Next reports strong sales growth after posting 9.2% increase

• Next reports strong sales growth after posting 9.2% growth in sales over 13 weeks to 1 September.
• The company attributes the outperformance to higher online sales, driven by a strong performance in the UK and Northern Europe.
• Next also expects a further increase in full-year profits of 1.243 billion sterling, saying that the third-quarter sales growth will translate into full-year profit growth.

British retailer Next said it expects its new sales to be higher than forecast, despite reporting a rise in sales. The company said it expects a further increase in sales growth, driven by a strong performance in the UK and Northern Europe.

Next said that full-price sales, which do not include clearance sales, rose by 9.2% over 13 weeks to 1 September. It added that it expects sales growth of 4% for the full year.

Next’s UK sales rose 2.8%, but its online sales fell, with the company attributing the decline to fewer purchases in stores. Online sales in the UK fell 37%, with the company citing lower sales to investors.

The company said it expects the following: temperature in red and yellow will be higher, and it will be lower. Next also said it expects full-year profits of 1.243 billion sterling, with 25 million in full-year profits. According to the company, this will be 7.3% higher than last year, i.e. in line with the company’s forecast.

According to the company, it expects that its sales will rise in Iran, which it says is due to a further increase in demand, and that the Middle East will see a 6% rise in sales. In addition, Lord Simon Wolfson said the company plans to pay shareholders dividends of up to 8%.

Tags: Europe/Middle East/Economy