Business survey reveals optimistic outlook

KPMG’s latest Global Business Outlook survey suggests there is evidence of the recovery taking hold in many major economies around the world.

For the third consecutive edition, the survey shows healthy optimism around key measures such as business activity, revenues and profits.

The survey, compiled by research firm Markit on behalf of KPMG International, works on a net balance basis, with the percentage of respondents feeling more pessimistic about their company’s outlook in 12 months’ time deducted from the percentage feeling more optimistic about the future.

The net balance for global business activity in manufacturing stands at +50.9 (up from +42.9) while the equivalent figure in the services sector stands at +44 (down slightly from +46.5 last time but still strongly optimistic). This suggests a firm majority believe their businesses will be getting busier in the coming 12 months.

The outlook for improved business revenues is similarly healthy with a net balance of +42.5 in manufacturing (up from +37.4) and +37.9 in services (flattening out a touch from +40.7 last time).

Optimism around profits is also holding up robustly at +35.3 in manufacturing (up from +32.1) and at +35.5 in services (from +36.2 last time).