Core Insights - Matalan reported a strong third-quarter and Christmas trading performance, with EBITDA rising 38% year-on-year to £27 million ($35.35 million) for the quarter ended 28 November 2025 [1] - The retailer achieved like-for-like (LFL) sales growth of 2% during the quarter, following a strong first half with EBITDA up 53% to £61 million for the financial year to date [1] - Online trading was a significant contributor, with LFL digital sales increasing by 11% in Q3 [1] Financial Performance - The retailer's EBITDA for the third quarter reached £27 million, reflecting a 38% increase year-on-year [1] - For the financial year to date, EBITDA has increased by 53% to £61 million [1] - During the nine-week Christmas trading period ending 2 January 2026, LFL sales increased by 1% [3] Sales and Market Position - Matalan's store sales remained stable, with refurbished locations achieving sales 12% ahead of the wider estate [3] - The company gained market share in both womenswear and menswear, outperforming the wider market from October to December [4] - Key categories for positive performance included women's outerwear and men's formalwear and sportswear [3][4] Strategic Initiatives - Matalan's executive chair highlighted the importance of sustained investment in digital capabilities, including a new native app and a refreshed loyalty scheme [2] - The company plans to refurbish an additional 40 stores in the next financial year [3] - Henrik Nordvall is set to assume the role of CEO on 2 February 2026, following his appointment last October [4]

Core Insights - The luxury market is recovering, but the high street is suffering due to declining consumer confidence, particularly in the U.K. and Europe [1] Company Performance - Associated British Foods (ABF) has warned that Primark's adjusted operating profit and earnings per share for the fiscal year 2025-26 are expected to be below last year's figures, primarily due to under-performance [2] - Primark's sales growth for the 16 weeks ending January 3 was below expectations, with anticipated sales growth in the first half of 2026 projected to be in the low single digits [3] - In the U.K., Primark achieved approximately 3 percent sales growth, with like-for-like sales increasing by 1.7 percent despite a challenging clothing market [5] - In continental Europe, like-for-like sales declined by around 5.7 percent, indicating weak consumer confidence [5] - Overall, Primark's sales rose by 1 percent in the 16 weeks, but like-for-like sales were down by 2.7 percent [6] Market Environment - The retail environment in the U.S. is described as volatile, affecting consumer sentiment and foot traffic [5] - Primark has significantly increased markdowns to manage inventory levels, which has negatively impacted profitability [3] - The company continues its store roll-out program, contributing approximately 4 percent to sales growth, including the opening of its first store in Kuwait through a franchise model [5]