M&S posts rise in like-for-like sales, Tesco sales grow over key Christmas period

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Food and clothing retailer Marks & Spencer posted a 6.4% rise in UK third quarter like-for-like sales after a bumper Christmas period, and said it was still confident of making progress in the rest of the year despite a tough economic environment. The company said sales came in at £3.9bn. Food revenue in the 13 weeks to December 28 increased 8.9% and 1.9% for home, clothing and beauty. “As we enter the new year, the outlook for economic growth, inflation and interest rates is uncertain and the business faces higher costs from well-documented increases in taxation,” said chief executive Stuart Machin. “However there remain substantial opportunities and we are focused on what is within our control, as we reshape M&S for growth. Therefore, as indicated at the half year results in November, we are confident of making further progress in the remainder of the year.”

Grocery giant Tesco reported a solid uptick in sales growth over the key Christmas trading period, as it reported its highest market share in eight years. Sales across the UK and Republic of Ireland increased by 3.7% over the six weeks to 4 January, up from 2.8% growth over the third quarter ended 23 November, helped by growth at wholesale division Booker turning positive over Christmas. Operations in Central Europe also saw an acceleration of growth to 4.7% from 2.8%.

Discount retailer B&M reported third quarter revenue growth of 2.8% year-on-year on Thursday, driven by strong seasonal performance in the UK and robust growth in France, although Heron Foods experienced a decline. The FTSE 250 company flagged strong profit and cash generation in a trading update, as well as clean inventory levels and a continued positive start to January, alongside plans to open 73 new stores across its operations in the 2025 financial year. A 15p per share, or £151m, special dividend was declared, with further capital returns to be considered after the ongoing redomicile process was finalised.

Newspaper round-up

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US close

Stocks on Wall Street closed in a mixed state on Wednesday, with the Dow Jones Industrial Average up 0.25% at 42,635.20.

The S&P 500 added 0.16% to 5,918.25, while the Nasdaq Composite fell 0.06% to 19,478.88.