Survey: Outlook looks bright for U.S. businesses
It’s a new year and you’re likely wondering what it will bring for your business. You also might be curious how other businesses are feeling. The most recent AICPA Business and Industry Economic Outlook Survey sheds some light on this subject. Released quarterly, this tool is a leading indicator of U.S. economic growth and contraction based on CPA financial executives’ evaluation of corporate prospects, tangible performance data, and first-hand knowledge of company staffing, spending and financing plans.
The big picture indicates widespread optimism. Among the highlights, the number of CPA executives who are bullish on the U.S. economy increased significantly from 38 percent in the third quarter to 62 percent in the fourth quarter after a decline in the first quarter of 2016. The percentage of those pessimistic decreased from to 22 percent to 11 percent.
Businesses also seem to be anticipating financial growth. Expectations for increased revenues jumped to 3.6 percent after dropping to 2.9 percent in the third quarter of 2016. Expectations for profits in the coming year have increased, improving to 3.2 percent, up from 2.3 percent in the third quarter after increasing to 1.5 percent in the second quarter.
So, what about you? How are you feeling about the long-term outlook? Remember, we are here as a resource. We can take some of the guesswork out of forecasting with our suite of professional services. Let us show you how!