Myer the store of choice in poor areas

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RETAILER Myer Holdings says it is surprised to find that stores in lower socio-economic areas are performing the best of its chain.

Myer chief executive Bernie Brookes said it was unusual that the department store's biggest growth stores included Blacktown and Castle Hill in NSW, North Lakes in Queensland, Werribee in Melbourne and Elizabeth in South Australia.

"They're lower socio-economic areas. They got the benefit last year of the stimulus yet they're some of our best performing stores," Mr Brookes said.

Myer's best performing states were in South Australia and WA, but Mr Brookes said he did not not see that as evidence of a two-speed economy.

Mr Brookes said Myer's struggling stores included some of those with a high reliance on tourism, such as Cairns and Pacific Fair in Queensland.

But the retailer's CBD stores were holding their own, he said.

The retailer on Monday reported flat third quarter sales but confirmed its full year guidance.

Total sales for the quarter to April 24 were $671 million, up 0.3 per cent on the corresponding period last year.

Myer confirmed its full year sales guidance of one per cent to two per cent growth to between $3.29 billion and $3.33 billion.

It forecast earnings before interest and tax (EBIT) to grow 10.7 per cent to $261 million.

Mr Brookes said he was confident of achieving this guidance even if Myer had a challenging fourth quarter.

"If sales do fall off significantly in the last couple of months [of the quarter], then we will still achieve that EBIT guidance."