Uniqlo's Parent Company Reports Record Annual Profits of $2.56 Billion USD
Marking a 28% increase from last year’s figure, due to the Chinese market’s post-pandemic recovery.
Japanese fashion conglomerate Fast Retailing reported record annual profits on Thursday, according to Business of Fashion. The parent company, which owns Uniqlo, GU, Theory and Helmut Lang, among several other brands, earned a 28% increase in sales to reach its second-consecutive record of ¥381.1 billion JPY ($2.56 billion USD) in the year ending in August.
Notably, the company’s report surpassed the consensus estimate of ¥374.6 billion JPY, which was averaged from the expectations of 12 analysts via LSEG. The full-year report comes after the company’s third-quarter earnings in July, which saw the conglomerate’s annual forecast increase as its business in China continued to see post-pandemic recovery.
Fast Retailing’s operating profits are expected to continue increasing throughout the next fiscal year to reach a third record of ¥450 billion JPY, per the company. While its business in China continues to rise, the company has adopted a strong growth plan for the North American market, which includes the regional appointment of Uniqlo president Daisuke Tsukagoshi and a stronger focus on the market internally.
Additionally, the company has benefited from the depreciation of the yen, which is presently valued at 12% lower than the U.S. dollar. Thus, Fast Retailing’s international sales earned an increased value.
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