M&S profits surge but Asos hit by cyber attacks

Summarised from 5 outlets · 10 reports · Updated 5 Nov, 16:07 · Archive

Marks & Spencer's profits more than doubled as it recovered from last year's cyber attack, while Asos reported a temporary sales dip from a more recent breach.

Marks & Spencer has reported a sharp recovery in profits as it continues to bounce back from last year's cyber attack, though the impact continues to weigh on its fashion and home business. Adjusted pre-tax profits reached £403.2 million for the six months to 26 September, more than double the £184.1 million reported a year earlier. The retailer's food business performed strongly, described as ahead of plan, offsetting continued weakness in clothing, homewares and beauty.

The cyber attack, which began over Easter 2025, forced M&S to shut its website for more than six weeks and disrupted its logistics systems, leaving shelves empty. The Guardian reports that sales and profit from clothing and homeware remained below levels from two years prior. Independent Business reports that the company attributed this shortfall to the 'long-tail impact' of the incident, with buyers forced to make manual orders without their usual technology and detailed information.

Chief executive Stuart Machin said the results from fashion, home and beauty "fell short of their potential" but acknowledged that availability problems had now been resolved. He noted that the retailer had increased its share of a declining clothing market despite these challenges. M&S absorbed around £35 million in additional costs from packaging tax increases, pay rises and national insurance contributions, as well as costs linked to disruption in the Middle East.

"Despite the onslaught of cost headwinds, we have remained focused on our ambitions and we are clear on our plan," Machin said. Total sales across the group rose 16.2 per cent to £9.2 billion over the half-year.

Asos, the online fashion retailer, has reported a more recent cyber setback. An attack on 6 October resulted in an estimated loss of between £4 million and £8 million in sales, representing 2 to 4 per cent of gross merchandise value. An unauthorised party gained access to an Asos employee account by impersonating a trusted contact, then used the credentials to access third-party platforms used by Asos.

The attacker accessed basic customer data including names and contact details, but not payment information or passwords. Asos said its website and app remained operational throughout. Chief executive José Antonio Ramos said the impact had dissipated by November and would prove temporary. "We're confident that this impact is going to dilute over time," he told reporters.

Despite the attack, Asos returned to pre-tax profit of £24.4 million in the year to 26 August, compared with a £282 million loss the previous year. The retailer's adjusted loss before tax halved to £46.4 million from £98.2 million. Ramos has been leading turnaround efforts since June 2022 focused on reducing excess stock, simplifying supply chains and boosting margins. Asos guided for underlying core profits of £180 million to £200 million for the current year to August 2026.

How it is being reported

• Asos faces hit of up to £8m from cyber attack putting a dent in its turnaround effortsThe retailer said the attack - which took place nearly a month ago and saw customers alerted to a breach through the Asos mobile app - had hit group sales by around 2 to 4 per cent in October.This is Money · 5 Nov, 11:37
• Asos reveals ‘temporary’ sales hit from cyber attackThe group said the incident early last month was estimated to have knocked group sales, as measured by gross merchandise value, by around 2% to 4%.Evening Standard · 5 Nov, 09:30
• Asos reveals ‘temporary’ sales hit from cyber attackThe group said the incident early last month was estimated to have knocked group sales, as measured by gross merchandise value, by around 2% to 4%.Independent Tech · 5 Nov, 09:30
• Asos reveals ‘temporary’ sales hit from cyber attackThe group said the incident early last month was estimated to have knocked group sales, as measured by gross merchandise value, by around 2% to 4%.Independent Tech · 5 Nov, 08:16
• Asos reveals ‘temporary’ sales hit from cyber attackThe group said the incident early last month was estimated to have knocked group sales, as measured by gross merchandise value, by around 2% to 4%.Evening Standard · 5 Nov, 08:16
• Asos took hit of up to £94m from cyber attackAsos took an up-to £94m hit from the cyber attack which targeted customer data last month, overshadowing the fast-fashion firm’s return to profit. The London-listed retailer said its decision to pause some marketing and customer-related activity in the aftermath of the incident resulted in a “short-term disruption” to trading, estimated at between two and four [...]City AM · 5 Nov, 07:30
• Asos returns to profit despite cyber attackAsos has returned to profit as the fast fashion seller’s turnaround continues to gain pace, despite the impact of a cyber attack last month. The London-listed retailer said its decision to pause some marketing and customer-related activity in the aftermath of the incident resulted in a “short-term disruption” to trading, estimated at between two and [...]City AM · 5 Nov, 07:30
• Asos returns to profit as cyber attack ‘not a big thing’Asos has returned to profit despite the cyber attack that rocked the fast-fashion seller last month, as its boss insisted the incident was “not a big thing”. The London-listed retailer said its decision to pause some marketing and customer-related activity in the aftermath of the incident resulted in a “short-term disruption” to trading, estimated at [...]City AM · 5 Nov, 07:30
• M&S takes more than a year to recover from cyber-attack as profits bounce back to £355mSales and profit from clothing and homeware remain below two years ago but ‘brand is in good health’ Marks & Spencer has said a devastating cyber-attack that shut down its website last year continued to hurt clothing sales over the summer, more than a year after the hack. The retailer said profits bounced back to £355m in the six months to 26 September from only £3.4m a year before as it partly recovered from the hack. The attack, which began over Easter 2025, forced it to shut its website, which sells clothing and homewares, for more than six weeks. Continue reading...The Guardian · 4 Nov, 08:17
• M&S profits surge on cyber attack recovery despite ‘onslaught’ of costsThe high street giant has been buoyed by strong growth across its food business, which is performing ‘ahead’ of plan.Independent Business · 4 Nov, 07:51

In this story: Marks & Spencer · Asos · Stuart Machin · José Antonio Ramos

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