British retailer Marks & Spencer on Thursday (Jan 11) reported a better-than-expected 8.1 per cent rise in like-for-like sales over the Christmas trading period, driven by market-leading growth in food and a strong performance in womenswear.

Like-for-like food sales rose 9.9 per cent in the 13 weeks to Dec 30, ahead of the most optimistic analyst forecasts, while clothing and home growth of 4.8 per cent also soundly beat market expectations of a 2.8 per cent rise.

The group said in food it outperformed the rest of Britain’s grocery market, with 7 per cent volume growth, while its clothing and home categories also grew ahead of the market.

Chief executive Stuart Machin said M&S had “sustained sales momentum” across food and clothing and home over the Christmas period.

“We enter 2024 with a spring in our step, but clear eyed on the near-term challenges,” he said.

The 140-year old group, whose quality food offer is a favourite with festive shoppers, said it faced additional cost increases from higher-than-anticipated wage and business rates related cost inflation.

GET BT IN YOUR INBOX DAILY

Start and end each day with the latest news stories and analyses delivered straight to your inbox.

Sign UpVIEW ALL

But it said its strong Christmas trading performance provided confidence it would meet forecasts for the year.

Analysts currently expect pre-tax profit for the full year before adjusting items to come in at £663 million (S$1.12 billion), up from £482 million in 2022/23. REUTERS