M&S on track to become truly global multi-channel retailer

22 May '12

3 min read

Marks & Spencer (M&S) announces the full year results 2011/12 - 52 weeks ended 31 march 2012.

Final results:
• Group sales up 2.0% at £9.9bn
• Total UK sales +1.5%: Food +3.9%; General Merchandise -0.9% (Clothing +0.2%, Home -10.0%)
• Like-for-like UK sales +0.3%: Food +2.1%; General Merchandise -1.8%
• International sales +5.8%
• Multi-channel sales +18%
• Underlying profit before tax1 £705.9m (last year £714.3m)
• Underlying basic earnings per share1 34.9p (last year 34.8p)
• Full year dividend 17.0p per share (last year 17.0p)
• Net debt £1.86bn (last year £1.90bn)

Statutory results:
• Profit before tax £658.0m (last year £780.6m)
• Basic earnings per share 32.5p (last year 38.8p)

Marc Bolland, Chief Executive, said:
“Marks & Spencer performed well in a challenging economic environment, growing group sales by 2% and holding market share. We also made good progress with our strategic plans.

“We managed the business prudently with tight control of costs and capital investment, delivering earnings in line with last year, and substantial efficiency savings in our capital investment plans.

“Whilst the economic environment has deteriorated since we first set out our strategic plans, we have made significant progress. Our UK pilot stores are delivering good results, which has given us the confidence to launch phase two of the programme. We are well on track to become a truly international multi-channel retailer. By the end of this year we will be transacting from 10 websites worldwide and opening around 100 international stores per year.”

Robert Swannell, Chairman said:
“We have a clear strategy for the business. We remain focused on delivering this strategy effectively and efficiently.

“In line with the dividend policy set out last year, the Board is recommending a final dividend of 10.8p per share, resulting in an unchanged full year dividend of 17p per share.”

Operational highlights:
• Maintained market share2 in Clothing and Food
• Managed our operating cost base tightly
• Overall £300m saving in capital investment over three years
• Strong LFL growth in key strategic International markets
• Food availability up 2%, net waste down 10%
• Good progress with supply chain and IT programme implementation

In a highly competitive market, M&S held its number one position in the UK market. Overall Clothing and Home sales were down 0.9% with Home impacted by the decision to exit from Technology.

Click here to read more details:

Marks & Spencer is one of the UK's leading retailers, with over 21 million people visiting stores each week. Marks & Spencer offers stylish, high quality, great value clothing and home products, as well as outstanding quality foods, responsibly sourced from around 2,000 suppliers globally. Marks & Spencer employ over 78,000 people in the UK and abroad, and have over 700 UK stores, plus an expanding international business.

Marks & Spencer (M&S)

More Marks & Spencer News... More Apparel/Garments News - United Kingdom...