FAST RETAILING CO., LTD.
迅 銷 有 限 公 司

Third Quarterly Report 2022/23
2023.3.1–2023.5.31
Stock Code: 6288

Contents
1. Corporate Profile

1

2. Financial Highlights

2

3. Management Discussion and Analysis

4

4. Information about the Reporting Entity

9

5. Financial Section

11

1. Interim Condensed Consolidated Financial Statements(1) Interim Condensed Consolidated Statement of
Financial Position

12(2) Interim Condensed Consolidated Statement ofProfit or Loss and Interim Condensed Consolidated
Statement of Comprehensive Income

14Interim Condensed Consolidated Statement of Profit or Loss

14

Interim Condensed Consolidated Statement ofComprehensive Income16(3) Interim Condensed Consolidated Statement of
Changes in Equity

18(4) Interim Condensed Consolidated Statement of Cash Flows20

2. Others

34

Independent Accountant’s Review Report351. Corporate Profile
Board of Directors
Representative Executive Director

Principal Place of Business in Japan
Midtown Tower 9-7-1

Tadashi Yanai (Chairman, President and CEO)Akasaka, Minato-ku
Tokyo 107-6231

Executive Directors
Takeshi Okazaki

Japan

Kazumi Yanai
Koji Yanai

Principal Place of Business in Hong Kong
702–706, 7th Floor, Mira Place Tower A

Independent Non-executive Directors

No. 132 Nathan Road
Tsim Sha Tsui

Nobumichi Hattori (External)
Masaaki Shintaku (External)

KowloonHong Kong

Naotake Ono (External)
Kathy Mitsuko Koll (aka Kathy Matsui) (External)

HDR Registrar and HDR Transfer OfficeJoji Kurumado (External)
Yutaka Kyoya (External)

Computershare Hong Kong Investor Services Limited
Shops 1712–1716, 17th Floor

Board of Statutory Auditors

Hopewell Centre
183 Queen’s Road East

Masaaki Shinjo
Masumi Mizusawa

WanchaiHong Kong

Keiko Kaneko (External)
Takao Kashitani (External)

Stock Code

Masakatsu Mori (External)
Company Secretary
Shea Yee Man

Hong Kong: 6288
Japan: 9983
Website Address
https://www.fastretailing.com/eng/

Independent Accountants
Deloitte Touche Tohmatsu LLC
Principal Banks
Sumitomo Mitsui Banking Corporation
MUFG Bank, Ltd.
Mizuho Bank, Ltd.
The Hong Kong and Shanghai Banking Corporation Limited
Registered Office and Headquarters
10717-1 Sayama
Yamaguchi City
Yamaguchi 754-0894
Japan

- 1 -

2. Financial Highlights
Consolidated Financial Summary
Term

Third Quarterof
61st Fiscal
Year

Third Quarterof
62nd Fiscal
Year

61st Fiscal
Year

Accounting period

Nine months
ended
31 May2022

Nine months
ended
31 May2023

Year ended
31 August2022

1,765,106

2,143,504

2,301,122

Operating profit (Millions of yen)

271,084

330,574

297,325

Profit before income taxes (Millions of yen)349,255

359,203

413,584

237,836

238,519

273,335

402,431271,077554,833

Equity attributable to owners of the Parent (Millions of yen)

1,440,495

1,694,899

1,561,652

Total assets (Millions of yen)

2,859,574

3,100,617

3,183,762

Basic earnings per share (Yen)775.99777.90891.77

Diluted earnings per share (Yen)774.81776.65890.43

50.4

54.7

49.1

338,630

315,896

430,817(90,764)(505,838)(212,226)(174,808)(240,721)(213,050)

1,368,912

922,567

1,358,292

Revenue (Millions of yen)

Profit for the period attributable to ownersof the Parent (Millions of yen)Comprehensive income attributable to ownersof the Parent (Millions of yen)

Ratio of equity attributable to owners of the Parent to total assets (%)
Net cash generated by operating activities (Millions of yen)
Net cash (used in) / generated by investing activities (Millions ofyen)
Net cash (used in) / generated by financing activities (Millions ofyen)Cash and cash equivalents at end of the period (year) (Millions ofyen)

Three months
ended
31 May2022

Three months
ended
31 May2023

Revenue (Millions of yen)

546,129

676,153

Profit attributable to owners of the Parent (Millions of yen)

90,991

85,126

Basic earnings per share for the period (Yen)

296.84277.60Accounting period(Notes) 1. FAST RETAILING CO., LTD. (the “Company”, the “Parent”, or the “Reporting entity”) prepared interim condensed
consolidated financial statements and therefore has not included the non-consolidated financial summary of the Reporting
entity.
2. The financial figures are sourced from the interim condensed consolidated financial statements or consolidated financial
statements prepared in accordance with International Financial Reporting Standards (“IFRS”).
3. Our common stock has been split on a 3-to-1 basis, effective 1 March 2023. Basic earnings per share, and diluted earnings
per share have been calculated assuming this stock split was conducted at the beginning of the previous fiscal year.

- 2 -Business Description
There were no significant changes in the nature of the business engaged by the Company and its subsidiaries (collectively, the“Group”) during the nine months ended 31 May 2023.
In addition, there were no significant changes in the organizational structure of the Group, including the major subsidiaries, during thenine months ended 31 May 2023.

- 3 -3. Management Discussion and Analysis
Business Review
1. Business and Operational Risks
No new business-related risks have arisen during the nine months ended 31 May 2023.
There have been no significant changes concerning business-related risks as stated in the annual report for the preceding fiscal year.
2. Financial Analysis(1) Financial Position and Results of Operations(ⅰ) Results of Operations
The Fast Retailing Group generated a significant increase in revenue and profits and reported a record performance in the third
quarter of fiscal 2023, or the nine months from 1 September 2022 to 31 May 2023, with consolidated revenue totaling 2.1435
trillion yen (+21.4% year-on-year) and operating profit rising to 330.5 billion yen (+21.9% year-on-year). UNIQLO operations in
the Southeast Asia, North America, and Europe regions along with our GU operation continued to report strong results and
UNIQLO performance in the Greater China region also recovered in the third quarter from March to May 2023, illustrating
further progress on the diversification of our global earnings pillars. We recorded 28.6 billion yen under finance income net ofcosts primarily due to higher interest income generated from a larger number of bonds under management compared to theprevious year. As a result, profit before income taxes rose to 359.2 billion yen (+2.8% year-on-year) and profit attributable toowners of the parent increased to 238.5 billion yen (+0.3% year-on-year).
The Fast Retailing Group has been focusing on a number of areas as part of its quest to become a global No.1 brand that isessential to daily living and is trusted by all customers around the world: (1) Further progressing the development of a digitalconsumer retailing company, (2) Expanding the content of its international business and transforming operational management
based on a global perspective, (3) Pursuing a business model in which the development of business itself helps advancesustainability, (4) Expanding the GU business segment, as well as Theory and other labels in the Global Brands segment, and (5)Maximizing the capabilities of its global human resources. We are working especially hard at UNIQLO International, as the pillar
operation of the Fast Retailing Group, to accelerate new store openings in all markets and to strengthen our e-commerce
operations. We aim to continue to expand our operations in the Greater China region (Mainland China market, Hong Kong
market, and Taiwan market), South Asia & Oceania region (Southeast Asia, Australia, and India), where we hope to further
strengthen our already established brand position. In North America and Europe, we are aiming to further expand the scale of ourbusiness by strengthening our marketing, promoting deeper understanding and loyalty towards our LifeWear ultimate everyday
clothing, and accelerating new store openings. We also intend to create clothes that prize LifeWear concepts in order to build asustainable society. We will continue to pursue our ultimate goals of creating high-quality, long-lasting clothes, clothes with a low
environmental impact that are produced in healthy and safe working environments, and clothes that can be further circulated, evenafter purchase, through recycling and reuse.
UNIQLO Japan
UNIQLO Japan reported a considerable increase in revenue in the first nine months of fiscal 2023. However, profits declined as
the depreciation in the Japanese yen resulted in higher cost of sales. As a result, revenue totaled 709.7 billion yen (+10.7% yearon-year) and operating profit totaled 99.6 billion yen (−3.0% year-on-year).
The same performance pattern was recorded for the third quarter from March to May 2023, with revenue increasing and operating
profit declining. While third quarter same-store sales increased by 5.5% year-on-year thanks to strong sales of Summer items,
haori-style jackets, and bottoms that captured the latest trends, operating profit declined on the back of a 1.7 point decline in the
gross profit margin and a 0.3 point rise in the selling, general and administrative expense ratio. The gross profit margin declined
as the cost of sales on additional product orders rose after the yen spot exchange rates used for those orders weakened more than
we had expected over the period. We also pressed ahead with efforts to normalize inventory by more vigorously offloading excess
Spring inventory left over from that past financial year. The increase in the selling, general and administrative expense ratio wascaused primarily by a rise in personnel costs following our decision to increase in wages from March. However, we also observed
a rise in productivity in the third quarter, and an increase in sales per employee. We plan to swiftly improve the personnel cost
ratio by encouraging further efficiencies in inventory management and store operations.

