Next lifts FY profit guidance again as hot summer boosts Q2 sales

(Sharecast News) - UK retailer Next on Wednesday lifted profit guidance again after second quarter full-price sales smashed estimates due to the hotter summer and the release of pent‑up demand in the Middle East and Northern Europe.

The retailer said it now expects pre‑tax profit of £1,243m for 2026/27, an increase of £25m from its prior forecast in March, which itself was an upgrade from January.

It added that the latest increase reflected the benefit of £70m in additional full‑price sales during Q2, which boosted profit by £15m, alongside a £10m uplift from stronger‑than‑expected returns on its equity investments.

Full‑price sales in the quarter rose 9.2%, well ahead of the company's earlier forecast for 4% growth.

The group maintained its guidance for the rest of the year, expecting full‑price sales to rise 5% in the second half.

Reporting by Frank Prenesti for Sharecast.com