555

140,435

1,663,363

1,531,427(131,936)

353,867

360,581

6,714

6,903,582

6,939,698

36,116

5,993,034

6,063,832

70,7984,320,296

4,405,520

85,224

4,320,296

4,405,520

85,224

786,834

800,483

13,649772,433

786,613

14,180582,223544,708(37,515)

496,594

464,770(31,824)

Software757,866

766,239

8,373

Game titles

109,211

81,849(27,362)

Others347,152

340,899(6,253)

1,102,456

1,343,860

241,404

Other financial assets

662,463894,695

232,232

Deferred tax assets

235,488

183,209(52,279)

Other non-current assets

191,449

195,338

3,889

Total non-current assets

15,076,249

15,512,914

436,665

Goodwill
SprintIntangible assets
Sprint
FCC licenses20
SprintTrademarks
SprintCustomer relationships
SprintInvestments accounted forusing the equity method

Non-current assets totaled ¥15,512,914 million, for a ¥436,665 million (2.9%) increase from the previous fiscal
year-end.

The primary components of the change were as follows:i. Investments accounted for using the equity method increased by ¥241,404 million from the previous fiscal yearend. This primarily reflected the new recording of GungHo as an investment accounted for using the equity
method as well as an increase in the carrying amount of Alibaba due to the recording of income on equity method
investments related to Alibaba.
ii. Other financial assets increased by ¥232,232 million from the previous fiscal year-end.

This mainlyreflected the acquisition of preferred shares of Forward Ventures, LLC, which operates the e-commerce
website Coupang in South Korea, as well as an increase in the fair value of financial assets at FVTPL, suchas preferred shares of Jasper Infotech Private Limited and ANI Technologies Pvt. Ltd.
20

Licenses issued by the U.S. Federal Communications Commission for use of specified spectrum

24SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

iii. Property, plant and equipment increased by ¥107,239 million from the previous fiscal year-end.

Thisprimarily reflected an increase in property, plant and equipment at Sprint amounting to ¥140,435 million, due
to an increase of mobile device leases under the leasing program and greater investments in the network.
iv. Goodwill decreased by ¥131,936 million from the previous fiscal year-end.

This was mainly due to thetransition of GungHo from a subsidiary to an equity method associate.

(c) Current Liabilities(Millions of yen)
Item

As of March 31, 2015

Interest-bearing debt

As of June 30, 2015

Change1,817,415

1,641,758(175,657)

216,247

169,515(46,732)

Short-term borrowings

413,846

328,988(84,858)

Current portion of
long-term borrowings

525,898

534,878

8,980

183,557

260,523

76,966

113,491

115,640

2,149

Current portion oflease obligations

411,453

431,162

19,709Current portion ofpreferred securities

200,000-(200,000)

Others82,661

86,2073,546

1,863,480

1,568,371(295,109)

741,549565,568(175,981)

Other financial liabilities

12,917

11,988(929)

Income taxes payables

184,175

45,468(138,707)

Provisions

54,99850,412(4,586)

Other current liabilities

739,501

954,293214,792

Total current liabilities

4,672,486

4,272,290(400,196)

SprintCurrent portion of
corporate bonds
SprintTrade and other payables
SprintCurrent liabilities totaled ¥4,272,290 million, for a ¥400,196 million (8.6%) decrease from the previous fiscal
year-end.

The primary components of the change were as follows:i. Trade and other payables decreased by ¥295,109 million from the previous fiscal year-end.

This mainlyreflected decreases in accounts payable–trade related to mobile devices and accounts payable–other related
to telecommunications equipment at Sprint and SoftBank Corp. after making payments.
ii. Interest-bearing debt decreased by ¥175,657 million from the previous fiscal year-end.

25

This mainly

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015reflected a decline of ¥200,000 million in the current portion of preferred securities from the previous fiscal
year-end due to the Company’s subsidiary SFJ Capital Limited redeeming in May 2015 of the full amount ofpreferred (restricted voting) securities issued in September 2011.
iii. Other current liabilities increased by ¥214,792 million from the previous fiscal year-end.

This mainlyreflected the recording of ¥317,692 million for an expected payment of income taxes withheld at source
related to dividend payments between Group companies.

(d) Non-current Liabilities(Millions of yen)

Item

As of March 31, 2015

Interest-bearing debt

As of June 30, 2015

Change9,789,829

9,894,156

104,327

3,886,597

3,987,315

100,718

2,116,498

2,126,645

10,147

6,825,868

6,900,569

74,701

3,813,511

3,876,731

63,220

Lease obligations

744,911

780,135

35,224

Others102,552

86,807(15,745)

Other financial liabilities

27,142

19,590(7,552)

Defined benefit liabilities

128,282

130,924

2,642

Provisions

155,705

151,395(4,310)2,052,615

2,145,388

92,773

1,748,273

1,779,544

31,271Other non-current liabilities

354,933

364,033

9,100

Total non-current liabilities

12,508,506

12,705,486

196,980

SprintLong-term borrowings
Corporate bonds
SprintDeferred tax liabilities
SprintNon-current liabilities totaled ¥12,705,486 million, for a ¥196,980 million (1.6%) increase from the previous
fiscal year-end.

The primary components of the change were as follows:i. Interest-bearing debt increased by ¥104,327 million from the previous fiscal year-end.

This was mainly due

to a ¥63,220 million increase in corporate bonds of Sprint associated with the yen’s depreciation against the
U.S. dollar at the end of the first quarter compared with the previous fiscal year-end.

