Industry Confidence Index improves in May

The American Hardware Manufacturers Association’s AHMA Home Improvement Industry Confidence Index’s Current Situation Index improved in May to 312.5 from 308.3 in April (October 2008 = 100), while the Future Expectations Index fell to 229.3 from 239.7.

In comparing current sales levels with year-ago levels, 75% of respondents said sales were higher in May versus year-ago levels, up from 74% in April. For May, 12% reported sales were even, and 12% said sales were below year-ago levels.

Looking forward six months, 62% of May respondents said they expect sales to be above current levels, the same as in April. In May, 25% said they expect sales to be even in six months and 12% expect sales to be below current levels.

“It is encouraging that 75% of our members responding to the survey report sales levels above year-ago levels,” said Timothy Farrell, president and CEO of the American Hardware Manufacturers Association. “However, we continue to keep a close eye on the challenging economic developments in Europe and the continuing slow pace of recovery here in the U.S. as we look to the future.”