Softbank Group Corp. · TSE:9984
Softbank — FY2023 Earnings Presentation
95 slides from Softbank's earnings presentation, May 13, 2024
Slide 1: Earnings Results for the Fiscal Year ended March 31, 2024
Earnings Results for the Fiscal Year ended March 31, 2024 May 13, 2024
Slide 2: Disclaimers
Disclaimers This presentation provides relevant information about SoftBank Group Corp. (“SBG”) and its subsidiaries (together with SBG, the “Company”) and its affiliates (together with the Company, the “Group”) and does not constitute or form any solicitation of investment including any offer to buy
Slide 3: Largest listing in 2023
2023年9月14日上場 September 14, 2023 2023年最大規模 Largest listing in 2023 (Source) Nasdaq 3 3
Slide 4: Arm Share Price
Arm Share Price (Feb 12, 2024) Record high since IPO ($) 148.97 (Mar 31, 2024) 150 124.99 2.5x 100 (Since IPO) 50 (IPO price) 51.00 0 Sep 14 Dec 31 Mar 31 2023 2023 2024 (IPO date) 4
Slide 5: NAV hits near-record highs with Arm share price surge
NAV hits near-record highs with Arm share price surge 5
Slide 6: Historical NAV
Historical NAV 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) As of the end of each quarter For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV” Information on NAV is provided for reference purposes only to illustrate its historical tr
Slide 7: Historical NAV breakdown
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) The breakdown apportions NAV based on the proportionated value of each equity holding at the end of each quarter. For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV” Information on NAV is
Slide 8: Historical NAV breakdown
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) The breakdown apportions NAV based on the proportionated value of each equity holding at the end of each quarter. For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV” Information on NAV is
Slide 9: Historical NAV breakdown
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) The breakdown apportions NAV based on the proportionated value of each equity holding at the end of each quarter. For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV” Information on NAV is
Slide 10: Historical NAV breakdown
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) The breakdown apportions NAV based on the proportionated value of each equity holding at the end of each quarter. For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV” Information on NAV is
Slide 11: SVF
SVF 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) The breakdown apportions NAV based on the proportionated value of each equity holding at the end of each quarter. For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV” Information on NA
Slide 12: Historical NAV breakdown
1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 （FY） The breakdown apportions NAV based on the proportionated value of each equity holding at the end of each quarter. For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV” Information on NAV is
Slide 13: Historical NAV (Mar 31, 2024)
Historical NAV (Mar 31, 2024) ¥27.8T Achieving growth by constantly changing aggressively Arm SVF1/SVF2/ LatAm Funds SoftBank Corp. T-Mobile/ DeutscheTelekom Other Alibaba Yahoo Japan 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) The breakdown apportions NAV based on the
Slide 14: Change in Arm before and after Acquisition
