Good weather makes up for Next H1

This week has started with major corporate announcements

in the international clothing industry. Saks will soon change hands, while Sixty Group is closer than ever to get its financial struggles sorted. Meanwhile, Next has benefited a benevolent summer across Europe.

In London, Next topped the trade corporate news after releasing total sales for the 26 weeks ended July 27, 2013 up by 2.3 percent both online and at their catalogue sales unit, Next Directory (+8.3 percent).

The results in the first half of Next’s fiscal year have been in the upper half of its forecast for the year and, as a result of the combined effect of the increase in full price and a lower price reduction, the business added 10 million pounds to the first semester’s profit, raising its earnings expectations for the year to grow between 1.5 percent and 3.5 percent.

As noted by both the market and the own fashion retailer, Next has benefited from unusually warm British weather this summer, thus informing a 2.3 percent increase in sales in the six months to the end of July. The shares rose 2.3 percent to 50.15 pounds. Hunter Peel analyst John Stevenson said: "The sustained heat has effectively saved the Spring/Summer season after a slow start and poor trading at Easter, for the benefit of all apparel retailers, that means that it is likely for M&S and Debenhams to also show similar trends."

Across the Atlantic, Saks Inc (NYSE: SKS) agreed to be acquired by Hudson's Bay (HBC.T) in a deal of 2.4 billion dollars on the basis of about 16 dollars per share of Saks, this is 4.5 percent higher than the last closing price of the stock before the deal was made public.

Finally, Wedbush analysts have cut their recommendation on Francesca Holdings (NASDAQ: FRAN) to 'neutral' from 'overweight', citing several factors.