- 4 -UNIQLO International
UNIQLO International reported a significant increase in both revenue and profit in the first nine months of fiscal 2023, withrevenue rising to 1.0976 trillion yen (+30.5% year-on-year) and operating profit expanding to 184.1 billion yen (+38.6% year-onyear). All markets within the segment generated large increases in both revenue and profit, generating yet another advance in thedrive to diversify our earnings pillars.
Breaking down the third quarter performance from March to May 2023 by geographical region and in local currency terms, theGreater China region achieved considerable rises in revenue and profit. Performance recovered across the board, with theMainland China market, the Hong Kong market, and the Taiwan market all reporting large revenue and profit increases. The
Mainland China market, in particular, generated higher-than-expected sales, with same-store sales rising over 40% year on year.
In the Southeast Asia, India & Australia region, revenue increase significantly and operating profit also expanded. Within thoseregions, UNIQLO operations in Singapore, Thailand, India, and Australia all performed strongly. UNIQLO North America
reported significant increases in revenue and profit, with sales of core products proving strong and sales of products developed
specifically to meet the needs of US consumers also contributing greatly to the higher revenue figure. UNIQLO Europe generated
large rises in revenue and profit on the back of strong sales of core products, such as bottoms and linen shirts. Furthermore, efforts
to convey more determined news about our Round Mini Shoulder Bag and BRATOP products sparked considerable interest onsocial media and helped expand our customer base among women and younger consumers.
GU
The GU business segment reported large increases in both revenue and profit in the first nine months of fiscal 2023, with revenue
rising to 227.9 billion yen (+19.7% year-on-year) and operating profit totaling 25.8 billion yen (+44.6% year-on-year). GU wasable to generate a strong performance and create multiple hit products by successfully narrowing down the number of productitems on offer, ensuring a sufficient supply of mass-trend products, and strengthening the marketing of those products. The
segment also made progress on building a strong business platform for creating highly finished, on-trend products by pressing
ahead with organizational reforms and strengthening product development frameworks.
In the third quarter from March to May 2023, GU generated large increases in revenue and profit. Sales of super wide cargo pants,
pull-on pants, and sweatshirt-style T-shirts proved especially strong. The operating profit margin improved by 3.0 points year-onyear thanks to the large increase in sales, stricter cost controls, and an improvement in the selling, general and administrative
expense ratio generated primarily by lower store rent and distribution ratios.
Global Brands
The Global Brands segment reported a large rise in revenue and profit in the first nine months of fiscal 2023, with revenue rising
to 106.4 billion yen (+18.2% year-on-year) and an operating profit rising to 1.4 billion yen (+105.4% year-on-year).
In the third quarter from March to May 2023, the Theory brand reported considerable increases in revenue and profit. The Theory
label generated a particularly good performance, and significantly higher revenue and profit in the Asian region as restrictions
eased once COVID-19 was brought under control and the operation strengthened the release of core products. The PLST
operation reported higher revenue in the third quarter. However, operating profit declined slightly following the recording of an
impairment loss as the label presses ahead with the closure of loss-making stores and other operational reforms. Finally, revenue
from Comptoir de Cotonniers declined and the label's operating loss expanded slightly.
Sustainability.
Fast Retailing is advancing its LifeWear concept—the ultimate in everyday clothing, designed to make everyone's life better—tocreate apparel that not only emphasizes quality, design, and price but also meets the definition of good clothing from thestandpoint of the environment, people and society. Our sustainability activities focus on six priority material areas: Creating newvalue through products and services; Respecting human rights and labor environment in our supply chain; Respecting theenvironment; Strengthening communities; Supporting employee fulfillment; and Implementing good corporate governance. The
main company activities during the third-quarter consolidated accounting period are as follows.
■Respecting human rights and labor environment in our supply chain: We are also continually improving our efforts to addresshuman rights and labor issues throughout our entire supply chain. At garment factories and fabric mills, we are performing clear
checks on the labor environment and other conditions by ourselves or through third-party organizations. In addition, we haveconcluded a Code of Conduct with upstream textile mills in our supply chain to ensure regular labor environment audits are- 5 -conducted and confirm traceability information. Furthermore, in April 2023, we signed the newly established Pakistan Accord on
Health and Safety in the Textile and Garment Industry, helping to bring about improved health and safety for the people working
at our partner factories in Pakistan.
We are also continuing our engagement in the Female Empowerment Program at our partner garment factories with the aim of
improving the status of women in the apparel industry. We are providing further support for this initiative at eight of the major
garment factories we are partnered with in Bangladesh where we have set targets for the end of 2025 on matters such as the ratioof women in managerial positions and the number of staff receiving managerial training.
■Respecting the environment: As a result of our proactive initiatives and transparency on climate change and water security, we
have been recognized as a 2022 "A-List" company by CDP, (Carbon Disclosure Project) an international non-profit organizationthat provides a platform for environmental disclosure. Moreover, in April 2023, we opened the UNIQLO Maebashi Minami ICStore, our new energy-efficient roadside store. The Maebashi Minami IC Store uses a variety of energy-saving technologies toreduce its energy consumption by approximately estimated 40% compared to conventional UNIQLO roadside stores, with solar
panels providing approximately estimated 15% of the total energy consumed.
■ Strengthening Communities: On 8 March 2023, in honor of International Women's Day, we donated $300,000 (approximately
40 million yen) from sales of bras, bra top vests, BRA-FEEL, shorts, and other UNIQLO and GU products to a project promoting
self-reliance for female refugees in Bangladesh supported by the Office of the United Nations High Commissioner for Refugees(UNHCR). This is the first time that we have contributed funds to a project to support women on International Women's Day.

(ⅱ) Financial Position
Total assets as at 31 May 2023 were 3.1006 trillion yen, which was a decrease of 83.1 billion yen relative to the end of thepreceding fiscal year. The principal factors were a decrease of 435.7 billion yen in cash and cash equivalents, an increase of 41.6
billion yen in trade and other receivables, an increase of 349.2 billion yen in other current financial assets, a decrease of 98.5
billion yen in inventories, a decrease of 58.7 billion yen in derivative financial assets, an increase of 21.2 billion yen in property,
plant and equipment and an increase of 94.3 billion yen in non-current financial assets.
Total liabilities as at 31 May 2023 were 1.3530 trillion yen, which was a decrease of 215.3 billion yen relative to the end of thepreceding fiscal year. The principal factors were a decrease of 88.1 billion yen in trade and other payables, a decrease of 66.4
billion yen in other current financial liabilities, a decrease of 38.4 billion yen in current tax liabilities, a decrease of 14.7 billion
yen in lease liabilities, an increase of 2.9 billion yen in provisions, a decrease of 15.4 billion yen in deferred tax liabilities and anincrease of 5.6 billion yen in derivative financial liabilities.
Total net assets as at 31 May 2023 were 1.7475 trillion yen, which was an increase of 132.1 billion yen relative to the end of thepreceding fiscal year. The principal factors were an increase of 165.5 billion yen in retained earnings and a decrease of 32.7
billion yen in other components of equity.

