Fast Retailing Co. (9983), the Japanese retailer of Uniqlo brand apparel, fell the most in a month in Tokyo trading after cutting its forecast for annual profit amid a decline in domestic clothing sales.
The retailer dropped 2.5 percent, the biggest decline since June 8, to 15,400 yen at the close on the Tokyo Stock Exchange. Net income will probably be 79 billion yen ($993 million) for the year ending August, lower than its previous forecast of 81.5 billion yen, the company said July 6 in a statement, after the market closed.
The casual clothing maker, led by billionaire President Tadashi Yanai, has expanded outside of Japan amid a sales slump in its home market. Same-store sales at its Uniqlo stores in Japan fell 7 percent in June.
Uniqlo’s Japan comparable-store sales declined 5.4 percent in the three months ended May as lower temperatures damped demand for summer clothing, the company said.
To contact the reporter on this story: Yuki Yamaguchi in Tokyo at firstname.lastname@example.org
To contact the editor responsible for this story: Dave McCombs at email@example.com