Australian retailer Coles Myer posted a 39% jump in full-year pre-tax profit as cost saving initiatives kicked in.

For the year ended July 27, pre-tax profit climbed to A$681.2m on sales that grew 6.1% to A$27bn.

Chief executive John Fletcher said: “This is a major step forward in Coles Myer’s five-year turnaround programme.”

Chief operating officer Alan Williams said the Coles Express stores were a “real competitive advantage”, with customers buying fuel when and where they wanted, not only after shopping.