While SoftBank Group

Corp. issued ¥100,000 million in unsecured straight corporate bonds, this was offset by the transfer of¥100,000 million of SoftBank Group Corp.’s unsecured straight corporate bonds into current liabilities as theredemption date came to be within one year.
ii. Deferred tax liabilities increased by ¥92,773 million from the previous fiscal year-end.

This was mainly

due to an increase of ¥31,271 million at Sprint, primarily due to the yen’s depreciation against the U.S. dollar
at the end of the first quarter compared to the previous fiscal year-end.

26

In addition, a tax effect wasSoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

recognized for the difference between the carrying amount of Alibaba on a consolidated basis, which
increased due to the recording of income on equity method investments related to Alibaba, and its carrying
amount on a tax basis.

(e) Equity(Millions of yen)

As of March 31, 2015

As of June 30, 2015

ChangeEquity attributable to owners of
the parent

2,846,306

3,000,669

154,363

Non-controlling interests

1,006,871

899,990(106,881)

Total equity

3,853,177

3,900,659

47,482Equity totaled ¥3,900,659 million, for a ¥47,482 million (1.2%) increase from the previous fiscal year-end.

Ofthis amount, equity attributable to owners of the parent increased by ¥154,363 million (5.4%), while non-controllinginterests decreased by ¥106,881 million (10.6%). The ratio of equity attributable to owners of the parent to total
assets increased by 0.9 of a percentage point from the previous fiscal year-end to 14.4%.

(Equity Attributable to Owners of the Parent)(Millions of yen)

Item

As of March 31, 2015

As of June 30, 2015

ChangeCommon stock

238,772

238,772-

Capital surplus

374,845249,951(124,894)

Retained earnings

1,740,686

1,930,142

189,456

Treasury stock(48,383)(48,043)

340

Accumulated othercomprehensive income

540,386

629,847

89,461

Available-for-sale financial
assets

14,524

43,14928,625

Cash flow hedges(7,345)(7,977)(632)

Exchange differences ontranslating foreign operations

533,207594,675

61,4682,846,306

3,000,669

154,363

Total equity attributable toowners of the parent

Equity attributable to owners of the parent totaled ¥3,000,669 million, for a ¥154,363 million (5.4%) increase fromthe previous fiscal year-end.

This was mainly due to increases from the previous fiscal year-end in retained earnings

and accumulated other comprehensive income of ¥189,456 million and ¥89,461 million, respectively.

The increase

in retained earnings primarily reflected net income attributable to owners of the parent of ¥213,382 million.

27

The

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

increase in accumulated other comprehensive income was mainly attributable to an increase in exchange differenceson translating foreign operations due to the yen’s depreciation against the U.S. dollar at the end of the first quartercompared to the previous fiscal year-end.
On the other hand, capital surplus declined by ¥124,894 million from the previous fiscal year-end.

This mainlyreflected the deduction from capital surplus of ¥120,847 million as changes in interests in subsidiaries due to thepurchase of an additional 24.1% of the shares of subsidiary Supercell from its existing shareholders (the Company’s
share of voting rights after the additional purchase: 77.8%).

(Non-controlling Interests)
Non-controlling interests totaled ¥899,990 million, for a ¥106,881 million (10.6%) decrease from the previous fiscal
year-end.

This was mainly due to the transition of GungHo from a subsidiary to an equity method associate.

b. Cash Flows
Cash flows for the first quarter were as follows.
Cash and cash equivalents at the end of the first quarter totaled ¥2,385,278 million, for a ¥873,375 million decrease
from the previous fiscal year-end.
(Millions of yen)Three-month Period
Ended June 30, 2014

Three-month Period
Ended June 30, 2015

Cash flows from operating activities

104,784

170,733

65,949Cash flows from investing activities(377,737)(688,278)(310,541)

Cash flows from financing activities

219,309(369,952)(589,261)(216,479)(264,627)(48,148)

Change(Reference)
Cash flows from operating activities capital expenditure (Note 15)Note:
15. Outlays for purchase of property, plant and equipment and intangible assets.

(a) Cash Flows from Operating Activities
Net cash provided by operating activities totaled ¥170,733 million (compared with ¥104,784 million provided in thesame period of the previous fiscal year).

The primary components of cash flows were as follows:i. Net income totaled ¥250,017 million.
ii. The main items added to net income were ¥320,926 million in depreciation and amortization, ¥145,117 million
in income taxes, and ¥105,512 million in finance cost.
iii. The main item subtracted from net income was ¥80,602 million in income on equity method investments.
iv. Interest paid was ¥115,810 million.
v. Income taxes paid was ¥204,952 million.

28

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(b) Cash Flows from Investing Activities
Net cash used in investing activities was ¥688,278 million (compared with ¥377,737 million used in the same periodof the previous fiscal year).

The primary components of cash flows were as follows:i. Outlays for purchase of property, plant and equipment and intangible assets amounted to ¥435,360 million.
ii. Payments for acquisition of investments amounted to ¥158,240 million.

This was mainly attributable to thepurchase of investment securities, such as preferred shares of Forward Ventures, LLC and shares of Yamada
Denki Co., Ltd., a major Japanese electric retailer.
iii. A decrease of ¥63,070 million from loss of control over subsidiaries.

This represents the amount of cash andcash equivalents held by GungHo at the time when the Company lost control over it.
iv. Payments for acquisition and proceeds from sales/redemption of marketable securities for short-term trading
amounted to ¥50,154 million and ¥52,636 million, respectively.

