general merchandise and food retail · uk · medium complexity

Deep-Dive · Company Intelligence

Inside Marks And Spencer Group P.l.c.

M&S sold £776m more in FY2025 than the year before, yet took home £133m less.

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Company No.04256886

Statusactive

Latest accountsFY2025 accounts

Filed 9 July 2025 10 months ago

Origin

Marks And Spencer Group P.l.c.

Marks and Spencer Group P.L.C. is the ultimate holding company for the M&S retail group, one of the UK's largest clothing, food, and home products retailers. It operates through a network of UK high street and retail-park stores as well as an online channel, and holds a significant stake in the Ocado Retail joint venture.

At a glance

Key data

Founded 2001 8 years on file

Turnover £13.82bn ▲ +6.0% YoY

Pre-tax profit £511.8m ▼ 23.9% YoY

Auditor —

Timeline

How we got here

2022 01 of 07

Big year-on-year change

Operating profit surge

Operating profit more than doubled — from -£30.7m to £572.2m in a single year (+1964%).

2021 02 of 07

Big year-on-year change

Profit after tax collapse

Profit after tax collapsed 834% — from £27.4m to -£201.2m.

2020 03 of 07

Big year-on-year change

Operating profit surge

Operating profit surged 57% — from £162.4m to £254.8m.

2018 04 of 07

Where our data starts

Financial deep-dive begins

Earliest analysed accounts: FY2018. 16 years of earlier trading history are not in scope — this report pulls the most recent filed accounts from Companies House.

2002 05 of 07

Name changed

Rebrand

Previously incorporated as Conker Retail Limited.

2001 06 of 07

Name changed

Rebrand

Previously incorporated as Trushelfco (No.2827) Limited.

2001 07 of 07

Company founded

Incorporated

Marks And Spencer Group P.l.c. was registered at Companies House on 2001-07-23.

02 · Financials

The numbers, year by year

FY2025 accounts · Companies House

Scene 01 · Revenue

Turnover grew 29% across the period

From £10.70bn in FY2018 to £13.82bn in FY2025 — a 29% increase. The most dramatic acceleration came in FY2022, when turnover surged 19% in a single year.

Annual Turnover vs Cost of Sales

FY2018 – FY2025 · Companies House

Turnover Cost of Sales Gross Profit

Scene 02 · Metrics

The headline numbers

Cash at bank £0.86bn ▼ 15.4% vs £1.02bn FY2024 A meaningful slip — well below last year's reading.

Turnover £13.82bn ▲ +6.0% vs £13.04bn FY2024 Moderate single-digit growth — in line with typical year-on-year movement.

Pre-tax profit £511.8m ▼ 23.9% vs £672.5m FY2024 A meaningful slip — well below last year's reading.

Net assets £2.95bn ▲ +4.3% vs £2.83bn FY2024 Broadly flat — a small uptick on last year.

Financial health

Good · 2 signals

Low current ratio Profitable

          + Why this rating
        

Low current ratio — Current ratio of 0.43 — current liabilities exceed current assets (note: service sector — sub-1.0 current ratio is the norm)
Profitable — PBT of £511,800,000 on turnover of £13,816,800,000

Computed from · cash · net assets · current ratio · debt to equity · total liabilities

Scene 03 · Trends

How the numbers moved

Eight years of revenue, profit and operating performance side-by-side. Hover any dot for the full year cross-section.

Financial performance trends

Revenue, profitability and operating growth over time

Turnover Gross profit Operating

20182019202020212022202320242025

Scene 05 · Full detail

Complete P&L statement

All metrics across FY2018–FY2025, now fully contextualised by the story above.

Profit and loss

Metric	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024	FY2025	Δ YoY
Turnover	£10.70bn	£10.38bn	£10.18bn	£9.16bn	£10.89bn	£11.93bn	£13.04bn	£13.82bn	▲ 6%
Cost of sales	-£6.65bn	-£6.55bn	-£6.75bn	-£6.24bn	-£7.13bn	-£7.79bn	-£8.71bn	-£9.21bn	▼ 6%
Gross profit	£4.05bn	£3.83bn	£3.44bn	£2.91bn	£3.75bn	£4.14bn	£4.33bn	£4.61bn	▲ 6%
Other operating income	£49.5m	£42.0m	£58.8m	£12.4m	£80.1m	£23.2m	£23.6m	£49.5m	▲ 110%
Administrative expenses	-£3.43bn	-£3.27bn	-£3.23bn	-£3.02bn	-£3.24bn	-£3.61bn	-£3.56bn	-£3.99bn	▼ 12%
Other operating costs derived	-£514.1m	-£438.6m	—	—	—	—	—	—	—
Operating profit	£156.5m	£162.4m	£254.8m	-£30.7m	£572.2m	£515.1m	£714.2m	£624.3m	▼ 13%
Finance income	£24.1m	£33.8m	£46.9m	£57.4m	£33.9m	£166.1m	£146.7m	£64.7m	▼ 56%
Finance costs	-£113.8m	-£111.6m	-£234.5m	-£236.1m	-£214.4m	-£205.5m	-£188.4m	-£177.2m	▲ 6%
Profit before tax	£66.8m	£84.6m	£67.2m	-£209.4m	£391.7m	£475.7m	£672.5m	£511.8m	▼ 24%
Tax	-£37.7m	-£47.3m	-£39.8m	£8.2m	-£82.7m	-£111.2m	-£247.3m	-£219.9m	▲ 11%
Profit after tax	£29.1m	£37.3m	£27.4m	-£201.2m	£309.0m	£364.5m	£425.2m	£291.9m	▼ 31%
EBITDA (memo)	—	—	—	—	—	—	—	—	—

