Construction sector outlook in Q4 crumbles

Lower demands are wrecking its business sentiments.

While the overall business optimism for Q4 saw a slight uptick, the construction sector continues to draw a downtrend, with only one of the six indicators passing a positive outlook.

According to Singapore Commercial Credit Bureau's latest quarterly Business Optimism Index (BOI), the decline in private building projects has caused sector's outlook to crash.

To recall, Singapore's Building and Construction Authority projected total construction demand to be between $27 billion to $32 billion this year.

Based on the index, sector's outlook on volume of sales fall significantly, experiencing a contraction of from 20% in the previous quarter to 0%.

Outlook for net profit sank into the red, from a flatline 0% to -20%.

"Both net profits and selling price deteriorated into the contractionary zone from 0 percentage point in Q3 2016 to -20.0 percentage points in Q4 2016," the report said.

Meanwhile, both orders and employment levels have also moderated downwards, both registering a 0% outlook in Q4.

The people you want to reach are already in this room.

Every quarter, SBR lands on the desks of the founders, CFOs, and directors running Asia's most consequential companies. Every day, they open our newsletter and read our website. It's a room that took twenty years to build — and it's the one most of our partners are trying to get into.

The good news is that the door is open. We work with companies on thought leadership articles, sponsored content, industry summits across Southeast Asia, regional awards programmes, podcasts, and media placements in print and digital. The shape of the right partnership depends on what you're trying to do, which is why we'd rather start with a conversation than send a rate card.

If you have something this room should know about, tell us. We'll tell you honestly whether we can help, and how.

No rate cards until we understand the brief. It's a better use of everyone's time.

Book a meeting

| Or download the media kit (PDF)

240,000 senior readers quarterly in print Top 1,700 Singapore companies reached

7 markets across Southeast Asia