M&S shares dive on fears of an autumn fashion chill
Tuesday 08 October 2013
Shares in Marks & Spencer closed down almost 3% last night, their biggest fall in almost two months, as concerns rose in the City about sales of make-or-break autumn-winter fashion ranges.
Simon Irwin, a retail analyst for Credit Suisse, last night slashed his sales estimates for the past three months in M&S’s non-food division. Where previously he had predicted a 0.5% rise, he now expects to see a fall of 1.5%.
He wrote: “While the long-awaited autumn-winter ranges show some signs of improvement, we do not believe they are sufficient to transform like-for-like sales or margins over the next year.”
If he is proved right next month, it could prove deeply embarrassing for the retailer’s under-pressure chief executive Marc Bolland, who would then have presided over a ninth consecutive quarterly fall for the company’s non-food division.
The autumn-winter collection, widely praised by critics, was seen as his last chance to turn around the company’s fortunes. However, a warm autumn has affected several fashion retailers, with customers opting to wait before buying warmer clothing.
M&S declined to comment but a source close to the company pointed out that Mr Irwin has been a bear of the company for several years.
The womenswear division has proved difficult for M&S in the past few years, prompting major overhauls. A new head of general merchandise, John Dixon, was appointed last year after the previous boss, Kate Bostock, oversaw a fiasco that led to not enough stock in stores. A new creative team was also brought in.
Geoffrey Macnab reviews American Hustle, also starring Christian Bale and Bradley Cooper
elephant appealThe first 23 lots in our charity auction have now gone. But there are 22 more still up for grabs
newsFormer soldier taped 33 of the animals to the floor and then stamped on them one by one
Michelle Nijhuis' daughter insists (s)he is, and she learnt a valuable lesson on gender in books
news Opponents claim it would stop performers such as Beyonce and Madonna appearing on TV
It takes a platoon of chefs, litres of brandy and rum, and almost 100kg of dried fruit
newsThat most ancient of crimes is on the rise, threatening farmers' livelihoods, community trust – and human health
food + drink
sportIf you thought the London Olympics and Wiggins' Tour glory made last year best, don't forget Murray's Wimbledon win and Farah's double
Sun will 'flip upside down' within weeks, says Nasa
Paul Walker: Fans hold memorial and car rally for Fast & Furious actor
Cycle death inquest: Boyfriend hugs driver of 32 tonne tipper truck that killed his girlfriend
Paul Walker death caused by speed alone
Scores injured after partial ceiling collapses on to audience at Apollo Theatre in London's West End
- 1 America's 'virgin births'? One in 200 mothers 'became pregnant without having sex'
- 2 North Koreans are gasping for the truth: Let's give it to them
- 3 27 animals died during filming of Hollywood blockbuster The Hobbit: An Unexpected Journey, says report
- 4 Sun will 'flip upside down' within weeks, says Nasa
- 5 Christmas comes early: Justin Bieber is 'retiring from music'
- < Previous
- Next >
iJobs Money & Business
£500 - £650 per day: Harrington Starr: Harrington Starr is working with a Glob...
£27000 per annum: Harrington Starr: Junior Consultant (Excel, Financial Spread...
£500 - £600 per day: Harrington Starr: .NET Quantitative Developer - Contract ...
£55000 per annum: Harrington Starr: Technical Operations Analyst (UNIX, Linux,...