LONDON, Jan 9 — Britain’s Marks & Spencer reported a better-than-expected 8.9 per cent rise in like-for-like food sales and a 1.9 per cent rise in clothing, home and beauty in the Christmas trading period, making it one of the best performers on the high street.
The retailer’s upmarket food is traditionally popular at Christmas, but in 2024 it said its strong sales and market share growth made it the top performing store-based grocery retailer over the period.
Tesco, Britain’s biggest food retailer, reported a 4.1 per cent rise in underlying Christmas sales today.
Chief Executive Stuart Machin said M&S had carried the momentum from its strong performance throughout 2024 into Christmas.
“Sales records were broken across the business, with Food recording its biggest day and Clothing, Home & Beauty online its biggest week, but we’re not complacent - as a growth business it’s our job to break records,” he said today.
Analysts had expected the company to report a 7.8 per cent rise in food sales and a 0.7 per cent rise in clothing and home sales for the 13 weeks to December 28, according to a company-compiled consensus.
M&S’s home sales had around a 2 per cent point drag from the closure of its furniture business last year, according to analysts.
Shares in M&S have risen 31 per cent in the last 12 months, hitting an eight-year high of 415 pence in November, as the group’s turnaround looked increasingly secure.
Machin, however, said today the environment remained challenging, with cost and economic headwinds to navigate, but he added that there was much within the group’s control.
M&S said in November it expected a £120 million (RM664 million) headwind from higher taxes and wage costs from April. — Reuters
