Uniqlo chief executiveShoichi Miyasaka said the group was excited to expand its presence in NSW.

Japanese retailer, Uniqlo has expanded its footprint with the signing of leases at Westfield Miranda and Parramatta, at a time when the international brands are now seeing more growth opportunities outside of capital cities.

The store, which has opened in Sydney's central business district and the Macquarie Centre at Macquarie Park in the North, has earmarked the suburbs of Sydney and Melbourne as the growth sectors.

Shoichi Miyasaka, chief executive of Uniqlo Australia said, the group was excited to expand its presence in NSW, and extend the offering of "high quality, affordable options" to customers who are yet experience the brand.

"We've received a very positive response from the local market since we opened our first store in Sydney and we're incredibly excited to continue to grow our presence within Australia, as a key market for our brand in the Asia and Oceania region," Mr Miyasaka said. 

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In a move to ensure the optimum retail experience for their customers, the new UNIQLO Parramatta store will span over 1090 square metres  in the recently refurbished Westfield, which has transformed with the addition of an entertainment and lifestyle precinct.

Likewise, the Miranda store spanning 1250 sqm will open up alongside 100 new retailers within the recently redeveloped centre, the largest shopping centre in Sydney's south.

The openings come as audit, tax and advisory firm BDO, has analysed the profit margins of Australia's 20 highest (sailors), two low-growth but stable (swimmers) and 10 poorest-performing (sinkers) retail sub-sectors.

The author of the report, the Changing Tides, BDO partner and retail specialist John Bresolin, said fast fashion was the only bricks-and-mortar sub-sector to make the top 20. 

"The sub-sector is set to hold particularly strong with revenue growth of 12.5 per cent in 2015 and 10.1 per cent in financial year 2016, an example perhaps of how retailers are ramping up efforts to improve their in-store offering to compete with online, " Mr Bresolin said.

"There are some green shoots in bricks and mortar as some operators that have previously struggled are starting to successfully reduce, and in some cases reverse, sales decline."

He said the lower Australian dollar, might deliver to Australian retailers a short-term sales spike as overseas purchases become less attractive to consumers, however if local retailers pass on the higher costs of purchasing foreign-made stock to customers, they may see sales weaken again in the future.

The report added that the data shows competition could intensify as retailers continue evolving their offering to changing consumer demands and it is increasingly pivotal for retailers to maintain a competitive online presence.

"Traditional bricks and mortar retailers may need to focus less on the online/offline split and instead explore the integration of these channels," he said.