Business income records small increase in 2009

Total income for all New Zealand businesses increased by 0.4 percent, to $569.2 billion in the 2009 financial year, Statistics New Zealand said today.

This slight increase is lower than the 7.3 percent rise in total income in 2008. In 2009, income from sales of goods and services increased by 1.4 percent, to $487.8 billion, compared with a much stronger 8.2 percent rise in 2008.

By total income, the manufacturing industry showed the largest increase, up by $4.6 billion (5.0 percent) to $95.8 billion in 2009. The financial and insurance services industry showed the largest decline in total income, decreasing $6.1 billion (7.5 percent) to $74.3 billion in 2009.

Total expenditure for all New Zealand businesses rose to $533.8 billion in 2009, up by 2.5 percent. Purchases and other operating expenses, the largest component of total expenditure, was up by 1.6 percent, following a 9.2 percent increase in the 2008 financial year.

Total surplus before income tax decreased to $36.1 billion in 2009, down $13.7 billion (27.5 percent) from the 2008 financial year. This was a result of total expenditure increasing at a higher level than total sales in 2009.
Other financial variables, and economic ratios by industry, are available in the accompanying Hot Off the Press, and at a more detailed level on request.

The Annual Enterprise Survey is New Zealand’s most comprehensive source of financial statistics, providing annual financial performance and financial position information about industry groups operating within New Zealand. The industries covered in the survey contribute approximately 90 percent of New Zealand’s gross domestic product.