Why did Australian private capital expenditure fall in the June quarter of 2026?

Australian Bureau of Statistics data showed Australian private capital expenditure fell 3.6% primarily due to a 53% decline in information media and telecommunications equipment spending.

What are the key financial growth figures reported for year-on-year capital expenditure?

The Australian Bureau of Statistics reported that total capital expenditure remained 10.7% higher compared to the same period in the previous year. Additionally, the final estimate for 2025-26 recorded an overall capital expenditure increase of 11.3% compared to 2024-25.

How is investment performing across different industry asset sectors?

Australian Bureau of Statistics figures show equipment and machinery investment fell 8.9%, driven by an 11.3% decline in non-mining equipment.

What was the geographic impact across Australian states during the quarter?

Australian Bureau of Statistics data identified Victoria and New South Wales as experiencing the largest state drops in capital expenditure, falling 13.9 per cent and 2.8 per cent respectively. These declines occurred because both states had absorbed the bulk of data centre equipment spending in the preceding quarter.

Economy

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Aussie private capital expenditure falls 3.6% in June quarter

Written by Mahathir BayenaPublished Aug 27, 2026, 2:30 AM

Australian private new capital expenditure fell 3.6% in the June quarter of 2026.
The decline followed a 53% drop in media and equipment spending.
Businesses increased their future spending projections for 2026-27 by 15.5%.

Australian private new capital expenditure fell 3.6% in the June quarter of 2026.

The quarterly decline follows a previous quarter driven by a 199.6% surge in data centre equipment spending.

"June’s fall in investment was the result of a 53% drop in spending on information media and telecommunications equipment after record investment in server racks and processing equipment for data centres saw an increase of 199.6% last quarter," said ABS Head of Business Statistics Tom Lay.

Despite the quarterly dip, total capital expenditure remained 10.7% higher than the same period last year.

Buildings and structures investment rose 2.1% due to ongoing data centre construction and new renewable energy projects.

Equipment and machinery investment fell 8.9% overall, although transport, postal, and warehousing equipment spending grew by 27.8%.

Businesses revised their planned capital expenditure for 2026-27 upward by 15.5% compared to previous estimates.