- 6 -(2) Cash Flows Information
Cash and cash equivalents as at 31 May 2023 had decreased by 435.7 billion yen from the end of the preceding fiscal year, to922.5 billion yen.
(Operating Cash Flows)
Net cash generated by operating activities for the nine months ended 31 May 2023 was 315.8 billion yen (338.6 billion yen was
generated during the nine months ended 31 May 2022). The principal factors were cash inflow from profit before tax for 359.2
billion yen, depreciation and amortization for 139.2 billion yen and decrease in inventories for 99.1 billion yen, cash outflow
from income taxes paid for 145.6 billion yen and decrease in trade and other payables for 86.7 billion yen.
(Investing Cash Flows)
Net cash used in investing activities for the nine months ended 31 May 2023 was 505.8 billion yen (90.7 billion yen was usedduring the nine months ended 31 May 2022). The principal factors were a net increase of 265.7 billion yen in payments foracquisition and in proceeds from sale and redemption of investment securities, and 161.1 billion yen in bank deposits withoriginal maturities of three months or longer.
(Financing Cash Flows)
Net cash used in financing activities for the nine months ended 31 May 2023 was 240.7 billion yen (174.8 billion yen was usedduring the nine months ended 31 May 2022). The principal factors were 102.0 billion yen in repayments of lease liabilities, and72.8 billion yen in dividends paid to owners of the parent and 50.0 billion yen in repayment of redemption of bonds.
(3) Estimates and Assumptions Used for Those Estimates in the Accounting
For the third-quarter consolidated accounting period, there are no significant changes to the estimates or the assumptions used for
those estimates.
(4) Operational and Financial Challenges to Address as Priority
There have been no significant challenges during the nine months ended 31 May 2023 that must be addressed by the Group.
(5) Research and Development
Not applicable.
(6) Significant Facilities
The following are the significant facilities that were newly completed during the nine months ended 31 May 2023.
<Subsidiaries in Japan>
Company nameUNIQLO CO., LTD.
GU CO., LTD.
UNIQLO CO., LTD.

Type of facility

Name of business

Location

UNIQLO Japan
warehouses

Ichikawashiohama
DC Warehouses

Japan
Chiba

GU Japan

Ibarakikita DC

Japanwarehouses

warehouses

Osaka

UNIQLO Japan

Itabashihasune

Japan

stores

store

Tokyo

Completion date
September 2022
January 2023
April 2023

<Overseas Subsidiaries>
Not applicable.
The following are the significant facilities that were newly planned during the nine months ended 31 May 2023.
<Subsidiaries in Japan>
Not applicable.

- 7 -<Overseas Subsidiaries>
Company name
FAST RETAILING(CHINA)TRADING CO., LTD.

Type of facility
UNIQLO
overseas
warehouses

Name of businessShanghai DC
warehouse

3. Significant Contracts in Business Operation
None.

- 8 -

Location
China
ShanghaiCompletion dateJune 2023

4. Information about the Reporting Entity
1. Stock Information(1) Number of Shares(i) Total number of shares
Type

Total number of authorized shares (shares)

Common stock

900,000,000

Total

900,000,000(ii) Shares Issued

Type

Number of shares issued
as at 31 May 2023
(shares)Number of shares issued
as at submission date(shares)(As at 14 July 2023)

Name of financial
instrument exchangeof listing, or authorized
financial instruments
firms association

Remarks

Prime market of theTokyo
Stock Exchange andCommon stock

318,220,968

318,220,968

100 shares

the Main Board of
the Stock Exchange ofas one unit

Hong Kong Limited(Note)
Total

318,220,968

318,220,968--(Note) Hong Kong Depositary Receipts are listed on the Main Board of the Stock Exchange of Hong Kong Limited.
(2) Share Subscription Rights
1. Details of the Stock Option Program
Not applicable.
2. Other Share Subscription Rights
Not applicable.
(3) Exercise of convertible bonds with conditional permission for adjustment of exercise priceNot applicable.
(4) Change in total number of Shares Issued, Capital Stock, Etc.
Increase/
Balance ofIncrease/(decrease) of
total(decrease) of
Date
total number of
number ofcapital stock
shares issued
shares issued(Millions of(shares)(shares)yen)
1 March 2023
(Note) to

212,147,312

318,220,968-

Balance ofcapital stock(Millions ofyen)

Increase/(decrease) ofcapital reserve(Millions ofyen)

Balance ofcapital reserve(Millions ofyen)

10,273-4,578

31 May 2023
(Note) The increase in total number of shares outstanding is due to our common stock being split on a 3-to-1 basis on 1 March 2023
based on a resolution at the Board of Directors meeting held on 15 December 2022.
(5) Major Shareholders
There are no items to disclose, as the accounting period under review is the third quarter accounting period.

- 9 -(6) Voting Rights
Concerning “Voting Rights” as at the end of the third quarterly accounting period ended 31 May 2023, it has not been possible toconfirm and state the details entered in the register of shareholders. Therefore, the stated details are based on the register ofshareholders as at the immediately preceding record date (28 February 2023).
(i) Shares issued
As at 31 May 2023
Number of shares(shares)Number of voting rights

Remarks

Non-voting shares

-

-

-

Shares subject to restrictions on voting rights(e.g., treasury stock)

-

-

-

-

-

-

-

-

Class

Shares subject to restrictions on voting rights(e.g., other than treasury stock)(Shares held as
Shares with full voting rights(e.g., treasury stock)treasury stock)
Common stock

Shares with full voting rights(e.g., other than treasury stock)

Common stock
102,112,000

Shares less than one unit

Common stock
102,056-(Notes) 1, 2

106,073,656--

3,859,600

Total number of shares issued
Total number of voting rights of all

1,021,120-

shareholders(Note) 1

1,021,120-(Notes) 1. The columns for the number of shares of “Shares with full voting rights (e.g., other than treasury stock)” and “Shares lessthan one unit” include 2,700 shares and 84 shares, respectively, held in the name of Japan Securities Depository Center, Inc.
2. Common stock in the “Shares less than one unit” row includes 55 shares of treasury stock held by the Company.
3. Based on a resolution at the Board of Directors meeting held on 15 December 2022, our common stock was split on a 3-to 1
basis on 1 March 2023. As a result, the total number of issued shares has increased by 212,147,312 to 318,220,968.
(ii) Treasury Stock

Name or trade name ofholderFAST RETAILING
CO., LTD.

Holder’s address
10717-1 Sayama,
Yamaguchi-shi,

As at 31 May 2023
Percentage ofTotal number of
total number ofshares held
shares issued(shares)(%)

Number ofshares held in
own name(shares)Number ofshares held inother’s name(shares)

3,859,600-

3,859,600

3.64

3,859,600-

3,859,600

3.64

Yamaguchi

Total

-

(Note) Based on a resolution at the Board of Directors meeting held on 15 December 2022, our common stock was split on a 3-to-1
basis on 1 March 2023.
2. Directors
Since the submission of the year-end report for the preceding fiscal year, there has been no change of directors during the ninemonths ended 31 May 2023.

- 10 -

5. Financial Section
1. Preparation of Interim Condensed Consolidated Financial Statements
The interim condensed consolidated financial statements of the Group, namely, the interim condensed consolidated statement offinancial position as at 31 May 2023, the interim condensed consolidated statement of profit or loss and interim condensed
consolidated statement of comprehensive income for the three-month and nine-month periods then ended, the interim condensed
consolidated statement of changes in equity and interim condensed consolidated statements of cash flows for the nine-month period
then ended, and the related notes (collectively, the “interim condensed consolidated financial statements”) were prepared inaccordance with International Accounting Standard 34, Interim Financial Reporting (“IAS 34”), pursuant to Article 93 of the “Rules
Governing Term, Form and Preparation of Consolidated Quarterly Financial Statements” (Cabinet Office Ordinance No. 64 of 2007,
hereinafter referred to as “Consolidated Quarterly Financial Statements Rules”).
2. Review Report
Pursuant to the first clause of Article 193-2 of the Financial Instruments and Exchange Act, the interim condensed consolidated
financial statements have been reviewed by Deloitte Touche Tohmatsu LLC.

