Myer saw a decline in net profit in the last fiscal year due to the underperformance of Sass&Bide, Marcs, and David Lawrence, inflationary pressures, and store closures.

The department store chain’s net profit fell 26 per cent to $52.6 million as sales dipped 2.9 per cent to $3.27 billion. Its online sales grew 2 per cent to $704.3 million, which accounted for 21.6 per cent of total sales.

“We are laser-focused on improving our profitability, performance, and shareholder returns,” said Olivia Wirth, Myer executive chair.

“We have commenced a comprehensive strategic review to increase Myer’s profitability and drive sustainable earnings growth. Our objective is to identify opportunities to deliver a step-change in Myer’s market position and generate strategic and financial benefits.”

During the first seven weeks of the current fiscal year, Myer’s comparable sales grew 2 per cent from the year-ago period.

The company noted that its discussions with Premier Investments about a potential merger with Apparel Brands are progressing.

“While this process is still underway, we are seeing opportunities to capitalise on the highly complementary nature of the businesses and potential cost and revenue synergies across supply chain, sourcing, property, and brand management,” said Wirth.