While we saw softer sales in March 2024, there was the seasonal correction of 60- and 90-day arrears to 4.15% and 2.03% respectively. While it’s a downward trend the data is still above last year’s levels.
Our clients are reporting strong collection rates, but with the caveat that they are having to chase debt harder. This is shown in the Industry Days Sales Outstanding, with a majority industries on the improve both month on month and year on year.
Another developing trend to monitor is the increasing lag between issuing building consents and construction sales. This increase in Lag Period highlights the slowing construction segment and lower confidence in starting new builds both in residential and commercial.
Winding up Applications the eased after the peak in February – but watch this space with the IRD signalling a campaign to target over 40,000 companies in arrears in construction related industries..
To make navigating the report you can now click on sections in the Contents Page to navigate start to the section you need.
CreditWorks Group holds New Zealand’s largest trade database, and we have the very best view of commercial credit performance from civil/foundations through the entire building process to fitout and finish. Discuss with us today how we can help you with comprehensive credit reporting and monitoring of your customers. Our goal is to help you grow sales while minimising risk.
Please note that due to the vast amount of data required to produce these reports, most of which is accessed from a multitude of external sources, there is an inevitable time delay in their generation. However we prefer to defer their publication in favour of ensuring greater accuracy.