Fastest Declining Industries in Australia by Revenue Growth (%) in 2023

1. Air Freight Services in Australia

2023-2024 Revenue Growth: -24.7%

Airfreight transporters have faced a turbulent operating environment in recent years. While the COVID-19 pandemic largely grounded the wider aviation sector, the Air Freight Services industry soared above the clouds. Airfreight volumes transported by airlines dropped while international borders were closed, due to limited capacity in the cargo holds of passenger flights. However, global supply chain disruptions pushed airfreight prices to record levels, more than offsetting weaker tonnage volumes. Overall, industry revenue is expected to zoom up at an annualised 4.7% over the five years through 2022-23, to $7.0 billion. This includes an anticipated 21.5% crash in 2022-23, as airfreight... Learn More

2. Land Development and Subdivision in Australia

2023-2024 Revenue Growth: -20.9%

The industry has been exposed to wide annual fluctuations in the price and volume of land sales in response to the changing trends in building investment. The volume of greenfield land sales for residential projects more than doubled from a low in 2018-19 to the peak in 2020-21, which corresponded with the surge in single-unit dwelling commencements resulting from the injection of the Federal Government's HomeBuilder stimulus and historically low interest rates. The reversal of this stimulus and the recent hike in mortgage interest rates have contributed to an expected contraction in industry revenue at an annualised 2.3% over the... Learn More

3. Commercial and Industrial Building Construction in Australia

2023-2024 Revenue Growth: -15.6%

General economic drivers influence investment in commercial and industrial building construction, including growth in the labour force and the number of businesses. The industry's performance has climbed to record highs in recent years despite the fallout from the COVID-19 pandemic, which contributed to project deferrals and delays because of periodic lockdowns and supply chain blockages.

Industry revenue is expected to climb at an annualised 2.6% through 2022-23 to reach $52.5 billion, despite an anticipated 1.5% contraction in the current year, which is associated with several CBD office developments reaching completion. The industry's profitability has narrowed slightly over the same period as... Learn More

4. Retail Property Operators in Australia

2023-2024 Revenue Growth: -15.3%

Retail property operators have contended with volatile trading conditions over the past five years. Although demand for retail trade has grown, online shopping's mounting popularity has constrained demand for traditional bricks-and-mortar locations as some retailers have reduced their in-store presences to soften rent costs. Previously low interest rates supported the development and supply of retail properties for lease. Low interest rates also provided tenants greater bargaining power for more desirable lease agreements. Non-essential retail activity has also declined, limiting retail property operations revenue. Overall, revenue is expected to fall at an annualised 8.2% over the past five years and is... Learn More

5. Plumbing Services in Australia

2023-2024 Revenue Growth: -14.0%

The Plumbing Services industry supplies licensed services to install, repair and maintain fixtures and fittings to catch, distribute and treat liquids, gases and waste products. The industry is highly regulated to comply with product and installation standards and building guidelines. Most industry participants are small-scale contracting firms that employ fewer than 20 people and service narrow geographic areas or niche markets. However, the industry includes several large-scale facilities management companies, along with some franchise groups.

Over the five years through 2022-23, industry revenue is expected to decrease slightly at an annualised 1.4%, to reach $18.1 billion. This trend includes an anticipated... Learn More

6. Bricklaying Services in Australia

2023-2024 Revenue Growth: -13.3%

Trends in new residential building construction and demand for construction of smaller non-residential buildings, such as suburban shops, schools and community centres, heavily influence the Bricklaying Services industry. Bricks and mortar are the traditionally preferred materials for building Australian homes, due to the availability of clay deposits and brick's thermal insulation properties. An ongoing shift in housing preferences towards higher density apartments, which typically have a much lower brick content per unit constructed than single-unit housing, has adversely affected the industry's long-term performance.

The industry has faced divergent trends in key building markets over the past five years, including a current... Learn More

7. Self-Managed Superannuation Funds in Australia

2023-2024 Revenue Growth: -12.5%

The Self-Managed Superannuation Funds industry's assets have continued growing in recent years. Industry assets have increased by an annualised 2.6% over the five years through 2022-23, to $899.5 billion. Revenue has inched upwards at an annualised 0.5% over the same period, to $58.9 billion. Like other superannuation funds, SMSF revenue is highly volatile as it's made up of investment income and SMSFs are highly exposed to equity markets. Significant volatility in domestic and international sharemarkets throughout the COVID-19 pandemic and more recent inflationary pressures have highlighted this variability. Revenue has surged by 255.7%, back to a positive value in 2022-23,... Learn More

8. Prefabricated Wooden Building Manufacturing in Australia

2023-2024 Revenue Growth: -12.3%

The Prefabricated Wooden Building Manufacturing industry is one of the smallest in Australia's Manufacturing division. Over the long term, the industry's products have steadily lost ground to substitute products manufactured using metal, PVC and fibre cement building materials. Metal building products have captured the dominant position in the mining and infrastructure markets and also have an increasing presence in the household building market, particularly prefabricated metal garden sheds and carports. However, the industry continues to hold a leading position in the household, recreation and backyard building markets. Industry firms manufacture products such as granny flats, cubby houses, kit homes, kennels... Learn More

9. Iron Ore Mining in Australia

2023-2024 Revenue Growth: -11.3%

Iron ore miners have benefited from major increases in iron ore prices, and modest growth in production volumes over the past five years. Iron ore revenue is expected to increase at an annualised 8.1% over the five years through 2022-23, to total an estimated $124.1 billion. Strong demand from China and disruptions to iron ore producers in Brazil prior to, and during the COVID-19 pandemic, sent iron ore prices soaring. Iron ore prices are projected to fall in 2022-23, prompting iron ore revenue to drop an estimated 16.2% over the year.

Over the past decade, strong economic growth in China has... Learn More

10. Grain-Sheep or Grain-Beef Cattle Farming in Australia

2023-2024 Revenue Growth: -11.3%

Grain-sheep or grain-beef cattle farms are farms that either farm sheep and grow grains, or farm beef cattle and grow grains, but not both. Farmers sell livestock to meat processors, other farms and feedlots, and sell wool and livestock to wholesalers, processors and exporters. Grain-sheep and grain-beef cattle farmers' performance has been volatile over the past five years, as fluctuations in annual rainfall have significantly influenced output. In addition, diplomatic tensions with China over the past three years have led to various trade barriers being imposed on a variety of agricultural products, including barley and beef. Overall, industry revenue is... Learn More