Change in Arm before and after Acquisition Royalty Revenue proportions within end-markets FY2015 FY2023 Automotive Cloud Automotive IoT Cloud Mobile (Revenue 1.5x from FY2015) Consumer Mobile Electronics IoT Consumer Electronics Based on royalty reports reported to Arm by customers. Differs from roy
Slide 15: Change in Arm before and after Acquisition: Revenue
Change in Arm before and after Acquisition ($ B) 3.2 Revenue 1.5 Doubled FY2015 FY2023 Based on US-GAAP and fiscal year at the time 15
Slide 16: Change in Arm before and after Acquisition: Chips shipped
Change in Arm before and after Acquisition (B) 28.6 Arm-based chips shipped (annual) 14.8 1.9x 2015 2023 16
Slide 17: Change in Arm before and after Acquisition: Headcount
Change in Arm before and after Acquisition (Headcount) Non-Engineer 7,096 Personnel Engineer 4,064 1.7x The number of employees is as of Mar 31, 2016 and Mar 31, 2024. "Engineers" and “Non-engineers" are based on job type. FY2015 FY2023 Engineers in FY2015 includes program management, technical supp
Slide 18: Guidance (US-GAAP)
Guidance (US-GAAP) FY2024 FY2024 Q1(E) (E) Revenue $875M ~ $925M $3,800M ~ $4,100M (YoY) (+30% ~ +37%) (+18% ~ +27%) Non-GAAP operating expense ~$475M ~$2,050M Non-GAAP fully diluted earnings per share $0.32 ~ $0.36 $1.45 ~ $1.65 (Source) Arm For details, see Arm Investor Relations website (https://
Slide 19: Earnings Results for FY2023
Earnings Results for FY2023 1. Consolidated Results 2. Key Indicators 3. Investment Strategy 4. SVF 5. Financial Strategy 19
Slide 20: Consolidated Results
Consolidated Results Some figures in this presentation are rounded and may not add up to the figures presented as the total. 20
Slide 21: Consolidated Results
Consolidated Results (¥ B) FY2022 FY2023 Change Net sales 6,570.4 6,756.5 +186.1 Gain/loss on -835.1 -559.4 +275.7 investments Income before -469.1 57.8 +526.9 income tax Net income -970.1 -227.6 +742.5 Net Income: Net income attributable to owners of the parent 21
Slide 22: Consolidated Results (FY2023 quarterly)
Consolidated Results (FY2023 quarterly) (¥ B) Q1 Q2 Q3 Q4 Net sales 1,557.5 1,669.6 1,774.8 1,754.6 Gain/loss on -699.0 -264.6 424.6 -20.4 investments Income before -176.2 -731.2 1,171.5 -206.3 income tax Net income -477.6 -931.1 950.0 231.1 Net Income: Net income attributable to owners of the paren
Slide 23: Impact of Changes in Arm's Share Price
Impact of Changes in Arm’s Share Price Consolidated P/L NAV Changes in the The number of shares held stock value are x the share price is not recorded reflected (for a subsidiary) (after adjustment for asset-backed financing, etc.) For details of NAV, see appendix "Definition and Calculation Method
Slide 24: Gain/Loss on Investments and Net Income (quarterly)
Gain/Loss on Investments and Net Income (quarterly) (¥ B) Gain/Loss on investments Net income 3,033.6 1,984.8 950.0 Net profit for 526.1 424.6 231.1 the last -57.6 -477.6 -20.4 2 consecutive -511.6 -264.6 -783.4 -699.0 -931.1 quarters -2,834.4 -3,162.7 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2022 FY2023 Net Incom
Slide 25: Gain/Loss on Investments
Gain/Loss on Investments (¥ B) Investment Business of Holding Companies SVF Others Consolidated Significant 4,560.5 improvement 67.0 -459.0 in SVF -559.4 -167.3 -835.1 -5,322.3 -73.3 FY2022 FY2023 SVF: SoftBank Vision Funds 25
Slide 26: Gain/Loss on Investments (FY2023 quarterly)
Gain/Loss on Investments (FY2023 quarterly) (¥ B) Investment Business of Holding Companies SVF Others 63.2 Consolidated 29.5 531.3 Improving 276.2 424.6 124.4 throughout the 3.8 -264.6 -169.9 -20.4 -115.3 fiscal year -29.5 -689.7 -570.2 -13 -699.0 Q1 Q2 Q3 Q4 FY2023 SVF: SoftBank Vision Funds 26
