Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Financial Section

For consolidated financial statements and notes, see “Financial Report 2024” on our website.

SoftBank Group Report 2024

71

Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Graphs: Key Consolidated Financial Data
Fiscal years beginning April 1 and ending March 31 of the following year

Gain (loss) on investments

Income before income tax(Billions of yen)
8,000(Billions of yen)
6,000

Net income attributable to owners of the parent / Basic EPS■■ Net income attributable to owners of the parent (left) ■ Basic EPS (right)

7,529.0(Billions of yen)
6,000

5,670.5

(Yen)
4,500

4,988.0
4,000

4,000

2,000

2,000

2,619.61

3,000

4,000

0

-835.1-1,410.2-559.4

’19

’20

0

-478.50-469.1-869.6-3,434.7-4,000-227.6

57.8

50.0

0

’22

’23

’19

’20

’21

’23

’22

FY2023

0.3

’20

0

-170.99-1,500

’21

’22

’23

(FY)

FY2023Gain (loss) on investments

+¥

’19

(FY)

-652.37-970.1-1,708.0-2,000(FY)

FY2023-1,018.58-961.6-2,000’21

1,500

Income before income tax+¥

tn YoY

0.5

Net income attributable to owners of the parent+¥

tn YoY

0.7

tn YoY

Total equity attributable to owners of the parent /Ratio of equity attributable to owners of the parent to total assets

Total assets■■ Total equity attributable to owners of
the parent (left)(Billions of yen)(Billions of yen)

60,00012,00045,750.5

47,544.7

45,00043,936.4■ Ratio of equity attributable to owners of
the parent to total assets (right)(%)

11,162.1 40
10,213.1

46,724.2

9,975.7
9,029.8

9,000

30

37,257.3
30,0006,000

15,0003,000

5,913.6

23.9
22.3

21.0

20

20.6

15.9

0

10

0

0

’19

’20

’21

FYE2023

’23

’19

(FYE)

’20

’21

’23

’22

(FYE)

FYE2023

Total assets+
SoftBank Group Report 2024

’22

6.3

% YoY

Total equity attributable toowners of the parent

+

23.6

% YoY

Ratio of equity attributable toowners of the parent to total assets

23.9

%

72

Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Eleven-Year Key Consolidated Financial Data
Fiscal years beginning April 1 and ending March 31 of the following year

(Millions of yen)

Net sales �����������������������������������������������������������������������������������������������������������������������������������������������
Operating income*1 �������������������������������������������������������������������������������������������������������������������������������
Income before income tax ���������������������������������������������������������������������������������������������������������������������
Gain (loss) on investments*1 ���������������������������������������������������������������������������������������������������������������
Net income attributable to owners of the parent �����������������������������������������������������������������������������������
Total assets �������������������������������������������������������������������������������������������������������������������������������������������
Total equity attributable to owners of the parent �����������������������������������������������������������������������������������
Interest-bearing debt*2 �������������������������������������������������������������������������������������������������������������������������
Net interest-bearing debt*3 �������������������������������������������������������������������������������������������������������������������
Net cash provided by operating activities �����������������������������������������������������������������������������������������������
Net cash used in investing activities �������������������������������������������������������������������������������������������������������
Net cash provided by financing activities �����������������������������������������������������������������������������������������������
Net increase (decrease) in cash and cash equivalents �����������������������������������������������������������������������������Cash and cash equivalents at the fiscal year-end �����������������������������������������������������������������������������������
Major Indicators
ROA ������������������������������������������������������������������������������������������������������������������������������������������
ROE ������������������������������������������������������������������������������������������������������������������������������������������
Ratio of equity attributable to owners of the parent to total assets ��������������������������������������������

(Units)

Per share data*4(Units)Basic EPS ����������������������������������������������������������������������������������������������������������������������������������
Diluted EPS ������������������������������������������������������������������������������������������������������������������������������
Equity per share attributable to owners of the parent ����������������������������������������������������������������
Dividend per share ��������������������������������������������������������������������������������������������������������������������

%
%
%
¥
¥
¥
¥

(Units)OthersNumber of shares outstanding (excluding treasury stock) ���������������������������������������������������������� ’000
Number of subsidiaries ���������������������������������������������������������������������������������������������������������������������������
Number of associates �����������������������������������������������������������������������������������������������������������������������������
Number of employees (consolidated basis) ���������������������������������������������������������������������������������������������

SoftBank Group Report 2024

FY2013

FY2014FY2015FY2016FY2017

6,666,651
1,077,044
924,049−
520,250
16,690,127
1,930,441
9,170,053
7,059,286
860,245(2,718,188)
2,359,375
524,433
1,963,490

8,504,135
918,720
1,213,035−
668,361
21,034,169
2,846,306
11,607,244
8,182,817
1,155,174(1,667,271)
1,719,923
1,295,163
3,258,653

8,881,777
908,907919,161−
474,172
20,707,192
2,613,613
11,922,431
9,248,363
940,186(1,651,682)
43,270(689,046)
2,569,607

8,901,004
1,025,999
712,526−
1,426,308
24,634,212
3,586,352
14,858,370
11,923,065
1,500,728(4,213,597)
2,380,746(386,505)
2,183,102

9,158,765
1,303,801
384,630−
1,038,977
31,180,466
5,184,176
17,042,188
13,617,255
1,088,623(4,484,822)
4,626,421
1,151,548
3,334,650

4.4
29.5
11.6

3.5
28.0
13.5

2.3
17.4
12.6

6.3
46.0
14.6

3.7
23.7
16.6

218.48217.34812.1720.00

281.10279.381,196.74
20.00

201.25194.16
1,139.42
20.50

643.50637.82
1,646.20
22.00

466.77454.192,151.13
22.00

1,188,456
756
105
70,336

1,189,197
769
120
66,154

1,146,900
739
122
63,591

1,089,282763
130
68,402

1,089,498
1,141
385
74,95273

Table of Contents

Who We Are

Message from Our CEO(Millions of yen)

Net sales ���������������������������������������������������������������������������������������������������������������
Operating income*1 �����������������������������������������������������������������������������������������������
Income before income tax �������������������������������������������������������������������������������������
Gain (loss) on investments*1 �������������������������������������������������������������������������������
Net income attributable to owners of the parent ���������������������������������������������������
Total assets �����������������������������������������������������������������������������������������������������������
Total equity attributable to owners of the parent ���������������������������������������������������
Interest-bearing debt*2 �����������������������������������������������������������������������������������������
Net interest-bearing debt*3 �����������������������������������������������������������������������������������
Net cash provided by operating activities ���������������������������������������������������������������
Net cash provided by (used in) investing activities ���������������������������������������������������
Net cash provided by (used in) financing activities �������������������������������������������������
Net increase (decrease) in cash and cash equivalents ���������������������������������������������Cash and cash equivalents at the fiscal year-end ���������������������������������������������������
Major Indicators
ROA ����������������������������������������������������������������������������������������������������������
ROE ����������������������������������������������������������������������������������������������������������
Ratio of equity attributable to owners of the parent to total assets ������������

(Units)

Per share data*4(Units)Basic EPS ��������������������������������������������������������������������������������������������������
Diluted EPS ����������������������������������������������������������������������������������������������
Equity per share attributable to owners of the parent ��������������������������������
Dividend per share ������������������������������������������������������������������������������������

%
%
%
¥
¥
¥
¥

(Units)OthersNumber of shares outstanding (excluding treasury stock) �������������������������� ’000
Number of subsidiaries �������������������������������������������������������������������������������������������
Number of associates ���������������������������������������������������������������������������������������������
Number of employees (consolidated basis) �������������������������������������������������������������

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

FY2018FY2019FY2020

FY2021

FY2022

FY2023

6,093,548
2,073,636
1,682,673−
1,411,199
36,096,476
7,621,481
15,685,106
12,056,031
1,171,864(2,908,016)
2,202,291
523,868
3,858,518

5,238,938−
50,038(1,410,153)(961,576)
37,257,292
5,913,613
14,272,208
11,027,565
1,117,879(4,286,921)
2,920,863(489,503)
3,369,015

5,628,167−
5,670,456
7,529,006
4,987,962
45,750,453
10,213,093
19,547,976
14,016,812
557,250(1,468,599)
2,194,077
1,293,710
4,662,725

6,221,534−(869,562)(3,434,742)(1,708,029)
47,544,670
9,975,674
22,323,580
17,100,637
2,725,450(3,018,654)
602,216
506,276
5,169,001

6,570,439–(469,127)(835,059)(970,144)
43,936,368
9,029,849
20,315,191
13,589,693
741,292
547,578
191,517
1,756,152
6,925,153

6,756,500−
57,801(559,350)(227,646)
46,724,243
11,162,125
21,362,031
14,885,247
250,547(841,461)(606,222)(738,279)
6,186,874

4.2
22.0
21.1

(2.6)
(14.2)
15.9

12.0
61.9
22.3

(3.7)
(16.9)
21.0(2.1)(10.2)
20.6

(0.5)
(2.3)
23.9

634.08628.273,380.33
22.00(478.50)(485.33)
2,619.32
44.00

2,619.61
2,437.29
5,588.80
44.00(1,018.58)(1,025.67)
5,755.92
44.00(652.37)(662.41)
5,888.94
44.00(170.99)(174.20)
7,479.43
44.00

1,053,833
1,302
423
76,866

2,067,996
1,475
455
80,9091,738,517
1,408
535
58,786

1,646,790
1,316
565
59,721

1,463,048
1,280
573
63,3391,465,925
1,254
571
65,352

Notes: 1. The Company adopted IFRIC 21 “Levies” in FY2014. The figures for FY2013 have been retrospectively adjusted.
2. As of June 1, 2015, GungHo Online Entertainment, Inc. (“GungHo”) no longer qualified as a subsidiary and became an equity method associate. Accordingly, GungHo’s net income and loss for the period from April 1, 2015 to June 1, 2015 are presented as discontinued
operations. Its net income and loss for FY2014 were revised retrospectively and presented under discontinued operations. Furthermore, as of August 16, 2016, GungHo no longer qualified as an equity method associate.
3. The Company sold all of its shares in Supercell Oy (“Supercell”) to an affiliate of Tencent Holdings Limited on July 29, 2016. Accordingly, Supercell’s net income until July 29, 2016 is presented as discontinued operations. Net income of Supercell for FY2015 was revised
retrospectively and presented under discontinued operations.
4. The Company adopted IFRS 9 “Financial Instruments” and IFRS 15 “Revenue from Contracts with Customers” in FY2018, and IFRS 16 “Leases” in FY2019. The information for each previous fiscal year is not restated.
5. Sprint and Brightstar Global Group Inc. (“Brightstar”) ceased to be a subsidiary of the Company in FY2020. Operating results of Sprint and Brightstar are excluded from FY2018 and FY2019, respectively.
*1 From FY2020, “operating income” is no longer presented and “gain (loss) on investments” is newly presented. Information for FY2019 is restated in the same manner.
*2 Includes lease liabilities from FY2019. Deposits for the banking business of PayPay Bank Corporation are not included in interest-bearing debt.
*3 Calculated by subtracting cash position (cash and cash equivalents + short-term investments recorded as current assets + bond investments (excluding those of PayPay Bank Corporation)) from the presented interest-bearing debt
*4 Basic EPS and diluted EPS are calculated based on net income attributable to owners of the parent.
The Company conducted a share split at a ratio of two-for-one effective June 28, 2019. Per share information has been retroactively adjusted to reflect the impact of the share split.

SoftBank Group Report 2024

74

Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

NAV & LTVFY2023

FY2022June 30

September 30

December 31

March 31

June 30

September 30

December 31

March 31

Equity value of holdings (asset-backed finance adjusted)�����������������

21.7

19.7

16.9

15.9

16.9

18.4

21.7

30.3

Alibaba �����������������������������������������������������������������������������������������������

4.5

3.0

2.0

0.7

0.0

0.0

0.0

0.0

SoftBank Corp. �����������������������������������������������������������������������������������

2.4

2.2

2.3

2.4

2.4

2.7

2.8

3.2

SVF1 ���������������������������������������������������������������������������������������������������

3.4

3.3

2.8

2.8

3.0

3.3

3.2

3.4

SVF2 ���������������������������������������������������������������������������������������������������

4.5

4.2

3.7

3.5

4.0

3.9

4.1

4.4

LatAm Funds ���������������������������������������������������������������������������������������

1.0

1.0

0.9

0.8

0.9

0.9

0.9

1.0

T-Mobile �����������������������������������������������������������������������������������������������

1.0

1.2

1.2

1.2

1.2

1.3

1.6

1.8

Deutsche Telekom �������������������������������������������������������������������������������

0.2

0.1

0.2

0.3

0.2

0.2

0.3

0.3

Arm �����������������������������������������������������������������������������������������������������

3.0

3.1

2.6

2.9

3.7

4.3

6.9

14.4

(Trillions of yen)

Others �������������������������������������������������������������������������������������������������

1.8

1.6

1.3

1.3

1.4

1.7

1.8

1.9

Net interest-bearing debt (asset-backed finance adjusted)���������������

3.1

3.0

3.1

1.7

1.4

1.9

2.5

2.6

Consolidated net interest-bearing debt�������������������������������������������������

17.9

14.1

13.5

13.6

14.7

14.7

14.8

14.9

Net interest-bearing debt at self-financing entities, etc. �����������������������

5.9

5.6

5.4

5.4

5.8

4.7

4.7

4.5

Other adjustments �������������������������������������������������������������������������������

8.9

5.5

5.0

6.5

7.6

8.0

7.5

7.8

NAV�������������������������������������������������������������������������������������������������������

18.5

16.7

13.9

14.1

15.5

16.4

19.2

27.8

11,64010,791

9,472

9,656

10,616

11,196

13,11918,961

14.5

15.0

18.2

11.0

8.0

10.6

11.5

8.4

Share price (yen) �������������������������������������������������������������������������������������

5,235

4,900

5,644

5,182

6,773

6,335

6,293

8,962

Total number of shares issued (excluding treasury stock) (thousands)���������

1,590,724

1,549,888

1,462,458

1,463,048

1,464,039

1,465,716

1,465,796

1,465,925

USD / JPY �������������������������������������������������������������������������������������������������

136.68144.81132.70133.53144.99149.58141.83151.41(Yen)

NAV per share���������������������������������������������������������������������������������������
(%)

LTV���������������������������������������������������������������������������������������������������������

(Reference)

Note: For the details of NAV and LTV, see pages 20-21.

SoftBank Group Report 2024

75

Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Management’s Discussion and Analysis of Results of Operations,
Financial Position, and Cash Flows
As of June 21, 2024

Results of Operations
1. Listing of Arm on the Nasdaq Global Select Market– Arm was listed on the Nasdaq Global Select Market on September 14, 2023. In the IPO, a wholly owned subsidiary of the Company disposed of 102,500,000 American depositaryshares (ADSs), representing 10% of Arm’s outstanding ordinary shares,*1 and received proceeds of $5.12 billion.
– No gain on the disposal is recorded in the consolidated statement of profit or loss as Arm continues to be a subsidiary of the Company after the disposal. However, in the consolidated
statement of financial position, ¥674.4 billion ($4.65 billion), which represents the gain on disposal, was recorded as capital surplus.

2. Acquisition of T-Mobile 48.8 million shares for no additional consideration upon satisfaction of contingent consideration condition
The Company acquired 48.8 million shares of T-Mobile stock equivalent to $7.74 billion (¥1.1 trillion) for no additional consideration on December 28, 2023, following the satisfactionof the contingent consideration condition on December 22, 2023. This was part of the consideration the Company received for the merger between T-Mobile US and the Company’s
then-U.S. subsidiary Sprint, which closed on April 1, 2020.

3. Results highlights¥559.4 billion investment loss (¥835.1 billion loss for fiscal 2022)– ¥459.0 billion investment loss at Investment Business of Holding Companies•R ealized and unrealized valuation losses on Alibaba shares of ¥959.9 billion exceeded
an investment gain of ¥371.1 billion on T-Mobile shares.
		 Note: T he ¥959.9 billion realized and unrealized valuation losses on Alibaba shares were offset by a derivative gain of¥1,517.4 billion, which arose from prepaid forward contracts using Alibaba shares and is recorded separately as“derivative gain (excluding gain or loss on investments).”– ¥167.3 billion investment loss at SoftBank Vision Funds (excluding gains associated with
SVF’s investments in the Company’s subsidiaries)
		 Note: T he SoftBank Vision Funds segment recorded ¥724.3 billion gain on investments, which included gains associated with
SVF’s investments in Arm and other subsidiaries of the Company.

