Equity Brief · Consumer Cyclical2026-09-21
NXT.L·Consumer Cyclical

Last results 17 Sept 2026

NEXT plc

I · AI Analysis

The brief

NEXT sells clothing, homeware, and beauty products under its own NEXT brand and third-party labels through retail stores, online platforms, and franchise locations [Yahoo Finance]. The company also operates NEXT Finance (consumer credit), runs a 'Total Platform' that provides warehousing, distribution, and marketing services to third-party brands, and manages property holdings [Yahoo Finance].

NEXT plc is a UK-based apparel and homeware retailer operating through physical stores, online channels, and franchise locations across Europe, the Middle East, and Asia [Yahoo Finance]. The company reported higher sales and profit in its first half driven by international online growth and own-brand products, though management has grown more cautious about UK consumer spending [MarketBeat]. With trailing-twelve-month revenue of GBp 7.2B through 1 August 2026 and a health score of 10.0/10, NEXT shows strong financial fundamentals despite domestic market headwinds [Yahoo Finance] [Sentinellis calculation].

NEXT demonstrates exceptional financial health with strong profitability, robust cash generation, and manageable leverage.

The brief AI analysisConfidence 7/10

Sentinellis health

Financially healthy

10.0/10

7.5+ strong · 4.5–7.5 moderate · under 4.5 weak

Profitability

16% of score10.0/10
Net margin+12.9%Gross margin+44.1%

Returns on capital

16% of score10.0/10
ROIC+28.6%Return on equity+61.7%

Growth & momentum

11% of score10.0/10
Revenue growth+9.6%Operating margin trend· no data

Balance sheet

32% of score10.0/10
Current ratio1.5xNet debt / EBITDA1.3xInterest coverage13.3xDebt / equity1.20

Cash generation

16% of score10.0/10
Free cash flowGBp 1.1BCash vs reported profitGBp 1.3B vs GBp 928.6M

Value creation

11% of score10.0/10
ROIC vs cost of capital+20.5pp

Sentinellis calculation from the published statements — not a score reported by any data source. Each category is scored on the checks that had data; missing inputs are excluded rather than counted as failures.

Market capitalisation

GBp 16.4B

Revenue (TTM)

GBp 7.2B

II · Recent news

What moved

1 stories · ranked by relevance

  • company2026-09-17

    NEXT H1 Earnings Call Highlights

    MarketBeat

Premium · Free with any account

Management has become more cautious about UK consumer spending for the remainder of the year, signaling potential headwinds in the company's largest market [MarketBeat].

1 of 4 risks in this report

Risks

4

Opportunities

5

Leadership

6

8 more findings in the full report — free with any account.

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III · Related

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Produced 21 Sept 2026, 12:41 UTC

Figures come from company filings and market data. The Sentinellis health score and the wording attached to it are our interpretation of those figures, not numbers the company reported.

Not investment advice and not a recommendation to buy or sell. Sentinellis holds no positions in the companies it covers, takes no payment from issuers, and has no broker referral arrangements.

How every figure and score is calculated