CNI reports a drop compared to the previous month, but the result is greater than the historical series; indicator closed at 45.1 points
The performance of small businesses in the industry fell in September. The indicator closed the period at 45.1 points and was 1.4 points below that recorded in the previous month (46.5 points). The data appears in the Small Industry Panorama of CNI (National Confederation of Industry). Here’s the complete (706 – kB).
Performance considers some factors specific to the industry, such as production volume and use of production potential based on factory capacity. It also takes into account the jobs created by the sector. In practice, the higher the performance, the better.
The central problems that motivated the monthly retraction were, according to the study, high tax burdens and interest rates. There is also emphasis on “unfair competition and lack of qualified workers”.
Even though the index fell in September, it remains above the historical average of 43.8 points. The CNI states that this represents a “relatively positive performance”.
FINANCIAL SITUATION
The survey also measured the financial situation of small businesses in the industry. The result for the 3rd quarter of 2023 represented stability – it went from 41.3 points in the previous quarter to 41.4.
The index is calculated based on 3 factors: operating profit margin, financial situation and access to credit.
As in the case of performance, the result can be considered positive as it is above the historical average of 39.3 points from previous 3rd quarters, says the CNI.
The value was driven down by small extractive and processing industries. Upwards, through the construction segment of the sector.
TRUST
The ICEI (Industrial Business Confidence Index) for small industries closed at 49 points in October 2023. There was a drop of 0.9 points compared to the previous month, representing a worsening.
Business confidence is measured from 0 to 100. The closer to the maximum value, the better. If it is below 50, it is considered to be a slowdown.
“Analyzing the last 10 months, the ICEI remained between 47.6 points and 52.2 points, with only July and August being the months in which confidence was recorded. This shows that small business owners have been less confident for most of the year”says the CNI.
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