Slide 27: Key Indicators
Key Indicators Some figures in this presentation are rounded and may not add up to the figures presented as the total. 27
Slide 28: Key Indicators
Key Indicators ar (vs Mar 31, 2023) Mar 31, 2023 Mar 31, 2024 NAV ¥14.1T ¥27.8T (Net Asset Value) ($105.8B) ($183.6B) LTV (Loan-to-Value) 11.0% 8.4% Cash position ¥5.1T ¥4.7T For details of NAV and LTV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV (as of Mar 31, 2023)” and “D
Slide 29: Change in NAV
Change in NAV (¥ T) Forex Others Up ¥13.7T Share price + 3.3 - 0.4 27.8 (+97%) Mainly due to +10.8 share prices/forex impact 14.1 +9.9：Arm NAV +0.8：SBKK +0.3：DT/TMUS -0.1：SVFｓ Mar 31, 2023 Mar 31, 2024 For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV (as of Ma
Slide 30: Impact of Forex (FY2023)
Impact of Forex (FY2023) Weaker JPY increased NAV and equity (Mar 31, 2023) (Mar 31, 2024) $1 = ¥133.53 → ¥151.41 On NAV On accounting Equity +¥2.0T +¥3.3T Consolidated net income -¥0.7T For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV (as of Mar 31, 2024)” On
Slide 31: LTV
LTV Net of asset-backed finance 40% 35％ 30% 25％ 21.6% 20.4% 20% 18.2% Increased asset 15.0% 11.5% 10% 14.5% 11.0% 10.6% value led to lower 8.0% 8.4% LTV 0% Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021 FY2022 FY2023 As of the end of each quarter For details of LTV, see Appendix "Definition and Calculation Me
Slide 32: Cash Position
Cash Position (¥ T) 6.0 5.8 5.1 5.0 4.6 4.3 5.1 4.4 4.7 Maintain 4.0 3.8 high level 3.0 2.9 2.1 2.0 1.0 0.0 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 FY2021 FY2022 FY2023 As of the end of each quarter Cash position: Cash and cash equivalents + short term investments recorded as current assets + undrawn commitme
Slide 33: Change in Composition of Assets Held
Change in Composition of Assets Held Equity value of holdings basis Net of asset-backed finance Mar 31, 2020 Mar 31, 2024 Alibaba Others Others T-Mobile/ Deutsche Telekom 4% T-Mobile/ 0.00% Deutsche Telekom 7% 12% Alibaba 7% Arm SoftBank Corp. SoftBank 10% Corp. 48% 14% 47% 11% SVFs 29% SVFs 10% Arm
Slide 34: Shifting to AI-centric Portfolio
Change in Composition of Assets Held = Shifting to AI-centric Portfolio Equity value of holdings basis Net of asset-backed finance Mar 31, 2020 Mar 31, 2024 Others Core of T-Mobile/ Deutsche Telekom 4% 7% Alibaba 0.00% AI shift その他 Alibaba 12% Tモバイル/ 7% Others ドイツテレコム T-Mobile/ SoftBank Deutsche Tel
Slide 35: Change in Regional Composition
Change in Regional Composition Equity value of holdings basis Net of asset-backed finance Mar 31, 2020 Mar 31, 2024 China North America North America 6% 18% China 16% Japan 52% 12% Latin America Latin 1% America 3% 7% Other APAC EMEA 12% 3% Other APAC 56% 15% Japan China-centric EMEA risk mitigated
Slide 36: Equity value of holdings: Listed Share Ratio
Equity value of holdings: Listed Share Ratio Equity value of holdings basis 90.0% (¥ T) *() shows the proportion of the total Net of asset-backed finance 80.0% 70.0% 8.0 6.5 Unlisted (26%) (21%) 60.0% Listed share ratio 50.0% 23.9 22.4 (74%) 11.1 (48%) (79%) Listed 40.0% 30.0% 79% 9.4 12.1 (59%) due
Slide 37: Investment Strategy
Investment Strategy SVF: SoftBank Vision Funds Segment. Includes SVF1, SVF2, and LatAm Funds Some figures in this presentation are rounded and may not add up to the figures presented as the total. 37
Slide 38: AGI
