September 2020 SoftBank Group Corp. sold 1 billion of our shares
(Note) The selling shareholder is SoftBank Group Japan Corporation, a wholly owned subsidiary of SoftBank Group Corp. Total Amount of Public Offering [JPY]
Japan Post 2017 1.31 tn
SoftBank Largest 2020 1.24 tn
NTT public offering 2000 1.23 tn
MUFG 1.07 tn 2009 JPY 1.2 tn Sumitomo Mitsui FG 1.01 tn since 2000 except privatization projects 2010 NTT DOCOMO 2001 0.95 tn
(Note) Based on each company’s disclosure documents and the Ministry of Finance's website 1 Number of Shareholders
Before public offering After public offering (End of FY2019) 1 Mizuho FG 990K Mizuho FG 990K Among largest 2 AEON 790K SoftBank 910K (Sep 2020) in Japan 3 Dai-ichi Life 750K AEON 790K 4 MUFG 720K Dai-ichi Life 750K 910K 5 SoftBank 700K MUFG 720K
6 NTT 640K NTT 640K
(Notes) Based on “Ranking by Number of Shareholders of Share Units by Company (Top 120) (2019)” reported by Tokyo Exchange Group All numbers are as of end of FY2019 except SoftBank Corp. whose number before public offering (PO) is as of Mar 2020, number after PO is as of Sep 2020 2 Shareholder Composition
General SoftBank Group*1 publicoffering shareholders
Before Increased 62% 38% presence of general
publicoffering shareholders After including individual and 40.2% 59.8% institutional investors Nearly half of general shareholders are individual investors (Notes) *1. SoftBank Group Corp., our ultimate parent company, effectively owns the Company's shares through SoftBank Group Japan Corporation The percentage of ownership is based on the total number of shares outstanding (excluding treasury stock). Before the public offering: as of June 30, 2020; After the secondary offering: as of September 30, 2020 3 What has changed since IPO?
4 ✓ Transformed from a mobile carrier ✓ Business has become diversified
5 Enhancing Non-telecom Businesses
Dec 2018 Jun 2019 Nov 2019 Dec 2019 Jul 2020
Announced business 3 ZOZO became a PayPay users IPO Made ZHD a subsidiary subsidiary of ZHD integration between ZHD and LINE exceeded 30M
The business integration is expected to be completed around Mar 2021
Internet Fashion Messaging QR no. of users e-commerce app payment
Intage SCI Payment Survey June 2020 Nielsen April 2020 Monthly Total Report Total From our estimation based on Nielsen TOPS OF 2019: DIGITAL IN JAPAN Dec 2019 (hybrid version). Transaction value Digital Users TOP10 ZOZO, Inc’s disclosure *1 “Smartphone App Active Reach” share for code based payments (Notes) ZHD refers to Z Holdings Corporation. *1 Market share in premium luxury, accessible luxury, upper-middle and lower-middle segments that ZOZO has been targeting 6 Diversified Revenue
Revenue FY2019 Mobile communications Revenue other than mobile charge revenue communications charge
FY2017 29% : 71% Mobile Mobile communications Revenue other than mobile charge revenue communications charge communications 38% : 62% Mobile charge represents communica- Yahoo Distribution/ tions charge Mobile Others (Consumer) Distribution/ communica- Others tions charge Enterprise 29% of (Consumer) Consumer Consumer services Enterprise services (Consumer) (Consumer) total revenue
(Notes) Pro forma information (non-audited) calculated by us with certain assumptions. Revenue is based on sales to external customers. Mobile communications charge for enterprise customers is included in Enterprise segment. Please refer to page 54 for details 7 Diversified Profit
Operating Income FY2019 Mobile communications Profit other than mobile charge profit communications charge
FY2017 38% : 62% Mobile Mobile communications Profit other than mobile charge profit communications charge communications 44% : 56% charge represents Mobile Yahoo communica- Enterprise/ Enterprise/ Distribution tions charge Distribution Mobile /Others (Consumer) communica- /Others 38% of tions charge (Consumer) Consumer Consumer services services (Consumer) (Consumer) operating income
(Notes) Pro forma information (non-audited) calculated by us with certain assumptions. Operating income for mobile communications charge in Enterprise segment and adjustments are included in Enterprise/Distribution/Others. Please refer to page 54 for details 8 Transformation to Ensemble of Leading ICT Players
