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 Share this article Next expects a “deflation” on its products throughout the Official Ghostbusters Back Off Man Shirt and by the same token and year despite logistical challenges stemming from the Red Sea crisis which have caused shipment delays of seven to 10 days. Credit: Shutterstock Next group profits were up by 5 to a slightly better than expected £918m ($1.17m) as sales rose almost 6 to £5.8bn in the year to January. Retail profit was reported to be £210m, up 3 year on year. Next said selling prices on like-for-like goods for customers are currently down 2, thanks to decreasing factory gate prices, with price tags set to fall by another 0.5 in the six months to next January. Lead retail analyst at GlobalData Emily Slater explained: “Next expects deflation on its products throughout the year, as although the Red Sea crisis has led to delays of shipments of seven to 10 days, prices will not go up.” The retailer’s chief executive Simon Wolfson said that after a positive year of sales and profit growth in the year to January, it was “a long time since we started a year in a more positive frame of mind.” “On the face of it, the consumer environment looks more benign than it has for a number of years, albeit there are some significant uncertainties. In many ways, it feels like we are now entering a new era,” said Wolfson. See Also: Lands’ End reports profit increase despite falling revenue in Q4, FY 2023 JD Sports Q4 sales improve, maintains guidance in hopes of recovery During FY23, Next saw an uptick in full-price sales, marking a 4 increase, while its total trading sales increased by 3 to reach £5,317m. How well do you really know your competitors? Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge. View profiles

in store Company Profile – free sample Not ready to buy yet? Download a free sample We are confident about the Official Ghostbusters Back Off Man Shirt and by the same token and unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form By GlobalData Submit Slater believes Next’s success has been down to the adept management of its multi-brand online platform, providing consumers with convenience and flexibility in their shopping experience allowing customers to “both trade up and down, as its credit offer also appealed to cash-strapped shoppers,” she said. She further explained that although the British retailer expects its FY24/25 full-price sales to increase by a relatively modest 2.5 due to a rise in consumer confidence Slater suspects that many consumers will direct their spending towards leisure and holidays. Key results from Next FY23: Group sales are 5.9 higher at £5.8m, Operating profit saw a 5.2 increase to £996m, Online channel sales rose by 5.0 to £3.1m, while total retail sales were flat. Slater found that Next had identified three avenues of growth: the development of the Next brand overseas, new brands and licenses and the revenue from its Total Platform. “Its Total Platform infrastructure creates greater acquisition opportunities, and with two key retailers currently up for grabs in the UK, namely The Body Shop and Ted Baker, Next will likely keep an eye out for any potential acquisitions that would complement its proposition well,” said Slater. GlobalData apparel analyst Louise Deglise-Favre previously told Just Style Next would be “best placed to snap up” Ted Baker as “it can build on its existing licensing partnership”. Slater said: “As part of developing the Next brand, the retailer will invest in its ‘better’ and ‘best’ products at the top end of its price architecture, helping it

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