AGI To be achieved within 10 years Masayoshi Son keynote presentation at SoftBank World 2023 38
Slide 39: ASI
Present Within 10 yrs Within 20 yrs AI AGI Artificial General ASI Artificial Super Intelligence Intelligence 10x sum total 10,000x sum total GPT-4 of all human of all human (Passed USMLE) intelligence intelligence Achieved passing score in USMLE (United States Medical Licensing Examination) practice
Slide 40: "AI is everywhere"
“AI is everywhere” “You can’t run AI without Arm” Rene Haas, Arm CEO CES 2024 40
Slide 41: Annual electricity consumption of data centers worldwide
Annual electricity consumption of data centers worldwide 460 TWh * *Exceeds total electricity consumption of UK As of 2022 Annual electricity consumption of data centers worldwide: From executive summary report (published in Jan 2024) by International Energy Agency (IEA) Total electricity consumptio
Slide 42: Arm provides energy efficiency
Arm provides energy efficiency Amazon: AWS Graviton 60％ more efficient than competition Microsoft: Azure Cobalt 40％ more efficient than competition Oracle: Ampere Altra Max 60% more efficient than competition (Source) Arm and each companies’ press release Competition: Chip compared at each companies
Slide 43: NVIDIA: Latest Arm based datacenter chip
NVIDIA： Latest Arm based datacenter chip Grace Blackwell (Announced March 2024) ✓Arm Neoverse V2 cores deployed ✓Up to 95% less cost and energy consumption than its predecessor for running AI tasks ✓Enables trillion-parameter-scale AI models ✓Adoption by major cloud provider and leading AI company (
Slide 44: Google's first Arm-based CPU for the data center
Google’s first Arm-based CPU for the data center Axion processors (Announced April 2024) ✓ Arm Neoverse V2 cores deployed ✓ 50% better performance and up to 60% better energy-efficiency than comparable x86-based current generation ✓ Internal deployments already started. External deployment starting
Slide 45: AGI will revolutionize all industries
AGI will revolutionize all industries Mobility Healthcare Service Accident-Free Autonomous Driving Genetic Analysis for Personalized Medicine More human-like customer service Finance Logistics Manufacture Data-Driven Supply Matching Optimal investment execution Just-in-time by the second An automate
Slide 46: Invested across various sectors utilizing AI
Invested across various sectors utilizing AI SBG strategic investments Investments by SVF Consumer Frontier Tech Transportation Logistics Enterprise Fintech Health Tech Proptech Edtech SBG strategic investments: include Investments by SBG and its core wholly owned subsidiaries. 46
Slide 47: Invested across various companies utilizing AI
Invested across various companies utilizing AI SBG strategic investments Investments by SVF SoftBank Vision Funds SVF1 advised SVF2 advised 477 total companies SBLA Funds by SBIA by SBGA advised by SBGA (94 total portfolio companies (278 total companies (105 total portfolio companies as of Mar. 31,
Slide 48: "Like it or not, the AGI revolution is coming"
Q2スライドから何枚か引用 ◼SBワールドの社長発表内容の抜粋 “Like it or not, the AGI revolution is coming” “In 10 to 20 years, companies and individuals working on AGI will lead humanity” Masayoshi Son keynote presentation at SoftBank World 2023 48
Slide 49: Invested Amounts (SVF1 + SVF2 + LatAm Funds + SBG)
Invested Amounts (SVF1 + SVF2 + LatAm Funds + SBG) ($ B) FY2022 total FY2023 total 5 $4.0B $3.9B FY2023: $3.9B invested + 2.5 SBG 0.2 $5B committed for 1.8 strategic investments SVF1+ 1.5 SVF2+ 0.9 LatAm Funds 2.3 1.1 0.5 0.5 0.5 0.3 0.3 0.1 0.2 0.1 0.9 0.4 0.4 0.2 0.3 0.3 0.4 0.1 0.1 0.0 Q1 Q2 Q3 Q
