Business climate survey on restaurants & similar establishments and retail trade for April 2018

Information from the Statistics and Census Service (DSEC) indicated that 48% of the interviewed restaurants & similar establishments reported a year-on-year rise in receipts in April, down by 12 percentage points from March. The corresponding proportions of Japanese & Korean Restaurants (47%) and Chinese Restaurants (59%) reduced by 27 and 23 percentage points respectively. Meanwhile, the share of interviewed establishments recording a year-on-year decline in receipts went up by 3 percentage points over March to 22%.

As regards retail trade, 67% of the interviewed retailers reported a year-on-year sales increase in April, down by 3 percentage points from March. The corresponding proportions of Department Stores (78%) and Motor Vehicle Retailers (56%) both decreased by 11 percentage points, while the share of Supermarkets (78%) rose by 11 percentage points. On the other hand, 17% of the interviewed retailers registered a year-on-year sales decline, up by 2 percentage points from March.

The interviewed restaurants & similar establishments were slightly more optimistic about their business prospects in May, with 80% anticipating a year-on-year rise in receipts or a steady performance, up by 6 percentage points from April. Among the interviewed establishments, 20% of the Local Style Cafes, Congee & Noodle Shops predicted their receipts to increase year-on-year in May, up by 10 percentage points from April. Meanwhile, 20% of the interviewed establishments anticipated a year-on-year decline in receipts.

Retailers anticipated a steady business performance in May, with 79% expecting their sales to increase or to remain stable year-on-year, the same proportion as in April. Among the various types of interviewed retailers, 80% of the Leather Goods Retailers and 67% of the Department Stores expected a year-on-year sales rise in May. Meanwhile, 21% of the interviewed retailers expected a year-on-year decline in sales.

The sample of the Business Climate Survey on Restaurants & Similar Establishments and Retail Trade was selected based on the value of receipts of the establishments, comprising 167 restaurants & similar establishments (accounting for 53% of the industry’s receipts) and 135 retailers (accounting for 70% of the industry’s receipts). The Survey results were not extrapolated and only reflect the assessment of the business performance and expectations of the sample restaurants and retailers.

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