What's going on?

All that attention from Ariana must have gone to Next�s head: the UK fashion retailer reported promising holiday season results on Friday, driven by strong online sales. No � thank u, Ari!

What does this mean?

Next � a bellwether for the UK retail industry as a whole � saw its fourth-quarter sales rise more than 5% from the year before. That was largely thanks to a 15% climb in online sales, which made up for declining sales at its physical stores (sound familiar?). That strong end-of-year performance is now spilling over into 2020: Next is forecasting a 3% boost in sales this year, as well as an extra injection of cash which it�ll hopefully return to shareholders via share buybacks � reducing the number of shares in circulation and boosting profit per share � and dividends.

Why should I care?

The bigger picture: Downbeat high street.
Next�s update will come as a relief to UK retailers, which have been hit by intense online competition and ongoing Brexit jitters. The beleaguered sector � which represents the country�s biggest private employer � has seen 85,000 job cuts over the past year as retail chains like Mothercare and Debenhams shutter their stores. Next�s remaining high-street neighbors should perhaps take note of its strong online sales, which now account for more than half the company�s total. It might be why the company�s stock went up 75% in 2019 � making it one of the sector�s best performers.

Zooming out: Optimism across the pond.
Apple�s shares hit an all-time high last week amid optimism around the tech giant�s holiday season: investors are predicting strong sales for AirPods and the Apple Watch. They may also be excited by Apple�s nearly 1.5 billion-strong user base, which the company aims to translate into recurring revenue via subscription services like Apple TV+. It�s no coincidence the company signed a deal last week with the former HBO chief responsible for Game of Thrones