TROY, NY - In its second annual survey of industrial indicators, GlobalSpec, Inc., the industry's largest online technical product resource for the engineering and technical buying community, has found that businesses in the industrial sector are generally optimistic about revenue projections compared to last year. Further, the percentage of companies planning to cut spending has dropped substantially compared to 2002.
In an online survey of nearly 600 respondents, GlobalSpec found that 87% of U.S. companies anticipated total revenues this year would be the same or ahead of last year. That compares with 79% answering the same question in 2002. Seventy-five percent of respondents indicated 2003 revenue projections are on target or ahead of target, compared to 64% in 2002.
Indicating a positive economic trend was the change in response regarding reduction of spending. Last year 55% said they had reduced spending, compared to just 28% this year. Only 17% said they had reduced capital expenditures, compared to 37% in 2002. Similarly, among this year's respondents, only 7% said they had reduced R&D spending, compared to 23% last year. Some 18% said they had reduced headcount this year, compared to 42% in 2002.
Of survey respondents from the U.S., some 57% hold positions in engineering. The remainder work in other corporate functions such as general corporate management, manufacturing, and quality assurance. Thirty-nine percent of the respondents work in companies with less than 100 employees; 26% work in companies with 100-1,000 employees, and 37% work in companies with 1,000 or more employees.
In announcing the survey results, Guy Maser, VP of Marketing at GlobalSpec, stated, "It appears that industrial companies are turning the corner in their thinking and their spending. Revenues this year are at or above projections, and the expense controls initially put in place last year have helped companies come through the turbulence in the economy. For companies marketing to the industrial sector, the outlook is promising."
GlobalSpec, Inc. is the world's largest specialized search engine and online community for engineers and technical buyers seeking products and services. Information about GlobalSpec can be found at www.globalspec.com.