The International Association of Broadcasting Manufacturers (IABM) has released the first edition of its new Industry Index that tracks the financial performance of the supply side of the broadcast and media technology sector on a quarterly basis - and the initial findings show a strong improving performance with year-on-year sales growth at 16 per cent across the sector as an aggregate total.
This Industry Index is delivered alongside the Association's established Industry Trends Survey. The index tracks a 'basket' of over 40 member and non-member companies and analyses and aggregates their year-on-year profit and sales performance. This includes businesses in: Belgium, France, Germany, UK, Netherlands, Switzerland, Norway, Sweden, Israel, Canada and the USA.
The number of companies referenced is growing and the mix will inevitably vary to take into account mergers and acquisitions and changes in company status. In due course regional indices will be published for the primary geographic regions. At present the index constituents represent in excess of US$4,000M of annual sales.
49 per cent of companies in the initial survey recorded profits for both the latest and previous 12-month period (operating profit before interest and tax), with 24 per cent profitable for this latest 12-month period that were loss-making in the previous period.
Roger Crumpton, IABM CEO, says, "Though it is a challenge to publish statistically significant data on the first occasion these results confirm the confidence illustrated by members in our quarterly Industry Trends Survey. The Index demonstrates the strong recovery of the sector during 2005 when compared with 2004. The aggregate return on sales (operating profit to sales), is now just over 10 per cent and improving."