Abstract: Rainfall variability is a major challenge to sustainable management on rangelands. We present data from a grazing trial in north Queensland on the relative performance of moderate (MSR), heavy (HSR), two variable (VAR and SOI) stocking rates and a rotational spelling (R/Spell) strategy, over a 12-year period. VAR strategy involved adjusting stocking rate according to pasture mass at the end of the wet season and SOI adjustment based on the Southern Oscillation Index and pasture mass. The density of palatable, productive and perennial grasses after 12 years was markedly higher in the MSR and R/Spell than in the VAR and SOI but was by far the lowest in the HSR. Accumulated cash surplus at the end of the 12 years was far lower in the HSR relative to the other strategies. These results directly challenge the assumption that sustainably and profitability are incompatible in rangelands.