Myer has signalled its confidence in its Customer First Plan in its first half results, reinstating its dividends for the first time in four years.
For the first time since the 2017 financial year, the department store will pay a half-year dividend of 1.5 cents per share.
The news comes after the department store recorded strong sales growth in H1 FY22, reporting an 8.5% lift in total sales to $1.5 billion.
Additionally, comparable store sales grew 17.8% in the half, while online sales boomed, lifting 47.5% to $424.1 million, representing 27.9% of total sales - demonstrating that the business is on its way to achieving its goal of $1 billion in online sales in the "near term."
The retailer's loyalty program also grew in the half, with the Myer One program recording significant growth in engagement, now at 70.3% tag rate of all purchases, 9% growth in active members since 1H20, and 3.5 million customers shopping in last 12 months.
Myer CEO John King said the retailer's online sales are increasing at a rapid rate.
"The half year results we have announced today demonstrate the strength and resilience of the business providing continued momentum for future growth.
"Our online business has grown nearly fourfold in the past four years and is now one of the biggest online retail businesses in the country.
"In key categories, our growth is significantly outpacing competitors, both multichannel retailers and online pure plays," he said.
The department store recorded NPAT of $32.3 million, an increase of $11.5 million or 55.2% if JobKeeper is excluded from
the prior year.
With JobKeeper included Myer's statutory NPAT was down 25% in H1 FY22 from $43 million the prior year.
Meanwhile, the retailer reported a 7.8% increase in operating gross profit to $582.2 million for the half.
Margin decreased by 24 basis points to 38.4% reflecting COVID-related supply chain costs and promotional activity.
King added that despite the COVID-related disruptions, the business was pleased with its results.
"The combination of our online platform and store network performed well in navigating the challenges faced during the period including disruptions caused by government-mandated lockdowns to mid-October, the emergence of Omicron in late December, and the mitigation of major supply chain disruption and staffing availability in early 2022.
"Myer will pay a dividend for the first time in four years, demonstrating our confidence in the momentum being built as we move into the second half, with a return to sales growth in the first five weeks of second half with trade up 15.2% and a strong platform of future initiatives that are yet to be delivered as part of the Customer First Plan," he said.
Myer closed the half with net cash of $217 million - an increase of $16 million on the prior year.