Most Australian businesses reported stable trading conditions in May, with more than three quarters (78 per cent) experiencing either no change or an increase in revenue, according to survey results released today by the Australian Bureau of Statistics (ABS).
ABS Head of Industry Statistics, John Shepherd, said the latest Business Conditions and Sentiments Survey showed that while fewer than one in ten businesses (8 per cent) expected their revenue to fall in June, some businesses were still recovering from the effects of the COVID-19 pandemic.
“This can be seen in the amount of cash on hand that businesses reported. While 43 per cent of businesses told us their cash on hand could cover three months or more of business operations (compared to 42 per cent in February), 25 per cent reported that their current cash on hand was lower than usual for this time of year.
“Conditions such as decreased demand, decreased revenue and restrictions over the year have impacted cash reserves.”
The survey also found that since the end of March, 20 per cent of businesses have stopped accessing support measures such as wage subsidies, the renegotiation of property rent or lease arrangements and deferred loan repayments.
Of the 20 per cent of businesses no longer accessing this support, 23 per cent have been impacted to a great extent.