Appliance caps in the 3rd quarter

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Clouds are starting to accumulate on the outlook for demand and profitability.

The quarterly barometer of the Swiss Association of Manufacturers and Suppliers of Household Electrical Appliances (FEA) suggests a slowdown for the final partial of the current year, based on a current situation however largely satisfactory.

The proportion of pessimistic respondents has certainly increased from 2% to 5% over a quarter, but the overwhelming majority of stakeholders consider the situation satisfactory (67%), or even frankly good (29%).

The same trend is looming for entries and order books, judged bad by 2% of respondents against another 0% three months earlier, says a report released Tuesday.

Hiring issues, on the other hand, do not worry any of the companies surveyed, with a large half judging the situation satisfactory and a small half calling it a good one.

While the expectations for the rest of the year are largely in line with the trend already observed this summer, clouds are beginning to accumulate on the outlook for demand and profitability. Only one-fifth of those surveyed still think of being overweight in order books, compared to another third of the last score. The share of those predicting a decrease from 10% to 14%.

The proportion of companies projecting an erosion of their profitability has practically doubled to 21% and that of firms anticipating an improvement has been halved to 7%.



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