Skip to main content
BoF Logo

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.

Uniqlo Sales in Japan Rise Most in Four Years

Uniqlo flagship in Tokyo | Source: Courtesy
By
  • Bloomberg

TOKYO, Japan — Fast Retailing Co.'s Uniqlo brand reported its biggest sales gain in almost four years in Japan as Asia's largest clothing retailer benefited from strong demand for summer apparel.

Same-store sales at Uniqlo Japan outlets rose 29 percent in August as high temperatures drove up sales of summer clothes, Fast Retailing said in a statement to the Tokyo Stock Exchange today. That’s the biggest increase since October 2009, when monthly sales gained 36 percent, according to data on the retailer’s website.

Fast Retailing, led by billionaire Tadashi Yanai, has opened new stores in locations such as Tokyo's Ginza shopping district under a plan to revamp the Uniqlo brand's utilitarian image at home. The retailer is expanding outside its home market as it targets sales of 5 trillion yen ($50 billion) by 2020.

The retailer, based at Yamaguchi, Japan, has also been increasing discounts in Japan to appeal to price sensitive consumers at home. Operating profit at its domestic Uniqlo business dropped 5.4 percent in the third quarter ended May amid discounting and increased marketing investments.

ADVERTISEMENT

The company in July reported third-quarter net income rose 56 percent to 23 billion yen, aided by a weaker yen. The Japanese currency has dropped almost 13 percent against the dollar this year.

Yanai, Japan’s richest man, is ranked 48th in Bloomberg Billionaires Index with an estimated net worth of $16.2 billion. Fast Retailing shares have risen 56 percent this year, compared with a 34 percent rise for the broader Topix index.

The apparel maker had a total of 2,327 stores globally as of February, with 847 Uniqlo stores in Japan and 359 outlets overseas, according to its website. It got about 77 percent of its revenue from Japan in the year ended August.

By: Yuki Yamaguchi; Editors: Anjali Cordeiro, Subramaniam Sharma

© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions

More from News & Analysis
Fashion News, Analysis and Business Intelligence from the leading digital authority on the global fashion industry.
view more

Subscribe to the BoF Daily Digest

The essential daily round-up of fashion news, analysis, and breaking news alerts.

The Business of Fashion

Agenda-setting intelligence, analysis and advice for the global fashion community.
CONNECT WITH US ON
BoF Professional - How to Turn Data Into Meaningful Customer Connections
© 2024 The Business of Fashion. All rights reserved. For more information read our Terms & Conditions, Privacy Policy, Cookie Policy and Accessibility Statement.
BoF Professional - How to Turn Data Into Meaningful Customer Connections