FAST RETAIL-DRS(06288)2020-01-10 00:00Financial Performance - Total revenue for the first quarter of FY2020 was ¥623.48 billion, a decrease of 3.3% year-on-year[5]. - Operating profit for the same period was ¥91.69 billion, down 12.4% compared to the previous year[5]. - Gross profit margin was 50.2%, a decline of 0.2 percentage points year-on-year[7]. - Net profit attributable to the parent company was ¥70.91 billion, a decrease of 3.5% year-on-year[5]. - Revenue from the Japan UNIQLO segment was ¥233 billion, a decline of 5.3% year-on-year[8]. - Online store sales in Japan reached ¥24.7 billion, an increase of 4.1% year-on-year[8]. - The net profit before tax for the quarter was ¥102 billion, down 8.2% year-on-year[7]. - Overseas UNIQLO revenue for Q1 was ¥280.7 billion, a decrease of 3.6% year-on-year, with operating profit down 28.0% to ¥37.8 billion[9]. - The Greater China region saw revenue and profit growth before currency effects, but operating profit declined due to RMB depreciation and lower profits in Hong Kong[9]. - Online sales in mainland China achieved approximately 30% revenue growth, continuing a strong trend[9]. - GU division reported Q1 revenue of ¥72.9 billion, an increase of 11.4%, and operating profit of ¥12.3 billion, up 44.4%[10]. - Global Brands division revenue for Q1 was ¥36.1 billion, down 11.4%, with operating profit declining 31.5% to ¥1.8 billion[11]. Cash Flow and Assets - The cash and cash equivalents at the end of the period were ¥1,115.03 billion[5]. - The company reported a net cash inflow from operating activities of ¥97.65 billion[5]. - Operating cash flow for the three months ending November 30 was ¥97.6 billion, an increase of 224.0% year-on-year[15]. - Total assets as of November 30 were ¥2,528.2 billion, an increase of ¥517.7 billion from the previous fiscal year-end[12]. - Total liabilities increased to ¥1,494.0 billion, up ¥467.0 billion from the previous fiscal year-end[13]. - Cash and cash equivalents increased to ¥1,115.0 billion, up ¥28.5 billion from the previous fiscal year-end[14]. Sustainability Initiatives - The company is focusing on sustainability initiatives, including recycling down jackets and using recycled polyester for new products[12]. Stock Options and Shares - As of November 30, 2019, the total number of issued shares was 106,073,656[24]. - The company issued stock options for 3,548 shares to employees, with an exercise period from November 8, 2022, to November 7, 2029[26]. - The company granted stock options to 528 employees and 1,389 employees of its subsidiaries, totaling 37,424 stock options[29]. - The exercise price for the stock options is set at 1 Japanese Yen per share, with a fair value of 66,733 Yen at the grant date[29]. - The company emphasizes that unexercised stock options will become invalid in the event of a reorganization[30]. Financial Statements and Accounting Standards - The company's financial statements have been prepared in accordance with international accounting standards[37]. - Deloitte Touche Tohmatsu LLC has reviewed the quarterly financial statements for the three-month period ending November 30, 2019[38]. - The company has adopted IFRS 16 "Leases" starting from the first quarter of the fiscal year, affecting the accounting treatment of leases[55]. - The adoption of IFRS 16 resulted in the recognition of right-of-use assets amounting to ¥368,714 million and an increase in lease liabilities of approximately ¥420,488 million[63]. Dividends - The company paid dividends amounting to ¥24,484 million in the three months ended November 30, 2018, and the same amount was recorded in 2019[46]. - For the three-month period ending November 30, 2019, total dividends paid increased slightly to ¥24,494 million, maintaining the per share dividend at ¥240[76]. Market Expansion and Future Growth - The company aims to expand its overseas UNIQLO and GU businesses, focusing on major cities and flagship stores[7]. - The company plans to focus on market expansion and new product development to drive future growth[40].