The situation in business sector is improving

Since the beginning of 2009, the decrease of net sales has slowed down compared to the previous quarter. According to the seasonally adjusted data, the net sales of enterprises increased 3% in the 1st quarter of 2010 compared to the 4th quarter of 2009. Compared to the previous quarter, the net sales grew last in the 3rd quarter of 2007.

In the 1st quarter of 2010, enterprises sold goods and services for 118 billion kroons at current prices, which is 2% less than in the same period a year ago. The net sales of construction enterprises decreased the most. The decrease continues also in the sales of wholesale and retail trade enterprises, which have the biggest share in gross net sales in total business sector. On the other hand, manufacturing enterprises have managed to increase the net sales for the first time after the 3rd quarter of 2008 as compared to the previous year.

In the 1st quarter 2010, the total profit of enterprises amounted to 4.8 billion kroons, which was by two times bigger compared to the 1st quarter of the previous year and stayed on the same level as in the 4th quarter of 2009. Compared to the 1st quarter of the previous year, the total profit increased the most in manufacturing, professional, scientific and technical activities and in water supply. The growth in manufacturing was mainly supported by the manufacture of wood products, shale oil, metal products and electrical equipment. Construction, transportation and storage as well as accommodation and food service activities were running at a loss.

Compared to the 1st quarter of 2009, the enterprises’ total costs decreased 4%, whereas personnel expenses decreased 15%.

In the 1st quarter, enterprises invested 5.1 billion kroons, which is a half less than in the 1st quarter of 2009. Investments were mainly made in other equipment and machinery and in the construction and alteration of buildings. The major investors were energy, transportation and storage and manufacturing enterprises with about a half of the total investments of enterprises. Only investments in other equipment and machinery increased.

Net sales, personnel expenses and total profit of the business sector, 1st quarter 2002 – 1st quarter 2010 (average of the quarters of 2005 = 100)