Marks & Spencer expects return to profitability following cyberattack

Marks & Spencer (M&S) reports a significant drop in profits for the past fiscal year, due to a major cyberattack that disrupted operations and crippled its online business. Nevertheless, the retailer says it has emerged stronger.

A year in two halves

The M&S Group’s adjusted pre-tax profit fell by 23.8% to £671.4 million (€775.2 million), while statutory pre-tax profit fell by 28.8% to £364.6 million (€421 million), the retailer reports. The negative figures are the result of the major cyberattack in April of last year, which forced the retailer to suspend online clothing orders for seven weeks and click-and-collect services for nearly four weeks. The costs associated with that cyberattack amounted to £131.3 million (€151.6 million).