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| About 150 consumers line up in front of Uniqlo's flagship store in Myeong-dong, downtown Seoul, to buy the Japanese apparel brand's products in this Oct. 12 file photo. / Courtesy of FRL Korea |
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| FRL Korea CEO Hong Sung-ho |
Uniqlo has posted record-high earnings in the Korean market, despite the boycott of Japanese brands here over several controversies and worsening diplomatic ties between Korea and Japan, industry officials said Wednesday.
According to the regulatory filing of FRL Korea, the local operator of Uniqlo, it posted 1.37 trillion won ($1.21 billion) in sales between September 2017 and August 2018, up 11 percent from a year earlier.
Its operating profit was 234.4 billion won, up 33 percent from a year earlier.
Uniqlo was initially expected to face stagnation in its growth this year as it has drawn criticisms from Korean consumers for its ads and T-shirts, both of which included images of the Rising Sun Flag, considered a controversial symbol of Japan's military colonialism during World War II here.
Some analysts also cited the intensifying competition among fast fashion brands.
However, the apparel brand successfully finished its discount event held from Nov. 16 to 19 as dozens of people queued up to shop at Uniqlo stores nationwide. At that time, access to its online store was temporarily unavailable as too many consumers were trying to buy products online at the same time.
In addition, FRL Korea also opened nine additional Uniqlo stores in Korea this year. It currently runs 187 stores nationwide.
Considering its aggressive expansion here throughout 2018, industry officials say Uniqlo will be free from anti-Japan sentiment caused by Japan's protests against the Korean Supreme Court's recent rulings on Japanese firms for wartime forced labor.
Moreover, FRL Korea has denied rumors that Uniqlo sponsors Japanese right-wing groups.
According to industry officials, the boycott of made-in-Japan products has no significant impact on product sales, because most of the movements are not organized and Japanese brands have attracted Korean consumers with their trendy products.
"Recently, products with simple designs and practicality have been popular among consumers," a fashion industry official said. "Consumers tend to buy products despite boycotts, if the products are equipped with what they want."
Uniqlo has attracted Korean consumers with affordable items with practical value, such as HeatTech and AIRism.
