HEATWAVE HELPS NEXT TURN ROUND SALES FALL

THE early summer heatwave helped Next reverse falling sales – sending its shares shooting up nearly 10pc.

The fashion retailer soared as full price sales had increased by 0.7pc in the three months to July 29 – a marked turnaround from a 3pc drop in the first quarter.

Next said most of the increase was due to the warmer weather in June and July.

Business also benefited from fewer clearance items, an 11.4pc jump in its directory catalogue and online arm and better product ranges. But the retailer admitted it had 5pc less stock during its end-of-season sale, while markdown sales dropped by 14pc, causing its total sales – including markdowns – to fall by 2.1pc in the quarter.

Its retail sales also slumped 7.4pc in the period.

Despite the mixed results, Next narrowed its full-year sales guidance to -3pc to plus 0.5pc, from its previous guidance of - 3.5pc to 0.5pc.

Its full-year profit guidance remained unchanged at £680m. Shares rose 9.7pc, or 388p, to 4401p.