Owner of Uniqlo has reduced his yearly profit forecast

Fast Retailing, the parent company of fast clothes behemoth Uniqlo, has reduced its annual profit projection.

It should come as no surprise that COVID-19 limitations in Japan and other areas of the world have had a significant impact on footfall.

With the Olympics in Tokyo just a few days away, the nation has already declared a coronavirus state of emergency and tightened restrictions.

As a result, Fast Retailing now forecasts a 64% increase in operating profit to £176 billion for the fiscal year ending in August. This is a US$10 billion reduction from the prior forecast. It is worth noting that the Group's earnings increased to £149 billion for the nine months ending May 2021.

During the nine-month period, the retailer's revenue increased by 12.7%, while its operating profit increased by 51%.

Strong sales of Uniqlo U T-shirts, Kando trousers, and other summer ranges, as well as loungewear and super stretch activity pants, increased revenue from March to May 2021, according to the store.

Notably, its e-commerce income increased as its online sales expanded; nonetheless, Uniqlo Japan's third-quarter performance fell short of its business objective.