Uniqlo boosts Fast Retailing 9-month profit
- 9-month profit jumps 52.2% to JPY140bn
- Revenue grows 23.9% JPY1.35bn
- All three divisions report gains
Fast Retailing's net profit was boosted by higher International Uniqlo sales
Net profit reached JPY140bn (US$1.15bn) during the period ending 31 May, compared to JPY91.98bn in the same period of the prior year. The company said this was due largely to the depreciation of the Japanese yen, which boosted the carrying amount of foreign-currency denominated assets.
Revenue increased 23.9% year-on-year to JPY1.35bn from JPY1.09bn last year, driven by gains at all three of its divisions.
Uniqlo International revenue was in line with expectations – growing by 47% to JPY481.8bn, with Greater China and South Korea beating estimates.
Uniqlo Japan saw revenue rise 12.1% to JPY638.1bn, with same store sales rising 8.8%, largely attributable to firm sales of core autumn/winter ranges such as Heattech and Ultra Light Down, followed by strong sales of spring/summer ranges such as bottom wear and AIRism innerwear.
Fast Retailing's Global Brands division saw revenues jump 19.6% to JPY225.9bn, with its low-priced GU casual wear brand exceeding expectations by reporting "significant" increases in revenue and profit.
However, the group's Theory fashion label fell short of targets, reporting a contraction in profits on the back of the continued slump in the US luxury market.
Comptoir des Cotonniers and Princesse tam.tam posted flat year-on-year performances, while J Brand saw persistent operating losses, despite a rise in revenue.
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