However, while the retailer did not provide any material outlook for investors, it warned that sales “remained subdued” because of the COVID lockdowns in Sydney and Melbourne, though it stressed the company was well-placed for the eventual reopening of its stores and the Christmas period.

The retailer received $50.7 million in JobKeeper payments and New Zealand’s wage subsidy during the year, of which $19.1 million was paid to workers. Without those subsidies, its net profit would have been $29.6 million.

Chief financial officer Nigel Chadwick said the business was not contemplating paying back any of the subsidy despite its improved profit position.

“All of that money has now made its way through to our employees in the form of either direct pass-throughs or wage subsidies, so unless people are suggesting that we tap our employees on the shoulder and say ‘pay it back to the company’, then no,” he said.

Online sales grew 27.7 per cent to $539.5 million, now representing more than a fifth of its total sales, however, Mr King shot down rumours that the business was considering spinning out its online division as a separate entity.

Myer has been the target of a fierce campaign by its largest shareholder, billionaire Solomon Lew, who has been pushing for the resignation of Myer’s board due to the company’s history of underperformance.

Mr Lew upped his stake in the business to 15.7 per cent stake in the business earlier this year in an attempt to rejig the board and add two of his own directors and a raft of new independent directors. It’s expected Mr Lew’s Premier Investments will call an extraordinary general meeting for later in the year.

Despite this, Myer announced on Thursday it will seek to appoint the chair of troubled health and beauty retailer McPherson’s, Ari Mervis, as a new director. It also announced that after nearly 12 months of searching for an external candidate, Myer’s acting chair JoAnne Stephenson would take on the role permanently.

Mr King would not comment on Mr Lew’s agitations other than to say the board was “happy to engage” with him over his board suggestions.

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