The North American Association of Floor Covering Distributors (NAFCD) has released its Quarterly Sales Trends Report, providing data and insights into near term and regional demand trends, sales forecasts and other industry issues.

According to the association, initial 2015 sales growth forecasts are positive with NAFCD distributors forecasting 6% growth versus 3% growth in 2014. NAFCD manufacturer members currently expect to maintain the 11% growth rate posted in 2014. NAFCD members are anticipating 5% to 6% profit growth on average in 2015.

Distributor–specific insights from the report show that input costs are expected to increase 2% in 2015, similar to the increase in 2014. Profits are forecast to increase 6% for distributors in 2015, a two-point improvement compared to 2014. Distributors are anticipating lower fuel prices to add .7 points of growth.

The Q1 2015 growth forecast for manufacturers has increased moderately over the past 30 days. Manufacturer cost outlooks are also modestly higher since early 4Q. Over 80% of manufacturers plan to add headcount in 2015 despite over 70% of manufacturers citing difficulty finding quality candidates. Additionally, 70% of manufacturers plan to add distributors this year.

"Sixty percent of manufacturers feel better about growth prospects in 2015 compared to the same time last year," said Kevin Gammonley, NAFCD's executive vice president.

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