UK's Next to mitigate Iran war costs with 'moderate' price rises
- Next also reports a better-than-expected 6.2% rise in full price sales for its first quarter to May 2
LONDON: British clothing retailer Next plans to mitigate the cost increases caused by the Iran war with “moderate” price rises in some international markets and cost savings elsewhere, it said on Wednesday.
European apparel retailers, including H&M, have warned that a prolonged Middle East conflict, will push up prices and dent consumer demand.
Next also reported a better-than-expected 6.2% rise in full price sales for its first quarter to May 2 and edged up its full-year profit guidance.
It said the first quarter sales beat was the result of exceptionally strong growth in the first five weeks of the year, before the Middle East conflict began.
Next buys British footwear brand Russell & Bromley
For 2026/27, the group is now forecasting profit before tax of 1.218 billion pounds ($1.65 billion), up from its previous forecast of 1.210 billion pounds and versus the 1.158 billion pounds it made in 2025/26.
The group forecast full price sales growth of 5.0% for the full-year.
Shares in Next are down 5% so far this year.
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