Marks & Spencer has reported a 4.3% increase in profits to £689.6m in the 53 weeks to 2 April.
Sales rose 2.4% to £10.6bn, but new boss Steve Rowe said that the retailer is still outperforming on food and underperforming on clothes and home sales, which is “unsatisfactory”.
Pre-tax profit fell 18.5%, down to £488.8m, and basic earning per share dropped 16.2% to 24.9p.
Rowe has said that improving the division of the retailer’s clothing performance is going to be his “number one priority”.
According to The Telegraph, Marks & Spencer shareholder Threadneedle has suggested that the retailer shed some of its underused shops as Rowe plots his overhaul of the company.
Rowe has said that his changes to the business, while improving the state of the retailer in the long term, “will have an adverse effect on profit in the short term”.
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