#1Earnings Results for the Six-month Period Ended September 30, 2023 Investor Briefing November 9, 2023 SoftBank Group Corp. ― SoftBank Group#2Disclaimers This presentation provides relevant information about SoftBank Group Corp. ("SBG") and its subsidiaries (together with SBG, the "Company") and its affiliates (together with the Company, the "Group") and does not constitute or form any solicitation of investment including any offer to buy or subscribe for any securities in any jurisdiction. In addition, this material does not constitute an offer to sell, or a solicitation of an offer to buy, any securities of Arm Holdings plc. Any offers to sell, solicitations of offers to buy, or sales of securities will be made in accordance with the registration requirements of the U.S. Securities Act of 1933, as amended, and other applicable securities laws. This presentation contains forward-looking statements, beliefs or opinions regarding the Group, such as statements about the Group's future business, future position and results of operations, including estimates, forecasts, targets and plans for the Group. Without limitation, 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. Any forward-looking statements in this presentation are based on the current assumptions and beliefs of the Group in light of the information currently available to it as of the date hereof. Such forward-looking statements do not represent any guarantee by any member of the Group or its management of future performance and involve known and unknown risks, uncertainties and other factors, including but not limited to: the success of the Group's business model; the Group's ability to procure funding and the effect of its funding arrangements; key person risks relating to the management team of SBG; risks relating to and affecting the Group's investment activities; risks relating to SB Fund (defined as below), its investments, investors and investees; risks relating to SoftBank Corp. and the success of its business; risks relating to law, regulation and regulatory regimes; risks relating to intellectual property; litigation; and other factors, any of which may cause the Group's actual results, performance, achievements or financial position to be materially different from any future results, performance, achievements or financial position expressed or implied by such forward-looking statements. For more information on these and other factors which may affect the Group's results, performance, achievements, or financial position, see "Risk Factors" on SBG's website at https://group.softbank/en/ir/investors/management policy/risk factor. None of the Group nor its management gives any assurances that the expectations expressed in these forward-looking statements will turn out to be correct, and actual results, performance, achievements or financial position could materially differ from expectations. Persons viewing this presentation should not place undue reliance on forward looking statements. The Company undertakes no obligation to update any of the forward-looking statements contained in this presentation or any other forward-looking statements the Company may make. Past performance is not an indicator of future results and the results of the Group in this presentation may not be indicative of, and are not an estimate, forecast or projection of the Group's future results. sources. The Company does not guarantee the accuracy or completeness of information in this presentation regarding companies (including, but not limited to, those in which SB Funds have invested) other than the Group which has been quoted from public and other Regarding Trademarks Names of companies, products and services that appear in this presentation are trademarks or registered trademarks of their respective companies. Important Notice - Trading of SBG Common Stock, Disclaimer Regarding Unsponsored American Depository Receipts SBG encourages anyone interested in buying or selling its common stock to do so on the Tokyo Stock Exchange, which is where its common stock is listed and primarily trades. SBG's disclosures are not intended to facilitate trades in, and should not be relied on for decisions to trade, unsponsored American Depository Receipts ("ADRs"). SBG 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 in respect of its common stock. SBG does not represent to any ADR holder, bank or depositary institution, nor should any such person or entity form the belief, that (i) SBG has any reporting obligations within the meaning of the U.S. Securities Exchange Act of 1934 ("Exchange Act") or (ii) SBG's website will contain on an ongoing basis all information necessary for SBG 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, SBG and the Group disclaim 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. The above disclaimers apply with equal force to the securities of any of the Group which are or may in the future be the subject of unsponsored ADR programs, such as SoftBank Corp. or LY Corporation. Notice regarding Fund Information contained in this Presentation This presentation is furnished to you for informational purposes and is not, and may not be relied on in any manner as, legal, tax, investment, accounting or other advice or as an offer to sell or a solicitation of an offer to buy limited partnership or comparable limited liability equity interests in any fund managed by a subsidiary of SBG, including SB Global Advisers Limited ("SBGA"), SB Investment Advisers (UK) Limited ("SBIA"), and any of their respective affiliates thereof (collectively, the "SB Fund Managers" and each an "SB Fund Manager") (such funds together with, as the context may require, any parallel fund, feeder fund, co-investment vehicle or alternative investment vehicle collectively, the "SB Funds" and each an "SB Fund"). For the avoidance of doubt, the SB Funds include, among other funds, SoftBank Vision Fund L.P. (together with, as the context may require, any parallel fund, feeder fund, co-investment vehicle or alternative investment vehicle, the "Vision Fund I"), which are managed by SBIA and its affiliates; SoftBank Vision Fund II-2 L.P. (together with, as the context may require, any parallel fund, feeder fund, co-investment vehicle or alternative investment vehicle, the "Vision Fund II"), which are managed by SBGA and its affiliates; and SBLA Latin America Fund LLC (together with, as the context may require, any parallel fund, feeder fund, co-investment vehicle or alternative investment vehicle, the "SoftBank Latin America Fund"), which are managed by SBGA and its affiliates. None of the SB Funds (including the Vision Fund I, Vision Fund II