The outlook for UK retail is now better than before. A clothing retailer by the name Next Plc says the Christmas-season sales this year have crossed the estimates of analysts. The shares are higher in London.
The Leicester-based retailer said stabilised wages and low inflation in the country are the reasons behind more positive picture in the UK retail compared to past few years.
It is reported this year the European clothing retailers have been struggling due to unusual warm weather that restricts shoppers in adding more to their wardrobes.
Next Plc has runs over 500 stores in UK and Ireland and in other places it has added more 200 stores. The retailer said it started with end-of-season sale to clear inventory, but with more stock than the same period in 2013.
The shares of Next were up by 4.4 percent and they traded at 6,760 pence, higher by 3.8 percent, yesterday at 8:48 am in London. With this the gain wraps up to 24 percent this year.
In the October 28th to December 24th period its sales grew by 2.9 percent where as analysts had expected a gain of only 1.1 percent.
During the eight-week Christmas period the revenue of Next grew by 0.5 percent. In the same period its home-shopping business Directory saw a sales rise of 7.5 percent.
Next said they will be more cautious next year as they may face tough comparable numbers then.