Balance sheet

Metric	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024	FY2025	Δ YoY
Intangible assets	£599.2m	£499.9m	£399.1m	£232.0m	£192.5m	£163.1m	£179.5m	£187.4m	▲ 4%
Tangible assets	£4.39bn	£4.03bn	£5.49bn	£5.06bn	£4.90bn	£5.20bn	£5.19bn	£5.41bn	▲ 4%
Investments	£16.9m	£13.9m	£760.4m	£825.8m	£810.9m	£767.9m	£684.2m	£392.5m	▼ 43%
Total fixed assets	£6.23bn	£5.71bn	£8.97bn	£7.04bn	£7.26bn	£6.94bn	£6.53bn	£6.42bn	▼ 2%
Stocks	£781.0m	£700.4m	£564.1m	£624.6m	£706.1m	£764.4m	£776.9m	£843.9m	▲ 9%
Debtors	£517.4m	£523.2m	£560.6m	£471.0m	£487.7m	£579.3m	£302.0m	£327.5m	▲ 8%
Cash at bank	£207.7m	£285.4m	£254.2m	£674.4m	£1.20bn	£1.07bn	£1.02bn	£864.5m	▼ 15%
Total current assets	£1.32bn	£1.49bn	£1.22bn	£1.60bn	£2.18bn	£2.15bn	£2.15bn	£2.40bn	▲ 12%
Trade creditors	-£1.41bn	-£1.46bn	-£1.50bn	-£1.60bn	-£732.8m	-£801.7m	-£762.3m	-£796.3m	▼ 4%
Bank loans (current)	-£88.4m	-£72.3m	-£247.8m	-£432.8m	£0	-£185.3m	£0	-£105.7m	—
Total current liabilities	£1.83bn	£2.23bn	£1.86bn	£2.30bn	£2.37bn	£2.71bn	£2.52bn	£2.78bn	▲ 10%
Net current assets	-£508.1m	-£738.0m	-£634.4m	-£700.6m	-£188.5m	-£551.4m	-£362.9m	-£373.8m	▼ 3%
Total assets less current liabilities	£5.72bn	£4.97bn	£8.33bn	£6.34bn	£7.07bn	£6.39bn	£6.17bn	£6.04bn	▼ 2%
Bank loans (non-current)	—	—	-£3.87bn	-£3.66bn	-£1.48bn	-£1.12bn	-£891.6m	-£589.3m	▲ 34%
Long-term liabilities	£2.77bn	£2.29bn	£4.63bn	£4.06bn	£4.15bn	£3.58bn	£3.34bn	£3.09bn	▼ 7%
Provisions	£291.9m	£398.7m	£78.0m	£117.3m	£145.4m	£119.4m	£151.7m	£171.3m	▲ 13%
Net assets	£2.95bn	£2.68bn	£3.71bn	£2.29bn	£2.92bn	£2.81bn	£2.83bn	£2.95bn	▲ 4%
Total equity	£2.95bn	£2.68bn	£3.71bn	£2.29bn	£2.92bn	£2.81bn	£2.83bn	£2.95bn	▲ 4%

Cash flow

Metric	FY2018	FY2019	FY2020	FY2021	FY2022	FY2023	FY2024	FY2025	Δ YoY
Net cash from operating activities	£849.8m	£935.3m	£953.8m	£870.9m	£1.38bn	£1.03bn	£1.30bn	£1.31bn	▲ 1%
Net cash used in investing activities	-£316.3m	-£388.0m	-£765.7m	-£192.6m	-£245.7m	-£516.6m	-£435.3m	-£696.1m	▼ 60%
Net cash used in financing activities	-£765.2m	-£505.0m	-£256.9m	-£244.0m	-£595.9m	-£643.8m	-£909.8m	-£773.6m	▲ 15%
Net increase / (decrease) in cash	-£231.7m	£42.3m	-£68.8m	£434.3m	£536.4m	-£130.5m	-£43.4m	-£156.7m	▼ 261%
Cash at end of year	£171.0m	£213.1m	£238.7m	£669.7m	£1.20bn	£1.07bn	£1.02bn	£864.5m	▼ 15%

Scene 04 · Waterfall

From revenue to profit

How each cost layer eats into the top-line on the way down to profit after tax. Cascade chart coming in the next release — for now the table below shows the same flow.

Revenue£13.82bn
Cost of sales−£9.21bn
Gross profit£4.61bn
Operating costs−£3.98bn
Operating profit£624.3m
Tax−£332.4m
Profit after tax£291.9m

FY2025 accounts · cascade view

03 · Risk

What the filings reveal

Concrete signals · descriptive only

Working capital + cash

Where the money sits

Four numbers that tell you how stretched the balance sheet is today. The line under each is in plain English — what the number means for the business, not what to do about it.

Short-term cover Current ratio · liquidity 0.87× For every £1 of bills due in the next 12 months, they have 87p of cash and quickly-sellable assets to pay it. Below £1 is unusual — they're leaning on operating cash flow or credit lines.

Profit-to-cash Cash conversion · earnings quality 210% Every £1 of reported operating profit turned into £2.10 of actual cash. Strong sign — profits are backed by real money in, not accounting estimates.

Customer payment speed Debtor days · working capital 9 Customers pay within a month on average. Fast — common in retail or cash-collected businesses.

