More firms up to full capacity

CONFIDENCE in the immediate economic outlook has fallen slightly but more companies are working at full capacity, according to the Quarterly Financial Trends Survey from Trade Indemnity, the credit insurer, writes Paul Durman.

The survey provides further evidence of continuing economic recovery, with increased activity in all sectors. The net balance of respondents experiencing significant increases rose to 11 per cent from 4 per cent in the previous quarter, while those seeing a slight increase rose from 19 to 30 per cent.

Trade Indemnity found the proportion of companies working at or above full capacity has risen to 16 per cent. However, more than a quarter still claimed to be working at less than 50 per cent capacity.

A net balance of 28 per cent expect economic improvement, a fall from 36 per cent in the first quarter. Although 59 per cent regard domestic demand conditions as favourable, competition has increased.