Companies

Uniqlo owner posts robust first half

Apr 12, 2024 Japan

The Japan-based Fast Retailing has reported a “record” first half revenue of 1.60 trillion yen (9.77 billion euros), up by 9.0% year-on-year, mainly due to a strong performance from Uniqlo overseas

In the first half of financial 2024, the company’s consolidated revenue reached 1.60 trillion yen (9.77 billion euros), an increase of 9.0% as compared to the same period of the previous year, due to strong performances from Uniqlo in North America, Europe, and Southeast Asia, as well as GU. This resulted in an operating profit growth of 16.7% year-over-year to 257.0 billion yen (1.56 billion euros).

The Uniqlo Japan division was the weakest performer in the period. In the six months to January 2023, its revenue totalled 485.1 billion yen (2.96 billion euros), down by 2.0% on the same period last year. “First-half same-store sales declined by 3.4% year-on-year”, “due to warmer-than-usual temperatures that stifled demand for Fall Winter ranges at the beginning of the season in September, October and then again during the bumper sales period of December”.

On the other hand, the Uniqlo international division reported a first half revenue increase of 17.0% to 883.9 billion yen (5.39 billion euros), as compared to a similar period of last fiscal year. Fast Retailing highlighted “significant revenue and profits gains on the back of a continued expansion in new customer bases” in North America and Europe, as well as Southeast Asia, India, Australia and South Korea.

Finally, between August 2023 and January 2024, the GU division’s revenue amounted to 159.5 billion yen (973.7 million euros), an increase of 9.6% year-on-year, while the global brands division saw its revenue decrease by 1.2% year-on-year to 69.4 billion yen (423.7 million euros).

In the end, Fast Retailing also recorded a “sharp jump” of 27.7% in profit attributable to the owners in the first six months of the current fiscal year, reaching 195.9 billion yen (1.19 billion euros), on a comparable basis to a similar period of financial 2023.

Full Year Outlook

For fiscal 2024, the Japan-based company expects to achieve a consolidated revenue of 3.03 trillion yen (18.5 billion euros), up by 9.5%, a consolidated operating profit of 450.0 billion yen (2.75 billion euros), up by 18.1%, and a profit attributable to the owners of 320.0 billion yen (1.95 billion euros), up by 8.0%, as compared to the last fiscal year.

1 JPY = 0,0061 EUR

Image Credits: retailinasia.com

Japan Fashion Fast Retailing Quarter Results Results