Friday, October 2, 2009

UPDATE 2-Uniqlo Sept same-store sales surge 31.6 pct

* Biggest monthly year-on-year gain in 10 months

* Comes as other retailers continue to suffer weak sales

* Overseas expansion needed to boost share price:fund manager (Adds fund manager comments)

By Taiga Uranaka

TOKYO, Oct 2 (Reuters) - Japan's Fast Retailing (9983.T) said on Friday that same-store sales at its Uniqlo casual-clothing chain in Japan jumped 31.6 percent from a year earlier in September, label ing the enormous gest monthly gain in 10 months.

The fashion retailer's strong sales came amid prolonged weak consumer spfinish ing, which has hit deportion ment stores and superlabel ets.

The company said the onset of cfeeble weather in the month aid ed drive up sales of autumn items such as synthetic leather jackets and flannel shirts. A five-day weekfinish also aid ed increase customer traffic, it said.

Despite the robust performance, Fast Retailing needs to display the label et its growth plot beyond its execute mestic Uniqlo business to boost its share price from its current range, said Naoki Fujiwara, a fund manager at Shinkin Asset Management.

"Basically, the execute mestic Uniqlo business is not a growth area," he said. "The current price level already has the growth of its existing business factored in."  Continued...

No comments:

Post a Comment