•U nrealized valuation losses from decreases in the fair values of investments, notably
including WeWork stocks and notes, were partially offset by the fair value increases of
select companies, such as ByteDance, Coupang, and DoorDash.
• S ince inception, the gross performance was a gain of $16.7 billion for SVF1 and a lossof $19.3 billion for SVF2.*2

		
Note: S ince Arm, SoftBank Corp., and other subsidiaries are consolidated, changes in the fair value of their shares are notrecorded in the Company’s consolidated statement of profit or loss.

SoftBank Group Report 2024

¥57.8 billion gain before income tax (improvement of ¥526.9 billion YoY)
		 reflecting the recordings of:– Finance cost of ¥556.0 billion– Foreign exchange loss of ¥703.1 billion due to the impact of the weaker yen. This
resulted from a net excess of U.S. dollar-denominated liabilities over its U.S. dollardenominated cash and cash equivalents and loans receivable, primarily within SBG– Derivative gain (excluding gain or loss on investments) of ¥1,502.3 billion, arising from again relating to prepaid forward contracts using Alibaba shares following a fall in
Alibaba’s share price, which offset the previously mentioned realized and unrealized
valuation losses on these shares¥227.6 billion net loss attributable to owners of the parent (improvement of¥742.5 billion YoY)
		 reflecting the recordings of:– Negative income tax of ¥151.4 billion (profit)– Net income attributable to non-controlling interests of ¥436.9 billion76

Table of Contents

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

4. Continued monetization of assets and new investments
Monetization of assets– Raised $4.39 billion through prepaid forward contracts using Alibaba shares– Received proceeds of $5.12 billion through the disposal of 10% of Arm’s outstanding
shares in its IPO– Received proceeds totaling $6.33 billion from sales of investments by SVF,*3 after
adjusting for the proceeds from the sale of Arm shares to another subsidiary of theCompany, which were eliminated in consolidation

New investments– $1.50 billion for acquisition of investments by SVF,*3 net of investments in subsidiariesof the Company that were eliminated in consolidation– ¥348.8 billion primarily for strategic investments by SBG and its wholly owned
subsidiaries*4

5. Refinance of bonds
Completed refinance of USD-denominated NC6 undated hybrid notes
In April 2023, the Company issued domestic hybrid bonds totaling ¥222.0 billion,
followed by a hybrid loan*5 of ¥53.1 billion in May 2023. These funds were used torefinance USD-denominated NC6 undated hybrid notes ($2.0 billion), with the first
voluntary call date in July 2023. In addition, in September 2023, the Company refinanced
domestic hybrid bonds (¥15.4 billion), coinciding with their first voluntary call date in thesame month.

Notes: Abbreviations for Management’s Discussion and Analysis of Results of Operations, Financial Position, and Cash FlowsThe fiscal year / Fiscal 2023: Twelve-month period ended March 31, 2024
The first quarter: Three-month period ended June 30, 2023
The second quarter: Three-month period ended September 30, 2023
The third quarter: Three-month period ended December 31, 2023
The fourth quarter: Three-month period ended March 31, 2024
The previous fiscal year / Fiscal 2022: Twelve-month period ended March 31, 2023
The fiscal year-end: March 31, 2024
The previous fiscal year-end: March 31, 2023

SoftBank Group Report 2024

Refinance of domestic straight bonds
The Company redeemed domestic straight bonds of ¥399.9 billion that matured in March2024 and issued domestic straight bonds of ¥550.0 billion to retail markets in the samemonth. The Company also issued domestic straight bonds of ¥100.0 billion to wholesalemarkets in April 2024 and domestic straight bonds of ¥550.0 billion to retail markets inJune 2024, and redeemed domestic straight bonds of ¥450.0 billion that matured in June2024.

*1 The calculation is based on the 1,025,234,000 company shares issued and outstanding on September 30, 2023.
*2 Gross amounts before deductions, such as third-party interests and taxes*3 The amounts recorded in the consolidated statement of cash flows*4 The amount comprises the investment outlay by SBG and its primary wholly owned subsidiaries (excluding investments in U.S. Treasury
Bonds), as accounted for under “Acquisition of investments” in the consolidated statements of cash flows, combined with the amount
paid to third-party shareholders in connection with the subsidiary acquisitions of Berkshire Grey, Inc. in July 2023 and Balyo SA in October
2023, net of cash and cash equivalents held by these companies.
*5 The hybrid loan is eligible for 50% equity treatment for the drawn down amount by Japan Credit Rating Agency, Ltd. and S&P Global
Ratings Japan Inc.

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Intragroup Transaction of Arm Shares and IPO of Arm
1. Intragroup transaction of Arm shares(2) Primary impact on consolidated financial statements(1) Transaction overview

SVF1 recorded an investment gain of $6.9 billion, derived from the discounted present value ofPrior to Arm’s initial public offering (the “IPO”), in August 2023, a wholly owned subsidiary

the Transaction Consideration of $15.1 billion as of August 2023, after deducting the investmentof the Company acquired substantially all of the ordinary shares of Arm held by SVF1

cost of $8.2 billion. Additionally, over the course of two years up to August 2025, SVF1 will(equivalent to 24.99% of Arm’s outstanding shares)* (the “Transaction”) for $16.1 billion

recognize investment gains from the difference between $16.1 billion and $15.1 billion.

(the “Transaction Consideration”). The Transaction Consideration was established by

In the SoftBank Vision Funds segment, a realized gain of ¥1,074,039 million ($7.4 billion),reference to the terms of a prior contractual arrangement between the parties. The

an unrealized loss of ¥189,817 million ($1.8 billion) (reclassified to realized gain recorded inTransaction Consideration is being paid in four installments, with the first installment of

the past fiscal years), and a loss of ¥76,902 million as the effect of foreign exchange$4.1 billion paid upon completion of the Transaction in August 2023, and the remaining

translation were recorded under gain on investments at SoftBank Vision Funds for fiscal

three installments to be paid over the course of two years up to August 2025. SVF1 used

2023. These investment gains were and will be eliminated in consolidation, as they resulted

the entire $4.1 billion received from the first installment to repay its borrowings. The

from an intragroup transaction of subsidiary shares.

proceeds from the second and subsequent installments will be used primarily to make

Income for the SoftBank Vision Funds segment is represented by the net amount,payments to limited partners, including the Company, in accordance with the allocation

calculated by deducting the gains attributable to third-party investors from the total

method specified in the Limited Partnership Agreement.

investment gains. The gains attributable to third-party investors are also reflected in the
consolidated statement of profit or loss, recorded as an increase in third-party interests in SVF.

Timing and amount of installments of the Transaction Consideration
Timing

1st

2nd

3rd

4th

August 2023

August 2024

February 2025

August 2025

Difference between segment information and the consolidated
statement of profit or loss

(Millions of yen)

SoftBank Vision Funds
Segment

Reconciliations

Consolidated
statement of profit
or loss

Gain/loss on investments at SoftBank Vision
Funds

724,341(891,631)(167,290)

Data”), both of which were previously spun out from Arm. The total consideration for theGain on investments in subsidiaries, etc.

891,631(891,631)–

intragroup transaction, including the acquisition of interests in these two companies, was

Including gain on investments in Arm
sharesLoss on investments other than in
subsidiaries, etc.

807,320(807,320)–(167,290)–(167,290)(390,137)–(390,137)

Amount$4.1 billion$4.1 billion$4.1 billion$3.8 billion

In addition to the Transaction, an agreement was also reached to acquire interests in
Arm Technology (China) Co., Ltd. (“Arm China”) and Treasure Data, Inc. (“Treasure$16.4 billion.
* Following the completion of Arm’s pre-IPO corporate reorganization, SVF1 continued to hold one ordinary share of Arm
Holdings plc, which wholly owns Arm Limited.

SoftBank Group Report 2024

Change in third-party interests in SVF

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Growth Assets

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Financial Section

Corporate Information

2. IPO of Arm(2) Primary impact on consolidated financial statements(1) Transaction overview

The Company did not recognize a gain on disposal in its consolidated statement of profit or

Arm was listed on the Nasdaq Global Select Market on September 14, 2023, under theloss as Arm remains a subsidiary of the Company after the disposal. However, ¥674,370

ticker symbol “ARM.” In the IPO, a wholly owned subsidiary of the Company disposed ofmillion ($4.65 billion), representing the gains on disposal, was recorded as capital surplus in

102,500,000 ADSs, representing 10% of Arm’s outstanding ordinary shares, at a price tothe consolidated statement of financial position. In the consolidated statement of cash

the public of $51.00 per ADS.

flows, proceeds of ¥745,082 million ($5.12 billion) from the partial sales of shares ofsubsidiaries to non-controlling interests were recorded under cash flows from financing
activities.
Since Arm continues to be a consolidated subsidiary of the Company, changes in the fairvalue of its shares are not recorded in the Company’s consolidated statement of profit orloss.

Acquisition of 48.8 Million T-Mobile Shares for No Additional Consideration Upon Satisfaction of Contingent Consideration Condition(1) Transaction overview(2) Primary impact on consolidated financial statements

The Company received the right (the “Contingent Consideration”) to acquire 48,751,557

Upon the closing of the Merger on April 1, 2020, the Company recorded the fair value ofshares of T-Mobile stock (the “Shares”) for no additional consideration, contingent upon the

the Contingent Consideration of $1,825 million (¥196,313 million) as part of the gains on

satisfaction of a certain condition, which was part of the consideration under the Letterthe sale of Sprint in the consolidated statement of profit or loss and as derivative financial

Agreement, dated as of February 20, 2020, by and among T-Mobile US, Inc., SBG, andassets in the consolidated statement of financial position. Subsequently, changes in its fair

Deutsche Telekom AG (“Deutsche Telekom”) in connection with the merger between

value have been recorded under gains and losses on investments at Investment Business of

T-Mobile US, Inc. and the Company’s then-U.S. subsidiary Sprint, which closed on April 1,

Holding Companies as derivative gains and losses on investments in the consolidated

2020 (the “Merger”). Following the satisfaction of the Contingent Consideration condition

statement of profit or loss.

on December 22, 2023, the Company acquired the Shares (equivalent to $7,744 million or¥1,098,435 million) for no additional consideration on December 28, 2023.

On December 28, 2023, the acquisition date of the Shares, the Company derecognized
the abovementioned derivative financial assets (fair value as of that date: $7,744 million(¥1,098,435 million)) and recorded the acquired Shares as investment securities at the sameamount in the consolidated statement of financial position. In the consolidated statement of
profit or loss for fiscal 2023, the Company recorded a derivative gain on investments of¥227,012 million as part of investment gains at Investment Business of Holding Companies.
In addition, also as part of investment gains at Investment Business of Holding Companies,
the Company recorded an unrealized gain of ¥154,538 million on valuation of T-Mobile
shares, including preexisting holdings. Of this gain, ¥31,440 million is attributed to the
Shares received on December 28, 2023.

SoftBank Group Report 2024

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Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Wework’s Filing for Protection Under Chapter 11 of the United States Bankruptcy Code(Millions of yen)

On November 6, 2023, WeWork Inc. (“WeWork”), a portfolio company of SVF, filed forConsolidated statement of profit and loss

protection under Chapter 11 of the United States Bankruptcy Code. The following table

Account

elucidates the gains and losses associated with the investment and financial support

Loss on investments at
SoftBank Vision Funds(115,796)

Loss on equity method
investments/Other loss

(5,082)

WeWork convertible bonds with a face value of $0.46
billion held by SVF2

Loss on investments at
SoftBank Vision Funds(25,924)

WeWork unsecured notes with a face value of $1.65
billion, previously held by SBG/SVF2 (exchanged for the

Other loss

provided to WeWork, as recognized in the consolidated statement of profit or loss forfiscal 2023. The amounts are the same as those recorded for the nine-month period

WeWork stocks and warrants held by SVF1 and SVF2

ended December 31, 2023.
As of December 31, 2023, the carrying amounts of the stocks and warrants held by
SVF1 and SVF2 and the notes held by SVF2 have been written down to zero yen. The
amount of credit support by SVF2 for a letter of credit facility provided by financial
institutions to WeWork had been fully accrued by September 30, 2023, including theunfulfilled portion, as an allowance for financial guarantee contract losses. The guarantee
was fulfilled during the three-month period ended December 31, 2023. On June 11,2024, WeWork announced that it had completed the Chapter 11 process.

stocks and convertible bonds in Q1)

WeWork senior secured notes with a face value of$0.30 billion, previously held by SVF2 (redeemed in Q1)
WeWork notes with a face value of $0.30 billion heldby SVF2 (acquired in Q2; a loan commitment for notes purchaseat end of Q1)

Credit support by SVF2 for a letter of credit facility up
to $1.43 billion provided to WeWork by financial
institutions (the guarantee was fulfilled in Q3)

SoftBank Group Report 2024

Amount recorded
for fiscal 2023

(as loss on derecognition of
unsecured notes issued by
WeWork)(21,579)

Gain on investments at
SoftBank Vision Funds

439

Other gain

16

Loss on investments at
SoftBank Vision Funds(41,810)

Other loss
(as loss relating to credit support
for WeWork)(42,072)

Total(251,808)

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Message from Our CFO

Overall results for fiscal 2023

Foundation for Our Growth

Financial Section

Corporate Information

Investment loss of ¥459,045 million was recorded at Investment Business of Holding(Millions of yen)

Net sales
Gross profit
Gain on investments
Gain (loss) on investments at Investment
Business of Holding Companies
Loss on investments at SoftBank Vision
Funds

Growth Assets

Companies. This primarily reflected realized and unrealized valuation losses on Alibaba shares,

Fiscal 2022

Fiscal 2023

ChangeChange %totaling ¥959,935 million. These losses significantly outweighed an investment gain of

6,570,439
3,328,042

6,756,500
3,542,392

186,061214,3502.8%
6.4%¥371,108 million on T-Mobile shares. The gain included derivative gains and unrealized
valuation gains, which followed an increase in the fair value of the Contingent Consideration up
to the receipt of 48.8 million T-Mobile shares. For details, see “Investment Business of Holding
Companies Segment” on page 85.

4,560,500(459,045)(5,019,545)−(5,322,265)(167,290)

5,154,975−(73,294)

66,985140,279−

losses of ¥37,903 million at SVF1 and ¥231,329 million at SVF2, as well as gains of ¥73,862(835,059)(559,350)

275,709−

million at LatAm Funds and ¥28,080 million on other investments.

(2,695,328)(555,902)(2,982,383)(556,004)(287,055)
(102)

10.7%
0.0%

(772,270)(96,677)(703,122)(38,641)

69,14858,036−−54,256
1,127,949(24,138)(469,127)(320,674)(789,801)

1,502,326(390,137)
242,72057,801
151,416
209,217

1,448,070(1,518,086)
266,858
526,928
472,090
999,018

−
−
−
−
−
−

(180,343)(436,863)(256,520)−(970,144)(227,646)

742,498−

Total comprehensive income

468,140

2,241,441

1,773,301

378.8%

Comprehensive income attributable toowners of the parent

293,116

1,809,984

1,516,868

517.5%

Gain (loss) on other investments
Total gain on investments
Selling, general and administrative
expensesFinance cost
Foreign exchange loss
Loss on equity method investments
Derivative gain (excluding gain (loss) on
investments)
Change in third-party interests in SVF
Other gain (loss)
Income before income tax
Income taxes
Net income
Net income attributable to non-controllinginterests
Net income attributable to owners of theparentInvestment loss of ¥167,290 million was recorded at SoftBank Vision Funds. This comprised

SVF1 recorded a realized gain on investments (net) of ¥19,892 million, due to full exits fromseven portfolio companies and partial exits from several other portfolio companies.*1
Meanwhile, SVF1 recorded unrealized valuation losses (net) totaling ¥77,693 million forinvestments held at the fiscal year-end. This comprises an unrealized gain (net) totaling ¥42,648
million for public portfolio companies, attributed to higher share prices, and an unrealized loss

Gain (loss) on investments(Billions of yen)

6,000

3,000

1. Net Sales

4,560.50-559.4-835.167.0-167.3-459.0-5,322.3-3,000Net sales increased ¥186,061 million (2.8%) year on year to ¥6,756,500 million. Net sales
increased in the SoftBank segment and the Arm segment.

