In a report by Bloomberg, Marks & Spencer Group Plc reported its lowest drop in sales. According to a Bloomberg report, the drop in sales would signal the need of the UK clothing retailer to launch a new clothing collection for women to gain customers back.
Stores that were opened for at least a year reported a 1.3% drop in sales in the quarter ending September 28, M&S said. The UK clothing retailer had also suffered a pretax profit of 8.9% in the first six months this year. Compared to analysts' estimate gathered by Bloomberg of EUR273 million, M&S's profit dropped to EUR261.1 million.
"Although only in store for three weeks of the half-year, our autumn/winter collection has been well received by customers, and we have seen some early signs of improvement," Marks and Spencer's Chief Executive Officer Marc Bolland said to Bloomberg.
In a recent statement to Bloomberg, the company said, "Given continued pressure on disposable incomes, we remain cautious about the outlook for the remainder of the year."
In 2004, Arcadia Group & BHS boss Philip Green had attempted to takeover M&S. However, a plan for the financial recovery of the retailer was announced in July. This plan involved divestment and exit of its non-core businesses, cancellation of store expansion of Simply Food and buying a controlling interest in the Per Una range. After failing to get enough support from shareholders, Philip Green withdrew his bid for takeover.
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