This was mainly attributable to acquisitionand sale of marketable securities for short-term trading, primarily by Sprint and Brightstar.

(c) Cash Flows from Financing Activities
Net cash used in financing activities was ¥369,952 million (compared with ¥219,309 million provided in the same
period of the previous fiscal year).

The primary components of cash flows were as follows:(Items Increasing Cash Flows)
Proceeds from long-term interest-bearing debt amounted to ¥367,034 million. The components were as follows:
・ Proceeds from sale and leaseback of newly acquired equipment of ¥141,067 million.
・ Proceeds from long-term borrowings of ¥125,967 million.

This was mainly due to borrowings made throughsecuritization of installment sales receivables at SoftBank Corp.
・ Proceeds from issuance of corporate bonds of ¥100,000 million.

This mainly consisted of SoftBank Group

Corp.’s issuance of unsecured straight corporate bonds.

(Items Decreasing Cash Flows)i. Repayment of long-term interest-bearing debt was ¥443,185 million.

The primary components were as

follows:
・ Redemption of preferred investment securities of ¥200,000 million.

This was due to the Company’s

subsidiary SFJ Capital Limited redeeming in May 2015 of the full amount of preferred (restricted voting)securities issued in September 2011.
・ Repayment of long-term borrowings of ¥112,139 million.

This was mainly due to SoftBank Corp. repaying

borrowings made through securitization of installment sales receivables.
・ Repayment of lease obligations of ¥87,404 million.
ii. Payment for purchase of subsidiaries’ equity from non-controlling interests of ¥159,848 million.

This wasmainly due to the additional purchase of shares of Supercell.
iii. Increases and decreases of short-term interest-bearing debt netted out to a decrease of ¥82,597 million.

29

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(3) Qualitative Information Regarding Forecasts on Consolidated Results of Operations
Currently it is difficult to provide forecasts on the results in figures due to a large number of uncertain factors affecting
the earnings.

The Company will announce its forecasts on the consolidated results of operations when it becomes

possible to make a rational projection.

30

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

2. Notes to Summary Information
Significant Changes in Scope of Consolidation for the Three-month Period Ended June 30, 2015
(Specified subsidiaries (three companies) excluded from the scope of consolidation)
SoftBank Mobile Corp., SoftBank BB Corp., SoftBank Telecom Corp., and Ymobile Corporation conducted an absorption
type merger with SoftBank Mobile Corp. being the surviving company, effective on April 1, 2015. As a result of themerger, SoftBank BB Corp., SoftBank Telecom Corp., and Ymobile Corporation, which were our specified subsidiaries,
were dissolved and are excluded from the scope of consolidation. SoftBank Mobile Corp. changed its company name to
SoftBank Corp. on July 1, 2015.

31

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

3. Condensed Interim Consolidated Financial Statements(1) Condensed Interim Consolidated Statements of Financial Position(Millions of yen)

As ofMarch 31, 2015

As ofJune 30, 2015

AssetsCurrent assets
Cash and cash equivalents
Trade and other receivables
Other financial assets
Inventories
Other current assets
Total current assets

3,258,653
1,895,648
197,068
351,152
255,399
5,957,920

2,385,278
1,802,050
238,667
334,799604,727
5,365,521

Non-current assets
Property, plant and equipment
Goodwill
Intangible assets
Investments accounted for using the equity method
Other financial assets
Deferred tax assets
Other non-current assets
Total non-current assets
Total assets

4,317,448
1,663,363
6,903,582
1,102,456
662,463
235,488
191,449
15,076,249
21,034,169

4,424,687
1,531,427
6,939,698
1,343,860
894,695
183,209
195,338
15,512,914
20,878,435

32

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(Millions of yen)

As ofMarch 31, 2015
Liabilities and equity
Current liabilities
Interest-bearing debt
Trade and other payables
Other financial liabilities
Income taxes payables
Provisions
Other current liabilities
Total current liabilities

As ofJune 30, 2015

1,817,415
1,863,480
12,917
184,175
54,998739,501
4,672,486

1,641,758
1,568,371
11,98845,46850,412954,293
4,272,290

Total liabilities

9,789,829
27,142
128,282
155,705
2,052,615
354,933
12,508,506
17,180,992

9,894,156
19,590130,924
151,395
2,145,388
364,033
12,705,486
16,977,776

EquityEquity attributable to owners of the parent
Common stock
Capital surplus
Retained earnings
Treasury stock
Accumulated other comprehensive income
Total equity attributable to owners of the parent
Non-controlling interests
Total equity
Total liabilities and equity

238,772
374,845
1,740,686(48,383)
540,386
2,846,306
1,006,871
3,853,177
21,034,169

238,772
249,951
1,930,142(48,043)
629,847
3,000,669
899,990
3,900,659
20,878,435

Non-current liabilities
Interest-bearing debt
Other financial liabilities
Defined benefit liabilities
Provisions
Deferred tax liabilities
Other non-current liabilities
Total non-current liabilities

33

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(2) Condensed Interim Consolidated Statements of Income and Comprehensive Income

Condensed Interim Consolidated Statements of Income(Millions of yen)Three-month period ended Three-month period ended
June 30, 2014*
June 30, 2015
Continuing operations
Net sales
Cost of sales
Gross profit

