The latest CAB State of the Market figures for Q4, 2014 continued to highlight a positive long term outlook for the aluminium in building sector despite rising cost factors with 89% net balance of companies expecting a rise in sales for the year ahead. Headlines:
- 95% of CAB members, on balance reported a rise in sales over the past year.
- Members reported that they anticipate sales rising over the next quarter (72%) and the next 12 months (89%).
- Costs continued to rise with 74% net balance reporting a rise in costs in the last 12 months and 78% expecting a rise over the next year.
- Wages & salaries (74% net balance) were reported for the 3rd successive quarter as the major cost factor closely followed by Raw materials (68%), with Fuel Costs negative on balance (-26%)
- 40% net balance of companies expected to operate at over 90% of capacity over the next 12 months, the same as in Q3.
- Headcount increase for the year ahead slowed (53% net balance) compared to 87% in Q3 but was similar to the wider construction sector figure of 61% net balance.
- Demand (39%) and Capacity (28%) were once again factors ‘likely constraints on activity over the next 12 months’. Encouragingly 17% of respondents stated ‘No constraints’