K&H SME confidence index: How much do SMEs manage?

By: Trademagazin Date: 2024. 07. 23. 12:07

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Domestic enterprises continue to plan for growth in terms of changes in their sales and profits: they calculate a 6.6 percent increase in revenue and a 3.2 percent increase in profit based on the latest results of the K&H SME Confidence Index research. However, these expectations show a two-year-long, slowly but shrinking trend, caused by inflation and falling demand.

Businesses remain optimistic about finances, they continue to expect growth in their sales and profits. Based on the second quarter results of the K&H SME confidence index, which examines the expectations of Hungarian micro, small and medium-sized enterprises for the next 12 months, the companies expect a 6.6 percent increase in revenue and a 3.2 percent increase in profit for the entire SME sector.

“These expectations are favorable from the point of view that businesses continue to think in terms of growth. However, this picture is overshadowed by the fact that the expected profit remains below the current inflation, which decreased to 3.7 percent in June. On the other hand, it is also clearly visible that financial expectations have been showing a slow decline for two years”

– Ildikó Oraveczné Németh, K&H’s residential and SME segment marketing manager, reported on the latest results.
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