By Alexandria Grace C. Magno, Reporter
STORES SPECIALISTS, INC. (SSI), a completely owned subsidiary of SSI Group, Inc., said it can stop operating Marks & Spencer (M&S) stores within the Philippines this yr, with the ultimate day of operations set for May 2.
“This has not been a straightforward decision,” the corporate said in a disclosure on Wednesday. “Constructing Marks & Spencer within the Philippines has been a meaningful and rewarding chapter for our organization. We’re deeply grateful to our loyal customers, dedicated employees, and partners who’ve supported the brand through the many years,” it added.
Marks & Spencer is a British retailer that sells food, clothing, and homeware worldwide.
Within the Philippines, Marks & Spencer is operated by Rustan Marketing Specialists, Inc., a part of Tantoco-led listed specialty retailer SSI Group.
Under SSI’s stewardship, Marks & Spencer opened its first Philippine store nearly 40 years ago.
SSI said changing consumer tastes and shopping habits prompted the corporate to redirect resources toward brands aligned with current and future market trends, describing the move as a needed step for growth.
“Retail is continually transforming. Change is inevitable, tastes evolve, and due to this fact so should we. We remain committed to the constant strengthening of our portfolio and delivering experiences that resonate with today’s consumers,” the corporate said.
The corporate added that it can coordinate with employees, partners, and stakeholders to make sure an orderly wind-down of operations, with further details on timelines, promotions, and customer notices leading as much as May 2, 2026, to be announced.
STORE CLOSURES AND DISCOUNTING
Before the announcement, a series of store closures and prolonged discounting across the Philippines had fueled speculation amongst customers and market watchers that the retailer was preparing to exit the country.
Several branches, including Mall of Asia, TriNoma, Eastwood, and Robinsons Manila — which closed on Jan. 5 — have been marked as “permanently closed,” while the Ayala Center Cebu branch is listed as “temporarily closed.”
Some customers also noted that many remaining branches are offering discounts of as much as 70% on chosen items. These promotions can be found to each in-store customers and loyalty members, although certain items could also be limited or unavailable.
Despite multiple closures, branches listed on the corporate’s website — including Alabang Town Center, Central Square, Bonifacio High Street, Gateway Mall, Glorietta 4, Greenbelt 5, Power Plant Mall, Rockwell, SM Aura Premier, SM City North EDSA, Shangri-La, SM Megamall Fashion Hall, Paseo de Santa Rosa, Abreeza Mall in Davao, and SM Lanang Premier — remained operational as of Wednesday.
ANALYSTS SEE PORTFOLIO RATIONALIZATION
F. Yap Securities, Inc. investment analyst Marky Carunungan said SSI’s move appears to reflect portfolio rationalization reasonably than financial distress.
“The discounts are consistent with a confirmed exit reasonably than an earnings patch. Marks & Spencer is assessed under SSI’s casual segment, which declined 2.9% in 9M25. Nevertheless, SSI doesn’t disclose brand-level data, so we cannot attribute that segment decline specifically to Marks & Spencer,” he said in a Viber message.
Mr. Carunungan added that the markdowns are typical liquidation measures ahead of the planned May 2026 closure reasonably than a response to weak third-quarter (Q3) results.
“M&S sits inside the casual category, which accounts for roughly 14-15% of group sales. While there could also be short-term exit costs and a few revenue impact, SSI stays diversified with P20.3 billion in 9M25 sales across 103 brands,” he added.
In November, SSI Group reported a 64.99% decline in Q3 attributable net income to P188.08 million from P537.18 million a yr earlier, as weaker sales in its luxury, bridge, and casual wear segments weighed on results.
Revenue for the three months ending September slipped by 0.93% to P6.9 billion, while net sales declined 0.9% to P6.88 billion.
The corporate attributed the decline mainly to lower sales in the posh and bridge segments, which fell 3.8%, and casual wear, which declined 2.9%, reflecting reduced discretionary spending within the high-end market throughout the quarter.
SSI reported operating 613 stores nationwide across 103 brands as of end-September, after opening 17 and shutting two stores throughout the third quarter.
Meanwhile, Unicapital Securities Equity Research Analyst Jeri R. Alfonso said developments leading as much as the announcement had indicated a possible market exit.
“Within the case of Marks & Spencer Philippines, stores have been slowly closing nationwide, and its social media presence doesn’t appear heavily invested in marketing as recent content seems largely centered on promoting discounts,” she said in a Viber message.
“These early signs already suggested that the Philippines is perhaps one among the markets Marks & Spencer was planning to go away, and true enough, SSI has since confirmed that Marks & Spencer will officially exit the country in May this yr,” Ms. Alfonso added.
GLOBAL STRATEGY RESET
In several press releases, Marks & Spencer outlined plans to reset priorities for its international business to strengthen long-term growth.
In February last yr, the retailer strengthened its global leadership team with three senior appointments, including a brand new international partnerships director, business director, and managing director of Marks & Spencer India, as a part of its reset and future growth plan.
Marks & Spencer reported an 11.58% decline in international sales to £255.8 million in the primary half of 2025 from £289.3 million in 2024, citing lower first-quarter franchise shipments and reduced clearance sales in owned markets amid value investments.
“Having reset the International business to reshape Marks & Spencer for global growth, we’re specializing in larger, higher partnerships, which enable us to bring the very best of Marks & Spencer to the world,” Marks & Spencer Managing Director of International Mark Lemming said throughout the signing of a partnership with a B2B logistics solutions provider in November last yr.
In accordance with its website, Marks & Spencer operates in greater than 70 international markets with over 380 stores overseas.
On Tuesday, SSI Group shares fell by two centavos, or 0.74%, to shut at P2.68.