Results come after SoftBank launched an aggressive plan to sell up to $41 billion in assets to finance a stock buy-back TOKYO: SoftBank Group on Tuesday reported a $12 billion quarterly net profit to June, recovering from eye-watering losses as tech stocks rally and the firm sheds assets to shore up its finances. The results will be a relief for chief Masayoshi Son, who has faced an increasing drumbeat of criticism after recent record losses for the firm. Son transformed what began as a telecoms company into an investment and tech behemoth with stakes in some of Silicon Valley’s hottest start-ups through its $100 billion Vision Fund. But he has battled opposition to his strategy of pouring money into start-ups — including troubled office-sharing firm WeWork — which some analysts say are overvalued and lack clear profit models. The 11.9 percent rise in net profit to $12 billion puts SoftBank back in the black after a turbulent financial year that saw its investment woes magnified by the coronavirus pandemic and plunges in global stock markets. Son has insisted that his strategy is sound, and that SoftBank’s portfolio is broad enough to weather the storm, but acknowledged the challenges when the firm reported an eye-watering $8.9 billion annual net loss in May, hit by the WeWork debacle and stock crashes. The results come after SoftBank launched an aggressive plan to sell up to $41 billion in assets to finance a stock buy-back, after Son said shares were undervalued. The fundraising was also intended to reduce the firm’s debts and increase cash reserves. Paired with the recent recovery in tech stock prices, the strategy appears to be paying off, analysts said. But it warned that the pandemic continued to cause uncertainty, bolstering its investments in e-commerce and food delivery firms, but hammering those in the hotel and hospitality sectors. It said it would not offer a forecast “due to numerous uncertainties affecting earnings.” Son has struggled to interest investors in a second round of the Vision Fund as he deals with the woes of some of his most high-profile investments, notably WeWork. Once hailed as a dazzling unicorn valued at $47 billion, the office-sharing start-up has suffered a stunning fall from grace. Son stood by his investment, even upping his stake, but things began to unravel last year as WeWork haemorrhaged cash and canceled its share offering, with founder Adam Neumann pushed out. SoftBank this year scrapped a plan to buy up to $3 billion WeWork shares as part of a restructuring program, and the start-up is now suing for alleged breach of contract.