Christmas sales rise at Tesco and M&S, but Asos sales fall – Business Live | Business

Turkey and menswear sales helped Marks & Spencer report impressive sales figures today, says Victoria ScholarHead of Investments at Interactive Investor:

“Marks & Spencer’s Christmas food sales increased by 6.3%; Apparel and home sales rose 8.6 percent, beating expectations.

Global sales increased by 12.5%, driven by a strong performance in the Middle East. In food, M&S achieved its highest ever market share, with Ocado Retail representing 30% of the average Christmas basket on Ocado.com.

However, M&S warned there were ‘clear macroeconomic headwinds and lower spending pressures’. However, the retailer expects full-year results to meet November guidance.

Marks & Spencer had an impressive Golden Quarter with strong seasonal food sales such as turkey, maintaining its leading market share for the third consecutive year. Meanwhile, menswear has been a key tailwind for sales at M&S. It’s also working hard to become an omnichannel retailer, achieving about half of its growth using third-party brands and click-and-collect orders.

After a difficult year for the shares, M&S has been rallying lately, gaining more than 20% in the past month.

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It’s Retail Super Thursday, big name UK retailers, incl Tesco, Signs and Spencer, Assos And Halfords Inform the city about Christmas.

And Tesco Reaffirmed its profit guidance for the current fiscal year; It still expects a retail-adjusted operating profit of between £2.4bn and £2.5bn.

Tesco It is the only major grocer to increase its UK market share compared to pre-pandemic levels, with a market share of 27.5%.

Sales in the United Kingdom and Republic of Ireland (ROI) over Christmas were 7.8% higher than a year ago. In the 19 weeks to January 7, like-for-like sales rose 6.1 percent.

and Murphy, CEO, Tesco says Delivered strong market share performance in the UK and ROI.

Murphy He warns of “challenges ahead”, but says:

I am very proud of the way Tesco has taken this Christmas to help customers cope with the difficult times.

By relentlessly delivering on the strategic priorities we set 18 months ago, we’ve made sure our customers know they’ll get the best value and quality in every part of their basket, however they choose to shop with us.

Tesco It points to discount rival Aldi Price Match, which matches prices on 600 key products, and Club Card prices, which help customers spend less on holiday products.

Sales at Tesco’s low everyday price range rose by 7.4 per cent as customers looked for cheap goodies amid a cost-of-living crisis.

Across the highway, Mark and Spencer The food division announced a “strong Christmas trading performance” as it achieved its highest ever market share over the four-week holiday period.

Like-for-like sales at M&S ​​rose 7.2 per cent over the past 13 weeks in 2022, with food spending up 6.3 per cent and clothing and home sales up 8.6 per cent.

M&S had its biggest ever Christmas sale on 23 December, with over £80 million. It is supported by improved availability and strong demand for seasonal routes including Turkey.

Stuart Machin, M&S The chief executive said more customers shopped at M&S ​​over Christmas than in recent years.

“M&S had a record quarter of sustained trading activity and both Food & Clothing and Home showed strong growth.

M&S Food outperformed the market in terms of content and value during the four-week Christmas period for the second year in a row, reaching its highest market share ever. Apparel and Home delivered another impressive performance, securing the market leadership position with the highest market share in seven years.

But ASOS UK sales fell by 8% in the last four months of 2022.

ASOS He blamed “weak consumer sentiment” on demand, saying economic and political disruptions surrounding September’s disastrous micro-budget had affected demand. He cited delivery disruptions last month (when Royal Mail workers were on strike):

He says so.

This was particularly affected by the national news flow in September and supply market disruptions in December.

Total revenues fell by 3%, which ASOS said reflected “difficult business conditions”.

And Halfords It cut its profit forecast, citing soft demand in the bicycle and car tire markets on the back of macroeconomic challenges.

He says so.

Macro-economic headwinds continued to impact the bicycle and consumer tire markets, although we gained share in all of our measured markets, including bicycle, motorcycle and tire.

Other big names from the UK retail sector have posted good Christmas sales numbers so far. Yesterday Sainberry And J.S Sports Both said their profits would exceed expectations.

It also comes today

Ministers have pleaded for an end to forced pre-payment counters after citizens’ advice revealed that more than three million people across Britain defaulted on a loan every 10 seconds last year.

And investors in financial markets are hoping for a slowdown in U.S. inflation when the December consumer price index is released today. It is forecast to drop to 6.5% from 7.1% in November.

the agenda

• 7am GMT: China vehicle sales data for December

• 9:30am GMT: Latest UK economic and business activity data from the Office for National Statistics

• 1:30pm GMT: US inflation report for December