What's going on?

Japanese conglomerate SoftBank reported its first quarterly profit in nearly a year on Friday, but the result papered over some deeper issues.

What does this mean?

Firms and folk alike saw their investment portfolios take a pummeling last quarter, and SoftBank�s Vision Fund business � which oversees the world�s biggest tech-focused investment funds � was no exception. In fact, the Japanese firm admitted nearly $10 billion in investment losses last quarter, after being burned by tear-inducing stock dips from the likes of DoorDash, Chinese AI firm SenseTime, and Indonesian e-commerce company GoTo. But SoftBank had an ace up its sleeve: the firm auctioned off a big chunk of its stake in Alibaba, which brought in enough cash to turn a $20-billion profit � that�s a pretty nifty cheat code, and it prompted a quick turnaround from its record loss the quarter before.

Why should I care?

For markets: ARM�s dealer.
Scratch the Alibaba sale from the ledger, and you�ll find that last quarter was another tough one for SoftBank. That might be why the firm�s doubling down on plans to polish up chip designer ARM and take it public next year. See, after a deal to sell the firm fell apart earlier this year, SoftBank�s determined to make a success of this latest gambit � so much so that SoftBank�s founder announced he�s soon going to focus solely on the project.

The bigger picture: Private browsing.
SoftBank�s been using some of that sweet Alibaba cash to fund share buybacks, which have helped push its share price up 40% since the start of this quarter. In fact, the speed of the buybacks has sparked rumors that the founder might be leading a management buyout of the firm. That could be a savvy move too: taking the firm private would let SoftBank sidestep the limelight and focus all its energies on boosting performance.