The fashion and homeware retailer also saw an increase in online trading, with digital like-for-like sales up 11% during the third quarter.
Black Friday resulted in Matalan’s highest online sales day outside of the Covid-19 pandemic.
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The retailer attributed this to continued investment in its digital channels and revealed plans to launch a new native app and loyalty scheme later in the year.
During November and December, which included the Christmas trading period, like-for-like sales over the nine weeks to 2 January 2026 rose by 1%.
Sales in women’s outerwear, men’s formalwear, and sportswear grew notably within this period.
Matalan also reported gains in market share across both womenswear and menswear, citing changes to its product offering and an improved brand perception.
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By GlobalDataStore upgrades led to locations with refreshed formats outperforming other stores by 12%.
The company intends to upgrade a further 40 sites in the next financial year. Investment has continued across stores, digital platforms, and supply chain operations.
The company stated it outperformed the wider market from October through December, posting year-on-year sales growth above its peers.
Matalan will see Henrik Nordvall assume the role of CEO on 2 February 2026.
In October last year, the company appointed several new senior leaders to strengthen its capabilities in buying and design, trading and merchandising, marketing, and digital operations.
Matalan executive chair Karl-Heinz Holland said: “Our business transformation continues to deliver tangible results, with another strong quarter of EBITDA performance, alongside a return to sales growth. This reflects our relentless focus on delivering better quality, style and value, underpinned by sustained investment in product, stores and digital.
“This has enabled us to outperform the market, despite a challenging trading backdrop. Looking ahead, we look forward to welcoming our new CEO next month and remain confident in the business delivering sustainable profitable growth.”
