Marks & Spencer Group Plc’s sales rose in the third quarter but the retailer kept its profit guidance unchanged as the cost-of-living crisis continues to weigh on consumer confidence.
(Bloomberg) — Marks & Spencer Group Plc’s sales rose in the third quarter but the retailer kept its profit guidance unchanged as the cost-of-living crisis continues to weigh on consumer confidence.
Both the grocery division and clothing beat expectations, rising 6.3% and 8.6% respectively on a like-for-like basis. Consumers bought more food and drink to enjoy at Christmas and to watch the football World Cup. M&S still expects that profit won’t rise this year due to the strain on shoppers and the company’s exit from Russia.
Chief Executive Officer Stuart Machin and co-CEO Katie Bickerstaffe are leading a turnaround, seeking to boost online sales, tackle the expensive store portfolio and stay relevant in clothing. In its food business, M&S is trying to encourage cash-strapped shoppers to fill their baskets with the Remarksable value range, while remaining a premium destination for foodies.
The stock lost almost half its value last year.
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