-73.3-6,0002. Loss on investments
Total loss on investments was ¥559,350 million.
SoftBank Group Report 2024

’22

’23

(FY)

■ Investment Business of Holding Companies ■ SoftBank Vision Funds
Total■ Other investments

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Message from Our CFO(net) totaling ¥120,341 million for private portfolio companies, mainly due to markdowns ofGrowth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Foreign exchange loss of ¥703,122 million (net), an improvement of ¥69,148 million year on

weaker-performing companies, which offset the fair value increases of select companies,

year, was recorded due to the weaker yen. This was mainly because SBG and domestic

including ByteDance Ltd.

subsidiaries used for fund procurement had U.S. dollar-denominated liabilities, such as

SVF2 recorded a realized loss on investments (net) of ¥107,912 million, primarily resulting
from full exits from seven portfolio companies and partial exits from several other portfolio
companies.*1 Additionally, SVF2 recorded unrealized valuation losses (net) totaling ¥261,865

borrowings from subsidiaries and foreign currency-denominated senior notes, that exceeded
their U.S. dollar-denominated cash and cash equivalents and loans receivable.
The depreciation of the yen in exchange rates used for translation resulted in an increased

million for investments held at the fiscal year-end. This was largely due to writing down

yen-translated value of net assets of foreign subsidiaries and associates, such as SoftBank Vision

WeWork’s fair value to zero yen, following its filing for protection under Chapter 11 of theFunds, whose functional currency is primarily U.S. dollars, rather than Japanese yen. However,United States Bankruptcy Code in November 2023, and the reduced fair values of private

this positive impact is not reflected as a foreign exchange gain; instead, it is accounted for in theportfolio companies, mainly reflecting markdowns due to their weaker performances.

¥2,009,461 million increase in exchange differences from the translation of foreign operations.

LatAm Funds recorded unrealized valuation gains (net) totaling ¥67,227 million, mainly due
to share price increases of public portfolio companies.

This amount is recorded under accumulated other comprehensive income in equity on the
consolidated statement of financial position.

Gains and losses on investments at SoftBank Vision Funds in the consolidated statement of
profit or loss do not include investment gains and losses related to SoftBank Vision Funds’
investments in Arm, PayPay Corporation, and other subsidiaries of the Company.
For details, see “SoftBank Vision Funds Segment” on page 89.

Loss on equity method investments improved by ¥58,036 million year on year to ¥38,641
million. In fiscal 2022, a loss of ¥25,394 million*3 on equity method investments related to
Alibaba was recorded. Alibaba was, however, excluded as an associate beginning in the second
quarter of fiscal 2022.

Gain on other investments amounted to ¥66,985 million. This included a valuation gain on
Symbotic Inc. (“Symbotic”) shares acquired by a wholly owned subsidiary of the Company in
July 2023, primarily resulting from an increase in the company’s share price.

Derivative gain (excluding gain (loss) on investments) increased by ¥1,448,070 million year on
year to ¥1,502,326 million. Derivative gain of ¥1,517,350 million was recorded for the prepaid
forward contracts and associated contracts using Alibaba shares.

3. Income before income tax

Gains and losses arising from derivatives related to investment activities, such as the

Income before income tax was ¥57,801 million, an improvement of ¥526,928 million year on

acquisition and sale of shares, are included under “Investment gain/loss.” For example, thisyear. Major changes other than gain (loss) on investments are as follows.

applies to derivative gains and losses arising from changes in the fair value of the Contingent
Consideration up to the receipt of 48.8 million T-Mobile shares. On the other hand, gains andFinance cost increased by ¥102 million year on year, to ¥556,004 million. Interest expenses atlosses arising from non-investment activities, in particular from derivatives associated with

SBG*2 increased by ¥6,781 million year on year, totaling ¥403,021 million. The increase wasfinancing, are included in “Derivative gain/loss (excluding gain or loss on investments).” For

primarily due to higher interest expenses associated with financings using Arm shares, which

example, this applies to derivative gains and losses on prepaid forward contracts using Alibaba

were affected by increased base rates and the depreciation of Japanese yen in the foreign

shares and T-Mobile shares.

exchange rate used for translations. Conversely, the expenses decreased partly due to the full
repayment of margin loans using Alibaba shares in the second quarter of the previous fiscal

The change in third-party interests in SVF represents the gains and losses attributable toyear, the repurchase of foreign currency-denominated straight bonds in the third quarter ofthird-party investors, calculated based on the gains and losses on investments at SoftBank

fiscal 2022, and the redemption of foreign currency-denominated straight bonds at maturity in

Vision Funds, net of management and performance fees payable to the fund managers, which

the first quarter of fiscal 2023.

are wholly owned subsidiaries of the Company, and operating and other expenses of SoftBank
Vision Funds. In the consolidated statement of profit or loss, gains on investments at SoftBank
Vision Funds typically contribute to an increase in third-party interests, which negatively impacts

SoftBank Group Report 2024

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Message from Our CEO

Message from Our CFO

profit; conversely, losses on investments result in a decrease in third-party interests and have apositive impact on profit.
However, for fiscal 2023, the change in third-party interests in SVF was negative by ¥390,137
million, despite an investment loss of ¥167,290 million at SVF being recorded. This was mainly
due to an investment gain of ¥807,320 million recorded in August 2023 as a result of the sale

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information*1 Includes share exchanges, acquisitions, and disposals as a result of restructuring of portfolio companies*2 Interest expenses of SBG include interest expenses of its wholly owned subsidiaries conducting fund procurement.
*3 Until Alibaba was excluded from the associates of the Company in the second quarter of fiscal 2022, the Company had applied theequity method to Alibaba’s consolidated financial statements for the reporting periods staggered by the previous three months
because it was impracticable to align the reporting periods with Alibaba due to various factors, such as contracts with Alibaba.
Necessary adjustments were made to reflect significant transactions and events announced by Alibaba during the staggered
three-month period.

of Arm shares held by SVF1 to a wholly owned subsidiary of the Company. As this transaction
was an intragroup transfer of shares in a subsidiary of the Company, the relevant investment
gain was eliminated in consolidation. On the other hand, the gain attributable to third-party
investors from this investment gain is recognized in the consolidated statement of profit or loss
as an increase in third-party interests.
For details, see “1. Intragroup transaction of Arm shares” under “Intragroup Transaction of
Arm Shares and IPO of Arm” on page 78.
Other gain increased by ¥266,858 million year on year to ¥242,720 million. A gain of¥108,832 million relating to loss of control over subsidiaries was recorded mainly because of thesale of 85% of the shares in SB Energy Corp., a wholly owned subsidiary of the Company. In
addition, interest income increased by ¥62,171 million year on year to ¥130,854 million
primarily driven by higher interest rates on USD-denominated deposits. For a further
breakdown, see “41. Other gain (loss)” in “Notes to Consolidated Financial Statements” in“Financial Report 2024.”
4. Net loss attributable to owners of the parent
Net loss attributable to owners of the parent was ¥227,646 million, an improvement of¥742,498 million year on year.
Income taxes decreased by ¥472,090 million year on year to ¥151,416 million. This wasprimarily due to recording deferred income taxes of ¥580,486 million (a credit of income taxes),
while SoftBank Corp. and other operating companies recorded current tax expenses of¥429,070 million.
The deferred income taxes were recorded as a credit, primarily due to the completion of thephysical settlement of a portion of the prepaid forward contracts using Alibaba shares. The
settlement had been phased in since October 2021 by Skybridge LLC, the Company’s wholly
owned financing subsidiary. The settlement of all contracts held by Skybridge LCC wascompleted in January 2024, leading to the reversal of deferred tax liabilities that had previously
been recognized at the previous fiscal year-end. This was based on the future tax estimates
related to the Alibaba shares and associated derivatives.
SoftBank Group Report 2024

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Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Summary of Segment Information
Net sales

Segment income (income before income tax)

(Billions of yen)(Billions of yen)

7,500

7,500

244.8
381.7

6,570.4

6,756.5

Overview of reportable segments
Segments

Main businesses

Core companies• Investment activities by SBG and its• SoftBank Group Corp.

Investment
subsidiaries
Business of
Holding Companies

225.0
464.0

• SoftBank Group Capital Limited• SoftBank Group Japan Corporation• SoftBank Group Overseas GK• SB Northstar LP

SoftBank Vision
Funds

5,000

5,000

• Investment activities by SVF1, SVF2, and

LatAm Funds• SoftBank Vision Fund II-2 L.P.
• SBLA Latin America Fund LLC

SoftBank*

1

6,083.8
2,500

2,500

3,349.8
51.4
0

-12.7

-16.4
’22

’23

57.8 835.1

128.2
-33.2
-97.5
-826.10(FY)-469.1-4,308.3-2,500

Arm
-75.3
-76.9
-5,000’22
Investment Business of Holding Companies*1
SoftBank Vision Funds*1
Other*2
Reconciliations○ Consolidated• SoftBank Vision Fund L.P.
• SB Global Advisers Limited

48.7
592.8
5,956.5• SB Investment Advisers (UK) Limited

SoftBank

’23

(FY)

Arm

• Consumer business: Provision of mobile• SoftBank Corp.

services, sale of mobile devices, andprovision of broadband services to retailcustomers in Japan• Enterprise business: Provision of mobile
communications and solutions services toenterprise customers in Japan• Distribution business: Provision of ICT(Information and Communication
Technology) services products to enterprisecustomers and provision of communication
device-related products and IoT (Internet ofThings) equipment to retail customers• Media & EC (e-commerce) business:
Provision of media-related services,
advertising and commerce-related services• Financial business: Provision of payment andfinancial services• LY Corporation*2• Design of microprocessor intellectual• Arm Holdings plc• PayPay Corporation

property and related technology• Sale of software tools and provision ofrelated services*1 From the first quarter, within the management categories of the SoftBank segment, the category previously called “Yahoo & LINE” hasbeen renamed “Media & EC.”
*2 On October 1, 2023, Z Holdings Corporation completed the scheduled intragroup reorganization procedures, including the merger
primarily among the company and its core wholly owned subsidiaries, LINE Corporation and Yahoo Japan Corporation, as well aschanging its trade name to LY Corporation.

*1 Net sales are not recorded for this segment as it is not engaged in the sale of goods and services.
*2 Includes the business results of Fortress Investment Group LLC and Fukuoka SoftBank HAWKS Corp., among others. On May 14, 2024,
SoftBank Group Corp. sold all its shares in Fortress Investment Group LLC, held through its subsidiary, to a subsidiary of Mubadala Investment
Company PJSC. With the completion of this transaction, Fortress Investment Group LLC is no longer a subsidiary of SoftBank Group Corp.

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Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Investment Business of Holding Companies Segment
1. Investment gain of ¥371.1 billion on T-Mobile shares– The Company acquired 48.8 million shares of T-Mobile stock equivalent to $7.74 billion (¥1.1 trillion) for no additional consideration on December 28, 2023, following the satisfaction of
the Contingent Consideration condition on December 22, 2023. This was part of the consideration the Company received for the merger between T-Mobile US and the Company’s
then-U.S. subsidiary Sprint, which closed on April 1, 2020.
– ¥227.0 billion derivative gain on investments was recorded due to an increase in the fair value of the Contingent Consideration. Additionally, an unrealized valuation gain of ¥154.5
billion was recorded on T-Mobile shares, including preexisting holdings. Of this gain, ¥31.4 billion was attributable to the shares acquired on December 28, 2023.
2. Investment loss of ¥459.0 billion was recorded, primarily because the gains associated with T-Mobile were overshadowed by realized and unrealized valuation losses on
Alibaba shares, which totaled ¥959.9 billion.
3. Segment loss amounted to ¥97.5 billion, primarily driven by finance cost of ¥473.8 billion and foreign exchange loss of ¥703.4 billion, which exceeded a derivative gain
(excluding gain or loss on investments) of ¥1,500.0 billion that was significantly greater than the investment losses mentioned above.

Overview

These derivatives are measured at fair value every quarter, with any change recorded in theThis segment is led by SBG, which conducts investment activities either directly or through its

consolidated statement of profit or loss as a derivative gain or loss (excluding gain or loss on

subsidiaries, acting as a strategic investment holding company. The segment comprises SBG,

investments).

SoftBank Group Capital Limited, SoftBank Group Japan Corporation, SoftBank Group Overseas
GK, the asset management subsidiary SB Northstar, and certain other subsidiaries engaged ininvestment and financing activities. Gains and losses on investments at Investment Business ofthrough its subsidiaries, excluding gains and losses on investments pertaining to subsidiaries’

Segment income(income before income tax) /gain (loss) on investments

shares, such as dividend income from subsidiaries or impairment losses related to subsidiaries’(Billions of yen)

Holding Companies encompass gains and losses on investments held by SBG either directly or

shares.

6,000This segment holds investments in portfolio companies, such as Alibaba, T-Mobile, andDeutsche Telekom, most of which are classified as financial assets at FVTPL (Fair Value Through4,560.6
4,000

Profit or Loss). Investments classified as financial assets at FVTPL are measured at fair value every
quarter, with any change in fair value recorded in the consolidated statement of profit or loss as
gains and losses on investments.
Alibaba

3,349.8

2,000

0

-97.5
-459.0

The Company classified its holdings of Alibaba shares as financial assets at FVTPL. These sharesare measured at fair value every quarter, with any change in fair value recorded in the
consolidated statement of profit or loss as a gain or loss on investments. Additionally, derivative
financial assets and liabilities are recognized for prepaid forward contracts using Alibaba shares.
SoftBank Group Report 2024

-2,000

’22

’23

(FY)

■ Segment income (income before income tax)
■ Gain (loss) on investments

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Investment in listed stocks, corporate bonds, and other instruments by asset
management subsidiaries
SB Northstar engages in the acquisition and sale of listed stocks, corporate bonds (primarily
those of investment grades with short time to maturity), and other instruments, utilizing thesurplus funds of SBG. Investment loss at asset management subsidiaries for fiscal 2023
amounted to ¥69.6 billion, bringing the cumulative investment loss since inception to ¥962.0
billion.* The balance of investments at the fiscal year-end stood at ¥347.7 billion, including¥264.9 billion in corporate bonds.
SBG indirectly holds a 67% stake in SB Northstar, while SBG’s Representative Director,
Corporate Officer, Chairman & CEO Masayoshi Son, indirectly holds a 33% interest. The portion
corresponding to Masayoshi Son’s interest is deducted from the gains and losses on investments
at SB Northstar as a non-controlling interest; therefore, 67% of the gains and losses oninvestments impact net income attributable to owners of the parent. In the event that, at theend of the fund life (12 years + 2-year extension), SB Northstar has any unfunded repayment
obligations to SBG, Masayoshi Son will cover his pro rata share of any such unfunded
obligations based on his relative ownership percentage in SB Northstar.
* The figures for cumulative investment loss exclude the impact of SB Northstar’s investments in three Special Purpose Acquisition
Companies (SPACs) controlled by SB Investment Advisers (US) Inc.

