Next Plc has raised its profit guidance again following a better than forecast third quarter. It says that it now expects to achieve a £1.135 billion pre-tax profit this financial year, which is up from its previous guidance of £1.105 billion.
The multi-brand, multichannel retail giant had benefited from higher overseas sales, as well as picking up volume when Marks & Spencer suffered from its much-publicised cyberattack.
Commenting on Next’s trading update, Julie Palmer, partner at Begbies Traynor, said:
“Next has once again proven why it’s the gold standard in UK retail. With guidance lifted and healthy sales growth both at home and abroad, the retail giant’s winning formula of tight cost control, effective stock management and a well-balanced online and store offer is clearly paying off.
“At a time when many retailers are feeling the squeeze from rising costs, weak consumer confidence and uncertainty around the next Budget, Next appears largely immune to such pressures. Instead, with a growing international presence and consistently strong UK performance, the FTSE 100 retailer remains firmly on a winning streak. For now, it’s hard to see what could knock it off course.”
Next Plc CEO Simon Wolfson has criticised the government’s handling of the economy, including the increases made to employers’ national insurance contributions, which have been widely blamed for job losses in the retail and hospitality sectors. The company was also keen to point out that its improved Q3/25 performance was partly attributable to a reduction in global supply chain issues, which had impacted stock levels in Q3/24.
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