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31.08.202601:30:00UTC+00Australian Corporate Profits Rebound in Q2, Snapping Prior Quarter’s Decline

Australia’s company gross operating profits returned to growth in the second quarter of 2026, rising 1.8% quarter-over-quarter after a 1.5% decline in the first quarter of the year. The fresh data, updated on 31 August 2026, marks a clear turnaround in quarterly profit momentum for Australian businesses.

The latest figure contrasts with the previous quarter, when profits contracted by 1.5% compared with the fourth quarter of the prior year. The second-quarter result instead reflects a positive shift in operating conditions, with the “actual” change now showing expansion against the earlier quarter-on-quarter fall.

On a quarter-over-quarter comparison basis, the current reading underscores a stabilization in corporate profitability following the weakness seen in early 2026. While further data will be needed to confirm whether this marks the start of a sustained upswing, the Q2 improvement signals that Australian companies have managed to regain some earnings traction after a soft start to the year.

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