Slide 50: Strategic Investments (by sector)
Strategic Investments (by sector) ($ B) Main investments in FY2023 3.9 Industrial automation 1.6 & Robotics 0.8 Autonomous driving 1.5 Others FY2023 50
Slide 51: GreenBox Systems
GreenBox Systems JV of Symbotic and SBG Open for business ✓ Launching first site in California 35% Ownership 65% Ownership 100% capacity off-take signed (10yrs fully contracted) Warehouse-as-a-Service ✓ Further sites under active development GreenBox GreenBox GreenBox Automated Warehouse A Automated
Slide 52: AI Reshaping Industrial Automation
AI Reshaping Industrial Automation Strategic Investments Use of AI AI powered case handling system, software manages the entire end-to-end system, optimizing complex bot routing, mixed-SKU pallet building, and creating operating efficiency in warehouses and SBG portfolio, JV partner downstream (impr
Slide 53: Investment in Wayve
Investment z in Wayve SBG led over $1B of investment round announced in May 2024, with contributions from new investor NVIDIA and existing investor Microsoft ✓ The first to develop and test an end-to- end deep learning autonomous driving system on public roads ✓ Building foundation models, similar t
Slide 54: video
video 54
Slide 55: WAYVE
WAYVE
Slide 56: SVF
SVF SVF: SoftBank Vision Funds Segment. Includes SVF1, SVF2, and LatAm Funds. Some figures in this presentation are rounded and may not add up to the figures presented as the total. 56
Slide 57: SVF: Gain/Loss on Investments (quarterly)
SVF: Gain/Loss on Investments (quarterly) USD basis (SVF Segment) 34,467 ($ M) First loss recorded 10,910 13,567 in 4 quarters FY21 FY23 Q1 Q3 4,607 2,869 3,549 5,554 FY23 FY23 4,087 2,285 3,768 2,969 Q1 Q2 958 785 FY21 630 715 Q3 1,157 147 -1,748 952 FY19 FY22 FY17 FY17 FY17 FY17 FY18 FY18 FY18 FY1
Slide 58: SVF: Gain/Loss on Investments (cumulative)
SVF: Gain/Loss on Investments (cumulative) USD basis (SVF Segment) 66,375 ($ M) 60,821 56,825 Cumulative 55,874 investment losses remained almost flat The information contained herein is provided solely for illustrative purposes on an SBG basis and individual investors' results may vary. Furthermore
Slide 59: SVF: Gain/Loss on Investments (FY2023Q4)
SVF: Gain/Loss on Investments (FY2023Q4) USD basis (SVF Segment) Combined SVF1 SVF2 LatAm Funds +$10M -$336M -$5M -$389M (-¥57.6B) Other investments -$58M Gain/Loss on Investments (quarterly): Quarterly gain and loss on investments at SoftBank Vision Funds segment. Before translation for the Company
Slide 60: SVF1: Cumulative Investment Return
SVF1: Cumulative Investment Return (as of Mar 31, 2024) ($ B) 106.3 89.6 Exited 38.0 66.4 Public companies (investments 26.4 before exit) 16.0 Private companies (investments 25.2 23.9 before exit) Investment cost Cumulative investment return The information contained herein is provided solely for il
Slide 61: SVF2: Cumulative Investment Return
SVF2: Cumulative Investment Return (as of Mar 31, 2024) ($ B) 52.4 Exited 3.0 Public companies 8.6 (investments before exit) 33.1 3.2 4.0 Private companies 40.8 (investments 25.9 before exit) Investment cost Cumulative investment return The information contained herein is provided solely for illustr
Slide 62: M&A is Enabling Growth and Exits
