Myer reports FY26 sales increase of 11.3 percent amid volatile trading

Australian department store operator Myer Holdings Limited (Myer Group) has released a preliminary and unaudited trading update for the financial year 2026, covering the 12 months ended July 25, 2026. Total group sales reached 4.09 billion Australian dollars (2.86 billion dollars), representing an 11.3 percent increase on an actual basis compared to the previous financial year. On a pro forma basis, total sales rose 0.3 percent, supported by sales momentum in womenswear, kidswear, home categories, Just Jeans, marketplace, and concession sales.

The modest pro forma top-line gain was partially offset by weaker performance in beauty and fashion chain Portmans. Group-wide comparable sales increased 0.7 percent. Within the divisions, Myer Retail total sales rose 0.7 percent with comparable sales up 1 percent, while Myer Apparel Brands registered a pro forma sales decline of 1.3 percent with comparable sales down 0.3 percent.

Promos and cost of living weigh on gross profit margin

Trading conditions throughout the second half of FY26 proved volatile on a month-to-month basis due to sustained cost-of-living pressures, three interest rate increases, and warmer winter weather across major cities in Australia. To stimulate consumer demand in a subdued trading environment, the business stepped up promotional activity and discounting across its retail network.

As a result of elevated promotional discounting, operating gross profit is projected to range between 1.60 billion Australian dollars and 1.61 billion Australian dollars. While this represents an increase of between 13.8 percent and 14.3 percent on an actual basis, operating gross profit declined between 2.1 percent and 2.5 percent on a pro forma basis. Operating gross profit margin is expected to settle between 39.2 percent and 39.3 percent.

Myer Group executive chair, Olivia Wirth, said: “The second half of FY26 has been characterised by a volatile and significantly more challenging macroeconomic and retail environment than 1H26 or FY25.” Wirth added that while performance was mixed in the first four months of the second half, consumer sentiment deteriorated markedly in June and July.

Strategic initiatives drive loyalty and brand expansion

Despite consumer headwinds, the company made operational progress across its core growth priorities. The retailer expanded its active loyalty member base to a record 5.3 million customers. The loyalty tag rate reached a record 81.5 percent in Myer Retail and 55.2 percent in Myer Apparel Brands.

In terms of brand assortment, the business introduced 37 new brands in beauty alongside 29 across womenswear and menswear. The group secured distribution access for global labels including Fenty Beauty, La Mer, Guerlain, and Gap.

In addition, the group launched a new marketplace platform in June offering 25,000 new products. Store network optimisation continued during the year, with the closure of 38 locations and the opening of 14 Myer Apparel Brands doors. Physical infrastructure investments included refurbishing the beauty hall at Myer Sydney City and upgrading the Myer Morley door in Perth.

The retail group will publish its finalised audited FY26 results in September 2026.