What: Uniqlo is making the most of the return of Chinese shoppers in stores.

Why it is important: The Chinese consumption recovery is a reality however for now it did not translate on traditional external markers (Europe).

Uniqlo's parent company, Fast Retailing, is predicted by analysts to report a 25% increase in profits for Q3, setting a new record for the company. This comes as the retailer's recovery in the Chinese market continues, with sales and profit seeing a sharp uptick since January.

Fast Retailing has over 925 Uniqlo outlets in mainland China, surpassing the number in Japan. Furthermore, the company's shares have seen a 30% rise this year, contributing to founder Tadashi Yanai's status as Japan's wealthiest individual.

In light of pandemic restrictions in China, Uniqlo has been concentrating on its North American and European operations, with plans to expand from 61 to 200 stores in North America by 2027.

Uniqlo’s profits are soaring thanks to a Q3 record in China