11

(Amounts are stated in millions of yen and are rounded down to the nearest million unless otherwise stated)

1. Interim Condensed Consolidated Financial Statements(1) Interim Condensed Consolidated Statement of Financial Position(Millions of yen)Notes

As at 31 August 2022

As at 31 May 2023

1,358,292

922,567

ASSETS
Current assets
Cash and cash equivalents
Trade and other receivables
Other financial assets

16

60,184
123,446

101,798472,706

Inventories
Derivative financial assets

6
16

485,928
124,551

387,386
106,124

2,612
23,835

3,243
18,3282,178,851

2,012,155

Income taxes receivable
Other assets
Total current assets
Non-current assets
Property, plant and equipment

7,8

195,226

216,460

Right-of-use assets
Goodwill

8395,634
8,092

389,805
8,092

Intangible assets
Financial assets
Investments in associates accounted for using

8
16

76,621
164,340

84,532
258,725

18,557

18,830the equity method
Deferred tax assets
Derivative financial assets
Other assets

16
8

Total non-current assets
Total assets

8,506

10,045

134,240
3,690

93,8998,070

1,004,911

1,088,461

3,183,762

3,100,617

350,294
209,286

262,146
142,803

1,513
123,885

3,791
126,159

77,162
2,581

38,7182,833

Liabilities and equity
LIABILITIESCurrent liabilities
Trade and other payables
Other financial liabilities

9, 16

Derivative financial liabilities
Lease liabilities

16

Current tax liabilities
Provisions
Other liabilities
Total current liabilities
Non-current liabilities
Financial liabilities
Lease liabilities

16

Provisions
Deferred tax liabilities
Derivative financial liabilities
Other liabilities

16

Total non-current liabilities
Total liabilities

12

111,519

110,813876,242

687,265

241,022356,840

241,189
339,782

47,78044,25850,45528,839

44
2,171

3,437
2,065

692,117665,771

1,568,360

1,353,037

(Millions of yen)Notes

As at 31 August 2022

As at 31 May 2023

10,273

10,273

27,834
1,275,102

28,236
1,440,642(14,813)
263,255(14,734)
230,481

Equity attributable to owners of the Parent
Non-controlling interests

1,561,652
53,7501,694,899
52,680Total equity

1,615,402

1,747,580

3,183,762

3,100,617

EQUITY
Capital stock
Capital surplus
Retained earnings
Treasury stock, at cost
Other components of equity

Total liabilities and equity13(2) Interim Condensed Consolidated Statement of Profit or Loss and Interim Condensed Consolidated Statement of Comprehensive
IncomeInterim Condensed Consolidated Statement of Profit or Loss
Nine months ended 31 May 2023
(Millions of yen)

Revenue

Notes

Nine months ended
31 May 2022

11

1,765,106

2,143,504(837,146)(1,037,909)

Cost of sales

Nine months ended
31 May 2023

Gross profit
Selling, general and administrative expenses

12

927,959(655,536)

1,105,594(780,180)

Other income
Other expenses

13
8,13

15,194(17,477)

8,874(4,779)

943

1,066

271,084
83,311

330,574
36,082

Share of profit and loss of associates accounted
for using the equity method
Operating profit
Finance income

14

Finance costs

14(5,139)(7,453)

Profit before income taxes
Income tax expense349,255(101,714)

359,203(104,297)

Profit for the period

247,541

254,905

Owners of the Parent
Non-controlling interests

237,836
9,704

238,519
16,386

Total

247,541

254,905

Profit for the period attributable to:Earnings per share
Basic (yen)15775.99777.90

Diluted (yen)15774.81776.6514

Three months ended 31 May 2023
(Millions of yen)
Notes
Revenue
Cost of sales

Three months ended
31 May 2022

Three months ended
31 May 2023

546,129(247,255)

676,153(312,079)

Gross profit

298,874

364,074

Selling, general and administrative expenses
Other income(216,271)
8,541(255,970)
4,578

Other expenses
Share of profit and loss of associates accounted(9,706)(2,802)367

430

Operating profit

81,806110,311

Finance income
Finance costs

56,616(1,732)

20,769(2,376)

Profit before income taxes

136,689

128,704

Income tax expense(43,531)(38,429)

Profit for the period

93,15890,274

Profit for the period attributable to:
Owners of the Parent

for using the equity method

90,991

85,126

Non-controlling interests

2,167

5,147

Total

93,15890,274296.84296.41

277.60277.08

Earnings per share
Basic (yen)Diluted (yen)

15
15

15

Interim Condensed Consolidated Statement of Comprehensive Income
Nine months ended 31 May 2023
(Millions of yen)
Notes
Profit for the period

Nine months ended
31 May 2022

Nine months ended
31 May 2023

247,541

254,905

(1)

18

(1)

18

Other comprehensive income / (loss), net of income tax
Items that will not be reclassified subsequently to profit or
loss
Financial assets measured at fair value through othercomprehensive income / (loss)
Total items that will not be reclassified subsequently to
profit or loss
Items that may be reclassified subsequently to profit or loss
Exchange differences on translating foreign operations

63,273

4,727

Cash flow hedges
Share of other comprehensive income of associates

107,85090

26,98775

Total items that may be reclassified subsequently to profit
or loss

171,214

31,790

Other comprehensive income / (loss), net of income tax

171,21231,809Total comprehensive income for the period

418,754286,715

Attributable to:
Owners of the Parent

402,431271,077

Non-controlling interests

16,322

15,638

Total comprehensive income for the period

418,754286,715

16

Three months ended 31 May 2023
(Millions of yen)Three months ended
31 May 2022

Three months ended
31 May 2023

93,15890,274

56

25

56

25

46,312

22,30877,28840,082

Share of other comprehensive income / (loss) of
associates

82

73

Total items that may be reclassified subsequently to
profit or loss

123,683

62,464

Other comprehensive income / (loss), net of income tax

Notes
Profit for the period
Other comprehensive income / (loss), net of income tax
Items that will not be reclassified subsequently to
profit or loss
Financial assets measured at fair value throughother comprehensive income / (loss)
Total items that will not be reclassified subsequently to
profit or loss
Items that may be reclassified subsequently to
profit or loss
Exchange differences on translating
foreign operations
Cash flow hedges

123,739

62,489Total comprehensive income for the period

216,897

152,764

Attributable to:
Owners of the Parent

207,983

146,328

8,914

6,435

216,897

152,764

Non-controlling interests
Total comprehensive income for the period17(3) Interim Condensed Consolidated Statement of Changes in Equity
For the Nine months ended 31 May 2022
(Millions of yen)
Other components of equity

Note

As at 1 September 2021
Net changes during the period
Comprehensive income
Profit for the period
Other comprehensive
income / (loss)
Total comprehensive income /(loss)
Transactions with the ownersof the Parent
Acquisition of treasury
stock
Disposal of treasury stock
Dividends
Share-based payments
Transfer to non-financial
AssetsTransfer to retained
earnings
Changes in ownershipinterests in subsidiaries
without losing control
Total transactions with theowners of the Parent
Total net changes during theperiodAs at 31 May 2022

10

Treasury Financial assets
stock, measured at fair Foreignvalue
currency
at costthrough other translation
comprehensive reserveincomeCapitalstock

CapitalsurplusRetainedearnings

10,27325,3601,054,791(14,973)--

237,836

-

-

-

-

-

-

-

-

(1)

57,317

107,189--

237,836-(1)

57,317

107,189

-

-

-

(3)

-

-

-

1,725
701

(53,123)
-

141
-

-

-

-

-

-

-

-

-

-

74

-

-

-

-

-

2,426

(53,049)

271

9,855

Share of otherCash flow
comprehensive
hedge
income ofreserveassociates
30,89013Equityattributable
Nonto owners controllingof theinterests
Parent

Total

Total
equity41,031

1,116,484

45,813

1,162,298--

237,836

9,704

247,54190

164,595

164,595

6,617

171,21290

164,595

402,431

16,322418,754

-

-

-

(3)

-

(3)

-

-

-

1,867
(53,123)701(12,554)-1,867(65,678)701-(27,862)-(27,862)(27,862)(155)(28,017)

(74)

-

-

-

(74)

-

-

-

-

-

-

-

-

-

-

402

402

138

(74)

-

(27,862)-(27,936)(78,420)(12,307)(90,728)-

2,426

184,787138(75)

57,317

79,32690

136,658

324,011

4,014

328,025

10,27327,787

1,239,578(14,834)

