Fast Retailing, the Japanese owner of Uniqlo, raised its annual earnings forecast after a sharp rise in quarterly profit. Net profit climbed 146.7 billion yen ($902.1 million) for the three months ended May, beating analysts’ expectations of 118.9 billion yen.

Quarterly revenue increased 1.01 trillion yen — a 22% jump — driven by stronger sales in the United States, Europe, and Asia.

For the fiscal year ending August, the company now projects revenue of 3.970 trillion yen and net profit of 500.00 billion yen, up from the previous 3.900 trillion yen and 480.00 billion yen forecasts.

The upgrade signals tighter margins and a competitive edge in the global apparel market. Investors may view the higher guidance as a catalyst for share price appreciation, while business leaders see a clearer path for international expansion amid currency volatility.