Stronger company profits and another surge in income growth bodes well for Wednesday's September quarter economic growth figures.
Company gross operating profits rose 1.3 per cent in the September quarter, which was the strongest rise since March last year and the first rise in over a year.
Wages and salaries were up one per cent in the September quarter and were up 1.3 per cent in the previous quarter, the two strongest rises in almost a year.
NAB senior economist David de Garis said the figures suggest there will be a bounce pointing to a strong result for the gross domestic product growth (GDP) data.
"It provides a bit of balance from what was a weak capital expenditure survey last week," he said.
"Our forecasts have been 0.8 per cent for GDP growth. Today's numbers give us a little bit more comfort that's still on track."
September quarter business investment figures released last week, showed the biggest quarterly fall in the official survey's 28-year history.
Capital expenditure (capex) is now at a four-and-half-year low, mostly because of the downturn in mining and resources investment.
Mr de Garis said the bounce back in income is a good sign for the economy and is a result of recent strong jobs growth.
"You'd have to think that it was the employment effects coming through," he said. "You've got some growth in wage, but you've also got continued growth in employment as well."
St George senior economist Janu Chan said the company profits figures got a boost from the mining sector as exports recovered and the Australian dollar fell almost seven cents in the quarter, ending the month at 69.09 US cents.
"Non-mining profits however, were somewhat disappointing, falling 0.3 per cent in the September quarter - it was the first decline in five quarters," she said.
"The weakness in non-mining profits in addition to weak non-mining capex data last week raises questions about the strength of non-mining activity."
"We are continuing to see evidence that growth is transitioning from mining to non-mining sectors of the economy," she said.