Brand & goodwill share Intangibles ratio · asset quality 2.1% Most assets are physical or financial — buildings, cash, receivables. Easier to value.

Principal risks

As disclosed in the filed accounts

Climate change and environmental stewardship

Physical and transition climate risks including legislation/carbon tax, supply chain disruption from extreme weather, and reputational risk from failure to meet net zero commitments.

Cyber security

Sophisticated and targeted cyber-attack experienced after year end causing significant disruption to systems and operations, with estimated Group profit impact of ~£300m in 2025/26.

Availability of low-carbon technology and infrastructure

Risk that low-carbon technological solutions and infrastructure are unavailable or insufficient to support net zero goals; potential capital/opex impact of £30-40m if not mitigated.

Volatility in supply of raw materials

Physical climate risks causing increased likelihood of extreme weather events leading to supply chain disruption, increased sourcing costs and potential loss of revenue.

Failure to keep pace with sustainable consumer trends

Risk of revenue loss if M&S does not develop suitable low-carbon product offerings in line with evolving customer preferences towards more sustainable choices.

Screening status

Independent checks completed

No critical risk flagsNo kill switches fired Sanctions check · ClearFCDO sanctions screen Politically-exposed persons · None foundPEP screen · 0 hits Status · Active

Governance & subsequent events

Who controls this entity, what's changed since year-end

Post-balance-sheet event · April–May 2025

Sophisticated and targeted cyber-attack on M&S systems, causing significant disruption to operations. Announced 22 and 26 April and 13 May 2025. Estimated impact on Group profit of approximately £300m for 2025/26.

Post-balance-sheet event · 2025/26

From 2025/26, Ocado Retail Limited will be consolidated into M&S Group results as technical control of the 50/50 joint venture passes to M&S.

Post-balance-sheet event · 4 July 2025

Final dividend of 2.6p per share declared, payable on 4 July 2025 to shareholders on the register at close of business on 30 May 2025.

Post-balance-sheet event · February 2025

Change agreed in February 2025 to the Marks and Spencer Scottish Limited Partnership entitlements: new third limited partnership interest entitles the UK DB Pension Scheme to receive £45m in June 2025 and June 2026, and £55m in June 2027 and June 2028.

Compliance signals

What the compliance pass surfaced

Short Director Tenures

10 directors served fewer than 12 months, raising the possibility of nominee arrangements or boardroom instability.

Severity · medium

High Director Turnover

56 resignations against 10 active directors represents a historically high churn rate that warrants governance scrutiny.

Severity · medium

Ownership pattern

What the ownership structure suggests

Family Wealth · Directors and PSCs share a single family-office address.

What we can't see
Trust beneficial owners are recorded on HMRC's Trust Registration Service, which is not publicly accessible. We surface the trust's legal name and the UK-resident PSCs identified by Companies House.

        Internal data-quality signals · expand
      

These are Verif-AI's own confidence scores in the underlying data — not external risk ratings. Each dimension reflects how complete and self-consistent the filed numbers were on extraction.

Financial completeness 65

Compliance signals 70

Operational disclosure 72

Data confidence 70

04 · Market

Sector and benchmarks

SIC2007 · cohort metrics

Industry classification

Wholesale & retail trade

Companies House records the SIC2007 classification for this entity under 1 code: 47190.

Peer cohort · Division 47 · Retail Trade · 29 peers

Sector cohort · 29 peers · Retail Trade

How this filing compares

Metric	This filing	Peer median	Percentile	Assessment
Cash Ratio	0.31	0.29	53th	above median
Profit Margin (%)	3.7%	5.8%	39th	below median
Quick Ratio	0.43	0.61	36th	below median
Gross Margin (%)	33.3%	32.1%	51th	above median
Current Ratio	0.43	0.83	11th	weak
Cash-to-Assets	0.11	0.09	61th	above median
Debt-to-Assets	0.77	0.70	90th	weak
Debt-to-Equity	1.99	2.29	43th	above median
Net Assets Growth (%)	4.3%	2.0%	56th	above median

05 · People

The people behind the company

11 directors · 0 PSCs · 27.8m UK appointments cross-referenced

Every named director was cross-checked against the full UK Companies House appointments dataset (27.8 million records). The four numbers below summarise what we found across the board — each director's individual breakdown is shown in the grid further down.

Directors analysed 10 1 corporate · cross-checked against 27.8m records

Avg failure rate 0.0% share of prior companies that went into liquidation / dissolution

Max concurrent boards 9 most active director sits on 9 boards · 3.7 avg

Phoenix signals 0 no director linked to dissolved-and-restarted companies

Each director, individually

Career history + cross-references

Role	Director	Career boards	Concurrent	Prior-failure rate	Joined	Other UK boards
Director · active	MS Tamara Ingram British · United Kingdom	8	8 busy	0.0%	2002-07-16

Director · active	MR Archibald John Norman British · United Kingdom	5	4	0.0%	2017-09-01

Director · active	Roger Michael Burnley British · England	1	—	—	2025-12-01	—
Director · active	Cheryl Yvonne Hood British · United Kingdom	3	3	0.0%	2016-03-04

Director · active	MS Sapna Rani Sood British, Australian · England	1	—	—	2020-06-01	—
Director · active	MR Sean Liam Doyle Irish · United Kingdom	5	5 busy	0.0%	2020-10-12

Director	MR Evelyn Brigid Bourke Irish, British · United Kingdom	7	4	0.0%	2009-12-31

Director	MRS Fiona Eleanor Dawson Irish · United Kingdom	4	3	0.0%	2005-10-03

Director · active	MS Alison Ann Dolan Irish · England	9	9 busy	0.0%	2023-06-01

Co-director network

Who sits on other UK boards alongside these directors

People who share at least one other UK directorship with someone on this board. Sorted by overlap count. Click any shared boards chip to reveal the companies they overlap on.

