The company raised its full-year profit forecast to 475 billion yen from 450 billion yen
Japan’s Fast Retailing, the owner of clothing brand Uniqlo, said on Thursday (Jul 11) its third-quarter operating profit surged 29 per cent, buoyed by strong sales at home.
Profit rose to 144.7 billion yen (S$1.2 billion) in the three months to May 31 from 112.5 billion yen in the year-earlier period. The consensus forecast was for earnings of 127.1 billion yen, based on a LSEG poll of six analysts.
The company raised its full-year profit forecast to 475 billion yen from 450 billion yen.
Uniqlo is renowned for its quality, affordable basics, and Fast Retailing is benefiting from a slide in the yen to a 38-year low that has boosted the value of its overseas sales.
The company is plotting an aggressive growth trajectory in Greater China, North America and Europe, taking advantage of a post-pandemic shift among many consumers for value over luxury.
With more than 900 stores in mainland China, Fast Retailing is a bellwether for global retailers operating in the world’s second-biggest economy.
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Through the nine-month period, operations in Greater China saw a decline in revenue and a large drop in profit, due in part to strong performance the previous year and a general slowdown in consumer appetite, the company said.
Fast Retailing shares have risen about 26 per cent so far this year, about even with the advance in the benchmark Nikkei gauge. REUTERS
