Clothing and grocery retailer, Marks and Spencer, reported slowing salesgrowth today in the face of waning consumer confidence, andshowed an unexpected dip in general merchandise sales.
The firm said the fact Easter did not fall in its fourthquarter, as it did last year, reduced sales during the period byaround two per cent for general merchandise, which includesclothing, footwear and homewares, and 1.7 per cent for food.
M&S reported total like-for-like sales growth of one per centin the 11 weeks to March 29th.
Like-for-like food sales were up 2.6 per cent - withinanalysts' forecasts - but general merchandise fell 0.4 per centfrom a year ago, well below forecasts of three to five per centgrowth.
That represents a slowdown from a 8.8 per cent growthreported in the third quarter when Chief Executive Roger Holmespredicted a return to more normal growth of three to fivepercent.
"Our general merchandise sales have been affected byweakening market conditions during the last quarter butperformance for the year overall has been satisfactory," Mr Holmessaid in a statement.
Sales of clothing, footwear and gifts fell 0.3 per cent inthe period. M&S said total childrenswear sales adverselyaffected sales, but did not say by how much. It said sales ofadult clothing rose by 0.8 per cent for the quarter.