Myer’s challenging retail conditions dampen profits and sales

Company News

by Jessica Amir

Retailer Myer (ASX:MYR) is now expecting its first half 2018 net profit to be between $37 and $41 million on the back of weaker trading.

It comes as its total sales fell 3.6 per cent to $1.7 billion in the first half of FY2018.

The businesses CEO says, the significant deterioration came on the back of widespread industry discounting, its ‘subdued’ stock take sale, and of course the rise in online shopping and subsequent drop in its foot traffic.

The retailer’s shares are already trading near a 12-month low and today it’s acknowledged business conditions will not improve in the second half and this update will come as a disappointed to shareholders.

Myer is also assessing making an impairment.

Shares in Myer (ASX:MYR) are trading 8.91 per cent lower at $0.59
 

Jessica Amir

Finance News Network
Jessica joined FNN in January 2017 after having worked in financial advising for seven years and in TV journalism for seven years, specialising in finance, equities and analysis. She has interviewed former Prime Ministers of Australia, Tony Abbott, Julia Gillard and Kevin Rudd and ex Treasurer Jo Hockey. Jessica has worked as a journalist with Sky News Business, ABC 1, ABC's The Business, ABC24 and has also been a regional Channel 7 and 9 TV reporter.