Local Federal Labor MPs Dr Gordon Reid (Robertson) and Emma McBride (Dobell) retained their seats with 59.81% and 59.73% of the two-party preferred vote respectively.
Nationally, Labor is projected to win at least 86 seats, surpassing the 76 needed for a majority, marking the first time since Federation in 1901 that a Labor prime minister has been re-elected with an increased majority.
The election dealt a significant blow to the Liberal-National Coalition, which suffered its worst defeat in decades.
Opposition leader Peter Dutton lost his own seat of Dickson, a rare occurrence for a federal opposition leader, leaving the Coalition in disarray and without a clear successor at the time of publishing.
Albanese's campaign emphasised unity, fairness, and economic stability, resonating with voters amid concerns over the rising cost of living and global uncertainties.
His approach contrasted sharply with Dutton's campaign, which was criticised for adopting divisive rhetoric reminiscent of former U.S. President Donald Trump.
The election outcome also reflected a degree of rejection of far-right politics, with voters favoring Albanese's centrist and experienced leadership.
International leaders, including Ukraine's Volodymyr Zelenskyy, India's Narendra Modi, and France's Emmanuel Macron, congratulated Albanese, expressing optimism about continued collaboration and shared global goals.
In his victory speech, Albanese emphasised his commitment to governing for all Australians, saying: "Australians have chosen the Australian Labor Party as their government. Our government will choose the Australian way, because we are proud of who we are and all that we have built together in this country"