Investment fund increases profits of Softbank group

Investment fund increases profits of Softbank group

Demonstrates the feasibility and effectiveness of Saudi investments abroad

The Japanese group Softbank yesterday announced a profit increase of more than 78% in the second quarter (Reuters)

Riyadh: Shuja al-Buqami

The financial results of the Softbank Group have demonstrated the effectiveness of Saudi investments abroad: Vision Softbank has raised the financial results of the group to a high level in the last months of this year.
Since the launch of the Softbank Vision Fund between the Saudi Public Investment Fund and the Japanese group Softbank, the group's profits have increased, confirming the efficiency of Saudi investment and its ability to select its investments foreigners.
The Japanese group Softbank yesterday announced a jump in its quarterly profit thanks to the higher valuation of its investments in advanced technologies. The group's profits reached 705.7 billion yen (about $ 6.2 billion) from July to September, compared to 395.6 billion yen in the same period last year, a growth rate of more than 78%.
Softbank and Vision Fund, which have become the largest direct investment fund in the world after raising more than $ 93 billion last year, are seeing growth in their technology valuations, such as Uber taxi applications. and the autonomous unit of General Motors.
The net profit of the bank was multiplied by eight between April and September, thanks to the solid returns of its investment funds. Net profit reached 840 billion yen (7.4 billion dollars), against 103 billion yen for the same period last year. The increase was driven by earnings from "Vision Softbank", which stood at 649 billion yen, against 194 billion yen in the previous period.
Softbank has invested heavily in the driving business and last month announced a partnership with the Japanese automaker Toyota to offer new services.
GM announced this year that the Japanese group had invested $ 2.25 billion in its auto-driving program in exchange for a stake in the project.
These financial results demonstrate the feasibility and effectiveness of Saudi investments abroad, which confirms the achievement of economic expectations, which proves the correct strategic vision of these investments.
These results confirm that, despite all that is said and rumored about the Saudi economy, the number of participants does not reach the same goal. It has been crowned with remarkable success, in accordance with the vision of the Kingdom of 2030.
Saudi investments made under the Vision 2030 are "smart and strategic" in identifying the investment area or partner, which is reflected positively in the financial results.
The increasing profitability of Saudi Arabia's investment partners is seen as an indicator of the attractiveness and vitality of Saudi investment, which focuses on investment in technology and applications.
The new Saudi investments are aimed at maximizing the value of PIF assets, launching new sectors, locating advanced technologies and know-how, and creating strategic economic partnerships under the Fund's program.
Saudi Arabia's revenues grew 57% over the same period last year, while total revenues for the third quarter of the year reached 663.1 billion. RS ($ 176.8 billion). ), Recording a growth of 47% compared to the same period last year (the first nine months of 2017).
The Saudi Finance Ministry website on Wednesday announced the release of the state budget quarterly report for the third quarter of fiscal year 2018. The indicators for this quarter revealed a decrease in the deficit rate. Compared to the corresponding period of the previous year, supported by significant positive growth in oil and non-oil revenue, which confirms the effectiveness of economic reforms and fiscal measures to support public finances and the efficiency of their operations. management.

Economy