Pursuits
Next CEO Wolfson Pays Price for Fashion Faux Pas as Shares Slide
- Stock drops as much as 7.2% as retailer trims profit forecast
- Omission of basic garments from range hurt first-quarter sales
Shoppers carry Next branded bags from a Next Plc store in London.
Photographer: Rupert Hartley/BloombergThis article is for subscribers only.
Too many trendy fashions and too few basic garments have proved costly for Next Plc.
Sales declines at the U.K. clothing retailer worsened in the first quarter of the financial year, causing it to trim its profit forecast at an early stage and sending the shares tumbling. By its own admission, Next placed too much emphasis on getting the latest fashion lines into stores quickly, leading to staples such as easy-to-wear work blouses being squeezed out of its ranges.