Sales at Next grew 9.2% year on year in Q2 2026, according to the company’s latest trading statement – more than double the 4% growth forecast for the quarter.
This put sales £70 million ahead of forecast (£19m in the UK and £51m overseas), which Next attributes to the hot weather accelerating demand, release of pent-up demand in the Middle East and Northern Europe after a weaker first quarter, and a strong overseas marketing performance.
International sales growth
International online sales saw the largest growth of any of Next’s business divisions, rising from 12.8% in Q1 to 36.9% in Q2 – despite the fact that, earlier this year, Next warned that the ongoing Middle East conflict could push up prices for international customers.
Interestingly, UK online sales dropped from 10.1% in Q1 to 5% in Q2. Online sales of Next’s own label brand contributed to this decline, falling by 1.2%, but the results indicate that the UK digital channel is largely saturated compared to high-growth overseas territories.
Decline in retail estate sales
The online growth offset a decline in the retail store estate, which saw sales falling by 0.3% – reflecting broader high street footfall as the heatwave kept shoppers at home.
Next has raised its profit guidance for the third time this year, by £25m to £1,243m.
Commenting on the results, investment bank Peel Hunt said: “While the narrative is familiar, it is the breadth of Next’s reach that demonstrates the strength of the platform, with outperformance across Label, international operations, and equity-invested brands. We maintain our Hold rating, and 13,900 target price.”
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