We analyse a balanced panel of 250 farms in Western Australia using convergence analysis, examining changes in the relative size, output composition and financial performance of small, medium and large farms over the decade 2002–2011. Fitted exponential growth rates in key variables allow us to determine whether differences between small, medium and large farms are narrowing or widening. Although farms in each size category grew on average, there was no significant change in the relative size of farms. Contrasting with earlier studies, smaller farms displayed a relative improvement in their performance, catching up to medium and larger farms.