Skip navigation

Gloucestershire Business News

First ever loss for M&S

Marks & Spencer has suffered its first loss in its 94 year history as a publicly-listed company.

In the six months to 26th September, the retailer which has stores in Cheltenham, Gloucester and Cirencester, made a loss of £87.6m, compared with profits of £158.8m in the same period last year, as reported by the BBC.

But the firm's chief executive said its performance had actually been "much more robust than at first seemed possible".

Sales for the six-month period fell by 15.8 per cent to £4.09bn - largely due to lower fashion and homeware sales. While online sales increased during lockdown, they in no way matched the lost sales due to store closures.

Clothing sales in particular were hit by increased demand for casual clothing during lockdown. Clothing sales at city centre stores were down by 53 per cent between July and September.

Like-for-like food sales rose by 2.7 per cent in the same period.

M&S was one of the few big food retailers without its own online delivery service. It began a partnership with online supermarket Ocado in September, and has already seen a rise in sales and profitability. The retailer created over 750 new grocery lines to broaden its appeal to Ocado customers.

It's thought the new partnership could offset lost sales from office workers nipping in to M&S for lunch.

Related Articles

Coronavirus LIVE Updates: The latest news from across Gloucestershire on Tuesday, December 1 Image

Coronavirus LIVE Updates: The latest news from across Gloucestershire on Tuesday, December 1

The latest important news and updates from across Gloucestershire as the coronavirus crisis continues.

Debenhams faces closure as rescue talks collapse Image

Debenhams faces closure as rescue talks collapse

Debenhams faces closure, with the potential loss of 12,000 jobs, after the collapse of talks to buy the troubled retailer -
but Gloucester City Council's leader said any closure would not affect the King's Square development.

ProCook sets Black Friday record despite shop closures Image

ProCook sets Black Friday record despite shop closures

Kitchenware retailer ProCook defied the enforced closure of most of the company's shops to record single day sales - topping £500,000 for the first time.

Topshop owner Arcadia goes into administration Image

Topshop owner Arcadia goes into administration

Arcadia, the owner of high street brands including Topshop, Burton, Miss Selfridge and Wallis has gone into administration, putting 13,000 jobs at risk.

Copyright 2020 Moose Partnership Ltd. All rights reserved. Reproduction of any content is strictly forbidden without prior permission.