Insider Economy Business turnover and profit on the rise

Business turnover and profit on the rise

One in three companies in Cyprus say their turnover has increased in the last six months. Additionally, the service and construction sectors are on the rise. In fact, one in five businesses say their profitability has increased, according to research presented yesterday.

The eighth “Big Business Research” was carried out by CMRC CYPRONETWORK LTD and CIIM, with the sponsorship of Eurobank Cyprus and BakerTilly. The sample size was 400 phone interviews, with the use of a structured questionnaire.

More specifically, business turnover in the second half of 2018 appeared to be stable, with one in two enterprises saying they had remained at the same level (47%). On the other hand, companies reporting a reduced turnover amounted to 14%, with those recording an increased turnover, this rise was from 28% to 32%.

As for business turnover forecasts over the next six months, 51% of respondents said this will remain stable, while 39% actually expected it to grow. Only 6% of companies estimated that turnover will decrease. In terms of profit, one in three businesses were expecting it to grow, while 56% said this would remain the same.

The most serious problems businesses are confronted with these days is lack of liquidity (22%), competition (21%) and reduced clientele (11%). In relation to the actions / approaches that need to be taken so as to address these problems, most underlined the need for the recruitment of qualified staff, training of existing staff, advertising as well as online shopping and online marketing.

With regard to human resources, one in four enterprises (24%) have created new positions over the last six months of 2018, down from the first half of the year (39%). With regard to the number of new positions, this does not differ from the one in the first half of the year (1,6%), but it differs significantly from that of 2017 (4,8%). The jobs created were in support of products / services, production of products / services, administrative and office staff as well as sales / marketing.

On the other hand, the percentage of companies that have reduced the number of positions is unchanged (9%), as is the average number of lost ones (0.2%). These positions (both new and lost) come mainly from the production / sales / marketing / marketing sectors, with the average number of new jobs (3.9% and 2.8% respectively) being higher than that of lost positions (2.0% and 1.2% respectively).

In addition, seven out of ten businesses (71%) still expect the number of employees over the next six months to remain stable. An increase in the number of employees is estimated at 22%, while those who have expressed the opposite view, that is, they referred to a reduction in staff, amounting to just 3%.

By Demetra Landou

 

READ MORE:

Turnover value index of wholesale and retail trade presents annual increase in Q3

The Turnover Value Index of Wholesale and Retail Trade and Repair of Motor Vehicles increased by 3.3% to 117,4 units (base 2015=100), between July-September 2018, compared to 113,6 units in the same period of 2017, the Statistical Service of Cyprus announced on Thursday.

Between January-September 2018, the Index recorded an increase of 5.4% compared to the corresponding period of 2017, Cystat added.

It was also announced that the Turnover Value Index of Wholesale Trade, except motor vehicles, increased by 8.9% to 121,8 units (base 2015=100) between July and September 2018, compared to 111,8 units during the same period of 2017.

In the first nine months of 2019 the Index recorded an increase of 7.2% compared to the corresponding period of 2017.

(Cyprus News Agency)

 

 

Top Stories

Three covid deaths in Cyprus, new cases drop further to 157 but fewer tests

  Cyprus recorded three covid deaths over the past 24 hours, raising the number to 170,  113 men and 57 women, with an average age...

Thousands protest in Amsterdam against Dutch coronavirus lockdown

  Several thousand today people held an unauthorised protest in Amsterdam against a national lockdown to slow the spread of the coronavirus pandemic, before being...

Search and rescue crews looking for woman off Larnaca

  The Search and Rescue Coordination Centre in Larnaca received a call around four in the afternoon about a 70 year old woman missing off...

Rapid Test locations on Monday Jan 18

Here are the rapid test locations for Monday January 18 Limassol Apostolos Loukas church, Ayios Athanasios (Ayios Athanasios refugee settlement) 8.30-4.30 Ayios Stylianos church, Linopetra 8.30-4.30 Mesa Yeitonia Cultural Centre...

German FM says COVID curbs should be eased for vaccinated people

  People who have been vaccinated against COVID-19 should be allowed to go to restaurants and cinemas earlier than others, a German minister said, contradicting...

Taste

Squash soup

Ingredients: 1 kg pumpkin, cut into small cubes, approximately 5 cups 2 medium (400g) sweet potatoes, cut into cubes, approximately 2 ½ cups 1 chopped leek, only...

Mezedes

No visit to Cyprus is complete without enjoying the traditional meal of many small dishes known as ‘meze’. This large feast, which has been a...

Prawns with fried cheese, barley shaped pasta

Put the barley shaped pasta into a small pan with salted water, bring to a boil and when tender, drain. Peal the prawns leaving...

Salmon and shrimp sheftalies

Mix all ingredients for tabbouli in a bowl and keep to one side so flavours can combine. Prepare the sheftalies: wash and soak the casing...