The unlisted group today reported net profit for fiscal 2008 of $93.579 million, up from $73.432 million in the prior year.
Revenue from sales of goods was $2.94 billion, down from $3.002 billion, while total sales were $3.32 billion, up from $3.289 billion.
Myer's cash cost of doing business fell 2.8 per cent to $1.057 billion -- 124 basis points down on 2007, the company said.
Comparable store sales were up 2 per cent.
Myer said tough market conditions would continue, with fiscal 2009 profit likely to be similar to 2008.
But the company said it was "on track to deliver improved profitability with (earnings before interest and tax) of seven cents in the dollar by mid-2010".
This coincided with the end of the company's planned turnaround phase and the beginning of its planned growth phase, the company said.
Myer Group executive chairman, Bill Wavish, said the company considered its financial performance as "solid".
"Cash flow and profitability have both improved, providing us with a stronger platform for capital investment in the business," Mr Wavish said.
"Debt has also reduced, with our next repayment four years away.
"Despite current difficult retail trading conditions, we are on track to achieve the economic performance to underpin long term sustainable investment and growth.
"By mid 2010, the end of the Turnaround Phase and the beginning of the Growth Phase, we would expect to be earning over seven cents in the dollar."
Myer chief executive officer Bernie Brookes said the company expected fiscal 2009 profits "to remain broadly similar to FY08 levels".
"In fiscal 2009, we will continue to focus on completing the 50 month Turnaround Phase and preparing for the Growth Phase beyond," Mr Brookes said.
"Given the prevailing economic conditions and the impact on earnings of current refurbishments, our expectation that fiscal 2008 profits can be maintained in fiscal 2009 reflects our confidence in the underlying business, including our ability to continue to drive business improvements."
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