M&S posts surprise surge in Q3 clothing sales

Marks&Spencer has reported a 5.9 percent rise in sales on a reported basis in the 13 weeks to December 31, 2016. Clothing & Home sales rose by 3.1 percent of which, the company said, 1.5 percent was due to the shift in reporting period, which led to the inclusion of five additional days of the December sale. clothing & home like-for-like sales were up by 2.3 percent.

Commenting on the results, Steve Rowe, Chief Executive, said in a statement, “I am pleased with the customer response we have seen to the changes we are making in line with our plan for the business. I would like to thank the whole team for their hard work over this busy period. In clothing & home, better ranges, better availability and better prices helped to improve our performance in a difficult marketplace. We also continued to substantially reduce discounting, including over Black Friday.”

The company said it substantially reduced sales on promotion in the period, with many fewer category promotions particularly over Black Friday. International sales increased 2.9 percent at constant currency benefiting from earlier shipments of spring ranges to our franchise partners.

“As we look forward, our Q4 reported numbers will be adversely affected by sale timing and a later Easter. Against the background of uncertain consumer confidence the business remains focused on delivering the strategic actions announced last year,” added Rowe.

Picture:M&S