M&A is Enabling Growth and Exits Strategic exits Select M&A transactions of portfolio companies Strategic exits Gross MOIC 14 1.7x Cohesity plans to acquire Veritas’ data protection business, forming a new leader in AI-Powered Select sales through M&As Data Security and Management AVEVA × Gojek Gene
Slide 63: Public Listings and Late-stage Pipeline
Public Listings and Late-stage Pipeline Robust late-stage pipeline Select late-stage portfolio companies Public listings (since inception) SVF1 SVF2 & LatAm Funds 50 listings LatAm Funds LatAm Funds Total fair value of late-stage portfolio LatAm Funds $32B As of Mar 31, 2024. Source: SBGA/SBIA Analy
Slide 64: Financial Strategy
Financial Strategy 64
Slide 65: Historical Credit Ratings
Historical Credit Ratings First upgrade in 12 years Acquisition of Japan Telecom Acquisition of Vodafone KK Acquisition of Sprint Acquisition of Arm Listing of SBKK Listing of Arm JCR A+ A A- A (Stable) BBB+ BBB S&P Downgrade BBB- (May 2023) BB+ S&P (BB) BB Outlook Positive (since Sep 2023) BB- B+ '
Slide 66: Adhering to Financial Policy
Adhering to Financial Policy Maintain LTV below 25% in normal times 1 (upper threshold of 35% even in times of emergency) 2 Maintain at least 2-year worth of bond redemptions in cash Secure recurring distributions and dividend income from 3 SVF and other subsidiaries 66
Slide 67: FY2024 Financial Strategy
FY2024 Financial Strategy Financial Financial management synchronized with Philosophy investment strategy ・Adhering to financial policy Financial ・Flexibly respond to all environmental changes ・Building trust with each stakeholder Principles (Pursuing the optimal balance between shareholder returns
Slide 68: FY2023 Summary
FY2023 Summary 1 NAV reached near-record levels (as of Mar 31, 2024) 2 Arm IPO completed; share price up 3 Maintained financial safety 4 Resumed new investments; $3.9B (¥560.9B) annually 5 SVF performance improved 68
Slide 69: "Like it or not, the AGI revolution is coming"
Q2スライドから何枚か引用 ◼SBワールドの社長発表内容の抜粋 “Like it or not, the AGI revolution is coming” “In 10 to 20 years, companies and individuals working on AGI will lead humanity” Masayoshi Son keynote presentation at SoftBank World 2023 69
Slide 70: Information Revolution - Happiness for Everyone
“Information Revolution －Happiness for Everyone” 70
Slide 71: SoftBank
SoftBank
Slide 72: Appendix
Appendix Some figures in this presentation are rounded and may not add up to the figures presented as the total. 72
Slide 73: Definition and Calculation Method of SBG's NAV and LTV (as of Mar 31, 2024)
Definition and Calculation Method of SBG’s NAV and LTV (as of Mar 31, 2024) 1. NAV (Net Asset Value) • NAV = Equity value of holdings - Net debt 2. Equity value of holdings (after adjustment for asset-backed financing) • Alibaba: the number of Alibaba ADSs equivalent to the number of shares held by
Slide 74: Definition and Calculation Method of SBG's NAV and LTV (as of Mar 31, 2023)
Definition and Calculation Method of SBG’s NAV and LTV (as of Mar 31, 2023) 1. NAV (Net Asset Value) • NAV = Equity value of holdings - Net debt 2. Equity value of holdings (after adjustment for asset-backed financing) • Alibaba: the number of Alibaba ADSs equivalent to the number of shares held by
Slide 75: Definition and Calculation Method of SBG's NAV and LTV (as of Dec 31, 2023)
Definition and Calculation Method of SBG’s NAV and LTV (as of Dec 31, 2023) 1. NAV (Net Asset Value) • NAV = Equity value of holdings - Net debt 2. Equity value of holdings (after adjustment for asset-backed financing) • Alibaba: the number of Alibaba ADSs equivalent to the number of shares held by