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Message from Our CEO

Message from Our CFO

Financial results

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

A Loss on investments at Investment Business of Holding Companies: ¥459,045 million(Millions of yen)

Fiscal 2022

Gain (loss) on investments at Investment
Business of Holding Companies
4,560,568
Gain relating to settlement of prepaid
forward contracts using Alibaba shares
4,838,251
Gain relating to sales of T-Mobile shares
24,842
Realized loss on investments at asset
management subsidiaries(73,950)
Unrealized gain (loss) on valuation of
investments at asset management subsidiaries(67,054)
Derivative loss on investments at asset
management subsidiaries(5,102)
Realized loss on investments*1(235,617)
Unrealized loss on valuation of investments(144,198)
Change in valuation for the fiscal year
(132,423)
Reclassified to realized gain (loss) recorded in
the past fiscal years*1(11,775)
Derivative gain on investments
205,506
Effect of foreign exchange translation*2–
Other
17,890
Selling, general and administrative expenses(73,796)
Finance cost
(398,541)
Foreign exchange loss
(772,053)
Income (loss) on equity method investments(22,836)
Derivative gain
(excluding gain (loss) on investments)
Mainly due to prepaid forward contracts
using Alibaba shares
65,732Other gain (loss)(9,228)Segment income(income before income tax)
3,349,846

Fiscal 2023

Change(459,045) (5,019,613)

Change %− A−−(4,838,251)(24,842)−−(90,360)(16,410)−

12,692

79,746−(792)(38,429)(611,627)(647,414)

4,310
197,188(467,429)(514,991)−−−−

35,787226,050
6,532
36,889(89,285)(473,811)(703,438)
1,904

47,562
20,544
6,532
18,999(15,489)(75,270)
68,61524,740−10.0%−
106.2%
21.0%
18.9% B− C−

• Unrealized loss of ¥611,627 million was recorded on valuation of investments, primarily due
to a ¥913,156 million loss on Alibaba shares arising from a decrease in its share price. The
loss was partially offset by a gain of ¥154,538 million on T-Mobile shares, due to an increase
in its share price.
• Derivative gain of ¥226,050 million on investments was recorded, which mainly included again of ¥227,012 million related to the T-Mobile Contingent Consideration.
B Finance cost: ¥473,811 million (increase of ¥75,270 million year on year)
SBG* saw a slight increase in interest costs to entities outside of the group, totaling ¥403,021
million, which is ¥6,781 million higher than fiscal 2022. Meanwhile, an amortized cost of¥67,390 million was recognized for the unpaid portion of the consideration for the acquisitionof Arm shares from SVF1 in August 2023. This amortized cost is eliminated in consolidation.
C Foreign exchange loss: ¥703,438 million
Foreign exchange loss of ¥703,438 million (net) was recorded due to the weaker yen. This wasprimarily because U.S. dollar-denominated liabilities (such as borrowings from subsidiaries andforeign currency-denominated senior notes) of SBG and domestic subsidiaries used for fundprocurement exceeded their U.S. dollar-denominated cash and cash equivalents and loans
receivable.
D Derivative gain (excluding gain or loss on investments): ¥1,500,015 million
Derivative gain of ¥1,517,350 million was recorded for the prepaid forward contracts andassociated contracts using Alibaba shares.

1,500,015
126,134

1,434,283
135,362(97,526) (3,447,372)− D−* Interest expenses of SBG include interest expenses of its wholly owned subsidiaries conducting fund procurement.

−*1 Unrealized gains and losses on valuation of investments recorded in previous fiscal years related to the investments realized in fiscal
2023 are reclassified as “Realized gain (loss) on investments.”*2 Unrealized gains and losses on valuation of investments are translated using the average exchange rate for the quarter in which thegains and losses were incurred, while realized gains and losses on investments are translated using the average exchange rate for thequarter in which the shares were disposed. “Effects of foreign exchange translation” are amounts that arose due to the use of different
foreign currency exchange rates for these unrealized and realized gains and losses.

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Who We Are

Message from Our CEO

Message from Our CFO

Impact of the asset management subsidiaries on the company’s consolidated
statement of financial position

Growth Assets

Foundation for Our Growth

Financial Section

Main interest-bearing debt and lease liabilities in this segment(Millions of yen)March 31, 2024

Cash and cash equivalents
Investments from asset management subsidiaries
including corporate bonds
Derivative financial assets in asset management subsidiaries
Other financial assets
Other
Total assets
Other financial liabilities
Other
Total liabilities
Investments from the Delaware subsidiaries*1
Equivalent amount of cash investments by SBG in the Delaware subsidiaries
Equivalent amount of loans to the Delaware subsidiaries held by SBG(the amount entrusted by SBG related to asset management)
Equivalent amount of cash investments by Masayoshi Son in Delaware
subsidiaries
Retained earnings
Exchange differences
EquityCorporate Information

794,508
347,679
264,854
11
3,672
4,660
1,150,530
3,672
521
4,193
1,971,699
39,786

Borrower

Type

SBG

Borrowings

Balance as of March 31, 2024
in the consolidated statementof financial position

Corporate bonds
Lease liabilities
Commercial paper
Wholly owned subsidiaries
conducting fundprocurement*¥463.0 billion¥6,147.6 billion¥9.4 billion¥176.5 billion

Borrowings using Arm shares(margin loan)¥1,274.9 billion

Prepaid forward contracts using
Alibaba shares (collar and forward
contracts)¥4,676.6 billion

Borrowings using SoftBank Corp.
shares (margin loan)¥498.8 billion

1,912,020

Prepaid forward contracts using
T-Mobile shares (collar contracts)¥432.2 billion

19,893(994,680)
169,318
1,146,337

Collar transactions using Deutsche
Telekom shares¥496.9 billion

A
B* Borrowings of wholly owned subsidiaries conducting fund procurement are nonrecourse to SBG.

C

*1 Investments from the Company’s subsidiaries, Delaware Project 1 L.L.C., Delaware Project 2 L.L.C., and Delaware Project 3
L.L.C. (the “Delaware subsidiaries”), to SB Northstar, the asset management subsidiary.

Calculation of non-controlling interests
Equivalent amount of cash investments by Masayoshi Son
in Delaware subsidiaries
Cumulative loss attributable to non-controlling interests*2
Exchange differences on translating foreign operations
Non-controlling interests (interests of Masayoshi Son)

(Millions of yen)

19,893A(331,460)
64,557(247,010)

D*2 One-third of B in the above table

Interests in equity (C above)
Interests of SBG
Non-controlling interests (interests of Masayoshi Son)
EquitySoftBank Group Report 2024

(Millions of yen)

1,393,347(247,010)
1,146,337

DC

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

SoftBank Vision Funds Segment(As of March 31, 2024; in billions of U.S. dollars)
1. Since inception, SVF1 had a gross gain of $16.7 billion; SVF2 had a gross loss of $19.3 billion.*1
Since Inception
Fiscal 2023*5
SVF1: $106.3 billion in cumulative returns*2 on $89.6 billion investments, with $16.7 billion
Investment
Gain/loss
Gain/loss
gross gain
cost*6 Returns*6 Gain/loss
Jan - MarYTD
• Investment gain was $5.3 billion (¥768.9 billion) for fiscal 2023, including an investment gain
SVF1
of $5.6 billion (¥807.3 billion) arising from the sale of Arm shares to a wholly owned subsidiary
Exited investments
38.0
64.1
26.1
0.4
7.3
Investments before exit 51.6
39.9
(11.7)(0.1)(0.6)
of the Company.
Reversal of valuation gain/loss recorded in prior• The fair value of investments held at the fourth quarter-end decreased by 0.4% from theperiods for exited investments in fiscal 2023
(0.2)
(1.4)
3
previous quarter-end.*
Derivatives/Interests/–U p 0.9% QoQ for public portfolio companies,*4 mainly due to an increase in the share prices
Dividends
(0.0)
2.3
2.3
(0.1)
(0.0)
of Coupang and DoorDash
Total
89.6
106.3
16.7
0.0
5.3
¥1.5 billion¥768.9 billion–D own 1.2% QoQ for private portfolio companies,*4 mainly due to markdowns of certain
weaker-performing companies
SVF2
SVF2: $33.1 billion in cumulative returns on $52.4 billion investments, with $19.3 billion
Exitedinvestments
3.0
3.4
0.4
(0.2)
(0.7)
gross loss
Investments
before
exit
49.4
29.9
(19.5)(0.3)(1.2)• Investment loss was $1.0 billion (¥146.5 billion) for fiscal 2023.
Reversal of valuation gain/loss recorded in prior• The fair value of investments held at the fourth quarter-end decreased by 1.1% from theperiods for exited investments in fiscal 2023
0.2
0.8
previous quarter-end.
Derivatives/Interests/
Dividends
(0.0)
(0.2)
(0.2)
0.0
0.1
–D
 own 10.3% QoQ for public portfolio companies, mainly due to a decrease in the share
Total
52.4
33.1
(19.3)(0.3)(1.0)
prices of AutoStore and Symbotic¥(49.7) billion ¥(146.5) billion–U p 0.4% QoQ for private portfolio companies, mainly reflecting share price increases amongmarket comparable companies
	Investment gains and losses on SVF’s investments in shares in the Company’s subsidiaries (mainly Arm) are recorded in this segment under “Gain (loss) on investments at SoftBank Vision
Funds.” However, these are eliminated in consolidation and hence, not included in “Gain (loss) on investments at SoftBank Vision Funds” in the consolidated statement of profit or loss.

2. Continue monetization and investment under a disciplined approach■ SVF2 made investments totaling $2.14 billion in fiscal 2023.*7■ 
SVF1 and SVF2 sold investments for a total of $21.99 billion in fiscal 2023, including full exits from 17 portfolio companies, including Arm, and partial exits from several portfolio companies.*7*1 Cumulative gross gains and proceeds from realized investments are before deducting third-party interests, taxes, and expenses. The same applies to the presentation of cumulative investment performance hereinafter.
*2 Exit price, etc., plus fair value of investments held. The same applies hereinafter.
*3 Represents changes in U.S. dollar-based fair values, excluding those from investments or exits made during the fourth quarter. The classification of portfolio companies as public/private is based on their status as of the fourth quarter-end. For portfolio companies with a change in theclassification of public/private during the fourth quarter, comparisons are made by adjusting their status at the third quarter-end to that of the fourth quarter-end. The same applies to the change in fair value of investments held at the quarter-end in this section.
*4 Public portfolio companies are shares traded on stock exchanges or over-the-counter markets. Private portfolio companies are those that do not fall under the category of public portfolio companies. The same applies hereinafter.
*5 The amount of gains and losses for exited investments in fiscal 2023 represents the exit price, net of the investment cost of such investments. Unrealized valuation gains and losses of such investments, recorded in prior years or in or before the third quarter of fiscal 2023, arepresented as a reversal of valuation gain/loss recorded in prior periods for exited investments in fiscal 2023. Therefore, the total amount of gains and losses for each quarter disclosed in or before the third quarter of fiscal 2023 and the gains and losses for the fourth quarter (Jan - Mar)for “Investments before exits” may not align with the amount of gains and losses for fiscal 2023 (YTD).
*6 For derivatives, the investment costs represent the costs of the derivatives. Investment returns represent the exit price for exited investments, the fair value for investments before exits, the settlement amount of settled contracts or the fair value of open contracts for derivatives, andthe respective amounts received for interest or dividends.
*7 Includes share exchanges, acquisitions, and disposals as a result of restructuring of portfolio companies

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Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Overview

Segment income

Segment results mainly include the results of the investment and operational activities of

A Gain on investments at SoftBank Vision Funds: ¥724,341 million

SoftBank Vision Fund 1 (SVF1), SoftBank Vision Fund 2 (SVF2), and SoftBank Latin America(Millions of yen)Funds (LatAm Funds).
Financial results
Gain (loss) on investments at SoftBank
Vision Funds*1
Gain (loss) on investments at SVF1,
SVF2, and LatAm Funds
Realized gain on investments*2
Unrealized loss on valuation of
investments
Change in valuation for fiscal 2023
Reclassified to realized gain (loss)
recorded in the past fiscal years*2
Interest and dividend income frominvestments
Derivative gain (loss) on investments
Effect of foreign exchangetranslation
Gain on other investments
Selling, general and administrative
expensesFinance cost
Derivative gain (excluding gain (loss) on
investments)
Change in third-party interests in SVF
Other loss
Segment income (income before income
tax)(Millions of yen)

Fiscal 2022

Fiscal 2023

Change(5,279,494)

724,341

6,003,835−(5,298,458)
78,616696,261
984,409

5,994,719
905,793−−(5,267,270)(4,978,591)(144,835)(189,604)

5,122,435
4,788,987−−(288,679)

44,769333,448−

1,512
14,537

21,668(7,337)

20,156(21,874)−−(125,853)
18,964(157,644)
28,080(31,791)
9,116

−
48.1%

(65,999)(81,181)(84,986)(74,322)(18,987)
6,859

28.8%
(8.4%)

907
1,127,949(10,473)−(390,137)(46,717)(907)(1,518,086)(36,244)−−−(4,308,291)

128,179

4,436,470−

Change %A

Gain (loss) on investments at SVF1
Loss on investments at SVF2
Gain (loss) on investments at LatAm Funds
Gain on other investments, etc.
Gain (loss) on investments at SoftBank Vision
Funds (A)Gain on SVF’s investments in shares of theCompany’s subsidiaries, etc. (B)Loss on investments at SoftBank Vision Funds inthe consolidated statement of profit or loss(A) - (B)Fiscal 2022

Fiscal 2023

Change(2,311,213)(2,445,427)(541,818)
18,964

768,891(146,472)
73,862
28,0603,080,104
2,298,955
615,680
9,096(5,279,494)

724,341

6,003,835

42,771

891,631

848,860(5,322,265)(167,290)

5,154,975“Gain on SVF’s investments in shares of the Company’s subsidiaries, etc.” for fiscal 2023
primarily comprises an investment gain of ¥807,320 million ($5.6 billion) associated with theinvestment in Arm. As a result of the sale of Arm shares held by SVF1 to a wholly owned
subsidiary of the Company in August 2023, a realized gain of ¥1,074,039 million ($7.4 billion),an unrealized loss (reclassified to realized gain recorded in the past fiscal years) of ¥189,817
million ($1.8 billion), and a loss of ¥76,902 million as the effect of foreign exchange translation
were recorded in the SoftBank Vision Funds segment. For details of this sale, see “Intragroup
Transaction of Arm Shares and IPO of Arm” on page 78.
B Change in third-party interests in SVF: ¥(390,137) million
B*1 Gains and losses on investments associated with the change in valuation of SoftBank Vision Funds’ investments in shares in the Company’s
subsidiaries (mainly Arm and PayPay Corporation) are included in segment income of the SoftBank Vision Funds segment as gains andlosses on investments at SoftBank Vision Funds but are eliminated in consolidation and not included in gains and losses on investments at
SoftBank Vision Funds in the consolidated statement of profit or loss.
*2 Unrealized gains and losses on valuation of investments recorded in previous fiscal years related to the investments realized in fiscal 2023
are reclassified to “Realized gain (loss) on investments.”

SoftBank Group Report 2024

Corporate Information

This represents the gains and losses attributable to third-party investors, which are calculated
based on the gains and losses on investments at each fund, net of (i) management andperformance fees payable to SBIA from SVF1; (ii) management and performance-linked
management fees payable to SBGA from SVF2; (iii) management fees, performance-linked
management fees, and performance fees payable to SBGA from LatAm Funds; and (iv)
operating and other expenses of SVF. For details, see “(2) Third-party interests in SVF” under“7. SoftBank Vision Funds business” in “Notes to Consolidated Financial Statements” in“Financial Report 2024.”

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Message from Our CEO

Investments and disposals by SVF1 and SVF2 in fiscal 2023
Investments

SVF1
SVF2
Total

Message from Our CFO(Billions of U.S. dollars)

Disposals*

Q1

Q2

Q3

Q4

YTD

Q1

Q2

Q3

Q4

YTD

−
1.56
1.56

−
0.37
0.37

−
0.09
0.09

−
0.12
0.12

−
2.14
2.14

0.56
0.33
0.89

16.36
0.12
16.48

2.04
0.12
2.16

2.41
0.05
2.46

21.37
0.62
21.99

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Fair value measurement of investments
SVF1, SVF2, and LatAm Funds calculate the fair value of their investments at eachquarter-end in accordance with IFRS 13 Fair Value Measurement and based on the
SBIA Global Valuation Policy and the International Private Equity and Venture Capital
Valuation Guidelines (IPEV Guidelines). For public portfolio companies, fair values ofNote: Investments include new and follow-ons.
* After deducting transaction fees, etc.

portfolio companies that are traded on stock exchanges are determined using quoted
prices, while fair values of those traded on over-the-counter markets are determined

Financing at SVF

using single or multiple factors, such as quoted prices and other observable inputs. For

SVF1, SVF2, and LatAm Funds may independently engage in borrowings that are nonrecourse

private portfolio companies, one or more valuation methods are used, including theto SBG, with the aim of leveraging and maintaining liquidity. Such borrowings include asset-

market approach using figures of market comparable companies, the income approachbacked finance, which utilizes held assets to enhance returns and distribute to limited partners.

using estimated future cash flows, and the recent transactions method using prices ofrecent funding rounds and similar transactions.

Segment income(income before income tax) /gain (loss) on investments at
SoftBank Vision Funds

Market Approach
Comparable Company Multiples(Billions of yen)

2,000

724.3
128.2

0

Triangulationof Valuation
Methodologies-2,000-4,000-4,308.3-5,279.5-6,000

’22

’23

(FY)

Income Approach

Recent Transaction Approach

Discounted Cash Flows

Rounds of Financing, etc.

