Next Plc Warns of Future Pain as Sales Surprise: The London Rush

Home and clothing retailer Next seems reluctant to take a win. Its sales weren’t quite as bad as they previously feared, but instead of raising guidance for the full year, they’re saying next quarter will be worse. “Shareholders might wonder why we are so cautious for sales in Q2,” the company said in its statement. The company might be wise to be cautious around its shareholders — consumer giant Unilever Plc faced a revolt yesterday as shareholders rejected its directors pay report at its A

(Bloomberg) — Home and clothing retailer Next seems reluctant to take a win. Its sales weren’t quite as bad as they previously feared, but instead of raising guidance for the full year, they’re saying next quarter will be worse. “Shareholders might wonder why we are so cautious for sales in Q2,” the company said in its statement. The company might be wise to be cautious around its shareholders — consumer giant Unilever Plc faced a revolt yesterday as shareholders rejected its directors pay report at its AGM, a rebuke for a messy year.

Here’s the key business news from London this morning:

In The City

Shell Plc: The energy major maintained the pace of buybacks, and said it will buy another $4 billion of shares, as it reported strong quarterly profit despite lower oil and gas prices.

It came as the company reported an adjusted net income of $9.65 billion in the first quarter, well ahead of even the highest analyst estimate

Next Plc: The clothing and homeware brand’s full price sales were not as bad as previously feared, although they were still lower year on year as shoppers pulled back on fashion purchases.

It is “too early” in the year to change its financial guidance, the company said, instead guiding its second quarter lower as the relative success of the first quarter might have “pulled forward” sales from the coming months
It also pointed to a tough comparison period as last year’s second quarter benefited from pent up demand for proms and weddings, as well as unusually warm weather

Liontrust Asset Management Plc: Swiss asset manager GAM Holding AG said it will recommend shareholders accept a deal from London-based Liontrust.

GAM has struggled to recover from a scandal five years ago that involved the shuttering of nine funds and the dismissal of star bond trader Tim Haywood

In Westminster

On Saturday morning, King Charles III will leave Buckingham Palace in a six-horse-drawn carriage en route to Westminster Abbey. The 1.3 mile route doesn’t just convey him to his coronation — it also provides a snapshot of the various strands of the unique fortune he now sits atop.

The government’s Help to Buy program, which expired in March, may be “on the verge of resurrection,” writes Bloomberg Opinion’s Matthew Brooker. The decade-long scheme, which offered interest-free government loans to enable people to get on the housing ladder, drew sustained criticism for adding fuel to an already overvalued property market, Brooker says. “The circumstances may be different now, but the logic of the proposition hasn’t improved with age.”