David Jones has entered administration, putting the future of the 188-year-old Australian department store chain in doubt and raising the prospect of closures across the country.
Dozens of outlets could shut, while customers with David Jones gift vouchers are expected to lose the ability to redeem them. A staff meeting is due to explain the implications of the move to the retailer’s thousands of employees.
Stores identified as highly likely to close include Westfield Parramatta and Warringah Mall in New South Wales; Carindale, Indooroopilly Shopping Centre, Robina Town Centre and Sunshine Plaza in Queensland; Westfield Marion in South Australia; Westfield Doncaster and Southland in Victoria; and Carousel, Booragoon and Karrinyup Shopping Centre in Western Australia.
The retailer’s difficulties came under renewed scrutiny after it recorded a pre-tax loss of 95.5 million Australian dollars for the year to June 29, 2026. Sales fell by 8.7 per cent over the same period.
The move follows a dispute with Westfield’s parent company, which said David Jones had breached its tenancy agreement by failing to pay rent in October.
David Jones faces uncertain future
Founded in Sydney in 1838, David Jones is recognised as the world’s oldest continuously operating department store still trading under its original name. The chain became known for its prominent stores and high-profile fashion campaigns.
Its most successful years included brand ambassadors such as Lauren Hutton, Miranda Kerr, Megan Gale and Jessica Gomes. Its catwalk shows also featured models including Linda Evangelista, Jesinta Franklin and Gigi Hadid.
Retail expert Barry Urquhart said the administration represented the end of an era for the Australian retailer. “The inevitability is we will not be seeing David Jones around in the very near future,” he said.
Mr Urquhart identified the Covid-19 pandemic as a major turning point, saying lockdowns had placed businesses under severe financial pressure.
“With the onset of the Covid-19 pandemic in February 2020, a lot of communities, towns, businesses closed down and therefore that had a huge impact on cash flows, debt levels,” he said.
However, the chain’s challenges began before the pandemic as changing shopping habits steadily shifted sales online. Online purchases rose to almost 20 per cent of total retail sales during the pandemic, placing pressure on a business built around the in-store experience.
Advertising expert Dee Madigan said management had failed to modernise David Jones and distinguish it from online rivals. She suggested concentrating on four or five flagship stores while investing in an online operation and making the remaining shops more difficult to replicate digitally.
“Whether it’s stylists in there, whether it’s champagne nights, whether it’s free coffee. Bring back the piano player. Really try and make the brand successful,” she said.