■ Segment income (income before income tax)
■ Gain (loss) on investments at SoftBank Vision Funds

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Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Co-investment program of SVF2

in effect at the time of liquidation was applied throughout the life of SVF2 LLC, then any

In the second quarter of fiscal 2021, SVF2 introduced a co-investment program withsuch excess amounts will be subject to clawback from MgmtCo.

restricted rights to receive distributions (the “Program”). Under the Program, the Company’s
management makes joint investments with the Company and shares both the profits andrisks associated with the investments. The Program aims for the Company’s management tofurther focus on SVF2 and contribute to the Company’s earnings growth.
The Program targets an approved selection of SVF2’s investments, including investments
in private portfolio companies held or intended to be held by SVF2 as of June 23, 2021,
and any new investments executed on or after June 24, 2021 (excluding any follow-on

In parallel with the introduction of the Program, the Company has decided to invest in
SVF2 LLC in the form of preferred equity, which generates a fixed distribution of 8% perannum, to enhance the efficiency of recovery of investment funds. The preferred equity
interests have a priority right over the equity interests held by the Company and MgmtCo
under the Program in terms of distributions and return of contributions. SBG continues
to hold 100% of the equity for the investments in portfolio companies outside of theProgram’s scope.

investments in the portfolio companies outside of the Program’s scope). Target investments
are indirectly held by SVF II Investment Holdings LLC (“SVF2 LLC”), a subsidiary of
the Company established beneath SVF2. SVF2 LLC issued equity to the Company and
MgmtCo.* Accordingly, the Company holds 82.75% and MgmtCo holds 17.25% of thetotal equity interests. These equity interests are entitled to performance-based distributions

As of March 31, 2024

SBG

Equity interests of third-party interests

MgmtCo*$– (¥– )that are allocated based on the proportion of respective equity contributions.
Distributions from SVF2 LLC to MgmtCo are subject to certain restrictions. Specifically,(B) Distribution: $173mn(Return of capital)

distribution will not be made to MgmtCo until the sum of proceeds received by SVF2
LLC from realized investments plus the aggregate fair market value of all of SVF2 LLC’s
unrealized investments (net of borrowings) exceeds 130% of the aggregate acquisition costof all of SVF2 LLC’s investments. After the ratio exceeds 130%, restrictions on distributions
to MgmtCo will be released proportionately in increments of 10%. When the ratio reaches

100%
Equity: 82.75%
Preferred
EquityEquity: 17.25%(A) Equity acquisition amount: $2,923mn( i ) Acquisition costs: $2,594mn
		 (committed capital: $2.6bn)(ii) Adjustments etc.: $329mn+
Premium receivable: $215mn

200%, all restrictions will be released and MgmtCo will be entitled to receive the fullamount of the distribution.
MgmtCo is entitled to make full or partial payment of its capital contribution in SVF2 LLC
at any point in time and is required to pay a premium calculated at 3% per annum on theoutstanding receivables of SVF2 LLC. Any distributable amount from SVF2 LLC to MgmtCo
is offset against receivables at the time of the distribution notice and no distribution
payment will be made to MgmtCo until SVF2 LLC’s receivables are paid in full. Furthermore,in the event that, upon the liquidation of SVF2 LLC, the amount of the distributions receivedby MgmtCo exceeds the amount that would have been distributed to MgmtCo if the ratio

SoftBank Group Report 2024

Investments outside
the scope of theProgram

SVF2 LLC
Investments within
the scope of theProgram

Balance of the receivables ((A) – (B))
$2,965mn (¥448.9bn)* As of the fiscal year-end, only Masayoshi Son, SBG’s Representative Director, Corporate Officer, Chairman & CEO, invests in MgmtCo.
Participation by management other than Masayoshi Son has not been determined as of the date hereof, but is expected in the future.
For further details of the Program, see “a. Co-investment program with restricted rights to receive distributions” in “(1) Related
party transactions and balances” under “Note 45. Related party transactions” in “Notes to Consolidated Financial Statements”
in “Financial Report 2024.”

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Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Status of SVF1 investments
As of March 31, 2024

Total ((1) + (2) + (3) + (4) below)(Billions of U.S. dollars)

Cumulative
number ofinvestments

Cumulative
investment
cost

Cumulative
investment
returnCumulative
gain*1Jan - Mar

YTD

102

89.6

106.3

16.7

0.0

5.3

Number ofinvestments

Investment
cost

Exit price

Cumulative
realized
gain*1

Partial exit
Full exit*2

–
34

7.6
30.4

16.9
47.2

9.3
16.8

Total

34

38.0

64.1

26.1

(1) Exited investments
Realized gainrecorded for fiscal 2023
Jan - Mar

YTD

0.6
6.7
0.4

7.3

(2) Investments before exit (investments held at the fiscal year-end)*3
Unrealized
valuation gain (loss)
recorded for fiscal 2023

Number ofinvestments

Investment
cost

Fair value

Cumulative
unrealized
valuation
loss*5Jan - Mar

YTD

Public*4
Private

21
47

26.4
25.2

16.0
23.9

(10.4)
(1.3)

0.1
(0.2)

0.3
(0.9)

Total

68

51.6

39.9

(11.7)

(0.1)

(0.6)

Derivative
cost

Fair value /settlement
price

Cumulative
derivative
gain (loss)

Unsettled
Settled

(0.0)
0.0

(0.0)
1.4

(0.0)
1.4

Total

(0.0)

1.4

1.4

Interest anddividend
incomeCumulative
income0.9

0.9(3) Derivatives
Derivative loss
recorded for fiscal 2023
Jan - Mar

YTD

(0.0)
(0.0)
(0.1)

(0.0)

(4) Interest and dividend income from investments

Total

SoftBank Group Report 2024

(Reference)

Investment gainrecorded for fiscal 2023

Interest and dividend income
recorded for fiscal 2023
Jan - Mar

YTD

–

–

Effects of share exchanges*6
Effects of dividends in kind*7
Net of the above effects(Billions of U.S. dollars)

Cumulative
number ofinvestments

Cumulative
investment
cost

Cumulative
investment
returnCumulative
gain*1

(4)
(4)
94

(2.0)
–
87.6

(2.0)
–
104.3

–
–
16.7

Note: The total and the sum of the breakdown in the table may not match as the amount of each item is rounded to the nearest unit.
*1 Before deducting third-party interests, taxes, and expenses*2 Includes disposals (sales) as a result of share exchanges and restructuring of portfolio companies*3 The classification of portfolio companies as public/private is based on their status as of the fiscal year-end.
*4 Includes DiDi Global Inc. and WeWork, which are traded in the over-the-counter market. The carrying amount of WeWorkstocks has been written down to zero U.S. dollars; this decision was based on the Restructuring Support Agreement thecompany entered into with its major debt investors on November 6, 2023.
*5 For a certain investment that was initially determined to be transferred from the Company to SVF1, but later canceled, any unrealized
valuation gains and losses incurred for fiscal 2023 leading up to the decision to cancel the transfer are excluded in this section.
*6 For investments in which share exchanges occurred, the acquisition costs of new investments and disposal prices (sale prices) ofinvestments initially held are deducted for the purpose of presenting the cumulative net investment performance. These include
share exchanges between Uber Advanced Technologies Group and Aurora Innovation Inc., PT Tokopedia and PT GoTo Gojek
Tokopedia Tbk, Grofers International Pte. Ltd. and Zomato Limited, Zymergen, Inc. and Ginkgo Bioworks Holdings, Inc., andCandy Digital, Inc. and Fanatics Holdings, Inc. (an existing portfolio company). In addition, SVF1 exchanged all shares in two
portfolio companies for shares in their affiliated companies in prior years, which are also existing portfolio companies. The
acquisition costs and disposal prices (sale prices) of these investments are also deducted in this section.
*7 Investments acquired through dividends in kind from existing portfolio companies are deducted from the investment count.
These include two investments acquired from Arm (Treasure Data and Acetone Limited (an intermediate holding company thatowns approximately 48% of the equity interest in Arm China)) and two investments acquired from Reef Global Inc. (REEF
Proximity Aggregator LLC and Parking Aggregator LLC).

Capital deployment of SVF1
As of March 31, 2024

Committed capital (A)Drawn capital*1 (B)Return of capital (non-recallable) (C)Outstanding capital*2 (D) = (B) – (C)Remaining committed capital (E) = (A) – (B)(Billions of U.S. dollars)

Total

The Company

Third-party
investors

98.6
87.2
37.3
49.9
11.4

33.1
29.9
9.2
20.7
3.2

65.5
57.3
28.1
29.2
8.2

Note: The Company’s committed capital to SVF1 includes approximately $8.2 billion of an obligation that was satisfied by using Arm
shares (all said shares have been contributed) and $2.5 billion to be used for an incentive scheme related to SVF1.
*1 Drawn capital of SVF1 excludes the amount repaid to limited partners due to investment plan changes and other reasons after
the capital was drawn.
*2 At the fiscal year-end, $13.3 billion of the $29.2 billion of outstanding capital from third-party investors was attributable topreferred equity commitment.

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Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Status of SVF2 investments
As of March 31, 2024

Total ((1) + (2) + (3) + (4) below)(Billions of U.S. dollars)

Cumulative
number ofinvestments

Cumulative
investment
cost

Cumulative
investment
returnCumulativeloss*1Jan - Mar

YTD

283

52.4

33.1

(19.3)

(0.3)

(1.0)

Number ofinvestments

Investment
cost

Exit price

Cumulative
realized
gain (loss)*1

Partial exit
Full exit

–
11

0.4
2.6

0.3
3.1

(0.1)
0.5

Total

11

3.0

3.4

0.4

(1) Exited investments
Realized loss
recorded for fiscal 2023
Jan - Mar

YTD

(0.0)
(0.7)
(0.2)

(0.7)

(2) Investments before exit (investments held at the fiscal year-end)*2
Unrealized
valuation gain (loss)
recorded for fiscal 2023

Number ofinvestments

Investment
cost*4

Fair value*4

Cumulative
unrealized
valuationloss

Jan - Mar

YTD

Public*Private

16
256

8.6
40.8

4.0
25.9

(4.6)
(14.9)

(0.4)
0.1

(1.0)
(0.2)

Total

272

49.4

29.9

(19.5)

(0.3)

(1.2)

3

(Reference)

Investment loss
recorded for fiscal 2023

Effects of financial support to WeWork*5
Effects of share exchanges*6
Net of the above effects(Billions of U.S. dollars)

Cumulative
number ofinvestments

Cumulative
investment
cost

Cumulative
investment
returnCumulativeloss*1

(4)
(2)
277

–
(0.0)
52.4

–
(0.0)
33.1

–
–
(19.3)

Note: The total and the sum of the breakdown in the table may not match, as the amount of each item is rounded to the nearest unit.
*1 Before deducting third-party interests, taxes, and expenses*2 The classification of portfolio companies as public/private is based on their status as of the fiscal year-end.
*3 Includes Pear Therapeutics, Inc. and WeWork, which are traded in the over-the-counter market. The carrying amount of
WeWork stocks has been written down to zero U.S. dollars; this decision was based on the Restructuring Support Agreement
the company entered into with its major debt investors on November 6, 2023.
*4 The investment cost and fair value of investments before exit in SVF2 include those related to minor ownership percentage inanother portfolio company that was received as part of the consideration for SVF2’s investment in a certain portfolio company.
*5 WeWork senior secured notes (i) purchased by SVF2 in accordance with an agreement between the Company and WeWork in
October 2019 (redeemed by WeWork in the first quarter), the convertible bonds (ii and iii) and notes with a face value of $0.30
billion (iv) held by SVF2 in accordance with an agreement made in March 2023 among WeWork, its principal bondholders,
SVF2, and others to support the restructuring of WeWork’s debt, are deducted from the investment count.
*6 For investments in which share exchanges occurred, the acquisition costs of new investments and disposal prices (sale prices) ofinvestments initially held are deducted for the purpose of presenting the cumulative net investment performance. During thesecond quarter, SVF2 exchanged a portion of its shares in XCOM Labs, Inc. for shares in Globalstar, Inc; during the fourth
quarter, SVF2 exchanged its shares in ODA Group Holding AS for shares in Mathem Holdings AB.

Capital deployment of SVF2
As of March 31, 2024

(3) Derivatives

Total
Derivative
cost

Fair value /settlement
price

Cumulative
derivative
gain (loss)

Unsettled
Settled

(0.0)
–

0.0
(0.3)

0.0
(0.3)

Total

(0.0)

(0.3)

(0.3)

Derivative gain (loss)
recorded for fiscal 2023
Jan - Mar

0.0

YTD

Interest anddividend
incomeCumulative
income0.1

0.1

Committed capital (A)Drawn capital (B)Remaining committed capital (C) = (A) – (B)

(0.0)
0.0

Note: Remaining committed capital includes recallable return of capital.

0.0(Reference: Breakdown of committed capital as of March 31, 2024)(4) Interest and dividend income from investments

Total(Billions of U.S. dollars)Interest and dividend income
recorded for fiscal 2023
Jan - Mar

YTD

–

0.1

Total committed capital
The Company’s equity commitment to investments outside the scope ofthe co-investment program
The Company’s preferred equity commitment to SVF2 LLC*
The Company’s equity commitment to SVF2 LLC
MgmtCo’s equity commitment to SVF2 LLC

59.8
57.3
2.5

(Billions of U.S. dollars)

59.8
12.5
32.3
12.4
2.6

Note: At the fiscal year-end, no capital has been paid by MgmtCo.
* SVF2 LLC (SVF II Investment Holdings LLC) is a subsidiary of the Company established under SVF2 and indirectly holds investments
subject to the co-investment program.

SoftBank Group Report 2024

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Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Status of LatAm Funds investments

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Capital deployment of LatAm Funds

As of March 31, 2024

At the fiscal year-end, LatAm Funds posted $6.3 billion in cumulative returns on $7.4 billion

At the fiscal year-end, total committed capital for LatAm Funds was $7.8 billion, with drawn

in investments, with a gross loss of $1.1 billion since inception. Of this, investment gain for

capital totaling $7.4 billion.

fiscal 2023 was $0.5 billion (¥73.9 billion).

Outline of principal funds in the segment
As of March 31, 2024

The funds aim to maximize returns from a medium- to long-term perspective throughSVF1 distribution waterfall

investments in high-growth-potential companies leveraging AI. SVF1’s investment period

Payment of Preferred
Equity Coupons

has ended, and the remaining undrawn capital is reserved for fixed distributions andoperating expenses.
SVF1

SVF2

LatAm Funds

Primary limited
partnership

SoftBank Vision Fund
L.P.

SoftBank Vision FundII-2 L.P.

SBLA Latin America Fund
LLC

Total committed
capital(Billions of U.S.
dollars)

98.6

59.8*2

7.8*2

The Company: 33.1*1
Third-party investors:
65.5

The Company: 57.2
Third-party investor(MgmtCo): 2.6*3

The Company: 7.4
Third-party investor(MgmtCo): 0.4*3

Manager

SBIA(The Company’s wholly
owned U.K. subsidiary)

SBGA(The Company’s wholly owned U.K. subsidiary)

Investment
periodEnded onSeptember 12, 2019

To be determined by the manager

Fund life

Until November 20,
2029 + up to
Until October 4, 2032 + up to
two one-year extensions two one-year extensions option by SBGA
option by SBIA

Preferred equity investors

1

Return of Preferred
Equity Contributions
Preferred equity investors

2

Return of Equity
Contributions
Equity investors

3

Payment of Equity
Preferred Return
Equity investors

4
Return of Contributions & Hurdle Return

Payment of
Performance
Fees

Payment of
Remaining Gain

SBIA

Equity investors

5
Sharing Gains Above Hurdle*1 The Company’s committed capital to SVF1 includes approximately $8.2 billion of an obligation that was satisfied by using Arm shares (all said shares have been contributed) and $2.5 billion to be used for an incentive scheme related to SVF1.
*2 Effective September 27, 2023, SBGA, the manager of SVF2 and LatAm Funds, may allocate the remaining committed capital from SVF2 to LatAm Funds up to the amount of $4 billion and, in such circumstances, the total commitment to SVF2 will be reduced.
*3 A co-investment program has been introduced for SVF2 and LatAm Funds for the Company’s management. MASA USA LLC (“MgmtCo”), an investment entity for the co-investment program, participates in two funds. The interest attributable to MgmtCo is treated as athird-party interest in the Company’s consolidated financial statements. For details, see “a. Co-investment program with restricted rights to receive distributions” in “(1) Related party transactions and balances” under “Note 45. Related party transactions” in “Notes toConsolidated Financial Statements” in “Financial Report 2024.”

