Business outlook for service companies

Last updated 27/09/2019 - 11:06

Business outlooks worsened slightly

The estimates of service sector companies in Uusimaa about the economic conditions remained unchanged at a level higher than usual, but the business outlook became slightly darker early this summer. The business outlook balance indicator was -5 in July (-2 in April). In July, 9 per cent of respondents expected a weakening and 4 per cent an upturn of the economic conditions. The business outlook for businesses in Uusimaa is close to the national average. Sales continued to grow in April–June, and the outlook for sales is positive also for the coming months. More employees were employed during the early summer. Considering seasonal variation, the labour force is likely to grow also at the end of the summer and in the autumn. Profitability increased slightly in the second quarter from the same period in the previous year.

The business outlook is still cautious

The economic situation has levelled off for service sector companies in the whole country during the summer, and the business outlook is still cautious. The economic climate is expected to weaken slightly by the autumn. The tendency survey indicator was -7 in the survey carried out in July (-4 in May). The sales of service sector companies increased quite nicely in the second quarter of the year. Expectations for sales growth are still positive, as similar growth is expected to continue even during the coming months. Service sector companies expect that the number of employees will continue to grow in the autumn. Profitability improved slightly compared to the same period previous year. The lack of professional staff was the biggest growth obstacle in July.