1,948,264(1,127,823)
820,441

2,139,058(1,238,727)
900,331

Selling, general and administrative expenses
Other operating income
Operating income
Finance cost
Income (loss) on equity method investments
Other non-operating income
Income before income tax
Income taxes
Net income from continuing operations(501,664)
575
319,352(84,985)(63,425)
10,217
181,159(80,828)
100,331(557,473)
694
343,552(105,511)
80,60280,030398,673(141,688)
256,985

Discontinued operations
Net income (loss) from discontinued operations
Net income

10,977111,308(6,968)250,017

77,57433,734111,308

213,382
36,635250,017

61.52
3.75
65.27

188.08(8.65)
179.43

61.39
3.75
65.14

185.34(8.64)
176.70Net income attributable to
Owners of the parent
Non-controlling interests

Earnings per share attributable to owners of the parent
Basic earnings per share (yen)Continuing operations
Discontinued operations
Total basic earnings per share
Diluted earnings per share (yen)Continuing operations
Discontinued operations
Total diluted earnings per share

Note:
Continuing operations and discontinued operations are revised and presented separately.
10. Discontinued operations.”

34

The details are described in “NoteSoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

Condensed Interim Consolidated Statements of Comprehensive Income(Millions of yen)Three-month period ended
June 30, 2014

Three-month period ended
June 30, 2015

111,308

250,017

(244)

(6)

(244)

(6)

(2,091)
3,788

24,713(673)(39,511)73,027(5,361)

4,760(43,175)

101,827(43,419)
67,889101,821351,838

43,77824,111
67,889302,837
49,001
351,838

Net income
Other comprehensive income (loss), net of tax
Items that will not be reclassified to profit or loss
Remeasurements of defined benefit plan
Total items that will not be reclassified to profit
or loss
Items that may be reclassified subsequently to
profit or loss
Available-for-sale financial assets
Cash flow hedges
Exchange differences on translating foreign
operations
Share of other comprehensive income ofassociates
Total items that may be reclassified subsequently to
profit or loss
Total other comprehensive income (loss), net of tax
Total comprehensive income
Total comprehensive income attributable to
Owners of the parent
Non-controlling interests

35SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(3) Condensed Interim Consolidated Statements of Changes in Equity
For the three-month period ended June 30, 2014
(Millions of yen)
Equity attributable to owners of the parent

As of April 1, 2014
Comprehensive income
Net income
Other comprehensive
loss
Total comprehensive
incomeTransactions with owners
and other transactions
Cash dividends
Transfer of accumulated
other comprehensive
income to retained
earnings
Purchase and disposal oftreasury stock
Changes in interests in
subsidiaries
Share-based paymenttransactions
Other
Total transactions withowners and othertransactions
As of June 30, 2014

Commonstock
238,772

Capitalsurplus405,045

Retainedearnings
1,168,266

Treasurystock(51,492)--

77,574---

Accumulated
othercomprehensive
incomeNoncontrollinginterests Total equity
899,941 2,830,382

169,850

Total
1,930,441--

77,57433,734111,308--(33,796)(33,796)(9,623)(43,419)-

77,574-(33,796)

43,77824,111

67,889--(23,769)--(23,769)(16,013)(39,782)

-

-

(244)

-

244

-

-

-

-

-

(88)

232

-

144

-

144

-

(159)

-

-

-

(159)

1,926

1,767

-

(2)

-

-

-

(2)

4,576

4,574

-

-

-

-

-

-

(176)

(176)

-

(161)

(24,101)

232

244(23,786)(9,687)(33,473)

238,772

404,884

1,221,739(51,260)

136,298

1,950,433

914,365

2,864,798

36

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

For the three-month period ended June 30, 2015
(Millions of yen)
Equity attributable to owners of the parent

As of April 1, 2015
Comprehensive income
Net income
Other comprehensive
incomeTotal comprehensive
incomeTransactions withowners and othertransactions
Cash dividends
Transfer of accumulated
other comprehensive
income to retained
earnings
Purchase and disposalof treasury stock
Changes from loss ofcontrolChanges in interestsin subsidiaries
Share-based paymenttransactions
Other
Total transactions
with owners andother transactions
As of June 30, 2015

Accumulated
othercomprehensive
income540,386

Total
2,846,306

Noncontrollinginterests
1,006,871--

213,382

36,635250,017--89,45589,455

12,366

101,821-

213,382-

89,455

302,837

49,001

351,838--(23,784)--(23,784)(28,907)(52,691)

-

-

(6)

-

6

-

-

-

-

-

(136)

340

-

204

-

204

-

-

-

-

-

-

(96,060)(96,060)-(122,020)---(122,020)(33,338)(155,358)-(2,874)---(2,874)

2,137

(737)

-

-

-

-

-

-

286

286

-

(124,894)(23,926)340

6(148,474)(155,882)(304,356)

238,772

249,951

1,930,142(48,043)

629,847

3,000,669

899,990

3,900,659

Commonstock
238,772

Capitalsurplus374,845

Retainedearnings
1,740,686

Treasurystock(48,383)--

213,382

-

-

-

37

Total equity
3,853,177

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

(4) Condensed Interim Consolidated Statements of Cash Flows(Millions of yen)Three-month period ended
June 30, 2014

Three-month period ended
June 30, 2015

111,308
255,001
84,98763,425(10,251)
88,16373,856(158,677)

250,017
320,926
105,512(80,602)(80,164)
145,117
107,923(120,071)

Other(54,137)(159,613)

