Marks & Spencer (M&S) has reported a 34% fall in pre-tax profits to £297.8m for the three months ending September 27. The drop follows a decline in sales across its food and clothing businesses.
It has reported a 5.3% fall in sales across its food division as consumers have moved to cheaper competitors. While sales fell by 6.2% across clothing and homewares.
The retailer’s profits are still ahead of analyst forecasts, which estimated M&S profits to be between £280m-£295m. Its operating profits also fell from £488m to £372m.
Stuart Rose, M&S executive chairman, blames current market conditions and declining consumer confidence for the fall in profits. The retailer expects the sales to weaken further during the run up to Christmas.