Myer Holdings Ltd., a department store chain, released its results for the first half of FY 2010 on Thursday. The largest department store chain of Australia reported a growth of around 38% in its net income for first six months of the fiscal beating the market expectations.

First half results were mainly benefited from significant cost cutting by the company and increased sales of high end designer label brands.

In the first half of the year, Mayer reported a net profit after tax of A$115 million, increasing by 38% while in the same period last year the company posted a net income of $83 million. However, if the onetime cost of the initial public offer is excluded, the profit of the company for first half was reported to $21.3 million, decreasing by 74% comparing to the same period last year. Total revenue for the first half was reported to $1.8 billion, increasing by 2%. The EBIT was reported $181 million, increasing by 11.9% while in the same period last year EBIT was reported $161 million.

The company also released its outlook for the remaining period of the fiscal. The company remains cautious for the second half of the fiscal and expects the sales to be flat in the next half.