Next Christmas sales increase by 4.8 percent

Sales in the Christmas period to December 30 at Next plc were up 4.8 percent versus last year.

This, the company said in a statement, was 66 million pounds better than its previous guidance of negative 2 percent for the period.

Based on its results, Next has increased the full year pre-tax profit guidance by 20 million pounds to 860 million pounds, up 4.5 percent versus last year.

Based on this profit guidance, earnings per share (EPS) are expected to be 567.2p, up 6.9 percent versus last year.

“We remain cautious in our outlook for the year ahead,” the company said.

“Initial guidance for the year ending January 2024 is for full price sales to be down 1.5 percent and pre-tax profit to be 795 million pounds, down 7.6 percent versus the current year,” it said.

Uncertainty ahead

The company added that forecasting for the year ahead at this early stage comes with a high level of uncertainty. Next expects underlying product sales to be down 2.2 percent.

Next results for the full year ending January 2023 will be published on Wednesday March 29, 2023.

The high street giant has had a busy few months. In November, it bought Furniture e-tailer Made.com out of administration for an undisclosed sum.

Weeks later, it acquired a majority stake in struggling heritage brand Joules through a newly formed company for 34 million pounds in cash.

Through its agreement, Next will own 74 percent of the equity, with the remaining 26 percent to be owned by Joules founder Tom Joule.

It announced at the time that 19 Joules stores will be closed by administrators. But it said it intends to continue operating a “significant number of stores” - around 100 of its current 124 - in the UK and Ireland.