SoftBank Group Report 2024

95

Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

SoftBank Segment
1. Segment income increased by 40.9% YoY, driven primarily by a reversal in the consumer business’s income decline and sustained growth in the Media & EC business and theenterprise business.
2. Mobile services revenue increased for the first time in three years, primarily due to the waning impact of reduced communication charges and an increase in the number ofsmartphone subscribers.

Overview
Segment results include the business activities of SoftBank Corp. and its subsidiaries mainly
in Japan, such as the provision of mobile services and sale of mobile devices, as well as theprovision of broadband, advertising and commerce services. Under its Beyond Carrier strategy,
SoftBank Corp. aims to achieve sustainable growth in its core telecommunications business,while expanding its domains beyond telecommunications through internet services, such asYahoo! JAPAN and LINE, and the development of businesses that utilize advanced technologies
including AI, IoT, and FinTech, the latter encompassing the cashless payment service PayPay.
Financial results
Segment income was ¥835,076 million, an increase of ¥242,294 million (40.9%) year on
year. This was mainly due to the continued income growth in the Media & EC business andthe enterprise business along with a reversal of the income decline in the consumer business.
Other gains and losses also improved significantly. Although SoftBank Corp. recorded a gain of¥294,843 million from the remeasurement relating to business combination in the third quarterof fiscal 2022 for its consolidation of PayPay Corporation, this gain is not reflected on SBG’sconsolidated financial statements, as PayPay Corporation has consistently been classified as a
subsidiary of SBG.
In the consumer business, the increase in income was mainly due to increases in productsales, mobile service revenue, and broadband service revenue. Among these, mobile service
revenue increased for the first time in three years, primarily due to an increase in the numberof smartphone subscribers and the waning impact of the reduction in mobile service charges
implemented in the spring of 2021. In the Media & EC business, the increase in income wasdue to an increase in commerce sales and growth in account advertising, which increased media
sales. Additionally, reductions in sales promotion and advertising expenses also contributed to arise in income, among other factors. In the enterprise business, the increase was due to higher
sales of cloud services and other products, driven by the accelerated digitalization of enterprises.
The improvement in other gains and losses was primarily due to the complete reversal ofa ¥19,176 million provision recorded in fiscal 2022. This provision was related to a litigation
over telecommunication line installation and other items awarded by the Japan Post Group.
The reversal occurred in fiscal 2023 following the appeal court’s March 2024 decision, which
SoftBank Group Report 2024

overturned the initial trial court ruling that had ordered SoftBank Corp. to pay damages. The
improvement also reflected the recording of dilution gain from changes in equity interest of¥20,299 million in fiscal 2023, mainly for equity method associate, Webtoon Entertainment Inc.
Other factors driving the change include the recording of impairment loss on equity method
investments of ¥31,304 million in fiscal 2022 and ¥22,345 million in fiscal 2023 in relation
to DEMAE-CAN CO., LTD. For details on other gains and losses, see “41. Other gain (loss)” in“Notes to Consolidated Financial Statements” in “Financial Report 2024.”
PayPay Corporation and PayPay Card Corporation saw a reduction in losses mainly due toincreases in sales from the expansion of gross merchandise volume and interest income fromthe expansion of the revolving balance. A new fee structure introduced for a certain balance
top-up method (SoftBank, Y!mobile Pay on One Bill) along with cost reductions arising from thenarrowing the target audience for campaigns, also contributed to loss reduction.
For more information on SoftBank Corp.’s financial results and business operations, see its website.

Net sales(Billions of yen)

6,000

Segment income(income before income tax)
5,956.5(Billions of yen)

6,083.8

1,000

835.1
750

4,500

592.8
3,000

500

1,500

250

0

’22

’23

(FY)

0

’22

’23

(FY)

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Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Arm Segment
Arm’s business continues to benefit from technology companies increasing investments in AI. Arm recorded the highest net sales (U.S. dollar-based) in both the fourth quarterand fiscal 2023.
Net sales increased by 13.6% YoY in U.S. dollar terms, driven by the highest-ever license and other revenue and very strong royalty revenue, which was only slightly
below fiscal 2022’s record level. In yen terms, net sales increased by 21.6%.
		 – Royalty revenue decreased slightly by 0.9% YoY (U.S. dollar-based) as weak chip sales in the first half of fiscal 2023 were offset by a recovery in the second half, boosted by higher
royalties per chip from Arm’s latest Armv9 technology and culminating in record royalty revenue in the fourth quarter.
		 – License and other revenue increased by 38.5% YoY (U.S. dollar-based) with Arm signing high value, long-term deals with major technology companies developing chips for a wide range
of applications, including future smartphones, automotive, consumer electronic devices, and AI applications.
Segment loss of ¥33.2 billion, with strong net sales being offset by an increase in expenses related to stock compensation schemes combined with an increase inheadcount to enhance R&D capability

Overview

Net sales

Segment income(income before income tax)*(Billions of yen)(Billions of yen)Arm’s operations primarily consist of licensing semiconductor intellectual property (IP), including
the design of energy-efficient microprocessors and associated technologies.
Semiconductor industry trends can have a significant impact on Arm’s financial results, both

500

positively and negatively. Industry growth benefits Arm’s royalty revenue, which can grow alongwith industry sales. Industry growth can also encourage Arm’s customers to increase design
activity, creating new opportunities for Arm to license its latest technologies, and thus driving

375

50

464.0
381.7

48.7

25

license and other revenue.
Arm will continue to increase investments in R&D in order to build the future of computing.

250

0

125

-25

0

-50

Arm is creating CPUs and related technologies, such as graphics processors, AI accelerators,
and integrated subsystems, that will enable its customers to develop the next generation ofcomputing devices.

-33.2
’22

’23

(FY)

’22

’23

(FY)

* Segment income included amortization expenses of ¥65,581 million for fiscal 2023 and ¥61,467 million for the previous fiscal year.
These expenses are related to intangible assets recognized in the purchase price allocation at the time of the acquisition of Arm.

SoftBank Group Report 2024

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Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Financial results

consumer electronic devices, and AI applications. The current strong demand for licensing lays

Net sales in U.S. dollars

the foundation of a future royalty stream from chips that are to be developed and introduced to

Net sales in this section are presented in U.S. dollars as Arm’s revenue is primarily based on U.S.

the market in the coming years.

.
dollars.
(Millions of U.S. dollars)

Fiscal 2022

Fiscal 2023

ChangeChange %Royalty revenue

1,783

1,767

(16)

(0.9%)

License and other revenue

1,034

1,431

397

38.5%

Total

2,817

3,198

381

13.6%

Note: F rom the first quarter, the names of sales categories have been changed from “Technology royalty” and “Technology non-royalty”
to “Royalty revenue” and “License and other revenue,” respectively. The aggregation method remains unchanged.

Net sales reached a record high, increasing by $381 million (13.6%) year on year.

Segment income
Segment loss was ¥33,215 million, deteriorating by ¥81,878 million year on year. This was
mainly due to an increase in expenses related to stock compensation schemes as well as anincrease in the number of employees, particularly technology-related personnel, as Arm rapidly
increases its R&D capability. In fiscal 2023, Arm’s headcount increased by 1,133 people (19%)
with more than 80% of the net new hires being in engineering roles.
* The World Semiconductor Trade Statistics, November 2023. Includes memory and analogue chips that do not contain processor
technologies.

Royalty revenue
Royalty revenue fell slightly short of fiscal 2022’s record high, decreasing by $16 million(0.9%). In the first half of fiscal 2023, weak sales in the semiconductor industry, particularly insmartphones and other consumer electronic devices, continued from fiscal 2022 and impacted

Operations
Royalty units*(Billion)royalty revenue. However, this was largely offset by strong growth in royalty revenue in thesecond half, driven by an industry recovery and increased penetration of Armv9 technology,
which commands a higher royalty fee. On a quarterly basis, Arm achieved another recordin royalty revenue. According to the World Semiconductor Trade Statistics (WSTS), global
semiconductor sales are expected to increase by 13.1% year on year in 2024.* A recovery
in industry sales could boost Arm’s royalty revenue. Furthermore, Arm’s focus on gaining its
market share in automotive and cloud servers, along with the accelerated adoption of advanced

Royalty units as reported by Arm’s
licensees

Fiscal 2022

Fiscal 2023

ChangeChange %

30.6

28.6

(2.0)

(6.5%)* This analysis is based on the actual shipments of royalty units (chips incorporating Arm technology) by Arm licensees for twelve
months ended December 31, 2023, as reported by licensees in the royalty reports. Arm’s licensees report their actual shipments ofroyalty units one quarter in arrears, and therefore, the royalty unit analysis in this report is based on chips shipped for twelve months
ended December 31, 2023. In contrast, royalty revenues are accrued in the same quarter the chips are shipped based on estimates.
Royalty unit data for 2022 has been restated based on updated information received from its licensees in the first quarter.

technologies such as Armv9 and compute subsystems (CSS) that integrate multiple Arm IPs, isanticipated to be a major driver of future royalty revenue growth.

Arm’s licensees reported shipments of 28.6 billion Arm-based chips for the 12 months fromJanuary 1 to December 31, 2023, a decrease of 6.5% year on year. This largely reflects the

License and other revenue

approximately 4.7% decline in the number of smartphones sold in 2023 compared to the priorLicense and other revenue increased by $397 million (38.5%) year on year, reaching a record

year.*

high. This was due to increasing investment by Arm’s customers into AI technologies and due

The decline in the number of smartphones sold was largely offset by an increase in theto more companies moving from a licensing technology one at a time to a subscription license

penetration of Armv9-based CPUs into high-end smartphones as well as market share gains inmodel where the customer accesses a wider range of technologies in return for a higher license

automotive applications and cloud servers. The net result being relatively flat royalty revenue

fee. In fiscal 2023, Arm signed high value, long-term deals with major technology companies

year on year.

developing chips for a wide range of applications, including future smartphones, automotive,* S&P Global, March 2024

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Table of Contents

Who We Are

Message from Our CEO

Message from Our CFO

Technology development
Arm and its licensees made the following technology-related announcements during fiscal

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Informationand networking equipment.
• In March 2024, Arm announced a new family of technologies to advance the progress

2023. For details on each technology development, please refer to the press releases posted on

towards fully autonomous vehicles. This includes new Armv9-based processors and subsystems

the websites of the announcing companies.

purpose-built for automotive, as well as virtual development platforms that can reduce thedevelopment of automotive solutions by up to two years.

• In May 2023, Arm announced its latest Total Compute Solutions for mobile applications
processors, TCS23, a platform for premium mobile computing devices, which will power

In addition, below technology development was announced after the end of fiscal 2023.

immersive games, real-time 3D experiences, and next-gen AI applications.
• In May 2023, NVIDIA Corporation announced a supercomputer built on the NVIDIA Grace• In April 2024, Google LLC announced Google Axion Processors, its first custom Arm-based

CPU Superchip, adding to a wave of new energy-efficient supercomputers based on the ArmCPUs designed for the data center, which provide up to 50% better performance and up to

Neoverse platform.

60% better energy-efficiency than comparable current-generation x86-based processors.

• In May 2023, NVIDIA Corporation and SoftBank Corp. announced that they are collaborating
on a pioneering platform for generative AI and 5G/6G applications that is based on the

For more information about Arm, its business, and its technology, see its website.

NVIDIA GH200 Grace Hopper Superchip and which SoftBank Corp. plans to roll out at new,
distributed AI data centers across Japan.
• In August 2023, Arm announced a new technology family for licensing, the Arm Neoverse
Compute Subsystems (CSS). These are pre-integrated and validated configurations ofinfrastructure products that will reduce development costs and improve time-to-market forcompanies developing chips for servers and networking equipment.
• In October 2023, Renesas Electronics Corporation announced the world’s most powerfulfamily of microcontrollers, the RA8 series, based on the Arm Cortex-M85 processor. The
Cortex-M85 integrates Arm Helium technology that provides four times more performanceacceleration for machine learning algorithms and is essential as AI becomes increasingly
important in edge and end-point devices.
• In November 2023, MediaTek Inc. announced the Dimensity 9300, its latest mobile chip with aone-of-a-kind All Big Core design targeting flagship smartphones. The Dimensity 9300 is
powered by four Arm Cortex-X4 cores, four Arm Cortex-A720 cores and Arm
Immortalis-G720. It is designed for significantly improved performance for on-device
generative AI processing, including running large language models on a smartphone.
• In November 2023, Microsoft Corporation announced the Azure Cobalt CPU, Microsoft’s first
custom silicon for servers. The Azure Cobalt CPU is based on 128 Arm Neoverse processors
and delivers 40% higher performance per watt than the current generation of Azure server
chips.
• In February 2024, Arm announced two new processors for the infrastructure needed for AI,
Arm Neoverse V3 and Neoverse N3, as well as the CSS, Arm Neoverse CSS V3 and CSS N3,
that will help accelerate the development of chips for AI in the data center, supercomputers,
SoftBank Group Report 2024

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Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Financial Position
1. Status of investment assets
Carrying amount of investments from SVF (FVTPL)*1 increased by ¥524.8 billion

Carrying amount of investment securities increased by ¥1,355.5 billion fromfrom the previous fiscal year-end to ¥11,014.5 billion.*2

the previous fiscal year-end to ¥9,062.0 billion,*2 which included the following		 – This increase occurred despite a decrease in the U.S. dollar balance, reflecting thedepreciation of the yen against the U.S. dollar.
		 – ¥68.5 billion decrease at SVF1: The balance decreased by $5.86 billion on a U.S. dollar

carrying amounts:
		 – Alibaba shares of ¥3,757.1 billion (a decrease of ¥1,085.2 billion)
		 – T-Mobile shares of ¥2,275.8 billion (an increase of ¥1,506.6 billion): Following thebasis, due to decreases of $5.27 billion from divestments and $0.59 billion in the fairsatisfaction of the Contingent Consideration condition, the Company acquired 48.8

value of investments held at the fiscal year-end.

million T-Mobile shares for no additional consideration. These shares amounted to		 – ¥450.6 billion increase at SVF2: The balance decreased by $0.25 billion on a U.S.
dollar basis, mainly due to decreases of $1.83 billion in the fair value of investments
held at the fiscal year-end and $0.53 billion from divestments.*3 This occurred despite¥1,204.8 billion at the fiscal year-end.
		 – Bonds and other asset management products held by PayPay Bank of ¥512.0 billion (anincrease of ¥223.2 billion)

new*3 and follow-on investments totaling $2.14 billion.

2. Changes in liabilities associated with financing activities
Interest-bearing debt of SBG increased by ¥491.2 billion from the previous fiscal

Interest-bearing debt of wholly owned subsidiaries conducting fund procure-year-end.

ment increased by ¥1,114.1 billion from the previous fiscal year-end.*2

		 – SBG issued domestic hybrid bonds of ¥222.0 billion in April 2023. Together with		 – Raised $4.39 billion through the new conclusion of prepaid forward contracts using¥53.1 billion raised through a hybrid loan in May 2023, SBG successfully refinanced

Alibaba shares, while $2.49 billion in financial liabilities relating to sale of shares by

the USD-denominated NC6 undated hybrid notes of $2.0 billion (which were classified

prepaid forward contracts was derecognized following the physical settlement of aas equity), which it voluntarily redeemed on the first call date in July 2023.
		 – SBG redeemed domestic straight bonds of ¥399.9 billion that became due in March2024 and issued domestic straight bonds of ¥550.0 billion in the same month.

portion of such contracts previously entered into.
Interest-bearing debt of SVF decreased by ¥774.8 billion from the previous fiscal
year-end.
		 – SVF1 and SVF2 repaid borrowings totaling $6.35 billion made through asset-backed
finance.

