CHICAGO – After a second quarter slowdown, warehouses and distribution centers are reported to be fully functional and able to fulfill orders.
The North American Building Material Distribution Association has released the results of their NBMDA Quarterly Sales Trend Survey for the second quarter of 2020.
The research and benchmarking tool collects data from industry distributors on sales results from the prior quarter along with forecasts for the upcoming quarter. Profitability trends are also tracked while being compared to the prior quarter results and year-over-year results.
The survey also collects insights on a rotating number of relevant subjects, including the impact of Covid-19 on their distribution businesses.
A sampling of highlights from the Q2 report include:
Second quarter sales were down year-over-year by 6.8 percent during the quarter
Third quarter forecasts are 10.0 points higher than second quarter results
Full year 2020 forecasts are now up 5.2 points from first quarter estimates
Negative sales impact due to Covid-19 has eased since the first quarter
Warehouses/distribution centers are now 100 percent fully functional and able to fulfill orders
58 percent of distributors are still seeing issues with product delivery and sourcing
53 percent of distributors had orders cancelled in the quarter due to Covid-19
“Our distributor members continue to see growth in their business' each consecutive month and we are hopeful that the worst is behind us,” said Kevin Gammonley, NBMDA executive vice president. “Thankfully, the negative impact of the shutdown has not been as severe as initially expected by the majority of our members.”
For more information about the NBMDA Quarterly Sales Trend Survey, see http://www.nbmda.org
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