Fast Retailing posts increase in H1 revenue and profit

The Fast Retailing Group reported consolidated revenue totaling 1.4673 trillion yen, up 20.4 percent and operating profit rising to 220.2 billion yen, up 16.4 percent for the six month period.

The company said in a statement that Uniqlo operations in Southeast Asia, North America, and Europe regions along with GU operation reported particularly strong rises in revenue and profit in the first half. Fast Retailing’s consolidated gross profit margin declined by 1.1 points to 50.5 percent.

The company’s first-half pre-tax profit rose to 230.4 billion yen, up 8.4 percent and profit attributable to owners of the parent increased to 153.3 billion yen, up 4.5 percent.

Fast Retailing posts rise in Uniqlo Japan revenues but profit drops

Uniqlo Japan reported first-half revenue of 495.1 billion yen, up 11.9 percent and operating profit of 67.3 billion yen, down 1.6 percent due to sharp depreciation in the Japanese yen during the six-month period. First-half same-store sales increased by 10 percent.

The strong revenue performance was, the company added, due to firm sales of fall winter items and thermal winter products such as Heattech innerwear. Strong sales of spring items, such as our wide-fit pleated pants, as well as AirSense jackets, AirSense pants and shirts.

Uniqlo International reported revenue increase to 755.2 billion yen, up 27.3 percent and operating profit expansion to 122.6 billion yen, up 22.2 percent.

The company saw large increases in both revenue and profit at Uniqlo operations in Southeast Asia, India & Australia, North America, and Europe (excluding Russia). Breaking down the UNIQLO International performance into individual regions and markets (in local-currency terms), the Greater China region reported a dip in revenue and a sharp fall in profits in the first half due to a large decline in revenue and profit in the Mainland China market caused by the heavy impact of Covid-19 in the first quarter. However, sales did start to recover in January, resulting in a slight decline in second-quarter revenue and a sharp increase in second-quarter profit.

Fast Retailing reports increase in revenue and profit at GU

The GU business segment reported l18.5 percent revenue increase to 145.5 billion yen and operating profit of 13 billion yen, up 39.2 percent. Sales of heat padded outerwear, super wide cargo pants, and baggy slacks proved strong.

Global Brands segment revenues rose to 70.2 billion, up 19.1 percent but operating profit contracted to 0.1 billion yen, down 85.3 percent year-on-year. While the Theory brand generated much higher revenue, it also reported a decline in first-half profit due to a decline in the gross profit margin at Theory’s United States operation as well as a fall in profits from Theory’s Asian operation, which is concentrated primarily in Greater China. Theory Japan, however, reported a large rise in both revenue and profit as department-store customer visits recovered.

Meanwhile, PLST brand generated slightly higher revenue and a marginally smaller loss, and France-based Comptoir des Cotonniers brand reported a decline in revenue and a slightly higher operating loss over the six-month period.