From Home Furnishing Business
Smith Leonard Survey: New Orders Up 7% in December
Despite predictions of a slower year-end, new orders in December rose 7% over December of 2017 and 6% for the entire 2018 year – up 4% from 2017, according to a report by the Smith Leonard accounting and consulting firm.
However, the firm’s monthly survey of residential furniture manufacturers and distributors showed new orders in December only increased for 45% of the participants, but 63% of participants reported increases for the entire year.
The survey also showed shipments in December 2018 were basically even with December 2017 with total-year shipments up 3% over the 2017 year. Shipments for the year were up for some 66% of the participants.
With new orders exceeding shipments for the year, backlogs grew 13% over December 2017 levels.
Receivable levels were a little high at 7% over December 2017 compared to the 3% increase in shipment rates. Inventory levels remained in good shape with levels up 6% and in line with order rates.