shares SoftBank Group Corporation Shares in SoftBank rose more than 10% after its telecoms unit raised its full-year profit forecast, amid renewed optimism. Arm Holdings Adding to the bullish sentiment on the group’s artificial intelligence business.

SoftBank’s revenue in the first nine months of fiscal year 2025 increased 8% year-on-year to 5.2 trillion yen, setting a record for the same period, and operating income also increased 8% to 884 billion yen.

Reflecting the momentum, the telecom subsidiary raised its full-year revenue forecast to 6.95 trillion yen from the previous 6.7 trillion yen and raised its operating income target to 1.02 trillion yen.

SoftBank said the results highlighted solid execution of its fiscal 2025 targets even as it fine-tuned parts of its consumer business to prioritize long-term profitability over user growth.

Although the company lost 100,000 smartphone users in the third quarter as it tightened its customer acquisition policies, revenue in the consumer business edged up 3%, while segment revenue rose 6%.

Andrew Jackson, head of Japan equity strategy at Ortus Advisors, said Arm Holdings’ sharp gains also provide fresh impetus for SoftBank Group given its large stake in the British chip designer.

Arm’s advantage is increasingly driven by artificial intelligence-related growth beyond smartphones.

“Our data center royalty revenue is up more than 100% year-on-year, and we expect that within a few years our data center business will be our largest business, surpassing our mobile business,” said ARM CEO Rene Haas. on the earnings call Wednesday.

The company also plans to supply half of the central processing units used by the world’s largest cloud computing companies, also known as hyperscalers, by the end of the year.

Despite missing Wall Street licensing revenue expectations, Arm Announces record quarterly revenue Revenue will reach $1.242 billion in the last three months of 2025, driven by demand for artificial intelligence. That number beats the London Stock Exchange Group’s SmartEstimates, which are weighted based on more consistent and accurate analyst forecasts.