The first quarter 2017 Sales History & Outlook Report (SHOR) released by the Power Transmission Distributors Association (PTDA) showed power transmission/motion control (PT/MC) distributor sales began to rise. The most recent 12 months of sales remain 1.9 percent below the year-ago level, but several positive indicators suggest total sales will be above the year-ago level in the coming months.
The 2Q2017 PTDA Business Index remained relatively flat with a reading of 69.8 compared to the first quarter reading of 69.3. Yet, the PTDA Business Index remained higher than the July 2017 PMI® Index of 56.3 which suggests expanding business activity for PTDA members.
The PTDA Manufacturer Index declined to 68.7 reading in 2Q2017 from 70.2 in 4Q2016. However, this index is still well above the 50 ISM® PMI® threshold suggesting PTDA members are experiencing growth. PTDA distributors also indicated a slight decline with a 69.8 reading in 2Q2017 versus a 73.2 reading in 1Q2017.
PTDA members participating in SHOR receive the results at no charge approximately 30 days after the close of the calendar quarter. For more specifics on the forecast for power transmission/motion control sales through distribution as well as forecasts for manufacturer sales, purchase the 1Q2017 SHOR at ptda.org/SHOR.
The PTDA Business Index is modeled after the widely respected Purchasing Managers Index (PMI®) and tracks change in business activity, new orders, employment, supplier deliveries, inventories, prices and backlog in the PT/MC industry to arrive at an overall index. The entire 2Q2017 PTDA Business Index report is available through PTDA’s website at ptda.org/Index.