IPO Now
Mobile Fixed-line Social
Mobile Enterprise Distribution Fixed-line Payment Enterprise Distribution
E-Commerce Media
(Note) Regarding Social, the business integration between ZHD and LINE is expected to be completed around March 2021 9 Growth Strategy Beyond Carrier
Non-telecom Businesses Becoming Growth Drivers
Yahoo/LINE
Telecom Business
(Note) The business integration between ZHD and LINE is expected to be completed around March 2021 10 Earnings Results for the Six Months Ended September 30, 2020
SoftBank Corp. November 4, 2020 Disclaimer
Important Notice Regarding Forward Looking Statements and Other Information This document is based on the information available to SoftBank Corp. (“we” or “the Company”) as of the time hereof and assumptions which it believes are reasonable. Statements contained herein that are not historical facts, including, without limitation, our plans, forecasts, strategies and beliefs about our business and financial prospects, are forward-looking statements. Forward-looking statements often include the words such as “targets”, “plans”, “believes”, “hopes”, “continues”, “expects”, “aims”, “intends”, “will”, “may”, “should”, “would”, “could” “anticipates”, “estimates”, “projects” or words or terms of similar substance or the negative thereof. These forward-looking statements do not represent any guarantee by us or our management of future performance or of any specific outcome are subject to various risks and uncertainties, including, without limitation, general economic conditions, conditions in the Japanese telecommunications market, our ability to adopt new technologies and business models, competition with other mobile telecommunications providers, our ability to improve and maintain our telecommunications network, our reliance on third parties in conducting our business, including SoftBank Group Corp. and its other subsidiaries and associates, our major vendors and suppliers, and other third parties, risks relating to M&A and other strategic transactions, risks relating to information security and handling of personally identifiable information, changes in the substance and interpretation of other laws and regulations and other important factors, which may cause actual results to differ materially from those expressed or implied in any forward-looking statement. The Company expressly disclaims any obligation or responsibility to update, revise or supplement any forward-looking statement in any document or generally to the extent allowed by law or stock exchange rule. Use of or reliance on the information in this material is at your own risk. Information regarding companies other than the Company and our subsidiaries and associates is quoted from public sources and others, and we have neither verified nor are we responsible for the accuracy of information. The information presented herein regarding certain joint ventures and collaborations of the Company, Vision Fund and SoftBank Group Corp. portfolio companies and investments has been selected on a subjective basis, is provided solely for illustrative purposes and does not purport to be a complete listing of all such collaborations or joint ventures. SoftBank Group Corp., the Company and the Vision Fund each have different strategies and objectives with respect to their investments and portfolio company operations. There is no guarantee that any joint venture will be consummated on the terms expressed herein or at all, or that the joint venture will be successful. All such plans are subject to uncertainties and risks, as well as investor consents and regulatory approvals, as applicable. References to such portfolio companies and investments should not be a recommendation of any particular investment.
