Graphics industry lags behind overall economy

According to the results of the Viscom survey, the earnings situation in the printing industry is not yet on the upswing in the 1st quarter of 2006. The optimistic expectations that were evident in the economic survey for the 4th quarter of 2005 were therefore disappointed. 30.1 percent of respondents reported a negative development in earnings compared to the previous quarter. Only 8.6 percent of the evaluated responses reported an increase, while 51.2% described the situation as unchanged. Poor results were reported for January and February of this year in particular, but a clear trend reversal was measurable in March. The data also shows significantly more optimistic expectations for the coming months. Companies are more neutral in their assessment of their competitive position compared to the previous quarter. 23% of responses described this as negative, while 65.3% of companies expect their position in the domestic market to remain unchanged. With regard to the business situation, it is clear that the graphic arts industry, which has been lagging behind the economy as a whole so far this year, will now also be able to improve over the next six months. The persistently strong competitive pressure has led to lower sales prices than in the previous quarter for 40% of those surveyed. However, compared to the previous quarter's figure, which was only half as high, this corresponds to increased price pressure. Capacity utilization in the companies remained unchanged.
In cooperation with KOF/ETH, Viscom surveyed a total of 94 companies with a total of 5,007 employees during the month of May as part of the economic survey for the graphic arts industry for the 1st quarter of 2006.