Next raises full-year profit guidance after Q3 sales surge UK, overseas

Next PLC has significantly outperformed expectations in its third-quarter trading, prompting it to raise its full-year profit guidance. Full-price sales surged by 10.5%, £76 million ahead of the initial forecast, with UK sales increasing by 5.4% and overseas sales soaring 38.8%, well above previous guidance. The company increased its fourth-quarter full-price sales growth forecast from 4.5% to 7.0%, potentially adding an additional £36 million in sales. As a result, Next raised its full-year pre-tax profit guidance by £30 million to approximately £1.135 billion, with full-price sales expected to reach £5.55 billion. Next also plans to return around £425 million in surplus cash to shareholders via a special dividend, signaling limited opportunities for acquisitions in the near term. The company attributes its success to disciplined inventory control, increased digital marketing investment, and strategic international expansion, which have helped it thrive despite broader market challenges.