Important Notice Regarding Trading of SoftBank Corp. Common Stock and Unsponsored American Depository Receipts The Company encourages anyone interested in trading in its common stock to do so on the Tokyo Stock Exchange. The Company’s disclosures are not intended to facilitate trades in, and should not be relied on for decisions to trade, unsponsored American Depository Receipts (“ADRs”) representing the shares of its common stock. The Company has not and does not participate in, support, encourage, or otherwise consent to the creation of any unsponsored ADR programs or the issuance or trading of any ADRs issued thereunder. The Company does not represent to any ADR holder, bank or depositary institution, nor should any such person or entity form the belief, that (i) the Company has any reporting obligations under the U.S. Securities Exchange Act of 1934 (the “Exchange Act”) or (ii) the Company’s website will contain on an ongoing basis all information necessary for the Company to maintain an exemption from registering its common stock under the Exchange Act pursuant to Rule 12g3-2(b) thereunder. To the maximum extent permitted by applicable law, the Company disclaims any responsibility or liability to ADR holders, banks, depositary institutions, or any other entities or individuals in connection with any unsponsored ADRs representing its common stock. Consolidated Results Q2 Fiscal Year 2020 Revenue [JPY bn] 2,373.1 2,428.4 2,238.4
20,000 Even with COVID-19 impact
15,000 Total revenue
10,000 increased continuously
5,000
0 (Notes) Actuals for FY2018 have been adjusted retrospectively to have FY2018 H1 FY2019 H1 FY2020 H1 consolidated Z Holdings Corporation (formerly Yahoo Japan Corporation, hereinafter “ZHD”) from April 1, 2018 “Yahoo” is used as the segment name when referring to ZHD business 14 Revenue by Segment [JPY bn] 2,373.1 2,428.4
Yahoo 484.1 557.2 Despite Consumer Distribution/ 238.8 235.4 Other, Adjustment segment decline
Enterprise 314.1 334.6 Revenue in Yahoo
Consumer Consumer services services and Enterprise
1,336.0 1,301.3 communications
Consumer c
ommunications
charge
Mobile charge charge Mobile increased
FY2019 H1 FY2020 H1
(Note) For the breakdown of Consumer segment, please refer to page 54 for details 15 Operating Income [JPY bn] 589.6 552.0 518.2
5,000
4,000
3,000 Up 7%
2,000
1,000
0 FY2018 H1 FY2019 H1 FY2020 H1 (Note) In this document, unless otherwise specified, the increase or decrease is the year-on-year comparison 16 Operating Income by Segment [JPY bn] 589.6 552.0 98.2 Yahoo 75.7 +30% Distribution/ 20.5 Other, Adjustment 20.1 Yahoo and Enterprise OP
Enterprise 54.6 +18% 64.6 Consumer
Consumer increased significantly by
services services 20~30%
Consumer 401.6 406.3
c
c
ommunications
ommunications
charge
charge
Mobile Mobile
FY2019 H1 FY2020 H1
(Note) For the breakdown of Consumer segment, please refer to page 54 for details 17 Net Income [JPY bn] 314.6 327.4 315.1
3,000 Declined due to one-time factors 2,500 such as valuation loss
2,000 Full-year net income
1,500 expected to surpass 1,000 FY2019
500
0 FY2018 H1 FY2019 H1 FY2020 H1
(Note) Net Income: net income attributable to owners of SoftBank Corp. 18 Net Income: YoY Comparison [JPY bn] Good overall progress except one-time factors
Operating Financing Income Net income income income/costs taxes attributable to non controlling interests
327.4 -19.9 -0.1 Shares of 315.1 +37.6 profit/losses of -17.5 associates -12.4 accounted for using the equity method
One-time factors: gains on sales of equity ZHD earnings method investments in Same level as growth and effect last FY, losses on last FY in new of ZOZO valuation of financial businesses assets in current FY, etc. consolidation
FY2019 H1 FY2020 H1 (Note) Net Income: net income attributable to owners of SoftBank Corp. 19 Consolidated Results [JPY bn]
FY2019 FY2020 YoY YoY % H1 H1
Revenue 2,373.1 2,428.4 +55.3 +2%
Operating Income 552.0 589.6 +37.6 +7%
Net Income 327.4 315.1 -12.3 - 4%
(Notes) Net Income: net income attributable to owners of SoftBank Corp. 20 Progress Toward Forecasts [JPY] Revenue FY2020 4900.0 bn Full-year
16,000 forecast
14,000 Operating 12,000 Good progress income
10,000 920.0 bn towards increased Progress 50% 8,000 revenue & profit H1 2,428.4 bn Net income
6,000 64% 485.0 bn forecasts 589.6 bn 4,000 65%
2,000 315.1 bn
0
(Note) FY2020 full-year forecasts are the figures announced in May 2020 21 SoftBank Growth Strategy
Non-telecom Expansion
Solid Telecom Growth
22 Enterprise Business
23 Enterprise: Revenue [JPY bn] 334.6 314.1 301.6
300.0 Business +17% 92.0 solution 65.0 78.4 and
250.0 others Up 7%
200.0 Driven by Business 94.4 Fixed-line 105.9 97.6 solution and others
150.0 increase by 17%
