Fast Retailing Co., Ltd. has delivered its strongest-ever performance for the first nine months of fiscal 2026, prompting the Japanese apparel giant to raise its full-year earnings guidance. The improved outlook follows robust demand across global markets, solid same-store sales, and continued international store expansion led by its UNIQLO business.
The Fast Retailing FY26 forecast was upgraded after the company posted strong financial results for the nine-month period ending May 31, 2026. Consolidated revenue climbed 17.1% year on year to ¥3.0651 trillion (approximately US$18.97 billion), while business profit surged 33.6% to ¥592.7 billion (US$3.67 billion). Net profit attributable to shareholders also increased 25.6%, reaching ¥426 billion.
UNIQLO Continues Global Expansion
UNIQLO remained the group’s primary growth driver, recording higher sales and profitability across every major region during the March-to-May quarter. The company attributed the strong performance to effective brand-building initiatives, successful product launches, and an expanding global retail network.
The international UNIQLO division generated ¥1.834 trillion in revenue during the first nine months, representing growth of 25.9%, while business profit jumped 45.4% to ¥345.3 billion.
Third-quarter performance was even stronger, with revenue increasing 33.8% to ¥592.6 billion and business profit rising 65.2% to ¥112.3 billion, supported by improved operating margins.
Demand remained healthy across several international markets. China continued to deliver higher revenue and double-digit profit growth, while South Korea, Southeast Asia, India, Australia, North America, and Europe all achieved double-digit increases in both sales and earnings. Seasonal collections, targeted marketing campaigns, and expansion of flagship and large-format stores contributed to the positive results.
During the quarter, the company strengthened its international presence by opening six additional stores in North America, including a flagship location in Chicago alongside major stores in New York and Boston. European expansion also continued with new outlets in Bristol and Utrecht, while Seoul’s Myeongdong district welcomed a new global flagship store.
Strong Results for UNIQLO Japan and GU
UNIQLO Japan also recorded solid growth during the reporting period. Revenue reached ¥867.6 billion, an increase of 8.3%, while business profit rose 15.1% to ¥172.9 billion.
Third-quarter sales increased 10% as same-store sales climbed 9.9%, driven by strong demand for bottoms, Easy Pants, and UV Protection Parkas. Quarterly business profit advanced 18.3% to ¥62.2 billion.
Value fashion retailer GU also improved its financial performance. Nine-month revenue rose 3.7% to ¥265.6 billion, while business profit increased 28% to ¥32.1 billion. During the third quarter, revenue expanded 7.5%, and business profit surged 36.7%, supported by successful trend-focused merchandise and greater operating efficiency.
Global Brands Face Ongoing Challenges
The company’s Global Brands division delivered mixed results. Although third-quarter revenue increased 2.5% and business profit rose 48.3%, revenue measured in local currencies declined by roughly 4%, mainly because of weaker trading conditions at Theory.
Across the first nine months, revenue for the segment fell 4.2% to ¥96.3 billion, while business profit declined 33.4% to ¥1.9 billion. Fast Retailing attributed the weaker performance to restructuring efforts at Theory and continued rationalisation of the Comptoir des Cotonniers and Princesse tam.tam retail networks.
Higher Expectations for FY26
Reflecting stronger-than-anticipated business performance, the Fast Retailing FY26 forecast has been revised upward. The company now expects full-year consolidated revenue of ¥3.97 trillion (approximately US$24.61 billion), representing annual growth of 16.7%.
Business profit is projected to reach ¥710 billion, while operating profit is forecast at ¥730 billion. Net profit attributable to shareholders is expected to total ¥500 billion.
Compared with the guidance issued in April, the revised outlook includes higher revenue, business profit, operating profit, and net profit projections. The company cited continued strong trading through June and updated foreign exchange assumptions as the primary reasons for improving its earnings forecast.
