Buoyed by a 5.7 per cent increase in full-price sales, slightly exceeding the anticipated 5 per cent rise, Next Plc reported robust first-quarter sales. The company attributed this growth to easing price pressures, which spurred consumer interest in purchasing clothing and footwear.

Despite this positive performance, Next maintained its previous outlook for the fiscal year, projecting a pre-tax profit of £960 million ($1.2 billion) and a 6 per cent increase in group sales. However, it anticipates a weaker second quarter due to unexpectedly cold weather conditions, which may impact sales.

As a key player in the fashion and homewares industry with numerous stores across the UK and a substantial online presence, Next's performance is closely monitored as a barometer of broader retail trends. Simon Wolfson, CEO has consistently surpassed expectations, prompting the company to revise its outlook upwards five times last year amid growing demand.

Analysts have generally viewed Next's first-quarter results positively, considering the challenging weather conditions. While the cold April weather has posed a challenge, the company's solid performance reflects consumer confidence buoyed by easing inflation, particularly in clothing and footwear prices, which have entered deflation for the first time since January 2022.

However, the outlook for the second quarter is more cautious, with Next anticipating a slight decline in sales, attributed in part to tougher comparisons with the unusually warm weather experienced during the same period last year