Next has reported that its full-price sales over the Christmas trading period (from 28th October and 29th December) were in line with expectations and up +1.5% YoY, with strong sales in the three weeks prior to Christmas – plus a good half-term holiday week at the end of October – making up for disappointing sales in November.
While online sales were £17m (+2.2%) ahead of expectations, retail sales were £16m (-1.7%) behind.
The retailer expects to post full price sales growth of +3.2% for the full year, and has revised its profit guidance downwards, by -0.6% – a difference of £4m, which Next attributes to higher sales on seasonal products plus increased operational costs associated with its online sales.
Nothwithstanding the realities in the event of Brexit, it expects the year ahead to return a sales performance similar to what it saw in H2 2018 – physical retail sales down -8.5% and online sales up +11%.