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Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

3. Changes in equity
Total equity increased by ¥2,588.0 billion from the previous fiscal year-end.
		 – Disposal of Arm shares upon its IPO resulted in recording of ¥674.4 billion in capital

Ratio of equity attributable to owners of the parent (equity ratio) was 23.9% at
the fiscal year-end, compared with 20.6% at the previous fiscal year-end.

surplus (amount equivalent to gain on sale). Non-controlling interest in Arm at the
fiscal year-end was ¥236.8 billion.
		 – Other equity instruments decreased by ¥220.9 billion following the voluntary
redemption of USD-denominated NC6 undated hybrid notes.
		 – Retained earnings decreased due to a ¥227.6 billion net loss attributable to owners of
the parent.
		 – Exchange differences from the translation of foreign operations increased by ¥2,009.5
billion due to the weaker yen.
		 – Increase in non-controlling equity interest of SoftBank due to issuance of bond-typeclass shares in the amount of ¥120.0 billion*1 Investments from SVF (FVTPL) do not include SVF’s investments in the Company’s subsidiaries (primarily PayPay Corporation) or investments that were transferred from the Company to the funds and continue to be accounted for using the equity method (and are included in“Investments accounted for using the equity method”) prior to and after such transfer.
*2 Includes increases in the carrying amount due to a 13.4% depreciation of the yen against the U.S. dollar in the foreign currency exchange rate used for translations at the fiscal year-end*3 Includes share exchanges, acquisitions, and disposals as a result of restructuring of portfolio companies(Millions of yen)

Total assets
Total liabilities
Total equity

SoftBank Group Report 2024

March 31, 2023

March 31, 2024

ChangeChange %43,936,368
33,287,153
10,649,215

46,724,243
33,487,074
13,237,169

2,787,875
199,9212,587,954

6.3%
0.6%
24.3%

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Assets(Millions of yen)March 31, 2023

March 31, 2024

ChangeCash and cash equivalents

6,925,153

6,186,874(738,279)

Trade and other receivables

2,594,736

2,868,767

274,031

Derivative financial assets

249,414852,350

602,936

A

Other financial assets

371,313

777,996406,683

B

Inventories

163,781

161,863(1,918)Other current assets

282,085

550,984

268,899

Components

Main reasons for changes from the previous fiscal year-end

Current assets
A Derivative
financial assets• Derivative financial assets related to the prepaid forward contracts using
Alibaba shares increased by ¥644,078 million. The increase was due to a
decline in the share price and the depreciation of the yen, as well as thereclassification of those contracts due for settlement within one year as
current assets, despite the physical settlement of a portion of the contracts.
• Contingent value rights, which were received in June 2020 in relation to thedisposal of T-Mobile shares and recorded as derivative financial assets at theprevious fiscal year-end in the balance of ¥67,308 million, were vested onJune 1, 2023 and were derecognized after the Company received 3.6 million
T-Mobile shares. The shares are recorded as investment securities in the samemanner as the existing holdings of T-Mobile shares.

B Other financial
assetsInvestments from asset management subsidiaries increased by ¥259,735
million due to the acquisition of corporate bonds (primarily those ofinvestment grades with short time to maturity).

−

42,55942,559Total current assets

10,586,482

11,441,393

854,911

Property, plant and equipment

1,781,142

1,895,289

114,147

858,577

746,903(111,674)

Goodwill

5,199,480

5,709,874

510,394

Intangible assets

2,409,641

2,448,840

39,199Costs to obtain contracts

332,856

317,650(15,206)

Non-current assets

Investments accounted for using the equity method

730,440

839,208

108,768

C Goodwill

Arm’s goodwill increased by ¥423,325 million due to a 13.4% depreciation of
the yen against the U.S. dollar in the foreign currency exchange rate used fortranslations at the fiscal year-end. The entire amount of goodwill remains
attributable to SBG, even after the sale of a 10% stake in conjunction with
the IPO of Arm.

D Investments from
SVF (FVTPL)The carrying amount of investments at SVF increased mainly due to a 13.4%
depreciation of the yen against the U.S. dollar in the foreign currency
exchange rate used for translations at the fiscal year-end.
• The carrying amount of investments at SVF1 decreased by ¥68.5 billion. On a
U.S. dollar basis, the carrying amount decreased by $5.86 billion. The result
reflected decreases of $5.27 billion due to divestments and $0.59 billion due
to a decrease in the fair value of investments held at the fiscal year-end.
• The carrying amount of investments at SVF2 increased by ¥450.6 billion. On a
U.S. dollar basis, the carrying amount decreased by $0.25 billion. The result
mainly reflected decreases of $1.83 billion in the fair value of investments
held at the fiscal year-end and $0.53 billion due to divestments.*1 Thisoccurred despite new*1 and follow-on investments totaling $2.14 billion.
• The carrying amount of investments at LatAm Funds increased by ¥142.7
billion. On a U.S. dollar basis, the carrying amount increased by $0.29 billion.
The result reflected increases of $0.47 billion in the fair value of portfolio
companies held at the fiscal year-end*2 and $0.08 billion due to follow-on
investments. These increases were partially offset by a decrease of $0.26
billion due to divestments.
For details, see “SoftBank Vision Funds Segment” on page 89.

Assets classified as held for sale

Right-of-use assets

10,489,722

11,014,487

524,765

SVF1

6,110,527

6,042,046(68,481)

SVF2

Investments from SVF (FVTPL)C

D3,646,305

4,096,880

450,575

LatAm Funds

732,890875,561

142,671

Investment securities

7,706,501

9,061,972

1,355,471

Derivative financial assets

1,170,845

385,528(785,317) F

Other financial assets

2,303,620

2,424,282

120,662

Deferred tax assets

210,823

245,954

35,131Other non-current assets

156,239

192,863

36,624

Total non-current assets

33,349,886

35,282,850

1,932,964

Total assets

43,936,368

46,724,243

2,787,875

SoftBank Group Report 2024

E

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Message from Our CFO

Components

Main reasons for changes from the previous fiscal year-end

E Investment
securities• The carrying amount of Alibaba shares decreased by ¥1,085,242 million($11.45 billion), with the balance at the fiscal year-end being ¥3,757,063
million ($24.81 billion). This decrease is mainly attributable to a $10.57 billion
reduction in fair value due to the decline in the company’s share price(Reference: a fall from $102.18 per ADR as of March 31, 2023 to $72.36 per
ADR as of March 31, 2024). Additional factors included a decrease of¥125,307 million ($0.88 billion) following the physical settlement of a portionof the prepaid forward contracts using the company’s shares in the third andfourth quarters.
• The carrying amount of T-Mobile shares increased by ¥1,506,621 million($9.27 billion), with the balance at the fiscal year-end being ¥2,275,827
million ($15.03 billion). This increase mainly reflected the receipt of 48.8
million shares of T-Mobile, valued at ¥1,204,804 million at the fiscal year-end,following the satisfaction of the condition for the Contingent Consideration.
The increase in the company’s share price also contributed to the increase in
the carrying amount (Reference: a rise from $144.84 per share as of March
31, 2023 to $163.22 per share as of March 31, 2024).
• The carrying amount of the three stocks combined—Symbotic,*3 NVIDIA
Corporation, and Deutsche Telekom,*4—increased by ¥359,042 million.
The carrying amounts of stocks mentioned above also reflected an increasecaused by a 13.4% depreciation of the yen against the U.S. dollar in the foreign
currency exchange rate used for translations at the fiscal year-end.
• The carrying amount of bonds and other asset management products held by
PayPay Bank Corporation increased by ¥223,211 million, with the balance at
the fiscal year-end being ¥511,994 million.

F Derivative
financial assets• The Contingent Consideration related to the acquisition of T-Mobile shares
was derecognized upon the receipt of the shares (balance at the previous
fiscal year-end: ¥833,770 million).
• Derivative financial assets related to prepaid forward contracts using Alibaba
shares decreased by ¥131,974 million. This was due to reclassifying assets
with a remaining term of one year or less as current assets, despite a decreasein the Alibaba’s share price and the depreciation of the yen.

*1 Includes share exchanges, acquisitions, and disposals as a result of restructuring of portfolio companies*2 Includes the impact from the stronger local currencies against the U.S. dollar*3 The shares of Symbotic are also included in “Investments from SVF (FVTPL)” for those held by SVF2, and in “Other Financial Assets(Current)” for those held by SB Northstar.
*4 Includes the impact from the weaker euro against the U.S. dollar, as the shares of Deutsche Telekom are held by a U.S. subsidiary of theCompany

SoftBank Group Report 2024

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information(Reference) Cash and cash equivalents by entity
Consolidated cash and cash equivalents decreased by ¥738.3 billion from the previous
fiscal year-end to ¥6,186.9 billion. Of this, cash and cash equivalents of SBG and wholly
owned subsidiaries conducting fund procurement, etc. decreased by ¥1,061.0 billion to¥3,024.0 billion. For details, see “Cash Flows” on page 107.
(Millions of yen)

SBG and wholly owned subsidiaries
conducting fund procurement, etc.*1
SBG*1
Wholly owned subsidiaries conducting
fund procurement
SB Northstar
SoftBank Vision Funds segment
SVF1
SVF2
LatAm Funds
SBIA, SBGA, SBLA Advisers Corp.
SoftBank segment
SoftBank Corp.
LY Corporation*2
PayPay Corporation, PayPay Bank
Corporation,*3 PayPay Card Corporation
Others*2
Arm segment*4
Arm Holdings plc and its subsidiaries
Others*1, 4
Total

March 31, 2023

March 31, 2024

Change4,085,004
3,523,393

3,023,961
2,198,869(1,061,043)(1,324,524)

543,380
18,23130,584
794,508(512,796)
776,277

72,15936,9302,818
97,54665,748102,063
3,084
58,992(6,411)
65,133
266(38,554)

280,768
443,424

482,763
325,391

201,995(118,033)

857,430
477,545739,759444,960(117,671)(32,585)

207,484
364,045
6,925,153

291,127
649,026
6,186,874

83,643284,981(738,279)*1 As of September 21, 2023, the Company merged with the Company’s former wholly owned subsidiary Shiodome Project 9
GK in an absorption-type merger. Amounts at the previous fiscal year-end have been restated retrospectively to reflect themerger.
*2 As of October 1, 2023, Z Holdings Corporation completed an intragroup reorganization, which included a merger primarily
involving the three companies: the company itself, LINE Corporation, and Yahoo Japan Corporation, and changed its tradename to LY Corporation. Amounts at the previous fiscal year-end have been restated retrospectively in accordance with theintragroup reorganization.
*3 Cash and cash equivalents of PayPay Bank Corporation at the fiscal year-end were ¥248,298 million.
*4 “Arm segment” previously included in “Others” has been independently presented and amounts at the previous fiscal
year-end have been restated retrospectively.

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Liabilities(Millions of yen)March 31, 2023

March 31, 2024

Change5,129,047

8,271,143

3,142,096

184,105

149,801(34,304)

Deposits for banking business

1,472,260

1,643,155

170,895

Trade and other payables

2,416,872

2,710,529

293,657

Derivative financial liabilities

82,612

195,090

112,478

Other financial liabilities

180,191

31,801(148,390) A

Income taxes payable

367,367

163,226(204,141)

Provisions

72,35044,704(27,646)

Other current liabilities

675,920801,285

125,365Interest-bearing debt
Lease liabilities

Liabilities directly relating to assets
classified as held for sale

–

9,561

9,561

Total current liabilities

10,580,724

14,020,295

3,439,571

Interest-bearing debt

14,349,147

12,296,381(2,052,766)

Components

Main reasons for changes from the previous fiscal year-end*See page 105 for a breakdown of interest-bearing debt.
Current liabilities
A Otherfinancial liabilities

By the end of the second quarter, an allowance (allowance for financial
guarantee contract losses) was recorded for the entire credit support for aletter of credit facility provided by financial institutions totaling $1.43 billion
to WeWork (the beginning balance of the allowance was ¥152,365 million).
In the third quarter, the allowance was allocated to the loan that wasrecognized as a result of the fulfillment of the guarantee obligations, resulting
in a ¥152,365 million decrease in the allowance for financial guarantee
contract losses from the beginning balance. At the fiscal year-end, thecarrying amount of the loan was zero yen, as the allowance has been
allocated.

B Income taxes
payableSBG paid income taxes during the first quarter. This payment was accrued infiscal 2022 based on taxable income, including gains on the sale of Alibaba
shares to subsidiaries conducting fund procurement, which was carried out inrelation to the early physical settlement of prepaid forward contracts using
Alibaba shares.

B652,892

644,706(8,186)

Third-party interests in SVF

4,499,369

4,694,503

195,134

Derivative financial liabilities

899,351

41,238(858,113) D

Non-current liabilities

Other financial liabilities

58,54557,017(1,528)Provisions

163,627

167,902

4,275

C Third-party
interests in SVF

The carrying amount increased due to a 13.4% depreciation of the yen
against the U.S. dollar in the foreign currency exchange rate used fortranslations at the fiscal year-end. For details, see “(2) Third-party interests in
SVF” under “7. SoftBank Vision Funds business” in “Notes to Consolidated
Financial Statements” in “Financial Report 2024.”

D Derivative
financial liabilities

Derivative financial liabilities related to prepaid forward contracts using
Alibaba shares decreased by ¥805,039 million, primarily as a result of adecline in Alibaba’s share price.

E Deferred tax
liabilities

Following the completion of the physical settlement of a portion of the
prepaid forward contracts using Alibaba shares in January 2024, which had
been conducted in phases since October 2021 by Skybridge LLC, theCompany’s wholly owned financing subsidiary, and constituted all suchcontracts held by Skybridge LLC, the deferred tax liabilities recognized at theprevious fiscal year-end were reversed. These liabilities were based on the
future tax estimates related to the Alibaba shares and associated derivatives.

Lease liabilities

1,828,557

1,253,039(575,518)

Other non-current liabilities

254,941

311,993

57,052

Total non-current liabilities

22,706,429

19,466,779(3,239,650)

Total liabilities

33,287,153

33,487,074

199,921

Deferred tax liabilities

SoftBank Group Report 2024

C

E

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information(Reference) Interest-bearing debt and lease liabilities (current and non-current)(Millions of yen)March 31, 2023

SBG and wholly owned subsidiaries
conducting fund procurement, etc.
SBG
Borrowings
Corporate bonds
Lease liabilities
Commercial paper
Wholly owned subsidiaries conducting
fund procurement*1
Borrowings
Financial liabilities relating to sale of sharesby prepaid forward contracts
SB Northstar
Borrowings
SoftBank Vision Funds segment
SVF1
Borrowings
SVF2
Borrowings
SBIA, SBGA, SBLA Advisers Corp.
Lease liabilities
SoftBank segment
SoftBank Corp.
Borrowings
Corporate bonds
Lease liabilities
Commercial paper
LY Corporation*2
Borrowings
Corporate bonds
Lease liabilities
PayPay Corporation, PayPay Bank
Corporation,*3 PayPay Card Corporation
Other*2
Arm segment*4
Arm Holdings plc and its subsidiaries
Lease liabilities
OthersOther interest-bearing debt
Lease liabilities*4
Total

SoftBank Group Report 2024

March 31, 2024

Change12,635,554

14,239,518

6,306,590
381,851
5,753,022
10,717161,000

6,796,406
462,977
6,147,578
9,351
176,500

489,816
81,126 A
394,556 B(1,366)
15,5006,328,964
2,065,361

7,443,112
2,270,601

1,114,148
205,240 C

4,263,603––

5,172,511––

908,908 D––

552,681552,681770,004
770,004
14,95014,950––547,894
547,894
15,94815,948(552,681)(552,681) E(222,110)(222,110) E
998
998

4,149,812
3,080,878
578,684
490,249
1
1,268,867
608,177
578,987
81,703

4,373,826
2,994,039
827,781
466,005
86,001
1,122,485
591,338
469,270
61,877224,014(86,839)
249,097(24,244)
86,000(146,382)(16,839)(109,717)(19,826)

396,075
319,937

503,714321,069

107,639
1,132

28,70928,70934,63034,630

5,921
5,921

130,01448,588133,442
69,505

3,428
20,917

20,315,191

21,362,031

1,046,840

1,603,964

Components

Details

SBG and wholly owned subsidiaries conducting fund procurement, etc.
SBG
A Borrowings

In the first quarter, ¥53.1 billion was borrowed through a hybrid loan.

