Industry Analysis & Industry Trends
The Material Handling Equipment Distributors industry has faced turbulent conditions driven by the resources boom over the past five years. The unprecedented investment in the development of Australia's mineral and energy resources lifted industry sales to new heights in 2012-13, but the subsequent weakening of commodity prices and the scaling back of investment in the Mining division caused a dramatic decline in the industry's performance. The supply of equipment through leasing arrangements can help stabilise the industry's income stream and mitigate the volatility arising from fluctuations in interest rates and foreign exchange rates.
Over the five years through 2015-16, industry revenue is projected to decline by an annualised 1.6% due to wide cyclical fluctuations in sales... purchase to read more
Industry Report - Industry SWOT Analysis Chapter
The Material Handling Equipment Distributors industry is considered to be in the mature stage of its life cycle but has been influenced by extremely wide fluctuations in demand from several key markets over the past five years. Since the late 2000s, the focus of industry activity has swung towards the booming resources market (mining and energy), which eventually culminated in industry sales climbing to a record cyclical peak in 2012-13. However, the subsequent scaling back of investment into new mining developments has resulted in a sharp deterioration in the industry’s performance over the past three years and the influence of the mining sector is projected to continue to recede... purchase to read more