and SoftBank Latin America Fund), the SB Fund Managers any successor or future fund managed by an SB Fund Manager, SBG or their respective affiliates makes any representation or warranty, express or implied, as to the accuracy or completeness of the information contained herein and nothing contained herein should be relied upon as a promise or representation as to past or future performance of the SB Funds or any other entity referenced in this presentation, or future performance of any successor or the future fund managed by an SB Fund Manager. Information relating to the performance of the SB Funds or any other entity referenced in this presentation has been included for background purposes only and should not be considered an indication of the future performance of the relevant SB Fund, any other entity referenced in this presentation or any future fund managed by an SB Fund Manager. References to any specific investments of an SB Fund, to the extent included therein, are presented to illustrate the relevant SB Fund Manager's investment process and operating philosophy only and should not be construed as a recommendation of any particular investment or security. The performance of individual investments of an SB Fund may vary and the performance of the selected transactions is not necessarily indicative of the performance of all of the applicable prior investments. The specific investments identified and described in this presentation do not represent all of the investments made by the relevant SB Fund Manager, and no assumption should be made that investments identified and discussed therein were or will be profitable. The performance of an SB Fund in this presentation is based on unrealized valuations of portfolio investments. Valuations of unrealized investments are based on assumptions and factors (including, for example, as of the date of the valuation, average multiples of comparable companies, and other considerations) that the relevant SB Fund Manager believes are reasonable under the circumstances relating to each particular investment. However, there can be no assurance that unrealized investments will be realized at the valuations indicated in this presentation or used to calculate the returns contained therein, and transaction costs connected with such realizations remain unknown and, therefore, are not factored into such calculations. Estimates of unrealized value are subject to numerous variables that change over time. The actual realized returns on the relevant SB Fund's unrealized investments will depend on, among other factors, future operating results, the value of the assets and market conditions at the time of disposition, any related transaction costs and the timing and manner of sale, all of which may differ from the assumptions and circumstances on which the relevant SB Fund Manager's valuations are based. Past performance is not necessarily indicative of future results. The performance of an SB Fund or any future fund managed by an SB Fund Manager may be materially lower than the performance information presented in this presentation. There can be no assurance that each SB Fund or any future fund managed by the relevant SB Fund Manager will achieve comparable results as those presented therein. Third-party logos and vendor information included in this presentation are provided for illustrative purposes only. Inclusion of such logos does not imply affiliation with or endorsement by such firms or businesses. There is no guarantee that an SB Fund Manager, an SB Fund's portfolio companies, any future portfolio companies of a future fund managed by an SB Fund Manager or SBG will work with any of the firms or businesses whose logos are included in this presentation in the future. SBGA and SBIA manage separate and independent operations and processes from each other and those of SBG in the management of Vision Fund I, Vision Fund II and SoftBank Latin America Fund, respectively. Any SB Funds managed by SBGA or SBIA are solely managed by SBGA or SBIA respectively.#3Exchange rates per JPY used for translation Average during quarter 1 USD EOQ 1 USD SBG The Company SBKK Q1 T-Mobile or TMo Deutsche Telekom or DT 129.04 Jun 30 SB Northstar SVF1 or SoftBank Vision Fund 1 SVF2 or SoftBank Vision Fund 2 LatAm Funds or Latin America Funds SVF SBIA SBGA SBGC Arm Alibaba Q2 FY2022 138.68 Sep 30 Abbreviations Abbreviations used in Finance section of this presentation are as follows. In some cases, "Ltd." and "Corporation" Abbreviations Q3 141.16 Dec 31 Q4 133.26 Mar 31 133.53 SB Investment Advisers (UK) Limited SB Global Advisers Limited Q1 138.11 SoftBank Group Capital Limited T-Mobile US, Inc. after merging with Sprint Deutsche Telekom AG Jun 30 Q2 FY2023 145.44 Sep 30 149.58 Q3 = SoftBank Dec 31 Q4 etc. are omitted from the company name. Definition (Each of the following abbreviations indicates the respective company and its subsidiaries, if any) SoftBank Group Corp. (stand-alone basis) SoftBank Group Corp. and its subsidiaries SoftBank Corp. SB Northstar LP SoftBank Vision Fund L.P. and its alternative investment vehicles SoftBank Vision Fund II-2 L.P. SBLA Latin America Fund LLC SVF1, SVF2 and LatAm Funds Mar 31 Group Arm Holdings plc or Arm Limited* Alibaba Group Holding Limited * A corporate reorganization was undertaken in August 2023, pursuant to which Arm Holdings Limited, a former subsidiary of Arm Limited, acquired all the issued ordinary shares of Arm Limited, thereby making it a wholly owned subsidiary. Subsequently, Arm Holdings Limited changed its name to Arm Holdings plc and was listed on the Nasdaq Global Select Market through an initial public offering on September 14, 2023. Other Some figures in the report are rounded and may not add up to the figures presented as the total.#4Finance SBG stand-alone financial figures are calculated by excluding those of self- financing entities from the consolidated figures, unless otherwise stated. Major self financing entities includes SBKK (including its subsidiaries such as Z Holdings(currently LY) and PayPay), SVF1, SVF2, LatAm Funds, and Arm, etc.