Clothing and homeware retailer Next has increased its annual pre-tax profit forecast for the third time this year, now expecting to reach £1.2bn. This figure is approximately £25m higher than its previous guidance.
The FTSE 100 company reported a 9% rise in full-price sales during the second quarter compared to the same period last year, more than double its initial 4% estimate. Next stated it benefited from sunny weather and a release of “pent-up demand” in the Middle East and northern Europe in the 13 weeks ending 1 August.
The announcement comes as other retailers reportedly face a challenging trading environment, with warnings of inflation and declining consumer confidence. Next's shares saw an almost 7% jump on Wednesday morning, reaching a new record high.