Myer reports $84 million net profit

The Myer Group department store chain has reported a net profit of $84 million for 2006-07 and predicted sales will grow further in the current financial year.

Myer reported a 147% increase in earnings before interest and tax to $180 million for the 12 months to July 28, 2007. Comparable sales were up 5% to $3.3 billion.

The retailer is predicting 3.5% growth in sales to $3.4–3.5 billion and 14% growth in EBIT for the full year 2008.

The retailer plans to increase its number of stores from 61 to 80 through a five-year national expansion program, in its quest to become a $5 billion company.

The company said its financial year highlights were the completion of 65% of its business improvement projects, completing its supply chain, delivering a major IT project, growing its loyalty program to 55% of sales, completing enterprise bargaining agreements for warehouses and beginning its store expansion.

Myer plans doubling its capital expenditure to $150 million over three years, installing a new point-of-sale system, boosting customer service, completing 90% of its 101 Business Improvement Projects and completing IT separation from Coles.

And good news for the kids: Myer has announced that it has re-established the Myer Santa parade.

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