Transportation companies expect to boost hiring, equipment purchases and improve profits
If transportation is a leading economic indicator, as is often said, then the fleet industry should be cheered by the recently released GE Capital’s Mid-Market CFO Survey. In all, 500 companies in 11 key industries were surveyed. Transportation CFOs were the most optimistic. In fact, 80% expect to hire in the next 12 months, and plan to increase their workforce, on average, by 9%.
Over 75% of the transportation CFOs expect to boost spending on equipment this year, principally for replacement, not new capacity. They are confident about this year’s bottom line: 47% expect profits to increase this year despite the uncertainties caused by this year’s election, the European and Chinese economies, and the lack of progress toward a transportation bill in Congress. Their biggest concerns were the volatility of fuel prices, the effects of accidents, and the continuing need for improved safety. Read more