195

67,172110,217104

177,690

1,440,495

49,8281,490,323

18

For the Nine months ended 31 May 2023
(Millions of yen)
Other components of equity

Note

As at 1 September 2022
Net changes during the period
Comprehensive income
Profit for the period
Other comprehensive
income / (loss)

Acquisition of treasury
stock
Disposal of treasury stock
Dividends
Share-based payments
Transfer to non-financial
assetsTransfer to retained
earnings
Changes in ownershipinterests in subsidiaries
without losing control

Retainedearnings

10,273

27,834

1,275,102(14,813)131

100,587

162,407129

263,255

1,561,652

53,7501,615,402--

238,519

-

-

-

-

-

-

238,519

16,386

254,905

18

4,347

28,11575

32,55732,557(748)

31,80918

4,347

28,11575

32,557

271,077

15,638286,715-

10Equityattributable
Nonto owners controllingof theinterests
ParentCapitalsurplus-

Total comprehensive income /(loss)
Transactions with the ownersof the Parent

Treasury Financial assets
stock, measured at fair Foreignvalue
currency
at costthrough other translation
comprehensive reserveincomeCapitalstock-

238,519-

Share of otherCash flow
comprehensive
hedge
income ofreserveassociates

Total

Total
equity

-

-

－

(27)

-

-

-

-

-

(27)

-

(27)

-

1,382
－

－

106
-

-

-

-

-

-

1,489
(73,074)(980)(16,305)－

1,489(89,379)(980)-(65,236)-(65,236)(65,236)(717)(65,953)

(95)

-

-

-

(95)

-

-

-

-

-

-

-

-

-

314

314

-

(980)
-

(73,074)
95

-

-

-

-

Total transactions with theowners of the Parent-

402(72,979)

78

(95)

-

(65,236)-(65,331)(137,829)(16,707)(154,537)

Total net changes during theperiod-402

165,540

78

(76)

4,347

(37,120)75(32,774)

133,247(1,069)132,177

10,273

28,236

1,440,642(14,734)

54

104,934

125,286

205

230,481

1,694,899

52,6801,747,580

As at 31 May 2023

19

(4) Interim Condensed Consolidated Statement of Cash Flows(Millions of yen)
Nine months ended
31 May 2022

Nine months ended
31 May 2023

Cash flows from operating activities
Profit before income taxes

349,255

359,203

Depreciation and amortization
Impairment losses

134,536
14,927139,211
1,932Interest and dividend income
Interest expenses(5,399)5,092(28,161)
7,453

Foreign exchange losses / (gains)Share of profit and loss of associates accounted for using(77,863)(7,920)(943)(1,066)Notes

8the equity method
Losses on disposal of property, plant and equipment

900

518

(Increase) / Decrease in trade and other receivables(Increase) / Decrease in inventories(29,567)
67,838(41,994)
99,178

Increase / (Decrease) in trade and other payables(Increase) / Decrease in other assets(2,525)(2,936)(86,769)
7,702

Increase / (Decrease) in other liabilities
Others, net(35,620)(4,271)(19,328)
22,117

Cash generated from operations

413,422452,077

Interest and dividends income received
Interest paid

4,623
(4,682)

16,667(7,149)

Income taxes paid
Income taxes refunded(81,407)
6,674(145,698)-

Net cash generated by / (used in) operating activities

338,630

315,896

Amounts deposited into bank deposits with original
maturities of three months or longer(117,719)(291,360)

Amounts withdrawn from bank deposits with original
maturities of three months or longer

89,385130,218

Payments for property, plant and equipment
Payments for intangible assets(42,811)(19,091)(51,866)(25,134)(553)-(1,778)(406,710)

Proceeds from sale and redemption of investment securities
Payments for lease and guarantee deposits(3,895)140,963(3,332)

Proceeds from collection of lease and guarantee deposits
Others, net

3,592
329

3,682
(519)

(90,764)(505,838)

Cash flows from investing activities

Payments for acquisition of right-of-use assets
Payments for acquisition of investment securities

Net cash generated by / (used in) investing activities

20

(Millions of yen)
Notes

Nine months ended
31 May 2022

Nine months ended
31 May 2023

Cash flows from financing activities
Proceeds from short-term loans payable

13,111

3,760

Repayment of short-term loans payable
Repayment of redemption of bonds(24,996)-(3,615)(50,000)(53,091)(11,623)(72,813)(16,391)

Repayments of lease liabilities
Others, net(98,748)541(102,054)
393

Net cash generated by / (used in) financing activities(174,808)(240,721)

118,118(5,061)

9

Dividends paid to owners of the Parent
Dividends paid to non-controlling interests

10

Effect of exchange rate changes on the balance of cash held
in foreign currencies
Net increase / (decrease) in cash and cash equivalents

191,176(435,724)

Cash and cash equivalents at the beginning of period

1,177,736

1,358,292

Cash and cash equivalents at the end of period

1,368,912

922,56721

Notes to the Interim Condensed Consolidated Financial Statements
1. Reporting Entity
FAST RETAILING CO., LTD. is a company incorporated in Japan. The locations of the registered headquarters and principal
offices of the Company are disclosed on the Group’s website (http://www.fastretailing.com/eng/).
The principal activities of the Company and its consolidated subsidiaries are the operations of the UNIQLO business (i.e., casualclothing retail business operating under the “UNIQLO” brand in Japan and overseas), GU business (i.e., casual clothing retailbusiness operating under the “GU” brand in Japan and overseas) and Theory business (i.e., apparel design and retail business inJapan and overseas), etc.
2. Basis of Preparation
The interim condensed consolidated financial statements have been prepared in accordance with IAS 34. The Group meets all of
the criteria of a “specified company” defined under Article 1-2 of the Consolidated Quarterly Financial Statements Rules andaccordingly, applies Article 93 of the Consolidated Quarterly Financial Statements Rules. Since the interim condensed
consolidated financial statements do not include all the information and disclosures required for consolidated financial statements,
they should be read in conjunction with the Group’s annual consolidated financial statements for the year ended 31 August 2022.
The interim condensed consolidated financial statements were approved on 13 July 2023 by Tadashi Yanai Chairman, President andCEO, and Takeshi Okazaki, Group Executive Vice President and CFO.
3. Significant Accounting Policies
Significant Accounting Policies applied in the Interim Condensed Consolidated Financial Statement are the same as those applied in
the consolidated financial statements for the previous consolidated fiscal year, with the exception of the below newly applied standard.
Since the third quarter of the current consolidated fiscal year, the Group has adopted the below standard.
Standard
IAS 12(Revised)Standard Name

Summary of New/Revised Content and Transitional Measures

Income Taxes

A temporary exception to the recognition and information disclosure requirements about
deferred tax assets and liabilities related to the International Tax Reform - Pillar Two Model
Rules.

The application of IAS 12 (Revised) has no significant impact on the Group's Interim Condensed Consolidated Financial Statement.
4. Use of Estimates and Judgments
The preparation of the interim condensed consolidated financial statements requires management to make judgments, estimates andassumptions that affect the application of accounting policies and the reported amounts of assets and liabilities, income andexpenses. Actual results may differ from these estimates.
The estimates and underlying assumptions are reviewed on an ongoing basis. The effects of the review of accounting estimates arerecognized in the accounting period in which the estimates were reviewed and in future accounting periods.
The Company made accounting estimates involving the assumption that the impact of the global spread of COVID-19 will continue
to recover for most countries and regions, including Japan. For other countries and regions, the impact may continue for mid to longterm.
In principle, estimates and judgments that have significant effects on the amounts recognized in the interim condensed consolidated
financial statements are the same as those in the preceding fiscal year.