100.0
148.1 Mobile 130.7 138.1
50.0
0.0 FY2018 H1 FY2019 H1 FY2020 H1
24 Enterprise: Operating Income [JPY bn] 64.6
600 54.6 50.7 Growth driven by
500 demand for telework
400
300 Up 18%
200
100
0 FY2018 H1 FY2019 H1 FY2020 H1
25 Enterprise: Business Solution and Others Revenue Growing revenue in response to increasing demand for DX due to COVID-19
Cloud services IoT Security
x in 1 year 100 in 1 year 100 in 1 year 1.4 90 2.9x 90 2.2x
200
80 80
70 70
150
60 60
50 50
100
40 40
30 30
50
20 20
10 10
0 0 0 FY192019上期H1 FY202020上期H1 FY192019上期H1 FY202020上期H1 FY2019 H1 FY2020 H1
26 Enterprise: Business Solution and Others Revenue [JPY bn]
Maintain double-digit 169.2 revenue growth 145.0 128.9 for future
2017FY2017年度 FY18年度2018 FY19年度2019 2022FY20年度22 ［目標］[Target] 27 Enterprise Growth Strategy Moving to “Hybrid Sales" combining online and offline
Needs identification Negotiation Contract signing Support
Face-to-face onsite Physical Offline Onsite interviews Onsite support (Conventional) negotiation seals/stamps
Online (New Normal) Email marketing / Online seminars, etc. Online negotiation Digital signing Remote settings
DX from marketing to sales
28 Enterprise Growth Strategy
3,500,000 3,840K Thanks to DX
Online 3,000,000 Customer contacts seminars
2,500,000 Online negotiation increased
2,000,000
1,500,000 5x
1,000,000 Email marketing
500,000 840K
0
FY2019 Q2 FY2020 Q2 (Note) The number of customer contacts is the sum of the number of emails delivered, the number of customers contacted through seminars / webinars, and the number of business meetings 29 Enterprise Growth Strategy Three Major Digital Revolutions
Digital Digital Digital Communication Automation Marketing
RPA Smart phone IoT Big data Cloud
Not bound by time or place improve productivity Through automation of operations Through use of data through diverse work styles realize cost reduction / efficiency strengthen marketing and sales
30 First Completely Online Conference
l
CEOs from world-leading companies come together
Held on October 29, 30, 2020 31 SoftBank World 2020 Results (Two-day Event)
Total Registers Unique Viewers Total Viewers
44K 30K Normalized 119K 118% YoY 314% YoY 682% YoY
Lectures Viewed per Person Viewers per Session
Average 4.0 Average 1,038 Last year: 1.7 (235% YoY) Last year: 164 (633% YoY)
(Notes) Total registers: number of people who registered to attend the online lectures and event booth Unique viewers: number of people who attended online event on Day 1 and Day 2 (overlaps are removed for multiple sessions attended by same person) Total viewers: number of normalized viewers who attended online lectures on Day 1 and Day 2 (counted multiple times if one person viewed multiple sessions) Viewers per session: all sessions except keynotes and special programs (69 sessions in total including SoftBank and sponsors’ programs) YoY: year on year comparisons are all based on physical sessions for last year 3232 Enterprise Growth Strategy: Our Strength Our 4 Service Bases for the Digital Revolutions
Digital Communication Base Digital Marketing Base SaaS
cアンチウイルス Base Security Software services
PaaS Digital Automation Base Platform services BPR Use of data (Restructuring of work flow and Collaboration c organizational structure) IaaS ＋ Infrastructure services
Network Open Network (Public / Private / Local)
(Note) SaaS=Software as a Service, PaaS=Platform as a Service, IaaS=Infrastructure as a Service, BPR=Business Process Re-engineering 33 34 Yahoo: Revenue [JPY bn] 557.2
500 484.1 463.8 141.6
400 148.4 Media 146.6
300 Up 15%
200 415.6 Driven by Commerce growth Commerce 317.2 335.7 /Other
100
0 FY2018 H1 FY2019 H1 FY2020 H1 (Note) Revenue for Commerce and Media is restated for FY2019 to reflect the transfer of certain services and subsidiaries from Commerce to Media in April 2020 35 Yahoo: Operating Income [JPY bn] 98.2
900 78.0 800 75.7
700
600
500 Up 30% 400 Up 12% excluding the effect 300 from ZOZO consolidation
200
100
0 FY2018 H1 FY2019 H1 FY2020 H1
36 Yahoo: E-Commerce Transaction Value [JPY bn] 1,492.2
1,400.0 1,188.8
1,200.0 1,076.8
1,000.0 965.4
800.0 Up 26% 600.0 Due to ZOZO consolidation and
400.0 growing demand for e-commerce under COVID-19
200.0
0.0 FY2017 H1 FY2018 H1 FY2019 H1 FY2020 H1
