Fast Retailing the owner of Uniqlo said that the ongoing coronavirus pandemic has lowered its profits and readjusted its financial predictions for the rest of the year.

The company expects an annual operating profit of ¥130 billion JPY. It marks 50 per cent reduction as compared to the lesser 44 percent that was predicted previously. It has lead to an operating loss of ¥4 billion JPY ($37,400 USD) in the period between March and May.

Even after this, the brand still remains confident as it reports a strong rebound in domestic sales for the month of June in Japan as well as a faster-than-expected recovery in the Chinese market. The brand’s domestic sales which includes online purchases increased by 26 percent last month compared to a year earlier.

The company saw “higher demand for summer ranges as the temperature rose above the previous year’s level from the beginning of the month”.