The economic climate shows a slight improvement in building industry in October 2013Monthly survey of building - October 2013

According to the business managers surveyed in October 2013, the situation has improved slightly in the building industry: the composite indicator has increased by one point but stays below its long-term average. The turning-point indicator stays in the favorable zone.

Informations rapides
No 245
Paru le : 23/10/2013
Prochaine parution le : 21/12/2017 at 08:45 - December 2017

According to the business managers surveyed in October 2013, the situation has improved slightly in the building industry: the composite indicator has increased by one point but stays below its long-term average. The turning-point indicator stays in the favorable zone.

Climate – Composite indicator

TurningPoint – Turning-point indicator

  • Lecture : close to 1 (respectively -1), it indicates a favorable climate (respectively unfavorable).

Tableau1 – Building industry economic outlook

Balances of opinion, in %, SA
Building industry economic outlook
Mean* July 13 Aug. 13 Sept. 13 Oct. 13
Composite indicator 100 91 92 93 94
Past activity –2 –28 –18 –16 –17
Expected activity –5 –25 –23 –10 –18
Gen. business outlook –17 –46 –29
Past employment –3 –21 –22 –21 –14
Expected employment –2 –18 –18 –15 –8
Opinion on order books –20 –48 –48 –43 –45
Order books (in month) 5,3 7,0 7,1 7,0 7,0
Productive capacity utilisation rate 89,0 86,2 86,4 86,5 86,3
Obstacles to production increase (in %) 33 22 22 25 26
- Because of workforce shortage (in %) 15,7 4,9 5,0 4,8 5,3
Recruiting problems (in %) 59 46 46
Expected prices –13 –43 –33 –31 –29
Cash-flow position –9 –23 –27
Repayment period 28 42 43
  • * Mean since September 1993.

Activity remains deteriorated

Business managers consider that their activity is still deteriorated in the recent period. They stay pessimistic about their activity in the next few months.

The general business outlook, which expresses the business manager’s opinions about the general trend in the sector, is sharply better than the last quarter, but remains below its long term average.

Activity – Activity tendency in the building industry

Fewer business managers indicate a fall in their staff size

Fewer business managers than in September indicate a fall in their staff size for the next few months.

The balances of opinion corresponding to past employment and expected employment stay significantly below their long-term average.

Workforce – Workforce size tendency in the building industry

Order books are still considered lower than normal

In October, business managers still consider their order books lower than normal.

OrderBooks – Order books

Productive capacity underused again

The productive capacity utilization rate has stabilized and stays below its long-term average. At the same time, almost one business manager out of four declares having difficulties increasing his activity. Approximately, one business leader out of two continues to feel the impact of recruiting problems; this ratio is again under its long-term average.

Pcur – Productive capacity utilization rate

Prices not very dynamic

In October, slightly fewer business managers than in September indicate price downturns. The corresponding balance of opinion remains sharply inferior to its long-term average.

According to business leaders, the cash-flow position of the overall sector may deteriorate and the repayment period is likely to be stable.