Marks & Spencer has announced that it anticipates its full fiscal-year results will align with market expectations following a robust performance during the crucial Christmas period.
During the 13 weeks leading up to December 30, the U.K. retailer reported a 7.2% increase in group sales. The growth was mainly driven by food division sales, which soared by 11%, while the clothing & home unit also experienced a commendable sales increase of 4.8%.
Stuart Machin, Chief Executive of Marks & Spencer, attributed the success to the company's strategy of reshaping M&S for growth. He stated, "Our strategy to reshape M&S for growth has enabled sustained sales momentum across Food and Clothing & Home over the Christmas period."
In terms of specific regions, total U.K. sales climbed by 8.5%, while international sales faced a decline of 6.4%.
Despite starting the year on a positive note, Marks & Spencer acknowledges the existence of near-term challenges. They specifically mentioned consumer and geopolitical risks, as well as additional cost increases stemming from higher-than-anticipated wage and business rates related cost inflation.
Nonetheless, buoyed by the strong Christmas trading performance, Marks & Spencer expressed confidence in achieving results that align with market expectations.
U.S. Interest Rates Expected to Remain High
Stocks in 2024: The Risks of Timing
Our Latest News
Mondi Reports Decreased Profit in Challenging Market Conditions
Mondi, the paper-and-packaging company, reports a decline in pretax profit and revenue due to challenging market conditions. The company is also continuing the...
McCormick Stock Drops as China Sales Suffer
McCormick's stock drops after Q3 revenue falls short due to slow sales in China. Total sales still increase, driven by a price hike. McCormick maintains sales o...
Global Economic Growth Expected to Decelerate
The World Bank predicts a deceleration in global economic growth due to various factors, with risks such as tight monetary policy and weak global trade. Develop...