Associated British Foods Shares Slide as Primark Outlook Softens

A double hit from clothing and sugar

Associated British Foods shares dropped more than 8 percent, and as much as 11 percent at the low, after a trading update on September 10, 2026. Primark like-for-like sales are expected down 3 percent in the fourth quarter.

The sugar division’s operating loss is seen at the high end of a £25 million to £60 million range. The group kept full-year guidance overall and said new stores and franchises should still lift Primark total sales about 2 percent.

Work before the demerger

ABF, controlled by the Weston family, said it is working at pace to ready Primark for a 2027 demerger. It has cut prices on hundreds of autumn and winter lines and increased marketing in Europe.

Womenswear was described as firmer than other categories. Heat and weak consumer spending were blamed for the clothing slump.