Cement and Ready Mix Data Positive for March
Recent data released by the United Geological Service shows 100,482 metric tons of cement shipped to Alabama for the month of March 2017. This represents a 4.2% growth over March 2016 and a 20% growth over February 2017. Utilizing the NRMCA conversion factor, the cement represents a potential 372,083 cubic yards of concrete placed in the state for the month. The yardage would be higher than any month in 2016 except April, May, and June. While the data paints a positive picture, data for April, May, and June are likely to see steady declines due to the ongoing wet weather. Alabama has officially been removed from drought conditions with the nearly daily rainfall in the state. This should translate to work on the books for many producers but does not help with cash flow during these wet periods.
Housing Data a Mixed Bag
Recent housing data released by the Center of Real Estate at the University of Alabama shows a mixed bag for new single family building permits. Permits issued in April 2017 contracted by 16% compared to March 2017. Comparing April 2017 to April 2016, 3.8% more permits were issued for the month in 2017. Eleven of the major housing markets saw more permits issued in April than March. Twelve of the markets contracted for the month. In the past, Trendlines has included the YTD comparisons for state and major metro areas, but due to discrepancies in the data being released the columns have been removed until the issues are resolved.
Click here to view the data: Trendlines Newsletter June 2017