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Robert Ewing, ABS head of business indicators, attributed the surge in profitability to a higher demand for goods and services, resulting in businesses passing increased costs onto consumers. "After slower profit growth across the earlier COVID-19 pandemic affected years, almost all industries recorded higher operating profits in 2021-22," Ewing said in a press release.
This robust growth was observed despite increased input costs for many businesses and a cutback in government COVID-19 subsidies.
Wholesale trade recorded a growth of Au$9.8 billion in operating profit during the period under review.
The construction industry witnessed a decrease in operating profit by Au$4.4 billion, and the Electricity, gas, water, and waste services industries registered a Au$1.6 billion decrease. Both sectors were impacted by rising commodity prices and supply chain issues.
"Businesses of all sizes saw an increase in income and operating profit in 2021-22," added Ewing.
Fibre2Fashion News Desk (KD)