The 188-year-old department store chain booked a $95.5 million pre-tax loss for the year to June 29, a sharper slide than the prior year, while sales retreated 8.7% to $2 billion.
Its private equity owner Anchorage Capital Partners still backs the retailer’s strategy and argues the business has now passed the low point.
The retailer has been in Anchorage Capital Partners’ hands since 2022 when the firm bought it from South Africa-based Woolworths Holdings.
Regulatory filings show last year’s $95.5 million loss compared with a $74.1 million loss the year before, highlighting the earnings pressure from store upgrades and cautious shoppers.
Just a year before the ownership change, David Jones posted an $84 million profit, underscoring how rapidly conditions deteriorated.
Store refurbishments are central to the current plan but they are weighing heavily on the short-term numbers.
Competitive dynamics have become harsher since that earlier profit, especially for department stores that once dominated premium fashion and luxury.
Online retailers continue to lure customers with aggressive pricing and convenience, cutting into in-store sales.
Luxury brands that historically relied on David Jones and rival Myer are scaling up their own boutiques, capturing more of the high-margin spend directly.
Those shifts leave department stores fighting for relevance, even as they invest heavily in refreshed floors and upgraded experiences to keep shoppers coming back.
