Marks and Spencer buoyed by sales progress

High street retailer Marks & Spencer was buoyed by further sales progress today after seeing a return to form for its clothing department.

M&S, which is due to face criticism over bonuses at its annual general meeting today, said like-for-like sales rose 3.8% in the 15 weeks to July 12.

The first quarter comparable stores performance included a 5.1% rise in food sales and an improvement of 2.8% in general merchandise, including clothing.

Chief executive Roger Holmes said: “We had a satisfactory first quarter in which we saw an improvement in clothing performance, particularly in June, with good food sales throughout the period.”

Today’s figures showed that clothing, footwear and gifts achieved a 3.9% rise in like-for-like sales after a 0.3% dip in the 11 weeks to March 29.

Fashion ranges at M&S, which has enjoyed a revival in fortunes over the last two years, include a children’s label from England captain David Beckham.

Mr Holmes said childrenswear continued to underperform, although adultwear - in particular its per una range – made further progress.

As a result of the stronger performance, M&S said 10% less stock than last year had been reduced during its summer sale, which started on July 3.

The first quarter trading update came as M&S prepared to defend its remuneration policies at its annual meeting for shareholders.

Investor voting group Pensions and Investments Research Consultants (PIRC) has already complained that M&S executives are receiving matching share awards in respect of deferred bonuses regardless of performance.

The group also objects to a £1.1m (€1.6m) “golden hello” paid to former Selfridges boss Vittorio Radice who has joined M&S to head its expansion into homewares.