#5Listed on NASDAQ September 14, 2023 arm IPO Market Cap*1 $52B (¥7.8T*2) *1 Calculated by 1,025,234,000 shares, the number of Arm's outstanding shares (before dilution.) as of Sep 30, 2023 multiplied by IPO price per ADS *2 Converted to JPY at 1$=¥149.58 DIE Finance 2#6Earnings presentation for the 9-month period ended December 31, 2020 (February 8, 2021) SoftBank Information Revolution Group = Producer of golden eggs SoftBank KK Alibaba Group Sprint YAHOO! JAPAN arm Finance 3#7Global Top 15 Market Cap at IPO (Past 10 Years*¹) Saudi Aramco Alibaba Life Insurance Corp of India Uber Porsche Rivian Automotive DiDi SBKK Kuaishou Technology Coupang LG Energy Solution Japan Post Bank Arm Japan Post Holdings Postal Savings Bank of China $67B $75B $64B $60B $52B (Note) Created by SBG based on venders such as Bloomberg *1 The 10-year span from Jan 2014 to Sep 30, 2023 *2 SBG and its subsidiaries involved as a primary shareholders at the timing of listing $168B SoftBank Group $1,707B SBG involved in 6 of the top 15 IPOS as a primary shareholder*2 Finance 4#8SBG's Growth Strategy Expanding NAV through repeating investment cycle IPO is effective in realizing value and enhancing the flexibility for monetization, while it is just a milestone in a company's growth NAV Invest Utilizing debt financing as necessary Expand Value through growth of investees IPO Realization of value Creation of liquidity =SoftBank Monetize Sales and finance using listed shares Group Financial improvement Debt reduction Held as cash position Shareholder return Share repurchases Dividend Finance 5#9=SoftBank Historical NAV The success in investments as exemplified in Alibaba and Vodafone Japan led to further reinvestments, resulting in significant increase of NAV to 17x in approx. 22 years M&A T Mobile Sprint Investment € Aliba Alibaba.com M&A JAPAN TELECOM IPO YAHOO! JAPAN M&A O vodafone FY2010 €22. IPO Alibaba Group M&A Sprint M&A arm Launch FY2015 IPO SoftBank K KK SVF1 FY2000 FY2005 (Note) From FY2000 to FY2022, as of the end of each fiscal year NAV (Net Asset Value) = Adj. SBG stand-alone equity value of holdings - adj. SBG stand-alone net interest-bearing debt Information on NAV is provided for reference purposes only to illustrate its historical trend and is not intended to guarantee or imply future NAV. Launch SVF2 LatAm FY2020 NAV ¥16.4T IPO arm Group Sep 2023 Finance 6#10Historical Consolidated Total Assets Consolidated total assets expanded to ¥46T ¥1.1T FY2000 FY2005 (Note) From FY2000 to FY2022, as of the end of each fiscal year FY2010 FY2015 FY2020 SoftBank Group Consolidated total asset ¥46.0T Sep 2023 Finance 7#11Historical Consolidated Interest-bearing Debt Pursuit group's optimal leverage Consolidated interest-bearing debt (incl. non-recourse debt) increased along with the expansion of the overall group's assets FY2000 FY2005 ▬▬ FY2010 (Note) From FY2000 to FY2022, as of the end of each fiscal year FY2015 |||| FY2020 SoftBank Consolidated total asset debt Consolidated interest-bearing ¥21.4T Sep 2023 Group Finance 8#12Breakdown of Consolidated Interest-Bearing Debt Contrarily, debt for which SBG has a direct obligation of repayment remains at a low level FY2000 FY2005 FY2010 FY2015 Start financial management as an investment holding company FY2020 SoftBank Consolidated interest-bearing debt ¥21.4T Debt for self-financing entities (SoftBank SVF1 SVF2, etc.) Group Asset-backed finance (Non-recourse) Sep ¥1.9T 2023 Cash position, etc.*1 SBG stand-alone net interest-bearing debt*¹ (Note) From FY2000 to FY2022, as of the end of each fiscal year *1 Incl. Hybrid finance adjustments (deduct 50% for which hybrid bonds and hybrid loans are recorded as liabilities and add 50% for which hybrid bonds recorded as equity) Finance 9#13History of Asset and Debt Effectively utilizing financial leverage through non-recourse debt / financing (e.g., debt financing by self-financing entities and asset-backed finance) Realizing overall group growth while mitigating financial risks == [ FY2000 H FY2005 (Note) From FY2000 to FY2022, as of the end of each fiscal year FY2010 FY2015 D FY2020 =SoftBank Consolidated total asset Consolidated interest-bearing debt Group Sep 2023 SBG stand-alone net interest- bearing debt Finance 10#14Enhancement of Presence in the Financial Markets Continue our efforts to divirsify our funding sources by leveraging our robust financial foundation. Highest trust from market participants in our history Before 2010 Current Commitment Facility Line Banks Bonds Asset- backed Finance Retail Bonds (HAWKS Bond) Foreign Bonds Utilizing shares ¥145.0B (2000) 9 banks (primarily domestic banks) Begun full-fledged retail bond issuance in 2005 Initial issue size: ¥12.5B Issued the first Euro- denominated high-yield bond in 2004 (€400M) Stock lending utilizing listed shares (former Yahoo Japan Corporation) = SoftBank Collar transactions (former Yahoo Inc.) ¥740.9B equiv. (2023) 21 banks (both domestic and overseas financial institutions) With ongoing cycles of redemptions and issuances, the annual issuance size grew to ¥1T Issue size expanded to $7.3B equiv. in 2021 (largest ever issuance in the Reg-S high-yield market at the time) Diverse structure including utilization of unlisted assets Large transactions usually involve 10-20 banks Group # of counterparties for collar transactions etc. increased to 14 companies Finance 11#15Historical LTV LTV reached an all-time low level Continue to grow and expand pursuing optimal leverage going forward 75% 50% 25% 0% FY2005 Investment in domestic telecom business FY2010 Investment in Sprint Historically the strongest financials FY2015 =SoftBank (Note) From FY2005 to FY2022, as of the end of each fiscal year Information on LTV is provided for reference purposes only to illustrate its historical trend and is not intended to guarantee or imply future LTV. Investment Holding Company ¥4.5T Program FY2020 Group LTV 10.6% Sep 2023 Finance 12#16Current Market Environment Persistently high US interest rates are weighing on the stock market Exchange Rate (USD/JPY) U.S. Stock Prices (%) 6.0 5.0 4.0 3.0 2.0 1.0 0.0 U.S. Interest Rates FF Target Rate (upper bound) -US Treasury 2Y US Treasury 10Y FF Rate Upper Limit 5.50% www -2Y 4.9% |1ΟΥ 4.5% (JPY) 160 150 140 130 120 110 100 Dec 31 2021 berken Jun 30 2022 ¥150.98 Dec 31 2022 120 Jun 30 2023 100 Dec 31 Jun 30 Dec 31 Jun 30 2022 2022 2023 2021 (Note) Created by SBG based on Bloomberg. As of Nov 8, 2023 *1 Indexed with Dec 31, 2021 as 100 *2 Magnificent 7: Nvidia, Alphabet, Amazon, Apple, Meta, Microsoft, and Tesla. The graph represents the market capitalization-weighted average of these stocks. *3 Philadelphia Stock Exchange Semiconductor Index (SOX) *4 Thomson Reuters Venture Capital Index 80 60 40 Dec 31 Jun 30 2021 2022 2022 SoftBank 14 Dec 31 Jun 30 2023 .