37 Yahoo: Commerce
Increase investments in Commerce in H2 FY2020
First half To achieve No. 1 in e-commerce of 2020s transaction value in Japan (Merchandise)
(Note) Various campaigns shown in the left picture are information as of October 2020. Please refer to our websites for the campaign details 38 Yahoo: Advertising Revenue [JPY bn] 160.3 162.9 1,600 155.7 144.8
1,400 Advertising revenue
1,200
1,000
800 Up 2%
600 Despite decrease in ad placements under COVID-19 400 Programmatic advertising
200 performs well due to media service access increase
0
FY201717年度上期H1 FY201818年度上期H1 19FY2019年度上期H1 20FY2020年度上期H1 39 Yahoo: Media Synergy with SoftBank
Ad placements via SoftBank 6.868.3 bn [JPY]
60 Through synergy with SoftBank
50 4.444 bn Ad placements increased
40
30 1.5x
20 in half a year
10 Jun 2019 Became SoftBank subsidiary
0 19FY2019年度上期H1 19FY2019年度下期H2 20FY2020年度上期H1 40 Smartphone Payment Service PayPay
41 PayPay: Cumulative Registered Users [Mil]
3,00030万 Number of users
2,0002万0 Exceeded 33 mil (October 2020)
1,0001万0
0万0 Oct 2018 Oct 2020 (Source) Data from PayPay Corporation, collected from October 5, 2018 to October 19, 2020 (Note) Number of registered users: number of accounts registered 42 PayPay: Number of Payments (for three months) [Mil] 5500億 490 Number of payments 4004億 increased by 3300億 5x 2002億 in one year 100 1100億
0億0 FY2019 FY2020 Q2 Q3 Q4 Q1 Q2 (Source) Data from PayPay Corporation 43 PayPay Platform Strategy
PayPay at core to pursue business synergies
Strengths as No. 1 Business Synergies
No. of users 33+ mil Financial services No. of merchants 2.6+ mil locations Recognition No. 1 Mobile App update 60 times/year
(Note) No. of stores: number of locations registered with PayPay, such as stores and taxis (Sources) No. of users and merchants: from PayPay Corporation, E-Commerce as of October 19, 2020. Recognition: from a survey on Cashless Payment Usage by SB Payment Service for 2,057 men and women in their 20s to 80s during July 10 - 16, 2020 44 PayPay Synergies with Commerce and Mobile Strengthening synergies by introducing loyalty programs
Yahoo! JAPAN Benefit from Use of SoftBank smartphone Link with Yahoo ID Use of credit card Premium shopping with our Yahoo services user benefit user benefit services
Use 3+ eligible services Every Sunday Bonus grant rate Bonus grant rate Bonus grant rate Bonus grant rate Bonus grant rate +2% +2% +2% +2% +10% Up to20% equivalent Raise bonus granting rate when shopping on PayPay Mall, Loyalty programs “PayPay STEP” +α Yahoo! JAPAN Shopping and others rebates
(Note) Programs shown here are as of October 2020. The bonus rates listed are for the PayPay Mall. Each campaign or benefit has its own maximum granting limit. The "Up to 20%" includes the campaigns listed, plus "Payments from PayPay Balance +1%" and "Store Points +1% (T Points)". Please see details on our website 45 PayPay Bank (Currently The Japan Net Bank, Limited) Started service collaboration since PayPay launch
QR code payment No.1 First internet-dedicated banking service in Japan PayPay The Japan Net Bank Strengthening collaboration every year
✔ Balance charge
✔ Mini app for loans
(Note) The name is expected to be changed to PayPay Bank in April 2021 46 PayPay Bank (Currently The Japan Net Bank, Limited) Rapid growth in two years in collaboration with PayPay
Individual accounts: new acquisitions Corporate accounts: new acquisitions
140,000
500,000
120,000 4.4x 1.7x Through PayPay 400,000 in 2 years in 2 years
100,000
300,000
80,000
60,000
200,000 Directly by The Japan Net Bank
40,000 Through PayPay
100,000
20,000 Directly by The Japan Net Bank
0 0
FY201717年度 FY201818年度 19FY2019年度 17FY2017年度 18FY2018年度 19FY2019年度
(Note) The name is expected to be changed to PayPay Bank in April 2021 47 PayPay Securities (Currently One Tap BUY Co., Ltd.) Started trial service by collaborating with PayPay
QR code payment No.1 Smartphone securities PayPay One Tap BUY Our subsidiary Using PayPay bonus for Investments
Launched in Two options For short-term investment April 2020 - Challenge program For long-term investment - Standard program (Note) The name is expected to be changed to PayPay Securities in January 2021 48 PayPay Securities (Currently One Tap BUY Co., Ltd.)
