Uniqlo, one of the esteemed brands of Fast Retailing, has seen a drop of 39.4 per cent in its pre-tax profits to register 153 billion yen in the year ended 31 August 2020.
This was announced by Fast Retailing yesterday (15 October).
The financial year saw the fast fashion retailer record an operating profit of 149 billion yen, which is still more than what analysts and market consensus had predicted (137 billion yen).
Notably, the revenue slumped by 12.3 per cent to touch 2.008 trillion yen – all thanks to the menacing effects of the pandemic.
However, the parent company of Uniqlo has said that it expects to make a fast and grand comeback very soon.
Fast Retailing has predicted that by 2021, it expects to see a jump of 64 per cent in its profits and with markets open in China and Japan and people resuming shopping, the retailer seems to be moving on the right track.
The domestic same-store sales too saw a rise of 10 per cent for the year just ended – majorly owing to the surge in the sale of leisurewear apparels and reusable Airism masks.
However, Uniqlo’s aspiration of being the numero uno clothing retailer in the world will also depend a lot on what all products – and how much easily – it can offer to its consumers who have still not fully come out of pandemic scare.
Let’s wait and watch!