Australia’s small- and medium-sized enterprises (SMEs) have achieved their best half-year performance since 2023, according to MYOB’s latest SME Performance Indicator. The September quarter saw output increase by 1 per cent, signalling a positive shift for the sector. MYOB is a technology platform that provides business management solutions to small and medium sized businesses. The company serves approximately one million businesses across Australia and New Zealand.
The growth was primarily fuelled by the manufacturing and financial services sectors, both experiencing a 6 per cent rise, alongside a 5 per cent increase in property services. Despite employment levels remaining steady, productivity and profitability saw improvements. Gross value added per employee rose over the quarter, contributing to the sector’s overall advancement.
MYOB chief executive Paul Robson noted that the data suggests a building momentum across the SME landscape. He stated that the latest figures indicate that the underlying conditions for Australian SMEs are beginning to strengthen. Robson added that SMEs are starting to reap the benefits of reduced cost pressures and increased demand following two years of slower activity.
According to the index, which draws on anonymised transactional data from over 200,000 businesses with up to 19 employees, SMEs are narrowing the gap with the broader economy. Manufacturing SMEs grew by 5 per cent in the three months leading up to September, marking their longest period of sustained monthly growth since 2023. MYOB attributed this growth to stronger investor confidence and increased capital expenditure related to advanced manufacturing and low-emissions technologies.
