41% Oz Businesses Report Revenue Drop In August
In the August ‘Business Impacts of COVID-19’ survey from the Australian Bureau of Statistics (ABS), 41% of businesses reported a decrease in revenue, compared to 47% in July.
While this is still a large percentage of Australian businesses, 28% expect revenue to fall in September, which would mark a notable improvement.
Nevertheless, the difficult operating conditions of the COVID-19 crisis continue to weigh heavily on business expenditure.
“Almost a quarter of businesses (23%) reported they had decreased or cancelled their actual or planned capital expenditure compared to three months earlier,” said John Shepherd, Head of Industry Statistics at ABS.
“Businesses reported that their decisions related to expenditure on capital were significantly influenced by uncertainty about the future state of the economy (59%), and future expected customer demand for their products or services (40%).”
The ABS found that these challenges impacted small businesses more significantly, with almost twice as many likely to report that they expected to find it difficult or very difficult compared to large businesses (35% compared to 18%).