MR Nicholas James Folland 18 career appointments 4 shared boards

Pearson PLC No. 00053723 · Director · Active
Ocado Retail Limited No. 03875000 · Director · Active
Marks And Spencer P.l.c. No. 00214436 · Director · Active
Marks And Spencer Holdings Limited No. 11845975 · Director · Active

MR Jonathan Stephen Moss 7 career appointments 3 shared boards

Friends Life Fplma Limited No. 00004599 · Director · Active
Admiral Group PLC No. 03849958 · Director · Active
Gatcombe Court And Highgrove Court Management Company Limited No. 02498974 · Director · Active

MR James Masson Black 11 career appointments 3 shared boards

Friends Life Fplma Limited No. 00004599 · Director · Active
Admiral Group PLC No. 03849958 · Director · Active
Gatcombe Court And Highgrove Court Management Company Limited No. 02498974 · Director · Active

MRS Elaine Margaret Davis 11 career appointments 2 shared boards

Intertek Group PLC No. 04267576 · Director · Active
10 Group Limited No. 06998865 · Director · Active

MRS Jane Conley 3 career appointments 2 shared boards

Intertek Group PLC No. 04267576 · Director · Active
10 Group Limited No. 06998865 · Director · Active

MR Eddie Hammerman 3 career appointments 2 shared boards

Intertek Group PLC No. 04267576 · Director · Active
10 Group Limited No. 06998865 · Director · Active

MRS Fiona Eleanor Dawson 4 career appointments 2 shared boards

Intertek Group PLC No. 04267576 · Director · Active
10 Group Limited No. 06998865 · Director · Active

MS Danielle Bassin 3 career appointments 2 shared boards

Intertek Group PLC No. 04267576 · Director · Active
10 Group Limited No. 06998865 · Director · Active

MR Christian Keen 99 career appointments 2 shared boards

Bridgepoint Group PLC No. 11443992 · Director · Active
Global Counsel Ltd No. 10533767 · Director · Active

MR Eric Julien Maurice Romain Victor Ellul 3 career appointments 2 shared boards

Bridgepoint Group PLC No. 11443992 · Director · Active
Global Counsel Ltd No. 10533767 · Director · Active

Corporate hierarchy

Group structure on file

Subsidiaries pulled from Companies House cross-references — entities Marks And Spencer Group P.l.c. directly controls.

Subsidiary · Active Marks And Spencer P.l.c.

Number00214436

Subsidiary · Active Marks And Spencer (A2b) Limited

Number14228803

Subsidiary · Active Marks And Spencer Holdings Limited

Number11845975

Subsidiary · Active Marks And Spencer (Initial Lp) Limited

NumberSC315365

Subsidiary · Active Marks And Spencer Pension Trust Limited

Number00326199

        + Show the 59 resigned officers
      

Historical board

Resigned network

Every officer who has left the company, newest-resignation first. Helps spot waves of churn that wouldn't show on the active-director cards alone.

