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Next retailer to issue profit warning sending a chill around the city


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Old 04-01-2017, 08:06
ireland2day
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Not something the city wants to hear. Next retailer to issue profit warning of 14%.
Sterling troubles playing a big part and household inflation playing its part too.
CEO calling for no hard Brexit.

This is another warning to the May administration.

https://www.google.ie/url?sa=t&sourc...GW_k38PRhtU-xw
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Old 04-01-2017, 08:08
TheEngineer
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Next down 11% a few minutes after the market opens.

http://www.google.co.uk/finance?cid=9154554
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Old 04-01-2017, 08:09
trunkster
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Not something the city wants to hear. Next retailer to issue profit warning of 14%.
Sterling troubles playing a big part and household inflation playing its part too.
CEO calling for no hard Brexit.

This is another warning to the May administration.

https://www.google.ie/url?sa=t&sourc...GW_k38PRhtU-xw
Since when have Next's profit margins been linked entirely to Brexit?
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Old 04-01-2017, 08:11
TheEngineer
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Since when have Next's profit margins been linked entirely to Brexit?
Not entirely to Brexit - but it is pretty simple as I am sure you are aware.

Next buys clothes from abroad

Sterling drops after Brexit

Clothes cost more

People can afford to buy less

Next makes less profit
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Old 04-01-2017, 08:12
ireland2day
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Since when have Next's profit margins been linked entirely to Brexit?
It was the Brexit vote which collapsed sterling making it the second worst performing currency of 2016.
Brexit, sterling and inflation all playing their part in Next troubles.
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Old 04-01-2017, 08:17
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It was the Brexit vote which collapsed sterling making it the second worst performing currency of 2016.
Brexit, sterling and inflation all playing their part in Next troubles.
Shush don't say this - we keep being told having a slumped Sterling is wonderful for our economy!

It's amazing that every other country doesn't seem to want to crash their currency considering its the pathway to economic boom.
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Old 04-01-2017, 08:34
ireland2day
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Next share price sinking by 12.8% this morning.
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Old 04-01-2017, 08:40
trevgo
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The first taste of 2017.

The false glee of 2016 will be wiped off the smirking Brexit faces very quickly. We're in for a horrible time.
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Old 04-01-2017, 08:42
Morlock
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The false glee of 2016 will be wiped off the smirking Brexit faces very quickly. We're in for a horrible time.
But at least we have "sovrinty".
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Old 04-01-2017, 08:43
TheEngineer
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The first taste of 2017.

The false glee of 2016 will be wiped off the smirking Brexit faces very quickly. We're in for a horrible time.
Indeed, and what will happen is that the Brexit zealots on here will either "disappear", register with a new username or blame anyone and everyone but themselves for what happens.
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Old 04-01-2017, 08:45
PorkchopExpress
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To be honest, Next have had this coming. They have been very lazy with their pricing and product range.?
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Old 04-01-2017, 08:51
James_Orton
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But at least we have "sovrinty".
Why are you taking that tone and spelling. What are you trying to project with that?
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Old 04-01-2017, 08:53
trevgo
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To be honest, Next have had this coming. They have been very lazy with their pricing and product range.?
Really?

We'll see what happens when the other retailers report. Perhaps they've all been "lazy".

What nonsense. Next are one of the sharpest operators on the block. One of very, very few who were in favour of Brexit, ironically.
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Old 04-01-2017, 08:54
trevgo
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Why are you taking that tone and spelling. What are you trying to project with that?
The tone of Brexiters, who chant it like a mantra.
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Old 04-01-2017, 08:58
Rastus Pieface
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one sentence stands out more than any other in the article:

"It reduced the upper end of profit forecasts for the current year from £845m to £825m.".

well, isn't that just a kick in the neck disaster.

my heart bleeds for those poor executives whose bonuses and share dividends may dip slightly.
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Old 04-01-2017, 09:01
Morlock
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one sentence stands out more than any other in the article:

"It reduced the upper end of profit forecasts for the current year from £845m to £825m.".

well, isn't that just a kick in the neck disaster.

my heart bleeds for those poor executives whose bonuses and share dividends may dip slightly.
But someone has to pay and make up for that loss, and it's not going to be the executives.
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Old 04-01-2017, 09:02
trevgo
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one sentence stands out more than any other in the article:

"It reduced the upper end of profit forecasts for the current year from £845m to £825m.".

well, isn't that just a kick in the neck disaster.

my heart bleeds for those poor executives whose bonuses and share dividends may dip slightly.
That is £25M they may well not be investing in refurbishing, expansion, new stores, more staff.

That's a 3% contraction - any idea what the result of an equivalent contraction in the economy produces?

Usual numbskull attitude - it's like banging one's head against a brick wall.
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Old 04-01-2017, 09:03
TheEngineer
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one sentence stands out more than any other in the article:

"It reduced the upper end of profit forecasts for the current year from £845m to £825m.".

well, isn't that just a kick in the neck disaster.

my heart bleeds for those poor executives whose bonuses and share dividends may dip slightly.
I don't think you understand quite how things like this affect the economy as a whole.
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Old 04-01-2017, 09:04
Staunchy
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The tone of Brexiters, who chant it like a mantra.
But they don't, it's more often than not brought up by remainers in an attempt to pre-empt what the brexiters will say. Just like Miliband's bacon sandwich was brought into a discussion more often than not by his supporters to try and second guess the other sides responses and poison the well.
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Old 04-01-2017, 09:04
trevgo
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I don't think you understand quite how things like this affect the economy as a whole.
Brexiters don't understand the bare basics. That is proven with every post they make.
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Old 04-01-2017, 09:08
Aurora13
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Brexiters don't understand the bare basics. That is proven with every post they make.
It seems to be getting worse.
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Old 04-01-2017, 09:12
Annsyre
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Why did Woolworths and BHS fail? Were there different reasons for their failure than those of Next?
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Old 04-01-2017, 09:39
trevgo
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Why did Woolworths and BHS fail? Were there different reasons for their failure than those of Next?
BHS and Woolworth were outdated businesses that did not keep up with trends and demands.

Next is anything but.

Wait until the rest of the retailers have reported - I predict they'll have had very poor Christmases. Next may well have done better than most. With unavoidable price rises about to hit, things can only get worse.
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Old 04-01-2017, 09:47
Aurora13
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Why did Woolworths and BHS fail? Were there different reasons for their failure than those of Next?
Is this a serious question? Do you really not understand the impact of the plummeting pound following Brexit vote on Business.
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Old 04-01-2017, 09:47
Annsyre
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BHS and Woolworth were outdated businesses that did not keep up with trends and demands.

Next is anything but.

Wait until the rest of the retailers have reported - I predict they'll have had very poor Christmases. Next may well have done better than most. With unavoidable price rises about to hit, things can only get worse.
But the FTSE has reached a record high.

I have never set foot in a Next outlet and don't know anyone who has.

"Next took a gamble on keeping their sales full price in the run-up to Christmas, it's what they usually do, and they usually use the sales to try and get people into the shops afterwards," said Kirsty McGregor of Drapers magazine.

However, she said, that strategy did not seem to have paid off this year.

"I think what we're seeing there... is an underlying move away from spending so much money on clothing and footwear. People seem to be spending more money on going out and on technology, things like that."


http://www.bbc.co.uk/news/business-38497998
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