SoftBank’s Mobile Business Rides the Remote-Work Boom

(Bloomberg) -- SoftBank Group Corp.'s telecom unit raised its full-year profit and sales targets after the pandemic boosted demand for its remote-work services.

SoftBank Corp. forecast operating income in the year ending March will climb to 970 billion yen ($9.2 billion), 5.4% higher than its earlier target, according to a statement on Thursday. That's more than the 946.3 billion yen average of analyst estimates. The Tokyo-based company raised its revenue goal 4.1% to 5.1 trillion yen.

Profits in the mobile business, which has long been the cornerstone of Masayoshi Son's technology conglomerate, have come under pressure after Rakuten Inc. launched a wireless network and sparked a price war. SoftBank Corp. is seeking to reduce its reliance on telecoms and transform itself into a digital services company by combining its Yahoo Japan internet business with messaging giant Line Corp.

SoftBank Corp. is also undergoing a change of leadership. Chief Executive Officer Ken Miyauchi is moving into the chairman's role, currently held by Son, while Chief Technology Officer Junichi Miyakawa takes over as CEO.

Operating income in the quarter ended Dec. 31 rose 3.6% to 252 billion yen, and revenue jumped 11% to 1.38 trillion yen.

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