Britain’s Next upgrades profit projection for second time in two months

Next, a British-based fashion retailer increased its full-year profit projection for the second time in two months after posting stronger-than-expected first-quarter trading.

Next reported on Thursday its central guidance for pretax profit in the 2021-2022 fiscal year increased to 720 million pounds ($1 billion), from the previous 700 million pounds projection made in April.

The move was made after full price sales in the 13 weeks to May 1 declined 1.5% against the same period in 2019. The retail firm’s previous guidance assumed first-quarter sales would fall 10% from the same period in fiscal 2019-20. Next said it had surpassed this forecast by 75 million pounds.

Despite the upbeat figures, Next did not increase its sales guidance for the remainder of the year, which it kept at 3% growth versus two years ago.

Next trades from about 500 stores and online. Shares in Next, which spiked 77% over the last year, closed on Wednesday at 8,126 pence, valuing the business at 10.8 billion pounds.