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Fast Retailing Reports Record Q3 Performance with 31.2% Profit Increase

UNIQLO Drives Revenue Growth in North America, Europe, and Southeast Asia
Japan
f 9983.TSE Blue Chip 150 OM 60
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Fast Retailing Co., Ltd., the parent company of UNIQLO, announced a significant increase in revenue and profit for the third quarter of fiscal year 2024. The company’s consolidated revenue for the nine months ending May 2024 reached ¥2.3665 trillion, up 10.4% year-on-year, while operating profit surged by 21.5% to ¥401.8 billion. Profit attributable to owners of the parent rose by 31.2% to ¥312.8 billion.

UNIQLO Japan reported a robust performance with a 10.4% increase in revenue to ¥236.9 billion and a 56.9% rise in operating profit to ¥50.5 billion for the quarter. Same-store sales grew by 9.0%, driven by strong demand for summer products like T-shirts and Bra Tops, along with a strategic reduction in discounting.

UNIQLO International also showed strong gains, with revenue increasing by 19.4% to ¥408.8 billion and operating profit rising by 15.6% to ¥71.0 billion. The growth was fueled by strong performances in North America, Europe, and Southeast Asia. However, the Greater China region saw a decline in revenue and profit due to a slowdown in consumer demand and unseasonal weather.

The GU segment, known for capturing global mass fashion trends, saw a revenue increase of 5.4% to ¥86.8 billion and a 10.9% rise in operating profit to ¥14.1 billion for the quarter. This growth highlights the brand’s potential for further international expansion.

Conversely, the Global Brands segment faced challenges, with a 5.1% decline in revenue to ¥34.3 billion and a 29.6% drop in business profit to ¥1.2 billion. Despite restructuring efforts that improved cost structures for PLST and Comptoir des Cotonniers, overall performance was hindered by insufficient control of expenses in the Theory operation.

Fast Retailing has revised its full-year forecast upward, now expecting consolidated revenue of ¥3.07 trillion (+11.0%), operating profit of ¥475.0 billion (+24.6%), and profit attributable to owners of the parent of ¥365.0 billion (+23.2%). The company plans to increase the annual dividend by ¥110 to ¥400 per share.

This record performance is attributed to strong global demand for UNIQLO products and strategic expansions in key international markets, reinforcing Fast Retailing’s position as a leading global retail player.

 

 

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