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PT sales to October see a jump from a year ago

Chicago, IL -- Both manufacturers and distributors of power transmission equipment and components saw significant j...


Chicago, IL — Both manufacturers and distributors of power transmission equipment and components saw significant jumps in year-to-date sales to the month of October 2004, compared to the same period a year ago, according to the Power Transmission Distributors Association (PTDA).

The results are reported in the association’s latest trend data for distributors and manufacturers of power transmission/motion control (PT/MC) products.

Canadian distributors’ year-to-date sales of PT/MC products grew 8.7% as compared to sales for January through October 2003. Sales decreased 8.5% over the previous month and increased 1.4% as compared to October 2003.

Days sales in accounts receivables rose 8.8% over September 2004 and increased 4.9% as compared to the same month last year. Annualized sales to inventory ratio in October was 7.1, compared to 7.1 in 2003.

For October, the confidence level of Canadian distributors remained flat at 6.5 on a 10-point scale.

In October, U.S. distributors’ year-to-date sales of PT/MC products grew 10.8% as compared to sales for January through October 2003. Sales decreased 2.6% over the previous month and increased 7.7% as compared to October 2003.

Days sales in accounts receivables increased 6.1% over September 2004 and decreased 0.7% as compared to the same month last year. Annualized sales to inventory ratio in October was 8.3, compared to 8.3 in 2003.

For October, the confidence level of U.S. distributors remained flat at 6.7 on a 10-point scale.

Canadian manufacturers’ sales of PT/MC products increased 4.7% as compared to sales for January through October in 2003. Sales dropped 14.2% over September and decreased 4.0% as compared to October 2003. As compared to September, sales of clutches and brakes, and shaft couplings increased. Sales of mounted bearings, unmounted bearings, variable speed drives, gear products and mechanical drive systems and other PT products decreased.

For October, the confidence level of Canadian manufacturers fell to 5.5 on a 10-point scale.

In October, U.S. manufacturers’ sales of PT/MC products increased 10.0% as compared to sales for January through October 2003. Sales decreased 2.0% over September and grew 13.2% as compared to October 2003. As compared to September, sales of unmounted bearings, gear products, clutches and brakes, and shaft couplings increased. Sales of mounted bearings, standard industrial motors, variable speed drives, positioning systems/linear motion products, and mechanical drive systems and other PT products decreased.

Year-to-date orders of PT/MC products from U.S. manufacturers increased 12.5% as compared to 2003. October orders decreased 1.8% over September and grew 14.1% as compared to October 2003. Annualized sales to inventory ratio in October was 10.4, compared to 8.7 in 2003.

For October, the confidence level of U.S. manufacturers fell to 5.8 on a 10-point scale.

The Market Outlook Report is published monthly by the PTDA. The full report includes month-to-month and year-to-year changes in sales, inventory and accounts receivables data for U.S. and Canadian distributors, as well as a general confidence index. U.S. and Canadian manufacturer data includes a confidence index, as well as sales and order trends for mounted bearings, unmounted bearings, standard industrial motors, variable speed drives, gear products, mechanical drive systems and other PT products, clutches and breaks and shaft couplings.

The report is available by annual subscription via e-mail or mail by contacting 312-876-9461 or may be ordered online at www.ptda.org/store.

A U.S.-based trade association, PTDA represents almost 220 power transmission/motion control distributor firms with almost 3,000 locations throughout North America and 13 other countries, as well as almost 190 manufacturers that supply the PT/MC industry.