Subtotal

453,675

489,045

1,527(95,263)(255,155)
104,7842,450(115,810)(204,952)
170,733(321,263)(435,360)(17,873)
5,113-(158,240)
6,734(63,070)(79,701)(50,154)

84,98752,636(49,000)(377,737)(40,824)(688,278)

16,612(82,597)

484,051(231,811)

367,034(443,185)(12,191)(159,848)(22,917)(16,017)
1,582
219,309(22,985)(29,185)814(369,952)(7,394)

14,122(61,038)
1,963,490
1,902,452(873,375)
3,258,653
2,385,278

Cash flows from operating activities
Net income
Depreciation and amortization
Finance cost
Loss (income) on equity method investments
Other non-operating income
Income taxes
Decrease in trade and other receivables
Decrease in trade and other payables

Interest and dividends received
Interest paid
Income taxes paid
Net cash provided by operating activities
Cash flows from investing activities
Purchase of property, plant and equipment, andintangible assets
Payments for acquisition of investments
Proceeds from sales/redemption of investments
Decrease from loss of control over subsidiaries
Payments for acquisition of marketable securities for
short-term trading
Proceeds from sales/redemption of marketablesecurities for short-term trading
Other
Net cash used in investing activities
Cash flows from financing activities
Increase (decrease) in short-term interest-bearing debt,
net
Proceeds from long-term interest-bearing debt
Repayment of long-term interest-bearing debt
Payments for purchase of subsidiaries’ equity from
non-controlling interests
Cash dividends paid
Cash dividends paid to non-controlling interests
Other
Net cash provided by (used in) financing activities
Effect of exchange rate changes on cash and cash
equivalents
Decrease in cash and cash equivalents
Cash and cash equivalents at the beginning of the period
Cash and cash equivalents at the end of the period

38SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015(5) Significant Doubt about Going-Concern Assumption
For the three-month period ended June 30, 2015
There are no applicable items.
(6) Notes to Condensed Interim Consolidated Financial Statements
1. Definition of company name and abbreviation used in the notes
Company names and abbreviations used in the notes, except as otherwise stated or interpreted differently in thecontext, are as follows:
Company name / Abbreviation

Definition“SoftBank Group Corp.”*

SoftBank Group Corp. (stand-alone basis)

The “Company”

SoftBank Group Corp. and its subsidiaries*Each of the following abbreviations indicates the respective company, and its subsidiaries, if any.
“Sprint”

Sprint Corporation“Brightstar”

Brightstar Corp.

“Supercell”

Supercell Oy“GungHo”

GungHo Online Entertainment, Inc.

Note:
SoftBank Corp., a pure holding company, changed its company name to SoftBank Group Corp. effective on
July 1, 2015. The company name “SoftBank Group Corp.” is used consistently in the notes including theinformation with regard to the transactions occurred before the change.

2. Segment information(1) Description of reportable segments
The Company’s reportable segments are components of business activities for which discrete financial
information is available, and such information is regularly reviewed by the Company’s board of directors in orderto make decisions about the allocation of the resources and assess its performance.
The Company had four segments, the Mobile Communications segment, the Sprint segment, the Fixed-line
Telecommunications segment, and the Internet segment for the fiscal year ended March 31, 2015. Along withthe transformation into “SoftBank 2.0” from a strong Japanese business with global assets to a global businessthat will strive to create sustainable growth over the long term, the Company revised its segments. The
Domestic telecommunications segment, the Sprint segment, the Yahoo Japan segment, and the Distribution
segment are the four reportable segments from the three-month period ended June 30, 2015.
The Domestic Telecommunications segment provides, mainly through SoftBank Corp. (formerly SoftBank
Mobile Corp.), mobile communications services, sale of mobile devices, telecommunication services such as
fixed-line telephone and data communications services for corporate customers, and broadband services for retailcustomers in Japan.
The Sprint segment provides, through Sprint, mobile communications services, sale and lease of mobile devices,and sale of mobile device accessories, and fixed-line telecommunications services in the U.S.
The Yahoo Japan segment provides, mainly through Yahoo Japan Corporation, Internet-based advertisingbusiness, e-commerce business, and membership services.

39SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

The Distribution segment provides, mainly through Brightstar, distribution of mobile devices overseas, andthrough SoftBank Commerce & Service Corp., sale of mobile device accessories, PC software and peripherals inJapan.
The reportable segments for the thee-month period ended June 30, 2014 are presented based on the revised
reportable segments.

(2) Net sales and income of reportable segments
Income of reportable segments is defined as “Operating income.”
The Company had defined the income of reportable segments as the amount after deducting “Cost of sales” and“Selling, general and administrative expenses” from “net sales” until the fiscal year ended March 31, 2015. In
connection with the revision of the segments, the Company defined its income of reportable segments as“Operating income” from the three-month period ended June 30, 2015.
Income of reportable segments for the thee-month period ended June 30, 2014 is also defined as “Operating
income.”Intersegment transaction prices are determined under the same general business conditions as applied for externalcustomers.
The following is the information about the Company’s net sales and income by reportable segment. The
Company also discloses EBITDA (Segment income (operating income) + depreciation and amortization – otheroperating income and loss) by each reportable segment.

