Australia's Anthony Albanese won a second term as prime minister, with his Labor Party making major gains in federal election results on Saturday (May 3).

Labor claimed victory on Saturday night as it clinched at least 86 seats in the 150-seat House of Representatives, where a majority of 76 seats is needed for a party to form the government, defeating opposition leader Peter Dutton's coalition of the Liberal and National parties.

Dutton conceded defeat to Albanese and called the Labor leader following the election results to congratulate him.

Speaking to supporters at a Labor election event at Canterbury-Hurlstone Park RSL Club in his hometown of Sydney on Saturday night, Albanese said that "in this time of global uncertainty, Australians have chosen optimism and determination, Australians have chosen to face global challenges the Australian way".

"And to serve these values, make these challenges, seize these opportunities, and build that better and stronger future, Australians have chosen a majority Labor government," he said.

Labor went into election day with 78 seats in the House of Representatives while 57 were held by the coalition, which saw its number down to 40 seats as of Saturday night when most of the votes were counted.

The Australian Electoral Commission said on Friday more than 7.3 million people had cast their ballot, with over 10 million others voting on Saturday.

With his latest victory following the 2022 win, Albanese is the country's first prime minister to clinch two elections in a row since John Howard in 2004.

In conceding defeat, Dutton accepted full responsibility for the loss.

"We didn't do well enough during this campaign, that much is obvious tonight," he told party supporters in Brisbane, capital of Australia's Queensland state.

"I've always wanted in public life for the best for our country and the best for every Australian," said Dutton, who lost his seat of Dickson in suburban Brisbane and became the first federal opposition leader to do so.

"It's an historic occasion for the Labor Party and we recognize that," he said.

Albanese's party trailed in polls going into the new year but recovered ground in the following months as he campaigned on cutting living costs and focusing on healthcare, amid the global uncertainty sparked by worldwide tariffs from the administration of US President Donald Trump.