The good news is that economic conditions remain stable and a recent National Assn. of Home Builders' analysis shows an increase of consumers planning to purchase a new home in the near term.
Commercial and consumer lawn equipment and GPS/Precision Ag sales showed strength, while large equipment demand remains weak, according to the most recent Ag Equipment Intelligence report.
According to sales figures form the Assn. of Equipment manufacturers, U.S. sales of under 40 horsepower tractors in August were up 9.9% year-to-date. Canadian sales were up 26% year-to-date.
A recent National Assn. of Home Builders analysis shows that new single-family housing units in 2016 were 10% than 2015. Read more about the regional analysis.
The third quarter sales increase of 4.5% was driven by increased demand for professional segment products. Residential segment net sales for the third quarter were down 9.3%.
Sales are also up 5% for 9 months, with the quarterly and yearly increases primarily due to higher shipment volumes and price realization, partially offset by higher warranty costs.
Year-to-date unit sales of under 40 horsepower tractors were up 11% in the U.S. and almost 26% in Canada compared with last year, according to the Assn. of Equipment Manufacturers.
“Large agricultural dealers tend to have higher value late model large used equipment without the diversity of the market enjoyed by small agricultural equipment dealers," says Kim Rominger, president and CEO of the Equipment Dealers Assn.
Recent survey results show that landscape contractors’ appetite for purchasing power equipment has improved during the last quarter. Seaport Global Securities reports that 41% of landscapers plan to spend more on power equipment in 2017 compared to 2016.
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