The PMPA Business Trends Index for May 2014 increased 5 points over both April 2014 and May 2013. Our industry continues to show solid sales in 2014.
The May 2014 PMPA Business Trends Report shows strong levels of sales and increase in hours scheduled. Forward looking sentiments for Lead Times, Profitability, and Employment do not show the same level of strength.
Weakening Lead Time sentiment in particular is an issue to keep in mind.
While we show positive levels of hours worked, shipments, overtime and profitability, each of these indicators has softened to a less bullish level than in the first quarter.
Our indicators suggest perhaps moderation in demand for our products in the months ahead.
See the full report here.
Lawrence says:
I think there would be strong sales for precision machining because there is great demand. I think there is greater demand now than ever. Do you think it will continue to rise in the forthcoming years? I wonder why profitability isn’t showing the same strengthening trend.
speakingofprecision says:
In many areas, Precision machined parts are the sole technological solution. In some areas, Mechanical parts can be replaced with software enabled electronic components, but as the world population continues to grow and increases in development, it is certain to spur greater demand for manufactured goods. The question is, can these be had at a globally affordable price?
Great question.