Myer confirms decline in net profit of 14.3%

Myer has confirmed its net profit fell 14.3% in the year to June 30, with the department store also failing to give any guidance for the next 12 months.

The company confirmed net profit fell to $139.365 million, while total sales fell by 1.3% to $3.1 billion.

In a statement, the company said it expects current conditions will continue, although it is hoped a bigger profit margin will help.

“The outlook is uncertain due to a continued tough retailing environment and subdued consumer confidence,” the company said.

“Therefore Myer does not intend to provide sales or profit guidance to the market for FY2013.”

Shares had fallen nearly 2% to $1.81 after the announcement.

However, chief executive Bernie Brookes says the result is a positive one considering the tough conditions, and mentioned that like-for-like sales were positive in the last quarter.

“The highlight of this year’s result is the strong gross profit performance reflecting a number of key achievements,” he said.

“We delivered on the objectives of growing our Myer exclusive brands to 19% of sales, further reducing our shrinkage and markdowns, and improving our sourcing.”

Myer will continue to focus on its omnichannel plan.

Sigma announces small profit decline in first half

Pharmaceutical giant Sigma has announced a 2.1% decline in net profit for the first half of the year.

The company announced net profit was down to $27.9 million, with shares falling 2.17% to 67.5 cents after the announcement was made.

However, it announced a fully franked interim dividend of two cents per share.

“The board considered it appropriate to increase dividend payments compared with the corresponding period a year ago, as confirmation of the sound progress the company has made,” chairman Brian Jamieson said in a statement.

Shares fall after weak offshore lead

The Australian sharemarket has opened lower this morning following a weak offshore lead as investors await movement from the American Federal Reserve.

The benchmark S&P/ASX200 index was down 16 points or 0.4% to 4344.9 at 12.00 AEST, while the Australian dollar remained steady at $US1.04.

In the United States, the Dow Jones Industrial Average rose 0.1% or 10 points to 13,333.4.

Consumer inflation expectations steady

Consumer inflation expectations were unchanged in September, and remain within the Reserve Bank of Australia’s target band, according to the Melbourne Institute’s Survey of Consumer Inflationary Expectations.

The survey found the median expected inflation rate stayed at 2.4% during September.

According to the survey, the proportion of respondents expecting annual inflation to fall within the target band increased to 14.1%, from 15.9% last month.

The figure is below the 12-month average of 15.5%.