Factory orders up 16% in Feb.
By Furniture Today Staff -- Furniture Today, May 3, 2004
HIGH POINT — HIGH POINT— U.S. furniture factory orders jumped 16% in February, recovering sales the industry lost in early 2003 plus a little more, according to BDO Seidman.
Orders in February 2003 had been down 12% from February 2002, which puts this year's big gain in perspective, the accounting and consulting firm said.
"Yet, even with this in mind, the news for February was very good," said Ken Smith, national director of BDO's Furniture Industry Services, in the firm's monthly Furniture Insights newsletter.
It was the ninth straight month of gains in orders. About 66% of the participants in BDO's factory survey recorded better orders in February than a year ago.
Shipments were up 8% from February 2003, bouncing back from a 6% decline a year earlier. About half the survey participants said shipments were up.
"We continue to believe 2004 will be a much better year for the furniture business," Smith said. "Unfortunately, in these times, unlike most past recoveries, everyone will not participate at the same levels."
Some survey participants are gaining market share and some are losing, the BDO surveys indicate. "The right products are tough to come by, but some companies are clearly doing a better job than others," said Smith.
| Factory orders, shipments in Feb. | |||
|---|---|---|---|
| In billions of dollars | |||
| Change from Jan. '04 | Change from Feb. '03 | ||
| Orders | $2.095 | 4% | 16% |
| Shipments | 2.133 | 12% | 8% |
| Order backlog | 2.665 | — | 11% |
| January-February | Change from 2003 | ||
| Orders | $4.168 | 13% | |
| Shipments | 4.021 | 5% | |
| Source: BDO Seidman | |||
