Thanks to the easing of the economic and energy crisis, as well as the adaptability of national economies, facility managers are optimistic and predict growth in their sector, according to the latest sentiment research of the Hungarian National Association of Facilities Management and Building Management Services (LEO).
According to the latest sentiment index of the Hungarian National Association of Facilities Management and Building Management Services (LEO) the sector’s expectations are overall positive – MTI reports.
Return of confidence
This year’s second-quarter sentiment index is 51.55 points, showing improvement. Concerns over the war situation, the deterioration of the economic situation and the energy crisis have eased – the Association points out.
According to the respondents, the war is almost becoming a “habitual” factor, the supply chains are slowly being restored, and the energy price spikes were quickly corrected thanks to the rapid adaptation of the European economies. The return of confidence can also have a beneficial effect on the order book of the facilities management (FM) sector.
In the survey, the respondents expect a 4 per cent increase in sales revenue of the businesses they manage and a 1.71 per cent decrease in accounts receivable in the next quarter. Based on their answers, the managers expect the fulfilment of their business plans and a 4.8 per cent increase in the number of employees.
There are still risks ahead for the coming winter
At the same time, risks that have had a significant impact in the past period could continue to negatively affect market functioning.
Based on the feedback from respondents, the following changes are worth noting when looking at the trends affecting the FM market:
- the impact of the Russian-Ukrainian conflict on energy has eased, but experts highlight the risks ahead for the coming winter,
- the Russian-Ukrainian conflict and high energy prices have pushed up construction material and component prices dramatically, leading to a shortage of orders,
- the significant increase in raw material prices has also drastically increased the price of equipment, parts and materials used in the operation,
- the combined effects of labour shortages and high inflation are putting the FM industry under severe wage pressure,
- the introduction of ESG rules and certification requirements could impose a heavy administrative burden, while at the same time – especially in the light of environmental requirements compliance with environmental requirements, may help market players to win additional orders.
(MTI)