Fast Retailing (UniQlo)
Fast Retailing Co (Uniqlo) Case Updated
JMR has just issued an update to its Fast Retailing Co. Ltd. (Uniqlo) case available
here (in Japanese) for subscribers to the Japanese site.
Fast Retailing, the parent company of Japan's hot retailer Uniqlo, reported its consolidated 8/2009 financial data including activities for all its domestic and overseas subsidiaries. Sales were strong (up 6.8% YoY) at Yen 685 billion, operating profits of Yen 108.6 billion (rising 24.2% YoY) and recurring profit added on 18.2% compared to prior year coming in at Yen 101.3 billion. This is another case of a well-managed Japanese company turning in rising sales and profits despite the overall economic gloom here (see the JMR article about the winners-losers effect
here.
Of consolidated domestic sales (which grew 16.4% YoY and totaled Yen 685 billion) some 80% came from Japan based sales. Popular Uniqlo products for the year included its line of super-thin "heat-tech" shirts and underwear as well as a new "bra top" featuring a hybrid bra and a tank top design. This was supported by vigorous sales promotions and reinforcement of the women clothing line up. The introduction of the "heat-tech" product line in winter 2008, resulted in domestic unit sales of 27 million. The launch of the"bra top" garments in summer 2009 led to unit sales of 9 million, three times the amount sold in prior year.
Uniqlo can be expected to continue its strategy to increase the sales areas of its Japan stores to about 1700 ㎡per store while continuously shuttering smaller shops. With its already establishes 21 large-area stores, the company aims for an increase in sales of about 20%.
Sample of page 1 of the case
(click picture to enlarge)
