SoftBank Group Japan reported a $3.5 billion net profit in Q4 FY25, aided by global investments. However, markdowns in India-based companies like Swiggy and Ola impacted its Vision Fund 2, which posted a $3.4 billion loss.
SoftBank Group Corp., a Japanese multinational conglomerate known for its investments in technology, energy, and finance through its Vision Funds, posted a net profit of $3.5 billion (¥546 billion) for the January–March quarter of FY25. The sharp rebound follows a loss in the previous quarter, primarily fueled by gains from global tech giants including Alibaba, T-Mobile, and Deutsche Telekom.
For the full fiscal year ending March 31, 2025, SoftBank reported a consolidated net profit of $7.4 billion (¥1.15 trillion), reversing the $1.47 billion loss (¥227.6 billion) it faced in the previous fiscal year.
Despite the turnaround, SoftBank’s exposure in India, particularly through Vision Fund 2, continued to drag on its overall performance. The company reported a $3.4 billion (¥526.5 billion) loss in Vision Fund 2 for FY25, mainly due to markdowns in companies like Swiggy and Ola, as well as AutoStore and Symbotic.
In the March quarter alone, the public portfolio value of Vision Fund 2 dropped by 21.7%, with SoftBank citing declines in share prices of India-based Swiggy and Ola Electric Mobility, both headquartered in Bengaluru, Karnataka, India.
Swiggy, the Indian food delivery giant, saw its stock plunge 42% in 2025 and reported a net loss of Rs 1,081 crore, nearly doubling from the previous year. Its EBITDA loss widened to Rs 961 crore from Rs 485 crore.
Ola Electric, a major player in India’s electric vehicle market, posted a net loss of Rs 564 crore during the October–December quarter, primarily due to discount-driven promotions amid intensifying competition.
Both Swiggy and Ola Electric are currently trading below their IPO issue prices, putting pressure on SoftBank’s potential exit strategies and reflecting broader concerns about India’s consumer tech valuations.
While Vision Fund 1 posted an investment gain of $6.1 billion (¥940.5 billion)—thanks to the rising value of holdings like ByteDance and Coupang—Vision Fund 2’s continued losses underscore the challenges SoftBank faces in some of its emerging market bets.
SoftBank’s overall investment segment still ended FY25 on a positive note with a $2.5 billion (¥387.6 billion) gain, but the India markdowns remain a significant blemish on an otherwise profitable year.
