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Nonetheless the optimism of the ITEM forecast is at variance with some of the Bank of England's own soundings, which show that small firms are still faced with a tough lending environment.
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The Ernst and Young Item Club forecasting group joins those calling on the government to abandon the 2% inflation target, forcing the Bank of England to take more drastic action to lift the economy out of its slump.
Hetal Mehta, senior economic adviser to Ernst & Young's Item Club forecasting group, said: "The only thing that may have convinced the MPC to ramp up the programme would have been a negative GDP figure.
The Item Club forecasts growth in 2016 of 3%, up from 2.9% estimated previously.
Wall Street analysts, which typically exclude special items, had forecast earnings of only 93 cents per share, with sales of $8.2 billion.
Other items Editd forecasts to continue to sell well include backpacks and biker jackets.
But the shares rose 18percentt because earnings, excluding special items, surpassed forecasts.
Analysts typically exclude one-time items when forecasting earnings estimates.
NAB's preferred cash profit measure for the period, excluding some accounting items, met forecasts and came to $A3.32bn.
Chipmaker AMD posted third quarter income of $108 million or 15 cents per share, excluding one-time items, beating forecasts by nine cents.
Its Item Club spring forecast said that the overall economic growth will be led by a modest 1.2% rise in consumer spending, and continuing recovery in the housing market.
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