40

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

For the three-month period ended June 30, 2014
(Millions of yen)
Reportable segments
Domestic
Telecommunications

Sprint

Yahoo
Japan

Distribution

Total

Other1

Reconciliations2

Consolidated

Net sales
Customers

666,716

896,043

97,001215,004

1,874,764

73,500-1,948,264

Intersegment

4,540

1,694

1,778

10,122

18,134

6,569(24,703)-

Total

671,256

897,737

98,779225,126

1,892,898

80,069(24,703)

1,948,264

EBITDA
Depreciation andamortization
Other operating income(loss)
Segment income(Operating income)

309,930

190,326

50,871

3,102

554,229

18,715(5,958)566,986(105,164)(128,621)(3,653)(2,446)(239,884)(7,922)(403)(248,209)-(1,212)

-

1,787

575

-

-

575

204,766

60,49347,2182,443

314,920

10,793(6,361)

319,352

Finance cost

(84,985)

Equity in loss of associates(63,425)

Other non-operating
income10,217

Income before income tax

181,159

For the three-month period ended June 30, 2015
(Millions of yen)
Reportable segments
Domestic
Telecommunications

Sprint

Yahoo
Japan

Distribution

Total

Other1

712,697

937,813

108,531

284,180

2,043,221

95,837-

Reconciliations2

Consolidated

Net sales
Customers
Intersegment

2,139,058

7,870

36,181

1,924

19,56365,538

5,998(71,536)-

Total

720,567

973,994

110,455

303,743

2,108,759

101,835(71,536)

2,139,058

EBITDA
Depreciation andamortization

321,940

259,172

54,4982,817

638,427

32,000(11,371)

659,056(107,521)(190,278)(5,646)(2,406)(305,851)(9,878)(469)(316,198)

-

694

-

-

694

-

-

694

214,419

69,58848,852411

333,270

22,122(11,840)

343,552

Other operating income
Segment income(Operating income)Finance cost
Equity in income ofassociates
Other non-operating
income(105,511)

Income before income tax

398,673

80,60280,030Notes:
1. Information on the business segments which are not included in the reportable segments is classified in “Other.” “Other”
includes mainly online game-related business by Supercell.
2. “Reconciliations” includes an elimination of intersegment transactions and the corporate general expenses unallocated to eachreportable segment. Expenses arising mainly from SoftBank Group Corp. and SB Group US, Inc. which manages andsupervises investment activities in the internet, communication, and media fields overseas are included in the corporate general
expenses.
3. Discontinued operations are not included. The details are described in “Note 10. Discontinued operations.”

41

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

3. Property, plant and equipment
The components of the carrying amounts of property, plant and equipment are as follows:(Millions of yen)

Buildings and structures
Telecommunications equipment
Equipment and fixtures
Land
Construction in progress
Other
Total

As of
March 31, 2015
267,633
3,251,673
365,305
97,342
318,345
17,1504,317,448

As ofJune 30, 2015
265,375
3,268,691
505,464
97,751
272,148
15,2584,424,687

4. Intangible assets
The components of the carrying amounts of intangible assets are as follows:(Millions of yen)

As ofMarch 31, 2015
Intangible assets with indefinite useful lives
FCC licenses
Trademarks
Intangible assets with finite useful lives
Software
Customer relationships
Favorable lease contracts
Game titles
Trademarks
Spectrum migration costs
Other
Total

42

As of
June 30, 2015

4,320,296
727,251

4,405,520
740,295

757,866
582,223
145,191
109,21159,58353,550148,411
6,903,582

766,239544,708
143,436
81,84960,18852,785
144,678
6,939,698

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

5. Interest-bearing debt
(1) Components of interest-bearing debt
The components of interest-bearing debt are as follows:(Millions of yen)

As ofMarch 31, 2015
Current
Short-term borrowings
Commercial paper
Current portion of long-term borrowings
Current portion of corporate bonds
Current portion of lease obligations
Current portion of preferred securities
Current portion of installment payables
Total
Non-current
Long-term borrowings
Corporate bonds
Lease obligations
Installment payables
Total

As of
June 30, 2015

413,846
32,000525,898
183,557
411,453
200,000
50,661
1,817,415

328,988
32,000534,878
260,523
431,162
54,207
1,641,758

2,116,498
6,825,868
744,911
102,552
9,789,829

2,126,645
6,900,569
780,135
86,807
9,894,156(2) Components of increase (decrease) in short-term interest-bearing debt
The components of “Increase (decrease) in short-term interest-bearing debt, net” in the condensed interim
consolidated statements of cash flows are as follows:(Millions of yen)Three-month period
endedJune 30, 2014
16,612

Net increase (decrease) of short-term borrowings

Three-month period
endedJune 30, 2015
(82,597)(3) Components of proceeds from long-term interest-bearing debt
The components of “Proceeds from long-term interest-bearing debt” in the condensed interim consolidated
statements of cash flows are as follows:(Millions of yen)

Proceeds from long-term borrowings
Proceeds from issuance of corporate bonds1,2
Proceeds from sale and leaseback of newly acquired equipment
Total

43

Three-month period
endedJune 30, 2014
80,915300,000
103,136
484,051

Three-month period
endedJune 30, 2015
125,967
100,000
141,067
367,034

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

Notes:
1. Corporate bonds issued for the three-month period ended June 30, 2014 are as follows:

Company name / Name of bonds
SoftBank Group Corp.
45th Unsecured Straight
Corporate Bond

Date of issuanceTotal amountof issuanceInterest
rate

Date of maturity

May 30, 2014

¥300,000 million

1.45%

May 30, 2019

Notes:
2. Corporate bonds issued for the three-month period ended June 30, 2015 are as follows:

Company name / Name of bonds
SoftBank Group Corp.
47th Unsecured Straight
Corporate Bond

