Manufacturers also support the Export-Import Bank and express concern over a West Coast port strike.
Schaumburg, Illinois, August 6, 2014 — The American Hardware Manufacturers Association’s AHMA Home Improvement Industry Confidence Index’s Current Situation Index declined in July to 320.8 from 337.5 in June (July 2008 = 100), while the Future Expectations Index increased to 266.58 from 213.8 in June.
In comparing current sales levels to year-ago levels, 77 percent of respondents said sales were higher in July versus year-ago levels, down from 81 percent in June. For July, 18 percent reported sales were even, and five percent said sales were below year-ago levels.
Looking forward six months, 73 percent of July respondents said they expect sales to be above current levels, up from 57 percent in June. In July, 23 percent of respondents said they expect sales to be even in six months and five percent expect sales to be below current levels.
Looking forward one year, 82 percent of respondents project sales will be higher, up from 67 percent who felt that way in June. Nine percent of July respondents project sales will be even one year from now and nine percent project sales will be below current levels.
Timothy S. Farrell, President and Chief Executive Officer of the American Hardware Manufacturers Association (AHMA), said: “While July’s survey shows a slight decline in current sales levels from June, our members continue to report historically strong sales and a high degree of confidence in future sales. Barring any unforeseen negative macroeconomic developments or dramatic disruptions to the global economy, we expect 2014 to continue to be a growth year for hardware manufacturers.”
“Hot Topic” Questions
The July Confidence Index survey asked two supplemental questions of AHMA members:
“Do you think Congress should renew the charter of the U.S. Export-Import Bank?” and “How important is it to your business that a West Coast port strike is averted?”
To the first question, on the Ex-Im bank, 41 percent responded “Yes,” 45 percent responded “Not Sure,” and 14 percent responded “No.”
On the port strike question, 55 percent responded “Very important,” 27 percent responded “Somewhat important,” and 18 percent responded “Not important.”
About the AHMA Home Improvement Industry Confidence Index
The AHMA Home Improvement Industry Confidence Index is a monthly indicator of the economic health and “mood” of the industry based on a survey of AHMA members.
The data collected from the survey produces two Indexes indicating: 1) Current Situation and 2) Future Expectations. Both Indexes use survey data from July 2008 as the base reference point so that July 2008 = 100.
The AHMA Home Improvement Industry Confidence Index results are released on the first Wednesday of every month.
About the American Hardware Manufacturers Association (AHMA)
AHMA is a globally focused trade association of manufacturers, or providers, of hardware, home improvement, lawn and garden, paint and decorating, building and construction and related products, as well as manufacturers’ representative’s agencies and trade publications.
AHMA offers many valuable member and industry programs, services and activities, including the AHMA Hardlines Technology Forum, AHMA / USA International Pavilions, AHMA Advantage GPO, the AHMA eAGLE, The Hard Fax: Home Improvement Industry News, The Hard Fax International: Home Improvement Industry News from Around the World, the Home Improvement Industry Confidence Index, the AHMA Home Improvement Industry Dashboard, AHMA Home Improvement Industry Stocks, the AHMA Home Improvement Industry Calendar, the AHMA Home Improvement Industry Network on LinkedIn, AHMA News on Twitter, Government Relations Programs, Member Benefit Vendor Programs, the AHMA Hardware Industry Relief Effort (HIRE) and the AHMA / Habitat for Humanity Partnership.