DLR survey points to rental slowdown in France
By Murray Pollok21 December 2022
The French rental market saw a 5% increase in revenues in the third quarter of 2022 compared to the same period in 2021 according to the latest Barometer survey by rental and distribution association DLR.
The same survey reported an 18.3% rise in sales at construction equipment distributors and a 6.3% increase for the material handling sector in industry and agriculture.
All three sectors, however, saw a sequential fall in revenues from the second quarter of the year, ranging from a 1.6% drop in handling equipment to 5.4% decline in rental activity. Construction equipment distribution fell by 2.6%.
DLR said the results indicated a strong recovery from 2021 followed by a more recent decline, in line with the wider economic trends in western Europe, which have been impacted by the war in Ukraine and the energy crisis.
The association said all if its members were facing commoin difficulties, including long delivery times for equipment, component shortages, rising costs, recruitment difficulties and higher interest rates.
DLR members’ expectations for the last quarter of 2022 remained optimistic despite the deteriorating economic climate. Staff hiring and investment intentions, as well as business forecasts for the coming quarter, rebounded in the distribution of construction and handling equipment.
The equipment rental sector reported a more mixed situation, with a slight increase in investment intentions but declines in both staff recruitment plans and activity levels.