Slide 76: Key Indicators (vs Dec 31, 2023)
Key Indicators (vs Dec 31, 2023) Dec 31, 2023 Mar 31, 2024 NAV ¥19.2T ¥27.8T (Net Asset Value) ($135.6B) ($183.6B) LTV (Loan-to-Value) 11.5% 8.4% Cash position ¥4.4T ¥4.7T For details of NAV and LTV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV (as of Dec 31, 2023)” and “Defi
Slide 77: Change in NAV (FY2023Q4)
Change in NAV (FY2023Q4) (¥ T) Share Forex Others Up ¥8.6T price + 1.8 - 0.2 27.8 (+45%) + 7.0 Mainly due to share price/forex impact NAV 19.2 +6.5：Arm +0.4：SBKK +0.1：DT/TMUS -0.1：SVFｓ Dec 31, 2023 Mar 31, 2024 For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV
Slide 78: Impact of Forex (FY2023Q4)
Impact of Forex (FY2023Q4) Weaker JPY increased NAV and equity (Dec 31, 2023) (Mar 31, 2024) $1 = ¥141.83 → ¥151.41 On NAV On accounting Equity +¥1.2T +¥1.8T Consolidated net income -¥0.4T For details of NAV, see Appendix “Definition and Calculation Method of SBG’s NAV and LTV (as of Mar 31, 2024)”
Slide 79: NAV and Market Cap
NAV and Market Cap (Mar 31, 2024) ¥27.9T ¥27.8T -53％ Market cap ¥13.1T 1998 2000 2002 2004 2006 2008 2010 2012 2014 2016 2018 2020 2022 2023 (FY) As of the end of each quarter For details of NAV, see appendix "Definition and Calculation Method of SBG’s NAV and LTV" in the presentation materials fo
Slide 80: Equity Value of Holdings: Composition
Equity Value of Holdings: Composition Equity value of holdings basis Net of asset-backed finance (¥ T) 30.4 30.3 0.0 12.7 23.2 14.4 5.2 2.7 15.9 2.7 2.9 Arm 8.0 8.8 10.1 SVF1/SVF2/LatAm Funds 7.1 SoftBank Corp. 2.3 3.2 T-Mobile/DeutscheTelekom 1.5 2.2 2.4 Other 1.1 2.1 3.2 1.5 Alibaba 1.9 1.3 1.9 Ma
Slide 81: Monetization and Capital Allocation (FY2023)
Monetization and Capital Allocation (FY2023) (¥ T) Sale of Arm shares 1st installment for Arm shares acquired 5.1 0.7 -0.6 Undrawn 0.6 0.8 -0.6 SVF’s investment and SBG’s strategic investment 4.7 commitment line Contribution to SVF2 Monetization -0.6 0.7 Undrawn commitment line 1.5 -0.0 Debt repayme
Slide 82: SVF: Value Changes in Portfolio (cumulative)
SVF: Value Changes c in Portfolio (cumulative) USD basis (SVF Segment) Mar 31, 2023 Mar 31, 2024 No change No change 26 co Gain 14 co Gain (6%) +$46.4B (3%) +$57.4B 101 co 114 co (24%) (21%) 346 co 349 co (73%) (73%) Loss Loss -$54.8B -$60.8B -$8.4B (473 co) -$3.4B (477 co) The information contained
Slide 83: SVF: Gain/Loss on Investments
USD basis SVF: Gain/Loss on Investments (SVF Segment) FY2023Q3 (Total +$4,087M) FY2023Q4 (Total -$389M) Markup +$7,403M (153 companies) +$2,811M (120 companies) +$598M +$2,790M +$706M +$2,731M +$577M +$179M +$788M +$468M +$1,160M +$215M (12 co) (25 co) (68 co) (25 co) (23 co) (6 co) (51 co) (26 co)
Slide 84: SVF1: Gain/Loss on Investments
USD basis SVF1: Gain/Loss on Investments (SVF1) FY2023Q3 (Total +$1,940M) FY2023Q4 (Total +$10M) Markup +$3,880M (21 companies) +$1,501M (19 companies) +$10M +$2,177M +$170M +$1,197M +$327M +$93M +$87M +$146M +$1,017M +$158M (2 co) (2 co) (4 co) (10 co) (3 co) (1 co) (4 co) (4 co) (7 co) (3 co) Perf
Slide 85: SVF2: Gain/Loss on Investments
USD basis SVF2: Gain/Loss on Investments (SVF2) FY2023Q3 (Total +$1,703M) FY2023Q4 (Total -$336M) Markup +$2,919M (96 companies) +$915M (67 companies) +$560M +$587M +$418M +$1,158M +$196M +$86M +$564M +$225M +$5M +$35M (8 co) (19 co) (50 co) (8 co) (11 co) (5 co) (32 co) (18 co) (2 co) (10 co) Publi
Slide 86: SVF1 Public Portfolio Companies (as of Mar 31, 2024)
