UNIQLO Owner Expects 50% Drop in Profit This Financial Year

But recover in Japan and China is faster than expected.

By
Fashion 
7,276 Hypes 1 Comments

Fast Retailing Co. — the owner of Japanese apparel retailer UNIQLO — has now readjusted its financial projections for the rest of the year, lowering its profit outlook as a result of the ongoing coronavirus pandemic.

More specifically, the company now expects an annual operating profit of ¥130 billion JPY, roughly equating to $1.21 billion USD. This marks a 50 percent reduction, as compared to the lesser 44 percent drop previously predicted, which altered due to an operating loss of ¥4 billion JPY ($37,400 USD) in the period between March and May.

Despite these projections, Fast Retailing Co. remains confident as it reports a strong rebound in domestic sales for the month of June in Japan as well as a faster-than-expected recovery in the Chinese market. UNIQLO’s domestic sales — which include online purchases — rose by an impressive 26 percent last month compared to a year earlier, an impressive feat by the retailer following a 57 percent decrease in April followed by being 18 percent down in May. In light of these two recovering markets, the company says it will continue to open more stores globally.

In other business-related news, Brooks Brothers have now secured an interest-free loan of $80 million USD.

Read Full Article

What to Read Next

Uniqlo's Owner Fast Retailing Takes Home Highest Market Cap in Fashion Retail Industry
Fashion 

Uniqlo's Owner Fast Retailing Takes Home Highest Market Cap in Fashion Retail Industry

Surpassing Zara’s parent company Inditex for the first time.

UNIQLO Parent Fast Retailing Reports Minimal Q1 2021 Sales Dip
Fashion 

UNIQLO Parent Fast Retailing Reports Minimal Q1 2021 Sales Dip

Despite the ongoing COVID-19 pandemic, the fast-fashion retailer is weathering the storm.

Volkswagen Brings in $10.7 Billion USD in Profits Over 2020 Despite 37% Decline Compared to Year Before
Automotive 

Volkswagen Brings in $10.7 Billion USD in Profits Over 2020 Despite 37% Decline Compared to Year Before

China was its single largest market last year.


These Are the 50 Best Restaurants in Asia This Year
Food & Beverage

These Are the 50 Best Restaurants in Asia This Year

Find out which establishments took top spot honors.

OMEGA Expands on the Constellation With a Gents Collection
Watches

OMEGA Expands on the Constellation With a Gents Collection

Featuring all-new 41mm cases in stainless steel or 18K gold.

EA Reveals Cover Stars and First Trailer for 'UFC 4'
Gaming

EA Reveals Cover Stars and First Trailer for 'UFC 4'

Arriving to PlayStation 4 and Xbox One in August.

Nordstrom Suffers Net Loss of $521 Million USD in Q1 2020
Fashion 

Nordstrom Suffers Net Loss of $521 Million USD in Q1 2020

Now hoping to cut its rent payments in half.


Here Are the Results for UFC's First "Fight Island" Event
Sports

Here Are the Results for UFC's First "Fight Island" Event

UFC 251 saw three title events.

Ubisoft's Chief Creative Officer Serge Hascoët Resigns Following Sexual Misconduct Allegations
Gaming

Ubisoft's Chief Creative Officer Serge Hascoët Resigns Following Sexual Misconduct Allegations

Along with more executives.

Audemars Piguet Brings Smoked Lacquered Dials to Its Code 11.59
Watches

Audemars Piguet Brings Smoked Lacquered Dials to Its Code 11.59

Adding 10 new options to the collection.

More ▾
 
Subscribe to our Newsletter

Gain access to exclusive interviews with industry creatives, think pieces, trend forecasts, guides and more.

By subscribing, you agree to our Terms of Use and Privacy Policy.

Adblock Detected.

We charge advertisers instead of our readers. If you enjoy our content, please add us to your adblocker's whitelist. We'd really appreciated it.