Company profits jumped in the first quarter by almost double the amount forecast by economists and retail sales accelerated in April, adding to evidence the economy is set to strengthen in 2018.

Led by robust growth in earnings across mining, utilities, construction and admin, gross operating profits rose 5.9 per cent in the March quarter, the third straight quarter of gains and the strongest in five quarters, data released by the Australian Bureau of Statistics showed on Monday. Economists had tipped a 3 per cent rise.

The figures also showed wages and salaries rose 0.8 per cent in the first three months of 2018, up 5.1 per cent from the same period a year ago.

Jacob Greber has the full story here.