Second-Quarter Growth Slowed, MAFSI Reports

The rate of growth in sales of foodservice equipment, supplies and furnishings slowed slightly to 3.6% in the second quarter 2012, according the MAFSI Barometer maintained by the Manufacturers’ Agents Association for the Foodservice Industry. The gain, a reflection of sales of reps’ like lines this year vs. the same quarter last year, was the slowest since the Barometer went positive in the fourth quarter ’10. The increase in the first quarter was 4%. But the Barometer has now been positive for seven consecutive quarters.

Pronounced regional differences emerged in this quarter’s reading. Three regions—the Northeast, West and Canada—saw sales increases of more than 5%. But sales rose only 1.3% in the Midwest and 2.9% in the South.

Equipment sales gains slowed to 3.8% in the April through June period, down from 5% in the first quarter. Durable supplies and tabletop products had good gains of 4.2% and 3.1% respectively. Furnishings sales were just barely positive at 0.1% growth, but that’s an improvement over the past two quarters, when furnishings sales declined.

As further signs of moderation, the percentage of reps reporting more quotation activity fell to 44% from 59% in the first quarter, while 33% said they witnessed more consultant activity, down from 50% in the previous quarter.

Still, the reps polled were slightly more optimistic about the third quarter; they forecast growth will increase slightly to 4.1%.

The complete MAFSI Barometer Report is available at mafsi.org“””