Home / Knowledge / News / Apparel/Garments / Underlying EPS up 5% at fashion retailer Next in FY16
Underlying EPS up 5% at fashion retailer Next in FY16
26
Mar '16
For fiscal ending January 31, 2016, underlying earnings per share (EPS) grew 5 per cent year over year to 442 pence at UK fashion retailer Next PLC.

As per a press release, total group sales rose 3 per cent from a fiscal ago period to £4.1 billion, while sales at Next Directory, its online and catalogue business, increased 8 per cent and Next Retail by 1 per cent.

Following the good results declared by the fashion retailer, it proposes to increase its total full fiscal ordinary dividend by 5 per cent to 158 pence.

According to Next, its share price remained above its declared share buyback price limit for much of the fiscal. 

“Cash flow remained strong and we returned £568 million to shareholders through a combination of ordinary dividends amounting to £227 million and £341 million in special dividends,” it said.

“In January the share price fell and we restarted our buyback programme, returning a further £151 million,” the retailer added.

Next continued to invest in the business by spending £151 million on new stores, a new warehouse and systems. 

Net trading space increased by 275,000 square feet to 7.6 million square feet, while store numbers remained the same, with increase from new stores being offset by the closure of smaller, less profitable stores.

“Profitability of stores opened or extended in the last 12 months is forecast to average 18 per cent and payback on the net capital invested is expected to be 22 months,” Next explained. 

“Both figures meet company investment hurdles of 15 per cent store profitability and 24 months capital payback,” it observed.

In addition, it changed the credit terms for its Directory customers, which increased Directory debtors by some £215 million. 

“As a result, net debt increased to £850 million, but well within our bond and bank facilities of £1.3 billion,” the company noted.

David Keens and Jonathan Dawson left the board at the beginning of the fiscal and Amanda James joined the board as David's replacement as group finance director.

“The strength of the Group is built on the hard work and productivity of all the people who work for Next and I would like to thank them all for their contribution throughout the year,” Next's chairman said.

The fashion retailer forecast 2016 to be a challenging year with much uncertainty in the global economy.

“For Next, it is particularly important that we remain focussed on delivering long term EPS growth, investing in the business, improving the design and quality of our products and returning surplus cash,” the company stated.

Fibre2fashion News Desk - India


Must ReadView All

Uzbekistan, S Korea to launch textile techno park in Sept

Textiles | On 19th Feb 2018

Uzbekistan, S Korea to launch textile techno park in Sept

Uzbekistan and South Korea plan to launch a modern textile techno...

Hyosung to invest Rs 3,000 cr in Maharashtra spandex unit

Textiles | On 19th Feb 2018

Hyosung to invest Rs 3,000 cr in Maharashtra spandex unit

The largest global spandex producer Hyosung Corporation of South...

Courtesy: VF Corporation

Apparel/Garments | On 19th Feb 2018

VF Corp Q4 revenue climbs 20% to $3.6 billion

The revenue of VF Corporation, a global leader in branded lifestyle...

Interviews View All

Smarth Bansal
Colorjet India Limited

We would like to venture more companies into the Indian market

Kamlesh Vaghela
RK Textiles

Very few machinery manufacturers have R&D units

Ghanshyam Ghoghari
Kimora Fashion

Bridalwear is not about reds and whites anymore

Erik Sy

Manila-based CustomThread is a start-up offering premium custom apparel...

Liz Manning

<div><b>Liz Manning</b>, Business Development Manager at Catexel, has...

Hardik Sanghvi

Idealin Fogging Systems has been engaged in designing and manufacturing...

Mark Paterson
Technical Absorbents Ltd

Mark Paterson, R&D manager of Technical Absorbents Ltd talks about Super...

Marcel Alberts
Eurofibers

Coating at a fibre level is a practice not usually seen in the...

Steve Cole
Xerium Technologies

Steve Cole of Xerium Technologies discusses the industry. Xerium is the...

Amiben Shroff
Shrujan

From its modest beginning in the late 1960s, Shrujan has grown into a...

Akta Adani
India Boulevard

India Boulevard is a San Francisco-based curated fashion marketplace that...

Sanjukta Dutta
Sanjukta's Studio

<b>Sanjukta Dutta</b> creates unique garments by clubbing prints of...

Press Release

Press Release

Letter to Editor

Letter to Editor

RSS Feed

RSS Feed

Submit your press release on


editorial@fibre2fashion.com

Letter To Editor






(Max. 8000 char.)

Search Companies





SEARCH

February 2018

Subscribe today and get the latest update on Textiles, Fashion, Apparel and so on.

news category


Related Categories:

Planning to Take the Leap towards
Sustainability?

Do you see sustainability as a route to business growth?

Yes No

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes No

Active Poll

Do you see sustainability as a route to business growth?

Yes
70.6%
No
12.7%
Skip
16.7%

Total Votes: 102

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes No

Active Poll

Do you think the sustainability space has the needed tools and resources available for a business to lead change?

Yes
63.7%
No
29.4%
Skip
6.9%

Total Votes: 102

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes No

Active Poll

Do you think adopting a sustainable approach will be a profitable move for your business?

Yes
88.2%
No
8.8%
Skip
2.9%

Total Votes: 102

Thanks for your valuable feedback. Claim your free latest sustainability e-book.

Active Poll

Do you want the world to know about your sustainability journey and your business’ environmental footprint?

Yes
83.3%
No
7.8%
Skip
8.8%

Total Votes: 102


E-News Insight
Subscribe Today and Get the
Latest News Update in Your Mail Box.
Advanced Search