M&S sales grow despite slump fears

My Account
Logout

Create an Evening Standard Account

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Welcome! Sign in here

Use your social network

Save time by using your existing account to sign in to Evening Standard

We'll never share your information or post anything to your account without your permission

Forgot your password ?

Registration

* indicates fields that are mandatory

Email *

Password *

Confirm Password *

First name *

Surname *

Postcode *

Country *

Mobile phone number

Username *

Gender *

Year of birth *

When you sign up...

You will have access to all our online competitions, discounted offers and can post comments on our site.

You will also receive The Weekender newsletter sent every Thursday - it’s full of fantastic offers and ideas for the weekend. You can update your email preferences in your account page when you log in.

Other newsletters and emails

Homes & Property Newsletter - Yes I want to receive the weekly email with all the latest news on property in the capital

Occasionally we would also like to send you relevant emails detailing specific offers either from ourselves or carefully selected partners. If you would prefer not to receive these then please tick the appropriate boxes below. We will never pass on your details.

I do not want to receive additional offers and information from the Evening Standard

I do not want to receive additional offers and information sent by Evening Standard on behalf of carefully selected partners

Terms and Conditions

* I have read, understood and agree to be bound by the terms and conditions of Evening Standard

Registration

Mail Sent for Registration Confirmation.

A confirmation email has been sent. Please activate your account by clicking on the activation link sent in your mail box.

The group posted like-for-like sales growth of 2% for the three months to June 30, surprising both investors and analysts, who were bracing themselves for a trading slump.

But while the high street giant's figures were better-than-expected, the sales growth was the worst recorded for six quarters as M&S battled against wet weather conditions and uncertainty over consumer spending after five rate hikes in less than a year.

The group's sales figures - seen as an insight into the wider health of high street trading - compare with a rise of 8.2% in the first quarter of last year.

Food sales saw only marginal growth over the past three months, rising by 0.7% on a like-for-like basis, although the group posted a 2.9% rise in like-for-like sales of general products as shoppers turned to homewares in the dull weather.

Stuart Rose, M&S chief executive, said he was "pretty pleased" with the results, given the adverse conditions faced by the chain and disruption caused by a sweeping store refurbishment programme.

He added that trading would remain "very challenging" in the short-term, but would not derail its recovery plans.

The retailer only recently made a return to health after almost a decade of depressed sales.

M&S reported a 28.5% rise in annual profits to £965.2 million in May, close to the £1 billion seen in 1998 before the group hit more troubled times.

The firm stressed it would push on with store openings and its refurbishment programme, with plans to expand its retail space by 4.5% this year. M&S also hopes to revamp 70% of its store portfolio in time for the "critical" Christmas period.