01.09.202501:35:51UTC+00Australia Corporate Profits Unexpectedly Drop in Q2

In Australia, corporate profits experienced an unexpected decline of 2.4% quarter-on-quarter in Q2 of 2025, contrary to market expectations of a 1.2% increase. This follows a revised decrease of 1.0% in the first quarter. The downturn was predominantly influenced by reduced profits in several sectors: financial and insurance services saw a decline of 7.5% compared to the previous 11.9% decrease in Q1, administrative and support services dropped by 11.4% from a prior 7.2% fall, mining decreased by 0.5% following a 6.3% decrease, wholesale trade fell by 4.6% after a previous rise of 3.7%, transport and warehousing declined by 1.6% down from 4.2%, rental and hiring services saw a 3.6% decrease after a 0.8% increase, and electricity, gas, water, and waste services experienced a 1.3% drop compared to a previous 3.0% decline. Annually, profits fell by 3.3% up to June, following an upward revision of a 5.2% fall in Q1, denoting the smallest yearly downturn in a year.