Fast Retailing profit down 8 pct, sees recovery
TOKYO, Oct 11 (Reuters) - Japanese clothing retailer Fast Retailing Co. (9983.T) said its annual operating profit fell a bigger-than-expected 8 percent on sluggish sales, but forecast a 12 percent rise for this business year.
Fast Retailing, whose Uniqlo brand of casual clothing has often been called the Gap Inc (GPS.N) of Japan, said group operating profit came to 64.96 billion yen ($554 million) in the year ended in August, compared with a 70.36 billion yen profit a year earlier.
That fell short of the market consensus of 69.6 billion yen in a poll of 13 analysts by Reuters Estimates.
Fast Retailing was widely expected to post weak numbers for the past year after its same-store sales fell for four months straight through August, hurt in part by a long rainy season as well as a hot August that trimmed demand for autumn clothing.
For the business year to August 2008, Fast Retailng forecast a group operating profit of 72.8 billion yen, which compares with the market consensus of 78.2 billion yen.
Shares in Fast Retailing have fallen 33.5 percent from the start of 2007 through Wednesday's close, underperforming a 14 percent drop in Tokyo's retail sector subindex .IRETL.T.
