Marks & Spencer has published its annual report, which noted that directors will not be receiving bonuses this year as results were too poor to warrant a payout.
M&S’s pre-tax profit in the year to March 31 fell 62% to £67m, or £581m before exceptional items, below the £585m threshold at which bonuses start to be paid and well down on the £663m required for a full payout.
M&S confirmed last month that it would increase the number of closures of 'mainline' food-plus-clothes stores from 60 to 100, which accounts for a third of the 300 such stores.
Food stores contributed 61% to UK revenue, standing at £5.9bn, a drop of 0.3% in like-for likes.
In the annual report, CEO Steve Rowe (pictured), said, 'In Food, our focus on being ‘special and diferent’ saw us perform well at Christmas and Easter but our performance was not good enough throughout the year.
'We must broaden our appeal – getting our pricing and product ranges right – so that we can retain our core customers and attract busy families who want great tasting, quality food at outstanding value.”
Of the three executive directors in the report, only Rowe remains at the company. Former chief financial officer Helen Weir left on 31 March and marketing chief Patrick Bousquet-Chavanne departed on 31 May.