Fast Retailing (9983) Q4 2024 earnings summary

Executive summary

• FY2024 saw record highs in revenue and profit, with consolidated revenue surpassing ¥3 trillion and operating profit exceeding ¥500 billion for the first time.

• Strong global performance, especially from UNIQLO Japan and International, outpaced expectations and prior guidance.

• Diversification of earnings pillars and improved earnings structures worldwide, with robust brand awareness and tourist-driven demand.

Financial highlights

• FY2024 revenue: ¥3,103.8 billion (+12.2% year-over-year); operating profit: ¥500.9 billion (+31.4% year-over-year); profit attributable to owners: ¥371.9 billion (+25.6% year-over-year).

• Gross profit margin improved to 53.9% (+2.0p year-over-year); operating profit margin rose to 16.1% (+2.3p year-over-year).

• Cash and cash equivalents increased by ¥290.2 billion to ¥1,193.5 billion, driven by strong operating cash flow.

• Dividend per share for FY2024: ¥400; FY2025 estimate: ¥450.

Outlook and guidance

• FY2025 estimates: revenue ¥3.4 trillion (+9.5%), business profit ¥530 billion (+9.2%), operating profit ¥530 billion (+5.8%), profit attributable to owners ¥385 billion.

• Expect record performance with growth across all major segments, assuming stable exchange rates.

• Dividend expected to rise to ¥450 per share, subject to business performance.