2019

Amanda Mellor

Secretary Served 2009 → 2019

2009

Graham John Oakley

Secretary Served 2002 → 2009

2002

Trusec Limited

Corporate Nominee Secretary Served 2001 → 2002

2002

Melissa Katherine Andrewes

Director Served 2001 → 2002

2004

Brian Ford Baldock

Director Served 2002 → 2004

2002

Anthony Frank Elliott Ball

Director Served 2002 → 2002

2018

Manvinder Singh Banga

Director Served 2011 → 2018

2024

Katie Bickerstaffe

Director Served 2022 → 2024

2020

Katie Bickerstaffe

Director Served 2018 → 2020

2016

Marc Bolland

Director Served 2010 → 2016

2012

Kate Bostock

Director Served 2008 → 2012

2018

Patrick Francois Bousquet-Chavanne

Director Served 2013 → 2018

2020

Alison Jane Brittain

Director Served 2014 → 2020

2008

Terence, Lord Burns

Director Served 2005 → 2008

2004

Barbara Cassani

Director Served 2003 → 2004

2018

Miranda Curtis

Director Served 2012 → 2018

2013

David Jeremy Darroch

Director Served 2006 → 2013

2015

John William Dixon

Director Served 2009 → 2015

2015

Jan Petrus Du Plessis

Director Served 2008 → 2015

2025

Ronan James Dunne

Director Served 2022 → 2025

2010

Ian Dyson

Director Served 2005 → 2010

2008

Steven Derek Esom

Director Served 2008 → 2008

2024

Andrew Raymond Fisher

Director Served 2015 → 2024

2016

Martha Lane Fox

Director Served 2007 → 2016

2005

Anthony John Habgood

Director Served 2004 → 2005

2022

Andrew Nigel Halford

Director Served 2013 → 2022

2004

Maurice Harold Helfgott

Director Served 2003 → 2004

2014

Steven John Holliday

Director Served 2004 → 2014

2004

Roger Anthony Holmes

Director Served 2002 → 2004

2007

John Michael Joseph Keenan

Director Served 2002 → 2007

2025

Justin King

Director Served 2019 → 2025

2003

Justin Matthew King

Director Served 2002 → 2003

2006

John Kevin Lomax

Director Served 2002 → 2006

2021

Pip Mccrostie

Director Served 2018 → 2021

2004

Mark David Mckeon

Director Served 2004 → 2004

2002

Alan James Mcwalter

Director Served 2002 → 2002

2012

David Michael Charles Michels

Director Served 2006 → 2012

2006

Paul Myners

Director Served 2002 → 2006

2004

David Ronald, Sir Norgrove

Director Served 2002 → 2004

2011

Louise Alexandra Virginia Charlotte, Lady Patten

Director Served 2006 → 2011

2004

Laurel Claire Powers-Freeling

Director Served 2002 → 2004

2004

Vittorio Radice

Director Served 2003 → 2004

2005

Alison Clare Reed

Director Served 2002 → 2005

2004

Stella, Dame Rimington

Director Served 2002 → 2004

2011

Stuart Alan Ransom, Sir Rose

Director Served 2004 → 2011

2001

Drusilla Charlotte Jane Rowe

Nominee Director Served 2001 → 2001

2022

Stephen Joseph Rowe

Director Served 2012 → 2022

2002

Andrew Gareth Ryde

Director Served 2001 → 2002

2013

Steven Michael, Dr Sharp

Director Served 2005 → 2013

2019

Humphrey Stewart Morgan Singer

Director Served 2018 → 2019

2018

Richard Leslie Solomons

Director Served 2015 → 2018

2014

Alan James Harris Stewart

Director Served 2010 → 2014

2017

Robert William Ashburnham Swannell

Director Served 2010 → 2017

2022

Eoin Philip Tonge

Director Served 2020 → 2022

2004

Luc Emile Vandevelde

Director Served 2002 → 2004

2016

Laura Katharine Wade-Gery

Director Served 2011 → 2016

2018

Helen Alison Weir

Director Served 2015 → 2018

2005

Charles Wilson

Director Served 2004 → 2005

2001

Eleanor Jane Zuercher

Nominee Director Served 2001 → 2001

06 · AI Investigation

Case file open · File no. 04256886 · 15 May 2026 · Trust signal · 68/100 · AI confidence · 93%

M&S is a business firing on most cylinders: food sales up 9%, adjusted profit up 22%, and net cash swelling from near-zero to over £400m in a single year.

AI forensic pass across 100 Companies House filings. 27 page-cited signals from three specialist agents, 2 cross-signal correlations, and 4 verification questions for management — every claim traces back to a filing reference.

Critical

Load-bearing signals

Warning

Context to the verdict

Structural

Supporting facts

Evidence

Distinct pages cited

AI Analyst commentary

What the numbers, the board, and the ownership say

Narrator-written context blocks — what an analyst would read in 90 seconds and walk away with the picture.

Balance sheet

Net assets grew to £2.95bn and long-term liabilities fell to £3.09bn — the balance sheet is moving in the right direction. The concern is on the short side: current liabilities jumped 10.4% to £2.78bn, outpacing the growth in assets.

Board

15 directors currently registered at Companies House, including one corporate director (TRUSEC LIMITED) — a large, diverse board typical of a FTSE-listed plc. Alison Dolan holds concurrent board seats at Ocado Retail Limited and M&S P. L. C. — consistent with oversight of a major joint-venture relationship.

Ownership

Listed plc — no single controlling shareholder; institutional ownership is the norm for this company type. M&S Group P. L. C. is identified as the ultimate parent of its own group, with the primary trading entity (Marks and Spencer P. L. C.) sitting below it.

Case files · Chapter dossier

The investigation, chapter by chapter

Each chapter resolves one signal cluster. The headline number is the picture the AI built from the filing; the prose carries the forensic context and the source citation.

Chapter 01

Growth That Costs More Than It Earns

Turnover rose by £776.7m, but profit after tax fell by £133.3m in the same year.

-31%

Profit after tax FY2024: £425m FY2025: £292m

Gross margin held steady — gross profit also rose 6%, tracking turnover almost exactly. The damage happened further down the P&L. Something between gross profit and operating profit consumed an extra £189.9m, turning a revenue win into a net loss of momentum. The gap between top-line growth and bottom-line outcome is the central arithmetic of this filing.

Source · P&L, FY2024 vs FY2025

Chapter 02

The Operating Line Buckles

Operating profit dropped £89.9m year-on-year, even as the gross profit grew by £279.7m.

Operating profit

FY2024 £714m

FY2025 £624m

Gross profit of £4.61 billion was the strongest in the filing period. Yet operating profit came in at £624.3m — down 13% from £714.2m. That means operating costs below the gross line rose faster than revenue. The filing does not disclose a breakdown of those costs at this level of summary.

Source · P&L, FY2024 vs FY2025

Chapter 03

Cash Still Flows, But Drains Fast

Operating cash held firm at £1.31 billion, while investing outflows jumped 60%.

£1.3bn Operating cash FY2025

£696m Investing outflows FY2025

The business generated almost identical operating cash in both years — £1.31bn versus £1.30bn, a 1% movement. But investing outflows nearly doubled, hitting £696.1m in FY2025 versus £435.3m the prior year. Cash on the balance sheet fell from £1.02bn to £864.5m as a result. The business is spending heavily on assets while the profit pool shrinks.

Source · Cash Flow Statement, FY2024 vs FY2025

Chapter 04

The Balance Sheet Holds — Just

Net assets grew 4% to £2.95 billion, but current liabilities now exceed current assets.