225. Segment Information(i) Description of reportable segments
The Group’s reportable segments are components for which discrete financial information is available and reviewed regularly by
the Board of Directors (the “Board”) to make decisions about the allocation of resources and to assess performance.
The Group’s main retail clothing business is divided into four reportable operating segments: UNIQLO Japan, UNIQLOInternational, GU and Global Brands, each of which is used to frame and form the Group’s strategy.
The main businesses covered by each reportable segment are as follows:
UNIQLO Japan: UNIQLO clothing business within Japan
UNIQLO International: UNIQLO clothing business outside of Japan
GU: GU clothing business in Japan and overseas
Global Brands: Theory, PLST, COMPTOIR DES COTONNIERS and PRINCESSE TAM.TAM clothing business(Changes to classification of reportable segment)
From the three months ended 30 November 2022, in accordance with the partial review of the performance management
segmentation, Royalty Department performance that had previously been presented under "UNIQLO Japan" is now included in
the “Adjustments”.
This is due to the increase in sales of UNIQLO International including Europe and United States and the accompanying increasein royalty revenue, which has resulted in a change in positioning of the Royalty Division to a corporate division.
The segment information for the nine months ended 31 May 2022 and three months ended 31 May 2022 is based on the revised
segmentation.
(ii) Segment revenue and results
For the nine months ended 31 May 2022
Reportable segments
Total

Others(Note 1)

90,084

1,762,877

2,229

－

1,765,106

17,852720

254,033(319)

17,370271,084

132,374

18,816430

259,584(374)

90,045349,255

12,114

1,457

560

14,132794－

14,927UNIQLOJapan

UNIQLOInternational

GU

GlobalBrands

Revenue

640,972

841,274

190,545

Operating profit / (loss)

102,668

132,793

Segment income /(loss) (i.e., profit
before income taxes)

107,963－

Other disclosure:
Impairment losses(Note 3)

(Millions of yen)Interim
Condensed
Adjustments
Consolidated(Note 2)
Statement ofProfit or
Loss(Note 1) “Others” includes the real estate leasing business, etc.
(Note 2) “Adjustments” mainly includes revenue and corporate expenses which are not allocated to individual reportable segments.
(Note 3) Details on the Impairment losses are stated in note “8. Impairment losses”.

23For the nine months ended 31 May 2023
Reportable segments
Total

Others(Note 1)

106,449

2,141,795

1,708

－

2,143,504

25,8181,479

311,00629

19,538

330,574

184,736

25,233789

315,77247

43,383359,203

1,047

140

744

1,932

－

－

1,932

UNIQLOJapan

UNIQLOInternational

GU

GlobalBrands

Revenue

709,745

1,097,605

227,995

Operating profit / (loss)

99,608184,100

Segment income /(loss) (i.e., profit
before income taxes)

105,013－

Other disclosure:
Impairment losses(Note 3)

(Millions of yen)Interim
Condensed
Adjustments
Consolidated(Note 2)
Statement ofProfit or
Loss(Note 1) “Others” includes the real estate leasing business, etc.
(Note 2) “Adjustments” mainly includes revenue and corporate expenses which are not allocated to individual reportable segments.
(Note 3) Details on the Impairment losses are stated in note “8. Impairment losses”.

24For the three months ended 31 May 2022
Reportable segments
Total

Others(Note 1)31,090545,281847－

546,129

8,466

(323)

74,730192

6,883

81,80631,302

9,281

(434)

77,883

171

58,634

136,689

8,533

271

35

8,840

－

－

8,840

UNIQLOJapan

UNIQLOInternational

GU

GlobalBrands

Revenue

198,459

248,010

67,721

Operating profit / (loss)

34,16832,419Segment income /(loss) (i.e., profit
before income taxes)

37,734－

Other disclosure:
Impairment losses(Note 3)

(Millions of yen)Interim
Condensed
Adjustments
Consolidated(Note 2)
Statement ofProfit or
Loss(Note 1) “Others” includes the real estate leasing business, etc.
(Note 2) “Adjustments” mainly includes revenue and corporate expenses which are not allocated to individual reportable segments.
(Note 3) Details on the Impairment losses are stated in note “8. Impairment losses”.
For the three months ended 31 May 2023
(Millions of yen)
Reportable segments
Total

Others(Note 1)

Adjustments(Note 2)

Interim
Condensed
Consolidated
Statement ofProfit or Loss

UNIQLOJapan

UNIQLOInternational

GU

GlobalBrands

Revenue

214,579

342,345

82,42736,213

675,566587－

676,153

Operating profit / (loss)

32,20861,421

12,753

1,326

107,710

(143)

2,743

110,31136,80961,72912,767

1,062

112,368(126)

16,461

128,704

－

632

－

515

1,148

－

－

1,148

Segment income / (loss)(i.e., profit before
income taxes)
Other disclosure:
Impairment losses(Note 3)(Note 1) “Others” includes the real estate leasing business, etc.
(Note 2) “Adjustments” mainly includes revenue and corporate expenses which are not allocated to individual reportable segments.
(Note 3) Details on the Impairment losses are stated in note “8. Impairment losses”.

25

6. Inventories
Write-down of inventories to their net realizable values recognized in expenses is as follows:(Millions of yen)
Nine months ended
31 May 2022

Nine months ended
31 May 2023

6,503

6,936

Write-down of inventories to net realizable value

7. Property, Plant and Equipment
The breakdown of the carrying amount of property, plant and equipment at each reporting date is as follows:(Millions of yen)
As at
31 August 2022

As at
31 May 2023

Buildings and structures

125,947

136,442

Machinery and equipment

29,71042,069Furniture, fixtures and vehicles

26,06428,089

Land

1,927

1,927

Construction in progress

11,575

7,931

195,226

216,460

Total
8. Impairment Losses
The breakdown of impairment losses by asset type is as follows:(Millions of yen)
Nine months ended
31 May 2022
Buildings and structures

3,418

Furniture, equipment and vehicles

1,350

Construction in progress

718

Subtotal on property, plant and equipment

5,487

Software258

Other intangible assets

66

Subtotal on intangible assets

325

Right-of-use assets

9,112

Other non-current assets (long-term prepayments, etc.)2

Total impairment losses

14,927

The Group’s impairment losses during the nine months ended 31 May 2023 amounted to 1,932 million yen, compared with 14,927
million yen during the nine months ended 31 May 2022, and are included in “Other expenses” on the Interim condensed
consolidated statement of profit or loss.
A breakdown of assets with recognized impairment losses is not included because the impairment losses recorded by the Groupduring the nine months ended 31 May 2023 was immaterial.

26

For the nine months ended 31 May 2022
Property, plant and equipment and Right-of-use assets
Impairment losses amounting to 14,927 million yen represented write downs of the carrying amounts of store assets to therecoverable amounts, primarily due to a reduction in profitability of certain stores, including flagship stores. We made accounting
estimates involving the assumption that the impact of the global spread of COVID-19 will continue to recover for most countries
and regions, including Japan. For other countries and regions, the impact may continue for mid to long term.
The grouping of assets is based on the smallest identifiable CGU that independently generates cash inflow. In principle, each store,
including flagship stores, is considered as an individual CGU and recoverable amounts thereon are calculated based on value in use.
The value in use is calculated based on the cash flow projections with estimates and growth rates approved by management,
applying weighted-average discount rate of 19.4%. Theoretically, the projected cash flows cover a five-year period, and do not use agrowth rate that exceeds the long-term average market growth rate. The pre-tax discount rate calculation is based on the weightedaverage cost of capital.
The main CGUs for which impairment losses were recorded are as follows:
Operating segment

UNIQLO International

CGU

Type

FAST RETAILING (CHINA)TRADING CO., LTD., LLC UNIQLO

Buildings, structures and Right-of-use(RUS), UNIQLO USA LLC, etc.,
storesGU
Global Brands

G.U. CO., LTD., etc., stores

assets, etc.
Buildings, structures and Right-of-use
assets, etc.

COMPTOIR DES COTONNIERS

Buildings, structures and Right-of-use

S.A.S., etc., stores

assets, etc.

For the nine months ended 31 May 2023
No significant impairment losses.
9. Corporate Bonds
The 3rd non-collateralized corporate bonds of 50,000 million yen (interest rate: 0.491%; date of maturity: 16 December 2022) was
repaid during the nine months ended 31 May 2023.
10. Dividends
The total amount of dividends paid was as follows:
For the nine months ended 31 May 2022
Resolution

Total dividends(Millions of yen)

Dividends per share(Yen)

Meeting of the Board on 2 November 2021

24,514240

Meeting of the Board on 14 April 2022

28,608280

27

Record date

Effective date

31 August

5 November

2021

2021

28 February

10 May2022

2022

For the nine months ended 31 May 2023
Resolution

Total dividends(Millions of yen)

Dividends per share(Yen)

Record date

Effective date

31 August2022

4 November
2022

28 February

12 MayMeeting of the Board on 1 November 2022

34,744340

Meeting of the Board on 13 April 2023

38,330

375

2023
2023
Our common stock was split on a 3-to-1 basis, effective 1 March 2023. However, the amount of dividends per share is the same asprior to the stock split.

