Spring clearance sales helped drive a 3.9 per cent lift in Myer’s same store sales during the first quarter.

The retailer reaffirmed an underlying net profit forecast in the range of $64 million to $72 million for fiscal 2016, before taking into account implementation costs associated with New Myer, at its annual general meeting on Friday.

The department store expects to deliver a return to sustainable sales and earnings growth from FY2017.

In the 13 weeks to October 24, Myer said sales rose 3.4 per cent to $714.8 million on the same period last year.

Myer chairman, Paul McClintock, was upbeat at the AGM, highlighting the changes underway as part of the ‘New Myer’ strategy, announced in September.

“If you have not visited a Myer store recently, I urge you to do so, I think you will be surprised just how much has changed in a very short time – but of course we have just begun,” McClintock said.

“There is energy and sparkle returning to Myer. New Myer is delivering the best ever array of wanted brands, experiences and services. We are bringing the love of shopping to life.”

New Myer is a departure from the department store’s former strategy of building value by growing its store footprint and focusing on higher margin Myer private label brands.

“As we refocus our operations around productivity metrics of sales and profit per square metre, we will be refining and reshaping our store network,” McClintock said.

“Going forward, our operating footprint will become smaller but more productive.”

Myer’s shares hit an all-time low of 82.5 cents in September following a capital raising that diluted their value.

On Friday its shares were up 4.75 cents to $1.033 at 1114 AEDT.

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