Fast Retailing (9983): FY2025 Results Summary — Fourth Consecutive Record Year, Dividend Raised to ¥520

This article is based on publicly available IR materials and is not a recommendation to buy or sell any specific securities.

Fast Retailing reported FY2025 results — the 12 months from September 2024 through August 2025 — with consolidated revenue up 9.6% year on year to ¥3,400.5bn and business profit up 13.6% to ¥551.1bn, marking the fourth consecutive record annual performance. Profit attributable to owners of the parent rose 16.4% to ¥433.0bn. Revenue came in roughly in line with the company’s most recent (July 10) estimates, while business profit, operating profit, profit before income taxes and profit attributable to owners of the parent all exceeded those estimates. For FY2026 (Sep. 2025 – Aug. 2026), the company forecasts another record year with revenue of ¥3,750.0bn (+10.3%) and business profit of ¥610.0bn (+10.7%), and raised its FY2026 annual dividend forecast to ¥520 per share (+¥20 year on year).

Consolidated Results (Full-Year Actual)

Consolidated revenue increased ¥296.7bn YoY to ¥3,400.5bn, driven mainly by revenue growth of ¥198.4bn at UNIQLO International and ¥93.8bn at UNIQLO Japan. Gross profit margin contracted 0.1pt YoY to 53.8%, while the SG&A ratio improved 0.7pt to 37.6% on strong UNIQLO Japan sales. Business profit rose 13.6% to ¥551.1bn (margin 16.2%, +0.6pt), and operating profit rose 12.6% to ¥564.2bn (margin 16.6%, +0.5pt), helped by ¥13.1bn in other income (mainly a reversal of impairment losses at UNIQLO Japan). Net finance income of ¥86.3bn (comprising ¥52.4bn in net interest income and ¥33.8bn in foreign exchange gains) lifted profit before income taxes to ¥650.5bn (+16.8%), and profit attributable to owners of the parent rose 16.4% to ¥433.0bn. Versus the company’s latest (July 10) estimates, revenue of ¥3,400.0bn, business profit of ¥540.0bn, operating profit of ¥545.0bn, profit before income taxes of ¥635.0bn and net income of ¥410.0bn were all met or exceeded.

Item	FY2025 Actual	FY2024 Actual	YoY
Revenue (bn JPY)	3,400.5	3,103.8	+9.6%
Gross profit (bn JPY)	1,828.8	1,673.0	+9.3%
Gross profit margin	53.8%	53.9%	-0.1p
SG&A (bn JPY)	1,277.7	1,187.7	+7.6%
SG&A ratio	37.6%	38.3%	-0.7p
Business profit (bn JPY)	551.1	485.3	+13.6%
Business profit margin	16.2%	15.6%	+0.6p
Operating profit (bn JPY)	564.2	500.9	+12.6%
Operating profit margin	16.6%	16.1%	+0.5p
Profit before income taxes (bn JPY)	650.5	557.2	+16.8%
Profit attributable to owners of the parent (bn JPY)	433.0	371.9	+16.4%

Segment Results

UNIQLO Japan achieved a record performance, with revenue topping ¥1 trillion for the first time (up 10.1% YoY to ¥1,026.0bn) and business profit up 17.5% to ¥181.3bn (margin 17.7%, +1.1pt); operating profit rose 18.4% to ¥184.4bn following a reversal of store-related impairment losses. UNIQLO International also reported a record year, with revenue up 11.6% to ¥1,910.2bn and business profit up 10.6% to ¥305.3bn (margin 16.0%, -0.1pt); in local-currency terms, revenue grew approximately 13% and business profit approximately 12%. GU revenue rose 3.6% to ¥330.7bn but business profit fell 12.6% to ¥28.3bn (margin 8.6%, -1.6pt), as same-store sales were flat and the SG&A ratio rose on higher personnel costs and GU USA store-opening costs. Global Brands revenue fell 5.3% to ¥131.5bn while business profit rose to ¥2.6bn (margin 2.0%, +1.9pt), as a halving of losses at Comptoir des Cotonniers offset weaker Theory sales; the segment recorded a ¥0.9bn operating loss after a ¥3.9bn impairment charge tied to Comptoir des Cotonniers restructuring.

Segment	Metric	FY2025	FY2024
UNIQLO Japan	Revenue (bn JPY)	1,026.0	932.2
UNIQLO Japan	Business profit (bn JPY) / margin	181.3 / 17.7%	154.3 / 16.6%
UNIQLO International	Revenue (bn JPY)	1,910.2	1,711.8
UNIQLO International	Business profit (bn JPY) / margin	305.3 / 16.0%	276.0 / 16.1%
GU	Revenue (bn JPY)	330.7	319.1
GU	Business profit (bn JPY) / margin	28.3 / 8.6%	32.4 / 10.2%
Global Brands	Revenue (bn JPY)	131.5	138.8
Global Brands	Business profit (bn JPY) / margin	2.6 / 2.0%	0.1 / 0.1%

Within UNIQLO International, the Greater China markets reported a 4.0% YoY revenue decline to ¥650.2bn and a 12.5% decline in business profit to ¥89.9bn (margin 13.8%, -1.4pt), though fourth-quarter business profit rose approximately 11% on a recovery trend. The combined South Korea, Southeast Asia, India & Australia region grew revenue 14.6% to ¥619.4bn and business profit 20.5% to ¥116.9bn (margin 18.9%, +0.9pt). North America grew revenue 24.5% to ¥271.1bn and business profit 35.1% to ¥44.2bn (margin 16.3%, +1.2pt), exceeding forecasts. Europe grew revenue 33.6% to ¥369.5bn and business profit 23.7% to ¥54.2bn, though the business profit margin contracted 1.2pt to 14.7% due to temporary distribution disruption from the launch of a new automated warehouse.

