• Just 18% of Australian companies recorded a drop in revenue over March, the lowest figure since July 2020, according to the Australian Bureau of Statistics.
• The latest business sentiments report shows considerable optimism among sectors which have recovered from COVID-19 pandemic shutdowns.
• But a quarter of arts and recreation firms expected revenues to dip in the month to come.
• Visit Business Insider Australia’s homepage for more stories.

The financial outlook for Australia’s business community continued to lift in April, new data from the Australian Bureau of Statistics (ABS) shows, but not every sector shares the same rosy optimism.

In its latest Business Conditions and Sentiments report, revealed Friday, the ABS says 18% of all surveyed companies reported a drop in revenue in April.

The figure represents a 6% decrease from March, and the lowest monthly figure recorded since July 2020, when nearly half of all businesses recorded plummeting revenues.

At the same time, 22% of firms reported a revenue uptick, marking another 6% increase from the month prior.

And the number of businesses reporting an increase in staff remains level at 9%, echoing encouraging unemployment figures and record-high numbers of new job listings.

The numbers lend credence to the Federal Government’s insistence that Australia’s economic recovery from COVID-19 shutdowns is well underway.

But as is the case with every recent tranche of positive figures, some uncomfortable numbers lie just below the surface.

The nation’s beleaguered Arts and Recreation sector — which includes the especially hard-hit live performance industry — posted polarised results.

A full 26% of surveyed firms in the field expected revenues to dip in the next month, the highest percentage of any industry group.

But 51% also expected revenues to rise, again the highest percentage of any one sector.

Separately, nearly half of all arts and recreation firms said at least one COVID-safe protocol, in the form of physical distancing, PPE, or disinfection requirements, adversely impacted business to a “great extent.”

Taken together, the numbers suggest the arts and recreation companies which have adapted to long-term international border closures and occupancy limits, and those lucky enough to take advantage of government support packages, will flourish through 2021 — while more pain is in store for the businesses left floundering.

The real estate industry was the second-most optimistic about revenues increasing, with 39% of firms saying they’re confident their bottom line will grow through May.

A cursory glance of median house prices and clearance rates suggests that optimism is justified.

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