Australian retailer Myer forecasts challenging outlook
Myer store Credits: Myer Australian department store Myer reported lower earnings for the first half period due to logistical issues at its Victorian distribution centre and strategic review costs, forecasting a challenging outlook amid weak economic conditions. The company recorded a marginal sales increase of 0.1 percent to 1.83 billion Australian dollars for the first six month period. Group comparable sales were up 0.8 percent reflecting closure of Brisbane and Werribee stores and 10 standalone Sass & Bide stores. Net profit after tax for the period of 42.4 million Australian dollars decreased by 18.5 percent versus the previous year. The outlook for the second half remains challenging, with Myer already experiencing a 2.6% drop in group sales during the initial five weeks. Executive chair Olivia Wirth highlighted the completion of their strategic review and the commencement of their growth strategy, including the acquisition of Apparel Brands and restructuring of several fashion brands. Despite these challenges, Wirth noted positive performance during the Black Friday and Christmas periods, with growth in comparable and online sales.
Australian department store Myer reported lower earnings for the first half period due to logistical issues at its Victorian distribution centre and strategic review costs, forecasting a challenging outlook amid weak economic conditions.
The company recorded a marginal sales increase of 0.1 percent to 1.83 billion Australian dollars for the first six month period. Group comparable sales were up 0.8 percent reflecting closure of Brisbane and Werribee stores and 10 standalone Sass & Bide stores.
Net profit after tax for the period of 42.4 million Australian dollars decreased by 18.5 percent versus the previous year.
The outlook for the second half remains challenging, with Myer already experiencing a 2.6% drop in group sales during the initial five weeks.
Executive chair Olivia Wirth highlighted the completion of their strategic review and the commencement of their growth strategy, including the acquisition of Apparel Brands and restructuring of several fashion brands. Despite these challenges, Wirth noted positive performance during the Black Friday and Christmas periods, with growth in comparable and online sales.