*1 Group Magnificent 7*2 799.4 92.0 S&P500 88.0 SOX*3 87.3 NASDAQ 61.2 VC Index*4 Finance 13#17Finance Summary in FY2023 Q2 Completion of Arm IPO further strengthened our financial base. Continued proactive investments NAV.LTV Arm Financial activities Investment activities NAV of ¥16.4T: +¥0.9T QOQ LTV of 10.6%: +2.6pt QoQ Net debt of ¥1.9T: +¥0.5T QOQ Cash position of ¥5.1T*¹: -¥0.7T QOQ Purchased Arm shares from SVF1. Closing of Arm IPO Purchased Arm shares from SVF1 and made initial payment of $4.1B (Paying a total of $16.1B in installments over two years) Sold $5.1B worth of Arm ADSS through the IPO (10% of ownership equiv.) Refinanced Arm margin loan of $8.5B (¥1.2T) (The largest margin loan right after IPO) - - - - = SoftBank Resuming investments from FY2023 Q1 Invested $1.5B in Q2 (approx. ¥215.9B)*² - Renewed commitment line for borrowings of up to $4.7B plus ¥35.6B (approx. ¥740.9B in total) Redeemed $2.1B (approx. ¥275.1B) of USD and domestic hybrid bonds before maturity *1 Cash and cash equivalents + short term investments recorded as current assets + investments in government bonds + undrawn commitment line. ¥740.9B equiv. was undrawn as of Sep 30, 2023. SBG stand alone basis (excl. SB Northstar; however, incl. its cash and cash equivalents) *2 The amount invested from SVF, SBG or its major wholly owned subsidiaries. Converted to JPY by using average exchange rate of FY2023 Q2. Group Finance 14#18Summary of Arm IPO The largest IPO ever for a semiconductor company*1 Participation of numerous strategic investors symbolizes Arm's core significance in the semiconductor sector Sep 2016 Acquired 100% (approx. $32B) From 2017 Contributed 24.99% to SVF1 Sep 2020 Agreement to transfer all Arm shares to NVIDIA (Transfer price: $40B) Feb 2022 Termination of the transfer agreement →shifting towards re-listing Aug 2023 Purchased 24.99% from SVF1 IPO Price IPO Market Cap: $52B (Sales ratio 10%) IPO Market Cap*2 SBG Proceeds (Offering Ratio) Listing Date Seller Listed Market $51.00 per ADS (Upper limit of the expected price range of $47.00~$51.00) $52B (¥7.8T*³) $5.1B (10%) =SoftBank September 14, 2023 Sep 2023 IPO *1 Source: venders such as Bloomberg. IPO market cap basis. Comparisons based on market caps at IPO in the semiconductor sector *2 Calculated by 1,025,234,000 shares, the number of Arm's outstanding shares (before dilution) as of Sep 30, 2023 multiplied by IPO price per ADS. *3 Converted to JPY at 1$=¥149.58. *4 As of Nov 9,2023. *5 Kronos II LLC, an indirect wholly-owned subsidiary of SBG (Largest in 2023*4) SBG's wholly owned subsidiary*5 Group (Largest in 2023*4) Nasdaq Global Select Market Finance 15#19Portfolio Replacement Improved portfolio quality: asset diversification, recovery in proportion of listed assets and reducing geopolitical risk Proportion of 81% listed shares Alibaba Group 阿里巴巴集团 E2! 59% 8% 6% 4% 9% 3% 11% 1% 62% 28% 11% 9% 5% 20% 16% 3% 8% Sep 2021 44% 15% 16% 11% 7% 17% 21% 5% 8% Sep 2022 69% 24% 15% 8% 18% 21% = SoftBank 5% 9% Sep 2023 Net of asset- backed finance arm SBKK T-Mobile Deutsche Telekom SVF1 (73 investees) SVF2 (273 investees) Group LatAm (90 investees) Others Sep 2020 (Note) For details of equity value of holdings as of the end of each September, see appendix of each quarter Listed share % includes shares of Alibaba, Arm, SoftBank Corp., T-Mobile, Deutsche Telekom, listed shares held by SVF1, SVF2 and LatAm Funds and public companies included in Others. Includes Arm from Sep 2023. SVF1, SVF2, and LatAm Funds figures are for SBG's interest only. Finance 16#20Geographical Portfolio Diversification The proportion of China decreased significantly 31% 11% 9% 20% 4% 25% Mar 2022 15% 18% 12% 27% 5% 24% Mar 2023 9% China 17% Japan APAC (excluding Japan and China) 12% 35% 5% 22% (Note) Classification of regions based on the location of each portfolio company's headquarters China: Alibaba, investments in China from SVF1 and SVF2, and other investment in China Japan: SoftBank, investments in Japan from SVF1 and SVF2, and other investments in Japan APAC (excluding China and Japan): Investments in APAC excluding China and Japan from SVF1 and SVF2, and other investments in the region EMEA: Arm, Deutsche Telekom, investments in EMEA from SVF1 and SVF2, and other investments in EMEA Latin America: Investments from LatAm Funds and other investments in Latin America North America: T-Mobile, investments in North America from SVF1 and SVF2, and other investments in North America Sep 2023 = SoftBank EMEA Net of asset-backed finance Group Latin America North America Finance 17#21Invested Amounts (SVF1+2+LatAm+SBG/Others) Resuming investments from Q1; expanding investments cautiously ($ B) SBG/Others SVF1+ SVF2+ LatAm 2.5 0.2 2.3 Q1 FY2022 0.5 0.1 0.4 Q2 0.5 0.2 0.3 ૨૩ 0.5 0.1 0.4 Q4 1.8 0.9 0.9 Q1 FY2023 1.5 1.1 0.4 SoftBank Q2 (Note) Invested amounts by SBG/Others: Investment by SBG and its core wholly owned subsidiaries (excludes investments in U.S. Treasury Bonds). Excludes the amount invested in intra- group transactions regarding ARM shares. Invested amounts by SVF: Sum of new and follow-on investments, including those through share exchanges. Excludes the amount invested by SVF to acquire investments transferred from SBG. Group Finance 18#22Status of WeWork SB group has fulfilled all its credit support obligations Oct 2021 WeWork SPAC listing Oct 2019 SBG commits to provide funding to WeWork Oct 2023 WeWork withheld interest payments on series of notes Completed fulfillment of credit support from SVF2 in its entirety through cash collateral May 2023 WeWork debt restructuring =SoftBank Group Nov 6 WeWork's filing for relief under Chapter 11 of the U.S. Bankruptcy Code No incremental obligations for financial support from SBG and SVF (As of the end of September, recorded fiscal guarantee facility from SVF2 as provisions in its entirety in accounts) Finance 19#23=SoftBank Cash Position and Coming Bond Redemptions Maintain ample cash position, well over 2-year worth of bond redemptions Cash position Bond redemption schedule ¥5.1T*¹ 740.9 4,357.0 Undrawn commitment line*2 Sep 2023 V Bond redemptions for the next 2 years (¥1.9T) 1,036.8 889.1 1,210.0 541.9 Oct 2023 Oct 2024 Oct 2026 - Sep 2027 - Sep 2024 - Sep 2025 After 1 year After 2 years After 4 years *1 Cash and cash equivalents + short term investments recorded as current assets + investments in government bonds + undrawn commitment line. SBG stand-alone basis (excl. SB Northstar; however, incl. its cash and cash equivalents). *2 The total size of commitment line is equivalent to ¥704.9B as of Sep 30, 2023, none of which is drawn. (\ B) Oct 2025 - Sep 2026 After 3 years Group Finance 20#24=SoftBank Breakdown and Yield of Cash Position Continuing high-yield operations primarily with US dollar deposits Breakdown of cash position*¹ Average yield*2 for SBG USD deposits, etc. Subsidiaries JPY USD 4.4 0.4 0.6 3.3 Bank deposit MMF (T) Investments in government bonds, etc. 