Myer has scrapped bonuses for its top executives after a year in which its share price fell about 60 per cent, and its losses deepened to $276.5 million.
The group’s 2026 annual report, released this week, shows the board used its discretion to withhold FY26 short-term incentives. Executives had met enough hurdles to qualify for 26 per cent of the maximum payout.
Myer noted that underlying net profit after tax fell well short of target. Executives also missed their thresholds on sales revenue and operating gross profit. The hurdles they did meet were cost of doing business, the Myer One tag rate at Myer Retail and customer satisfaction at Myer Apparel Brands.
Long-term incentives granted in FY24 will lapse in full, because the retailer failed to deliver a positive total shareholder return over the three-year period.
Myer shares started FY26 at $0.62 and closed it at $0.25. That took the company’s market value from $1.06 billion to $432.7 million.
Executive chair Olivia Wirth’s fixed pay was unchanged at just over $1.2 million. Her total remuneration fell to $1.66 million from $1.89 million, mainly because of a lower accounting expense for her share rights. The total included $167,456 in non-monetary benefits, which cover return flights between Sydney and Melbourne and accommodation in Melbourne.
Group CFO Kathy Karabatsas received an $80,000 allowance from July 1 this year for taking over the supply chain function, lifting her fixed pay to $980,000 in FY27.
Neither executive held Myer shares at year-end. Shareholders will vote on the remuneration report at the annual general meeting on December 10.
The report also shows that the Myer department store business took the largest share of the group’s $279.6 million post-tax impairment. Myer Retail was written down by $229.3 million before tax, including $154.4 million against brand names and other intangibles, and $64.4 million against right-of-use assets such as store leases.
Myer Apparel Brands was written down by $138.1 million before tax, including $74.6 million in goodwill and $54.1 million in brand names. The charge follows a $213 million goodwill impairment on the business in FY25.
Within Apparel Brands, Just Jeans was the only brand to grow, with sales up 6 per cent. It now makes up about 40 per cent of the division’s sales. Portmans sales fell 10.2 per cent, Jacqui E 7.4 per cent, Dotti 2.9 per cent, and Jay Jays 1.7 per cent. Online sales across the division dropped 9.2 per cent.
At Myer Retail, sales of Myer Exclusive Brands fell 1.2 per cent and national brands 2.1 per cent, while concessions rose 8.4 per cent. Beauty sales fell 3.9 per cent.
Myer Group’s total sales rose 11.3 per cent to $4.09 billion in FY26, reflecting the first full year of Apparel Brands. Comparable sales grew 0.7 per cent. Underlying net profit after tax fell 2.9 per cent to $42.5 million, and underlying earnings before interest and tax fell 7 per cent to $139.4 million.
Myer paid an interim dividend of 1.5 cents per share in May 2026 and declared no final dividend for the full year.