Fast Retailing Co Ltd has set up a joint venture with SM Retail Inc to expand its Uniqlo casual clothing chain in The Philippines.

SM Retail currently operates department stores, supermarkets, and hypermarkets in the Philippines, and is part of SM Investments Corporation, one of the country's largest conglomerates.

The move comes as Fast Retailing separately said it planned to open a number of new stores across Asia in fiscal 2012, after sales and profit declines in Japan contributed to a double-digit fall in full-year net profit.