Evening star. [volume] (Washington, D.C.) 1854-1972, 1931-08-10
INDUSTRIAL TRADE
/ TRENDS ANALYzED
Present Condition and Pros
poets in Various Lines
e Are Noted.

Agricultural Machinery. - Recovery
from the present low level of sales and
earnings will lag perceptibly behind the
next cyclical upturn of general business.
Aircraft.-Sales and earnings of prac-
tically all manufacturing companies will
be materially curtailed during the near
term.
Apparel.-Aside from the hosiery di-
vision. where large stocks are restrict
ing factor, the industry should expert
erlce continued comparative improve
ment during the balance of the current
year.
Automobiles .-Third- quarter returns,
IN most instances, will be of slight pro-
portions. and full-year profits viii be
somewhat under the 1880 showing.
Automobile Parts.-The current quar-
ter. undoubtedly, will show only slight
profits for the trade in general.
Automobile Tires-The apparently
improved competitive conditions now
prevailing lead to the belief that PEE
Rod of generally more satisfactory
earnings is imminent for the casing in
dustry' The complicated problem of
distribution methods, however, remains
as an uncertain factor in the longer
term outlook.
building The third quarter promises
n better relative record for the industry
than has been witnessed in either pre-
ceding three-month period OF the year.
Chemicals operating econ
omies effected will permit chemical
earnings generally to continue their rel
alive favorable comparison with aggre-
gate industrial expansion.
Coal.--A gradual expansion In DE-
mand for biTuminous Is looked Tor, To-
rether with q moderate show OF strength
in prices. The outlook is less favorable
in the anthracite field.
Copper Earnings of even the low
cost producers will probably De nignIy
unsatisfactory during the remainder OF
the readiustment period.
cotton Goods. -Although a further
EXPANSION of demand is probable over
the remainder of the year, the proSpecl
for operating profits is still relatively
unsatisfactory, due to the price situa-
ton on finished fabrics. 49,
electrical Equipment. With little cur
rent evidence of quickening demand,
third-Quarter earnings OF leaoing units
can be but moderately aided by Inc Ell
forts which all companies have MADE 10
reduce expenses.
FertiIizers.-No marked gains in de-
mand for plant foods can be expected
until Fall planting preparations get
under way in the Northern States.
Fond Products (Other Than Meat -
Arrrerate sales volume Is being main
tanned at practically normal levels and
in 4 few instances 1881 profits VIII ex-
coed those of last year. the recesslons
which occur viii be OF only moderate
proportions.
Household Products Sales and prof.
its in this industry, which contains
many diverse lines of products, will con-
tinue to show a decidedly mixed trend
under prevailing conditions
Lead and Zinc.--It Is expected that
internationally higher prices for both
metals will be witnessed before the enc
of the current year.
Leather-The large shoe manufae-
turers now are operating at or near ca
pacity and trade reports suggest that
present schedules will be adhered to Tor
another two months at least.
Machinery-A slowly increasing vol
ume of purchases is expected during the
telance of the year which win bring total
sales. by the fourth quarter, above the
levels OF the same period in 1880.
Meat Packing LIN general, earnings
prospects for the current fiscal year are
rot satisfactory, with even companies
which have succeeded in stabiliztng
earnings to a large degree during re-
cent years likely 70 report fair-sized
recession for 1881.
once Equipment Definite expansion
In sales Of Office and business equip
rnent is unlikely until general business
is In an advanced stage Of recovery.
Paper. in the tissue paper divi-
sion have sales been maintained at ia
vorable levels.
petroleum sentiment through
out the industry is beginning TO i'm
prove an extended period of time will
probably be required before the move
Inent toward reduced output and the
restoration of higher crude and refined
prices can be translated into material
enlargement Of profits.
Radcliffe best that can be expected
for the fun years 1891 is that most radio
and tube concerns win report smaller
losses than were incurred last year.
Railroads. -T11e earnings outlook Is
unsatisfactory for nearly all reads over
the next few months, and especially so
for the Northwestern carriers
Railroad quipment.--Current reports
of operations during the first half-vear
and prospects over the remainder CT
1881, indicate that earnings for most
railroad equipment companies will DC
severely curtailed for the entire year
Rayon.--The current rate OF rayor
consumption compares favcrably with
that Of this time last year. but the
price cut made in January has virtually
eliminated profit margins for the ma
jority Of producers.
Retail Trade.-Variety chains and
those larger organizations offering cut
standing values are making the best
relative showing and should continue Il
DO 90 during the remainder Of the year
Grocery chains will probably con.
tsnue TO realize favorable sales anc
profits.
Shipping Net returns for the flll
year in nearly all cases win be CT dis
tinctly unfavorable proportions
Silk.--While the outlook for the bal.
ance of the year is moderately improved
a satisfactory level of earning power /,
not expected TO be establish by sill
companies in general.
Steel.-The steel price structure i
Stiii unsettled and the best that can b
expected during the next few months Z
that some degree OF price stability VII
be registered.
Sugar Some improvement in tn,
operating results OF American suga
beet companies may be witnessed in tn
event that sugar prices continue 10 dis
pla.t firmness. Refining companies ar
expected to report substantially cur
tailed profits for the year.
TheaterS.--By late Summer a sub
stantiaI seasonal improvement Of ap
preciable benefit TO earnings should ma
terialize This more favorable tren'
should benefit practically all the lead
ing companies in the trade.
Tobacco.--With advertising apDropri
ations continuing Of record proportion
and. at the same time. broadening tn
consumer appeal 1t Is believed that tn
cigarette industry this year viii ap
proximate its 1890 sales aggregate.
Utilities.--While IL is probable tina
both production and revenues viii con
firue below 1880 levels during Angus
and September. evidence at hand de
notes the possibility OF more fayorabl
comparisons under the influence of Pa
business expansion for electric com
t,antpe