More than a third of companies affected by insufficient demand
At the end of the 3rd quarter of 2024, Liechtenstein's industrial and service companies predominantly assessed the general situation as satisfactory. The business situation and profitability remained largely stable in the third quarter of 2024. In contrast, the number of employees declined. The shortage of labor is once again seen as an obstacle, although it takes a back seat to insufficient demand as the primary obstacle to production and performance. Overall, 34% of the companies surveyed reported insufficient demand, while 12% cited a shortage of labor as an obstacle. This applies to both industrial and service companies. Thus, 39% of industrial companies and 29% of service companies are confronted with insufficient demand.
The business situation is expected to remain unchanged in the 4th quarter, but with a probable deterioration in profitability. A downward trend is also expected with regard to the number of employees. While industrial companies are forecasting stability overall and only expect a decrease in staff numbers, service companies are anticipating losses in both the business situation and profitability. There are also different trends in the forecast within the sectors. The metal industry expects hardly any changes for the 4th quarter of 2024, while the non-metal industry and the construction industry are more cautious about the future. Within the service companies, the insurance industry in particular is optimistic for the fourth quarter of 2024, while the banking industry and companies in retail and general services paint a more pessimistic picture in comparison.