Next lifts profit forecast again, citing strong summer sales and consumer resilience

Next reported that its summer performance exceeded expectations, prompting a third profit guidance upgrade for 2026. Full-price sales rose 9% in the quarter ending 1 August, boosted by favorable weather and pent-up demand in the Middle East and northern Europe. The company now forecasts a pre-tax profit of £1.2 billion, about £25 million above the prior estimate and a 7.3% increase year-on-year.

The news sent the stock up almost 7% to a fresh all-time high, making it the top mover on the FTSE 100. Simon Wolfson, chief executive, credited the strong showing to consumer willingness to spend despite budget pressures. Commentators such as Garry White of Raymond James noted that Next’s pattern of modest guidance followed by strong delivery continues to attract investors, even as rivals like John Lewis face tighter margins and lower sales.