Next boosts outlook on bumper third quarter
Updating on trading, the blue chip retailer said full price sales surged 7.6% in the 13 weeks to 26 October, well ahead of the 5% uplift it had forecast.
Next attributed the better-than-expected performance to the arrival of colder weather this year, which compared favourably to last year’s unusually warm September and early October.
As a result, Next lifted guidance for fourth-quarter full price sales to 3.5%, and full-year profits and sales.
It now expects 2024/25 sales to come in at £5.02bn, compared to its previous forecast for £4.98bn, with pre-tax profits topping £1bn, at £1.005bn. That would be an 9.5% increase on the previous year.
Total group sales - which include markdowns and subsidiaries - are forecast to be £6.27bn, up 7.4% year-on-year.
Prior to Wednesday’s update, Next had expected full-year pre-tax profits to come in at £995m on sales of £4.98bn.
Retail analyst Richard Hyman told the BBC that the results were "tremendous" with Next "outperforming the market comfortably".