Next raises profit guidance after increase in sales
Next has increased its full year profit guidance by £10m after enjoying a period of increased sales during the second quarter.
During the 13 weeks to 29 July, Next’s full price product sales were up by 6.9% year-on-year, with online sales increasing 10% and retail sales growing by 2.2%.
In the first half of the year, Next’s full price product sales increased by 2.9% year-on-year.
As a result, the clothing and homeware retailer has opted to increase its profit guidance for the year ending January 2024 to £845m.
Next said that its stock levels have been “well-controlled” and it went into its end-of-season sale with surplus stock down by 22% compared to 2022. It add that its clearance rates are ahead of last year and ahead of its internal forecasts, adding around £4m to the group’s profit before tax.
The retailer will announce its full results for the first half of the year on Thursday 21 September.