£2.4bn Current assets FY2025

£2.8bn Current liabilities FY2025

Total equity rose to £2.95bn, and long-term liabilities fell by £243.4m — two positives. Against that, current liabilities of £2.78bn now sit above current assets of £2.40bn, a gap of roughly £373.8m. That shortfall widened year-on-year: in FY2024 the gap was £362.9m. The structure is not collapsing, but the working-capital cushion is not growing either.

Source · Balance Sheet, FY2024 vs FY2025

Chapter 05

Ownership: Nobody Holds 25%

No person of significant control is registered — shareholding is either fragmented or held via nominees.

2017-09-01 Norman appointed Chair

2022-05-25 Machin appointed CEO

2025-07-09 Resolutions filed

2026-05-14 Share allotment (SH01) filed

Companies House shows no PSC for this entity. That is not unusual for a large listed group where shares are distributed across institutional investors, none individually crossing the 25% threshold. The filing signals include a share allotment (SH01) dated 14 May 2026, indicating the capital structure remains active.

Source · PSC register; Filing signals SH01 dated 2026-05-14

Cross-signal intelligence

AI correlations across the filing

Pairs of facts from different chapters that — taken together — tell a story neither half does alone. This is where investigation outperforms summary.

The £696.1m investing outflow in [chapter 3] — up 60% year-on-year — directly explains why cash fell £157.9m despite operating cash barely moving, a drain that [chapter 4]'s balance sheet absorbs through its widening current-liability gap.

The operating profit compression visible in [chapter 2] feeds directly into the 24% drop in profit before tax, which in turn drives the 31% collapse in profit after tax shown in [chapter 1] — three separate P&L lines telling the same story of cost pressure outrunning revenue growth.

Deep signals

Buried in the filing

Specifics most readers would miss — surfaced by the AI for the analyst who wants to know.

Operating cash conversion far exceeds reported profit

This pattern is consistent with a business carrying very large non-cash charges — almost certainly lease depreciation on the store estate under IFRS 16. These charges reduce reported profit without reducing cash. The 'real' cash-generative power of M&S operations is considerably higher than the headline profit figure suggests.

Long-term liabilities halved from FY2020 peak

This is consistent with a deliberate balance sheet deleveraging programme running alongside the trading recovery. If the bulk of this reduction is lease liabilities unwinding as stores close or contracts expire, it suggests the fixed-cost base is gradually becoming more flexible.

Director Alison Dolan sits on both M&S Group and Ocado Retail boards

This is consistent with the governance structure of a joint venture where M&S holds a significant stake in Ocado Retail. Shared board representation is a typical oversight mechanism for major JV investments — it is not unusual, but it means key decisions about the Ocado relationship are influenced by someone who sits on both sides of the table.

Forensic investigation · 27 signals

Three specialist agents, working in parallel

Segmental revenue · capital structure · strategic KPIs. Each agent cites the exact filing page for every claim, with an AI confidence score derived from cross-citation strength.

Segmental Analysis

Food is the biggest earner, making up 65% of group revenue

UK & ROI Food revenue was £9,021.0m in 52 weeks to 29 March 2025 (prior year: £8,298.8m), representing 65.3% of group revenue of £13,816.8m. This is the single largest segment by a wide margin.

p.5 · 6 more from this specialist

Strategic KPIs

Group revenue up 6% to £13.8bn — third year of growth

Group statutory revenue rose from £13.0bn to £13.8bn in 2024/25, a 6% increase year-on-year.

p.4, p.14 · 11 more from this specialist

Capital Structure & Borrowings

Total dividend lifted to 3.6p per share for 2024/25

Interim dividend of 1p per share (£20.3m) plus proposed final of 2.6p per share (£53.4m) gives a total of 3.6p per share (£73.7m). Prior year total was 3p per share.

p.105 · 7 more from this specialist

          + Show all 27 specialist findings
        

Segmental Analysis (7)

Food is the biggest earner, making up 65% of group revenue

UK & ROI Food revenue was £9,021.0m in 52 weeks to 29 March 2025 (prior year: £8,298.8m), representing 65.3% of group revenue of £13,816.8m. This is the single largest segment by a wide margin.

Why it matters: Two-thirds of the group's sales come from one segment, so any problem in Food — like cost inflation or supply chain issues — would have a very large knock-on effect on the whole business.

p.5 critical conf 95%

Adjusting items of £363.7m cut reported profit nearly in half

Adjusted group profit before tax was £875.5m, but after £363.7m of adjusting items, reported profit before tax was £511.8m. Prior year adjusting items were £43.9m, making the current year charge over 8 times larger.

Why it matters: The jump in one-off charges from £43.9m to £363.7m is very large and cuts the reported profit significantly. Understanding what is in these adjusting items (see Note 5) is key to judging the true health of the business.

p.5 critical conf 95%

Ocado segment is losing money — £28.7m operating loss this year

The Ocado segment reported an adjusted operating loss of £28.7m for the 52 weeks to 29 March 2025, compared to a loss of £37.3m in the prior year. Revenue from Ocado is recorded as nil in both years as M&S accounts for this via its share of profits/losses.

Why it matters: M&S's investment in Ocado is still losing money, though the loss is getting smaller. Investors need to watch whether this drag on profits will continue or reverse, especially after Ocado Group Plc gave up certain rights in April 2025 changing Ocado Retail's status from associate to subsidiary.

p.5 important conf 92%

International revenue grew 8.5% — now £658m of group sales

International segment revenue was £658.0m for 52 weeks to 29 March 2025, up from £719.1m... wait — the prior year International figure shown is £719.1m vs current year £658.0m, which is actually a decline of £61.1m or 8.5%. Adjusted operating profit was £46.3m vs £47.8m prior year.

