SEB Financial Officers' Index Sees Increased Uncertainty Among Respondents
According to SEB’s Financial Officers’ survey, which questioned around 50 of Sweden’s largest companies, uncertainty among Swedish financial officers has increased. Compared to three months ago, raw material costs have emerged as the greatest concern, while falling demand still dampens earnings growth expectations. Despite these concerns, financial officers still expect higher profits in 2008. However, a greater percentage of financial officers now believe earnings growth will be driven by cost reductions rather than volume increases. The survey shows respondents remaining positive towards the overall business climate and their own company’s financial position, although slightly less so compared to the previous survey. The index for May stands at 59, down from 60 in February, but well above its neutral level of 50.