Next has increased its full-year profit forecast, with expectations to reach over £1 billion.
- The retailer anticipates an additional 1.0% growth in its fourth-quarter full-price sales.
- Next’s total group sales are predicted to rise by 7.4% compared to last year.
- The early onset of colder weather has positively impacted sales performance.
- Acquisitions, including FatFace and Reiss, have contributed significantly to sales growth.
Next, a leading British high street retailer, has revised its profit forecast upward for the year, now expecting to exceed £1 billion. This positive adjustment is primarily attributed to improved sales, spurred by an anticipated 1.0% growth in fourth-quarter full-price sales, reaching 3.5%.
Throughout the year ending on October 26, Next foresees total group sales climbing by 7.4% over the previous year, amounting to £6.27 billion. This expected surge is 2.5% higher than the initially predicted 4.9% rise in full-price sales, as outlined in Next’s September update.
The shift in seasonal weather, with colder temperatures arriving earlier than usual compared to a particularly warm September and early October in 2023, has been highlighted as a significant factor contributing to the retailer’s stronger performance.
Moreover, Next’s strategic acquisitions over the past year have played a crucial role in this sales growth. The company acquired 97% of FatFace in October 2023 and increased its shareholding in Reiss to 74% between September 2023 and June 2024.
Next plans to provide further updates on its sales figures through December 28, with an announcement slated for January 7, 2025.
In summary, Next’s strategic actions and favorable market conditions have paved the way for a substantial profit increase this year.
