North American Printed Circuit Board Industry Growth Trend Continues
Total North American PCB shipments in June 2018 were up 12.6% compared to the same month last year.
IPC-Association Connecting Electronics Industries® recently announced the June 2018 findings from its North American Printed Circuit Board (PCB) Statistical Program. Industry shipments and orders in June continued to grow at a strong pace. The book-to-bill ratio for June is 1.05.
Total North American PCB shipments in June 2018 were up 12.6% compared to the same month last year. This year to date, shipments are 10.5% above the same period last year. Compared to the preceding month, June shipments increased 18% PCB bookings in June increased 5.6% year-over-year. Year-to-date order growth was 12.8% above the same period last year. Bookings in June were up 5.4% from the previous month.
“The North American PCB industry growth trend continued in June,” said Sharon Starr, IPC’s director of market research. “Sales growth was positive year-over-year for the 10th consecutive month and order growth has been positive for the past 13 months. The book-to-bill ratio retreated in June due to stronger sales growth than order growth, but it remains above parity (1.0) for the 17th consecutive month, which is a positive indicator of continued growth for the remainder of this year.”
The book-to-bill ratios are calculated by dividing the value of orders booked over the past three months by the value of sales billed during the same period from companies in IPC’s survey sample. A ratio of more than 1.00 suggests that current demand is ahead of supply, which is a positive indicator for sales growth over the next three to twelve months. A ratio of less than 1.00 indicates the reverse.
Year-on-year and year-to-date growth rates provide the most meaningful view of industry growth. Month-to-month comparisons should be made with caution, as they reflect seasonal effects and short-term volatility. Because bookings tend to be more volatile than shipments, changes in the book-to-bill ratios from month to month might not be significant unless a trend of more than three consecutive months is apparent. It is also important to consider changes in both bookings and shipments to understand what is driving changes in the book-to-bill ratio.
Additional details are available at www.ipc.org.