Industrial firms say spending increases may ease in 2005's second half versus 2004
Aug 11, 2005
The U.S. industrial sector is less optimistic about seeing increases in component and services spending during 2005's second half than it was at this time in 2004, according to a new survey of industrial organizations on U.S. economic conditions.
Their views were found in surveys conducted by GlobalSpec, the leading specialized search engine for the engineering community. A significant 92 percent of respondents anticipate overall 2005 revenue of their firms will be ahead of or the same as year-end 2004 revenue. At mid-year, 83 percent say their revenue is running ahead of or on target for 2005.
These results indicate a steady improvement in the industrial sector over the past few years; GlobalSpec's comparable mid-year 2002 survey found just 64 percent saying revenues were ahead of or on target for that year. Companies reporting they have made headcount reductions at mid-year 2005 are far fewer than previous years as well. Eighteen percent of respondents report headcount reductions this year, compared to 42 percent at the same point in 2002.
Results from the surveys can be accessed at www.globalspec.com/GSSurveyResults0805