Results from the most recent Dealer Sentiment & Business Conditions Update survey shows that North American farm equipment dealers are feeling a bit better about their business prospects these days. At the same time, commentary from the survey indicates that dealers are still gun shy about making big plans for 2013.
The DOI, a measure of sentiment among dealers compared to the prior month, showed strong improvement to a net 10% of dealers reporting they have a more optimistic outlook now vs. a net 19% last month reporting they were less optimistic about the next year. The latest DOI scored out as 28% are more optimistic; 54% same; 18% are less optimistic.The survey conducted by Ag Equipment Intelligence and Cleveland Research Co. (previously called Dealer Trends & Business Outlook) revealed a significant jump in the Dealer Optimism Index (DOI) after three months of negative scores.
Ag equipment dealers also reported year-over-year sales grew 4% on average in August, flat from 4% in July. “Other” and Kubota dealers saw sequential growth of 8% and 6% respectively, while Shortline and New Holland dealers say business declined 3% sequentially.
For 2012, dealers slightly increased their sales forecast and expect 4% sales growth for the full year vs. 3% in July. John Deere, Kubota and “Other” dealers are the most optimistic this month while New Holland and Case IH dealers report the least optimistic outlook.
Read the full article at Farm-Equipment.com