Bonus investment: number of users 1.6 mil Half of 160 users are in their Continuous （Survey by us） 30s or 140 usage rate Number of users Exceeded 1 mil 95％ under
120 in 90 days Fastest in industry 100 1.6 mil 80
60 Aim to implement commercial investment service in the future
40 One week after
20 launch (Notes) 40K Continuous usage rate = number of active users / cumulative users 0 The name is expected to be changed to PayPay Securities in January 2021. The name change is subject to obtaining registrations necessary to operate Apr 22, 2020 Jul 13 Oct 28 and approvals from the relevant authorities, and is being considered on the premise of compliance with laws and regulations. 49 With PayPay as a gateway, aim to create financial/fintech ecosystem
Insurance Splitting bills Hotel Investment/FX Loan Taxi Banking Public Utilities Communi- cation E-Commerce Card
Asset management Lending
50 SoftBank Growth Strategy
Non-telecom Expansion
Solid Telecom Growth
51 Consumer: Revenue [JPY bn] 1,336.0 1,289.0 1,301.3
1,200.0 Sales of goods 268.7 211.4 and others 308.0 47.4
1,000.0 28.6 Despite decline of handset sales Electricity 190.5 195.9 Broadband 175.7
800.0 Service revenues
600.0 increased
Mobile 400.0 805.3 848.2 846.5 (Mobile communications, Broadband and communica- tions Electricity)
200.0
(Notes)
0.0 Service revenues: sum of Mobile communications revenue, Broadband revenue and Electricity revenue 18年度上期 19年度上期 20年度上期 From FY2020, Electricity, previously included in Revenues from sales of FY2018 H1 FY2019 H1 FY2020 H1 goods and others is presented separately and the breakdown of revenue for FY2019 has been restated accordingly 52 Consumer: Operating Income [JPY bn] 406.3
4,000 401.6 383.5
3,500
3,000 Profit
2,500
2,000 increased
1,500
1,000 steadily
500
0
FY201818年度上期 H1 FY201919年度上期 H1 20FY2020年度上期 H1 53 Consumer
Clarification of pure mobile communications charge-related business
Revenue Operating income
By segment Clarification By segment Clarification Enterprise, Yahoo, Enterprise, Yahoo, Same as left Same as left Distribution and Other Distribution and Other Sales of goods Sales of goods
and others and others Consumer Broadband Broadband Consumer services Electricity Electricity Consumer
Mobile value-added services (insurance, Mobile security, etc.) communications Mobile Mobile communications communications charge charge (Note) Mobile communications charge for Enterprise is included in Enterprise segment 54 Consumer Proportion of pure mobile communications charge revenue decreasing every year Revenue Operating income 4% 5% 7% 13% Non 25% 25% 27% 29% 29% Consumer 45% (Enterprise, Yahoo, 40% Distribution) 44% 49% 43% 30% 33% Consumer 35% 34% services 33% (Sales of goods 26% and others, Broadband, etc.) 56% 45% Mobile 52% 42% 38% 37% 44% 44% 38% 29% Communica- tions charge
FY2015 FY2016 FY2017 FY2018 FY2019 FY2015 FY2016 FY2017 FY2018 FY2019 (Notes)15 Pro年度 forma information16年度 (non17-年度audited) 18calculated年度 by19 us 年度with certain assumptions. Revenue is15 based年度 on sales16年度 to external17 cus年度tomers.18 Mobile年度 communications19年度 charge revenue for enterprise customers is included in Enterprise. Operating income in "Non-Consumer" includes adjustments. The results of ZHD, became our subsidiary in Jun 2019 are included in FY2019 only 55 Large-capacity Price Plan Evolution A series of innovative plans to lower mobile prices
~2015 2016 2017 2018 2020
Ultra Giga Monster+ Merihari Plan White Plan Giga Monster Ultra Giga Monster Support 5G
Apply 50GB 50GB 50GB discount automatically 20GB for months 7GB of low data (After price plan changed in 2019) usage JPY 5,700~ JPY 6,000~ JPY 7,000~ JPY 6,500~ JPY 6,500~ /month /month /month /month /month Separated service Removal of fees and handset cancellation fees payments (Sep 2018~) (Oct 2019~) 56 Price Rate per Gigabyte (Data Plan Base) [JPY per gigabyte] 814
