Warm weather could dent Next's profits
Published: 30 September 2014
Next is warning that if the current spell of unseasonably warm weather continues into next month, and shoppers continue to shun autumn clothing, its full-year profits will take a hit.
The Met Office revealed today that September was likely to be the driest since records began, and one of the warmest of the past 100 years.
Next says that while a cooler August resulted in several very strong weeks, the warmer weather in the more important month of September has had the reverse effect. Third-quarter sales to date are therefore up by just 6%, down on the 10% forecast.
"If this unusually warm weather continues for the full duration of October then we are likely to lower our full-year profit guidance range of £775m to £815m," says the retailer.
According to the Met Office, though, the Indian summer is coming to an end, with the weather set to become cooler, wetter and windier from early October.