Sir Stuart Rose has earned his place in history - just. Marks & Spencer has achieved the £1 billion pre-tax profit last seen in the days of Sir Richard Greenbury, but only by £7 million, roughly the third of a day’s trading.

Credit Suisse claims the achievement is purely down to a lower than expected interest charge.

Either way, the share price fall this morning reflects the feeling that life now gets even tougher for a business that has enjoyed a remarkable turnaround over the past four years.

Fourth-quarter sales figures disclosed today highlight the task facing M&S in the year ahead. Like-for-like general merchandise sales were down 3.1 per cent with food down 0.5 per cent.

In the past year, M&S has benefited from two Easter periods. In 2008-2009 Easter doesn’t fall in the company’s financial year.

Costs are likely to rise by around 7 per cent in the coming year, a rise M&S will partially try to offset with around £50 million of savings. There is concern about the retailer’s inventory position, despite Sir Stuart’s insistence that stock levels have been “tightly controlled”.

Sir Stuart deserves plaudits for the recovery at M&S but the hard work starts now. He was always going to be in the spotlight this year given the imminent step up to executive chairman, but now the City will get to see just how good a strategist Sir Stuart really is.

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