British retailer Marks & Spencer posted a smaller-than-expected fall in fourth-quarter underlying sales, saying it was turning around its troubled food business and holding market share in clothing.
The 125-year-old firm said the trading outlook remains 'uncertain', but it kept its previous guidance on profit margins, operating costs and capital spending.
Sales at UK stores open at least a year fell 4.2% in the 13 weeks to March 28, improving on a 7.1% drop in the third quarter and beating analysts' forecasts for a decline of between 6.5-7.5%, according to a company poll.
Like-for-like UK general merchandise sales, comprising clothing and homewares, fell 4.8% after an 8.9% drop in the third quarter, while underlying food sales were down 3.7%, having fallen 5.2% the previous quarter.
M&S has 18 stores in the Republic, employing just under 2,800. Three of the stores are the company's food chain Simply Food, the rest are general stores selling food, homewares and clothes.
M&S has been hit hard by a consumer downturn, exacerbated by self-confessed mistakes, particularly in its upmarket food business.
The downturn has added to pressure on Executive Chairman Stuart Rose, who was already under fire from some investors for combining the roles of chief executive and chairman, against corporate governance best practice.
'Our customers are responding positively to the actions we have taken,' Rose said in a statement, highlighting the group's popular 'Dine In' food promotions and the success of its new Portfolio womenswear range.
