Embattled department store Myer has posted a statutory net loss of $486 million over the 52 weeks to July 2018, compared to an $11.9 million net profit the year prior.

Net profit halved to $32.5 million year over year, but $518.5 million in implementation costs and individually significant items plunged the company into the red.

Total sales were down 3.2 per cent to $3.1 billion from $3.2 billion the year prior, while total online sales reached $239.4 million.

“The FY18 financial results are disappointing,” Myer chairman Garry Hounsell said.

“When it became apparent to the board that the execution of the strategy was not going to deliver an improved financial performance, we made the decisive move to make significant leadership changes.”

Last month, Myer cut 30 senior executive and management roles from the business, citing a need to operate more efficiently and improve the financial performance of the business.

Myer chief executive John King noted that shareholders deserved better.

“Since joining Myer in June 2018, I have completed a thorough review of the business, including visiting 44 stores and have met with customers, team members, suppliers, brand partners and landlords,” King said.

“Our plan is to put our customers first in everything we do. We are refocusing our efforts on marketing and our product offering. We know our customers want high quality, on trend products, at the right price, supported by great customer service.”

King outlined plans to change Myer’s product range, store layout and online offering moving forward, with the expectation that these will influence how the department store trades during Christmas 2018.

The renewed plan will see in-store customer experience transformed through simplified business procedures, efficient use of factory to consumer, and accelerated cost reduction.

“We will be focused on delivery and execution, not promises,” King said.

“I am confident that with the successful execution of this plan, we will improve the performance of the business and delivery shareholder value.”

Access exclusive analysis, locked news and reports with Inside Retail Weekly. Subscribe today and get our premium print publication delivered to your door every week.