Next PLC (LSE:NXT) has increased profit guidance again after reporting sales during November and December were better than anticipated.
Kicking off the Christmas trading statement season, the Leicester-based retailer said in the nine weeks to 30 December 2023, full-price sales were up 5.7% compared to the year before, £38 million above previous guidance.
It is the fifth consecutive increase by the FTSE 100-listed firm, which last lifted expectations in November.
As a result, Next has raised full-year pre-tax profit guidance by £20 million to £905 million, up 4.0% versus last year, with full-price sales expected to reach £4.78 billion.
The company expects this number to grow by 5% in the following financial year to £960 million with EPS rising 4.6% to 603.4p.
Online sales rose 9.1% in the fourth quarter with retail sales up 0.6% in the same period, both ahead of expectations.
Sales accelerated as Christmas approached, rising 10% in two weeks to 24 December.
The company said stock has been well controlled during the end of season sale with clearance rates seen broadly in line with last year.
Cash generation has also remained strong and Next anticipates it will generate circa £100 million more surplus cash than the previous guidance given in September.