Industry Analysis & Industry Trends
The Material Handling Equipment Distributors industry has been performing commendably over the five years through 2012-13. After succumbing to drops in revenue during the global financial crisis over 2008-09 and 2009-10, the industry managed to dig its way back into growth again. In the past five years, the industry has grown at an annualised rate of 1.4% mainly due to a strong performance from several key downstream markets such as the Mining and Construction divisions. In 2012-13, IBISWorld estimates revenue to grow by 5.0% to reach $9.04 billion.
A strong Mining division has helped operators in this industry weather the effects of the global financial crisis... purchase to read more
Industry Report - Industry Investment Chapter
IBISWorld measures the level of capital intensity in an industry by determining the ratio of depreciation to labour costs. Operators in the Material Handling Equipment Distributors industry spend about $4.33 on depreciation costs for every dollar spent on labour. This indicates a moderate level of capital intensity within the industry.
Industry operators require large areas of land and numerous warehouses in their operations. Assembly and storage are important aspects of the business and represent a large portion of the industry's capital assets. Support structures and various assembling equipments are required in the industry's activities. Furthermore, the industry also invests heavily in large vehicles used to transport assembled goods to key markets... purchase to read more