Retail giant Myer’s full-year profit dipped by 8.7% to $127.2 million, as it warned that weak economic outlook and consumer confidence will challenge the business in the 12 months ahead.

In Myer’s full year results for the period ending 27 July 2013, total sales revenue was $3.145 billion, up fractionally (0.8%) on the $3.119 billion recorded the previous year.

"We are pleased to have achieved positive sales growth of 0.8% for the full year despite sales momentum slowing in the second half, particularly in May and June,” said Myer chief executive Bernie Brooks (pictured), who added that the department store "remains cautious about the year ahead given the challenges of the economic outlook and consumer confidence".

The group will pay a fully-franked final dividend of eight cents.

In July, the 2013 Brand Desire report revealed that David Jones is winning the battle against arch rival Myer for the title of the nation’s most desirable department store.

Meanwhile, Myer has today announced that an agreement has been reached with its partners in sass & bide to acquire the remaining 35% of the shares in the business, taking full ownership of it.