BDO: Nov. factory orders up 2%
By Furniture Today Staff -- Furniture Today, February 3, 2003
High Point — Orders in November were up 2% from a year earlier at U.S. residential furniture factories, and shipments grew 3%, according to BDO Seidman.
For the first 11 months of the year, orders were up 4% as the industry continued to partially recover from its 10% decline in 2001. Shipments through November were up 3% from a year ago.
"It seems that business has really not been that consistent in any of the sectors of furniture," the accounting and consulting firm said in its monthly Furniture Insights newsletter. Just over 55% of the participants in its survey of manufacturers have seen new orders grow this year, with the rest flat or down.
Through November, BDO said, 2002 "was not a great year for many in the industry after a very poor year in 2001. The bad economy coupled with the impact of imports on many manufacturers has made for tough times."
Retailers, meanwhile, have been affected by the sluggish economy and lower prices on imported product, which has reduced gross profit dollars, the firm said.
BDO estimated new orders in November at $2.16 billion and shipments at $2.07 billion. For the year to date, orders were an estimated $22.88 billion and shipments were $23.15 billion. The order backlog of $2.05 billion in November was up 4% from a year earlier.