Date of issuanceTotal amountof issuanceInterest
rate

Date of maturity

June 18, 2015

¥100,000 million

1.36%

June 18, 2020

(4) Components of repayment of long-term interest-bearing debt
The components of “Repayment of long-term interest-bearing debt” in the condensed interim consolidated
statements of cash flows are as follows:(Millions of yen)Three-month period
endedJune 30, 2014
(81,375)(63,423)(68,609)(18,404)(231,811)

Repayment of long-term borrowings
Redemption of corporate bonds1,3
Repayment of lease obligations
Redemption of preferred securities
Payment of installment payables
Total

Three-month period
endedJune 30, 2015
(112,139)(25,104)(87,404)(200,000)(18,538)(443,185)

Notes:
1. Major Corporate bonds redeemed for the three-month period ended June 30, 2014 are as follows:

Company name / Name of bonds

Date of issuance

Amount of redemption

Interest
rate

Date of redemption

June 19, 2007

¥14,900 million

4.36%

June 19, 2014

June 10, 2011

¥30,000 million

0.65%

June 10, 2014

April 23, 2007

$181 million¥18,513 million

3.49%

May 1, 2014

SoftBank Group Corp.
26th Unsecured Straight
Corporate Bond
37th Unsecured Straight
Corporate Bond
iPCS, Inc.2
Second Lien Senior Secured
Floating Rate Notes due 2014

Notes:
2. iPCS, Inc. is a subsidiary of Sprint.

44

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

3. Major corporate bonds redeemed for the three-month period ended June 30, 2015 are as follows:

Company name / Name of bonds

Date of issuance

Amount of redemption

Interest
rate

Date of redemption

June 2, 2010

¥25,000 million

1.67%

June 2, 2015

SoftBank Group Corp.
32nd Unsecured Straight
Corporate Bond

6. Foreign exchange rate
Exchange rates of the major currencies used for translating financial statements of foreign operations are as follows:(1) Rate at the end of the period

U.S. dollars

As ofMarch 31, 2015
120.17(yen)
As ofJune 30, 2015
122.45Three-month period
endedJune 30, 2014
102.14(yen)
Three-month period
endedJune 30, 2015
121.34(2) Average rate for the quarter

U.S. dollars

7. Equity(1) Capital surplus
For the three-month period ended June 30, 2015
The Company additionally acquired 24.1% shares of Supercell, a subsidiary of the Company, from existing
shareholders and the Company’s ownership in Supercell became 77.8%. In connection with this transaction,¥120,847 million is deducted from capital surplus as “Changes in interests in subsidiaries.”(2) Accumulated other comprehensive income
The components of accumulated other comprehensive income are as follows:(Millions of yen)

As ofMarch 31, 2015

As ofJune 30, 2015

Available-for-sale financial assets

14,524

43,149Cash flow hedges
Exchange differences on translating
foreign operations(7,345)(7,977)533,207594,675

540,386

629,847

Total

45

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

8. Finance cost
The components of finance cost are as follows:(Millions of yen)Three-month period
endedJune 30, 2014
Interest expense(84,985)

Three-month period
endedJune 30, 2015
(105,511)

9. Other non-operating income
The components of other non-operating income are as follows:(Millions of yen)Three-month period
endedJune 30, 2014
Gain from remeasurement relating to applying
equity method1
Gain from financial assets at FVTPL2
Other
Total

Three-month period
endedJune 30, 2015

6,249

-

473

84,272

3,495
10,217(4,242)80,030Notes:
1. Due to the increase in the percentage of voting rights, the equity method was newly applied to the investment in associates
and the gain arose from remeasurement of the interest already held by the Company at the time the equity method wasapplied, based on the fair value on the date of the equity method application.
2. Gain or loss arising from financial assets at FVTPL is mainly changes in fair value of preferred stock investment including
embedded derivatives, designated as financial assets at FVTPL.

10. Discontinued operations
GungHo Online Entertainment, Inc.
SoftBank Group Corp. entered into an agreement to tender in the Tender Offer for 188,235,200 shares, a portion of
the common shares of GungHo held by SoftBank Group Corp, on April 28, 2015. The Tender Offer was completed
on June 1, 2015 and 188,235,200 common shares of GungHo held by Softbank Group Corp. were transferred to
GungHo for ¥80,000 million.
An agreement between Heartis G.K. (“Heartis”) and Son Holdings Inc. to extinguish the pledge on 100,000,000
shares, out of the common shares of GungHo held by Heartis, was executed and the Agreement on Exercise of Voting
Rights* for the 100,000,000 shares was terminated effective on June 1, 2015.
As a result of the transactions, GungHo was no longer qualified as a subsidiary and became an equity method
associate on June 1, 2015.
Operating results related to GungHo for the three-month period ended June 30, 2014 and from April 1, 2015 to June 1,2015 are presented as discontinued operations separately from continuing operations in the condensed interim
consolidated statement of income.
Note:
Heartis (Taizo Son’s asset management company, the second largest shareholder of GungHo, and Taizo Son, chairman of
GungHo is the representative director), and Masayoshi Son, chairman and CEO of SoftBank Group Corp., entered into a
Memorandum of Understanding on Exercise of Voting Rights for Deferment of Execution of Pledges (the “MOU”), on April
1, 2013. Under the MOU, all of GungHo common shares held by Heartis were pledged to Son Holdings, Masayoshi Son’s
asset management company and in order to defer the execution of pledges, Heartis agreed to act on behalf of Masayoshi Sonat the shareholders’ meeting of GungHo, for the voting rights related to 213,080,000 shares (ownership ratio: 18.50%) out of
the common shares of GungHo held by Heartis.