800
700 Achieved
600 500 +% 400 80 300 300 price reduction
200 130 130 compared to 140 or lower or lower 5 years ago
100 Eligible services Unlimited
0 video/SNS 2015 2016 2017 2019 2020 Ultra Ultra White Plan Giga Monster Giga Monster Giga Monster+ Merihari Plan JPY 5,700 /month JPY 6,000 /month JPY 7,000 /month JPY 6,500 /month JPY6,500 /month 7GB 20GB 50GB 50GB 50GB (Note) The price of Ultra Giga Monster+ here is after our price plan revision in 2019 57 Multi-brand Strategy Meeting needs of various users
Large capacity Medium capacity Low capacity Reasonable Low price Ultra price low price
58 Announced new low-priced high-capacity data plan Our major price plans (JPY/month) *2
*1 New price plan “Simple 20” GB＋α 8,000 50 8,030
7,000
6,000 Large Average usage 5,000 GB charge capacity GB 20 ( 6,400 ) 20 4,000 10GB 4,480 Monthly 3,000 3GB 3,505
2,000 2,505
JPY 4,480 1,000
Free 10-minute domestic voice calls 0
Plan to start from late December 2020 Smartphone basic Smartphone basic New Plan Merihari Plan Plan S Plan M Simple 20 Unlimited Video/SNS
(Notes) Prices exclude tax. *1 A charge of ¥20/30 seconds occurs for domestic call time longer than 10 minutes. Some calls are not eligible for the 10-minute free service. The Additional Data Volume Option, Sign-up Discount, Home Bundle Discount, Home Electricity Bundle Discount and Family Discount Service are not available. The speed limit is 1Mbps when data allowance is exceeded. *2 For existing plans, flat-rate voice calls included, Sign-up Discount or Half-year Discount is normalized over two years. The average usage charge of Merihari Plan reflects the average discount amount for the Family Discount and Home Bundle Discount, and is calculated based on the actual ratio of the discount applying 59 To further revitalize mobile industry
Oct 2019～ *1 Cancellation fee
Spring 2021～ MNP transfer out fee Mobile Number Portability
(Note) *1 Applicable for new enrollments of price plans after October 1, 2019 60 Average Price per Subscriber
Main Subscriber ARPU before Discounts [JPY/month]
5,7205,720 5,700 5,620 60006,000 5,450 5,190 4,7504,750 Price per Subscriber Decreased 30003,000 20% in five years
(Notes) Main subscriber for ARPU calculation: smartphones, feature 00 phones, tablets, mobile data communications devices FY201515年度 FY201616年度 17FY2017年度 18FY2018年度 FY201919年度 FY202020年度 ARPU: Average Revenue Per User per month 15年度Q2 17年度Q2 19年度Q2 ARPU before Discounts: calculated before offsetting the discounts Q2 Q2 Q2 Q2 Q2 Q2 for Monthly Discount and Home Bundle Discount. Please refer to our datasheet for details 61 Smartphone Cumulative Subscribers
[Mil] 25.00
2,500 23.03 21.09
2,000 19.25 In five years 17.45 16.26 1,500 1.5x
1,000 Y!mobile subscribers increased 5x in 5 years
500
0 15FY2015年度 16FY2016年度 17FY2017年度 18FY2018年度 FY201919年度 FY202020年度 Q2 Q2 Q2 Q2 Q2 Q2 (Note) Including enterprise subscribers 62 Mobile Communications Charge Revenue [JPY15,480 tn] 14,747 14,3811.43 13,748 13,9831.39 14,000
12,000 Lower prices caused 10,000 temporary revenue decline 8,000 Subscriber growth
6,000
Y!mobile launch Revenue recovered due to has driven revenue 4,000 caused temporary subscriber growth since revenue decline establishment of multi-brand
2,000 recovery
0
FY2015 FY2016 FY2017 FY2018 FY2019 (Note) Pro forma information (non-audited) calculated by us with certain assumptions for mobile communications charge revenue for sales to external customers, as a part of Consumer segment. Please refer to page 54 for definition 63 Smartphone Cumulative Subscribers
