After today's market close, Fast Retailing <9983> announced an upward revision to its consolidated earnings guidance for the fiscal year ending August 2026. The company raised its revenue forecast from \3.80 trillion to \3.90 trillion (up 14.7% YoY), operating profit from \650 billion to \700 billion (up 24.1% YoY), and net profit from \450 billion to \480 billion (up 10.9% YoY). The company also increased its annual dividend forecast from \540 to \640 per share (comprising a \320 interim and \320 year-end dividend), up from \500 in the previous fiscal year.

These revisions were driven by the robust performance of the Uniqlo business both in Japan and overseas, alongside a reassessment of second-half projections based on current sales trends. The company also adjusted its assumed exchange rates to reflect the ongoing depreciation of the yen. Regarding the situation in the Middle East, Fast Retailing stated that while it has factored in anticipated impacts, such as higher freight costs in certain regions, there will be no material impact on production or logistics for the current fiscal year. Manufacturing is already underway, and alternative transportation measures have been implemented.

For the first half ended February, the company reported revenue of \2.05 trillion (up 14.8% YoY), operating profit of \400.66 billion (up 31.7% YoY), and net profit of \279.29 billion (up 19.6% YoY). The company achieved record-breaking sales growth, driven primarily by its domestic and international Uniqlo operations. This success stems from reducing its reliance on winter apparel and establishing innovative, year-round core products that offer new value to customers. Furthermore, the GU segment delivered significant profit growth following successful structural business reforms.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.