Fast Retailing Shares Jump After Earnings Beat Expectations
By Ronnie Harui
Fast Retailing's shares rose sharply on Friday after the Uniqlo owner reported stronger-than-expected annual results, driven by solid performances as its Japan and international units.
The stock was recently 6.3% higher at Y51,350.00 after climbing as much as 8.1% to Y52,190 yen, its highest intraday level since Jan. 9, 2025.
"The results underscored the firm's strong, stable earnings and operational know-how, so this should ease investors' jitters," said SMBC Nikko Securities' analyst Kuni Kanamori in a research note.
Uniqlo Japan's gross profit margin narrowed only slightly to 50.7% for the fiscal year ended August from 50.8% a year earlier. In North America, business profit margin widened by 1.2 percentage points to 16.3%, even as U.S. tariffs began to take effect.
While the market had been concerned about margin pressure at Uniqlo Japan and the potential impact of U.S. tariffs, the latest results showed positive signs, Kanamori said. Fast Retailing's guidance should also help dispel these concerns, he added.
For the current fiscal year that began in September, Fast Retailing projected revenue to rise 10% to Y3.750 trillion, operating profit to grow 8.1% to Y610.00 billion and net profit to edge up 0.5% to Y435.00 billion.
Write to Ronnie Harui at ronnie.harui@wsj.com
(END) Dow Jones Newswires
October 10, 2025 00:54 ET (04:54 GMT)
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