Rakuten Mobile highlighted accelerated subscriber uptake in Q2 as the catalyst to topline growth and continued reductions in its operating losses, which narrowed by JPY19.4 billion ($131.9 million) year-on-year.

Mickey Mikitani, Rakuten Group chair and CEO (pictured), argued in a statement improved network quality and the simplicity of its unlimited mobile offering were key to fuelling subscriber growth. He added the group’s ecosystem is also a key factor through cross- and up-selling opportunities, along with advertising.

He noted although it is still in the investment phase to acquire new subscribers, its pre-marketing cashflow turned positive.

Revenue grew 29.9 per cent to JPY67.9 billion, aided by a 44.2 per cent increase in subscribers to 6.9 million.

Data ARPU was flat at JPY1,704.

Mikitani stated net additions of 610,000 were its highest ever in a quarter.

It added 500,000 users in Q1 and hit 7.7 million as of early August.

Non-GAAP operating losses fell to JPY59.5 billion from JPY79 billion.  

H1 capex fell by more than half to JPY46 billion. The outlay for the full year is forecast to come in under JPY100 billion, down from JPY167 billion in 2023.

The chair pointed out a deal yesterday (8 August) to sell part of its network to a consortium of investors to raise between JPY150 billion and JPY300 billion tremendously improves the financial situation by allowing it to reduce interest baring debt.

Rakuten Symphony sales dropped 18 per cent to $85 billion.