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Next narrows profit guidance after strong festive sales

High street retailer Next has upped its profit predictions for the full-year after a surge in Christmas sales.

The company narrowed its profit guidance in its latest trading statement, and raised its estimations from between £590m- £620m to £611m-£625.

Next said its sale, which famously attracts crowds of early morning shoppers, has started well and stock was down 8.2% on last year.

Sales were up 3.9% in the period between the 1st November and 24th December, while the retailer predicted pre-tax profit growth of between 7.1% and 9.6% for its full year statement.

Next said: “We think it is unlikely there will be any dramatic change in the consumer environment in the year ahead.

“Healthy employment numbers mean that there is little risk of a significant downturn. However, the continued growth in price inflation ahead of wage inflation means that real wages will continue to fall, albeit at a slower rate than last year.

“On balance, we expect the consumer environment to remain subdued but steady.”

Plans to expand the Next Directory online business in the UK and abroad were announced by the store, along with s strategy to open new profitable space and enhance shareholders’ returns.

Further information is due to be released by the company in March this year.

This was posted in Bdaily's Members' News section by Miranda Dobson .