Yesterday M&S posted a further decline in its core business with fashion clothing and homeware sales down almost 3%. Its new CEO Steve Rowe is the latest boss of the high street retailer to spend their early months making changes and promising improved “turnaround” performance.
His aim is to move the emphasis away from fashion to stylish contemporary clothing and by doing so recapture sales from “Mrs M&S”. Whilst we don’t doubt Mr Rowe’s determination to return the former housewife’s favourite to growth, we also know that City investors give new CEOs with a plan a period of grace and look favourably on those who acknowledge fundamental business issues and outline a strategy for change. This period may well last for up to 2 years, after which he will be judged on results not rhetoric!
Author: Matthew Bates
Matthew is a highly skilled investor relations professional with considerable knowledge and experience of best practice communication with the City. He has worked in IR for over 12 years, delivering advice and hands-on support through demergers, flotations, the establishment of new IR departments, acquisitions, disposals, and changes of management as well as writing the copy for over 20 Annual Reports. AB and Matthew first worked together in 2014 with Matthew advising on structure and copy-writing for a FTSE250 company.