SoftBank reported $27.5 billion in losses due to the collapse of technology stocks
At an earnings presentation in Tokyo, CEO Masayoshi Son acknowledged the losses and vowed to start a more conservative approach.
“We, SoftBank, have to take on the defense,” he said.
Going forward, he added, the Japanese conglomerate will be more selective about which deals to take, roll out stricter criteria for new investments, and focus on improving returns from its portfolio companies.
But they’ve fallen since then, with each company’s shares down more than 60% since the start of the year.
“I think the market is in confusion,” Son said, citing the impact of the COVID-19 pandemic, Russia’s invasion of Ukraine, rising interest rates and rising inflation.
Nasdaq has given up 27% of its value so far in 2022.
Sun also said the company has been taking a “more cautious” view of investments in China, where tech companies have faced a major regulatory crackdown in recent months.
SoftBank shares closed 8% lower in Tokyo ahead of its results on Thursday. Overall, its stock is down 17% so far this year.