Retailer Next has cut its forecast for 2014 profit after a mild autumn reduced demand for winter clothing.
Full-year profit may be from £750m to £790m, said Next, with growth of 8-14%, but less than the £775m to £815m that was previously predicted. Sales for the three months to 25 October grew 5.4%, slower than the 10% growth expected.
Last month, Next's shares fell when it said that if the warm weather continued, sales would be hit.
UK retail sales fell more than expected last month after the driest September since records began in 1910, according to the Met Office.
A strong pound and a good sales record last year mean sales are expected to grow at a more sluggish rate of 1%, said Next.
Slowdown
The Office for National Statistics said sales volumes fell 0.3% in September compared with the month before, more than expected and the weakest figure since January. Mild weather in September put shoppers off buying winter clothes, but sales were weaker in other sectors too.
Slow wage growth, falling house prices and global economic worries have raised concerns about the UK recovery.
Chancellor George Osborne has warned that the UK will not escape a slowdown in the eurozone economy. Year on year, retail sales are up by 2.7%, said the ONS.
bbc.com
Full-year profit may be from £750m to £790m, said Next, with growth of 8-14%, but less than the £775m to £815m that was previously predicted. Sales for the three months to 25 October grew 5.4%, slower than the 10% growth expected.
Last month, Next's shares fell when it said that if the warm weather continued, sales would be hit.
UK retail sales fell more than expected last month after the driest September since records began in 1910, according to the Met Office.
A strong pound and a good sales record last year mean sales are expected to grow at a more sluggish rate of 1%, said Next.
Slowdown
The Office for National Statistics said sales volumes fell 0.3% in September compared with the month before, more than expected and the weakest figure since January. Mild weather in September put shoppers off buying winter clothes, but sales were weaker in other sectors too.
Slow wage growth, falling house prices and global economic worries have raised concerns about the UK recovery.
Chancellor George Osborne has warned that the UK will not escape a slowdown in the eurozone economy. Year on year, retail sales are up by 2.7%, said the ONS.
bbc.com
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