46

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 2015

The operating results and cash flows from discontinued operations are as follows:(1) Operating results from discontinued operations(Millions of yen)

Revenue
ExpenseIncome before income tax from disconiued operations
Income taxes
Income after income tax from disconiued operations
Loss relating to loss of control in discontined
operations
Deferred tax expenses for investment temporary
differences
Net income (loss) from discontined operations

Three-month period
endedJune 30, 2014
43,952(25,640)
18,312(7,335)
10,977

Three-month period
endedJune 30, 2015
26,604(17,404)
9,200(3,568)
5,632-(12,739)

10,977139(6,968)Three-month period
endedJune 30, 2014
25,774(207)(107)
25,460Three-month period
endedJune 30, 2015
16,051(735)(86)
15,230(2) Cash flows from discontinued operations(Millions of yen)

Net cash provided by operating activities
Net cash used in investing activities
Net cash used in fincanicng activities
Total

11. Supplemental information to the condensed interim consolidated statements of cash flows(1) Scope of purchase of property, plant and equipment and intangible assets“Purchase of property, plant and equipment and intangible assets” includes cash outflows from long-term prepaid
expenses that are included in “Other non-current assets” in the condensed interim consolidated statements offinancial position.
(2) Presentation of cash flow regarding finance leases
Once the Company purchases telecommunications equipment for the purpose of assembly, installation andinspection, the Company sells the equipment to lease companies for sale and leaseback purposes. The leased
asset and lease obligation are recorded in the condensed interim consolidated statements of financial position.
The cash outflows from the purchase of the equipment from vendors are included in “Purchase of property, plantand equipment and intangible assets” under cash flows from investing activities, and the cash inflows from thesale of the equipment to lease companies are included in “Proceeds from long-term interest-bearing debt” undercash flows from financing activities.
(3) Decrease from loss of control over subsidiaries
For the three-month period ended June 30, 2015
“Decrease from loss of control over subsidiaries” is the amount of cash and cash equivalents held by GungHo atthe time of loss of control.

47

SoftBank Group Corp. Consolidated Financial Report
For the three-month period ended June 30, 201512. Significant subsequent events
For the three-month period ended June 30, 2015
SoftBank Group Corp. issued USD-denominated Senior Notes due 2022, USD-denominated Senior Notes due 2025,
Euro-denominated Senior Notes due 2022, Euro-denominated Senior Notes due 2025, and Euro-denominated SeniorNotes due 2027 (collectively, the “Notes”). The details are described as follows.
1. USD-denominated Senior Notes*
USD-denominated Senior Notes due 2022

USD-denominated Senior Notes due 2025
$1 billion(a)Aggregate amountof issue$1 billion(b)Issue price

100% of the principal amount(c)

Interest rate

5.375% per annum(d)Interest payment

To be paid semi-annually on January 30 and July 30 of each year

(e)

Term

7 years

10 years(f)(g)

Maturity date
Redemption at
maturity

July 30, 2022

July 30, 2025(h)

Early redemption

Redemption in whole or in part at 100% of the principal amount on or after the date 90 days prior tothe maturity date, or in whole or in part at 100% of the principal amount plus a “make-whole”
premium at any time to the date 90 days prior to the maturity date.

(i)

Expected closing
dateJuly 28, 2015(j)Collateral

None

(k)

Guarantee

Yes

(l)
(m)

Initial guarantor
Use of proceeds

SoftBank Corp. (formerly SoftBank Mobile Corp.)
The Company intends to use the proceeds from the Notes to refinance certain indebtedness and forgeneral corporate purposes

6.000% per annum

Redemption in whole at maturity date at 100% of the principal amount

2. Euro-denominated Senior Notes*
Euro-denominated SeniorNotes due 2022

Euro-denominated SeniorNotes due 2025

Euro-denominated SeniorNotes due 2027(a)Aggregate amountof issue€0.5 billion(b)Issue price

100% of the principal amount(c)

Interest rate

4.000% per annum(d)Interest payment

To be paid semi-annually on January 30 and July 30 of each year

(e)

Term

7 years

10 years

12 years(f)(g)

Maturity
Redemption at
maturity

July 30, 2022

July 30, 2025

July 30, 2027(h)

Early redemption

Redemption in whole or in part at 100% of the principal amount on or after the date 90 days prior tothe maturity date, or in whole or in part at 100% of the principal amount plus a “make-whole”
premium at any time to the date 90 days prior to the maturity date.

(i)

Expected closing
dateJuly 28, 2015(j)Collateral

None

(k)

Guarantee

Yes

(l)
(m)

Initial guarantor
Use of proceeds

SoftBank Corp. (formerly SoftBank Mobile Corp.)
The Company intends to use the proceeds from the Notes to refinance certain indebtedness and forgeneral corporate purposes€1.25 billion€0.5 billion

4.750% per annum

5.250% per annum

Redemption in whole at maturity date at 100% of the principal amountNote:
The currency swap contracts are concluded for the Notes. Cash outflows at the time of redemption, which are fixed by thecurrency swap contracts, are total ¥553.0 billion. Average interest rate after considering the effect of exchange from fixedinterest rates denominated in foreign currencies to fixed interest rates in Japanese yen is 3.776%.

48