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% 1.4% Q1 FY2022 2.9% Q2 4.5% Q3 4.9% Q4 5.2% Q1 FY2023 5.4% Group Yield US 2-year 5.0% treasury yield US 10-year 4.6% treasury yield Q2 FY2023Q2 = *1 Cash position cash and cash equivalents + short-term investments recorded as current assets + investments in government bonds. SBG stand-alone basis (excl. SB Northstar; however, incl. its cash and cash equivalents) *2 Average of the yield in each quarter Finance 21#25Response to Interest Rate Hike Possess considerable financial flexibility, a result of ample cash position built up through accelerated monetization Ample Cash Position SBG to determine the timing of funding ¥5.1T > ¥1.9T Cash position (equiv. to 5 years worth bond redemptions) * 2-year worth of bond redemptions Various Funding Options Select from various funding methods X ● ● Products Bond Loan Asset-backed finance SoftBank ● Terms Group Interest (Floating-fixed) Currency * Cash and cash equivalents + short term investments recorded as current assets + investments in government bonds + undrawn commitment line. SBG stand-alone basis (excl. SB Northstar; however, incl. its cash and cash equivalents) The total size of commitment line is equivalent to ¥704.9B as of Sep 30, 2023, none of which is drawn. Procure amount Maturity ...etc. Finance 22#26Impact of Rise in Interest Rate: Floating Rate Debt No risk of surge in interest payments amid short-term interest rate rise Fixed/Floating Ratio of SBG Stand-alone Interest-bearing Debt*¹ Floating rate; USD 1 percentage point rise in USD interest rates increases interests by; $0.1B*2 in payment < $0.2B*3 in income 15% 10% Fixed rate 75% SoftBank *1 Interest-bearing debt outstanding at SBG and subsidiaries conducting fund procurement as of Sep 30, 2023 (incl. margin loans and excl. prepaid forward contracts) *2 Estimated increase in interest payment for USD-denominated floating rate debt for 12 months. Outstanding amount as of Sep 2023 is $8.5B (face value). *3 Estimated increase in interest income for USD-denominated floating rate deposits and MMF for 12 months. *4 Includes commercial papers. *5 Estimated increase in interest payment for JPY-denominated floating rate debt for 12 months. Outstanding amount as of Sep 2023 is ¥820.6B (face value). Group Floating rate; JPY*4 ¥8.2B interest payment increase with a 1 percentage point rise in JPY interest rate*5 Finance 23#27Impact of Rise in Interest Rate: Fixed Rate Debt Assuming current interest rate environment remains for 2 years Majority of bonds due within 2 years consist of low-interest domestic bonds *1 Breakdown of Bonds Outstanding *¹ Domestic bonds ¥1.3T USD bonds ¥0.3T EUR bonds ¥0.3T ≤2 years Bonds outstanding ¥6.0T Maturing in >2 years SoftBank *1 Outstanding amount and the number of years to maturity of SBG bonds. As of Sep 30, 2023 For foreign currency bonds, the contracted swap foreign exchange rate is used where applicable. Otherwise, converted at $1=¥ 149.58 and €1=¥158.00. Group Finance 24#28=SoftBank Breakdown by Currency Investment and monetization flows are mainly in dollars, while debt refinancing are principally in the same currency Investments and monetization Cash position: ¥4.4T*1 Subsidiaries EUR JPY 76% USD Equity value of holdings: ¥18.4T*2 Net of asset- backed finance JPY EUR 84% USD Debt composition (Note) As of September 30, 2023. Converted to JPY at $1=¥149.58 and €1=¥158.00 *1 Cash position Cash and cash equivalents + short term investments recorded as current assets + investments in government bonds. SBG stand alone basis (excl. SB Northstar; however, incl. its cash and cash equivalents). = *2 SBG stand-alone equity value of holdings. See Appendix "LTV Calculation: SBG Stand-alone Equity Value of Holdings" for details. *3 SBG stand-alone interest-bearing debt (excl. non-recourse debt) as of Sep 30,2023 Debt*3: ¥6.7T EUR 16% 71% JPY USD Group Finance 25#29Impact of Forex (FY2023H1) Weaker JPY increased NAV and equity FX losses are recorded mainly related to foreign currency-denominated borrowings from group companies On NAV =SoftBank +¥1.9T On accounting Equity +¥1.8T Consolidated net income -¥0.6T Group Finance 26#30=SoftBank Bond Redemption Schedule Bond issuances will be managed with due consideration for cash position and market environment. (\ B) . 399.9 399.9 704.0 FY2023 254.0 450.0 999.0 322.0 177.0 500.0 1,102.1 169.2 405.0 527.9 472.9 FY2026 261.8 211.1 1,554.0 FY2027 302.9 222.0 1,029.1 535.5 FY2028 150.5 FY2024 FY2025 Outstanding balance as of Sep 30, 2023. Excl. bonds repurchased • Prepared on the assumption that hybrid bonds will be redeemed on the first call dates Secondary repurchase in FY2023 Q2 is ¥12.2B equiv.in total. Currency breakdown is $58M in USD (¥7.8B equiv.) and €32M in EUR (¥4.3B equiv.). 385.0 FY2029 Domestic senior bonds Domestic subordinated bonds Domestic hybrid bonds Foreign currency-denominated senior notes. Foreign currency-denominated hybrid notes 195.3 FY2030 195.3 FY2031 67.1 67.1 FY2032 Group FY2033 Finance 27#31Funding and Fund Management Plans in FY2023 Funding: Mainly for refinancing Surplus fund management: Propelling diversification Funding Bond Loan Asset-backed finance Excess cash management =SoftBank The current focus is on refinancing. No plans to be active in funding Group Domestic: ~¥400.0B of bonds to be redeemed in Mar 2024 International: $1.9B equiv. of senior bonds to be redeemed in FY2024 No plans at this moment Annual renewal of commitment line was completed in Q2 Continue to consider diversification of fundraising utilizing ample asset Mainly managed in USD deposits, etc. Deposited across several high-credit financial institutions Continue to work on diversifying excess cash management, including MMF and investments in U.S. government bonds Finance 28#32SBG Stand-alone Interest-bearing Debt*1 Exchange rate effects slightly increased SBG's stand-alone interest- bearing debt (¥ B) SB Northstar 12,065.7 5,400.5 6,665.2 11,250.0 4,901.0 6,349.0 12,691.7 6,329.0 14,083.3 7,442.8 6,362.7 6,640.5 Sep 2022 Dec 2022 Mar 2023 Jun 2023 *1 Includes only interest-bearing debt and lease liabilities to third parties *2 Excludes the impact of foreign currency debts included in "Others" 14,335.8 7,667.8 6,668.0 Sep 2023 Non- recourse to SBG Main changes from June 30, 2023 • Impact of Forex (incl. non-recourse debt) +¥233.1B*² Breakdown (September 30, 2023) SBG borrowings Bank loan Hybrid loan Others Subtotal SBG bonds and CPs Domestic senior bonds Domestic subordinated bonds Domestic hybrid bonds Foreign currency notes CPs Subtotal SBG lease liabilities Subsidiaries' debt Financial liabilites relating to prepaid forward contracts =SoftBank Collar transactions using DT shares Margin loan using SBKK shares Margin loan using Arm shares Others Subtotal Total 325.0 135.0 0 459.9 2,253.8 1,017.9 791.9 