TOKYO — Japanese e-commerce giant Rakuten’s Chairman and CEO Hiroshi Mikitani on Friday vowed to continue its battle in the mobile telecommunications market after heavy upfront investments pushed the company to a record loss.

Rakuten’s net loss of 114.20 billion yen ($1.1 billion) for the year ended December widened from the previous year’s 31.9 billion yen loss and was bigger than analysts’ forecast of 94.5 billion yen, according to S&P Capital IQ.

Revenue grew 15% from the year before to a record 1.46 trillion yen, thanks to strong growth in its e-commerce and financial services units, which span credit cards and banking.

The mobile unit, which launched a national mobile network last April to take on the three incumbents, posted a $2.1 billion loss, which wiped out profits from Rakuten’s other units. The company said it expects mobile losses to widen in 2021 before decreasing next year.

Source: Japan’s Rakuten vows to stay in mobile battle after record loss – Nikkei Asia