Any respite for Next’s shareholders amid the macroeconomic tumult has been short lived. Two profit upgrades this year have been punctuated by warnings on trading performance. Investors can’t rely on the latest increase to guidance heralding a much smoother ride over the next 12 months.
The retailer has raised pre-tax profit guidance for the 12 months ended January to £860 million, from the £840 million it had initially expected, after Christmas trading delivered more of a boost than Next dared hope. That should put profits this year back where Lord Wolfson of Aspley Guise, chief executive, told the market earnings were likely to end up this time last year.
Over the peak Christmas trading period full-price sales were up almost 5 per cent on the
