SoftBank swings to $7 billion loss after U.S. data center hit and Intel share decline

CANADA - 2025/08/07: In this photo illustration, the SoftBank Group (Soft Bank) logo is seen displayed on a smartphone screen. (Photo Illustration by Thomas Fuller/SOPA Images/LightRocket via Getty Images)

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SoftBank reported a fiscal second-quarter net loss of 1.12 trillion yen ($7 billion) on Tuesday, as losses tied to U.S. AI data center equipment procurement and Intel share declines weighed on earnings.

The Japanese investment giant also recorded a 597.2 billion ($3.7 billion) yen loss in the six months ending on Sept. 30 due to changes in procurement plans for power generation equipment for AI data center projects in the U.S.

SoftBank said it had made advance investments to secure power generation equipment for its AI data center projects in the U.S. amid concerns over potential shortages and long procurement lead times. Power is increasingly becoming a key constraint for the AI data center buildout as power grids become overwhelmed with applications from large energy users like data centers.

Cumulative payments for power-generation equipment for U.S. AI data center projects, like the PORTS-Pike Technology Campus in Pike County, Ohio, totaled $9.48 billion as of the end of September.

"We made bridge investments in advance to secure power generation equipment in anticipation of shortage," a SoftBank executive said during the company's earnings call.

Here's how SoftBank fared in the fiscal second quarter:

• Net loss of 1.12 trillion yen in the quarter compared with a net profit of 2.5 trillion yen a year earlier.
• Revenue stood at 2.22 trillion yen in the quarter, compared with LSEG estimates of 2.02 trillion yen.

Revenue rose 13.3% in the six months ended Sept. 30, supported by growth in telecommunications and AI computing businesses. The company said its SoftBank segment recorded higher sales across all businesses, while revenue at its AI computing segment increased.

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