[Mil] FY2023 target 30.00
24.13 22.08 Aiming for 20.13 business growth by increasing subscribers
2017FY2017年度 FY201818年度 FY201919年度 2023FY2023年度 (Note) Including enterprise subscribers 64 Next Generation Network Development
65 Investment in Network Operating income ¥911.7 bn
9,000.00 Focus on NW investment 8,000.00 from the beginning of our entry 7,000.00 into the mobile business
6,000.00
5,000.00 1/10 of Capital Expenditure competitor’s
4,000.00 Past 14 or less *1 years 3,000.00 JPY5 tn Operating 2,000.00 income
1,000.00 ¥71.8 bn
0.00
2005FY2005年度 2019FY2019年度 (Note) Figures for FY2005 are the sum of broadband infrastructure business and fixed-line Vodafone K.K. etc. communication business of SoftBank Group Corp. (SoftBank Corp. at the time) and Vodafone at the time K.K., based on Japan GAAP. *1 Based on NTT DOCOMO financial report in FY2005 66 Investment in Network Highly Competitive NW with Aggressive Investments
*1 The world's highest level of quality Base station locations No. 1
Among 181 worldwide carriers SoftBank 230K sites
KDDI 110K sites
NTT DOCOMO 80K sites Voice App Video Experience Experience
No. 1 In Japan
(Source) Opensignal Limited published GLOBAL MOBILE NETWORK EXPERIENCE AWARDS 2020 (September 2020): among 181 worldwide carriers in 51 countries, SoftBank ranks top for Voice App Experience and third for Video Experience, top 20 for Download Speed Experience and 4G Availability, and top 50 for Upload Speed Experience. Opensignal Awards –Global claim from September 2020, Japan claim from October 2020, based on independent analysis of mobile measurements. © 2020 Opensignal Limited. (Note) For KDDI and NTT DOCOMO based on 5G plans of each company provided to the Ministry of Internal Affairs and Communications‘ “Approval to Application for Authorization of Establishment Plans on Specified Base Station for Spreading 5G Mobile Communications Systems (April 2019)”. Figure for SoftBank is as of March 31, 2020 67 Investment in Next Generation Network
Plan to invest in 5G and 6G JPY 2.2 tn over 10 years
Providing new value to society
5G for enterprises 5G devices Airborne base station
Established Offer Fill in all service area gaps 5G development devices with base stations flying in base for enterprises with a wide stratosphere customers in Osaka range of (Oct 2020) prices iPhone 12Pro iPhone 12
5G verification lab to support Sep 2020: stratospheric enterprise customers Google Pixel 5 Xperia 5Ⅱ AQUOS zero5G basic flight test succeeded
68 SoftBank Growth Strategy
Remote × operation 5G ∞ Autonomous Telecom technology accelerates driving non-telecom business Ultra-low latency Mass machine Unmanned connections store Unmanned Ultra-high speed Smart city warehouse Large capacity
Smart home
Security robot Face Game authentication VR Smart factory 69 FY2022 Targets [JPY] Revenue 5.5 tn Operating 1 tn Net Income 530 bn Income 5.5 tn
4.9 tn 4.9 tn 4.7 tn 1 tn 912 bn 920 bn 818 bn
530 bn 462 bn 473 bn 485 bn
FY18 FY19 FY20 FY22 FY18 FY19 FY20 FY22 FY18 FY19 FY20 FY22 [Forecast] [Target] [Forecast] [Target] [Forecast] [Target] (Notes) FY2022 targets were announced in August 2020. FY2020 forecasts were announced in May 2020 70 Shareholder Return Policy through FY2022
Dividends per Share [JPY] 86＋α Share 85 86 buyback 75 Dividends No dividend reduction Total shareholder return ratio of c. 85％
(FY2020~FY2022 weighted average)
FY18 FY19 FY20 FY2022 [Forecast] [Target]
(Note) Weighted average: total dividends and share buybacks for FY20-FY22 / total net income attributable to owners of SoftBank Corp. for FY20-FY22 71 Corporate Philosophy Information Revolution ─ Happiness for everyone