CEN Survey Shows Middle Market Companies Bullish on Economic Growth.Chief Executive Network Surveys Manufacturing, Distribution and Service Sector CEOs LOS ANGELES Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. -- Chief Executive Network (CEN CEN - Conseil Européen pour la Normalisation. A body coordinating standardisation activities in the EEC and EFTA countries. ), the premier industry sector organization for CEOs and senior executives, recently surveyed over 350 companies covering a broad cross-section cross section also cross-sec·tion n. 1. a. A section formed by a plane cutting through an object, usually at right angles to an axis. b. A piece so cut or a graphic representation of such a piece. 2. of the industrial and service sectors. The purpose of the survey was to determine how mid market (non Fortune 500) and smaller companies see their near term business prospects. CEN polled its membership on the percent of change in relationship to revenues, profits, and hiring for two time frames. The first time frame was Q4 in relationship to Q3 for 2007 with the second time frame comparing 2008 to 2007. Overall findings from the survey include: * 2007 Q4 revenues up 4.8% and profits (EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become ) up 6.8% over Q3 * 2007 Q4 hiring increase 3.7% over Q3 * 2008 revenues estimated to increase 7.8% over 2007 * 2008 profits (EBITDA) estimated to increase 10.4% over 2007 * 2008 hiring is expected to increase 5.2% over 2007 "Interestingly, our manufacturing/distribution sector forecast was more bullish Bullish Word used to describe an investor's attitude. Bullish refers to an optimistic outlook, while bearish means a pessimistic outlook. bullish than the service sector forecast," says Bob Grabill, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Chief Executive Networks. "Although the variances between the two sectors were not terribly significant for the remainder of this year, in 2008 the sectors begin to separate more," Grabill stated. "In fact, manufacturing/distribution companies are more optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op on revenue growth by 1.8% (8.5% from 6.7%) and profit growth by 6.3% (12.9% versus 6.6%), than the service sector when comparing 2008 expectations over 2007." "It is clear from this survey that the small and mid-size companies (non financial sector) continue to be optimistic regarding the future of the overall business economy growth," Grabill concluded. About Chief Executive Network (CEN) Chief Executive Network is the premier industry sector organization for CEOs and Senior Executives. The network supports its membership with current information on best practices, recent trends and technological advances. Through meetings and its member connections programs members have the opportunity to gain key business contacts, receive critical guidance on key decisions they face, and in short significantly "short cut the learning curve." For more information about the company visit www.chiefexecutivenetwork.com. |
|
|||||||||||||||
Printer friendly
Cite/link
Email
Feedback
Reader Opinion