Uniqlo sees profits soar in China despite Beijing-Tokyo tensions
The Japanese clothing brand saw its China sales recover over the past year despite ongoing political tensions and China’s consumer slowdown
Fast Retailing, the parent company of Japanese clothing retailer Uniqlo, has defied the ongoing political tensions between Beijing and Tokyo and soft consumer sentiment in China to log a rebound in sales and profits on the Chinese mainland.
The company’s full-year revenue on the Chinese mainland climbed 3 per cent year on year in local currency terms, while business profits rose by roughly 18 per cent. Hong Kong and Taiwan also saw increases in full-year revenue and profit over the period, the group said.
The improved performance was partly driven by ongoing structural reforms, with Uniqlo rolling out a revamp of its store network in mainland China with a focus on refined site selection and higher operational efficiency, the company said. The chain has opened more large-format stores and closed many smaller underperforming outlets.