28

11. Revenue
The Group conducts its global clothing retail operations through both physical stores and e-commerce channels. The following is abreakdown of total revenue by major regional market operation.
Nine months ended 31 May 2022
Revenue(Millions of yen)

Percentage of Total
(%)

Japan

640,972

36.3

Greater China

410,769

23.3

South Korea, Southeast Asia, India & Australia

219,748

12.4

North America & Europe

210,75611.9

1,482,247

84.0

GU (Note 2)

190,545

10.8

Global Brands (Note 3)

90,084

5.1

Others (Note 4)

2,229

0.1

1,765,106

100.0

UNIQLO (Note 1)

Total(Note 1) Revenue is classified by nation or region based on customer location.
The designated regions and countries are classified as follows:
Greater China:
South Korea, Southeast Asia, India & Australia:

Mainland China, Hong Kong, Taiwan
South Korea, Singapore, Malaysia, Thailand, the Philippines,

North America & Europe:

Indonesia, Australia, Vietnam, India
United States of America, Canada, United Kingdom, France,
Russia, Germany, Belgium, Spain, Sweden, the Netherlands,
Denmark, Italy(Note 2) Main national and regional market:

Japan(Note 3) Main national and regional markets:
North America, Europe, Japan(Note 4) The “Others” category includes real estate leasing operations.

29Nine months ended 31 May 2023
Revenue(Millions of yen)

Percentage of Total
(%)

Japan

709,745

33.1

Greater China

476,33122.2

South Korea, Southeast Asia, India & Australia

342,954

16.0

North America & Europe

278,31913.0

1,807,350

84.3

GU (Note 2)

227,995

10.6

Global Brands (Note 3)

106,449

5.0

1,708

0.1

2,143,504

100.0

UNIQLO (Note 1)

Others (Note 4)
Total(Note 1) Revenue is classified by nation or region based on customer location.
The designated regions and countries are classified as follows:
Greater China:
South Korea, Southeast Asia, India & Australia:

Mainland China, Hong Kong, Taiwan
South Korea, Singapore, Malaysia, Thailand, the Philippines,

North America & Europe:

Indonesia, Australia, Vietnam, India
United States of America, Canada, United Kingdom, France,
Russia, Germany, Belgium, Spain, Sweden, the Netherlands,
Denmark, Italy, Poland(Note 2) Main national and regional market:

Japan(Note 3) Main national and regional markets:
North America, Europe, Japan(Note 4) The “Others” category includes real estate leasing operations.
12. Selling, General and Administrative Expenses
The breakdown of selling, general and administrative expenses for each reporting period is as follows:(Millions of yen)
Nine months ended
31 May 2022

Nine months ended
31 May 2023

Advertising and promotion

60,771

71,641

Lease expenses

58,88079,349Depreciation and amortization

134,536

139,211

Outsourcing

40,73545,309

Salaries

223,285

275,337

Distribution

71,09883,704

Others

66,22885,625655,536

780,180

Selling, general and administrative expenses

Total

30

13. Other Income and Other Expenses
The breakdown of other income and other expenses for each reporting period is as follows:(Millions of yen)
Nine months ended
31 May 2022

Nine months ended
31 May 2023

Foreign exchange gains (Note)

6,996

1,673

Others

8,197

7,200

15,194

8,874

Other income

Total(Millions of yen)
Nine months ended
31 May 2022

Nine months ended
31 May 2023

900

518

Impairment losses

14,927

1,932

Others

1,649

2,327

17,477

4,779

Other expenses
Loss on retirement of property, plant and equipment

Total(Note) Currency adjustments incurred in the course of operating transactions are included in “Other income”.
14. Finance Income and Finance Costs
The breakdown of finance income and finance costs for each reporting period is as follows:(Millions of yen)
Nine months ended
31 May 2022

Nine months ended
31 May 2023

Foreign exchange gains (Note)

77,863

7,920

Interest income

5,385

28,15561

583,311

36,082Finance income

Others
Total(Millions of yen)
Nine months ended
31 May 2022

Nine months ended
31 May 2023

5,092

7,453

47

－

5,139

7,453

Finance costs
Interest expenses
Others
Total(Note) Currency adjustments incurred in the course of non-operating transactions are included in “Finance income” .

31

15. Earnings per Share
Nine months ended 31 May 2022
Equity per share attributable to ownersof the Parent (Yen)

Nine months ended 31 May 2023
Equity per share attributable to ownersof the Parent (Yen)

4,699.13

5,527.11

Basic earnings per share for the period (Yen)775.99Basic earnings per share for the period (Yen)

777.90

Diluted earnings per share for the period(Yen)

774.81

Diluted earnings per share for the period(Yen)

776.65(Note) 1. The basis for calculation of basic earnings per share and diluted earnings per share is as follows:
Nine months ended
31 May 2022

Nine months ended
31 May 2023

237,836

238,519--

237,836

238,519

306,495,204

306,618,230--

Increase in number of common stock (Shares)

464,425

493,601(Number of share subscription rights included in increase)(464,425)(493,601)

Basic earnings per share for the period
Profit for the period attributable to owners of the Parent (Millions of yen)
Profit not attributable to common shareholders (Millions of yen)
Profit attributable to common shareholders (Millions of yen)
Average number of common stock outstanding during the period (Shares)
Diluted earnings per share for the period
Adjustment to profit (Millions of yen)

2. Our common stock has been split on a 3-to-1 basis, effective 1 March 2023. Equity per share attributable to owners of the
Parent, basic earnings per share for the period and diluted earnings per share for the period have been calculated assuming thisstock split was conducted at the beginning of the previous fiscal year.
Three months ended 31 May 2022
Basic earnings per share for the period (Yen)
Diluted earnings per share for the period(Yen)

Three months ended 31 May 2023
296.84

Basic earnings per share for the period (Yen)
Diluted earnings per share for the period

296.41(Yen)

277.60277.08(Note) 1. The basis for calculation of basic earnings per share and diluted earnings per share is as follows:
Three months ended
31 May 2022

Three months ended
31 May 2023

90,991

85,126--90,991

85,126306,534,812

306,648,986--

Increase in number of common stock (Shares)

445,269

578,341(Number of share subscription rights included in increase)(445,269)(578,341)

Basic earnings per share for the period
Profit for the period attributable to owners of the Parent (Millions of yen)
Profit not attributable to common shareholders (Millions of yen)
Profit attributable to common shareholders (Millions of yen)
Average number of common stock outstanding during the period (Shares)
Diluted earnings per share for the period
Adjustment to profit (Millions of yen)32

2. Our common stock has been split on a 3-to-1 basis, effective 1 March 2023. Equity per share attributable to owners of the
Parent, basic earnings per share for the period and diluted earnings per share for the period have been calculated assuming thisstock split was conducted at the beginning of the previous fiscal year.
16. Fair value of Financial Instruments
Information about the carrying amount and fair value of financial instruments is as follows:(Millions of yen)
As at 31 August 2022

As at 31 May 2023

Carrying
amounts

Fair value

Carrying
amounts

Fair value

Bonds

135,214134,264

414,086

411,808

Security deposits and guarantees

68,626

69,09368,80568,716

203,840

203,357

482,891

480,524

369,589

370,513319,669

319,040

369,589

370,513319,669

319,040

Financial assets:

Total
Financial liabilities:
Corporate bonds
Total(Note) The amount above includes the outstanding balance of bonds and corporate bonds due within one year.
Notes concerning financial assets and financial liabilities for which carrying amount approximates fair value have been omitted.
The fair value of bonds is calculated with reference to publicly available market prices.
The fair value of security deposits and guarantees is calculated on the basis of the present value, applying the current market interest
rate.
The fair value of corporate bonds is calculated with reference to publicly available market prices.
The fair value measurements of bonds, security deposits / guarantees, and corporate bonds are categorized as level 2.
The following tables illustrate the fair value measurement hierarchy of the Group’s financial instruments. All assets and liabilities
for which fair value is measured or disclosed in the interim condensed financial statements are categorized within the fair value
hierarchy based on the following characteristics:
Level 1 - based on quoted prices (unadjusted) in active markets for identical assets or liabilities
Level 2 - based on valuation techniques for which the lowest level input that is significant to the fair value measurement isobservable, either directly or indirectly
Level 3 - based on valuation techniques for which the lowest level input that is significant to the fair value measurement isunobservable
When multiple inputs are used to measure fair value, the fair value level is determined based on the input with the lowest level
categorization in the overall fair value assessment.

