Christmas gift for Next as profit guidance increases again

Next, the Enderby-based retail giant, has posted stellar sales results for the period over Christmas.

The company said that full-price sales for the nine weeks to December 30 were up by 5.7% against 2022 – some £38m better than its previous guidance.

It all means that Next has upgraded its full-year profit guidance again – this time by £20m to £905m – a rise of 4% on last year. Sales are forecasted to come in at £4.78bn.

The upgraded full-year forecast comes just weeks after Next issued similar advice to shareholders after a boom in third quarter sales, in which it increased its profit guidance by £10 to £885m.

Richard Lim, CEO at Retail Economics, said:“These figures are astonishingly strong and they will set them apart from the competition. There’s a gap emerging between those retailers who have invested heavily in their digital proposition over the last decade with those who have not and Next is leading the pack.

“Their online sales were the driving force this Christmas but it was only made possible with the evolving value of their stores. Click and collect, showcasing products in shops, and returns to stores are all critical requirements for an increasing number of consumers.

“Their clever acquisitions over the last few years are also beginning to reap rewards”.