It’s retail all of the way this week as the heavyweights reveal how they fared over crucial Christmas week.
After Next (LON:NXT), Marks & Spencer (LON:MKS, Poundland (LON:PLND), jewellery group Signet (LON:SIG) and Topps Tiles (LON:TPT) have reported, investors should have a pretty good idea over the mood of the consumer.
Sector bellwether John Lewis was the only major chain to report this week, with a 2.3% jump year-on-year to £129.2mln in the week to Boxing Day seen as a decent showing.
Online sales had a strong seven days, increasing by 25.1% from last year, while a record volume of customers used its app.
Popular items sold included headphones, wearable devices, watches and beauty products. John Lewis’ clearance sale started on Christmas Eve, but only got fully underway on 27 December.
Next has been consistently edging up its guidance.
Its latest statement saw the low end of its full year profits guidance raised to £810mln, from £805mln, with £845mln remaining the top of the range.
Sales growth in the year to end January was forecast to rise by a minimum of 4% rather than the 3.5% outlined in its interims.
Marks & Spencer can only look on enviously at numbers like that. Food has been its staple as clothing sales have dipped for 16 out of the last 17 quarters.
There were some signs of progress in the interim statement in November, however.
Sales were still down but margins held up as M&S stopped discounting as aggressively.
Clothing has also seen management changes and investors will hope for evidence this has led to improved sales as well in this week’s statement.
Trading statements confirmed so far
Tuesday 5 January:
Next
Wednesday 6 January:
Topps Tiles
Thursday 7 January:
Signet