SVF1 Public Portfolio Companies (as of Mar 31, 2024) (a) (b) (c) = (b) - (a) (d) = (b) / (a) (a) (b) (c) = (b) - (a) (d) = (b) / (a) ($ M) Investment cost *2 Gross return*3 Gross gain (loss) *4 Investment cost *2 *3 Gross return Gross gain (loss) *4 Company Gross MOIC Company Gross MOIC to SVF1 to S
Slide 87: SVF2 Public Portfolio Companies (as of Mar 31, 2024)
SVF2 Public Portfolio Companies (as of Mar 31, 2024) (a) (b) (c) = (b) - (a) (d) = (b) / (a) (a) (b) (c) = (b) - (a) (d) = (b) / (a) ($ M) Investment cost *2 Gross return*3 Gross gain (loss) *4 Investment cost *2 *3 Gross return Gross gain (loss) *4 Company Gross MOIC Company Gross MOIC to SVF2 to S
Slide 88: SVF1 (Inception to Mar 31, 2024)
SVF1 (Inception to Mar 31, 2024) (Entire Fund) LP Net Equity LP Net Preferred LP Net Blended IRR Equity IRR IRR 3% 7% 4% <Valuation Process> SBIA is responsible for determining fair values of the investments in SVF1 on a quarterly basis in line with the requirements of the AIFM Directive (as issued
Slide 89: SVF1 (Inception to Mar 31, 2024)
SVF1 (Inception to Mar 31, 2024) (SBG (LP) + Manager’s performance fee) Net Equity IRR 3% <Valuation Process> SBIA is responsible for determining fair values of the investments in SVF1 on a quarterly basis in line with the requirements of the AIFM Directive (as issued by the FCA). The SBIA Portfolio
Slide 90: SVF2 (Inception to Mar 31, 2024)
SVF2 (Inception to Mar 31, 2024) (SBG (LP)) Net Blended IRR -19% <Valuation Process> SBIA, as appointment investment adviser to SBGA, is responsible for determining fair values of the investments in SVF2 on a quarterly basis in line with the requirements of IFRS. The SBIA Portfolio Valuations team i
Slide 91: SVF1+2 (Inception to Mar 31, 2024)
SVF1+2 (Inception to Mar 31, 2024) (SBG (LP) + Manager’s performance fee) Net Blended IRR -8% <Valuation Process> SBIA is responsible for determining fair values of the investments in SVF1 and SVF2 (together, the “Funds”) on a quarterly basis in line with the requirements of the AIFM Directive (as i
Slide 92: LatAm Funds (Inception to Mar 31, 2024)
LatAm Funds (Inception to Mar 31, 2024) (SBG (LP) + Manager’s performance fee) Net Blended IRR -3% <Valuation Process> SBIA, as appointment investment adviser to SBGA, is responsible for determining fair values of the investments in the LatAm Funds on a quarterly basis in line with the requirements
Slide 93: Arm-based Chips Shipped (cumulative)
Arm-based Chips Shipped (cumulative) (B) Cumulative to Dec 2023 287 billion 1990 2023 (As of the end of Dec each year) (Source) Arm The number of Arm-based chips shipped on this page is the actual shipments of royalty units (chips incorporating Arm technology) by Arm licensees up to Dec 31, 2023, as
Slide 94: Quarterly Revenue (US-GAAP)
Quarterly Revenue (US-GAAP) ($ M) License and other revenue 928 Revenue continues Royalty revenue 806 824 to reach record high 724 692 675 414 630 633 354 388 258 188 299 259 275 Highest-ever quarterly royalty 434 442 425 400 418 470 514 revenue 374 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 (Source) Arm For details,
Slide 95: Quarterly Non-GAAP Operating Income (US-GAAP)
Quarterly Non-GAAP Operating Income (US-GAAP) ($ M) 381 391 338 QoQ 297 289 Up 8% 272 198 -1 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 (Source) Arm FY2022 FY2023 See the end of Arm’s FYE24-Q4 Shareholder Letter for a reconciliation of Non-GAAP Operating Income to the most directly comparable GAAP metric. For details,