1/27/2015 8:50:00 PM
FIN SURVEY
A solid majority of fastener manufacturers reported steel prices were flat over the past six months, while finished goods and raw material inventories as 2015 began were largely up from a year before.
Steel Price: Nearly two-thirds (64.7%) reported steel prices unchanged during 2014. However 18% found steel prices up – though up by less than 10%. Six percent had prices drop slightly (less than 10%) and 6% had more than 20% price increases.
Raw Materials: A 58% majority of participating manufacturers predicted stable raw material prices during 2015; one quarter anticipate moderate price increases; and 17% foresee raw material prices coming down.
Finished Goods Inventory: A total of 43% of manufacturers reported steady inventories; one third moderate increases and 24% moderate decreases. A year ago a 54% majority reported finished goods on hand remained flat.
Raw Material Inventory: Forty percent rated their End of 2014 raw material inventory at approximately the same as a year earlier. Those reporting moderate increases outnumbered moderate decreases 35% to 25%. No manufacturers reported major increases or decreases.
A year ago a 53% majority reported current raws material inventory was approximately the same as at the end of 2012.
Only 11% had “moderate” trouble obtaining raw materials in 2014 – and none found “significant difficulty.” A dominant 89% reported no difficulty.
Operating Capacity: Fastener manufacturers reported operating at a range from 40% of capacity to 98% in 2014, with an average of 70.5%. That was a slight decrease from 71.4% for 2013.
Related Stories:
• 2014 Brings Solid Returns for Fastener Companies
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