Record low sales performance was reported by businesses across the NSW Orana region in the June quarter, although sales still remained positive, according to the latest Reliance Credit Union Regional Business Survey released by Charles Sturt University’s (CSU) Western Research Institute (WRI) today, Tuesday 8 July.

 

“Climate had the single greatest negative impact on sales this quarter, followed by the cost of fuel,”

said Mr John Walkom, Chairman of GoWest Growing Opportunities in the West of NSW.

 

“Business and professional service providers reported the strongest sales performance of the quarter, while the greatest downturn occurred in the transport industry,” he said.

 

“The Orana region experienced record low profitability and high operating costs in the last quarter. In addition, investment in new buildings, plant and equipment was down, but remained positive,” commented Mr John May, Chief Executive Officer (CEO) of Reliance Credit Union. “

 

Employment was stable, with three per cent of businesses increasing casual positions and one per cent of businesses decreasing part-time positions. Full-time positions did not change.

 

“Sales performance and profitability are expected to increase in the September quarter,” Mr May said. “Operating costs are expected to ease slightly, but remain high.”

 

WRI Director Mr Tom Murphy noted that rising fuel costs had a significant impact on three quarters of Orana businesses. “One in three businesses have altered their practices as a result, with most adjusting their style of driving and distances travelled. Many businesses are also passing the increases on to consumers, or cutting costs in other areas of their business.”

 

The survey included 186 businesses from the Orana region and a further 333 from across regional NSW.