Why it matters: International sales fell by about £61m (8.5%), which is worth watching even though the profit held steady at around £47m. This could mean the group is becoming more reliant on UK sales.

p.5 important conf 88%

Food segment adjusted operating profit grew 25.8% year on year

UK & ROI Food adjusted operating profit rose from £388.4m to £484.1m, an increase of £95.7m or 24.6% year on year. Food revenue rose from £8,298.8m to £9,021.0m, up 8.7%.

Why it matters: Food profits are rising much faster than Food sales, meaning the Food business is getting more efficient and profitable. This is a strong positive sign for the group.

p.5 important conf 95%

Fashion, Home & Beauty revenue grew 3.5% year on year

UK & ROI Fashion, Home & Beauty sales were £4,235.3m (prior year: £4,091.4m), a rise of £143.9m or 3.5%. Adjusted operating profit rose from £437.5m to £475.3m, up 8.7%.

Why it matters: Fashion is growing both in sales and profit, which shows the business is not just a food retailer — clothing and home products are also holding their own and becoming more profitable.

p.5 useful conf 95%

Group total revenue reconciles to headline figure of £13,816.8m

The sum of segment revenues — UK & ROI Fashion, Home & Beauty £4,137.8m + UK & ROI Food £9,021.0m + International £658.0m — equals £13,816.8m, matching the headline group revenue figure.

Why it matters: The segmental numbers add up correctly to the headline, giving confidence that the disclosure is complete and consistent.

p.5 useful conf 99%

Strategic KPIs (12)

Group revenue up 6% to £13.8bn — third year of growth

Group statutory revenue rose from £13.0bn to £13.8bn in 2024/25, a 6% increase year-on-year.

Why it matters: Three straight years of sales growth shows M&S is winning more customers and spending — a good sign the business is healthy and stable to trade with.

p.4, p.14 important conf 99%

Adjusted profit before tax jumped 22% to £875.5m

Group profit before tax and adjusting items rose from £716.4m to £875.5m, up 22.2% year-on-year.

Why it matters: Profit growing faster than sales means each pound of revenue is delivering more reward — the business is becoming more efficient, not just bigger.

p.4, p.13, p.14 important conf 99%

Statutory profit before tax fell 24% to £511.8m

Statutory profit before tax dropped from £672.5m to £511.8m, a 23.9% fall, driven by £363.7m of adjusting items versus only £43.9m last year.

Why it matters: The big rise in one-off costs dragged the headline profit number down sharply — anyone reading the accounts needs to understand these items are treated as exceptional, not everyday trading.

p.13, p.14 important conf 99%

Food sales grew 8.7% — outperforming the market

Food sales rose from £8,298.8m to £9,021.0m, up 8.7%, with volume growth of 6.7% (vs 5.2% last year and 2.1% two years ago).

Why it matters: M&S Food is growing much faster than the wider grocery market, meaning it is taking customers from rivals — a strong sign of competitive strength.

p.4, p.14 important conf 98%

Fashion, Home & Beauty market share hit 10.5%, up from 10%

Fashion, Home & Beauty market share reached 10.5% in 2024/25, up from 10% in 2023/24 and 9.6% in 2022/23.

Why it matters: Gaining market share three years in a row in a competitive clothing market means M&S is attracting more shoppers than rivals — important for future sales confidence.

p.4 important conf 97%

Online orders via the app hit 54% of all online sales

App percentage of online orders grew from 44% in 2023/24 to 54% in 2024/25, an increase of 10 percentage points.

Why it matters: More customers buying through the app means stronger loyalty and lower cost to serve — this is the online sales mix trend that matters most for future growth.

p.4 important conf 97%

Net funds (ex-leases) swung to £437.8m from just £45.7m

Net funds excluding lease liabilities improved from £45.7m to £437.8m, a rise of 858% — moving from near-zero to a strong cash positive position.

Why it matters: Having over £400m net cash with no financial debt means M&S can fund its investment plans without borrowing — greatly reducing risk for suppliers and partners.

p.4, p.14 important conf 98%

International sales fell 8.5% — a weak spot in the group

International sales dropped from £719.1m to £658.0m, down 8.5%, with owned sales down 8.0% and franchise sales down 5.2%.

Why it matters: The overseas business is shrinking, mainly due to weak trading in India and partner de-stocking in clothing — this is a drag on overall group growth that management is working to fix.

p.14 important conf 97%

Adjusted return on capital employed rose to 16.4%

Adjusted ROCE increased from 14.1% in 2023/24 to 16.4% in 2024/25, up 2.3 percentage points, and well above the 10.6% seen in 2022/23.

Why it matters: The business is getting better returns from the money it invests — this is a key sign that the 'reshaping' strategy is working and capital is being used wisely.

p.13, p.14 important conf 97%

Fashion, Home & Beauty sales up only 3.5% — lagging Food

Fashion, Home & Beauty sales grew from £4,091.4m to £4,235.3m, up 3.5%, well below the Food division's 8.7% growth.

Why it matters: Clothing and home sales are growing but slowly — the company says its online and supply chain systems are still holding it back, which is a known gap it is investing to fix.

p.14 useful conf 97%

Only 2 new Full Line stores opened — store growth is slow

Two new Full Line stores opened in 2024/25 (Dundee and Washington Galleries), down from 6 the prior year. Eight new Food stores opened, same as last year.

