Marks & Spencer Faces Disruption from Cyber Attack as Investors Look for Guidance

Marks & Spencer (M&S) is expected to continue feeling the disruption from a major cyber attack through to July, with online orders still suspended due to the breach. The company's financial performance for the past year is set to be unveiled on Wednesday, but investors will be closely watching how the cyber attack has impacted the business. The attack has halted online orders for three weeks, affecting payments and click and collect orders, and has also caused some empty shelves in stores. Analysts have estimated the daily loss in sales due to the breach to be around £4 million.

Key Takeaways:

• The cyber attack on M&S has resulted in a pause of online orders for three weeks, affecting payments and click and collect orders.
• The attack has also caused some empty shelves in stores, with availability impacted due to the disruption.
• Analysts estimate the daily loss in sales due to the breach to be around £4 million.
• The retailer has not yet divulged the financial cost of the incident, but is believed to have missed out on tens of millions of pounds in sales.
• Analysts at Barclays estimate the cyber attack could result in a £200 million cost for the 2025/26 financial year, with an insurance payout of around £100 million.
• M&S customer personal data, including names, email addresses, postal addresses, and dates of birth, was taken by hackers in the attack.
• Shareholders will be eagerly awaiting the firm's guidance on profits and revenues for the current year as a result of the cyber attack.

Statistics:

• The cyber attack has resulted in a loss of £4 million per day in sales (Source: Susannah Streeter, head of money and markets at Hargreaves Lansdown).
• Analysts at Barclays estimate the cyber attack could result in a £200 million cost for the 2025/26 financial year (Source: Barclays analysts).
• The insurance payout expected for the cyber attack is around £100 million (Source: Barclays analysts).
• The retailer is believed to have missed out on tens of millions of pounds in sales due to the breach.

Sources:

• "Marks & Spencer faces disruption from cyber attack as investors look for guidance" (BBC News).
• "M&S shares hit over nine-year high before cyber attack" (BBC News).
• "Cyber attack on Marks & Spencer wipes tens of millions from sales" (BBC News).
• "Scattered Spider: Key group in M&S hack investigation, says NCA" (BBC News).
• "Scattered Spider: Who are the hackers?" (PA News).
• "Markets live: Scattered Spider M&S stocks tumble 4.5% in market" (PA News).