1,894.8 183.5 6,141.9 10.0 5,428.31 I 481.6 I 498.1 1,259.8 I 56.1 7,723.9 14,335.8 Group (\ B) Vs, Jun 30 +30.8 +0.2 +30.9 +1.0 +0.5 -15.2 +21.7 -5.5 +2.5 -0.3 +190.1 +0.1 +0.3 +34.5 -5.6 +219.4 +252.5 Finance 29#33SBG Stand-alone Cash Position Maintain ample cash position (¥ B) SB Northstar 3,637.4 76.6 3,560.8 3,173.4 35.6 3,137.8 4,528.4 41.9 4,486.5 5,171.3 29.6 5,141.6* 4,397.6 40.6 4,357.0* Main changes from June 2023 Increase • Proceeds from Arm IPO (+$5.1B) SoftBank Decrease •Bond buyback and early redemption (-¥287.3B equiv.) •Repurchase of Arm shares (-$4.1B) Group Sep 2022 Dec 2022 Mar 2023 Jun 2023 Sep 2023 (Note) Cash position = cash and cash equivalents + short-term investments recorded as current assets (such as investments from asset management subsidiaries) + investments in government bonds. SBG stand-alone basis * From Jun 2023, SBG stand-alone cash position includes cash and cash equivalents of SB Northstar (¥248.3B in Jun 2023 and ¥1,047.1B in Sep 2023, respectively). • Investments by SBG/Others (-$1.1B) •Contribution to SVF2 (-$2.3B) Finance 30#34SBG Stand-alone Net Interest-bearing Debt Adjusted net interest-bearing debt remains at a low level (\ B) 8,504.9 5,549.1 2,955.7 8,112.2 5,030.2 3,082.0 8,205.2 Dec 2022 6,458.2 1,746.9 8,941.6 Mar 2023 7,588.6 1,353.0 9,978.8 Jun 2023 8,034.6 1,944.1 Sep 2022 (Note) •SBG stand-alone cash position excl. SB Northstar; however, incl. its cash and cash equivalents. See Appendix "LTV Calculation: Details of SBG Stand-alone Net Debt" for details. =SoftBank Sep 2023 Finance-related adjustments Asset-backed finance, etc. ¥7,667.8B Hybrid finance ¥366.8B Adjusted SBG stand-alone net debt (used for LTV calculation) Group Finance 31#35=SoftBank Historical Credit Ratings and Financial Condition Strongest financials in history backed by ample assets and low leverage level However, S&P rating is at its lowest in the past 15 years BB FY2005 BBB BB+ LLI NAV SBG Stand-alone Interest Bearing Debt FY2010 (Note) From FY2005 to FY2022, as of the end of each fiscal year Information on NAV and LTV is provided for reference purposes only to illustrate its historical trend and is not intended to guarantee or imply future NAV and LTV. FY2015 || TH LTV FY2020 TA- Group A- Rating (JCR) LBBRating Sep 2023 Finance 32#36There is a gap between the credit rating and creditworthiness Continuing dialogue with credit rating agencies to obtain a fair evaluation Finance 33#37LTV Management Policy Continue to leverage for NAV expansion Continue LTV management with a comfortable buffer, even after resuming investments 25% LTV 14.7% Average LTV over the past four years 0% Sep Dec Mar 2021 2021 2022 Jun 2022 Sep 2022 Dec 2022 Mar Jun 2023 2023 =SoftBank To an appropriate level of leverage 10.6% Sep 2023 Group Finance 34#38Adhering to Financial Policy 1 2 3 =SoftBank Maintain LTV below 25% in normal times (upper threshold of 35% even in times of emergency) Group Maintain at least 2-year worth of bond redemptions in cash Secure recurring distributions and dividend income from SVF and other subsidiaries Finance 35#39Adhering to Financial Policy Our Policy on Supporting Portfolio Companies Portfolio company finances to be self-financing No rescue package SoftBank Group Finance 36#40FY2023 Financial Strategy Adhering to financial policy SoftBank Financial management adaptable to both Defense and Offence Group Finance 37#41Respond to Both Defense and Offence Defense against further downside Invest in the Information Revolution, while maintaining financial stability Maintain LTV below 25% in normal times (LTV = 10.6% as of Sep 30, 2023) =SoftBank Maintain at least 2-year worth of bond redemptions in cash (Cash position = ¥5.1T as of Sep 30, 2023) Group Finance 38#42Capital Allocation STOCK AGREEMENT New 20 by and betwe investments THIS AGREEMENT IS PURCHASE TNESS day of ...... (hereinafter ********* Bey referred to as into this WHEREAS, the Seller is the record outstanding shares of the capital stock of shares of S as the "Corporation"), a capital stock of ned and ter refe corporation, which Corporation has iss par value common stock WHEREAS, the Purchaser desires to purchase said stock and the Se to sell said stock, upon the terms and subject to the conditions here tion of the mutual covenants in order to consur res UNDERVALUED purchase EQUITY Shareholders return* CONTROLS Capital Marke wnership REACO E Financial policy (Financial stability) SEHOLD SoftBank Group Endeavor to strike a balance * The level of NAV discount is also considered Finance 39#43Appendix#44Historical SBG Credit Rating Acquisition of A+ Japan Telecom A A- BBB+ BBB BBB- BB+ BB BB- B+ J I (CY) (Note) As of Nov 9, 2023 Acquisition of Vodafone KK ។ Acquisition of Sprint I I Acquisition of Arm Listing of SBKK I '03 04 05 06 07 08 09 10 11 12 13 14 15 16 17 ¹18 ¹19 ¹20 ¹21 ¹22 ¹23 S&P Downgrade (May 2023) SoftBank JCR(A-) Outlook Stable (since Jan 2023) S&P (BB) Outlook Positive (since Sep 2023) Group Finance 41#45SBG Credit Spread 700 600 500 400 300 200 100 bps Spread of SBG foreign currency- denominated senior notes -USD 1.2Y USD 4.7Y EUR 0.7Y -EUR 5.7Y W to Mily say USD 2.7Y USD 7.7Y -EUR 3.2Y -EUR 8.7Y the www 500 450 400 350 300 250 200 150 100 50 bps 0 Dec 2022 SBG 5-year CDS =SoftBank -SBG 5Y CDS (JPY) سمس Group 0 Dec 2022 Mar 2023 Jun 2023 Sep 2023 Mar 2023 Jun 2023 Sep 2023 (Note) As of Nov 8, 2023. Created by SBG based on Z Spread from Bloomberg for the senior foreign currency denominated bonds issued in Jul 2021, and spread from Capital IQ for CDS. Finance 42#46LTV Trend*1 Controlled within financial discipline 100% 35% (in times of emergency) 25% (in normal times) 18.7% Sep 21 21.6% Dec 21 20.4% Mar 22 14.5% Jun 22 15.0% Sep 22 18.2% Dec 22 11.0% Mar 23 *1 As of the end of each quarter *2 For details, see Appendix "LTV Calculation: SBG Stand-alone Equity Value of Holdings" and "LTV Calculation: SBG Stand-alone Net Debt." 8.0% =SoftBank Net of asset-backed finance Jun 23 Group Sep 23 *2 10.6% Finance 43#47Calculation of Equity Value of Holdings as of Sep 30, 2023 ¥25.7T (unadjusted) $1 = ¥149.58 (¥T) ¥18.4T (adjusted) Deutsche Telekom 0.2 Prepaid Forward Contracts, etc. 5.6 Margin Loans 1.8 Arm 4.3 Alibaba 0.01 SBKK 2.7 SVF1 3.3 SVF2 3.9 LatAm Funds 0.9 T-Mobile 1.3 Others 1.7 Sep 2023 Equity value of holdings Equity value of holdings (adjusted) (unadjusted) ¥4.3T = •¥0.01T- ¥2.7T ¥3.2T ¥3.3T ¥3.9T ¥0.9T ¥1.3T ¥0.2T (Note) See Appendix "LTV Calculation: SBG Stand-alone Equity Value of Holdings" and "LTV Calculation: SBG Stand-alone Net Debt" for details of each calculation. *1 The number of ADSS equivalent to the number of shares held by SBG and the ADS price *2 Payable