B Corporate bonds• In the first quarter, domestic hybrid bonds with a face value of ¥222.0 billion were issued.
• In the first quarter, foreign currency-denominated senior notes with face values of $0.16 billion
and 0.63 billion euros and domestic straight bonds with a face value of ¥19.5 billion wereredeemed upon maturity.
• In the second quarter, domestic hybrid bonds with a face value of ¥15.4 billion were prematurely redeemed.
• In the fourth quarter, domestic straight bonds with a face value of ¥399.9 billion wereredeemed upon maturity.
• In the fourth quarter, domestic straight bonds with a face value of ¥550.0 billion were issued.
• Foreign currency-denominated senior notes with face values of $0.10 billion and 0.07 billion
euros, as well as domestic straight bonds with a face value of ¥2.1 billion and domestic subordinated bonds with a face value of ¥20.9 billion, were repurchased from the market.
• The carrying amount of foreign currency-denominated straight bonds increased due to a
13.4% depreciation of the yen against the U.S. dollar in the foreign currency exchange rateused for translations at the fiscal year-end.

Wholly owned subsidiaries conducting fund procurement
C Borrowings

Borrowings of $8.50 billion (balance at the previous fiscal year-end: ¥1,126.6 billion) madethrough asset-backed finance using Arm shares were repaid prior to Arm’s IPO in September
2023. After the IPO, new borrowings of $8.50 billion were secured through a margin loan using
Arm shares (balance at the fiscal year-end: ¥1,274.9 billion).
For details, see “(1) Components of interest-bearing debt” under “22. Interest-bearing debt” in“Notes to Consolidated Financial Statements” in “Financial Report 2024.”

D Financial liabilities
relating to sale ofshares by prepaid
forward contracts• In the first quarter, $4.39 billion was raised through prepaid forward contracts (forward
contracts) using Alibaba shares.
• Financial liabilities relating to sale of shares by prepaid forward contracts of ¥356,925 million($2.49 billion) were derecognized due to the physical settlement of a portion of the prepaid
forward contracts using Alibaba shares in the third and fourth quarters.
• The carrying amount increased due to a 13.4% depreciation of the yen against the U.S. dollar
in the foreign currency exchange rate used for translations at the fiscal year-end.
For details, see “(2) Transactions for sale of Alibaba shares by prepaid forward contracts” under“22. Interest-bearing debt” in “Notes to Consolidated Financial Statements” in “Financial Report
2024.”SoftBank Vision Funds segment
SVF1 and SVF2
E Borrowings• SVF1 fully repaid $4.16 billion in borrowings made through asset-backed financing.
• SVF2 repaid $2.19 billion in borrowings made through asset-backed financing.

*1 The interest-bearing debt of wholly owned subsidiaries engaged in fund procurement is nonrecourse to SBG.
*2 As of October 1, 2023, Z Holdings Corporation completed the intragroup reorganization, which included a merger primarily
involving the three companies: the company itself, LINE Corporation, and Yahoo Japan Corporation, and changed its trade nameto LY Corporation. Amounts at the previous fiscal year-end have been restated retrospectively in accordance with thereorganization.
*3 Deposits for banking business of PayPay Bank Corporation are not included in interest-bearing debt.
*4 “Arm segment” previously included in “Others” has been independently presented and amounts at the previous fiscal year-end
have been restated retrospectively.

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Equity(Millions of yen)March 31, 2023

March 31, 2024

ChangeCommon stock

238,772

238,772–

Capital surplus

2,652,790

3,326,093

673,303A(220,856)

B

Other equity instruments
Retained earnings
Treasury stock

414,055

193,199

2,006,238

1,632,966(373,272) C(38,791)(22,725)

16,066

Accumulated other comprehensive income

3,756,785

5,793,820

2,037,035

Total equity attributable to owners of the parent

9,029,849

11,162,125

2,132,276

Non-controlling interests

1,619,366

2,075,044

455,678

Total equity

10,649,215

13,237,169

2,587,954

SoftBank Group Report 2024

D

Components

Main reasons for changes from the previous fiscal year-end

A Capital surplus

In the second quarter, ¥674,370 million ($4.65 billion) was recorded,
representing the gain on the sale of Arm shares at the IPO. For details of thetransaction, see “Intragroup Transaction of Arm Shares and IPO of Arm” onpage 78.

B Other equity
instruments

In the second quarter, the Company redeemed USD-denominated NC6undated hybrid notes ($2.00 billion) on the first voluntary call date. The notes
had been classified as equity instruments under IFRSs.

C Retained earnings

Net loss of ¥227,646 million attributable to owners of the parent wasrecorded.

D Accumulated
othercomprehensive
incomeExchange differences from the translation of foreign operations, which arosefrom translating foreign subsidiaries and associates into yen, increased by¥2,009,461 million mainly due to the weaker yen against the U.S. dollar in
the foreign currency exchange rate used for translations.

E Non-controllinginterests• At the fiscal year-end, the amount of non-controlling interests in Arm was¥236,849 million.
• SoftBank Corp. issued bond-type class shares in the amount of ¥120,000
million.

E

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Cash Flows
1. Cash flows from operating activities resulted in net cash inflow of ¥250.5 billion, despite outlays for income taxes amounting to ¥885.6 billion.
2. Cash flows from investing activities: ¥841.5 billion cash outflow (net)Payments totaling ¥800.9 billion were made for investment acquisitions, primarily driven by the expansion of strategic investments by SBG and its wholly owned subsidiaries. Additionally, there was an increase in investments in bonds and other asset management products by PayPay Bank.
Monetization and investments continued at SVF– Payments for acquisition of investments by SVF: ¥212.0 billion– Proceeds from sales of investments by SVF: ¥922.0 billion
Outlays of ¥622.6 billion for the purchase of property, plant and equipment and intangible assets due to capital expenditure mainly at SoftBank

3. Cash flows from financing activities: ¥606.2 billion cash outflow (net)
The Company received proceeds from the disposal of Arm shares and conducted financing through prepaid forward contracts using Alibaba shares, while repaying
borrowings made by SVF through asset-backed finance. Distributions and repayments to third-party investors were made at SVF1.
– Proceeds from interest-bearing debt: ¥5,914.1 billion
			•	Main proceeds at SBG: ¥1,361.2 billion				(from issuance of domestic hybrid bonds with a face value of ¥222.0 billion anddomestic straight bonds with a face value of ¥550.0 billion, short-term borrowingsof ¥536.1 billion, and a hybrid loan of ¥53.1 billion)			•	Proceeds at wholly owned subsidiaries conducting fund procurement: ¥1,841.9 billion				($8.50 billion through a margin loan using listed Arm shares, $4.39 billion throughprepaid forward contracts using Alibaba shares)– Repayment of interest-bearing debt: ¥5,889.2 billion
			•	Main outlays at SBG: ¥1,087.2 billion				(for redemption and repurchase of bonds totaling ¥580.6 billion, including domestic
straight bonds with a face value of ¥399.9 billion that matured in March 2024, andrepayment of short-term borrowings of ¥506.6 billion)			•	Main outlays at wholly owned subsidiaries conducting fund procurement: ¥1,236.2
billion				(for repayment of asset-backed finance using Arm shares of $8.50 billion)			•	Outlays at SVF: ¥922.4 billion				(for repayment of borrowings totaling $6.35 billion made through asset-backed
finance at SVF1 and SVF2)– Distributions and repayments to third-party investors at SVF: ¥783.5 billion– Proceeds from the partial sales of shares of subsidiaries to non-controlling interests:¥747.6 billion
			• Proceeds of $5.12 billion from the disposal of Arm shares upon its IPO– Payment for redemption of other equity instruments: ¥277.8 billion
			• Redemption of USD-denominated NC6 undated hybrid notes of $2.00 billion

4. Balance of cash and cash equivalents at the fiscal year-end and its changes
The balance of cash and cash equivalents stood at ¥6,186.9 billion at the fiscal year-end, a decrease of ¥738.3 billion from the previous fiscal year-end, as a result ofcash flows from operating, investing, and financing activities, combined with the effect of exchange rate changes on cash and cash equivalents, etc. of ¥458.9 billion
reflecting the weaker yen.

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Who We Are

Message from Our CEO

Message from Our CFO(Millions of yen)

Fiscal 2022

Fiscal 2023

ChangeCash flows from operating activities

741,292

250,547(490,745)

Cash flows from investing activities

547,578(841,461)(1,389,039)

Cash flows from financing activities

191,517(606,222)(797,739)

Effect of exchange rate changes on cash andcash equivalents, etc.

275,765

458,857

183,092

Increase (decrease) in cash and cash equivalents

1,756,152(738,279)(2,494,431)

Cash and cash equivalents at the beginning of the year

5,169,001

6,925,153

1,756,152

Cash and cash equivalents at the end of the year

6,925,153

6,186,874(738,279)

Growth Assets

Foundation for Our Growth(Billions of yen)

1,000

741.3

Cash flows from operating activities
Cash flows from operating activities resulted in a net inflow of ¥250,547 million. This wasachieved despite outlays for income taxes amounting to ¥885,617 million and the acquisition of
corporate bonds (primarily those of investment grades with short time to maturity) by SB
Northstar for the purpose of investing surplus funds.
The amount of income taxes paid included the payment of ¥368,632 million in income taxes
by SBG. This was primarily due to the payment in the first quarter of income taxes on taxable
income for fiscal 2022 arising in conjunction with the physical settlement of the prepaid
forward contracts using Alibaba shares and an interim payment of income taxes of ¥118,026
million in the third quarter.

Components

Primary details

Payments for acquisition of
investments¥(800,925) million• SBG and its wholly owned subsidiaries acquired mainly strategic
investments for ¥311,870 million.
• PayPay Bank Corporation acquired bonds and other asset
management products for ¥308,414 million.

Payments for acquisition of
investments by SVF¥(212,045) million

SVF invested $1.50 billion in total.

Proceeds from sales ofinvestments by SVF¥922,020 million

SVF sold investments for a total of $6.33 billion.

Payments for acquisition ofcontrol over subsidiaries¥(104,484) million• SoftBank Corp. acquired Cubic Telecom Ltd. as a subsidiary.
• SBG’s wholly owned subsidiary acquired Berkshire Grey, Inc. andBalyo SA as subsidiaries.
The figure to the left excludes cash and cash equivalents held by theacquired companies at the time of acquisition of control.

Proceeds from loss of control
over subsidiaries¥96,755 million

Primarily from the sale of 85% of the shares of SB Energy Corp.,
which was previously a wholly owned subsidiary of the Company.

Purchase of property, plant andequipment, and intangible
assets¥(622,612) million

SoftBank Corp. purchased property, plant and equipment, such as
telecommunications equipment, and intangible assets, such assoftware.

Payments for loan receivables¥(313,686) million

SVF2 fulfilled the guarantee obligations for the credit support for aletter of credit facility of $1.43 billion to WeWork provided byfinancial institutions.

547.6
500

250.5

0

-500

-606.2-841.5-1,000’22■ Cash flows from operating activities

SoftBank Group Report 2024

’23
■ Cash flows from investing activities■ Cash flows from financing activities

Corporate Information

Cash flows from investing activities

Cash flows from operating activities / Cash flows from investing activities /Cash flows from financing activities

191.5

Financial Section

(FY)

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Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Cash flows from financing activities
Components

Primary details

Proceeds in short-term interestbearing debt, net¥182,874 million*1• Short-term borrowings increased by ¥151,145 million (net) at
SoftBank Corp.
• Short-term borrowings increased by ¥10,983 million (net) at LY
Corporation and its subsidiaries.

(Proceeds and payments for interest-bearing
debt (current liabilities) with quick turnoverand short maturities)

Components

B Redemption of corporate
bonds¥(700,618) million

Proceeds from interest-bearing debt (total of A through C below)¥5,914,090 million
A Proceeds from borrowings¥4,276,463 million*2

B Proceeds from issuance ofcorporate bonds¥1,032,000 million• SBG made short-term borrowings of ¥536,136 million andprocured ¥53,100 million through a hybrid loan.
• A wholly owned subsidiary conducting fund procurement raised
a total of ¥1,236,240 million ($8.50 billion) through a marginloan using listed Arm shares.
• SoftBank Corp. procured ¥964,409 million, primarily throughthe securitization of installment sales receivable and saleleaseback transactions. The company also issued commercial
paper for ¥233,000 million.
• A subsidiary of LY Corporation made short-term borrowings of¥732,900 million associated with an increase in demand for
personal unsecured loan services.
• SBG issued domestic hybrid bonds totaling ¥222,000 million
and domestic straight bonds totaling ¥550,000 million.
• SoftBank Corp. issued domestic straight bonds totaling¥260,000 million.
All of the above amounts are face values.

C Proceeds from procurement
Wholly owned subsidiaries conducting fund procurement raised aby prepaid forward contracts total of $4.39 billion through prepaid forward contracts (forward
using sharescontracts) using Alibaba shares.
¥605,627 million
Repayment of interest-bearing debt¥(5,889,186) million
A Repayment of borrowings¥(5,183,435) million*2

SoftBank Group Report 2024

• SBG repaid short-term borrowings of ¥506,600 million.
• A wholly owned subsidiary conducting fund procurement repaid
borrowings of ¥1,236,240 million ($8.50 billion) made throughasset-backed finance using Arm shares.
• SVF1 and SVF2 repaid ¥604,823 million ($4.16 billion) and¥317,547 million ($2.19 billion), respectively, in borrowings
made through asset-backed finance.
• SoftBank Corp. repaid ¥1,215,104 million in borrowings madeprimarily through the securitization of installment salesreceivable and sale-leaseback transactions. It also redeemed¥147,000 million in commercial paper.
• A subsidiary of LY Corporation repaid short-term borrowings of¥713,700 million made in association with an increase indemand for personal unsecured loan services.

Primary details• SBG repurchased foreign currency-denominated senior notes of$0.10 billion and 0.07 billion euros, domestic straight bonds of¥2,100 million, and domestic subordinated bonds of ¥20,900
million and redeemed foreign currency-denominated seniornotes of $0.16 billion and 0.63 billion euros and domestic
straight bonds of ¥419,412 million upon maturity, and carriedout an early redemption of domestic hybrid bonds amounting
to ¥15,400 million.
• SoftBank Corp. redeemed domestic straight bonds of ¥10,000
million upon maturity.
• LY Corporation redeemed domestic straight bonds of ¥110,000
million upon maturity.
All of the above amounts are face values.

Distribution/repayment from
SVF to third-party investors¥(783,522) million

SVF1 made distributions and repayments to third-party investors.

Proceeds from the partial sales ofshares of subsidiaries
to non-controlling interests¥747,565 million

The Company received the proceeds of $5.12 billion from thedisposal of Arm shares at its IPO.

Redemption of other equity
instruments¥(277,760) million

The Company redeemed USD-denominated NC6 undated hybrid
notes with a face value of $2.00 billion. These notes wereclassified as equity instruments under IFRSs. The effects arisingfrom forward exchange contracts are recorded in “Other” undercash flows from financing activities.

Proceeds from the issuance ofother equity instruments in
subsidiaries¥120,000 million

SoftBank Corp. issued bond-type class shares in the amount of¥120,000 million.

Cash dividends paid¥(64,356) million

SBG paid dividends.

Cash dividends paid to
non-controlling interests¥(288,119) million

SoftBank Corp., LY Corporation, and other subsidiaries paid
dividends to non-controlling interests.

*1 “Proceeds in short-term interest-bearing debt, net” represents cash flows from financing activities that meet the requirement of“Reporting cash flows on a net basis” under IFRSs.
*2 “Proceeds from borrowings” and “Repayment of borrowings” include proceeds of ¥1,813,733 million and outlays of ¥1,721,319
million related to borrowings with a contracted term of one year or less.

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Who We Are

Message from Our CEO

Message from Our CFO

Growth Assets

Foundation for Our Growth

Financial Section

Corporate Information

Significant Non-cash Transactions
During fiscal 2023, the Company settled a portion of the prepaid forward contracts using
Alibaba shares in physical form and acquired 48.8 million T-Mobile shares with no additional
consideration after satisfying the condition for the Contingent Consideration. None of thesetransactions were cash transactions; therefore, they had no impact on the consolidated cash
flows. For details, see “(12) Significant non-cash transactions” under “44. Supplemental
information to the consolidated statement of cash flows” in “Notes to Consolidated Financial
Statements” in “Financial Report 2024.”

Exchange rates used for translations
Average rate for the quarter
Fiscal 2023

Fiscal 2022
Q1

USD / JPY

Q2

Q3

Q4

¥129.04 ¥138.68 ¥141.16 ¥133.26

Q1

Q2

Q3

Q4

¥138.11 ¥145.44 ¥147.00 ¥147.87

Rates at the end of the period
USD / JPY

SoftBank Group Report 2024

March 31, 2023

March 31, 2024

¥133.53¥151.41110