The dual-factor model of mental health proposes that high wellbeing and low distress are necessary to define mental health. This study used latent profile analysis to identify mental health profiles in a sample of 3,587 Australian grade 6 students and explored the association between mental health profiles and school outcomes measured in grades 7 and 9. Six mental health profiles were identified: complete mental health (i.e. high wellbeing and low distress; 30%), moderately mentally healthy (i.e. average wellbeing and low distress; 18%), symptomatic but content (i.e. high wellbeing and above-average distress; 19%), vulnerable (i.e. low wellbeing and below-average distress; 6%), moderately troubled (i.e. below-average wellbeing and high distress; 19%), and troubled (i.e. low wellbeing and high distress; 8%). After statistical adjustment for potential confounders (gender, language background, socio-economic status, and geographical remoteness), students with complete mental health showed significantly higher academic achievement and school engagement one and three years later compared with students with all other mental health profiles. Students with vulnerable and troubled profiles experienced the poorest school outcomes sustained over time (grade 7 and grade 9). Implications for school-based interventions to support the mental health and wellbeing of students are discussed.