Marks & Spencer has reported its highest profit in a decade, showing significant recovery through growth in its food and clothing divisions. For the financial year ending March 30, 2023, the retailer recorded a pre-tax profit of £716 million, a substantial rise from the previous year’s £453 million. Group revenues increased by 9.4% to £13 billion.
The company’s chief executive, Stuart Machin, stated that two years into their "Reshape for Growth" plan, M&S is seeing the early stages of a revitalized business. The food and clothing & home divisions both saw volume and value gains. This marks 12 consecutive quarters of sales growth.
M&S has been closing underperforming stores while opening and expanding its more popular food shops. Despite the positive performance, the company's partnership with Ocado remains below profitability expectations.
Retail analysts are optimistic about M&S’s future, with the company expressing confidence in continued progress. Shares of M&S opened at 273p, reflecting a 68% increase over the past year.