Earnings Alerts

Fast Retailing (9983) Earnings Exceed Forecasts: Strong FY and Q4 Results with Increased Income and Dividends

By October 10, 2024 No Comments
  • Fast Retailing projects its operating income for the fiscal year to be 530.00 billion yen, surpassing the estimate of 514.95 billion yen.
  • The expected net income for the fiscal year is 385.00 billion yen, which is higher than the forecasted 368.36 billion yen.
  • The company anticipates net sales to reach 3.40 trillion yen, exceeding the estimated 3.31 trillion yen.
  • A dividend of 450.00 yen is projected, above the expected 397.42 yen.
  • In the fourth quarter, Fast Retailing reported an operating income of 99.10 billion yen, outperforming the 76.05 billion yen estimate.
  • Fourth quarter net income was 59.16 billion yen, significantly higher than the anticipated 40 billion yen.
  • Net sales for the fourth quarter reached 737.34 billion yen, beating the estimate of 693.42 billion yen.
  • Annual net sales were recorded at 3.10 trillion yen, slightly above the estimated 3.07 trillion yen.
  • The annual operating income was 500.90 billion yen, surpassing the projected 476.58 billion yen.
  • Market analysts display confidence, with 8 buy ratings, 11 holds, and no sell recommendations.

Fast Retailing on Smartkarma

Analyst coverage of Fast Retailing on Smartkarma reveals varying sentiments from top independent analysts. Mark Chadwick‘s bullish outlook highlights Fast Retailing‘s Uniqlo brand redefining retail with high-quality apparel, strong profit margins, and global expansion plans driving significant sales growth. Travis Lundy, on the other hand, expresses bearish sentiments, emphasizing the stock being capped in the Nikkei 225 index and potential selling pressures. Michael Causton‘s bullish perspective focuses on Uniqlo’s successful European expansion and younger customer base, despite uncertainties in China. Caixin Global offers a bearish view, citing struggles in China impacting Uniqlo’s bottom line due to pricing strategies and competitive challenges.

Analysts like Travis Lundy also discuss potential market impacts, such as the likelihood of Fast Retailing facing another capping exercise and the rebalancing predictions for the Nikkei 225 index. These insights provide investors with a comprehensive overview of Fast Retailing‘s performance, global expansion strategies, and the challenges it faces in key markets like China. As investors navigate the stock market, the diverse analyst coverage on Smartkarma offers valuable perspectives for making informed investment decisions regarding Fast Retailing and its position in the retail industry.


A look at Fast Retailing Smart Scores

FactorScoreMagnitude
Value2
Dividend2
Growth5
Resilience4
Momentum5
OVERALL SMART SCORE3.6

Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma

Fast Retailing, the parent company of UNIQLO, is poised for a bright future based on a holistic assessment of its key performance indicators. With a strong emphasis on growth and momentum, scoring a 5 in both factors, the company’s expansion prospects and current market momentum are noteworthy. Furthermore, its high resilience score of 4 indicates a robust ability to weather challenges, showcasing a stable foundation for long-term success.

While the value and dividend scores are more moderate at 2, highlighting areas where improvement could be sought, Fast Retailing‘s overall outlook appears positive. Leveraging its innovative approach to casual clothing design and its global presence in multiple lucrative markets such as the UK, China, and the US, Fast Retailing seems well-positioned to continue its upward trajectory in the retail industry.

### FAST RETAILING CO., LTD. operates a chain of clothing stores, UNIQLO, throughout Japan and in other markets overseas including UK, China, Hong Kong, South Korea, US, France, Singapore and Russia. The Company designs, manufactures, and retails its own line of casual clothing. ###


Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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