Myer has reported a 30 per cent decrease in net profit, falling to $36.8 million for the 12 months ending July 26. Despite this drop, total sales saw a marginal increase of 0.5 per cent on a pro forma basis, reaching $3.6 billion. The company experienced a statutory net loss of $211.2 million, primarily attributed to its acquisition of the Apparel Brands business completed in January. Myer is an Australian department store chain offering a wide range of fashion, homewares, beauty, and electrical goods. It aims to provide a premium shopping experience through its diverse product offerings and customer service.
Earnings before interest and taxes (EBIT) also declined, dropping 13.8 per cent to $140.3 million. This downturn was partly due to challenges faced during the implementation of Myer’s distribution centre in Melbourne, which had an estimated $16 million impact on EBIT. Furthermore, the cost of doing business surged by 22.6 per cent. This increase reflects the inclusion of Apparel Brands, coupled with higher store costs, wage increases, and the broader impact of inflation on operational expenses.
In light of these financial results, the board has decided not to pay a final dividend for the 2025 financial year. This decision brings the total dividend for the year to 2.5 cents per share, a decrease from the 3.5 cents paid in the previous year. The 2.5 cents was disbursed as a special dividend in March 2025, following the completion of the Apparel Brands transaction. The company continues to navigate a challenging retail environment marked by rising costs and logistical hurdles.
