Power transmission equipment sales experience slight retraction in July
Chicago, IL -- The July 2008 month-end trend data for distributors and manufacturers of power transmission/motion c...
Chicago, IL — The July 2008 month-end trend data for distributors and manufacturers of power transmission/motion control (PT/MC) products compiled by the Power Transmission Distributors Association (PTDA) retracted slightly in July 2008.
U.S. distributors’ overall sales of PT/MC products fell 1.1% in July 2008 compared to June 2008. When matched up against sales in the same month last year, sales in July 2008 were up 10.2%. Accounts receivable collection days increased 2.6% since June 2008. The confidence index of U.S. distributors for July dropped 0.2 points to 5.4 on a 10-point scale.
Canadian distributors were the only category reporting a gain in sales in July 2008, posting a 2.0% increase over June 2008. Sales over the same period last year were up 6.4%. Accounts receivable collection days dropped dramatically, by 19.3% compared to June 2008. In July 2008, the confidence level of Canadian distributors was held constant for the sixth consecutive month at 5.7 on a 10-point scale.
U.S. manufacturers’ sales dropped 3.9% in July 2008 when compared to June 2008. Sales in July 2008 climbed 14.4% compared to the same period last year. Orders in July 2008 were down 2.7% over June 2008. The confidence level of U.S. manufacturers rose 0.1 points to 5.4 on a 10-point scale.
Canadian manufacturer’s sales decreased 3.5% in July 2008 compared to June 2008. Sales were down 0.9% when compared to the same period last year. The confidence level of Canadian manufacturers increased 0.1 to 5.0 on a 10-point scale from June to July 2008.
Product-by-product sales between June 2008 and July 2008 reflect the overall decline in sales experienced by U.S. and Canadian manufacturers. Only three of nine product categories for U.S. manufacturers — shaft couplings, variable speed drives and gear products — posted increases in sales. For Canadian manufacturers, four product categories posted double-digit gains — mounted bearings, clutches and brakes, shaft couplings and gear products.
The Market Outlook Report is published monthly by the Power Transmission Distributors Association. For more information, visit www.ptda.org.