FY2026 Forecast

Fast Retailing forecasts another record performance in FY2026, with consolidated revenue of ¥3,750.0bn (+10.3% YoY) and business profit of ¥610.0bn (+10.7%, margin 16.3%, +0.1pt). Operating profit is forecast at ¥610.0bn (+8.1%, margin 16.3%, -0.3pt). Net finance income is forecast at ¥50.0bn, down from ¥86.3bn in FY2025 (-42.1%), as the forecast assumes similar interest income to the previous year but does not incorporate any foreign exchange gains, based on a period-start rate of 1USD=146.9JPY. Profit before income taxes is forecast at ¥660.0bn (+1.4%), and profit attributable to owners of the parent is forecast to rise 0.5% to ¥435.0bn.

Item	FY2026 Estimate	FY2025 Actual	YoY
Revenue (bn JPY)	3,750.0	3,400.5	+10.3%
Business profit (bn JPY)	610.0	551.1	+10.7%
Business profit margin	16.3%	16.2%	+0.1p
Operating profit (bn JPY)	610.0	564.2	+8.1%
Operating profit margin	16.3%	16.6%	-0.3p
Finance income, costs (bn JPY)	50.0	86.3	-42.1%
Profit before income taxes (bn JPY)	660.0	650.5	+1.4%
Profit attributable to owners of the parent (bn JPY)	435.0	433.0	+0.5%

By operation, UNIQLO International expects large revenue and profit gains in both halves and the full year, with the Greater China markets aiming to return to growth through restructuring and new business approaches, South Korea and North America continuing large gains, and Europe forecasting a slightly higher business profit margin despite a temporary first-half hit from operating multiple warehouses. UNIQLO Japan forecasts a slight revenue increase with business profit roughly flat, based on approximately 3% growth in same-store sales, while aiming to maintain a business profit margin of 15% or higher. GU expects higher revenue and profit in both halves and the full year as it pursues further operational reforms to drive a recovery. Global Brands forecasts higher revenue and a large increase in profit, with Theory and PLST both expected to grow and Comptoir des Cotonniers targeting a significant reduction in business losses.

Shareholder Returns

Fast Retailing raised its FY2025 year-end dividend forecast to ¥260 per share (from ¥240 announced in July), bringing the FY2025 annual dividend to ¥500 per share (interim ¥240 plus year-end ¥260), up ¥100 YoY from FY2024’s ¥400 (interim ¥175 plus year-end ¥225); the FY2025 year-end dividend is subject to final decision at the board meeting scheduled for November 6, 2025. For FY2026, the company forecasts an annual dividend of ¥520 per share (interim ¥260 plus year-end ¥260), up ¥20 YoY. The dividend may be adjusted in the event of large fluctuations in business performance or demand for funds.

Item	Interim	Year-end	Annual
FY2024 (Actual)	175 yen	225 yen	400 yen
FY2025 (E, as of Jul.10)	240 yen	240 yen	480 yen
FY2025 (E, as of Oct.9)	240 yen	260 yen	500 yen
FY2026 (E, as of Oct.9)	260 yen	260 yen	520 yen

Balance Sheet and Cash Flow

At the end of August 2025, total assets stood at ¥3,859.3bn (+¥271.7bn YoY), total liabilities at ¥1,531.8bn (+¥12.5bn), and total equity at ¥2,327.5bn (+¥259.2bn). Cash and cash equivalents declined ¥300.3bn YoY to ¥893.2bn as holdings were shifted into highly secure investments such as longer-maturity bank deposits and investment securities, lifting other financial assets by ¥405.2bn. Inventory assets rose ¥36.4bn to ¥510.9bn (UNIQLO Japan +¥21.3bn, UNIQLO International +¥17.3bn), and property, plant and equipment and right-of-use assets rose ¥147.0bn to ¥809.4bn, reflecting real estate purchases including the UNIQLO Fifth Avenue and UNIQLO Gran Via stores, new store openings and automated-warehouse investment. For FY2025, cash flow from operating activities totaled ¥580.6bn, cash used in investing activities totaled ¥578.9bn, and cash used in financing activities totaled ¥339.1bn (including dividend payments of ¥142.6bn and leasing debt repayment of ¥140.4bn); capital expenditure totaled ¥171.9bn.

This article is an analysis based on publicly available information and is not a recommendation to buy or sell any specific securities. Investment decisions are your own responsibility.