Next has increased its profit projection for the year, aiming to exceed £1 billion.
- The retailer expects a 7.4% increase in total group sales compared to last year.
- Sales growth stems from early cold weather and key acquisitions.
- A forecast of additional £43m in full price sales is anticipated for Q4.
- Next will provide further updates on sales early next year.
Next has announced an upward revision of its profit guidance for the year, now expecting to exceed £1 billion. This adjustment, from an earlier forecast of £995 million to £1.01 billion, reflects improved sales performance. This optimistic outlook also entails a revision in the guidance for fourth-quarter full price sales growth by 1.0% to 3.5%.
For the full year up to 26 October, Next anticipates a 7.4% increase in total group sales compared to the previous year, reaching £6.27 billion. The latest forecast is 2.5% above the earlier predicted growth in full price sales of 4.9%, as stated in September.
The surge in sales is attributed to the early onset of colder weather this year, as opposed to the warmer September and October experienced in 2023. This weather shift has apparently fueled stronger demand for the retailer’s offerings.
Additionally, the significant sales growth is supported by recent acquisitions. Notably, Next acquired a 97% share in FatFace last October and increased its equity in Reiss both in September 2023 and June 2024, ultimately holding a 74% share in Reiss.
The company plans to provide another update on its sales figures for the period ending 28 December, with a report expected on 7 January 2025.
Next’s strategic adjustments and favourable market conditions are strengthening its financial outlook.
