Marks & Spencer (M&S) has reported a slowdown in its food sales growth following a significant cyberattack in April 2025, according to new data from NielsenIQ. The British retailer’s food business grew by 9.1% year-on-year over the 12 weeks ending June 14, compared to 10.8% in May and 14.7% in April, indicating a notable decline in momentum.
Cyberattack Disrupts M&S Operations and Slows Growth
The April 2025 cyberattack forced M&S to suspend online clothing orders and shut down key internal systems, directly affecting supply chains and food product availability.
Key Impacts:
- Higher waste and logistics costs
- Reduced food inventory
- Increased operational inefficiencies
As a result, the company’s operating profit is expected to fall by £300 million ($409 million), according to M&S’ own estimates last month.
M&S Market Share Dips Despite Year-on-Year Growth
While M&S food sales still grew on a yearly basis, NielsenIQ reported a slight decline in market share, down from 3.8% in May to 3.7% in June. On a year-over-year basis, the market share still improved by 10 basis points.
Tesco, Sainsbury’s, and Ocado Show Strong Performance
NielsenIQ’s report echoes similar findings from Kantar, released a day earlier. Tesco, Sainsbury’s, and Ocado continued to demonstrate strong sales performance across the UK grocery market, capitalising on operational stability and robust e-commerce channels.
M&S Clothing Orders Resume After 46-Day Suspension
M&S resumed online clothing orders on June 10, ending a 46-day suspension prompted by the cyberattack. The move is expected to gradually restore customer confidence and improve overall e-commerce performance.
Cybersecurity: A Growing Concern for UK Retailers
This incident adds to the growing list of cybersecurity threats facing UK retailers, highlighting the critical need for resilient IT infrastructure. For companies like M&S with a multi-channel business model, cybersecurity lapses can have significant operational and financial repercussions.