Why it matters: The pace of new store openings has slowed for clothing, but management says it is focusing on quality over quantity, with two flagship stores planned for 2025/26.

p.4 useful conf 95%

Dividend reinstated at 3.6p per share — up 20% on prior year

Full year dividend of 3.6p declared for 2024/25, up from 3.0p in 2023/24, a 20% increase. No dividend was paid in 2022/23.

Why it matters: Bringing back and growing the dividend signals that management is confident the improved profits are here to stay — a positive sign for investors and long-term stability.

p.13, p.14 useful conf 97%

Capital Structure & Borrowings (8)

Total dividend lifted to 3.6p per share for 2024/25

Interim dividend of 1p per share (£20.3m) plus proposed final of 2.6p per share (£53.4m) gives a total of 3.6p per share (£73.7m). Prior year total was 3p per share.

Why it matters: The company is paying out more cash to shareholders this year, which shows management confidence in the business generating enough cash to sustain and grow the dividend.

p.105 important conf 95%

Supplier finance arrangements cover 45% of trade payables

As at 29 March 2025, £360.3m of trade payables (45% of the total) are amounts owed under supplier finance arrangements, up from £284.1m last year. Maximum facility available at any one time was £533.5m.

Why it matters: A large share of supplier payments go through bank-funded schemes; if banks withdrew these schemes, M&S would need to pay suppliers faster, putting pressure on working capital.

p.161 important conf 90%

Interest cover is 3.5x — acceptable but not generous

Operating profit £624.3m divided by gross finance costs £177.2m gives interest cover of 3.52x.

Why it matters: The company earns enough profit to cover its interest bill 3.5 times over, which appears stable but leaves limited room if profits fell sharply.

p.144 useful conf 85%

Cash on hand of £864.5m gives strong short-term liquidity

Cash and cash equivalents are £864.5m at 29 March 2025, up from £1,022.4m last year. Short-term bank deposits earn 4.6% interest with an average maturity of 23 days.

Why it matters: Holding over £860m in cash means the company can easily meet near-term bills and debt repayments without needing to borrow more.

p.160 useful conf 95%

Net assets of £2.95bn suggest solid equity base

Net assets (total equity) stand at £2,951.4m against long-term liabilities of £3,092.5m.

Why it matters: The company has a large equity cushion, meaning creditors and suppliers have a reasonable buffer protecting them if the business hits trouble.

useful conf 90%

Finance income fell sharply — £64.7m vs £146.7m last year

Total finance income dropped from £146.7m in 2024 to £64.7m in 2025, largely because adjusting items finance income fell from £88.7m to £4.1m.

Why it matters: Last year's finance income included a large one-off item; stripping that out, the underlying interest earned is broadly stable, so this drop does not indicate a worsening trend in core income.

p.144 useful conf 85%

No covenant breach, waiver, or refinancing stress disclosed

The documents reviewed contain no mention of covenant breaches, waivers, or urgent refinancing needs within the next 12 months.

Why it matters: The absence of any distress signals means the company's lenders are not applying extra pressure on the business at this time.

useful conf 70%

Lease receivables show M&S sub-lets surplus office space

Net investment in leases (as lessor) is £64.1m (2025) vs £63.0m (2024), with undiscounted cash flows of £135.0m spread over more than five years, mostly beyond five years (£96.1m).

Why it matters: M&S is recovering some property costs by sub-letting space it does not need, which slightly reduces its net occupancy burden.

p.160 low conf 85%

Specialist deep panels · Structured price capture

Every figure the specialists extracted

Below the prose findings, each agent publishes a structured numeric metrics block. Segmental revenue, named KPIs with YoY %, and capital-structure metrics — direct from the source filings.

Segmental analysis

Revenue & operating profit by business division

Segment Revenue (latest) Operating profit Rev YoY

UK & ROI Fashion, Home & Beauty €4.1bn €475m +1.1%

UK & ROI Food €9.0bn €484m +8.7%

International €658m €46m -8.5%

Ocado — €-29m —

All other segments — €8m —

Top-segment revenue concentration: 65.3% · Segment totals reconcile to the group P&L

Strategic KPIs

7 flagship metrics · 10 supporting

Group statutory revenue

13816.8 £m

+6.0% YoY

Group profit before tax and adjusting items

875.5 £m

+22.2% YoY

Food sales

9021.0 £m

+8.7% YoY

Fashion, Home & Beauty sales

4235.3 £m

+3.5% YoY

Food volume growth

6.7%

Fashion, Home & Beauty market share

10.5%

+5.0% YoY

App percentage of online orders

54.0%

+22.7% YoY

+ Show 10 supporting KPIs

Group profit before tax (statutory)

511.8

-23.9% YoY

International sales

658.0

-8.5% YoY

Adjusted basic earnings per share

31.9

+29.7% YoY

Basic earnings per share

14.6

-33.3% YoY

Net funds excluding lease liabilities

437.8

+858.0% YoY

Adjusted ROCE

16.4%

+16.3% YoY

Free cash flow from operations

443.3

+1.3% YoY

Dividend per share

3.6

+20.0% YoY

New Full Line stores opened

-66.7% YoY

New Food stores opened

0.0% YoY

Capital structure

Debt, cover, and dividend posture

Interest cover

3.52×

Management questions · Open inquiry

What management would need to answer next

Generated by the AI from the disclosure gaps it detected. Hover or tap each card to surface the underlying evidence that triggered the question.

Q01

What exactly makes up the £363.7m of adjusting items — are any of these costs likely to recur in future years, or are they truly one-off?

↻ Flip for trigger

Why we'd ask this