UPDATE 1-M&S expects return to profit growth after cyber hack related slump

It said these are being mitigated through improved ⁠buying, reinvestment ⁠in value to drive volume, and savings from its structural cost reduction programme.

​British retailer ‌Marks & Spencer forecast ​profit growth in its new financial year after it slumped ‌24% in 2025/26 due to a cyber hack which forced a seven-week suspension of online clothing ‌orders, denting sales and margins.

The 142-year-old M&S, one ‌of the biggest names on the UK high street, said it entered its 2026/27 year with a clear ⁠plan and ​a strong ⁠balance sheet and was focused on delivering further improvements to ⁠product availability and service levels. "Profit growth is ​expected to resume versus 2024/25," it said on Wednesday.

M&S ⁠said its outlook for the current year includes ⁠higher fuel, ​freight and input costs and continued government tax levies and regulatory headwinds for the ⁠sector. It said these are being mitigated through improved ⁠buying, reinvestment ⁠in value to drive volume, and savings from its structural cost reduction programme.