amount of the consideration for Arm shares acquired from SVF1 (¥1.8T) *3 Includes the number of shares subject to call options held by Deutsche Telekom *4 Fair value of the right of SBG and its subsidiary to acquire T-Mobile shares under certain conditions = = = = = = Payable 923M Share price amount for ¥5.6T shares held*¹¹ $53.52*1 Arm transaction *2 ¥4.6T ¥3.3T ¥3.9T ¥0.9T ¥1.7T ¥0.7T 355M shares held*1 1,915M shares held Equivalent asset value of each fund X 43M shares held*³× 225M shares held Share price $86.74*1 Share price ¥1,690.5 + Performance fees accrued, etc. X X SBG's interest Share price Contingent $140.05 + consider- ration *4 Share price €19.868 SoftBank Adjustment for asset-backed finance Asset-backed finance 200 ¥1.3T Prepaid forward contracts, etc. ¥4.6T Margin loans, etc. ¥0.6T Collar contracts ¥0.4T - ▬▬▬▬▬▬▬ Group Collar transactions ¥0.5T Finance 44#48LTV Calculation: SBG Stand-alone Equity Value of Holdings (L) Adjusted SBG stand-alone net debt =10.6% (V) Adjusted SBG stand-alone equity value of holdings*1 (¥ T) Adjusted SBG stand-alone equity value of holdings 18.35 Alibaba +4.60 SBKK Asset-backed finance -4.60 Asset-backed finance -0.56 Alibaba (adjusted) +0.01 SBKK (adjusted) +2.67 Deutsche Telekom Asset-backed finance Deutsche Telekom (adjusted) +0.71 Major assets 8.51 Arm Payable amount for Arm transaction Arm (pre-adjusted) Asset-backed finance -0.48 +0.23 Arm (adjusted) + +3.24 T-Mobile +7.39 -1.80 +5.59 -1.26 +4.33 ¥1.94T ¥18.35T SBG's interest in SVF1&2 & LatAm Funds 8.12 +1.70 Asset-backed finance -0.43 T-Mobile (adjusted) +1.27 + SVF1 SVF2 LatAm Funds SoftBank Other investments in listed stocks, etc. 1.73 +3.29 +3.89 +0.94 (Note) As of Sep 30, 2023 *1 See Appendix "LTV Calculation: Details of SBG Stand-alone Equity Value of Holdings" for details of adjusted SBG stand-alone equity value of holdings for each asset. Group Finance 45#49LTV Calculation: Details of SBG Stand-alone Equity Value of Holdings (1/2) Assets Alibaba Before adjustment Adjustment for asset-backed finance (b) SBKK Before adjustment Adjustment for asset-backed finance (c) SVF1 (d) SVF2 (e) LatAm Funds (f) Arm Before deduction of payable amount of the consideration for Arm shares and adjustment for asset-backed finance Payable amount of the consideration for Arm shares Before adjustment for asset-backed finance adjustment for asset-backed finance (Note) As of Sep 30, 2023 Value Calculation method 0.01 4.60 ― SoftBank 7.39 Multiplying the number of Arm shares held by SBG by the share price -1.80 5.59 -1.26 Multiplying the number of Alibaba ADSS equivalent to the number of shares held by SBG by the ADS price Sum of the outstanding maturity settlement amounts (calculated by using the company's share price (ADS price) as of Sep 30, 2023) of the prepaid forward contracts (floor contracts, collar contracts, forward contracts, and call spread) using Alibaba shares (¥4,598.5B) -4.60 2.67 3.24 Multiplying the number of SBKK shares held by SBG by the share price -0.56 Equivalent amount of outstanding debt for margin loans using SBKK shares, etc. (¥563.5B) 3.29 SBG's share of the equivalent value of assets held by SVF1+ performance fees accrued, etc. 3.89 SBG's share of the equivalent value of assets held by SVF2, etc. 0.94 SBG's share of the equivalent value of assets held by LatAm Funds + performance fees accrued 4.33 Group Payable amount of the consideration for Arm shares acquired from SVF1 ($12.0B) Multiplying the number of Arm shares held by SBG by the share price - payable amount of the consideration for Arm shares acquired from SVF1 ($12.0B) Equivalent amount of outstanding debt for margin loans using Arm shares held by SBG (¥1,259.8B) (\T) Finance 46#50LTV Calculation: Details of SBG Stand-alone Equity Value of Holdings (2/2) Assets (g) T-Mobile Before adjustment Adjustment for asset-backed finance (h) Deutsche Telekom Before adjustment Adjustment for asset-backed finance (i) Others*1 Adjusted SBG stand-alone equity value of holdings Value Calculation method 1.27 -0.43 0.23 0.71 -0.48 summing - Value of SBG's shareholding (incl. the number of shares subject to call options held by Deutsche Telekom (DT): 1.70 34,971,809 shares as of Sep 30, 2023) × the share price - Fair value of SBG's right to acquire 48,751,557 T-Mobile shares for no additional consideration under certain conditions minus - Balance of derivative financial liabilities related to unexercised call options held by DT - Maturity settlement amount of the prepaid forward contracts (collar contracts) using T-Mobile shares (calculated by using the company's share price) (¥428.0B) 1.73 SoftBank 18.35 Sum of (a) through (i) on Finance pages 46 and 47 Number of DT shares held by SBG x the share price Deducting maturity settlement amounts of collar transactions using DT shares executed in Oct 2021 (¥480.6B) Listed shares: multiplying the number of shares held by SBG by each share price Unlisted shares: fair value (the carrying amount in SBG's balance sheet for those not measured at FVs) of shares, etc. held by SBG SB Northstar: SBG's share of SB Northstar's NAV plus the value of NVIDIA Corporation shares held by SBG multiplied by its share price Group (¥ T) (Note) As of Sep 30, 2023 *1 SB Northstar's cash and cash equivalents and interest-bearing debt, other than margin loans and prime brokerage loans, are treated as net interest-bearing debt of SBG and not included in the calculation of SB Northstar's NAV. There is no balance of margin loans and prime brokerage loans of SB Northstar as of Sep 30, 2023. Finance 47#51LTV Calculation: SBG Stand-alone Net Debt (T) (L) Adjusted SBG stand-alone net debt*1 (V) Adjusted SBG stand-alone equity value of holdings Adjusted SBG stand-alone net debt 1.94 SBKK Arm SVF1 SVF2 +4.54 -0.30 -0.05 +0.51 Consolidated net debt 14.68 LatAm Funds -0.003 Other -0.003 ¥1.94T ¥18.35T =10.6% Net debt at self- financing entities 4.70 SoftBank Other adjustments 8.03 Adjustments for hybrid finance *2 +0.37 Adjustments for asset-backed finance *2 +7.67 (Note) As of Sep 30, 2023 *1 The presented net debt only includes debts to third parties. The presented net interest-bearing debt excludes the amount calculated as deposits for banking business less cash position at PayPay Bank. *2 See Appendix "LTV Calculation: Details of SBG Stand-alone Net Debt" for details. Group Finance 48#52LTV Calculation: Details of SBG Stand-alone Net Debt SBG stand-alone net debt (before adjustment) Adjustment for hybrid finance Adjustments for asset- backed finance Alibaba shares Arm shares T-Mobile shares ● Deutsche Telekom shares SBKK shares Adjusted SBG stand-alone net debt 9.98 (\ T) Consolidated net interest-bearing debt - net interest-bearing debt at self-financing entities*¹ For hybrid bonds and hybrid loans with maturity dates, deduct 50% from interest-bearing debt; as the entire amount is recorded as interest-bearing debt in the consolidated financial statements. -0.37 As for perpetual bonds, add 50% to interest-bearing debt; as the entire amount is recorded as equity in the consolidated financial statements. -7.67 -4.94 -1.26 -0.42 -0.48 -0.56 1.94 (Note) As of Sep 30, 2023 Net interest-bearing debt = Interest-bearing debt - Cash position Cash position =SoftBank Financial liabilities relating to prepaid forward contracts (floor contracts, collar contracts, and forward contracts) using Alibaba shares (¥4,940.4B) Amount equivalent to the outstanding debt balance of the borrowings made through asset- backed finance using Arm shares (¥1,259.8B) Group Financial liabilities relating to prepaid forward contracts (collar contracts) using T-Mobile shares (¥424.2) = cash and cash equivalents + short-term investments recorded as current assets + investments in government bonds Amount equivalent to the outstanding debt balance relating to collar transactions using Deutsche Telekom shares executed in Oct 2021 (¥481.6B) Equivalent amount of debt outstanding for margin loans using SBKK shares, etc. (¥561.8B) *1 Self-financing entities include SB Northstar; however, SB Northstar's cash and cash equivalents and interest-bearing debt, other than margin loans and prime brokerage loans, are treated as SBG stand-alone net interest-bearing debt. There is no balance of margin loans and prime brokerage loans of SB Northstar as of Sep 30, 2023. Finance 49#53Adjustment for Asset-backed Finance in LTV and NAV Calculation Non-recourse asset-backed finance is deducted from debt. Value of assets required for settlement is deducted from assets. Main shares used Nature Amounts deducted from debt Amounts deducted from assets If share price falls Alibaba ● Funding through variable prepaid forward contracts (non-recourse to SBG) ● ● 1 ● Forward/Collar/Put transactions ● *1 Carrying amount on BS Fixed regardless of the share price Estimated settlement amount at maturity based on the quarter-end share price Fluctuates depending on the share price Settlement amount decreases if the share price falls below the floor price Neither additional collateral or prepayment are required ● SBKK, Arm Funding by pledging shares as collateral (non-recourse to SBG) ● 2 Margin loan ● Carrying amount on BS Fixed regardless of the share price Equivalent to the value of assets required for repayment (amount of debts recorded on BS) Additional collateral and/or prepayment is required if the share price falls below a certain level Total repayment amount is fixed (Note) As of Sep 30, 2023 *1 Contracts to buy or sell shares at a pre-agreed price (forward) or a price range (collar/put) at maturity 2 25.7 5.6 1.8 18.4 Asset-backed finance ¥7.3T Equity value of holdings = SoftBank Used for LTV and NAV calculation 10.0 5.9 1.8 1.9 Net debt Group (\ T) Asset-backed finance ¥7.7T Hybrid finance ¥0.4T Finance 50#54=SoftBank Beneficial Ownership of Alibaba Shares Fully monetized Alibaba shares through prepaid forward contracts Beneficial ownership Used for prepaid forward contracts 14.6% Sep 2022 *1 13.5% *2 Dec 2022* 13.7% 13.8% III Mar 2023*3 *4 Jun 2023* 13.9% *1 Calculated based on 21,185,107,544 ordinary shares outstanding as of Jul 15, 2022 which are disclosed in Alibaba's Form 20-F. *2 Calculated based on the number of ordinary shares outstanding as of Sep 30, 2022. *3 Calculated based on 20,680,409,344 ordinary shares outstanding as of Dec 31, 2022. *4 Calculated based on the number of ordinary shares outstanding as of Mar 31, 2023. *5 Calculated based on the number of ordinary shares outstanding as of Jun 30, 2023. *5 Sep 2023* Group Finance 51#55Forward Transaction / Collar Transaction Objective Outline Forward transaction Collar transaction ● ● Non-recourse financing using derivatives =SoftBank Transaction where parties agree to settle at a pre-specified price or price range at a specific date in the future Finance through pledged shares and derivatives referencing them Settlement at maturity is available in cash or in kind, in principle Settlement amount at maturity decreases when share price falls and increases when share price rises Settlement of pledged shares at a pre-agreed forward price Settlement price is fixed regardless of a change in the pledged share price. No upside can be enjoyed from the future share price appreciation Settlement of pledged shares at a pre-agreed price range Settlement is available at a floor price if the share price falls. Upside from the share price appreciation is limited to the cap price Group Finance 52#56Consolidated Interest-bearing Debt/ Cash Position/ Net Interest-bearing Debt Consolidated Interest-bearing Debt*¹ SBG stand-alone Incl. SB Northstar SVF1&2 and LatAm Funds SoftBank Segment Others (Arm, etc.) Total *2 Cosolidated Cash Position* SBG stand-alone Incl. SB Northstar SVF1&2 and LatAm Funds SoftBank Segment Others (Arm, etc.) Total Consolidated Net Interest-bearing Debt*³ SBG stand-alone Incl. SB Northstar SVF1&2 and LatAm Funds SoftBank Segment Others (Arm, etc.) Total Sep 2022 Sep 2022 Sep 2022 12,065.7 1,481.1 6,135.0 178.2 19,860.0 3,637.4 76.6 50.2 1,392.5 647.8 5,727.9 8,428.3 -76.6 1,431.0 4,742.5 -469.6 14,132.1 Dec 2022 Dec 2022 Dec 2022 11,250.0 1,319.9 6,209.6 165.2 18,944.8 3,173.4 35.6 102.6 1,825.4 366.1 5,467.5 8,076.6 -35.6 1,217.4 4,384.2 -200.9 13,477.3 Mar 2023 Mar 2023 Mar 2023 12,691.7 1,322.7 6,134.7 166.1 20,315.2 4,528.4 41.9 112.0 1,702.2 383.0 6,725.5 8,163.3 -41.9 1,210.7 4,432.5 -216.8 13,589.7 Jun 2023 Jun 2023 Jun 2023 14,083.3 1,419.9 6,240.6 164.6 21,908.5 5,171.3 29.6 112.9 1,534.8 388.8 7,207.7 8,912.0 -29.6 1,307.0 4,705.8 -224.1 14,700.7 SoftBank Sep 2023 Sep 2023 Sep 2023 Group (\B) 14,335.8 542.2 6,326.0 189.8 21,393.7 (¥ B) 4,397.6 40.6 79.6 1,783.3 451.0 6,711.5 (\ B) 9,938.1 -40.6 462.6 4,542.7 -261.2 14,682.2 *1 The presented interest-bearing debt only includes interest-bearing debt and lease liabilities to third parties, and excludes deposits for banking business at PayPay Bank. *2 The presented cash position is the sum of cash and cash equivalents and short-term investments recorded as current assets, and excludes cash position at PayPay Bank. Incl. SB Northstar's cash and cash equivalents in SBG stand-alone cash position. From Sep 2023, incl. government bonds. Finance 53 *3 The presented net interest-bearing debt excludes the amount calculated as deposits for banking business less cash position at PayPay Bank. Negative figures indicate net cash.