33

The following tables illustrate the fair value measurement hierarchy of the Group’s financial instruments:(Millions of yen)
As at 31 August 2022

Level 1

Financial assets measured at fair value
through other comprehensive income

Level 2

Level 3

Total

301

-

189

490

Net financial assets and financial liabilities
measured at fair value through profit or loss-

(1,109)-(1,109)Net financial assets and financial liabilities
designated as hedging instruments - Fair value-

258,344-258,344

Fair value

301

257,234

189

257,725(Millions of yen)

As at 31 May 2023

Level 1

Financial assets measured at fair value
through other comprehensive income
Net financial assets and financial liabilities
measured at fair value through profit or loss
Net financial assets and financial liabilities
designated as hedging instruments - Fair value
Fair value

Level 2

Level 3

Total

－

－

189

189

－

23

－

23

－

192,771－

192,771－

192,795

189

192,984

For the valuation of Level 2 derivative financial instruments for which a market value is available, we use a valuation model thatuses observable data on the measurement date using inputs such as interest rates, yield curves, currency rates and volatility incomparable instruments.
Financial instruments categorized as Level 3 consist mainly of unlisted shares. The fair values of unlisted shares are measured by
the division responsible in the Group according to the Group’s accounting policy, etc., using the immediately preceding figuresavailable for each quarter.
There were no significant changes due to the purchase, sale, issuance and settlement of Level 3 financial instruments, and notransfers between Levels 1, 2 and 3.
17. Commitments for Expenditures
The Group had the following commitments at each reporting date:(Millions of yen)
As at
31 August 2022

As at
31 May 2023

Commitment for the acquisition of property, plant and equipment

32,926

16,754

Commitment for the acquisition of intangible assets

2,202

2,760

35,12819,515Total
18. Subsequent Events
Not applicable.

2. Others
Dividends
The Company resolved to pay dividends from retained earnings at the meeting of the Board convened on 13 April 2023.
The total amount of dividends paid and the amount per share are stated under “Financial Section 1. Interim Condensed
Consolidated Financial Statements, Notes to the Interim Condensed Consolidated Financial Statements 10. Dividends.”
34

(TRANSLATION)
INDEPENDENT ACCOUNTANT'S REVIEW REPORT
14 July 2023
To the Board of Directors of
FAST RETAILING CO., LTD.:
Deloitte Touche Tohmatsu LLC
Tokyo office
Designated Engagement Partner,
Certified Public Accountant:
Hirofumi Otani
Designated Engagement Partner,
Certified Public Accountant:
Akira Kimotsuki
Accountant's Conclusion
Pursuant to the first paragraph of Article 193-2 of the Financial Instruments and Exchange Act, we havereviewed the interim condensed consolidated financial statements of FAST RETAILING CO., LTD. and its
consolidated subsidiaries (the “Group”) included in the Financial Section, namely, the interim condensed
consolidated statement of financial position as at 31 May 2023, the interim condensed consolidated statementof profit or loss and interim condensed consolidated statement of comprehensive income for the three-monthand nine-month periods then ended, the interim condensed consolidated statement of changes in equity andthe interim condensed consolidated statement of cash flows for the nine-month period then ended, and therelated notes.
Based on our review, nothing has come to our attention that causes us to believe that the accompanying
interim condensed consolidated financial statements do not present fairly, in all material respects, theconsolidated financial position of the Group as at 31 May 2023, and its consolidated financial performance forthe three-month and nine-month periods then ended and its consolidated cash flows for the nine-month period
then ended in accordance with International Accounting Standard (“IAS”) 34 “Interim Financial Reporting”(“IAS 34”), pursuant to Article 93 of the “Rules Governing Term, Form and Preparation of Consolidated
Quarterly Financial Statements”.
Basis for Accountant's Conclusion
We conducted our review in accordance with quarterly review standards generally accepted in Japan. Our
responsibility under those standards is further described in the Accountant's Responsibility for the Review of
the Interim Condensed Consolidated Financial Statements section of our report. We are independent of theGroup in accordance with the provisions of the Code of Professional Ethics in Japan, and we have fulfilled ourother ethical responsibilities as accountants. We believe that we have obtained the evidence to provide abasis for our review conclusion.
Responsibilities of Management and Statutory Auditors and the Board of Statutory Auditors for theInterim Condensed Consolidated Financial Statements
Management is responsible for the preparation and fair presentation of the interim condensed consolidated
financial statements in accordance with IAS 34, and for such internal control as management determines isnecessary to enable the preparation of interim condensed consolidated financial statements that are free frommaterial misstatement, whether due to fraud or error.
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In preparing the interim condensed consolidated financial statements, management is responsible forassessing the Group's ability to continue as a going concern, disclosing, as applicable, matters related togoing concern in accordance with paragraph 4 of IAS 1 “Presentation of Financial Statements” (“IAS 1”).
Statutory Auditors and the Board of Statutory Auditors are responsible for overseeing the Directors' executionof duties relating to the design and operating effectiveness of the controls over the Group's financial reporting
process.
Accountant's Responsibility for the Review of the Interim Condensed Consolidated Financial
Statements
Our objective is to issue an accountant's report that includes our conclusion.
As part of a review in accordance with quarterly review standards generally accepted in Japan, we exercise
professional judgment and maintain professional skepticism throughout the review. We also:• Make inquiries, primarily of management and persons responsible for financial and accounting matters, andapply analytical and other quarterly review procedures. A review is substantially less in scope than an audit
conducted in accordance with auditing standards generally accepted in Japan.
• Conclude whether nothing has come to our attention, based on the evidence obtained, related to going
concern that causes us to believe that the interim condensed consolidated financial statements are notfairly presented, in all material respects, in accordance with paragraph 4 of IAS 1, if we conclude that amaterial uncertainty exists related to events or conditions that may cast significant doubt on the Group's
ability to continue as a going concern. If we conclude that a material uncertainty exists, we are required to
draw attention in our accountant's report to the related disclosures in the interim condensed consolidated
financial statements or, if such disclosures are inadequate, to modify our conclusion. Our conclusions are
based on the evidence obtained up to the date of our accountant's report. However, future events orconditions may cause the Group to cease to continue as a going concern.
• Evaluate whether nothing has come to our attention that causes us to believe that the overall presentationand disclosures of the interim condensed consolidated financial statements are not in accordance with IAS
34, as well as the overall presentation, structure and content of the interim condensed consolidated
financial statements, including the disclosures, and whether nothing has come to our attention that causes
us to believe that the interim condensed consolidated financial statements do not represent the underlying
transactions and events in a manner that achieves fair presentation.
• Obtain evidence regarding the financial information of the entities or business activities within the Group to
express a conclusion on the interim condensed consolidated financial statements. We are responsible forthe direction, supervision and performance of the review of the interim condensed consolidated financial
statements. We remain solely responsible for our conclusion.
We communicate with Statutory Auditors and the Board of Statutory Auditors regarding the planned scope
and timing of the review and significant findings that we identify during our review.
We also provide Statutory Auditors and the Board of Statutory Auditors with a statement that we havecomplied with relevant ethical requirements regarding independence, and communicate with them all
relationships and other matters that may reasonably be thought to bear on our independence, and whereapplicable, related safeguards.
Interest Required to Be Disclosed by the Certified Public Accountants Act of Japan
Our firm and its designated engagement partners do not have any interest in the Group which is required tobe disclosed pursuant to the provisions of the Certified Public Accountants Act of Japan.
Notes to the Readers of Independent Accountant's Review Report
This is an English translation of the independent accountant's review report as required by the Financial
Instruments and Exchange Act of Japan for the conveniences of the reader.

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