Global Fastener News

End of 2003 FIN Survey: Industry Cost Increases Offset Higher Sales & Profits

John Wolz

The FIN Current Company Performance Index remained at 5.8 � the same level as a year ago even though more than 45% of fastener companies participating in the End of 2003 Fastener Industry News Survey reported sales and profits increases.
The stagnant current company performance �is surprising, given that nearly one half of companies report an increase in sales and profits in 2003 vs. 2002,� noted Tony Casilio of AWP Research.
However, about the same number of companies with sales and profit increases also report cost increases in the 25th annual FIN Survey. �Costs in one form or another are a very prevalent theme in the comments,� Casilio pointed out. �Given that most did not change prices in 2003, one could surmise that respondents are feeling �pinched� regardless of the actual state of their sales and profits, thus the lower than expected FIN Index.�
�Personnel cuts no longer dominate as they did in the past few years,� Casilio found. Only 28% reported staff cuts and less than 4% expect additional cuts in 2004. �2004 FastenerNews.com