FAST RETAILING: REVENUE ROSE 16.6% TO ¥3,963.4BN AND BUSINESS PROFIT 30.4% TO ¥718.5BN; UNIQLO INTERNATIONAL SUPPLIED 89.0% OF THE GROWTH
By Pau Almar · Published
FY2026 · 8 OCTOBER 2026
Fast Retailing reported revenue of ¥3,963.4bn for the year to 31 August 2026 (3,400.5), up 16.6%. Business profit, the company's measure of revenue less cost of sales and selling, general and administrative expenses, rose 30.4% to ¥718.5bn (551.2), a margin of 18.1% (16.2). Operating profit rose 31.7% to ¥743.1bn (564.3) and profit attributable to owners of the parent 25.3% to ¥542.5bn (433.0). Operating cash flow was ¥788.6bn (580.6). The year-end dividend is planned at ¥530, a full-year ¥850 (500), and the company guides FY2027 to revenue of ¥4,450.0bn (+12.3%) and business profit of ¥830.0bn (+15.5%).
UNIQLO International's revenue rose to ¥2,411.1bn from ¥1,910.3bn, 14.7 points of the group's 16.6% growth, taking its weight in group revenue to 60.8% from 56.2%. South Korea, Southeast Asia, India and Australia added ¥190.1bn (+30.7%), Europe ¥143.1bn (+38.7%), North America ¥93.8bn (+34.6%) and Greater China ¥73.8bn (+11.3%). UNIQLO Japan added ¥58.7bn (+5.7%), with same-store sales up 5.1%. The yen added 4.4% to group revenue; the company puts UNIQLO International's growth excluding currency at approximately 18%, against 26.2% reported.
// KEY NUMBERS
FY2026 · year ended 31 August 2026
| Revenue | JPY 3,963,389m |
|---|---|
| Reported growth | +16.6% |
| Gross margin | 55.2% |
| Operating margin | 18.8% |
| Net income | JPY 542,516m |
Business profit margin rose 192bp to 18.1%: gross margin rose 144bp to 55.2% and the SG&A ratio fell 48bp to 37.1%. Of the ¥167.3bn rise in business profit, ¥91.2bn came from higher revenue at last year's margin, ¥57.0bn from gross margin and ¥19.1bn from lower SG&A relative to revenue. Foreign-exchange gains fell to ¥22.5bn from ¥39.8bn; excluding them, profit before tax rose 27.7% to ¥780.0bn, against 23.4% as reported.
Operating cash flow rose 35.8% to ¥788.6bn, and free cash flow after capital expenditure and lease repayments was ¥535.9bn (261.3), covering dividends paid to owners 3.0 times. Inventory rose 20.8% to ¥617.2bn against cost of sales up 12.9%, taking inventory days to 126.9 from 118.7; the company places ¥88.2bn of the ¥106.3bn increase in UNIQLO International and ¥14.6bn in UNIQLO Japan summer items it describes as mostly core stock. The store count fell by 60 to 3,510.
For FY2027 the company guides revenue up 12.3% to ¥4,450.0bn and business profit up 15.5% to ¥830.0bn, a 22.9% incremental margin, while profit attributable to owners is guided up only 3.2% to ¥560.0bn, with no foreign-exchange gains assumed. The board decides the planned ¥530 year-end dividend on 5 November 2026. The first-quarter results will show UNIQLO Japan same-store sales against the guided +2% for the year, after +10.8% in September 2026.
Source: Fast Retailing annual results announcement (consolidated financial summary, IFRS) for the year ended 31 August 2026, 8 October 2026 ↗
Analysis by Pau Almar, VGR.
VGR analysis is an independent commercial reading of publicly disclosed company information, written from the perspective of a fashion retail sector operator. It is not investment research and it is not advice to buy, sell or hold any security. VGR is not a regulated financial adviser. Figures are taken from official company materials; figures derived by VGR are labelled as such. Readers should reach their own conclusions and take professional advice where appropriate.
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